The Salt Lake herald. [volume] (Salt Lake City [Utah]) 1870-1909, 1908-04-14
NEW MEASURE OR
NO LEGISLATION
Certainty That the AIdrich Bill
Cannot Get Through
the House.
REPUBLICANS TO CAUCUS
UPON THE RESULT WILL HANG
THE CURRENCY QUESTION.


drich currency bill as passed by the
senate will not be concurred in by the
\ house is the conviction of many Re-
publican members of the lower cham
Der. Indeed. that any currency bill
Will be passed at this session is not
positively assured, but if plans which
were matured today by the Republi-
can leaders in the house are approved
by Republican caucus to be held next
week, the Aldrich bill in an amended
form will become a law.
Aldrieh Willing.
The Republican leaders have ascer-
tanned in a purely informal way that
with certain amendments the Aldrich
bill can get enough supporters in the
house to assure its passage and Sem
ator Aldrich, it is stated, has informed
them that the amendments they have
In mind will be satisfactory to the ma
jOrity in the senate. To the caucus will
be submitted a new currency bill
drafted by the Republican leaders in
the house and introduced today by
Representative Vreeland of New York,
which embodies so much of the Aldrich
bill as they feel confident of, and in
which is Incorporated the amendments
agreed upon. AS it is generally recog-
niZed that sentiment in the house in
favor of such a radical reform in the
national money system as a change
from a bond-secured to an asset cur
rency is not strong enough to uphold
the Fowler bill, the question in the
caucus will be simply whether there
shall be an amended AIdrich bill or no
financial bill at all.
Currency Commission.
If by the time the caucus meets the
senate has not enacted these promises of
Senator Aldrich to pass a currency-com-
mission bill, such a measure will be agreed
II is believed that it will go through the
senate.
In support of the no-legisIation idea, it
is suggested that such a course would
leave the Republican party without en-
cumbrance at the Chicago convention and
enable the free shaping there of finan-
cidl plank.
In the bill introduced today by Mr.. Vree-
land, the Aldrich bill. so far as it apper-
talns to the issuing of currency on mu-
nicipal bonds. is left unchanged. The
section of the Aldrich bill which changes
the present law of reserves is stricken
out entirely. This is the section which |
has met with the most objection of the |
banks both In the country and In the |
reserve cities The last clause in the AL |
drich bill commonly called the LaFollette |
is stricken out. These sec
tons were eliminated on the theory that |
neither one was necessary TO a purely |
emergency billion the agreement that the |
bill should be held as closely as possible |
to its purpose of providing simply for an |
emergency currency; that it was not de- |
slrable at this time to go into revision |
OF the banking and currency laws. but |
that the work should be. and would be- |
taken up by commission to be created /
by congress adjourns.
A Section Added.
In the Vreeland bill a section is added
to the Aldrich bill TO meet the objection |
OF the western and southern banks that !
they own no bonds such as are required
for security under the Aldrich bill: that
they do not feel able to divert their money
to the purchase of such bonds. and that
All OF their funds are required in the needs
Of their business. The new section Gre
ates an agency for the handling of ordi-
nary assets of banks. including CONNER
,lal paper. Under this section groups of |
national banks not less than ten in num-
Der and having an aggregate capital and
surplus of at least $40 100000 may form |
voluntary associations, to be known as |
national clearing house ASSOCIATE ton - |
such an association shall have offices and
| board of directors selected from the
representatives of the banks composing
he group and shall be organized and
governed according TO rules to be pre-
crloed by the secretary of the treasury.
my bank belonging to such an associa-
ION may deposit and assign to the asso-
lation in trust such securities, including
commercial paper, as may be satisfactory
o the officers of the association The as
ociation may thereupon make application
o the comptroller of the currency in be-
All OF the deposittng bank for authority
o issue additional bank notes to an
mount not exceeding 70 per cent of the
ost value of the securities so deposited.
The association is made a corporation
or the purpose of the act only, TrDon !
allure of any bank to retire its circulate | {
lg notes. the association can sell at pub
G sale the securities deposited. If there ;
hould be deficiency after the sale that
efficiency is made a first lien upon the !
sSetS of the bank issuing the notes. n
mere should still be a deficiency the as
ets OF all the banks belonging to the as '
ociation are made liable in the payment
[ the notes !
All OF the other provisions of the AL /
Tlch Dill are made applicable so far as t
ley apply to this section. ?
Inc methods of existing clearing house (
sSoclatlons are used so far as possible
J framing the provisions of the VreeIand
III Ii has not been thought best to dis =
Die existing clearinghouse associations | +
lem.
Why waste time and money planting 2
DOR Roses, when you can get the very /
est quality at 19c, Tuesday. at