Bryan morning eagle. [volume] (Bryan, Tex.) 1898-1909, 1908-03-10
BAILEY ON ALDRICH BILL.
Deals at Great Length With
Currency Question.


Washington, March 9-Senator Bal
ley addressed the senate Monday on
the Aldrich currency bill. He said he
did not believe his substitute for the
bill would result in initiation, although
II provided for s50O,000,0OO as per
manent part Of our money supply
THE truth is," he said, the ma
tional banks Of this country are seek
Ing to establish a system of asset cur
rency; and they will strive to defeat
any measure which compels them to
secure their circulation They want
the privilege Of issuing their notes
without interest and without security
and lending them to the people for
interest and upon security. For my
part, will never support a bill which
legalizes such an arrangement and
shall always insist that the safety of
our currency is of infinitely more
importance to the country than the
size of bank dividends"
He wanted to compel banks of the
south to invest part of their capital
and surplus In state. county and dis
trict and municipal bonds. He quotes
court decisions to show that there is
no question as TO the right of congress
TO authorize the issuance of monye
hey the government and make 1t legal
tender for all debts.
Il cannot account" he said, for the
general but unfounded notion that is
sue of currency is the function of a
bank except upon the theory that so
many governments have abdicated that
sovereign power and have permitted
banks to exercise II so long that men
have come to believe that 1t is and
has always been a banking privilege.
Nothing could be further from the
truth than this"
Mr.. Bailey reviewed at great length
the circumstances under which ma
tional bank circulation has been is
sued.
IF any evidence were needed to
show US the danger of committing the
control over our volume of curre- ey
to banks" declared>Mr. Bailey. recent
events will furnish It. Last autumn,
when the country was in the very
throes of a money famine, the national
banks did not come to the rescue with
cheerful and patriotic alricity, but on
the contrary, sir, the secretary of the
treasury was compelled to beg them.
almost upon bended knees to take out
additional notes. They preferred the
clearing house certificates because it
was easier to retire them and less ex-
pensive to obtain them"
He insisted that the issue of gov
ernment notes proposed by him could
not be charged as a ''recrudescence
of greenbackism"
The greenbacks, he added. had done
great service for the government and
he defended the record of that class
of currency. But he explained his
substitute bill did not propose money
similar to the greenbacks. The fact
that his substitute is not drawn in the
interest of the banks, Mr.. Bailey, is
shown by the opposition of nearly
every banker of the country to IT, The
interest required on the money so pro
vided. he added. would prevent the
banks from making anything out of
it. He opposed the idea of making
SlNoA oNiliO HAouANNo otNuAAAs hoA
these deposits of emergency currency.
Its nature as emergency currency
would be affected by such a practice,
he said
Mr. Bailey declared that he had his
own opinion on the cause of the re-
cent panic.
Il did not" said Mr.. Bailey, 'of
course, overlook the fact that it has
been charged in many quarters that
the trouble was due TO the persistent
demand of the president for the United
States for the enactment of new laws
and the enforcement of the old laws
to regulate and control our railroads:
but that charge has been made by men
whose minds are heated with resent
ment and II viii not bear close analy-
sis. The president has demanded only
should be required to deal justly with
the people and he has evinced no dis
position to harass or to oppress them
Il am no apologist for the president;
and have no patience with the adul-
tatior of him In which some Democrats