Mexico Missouri message., 1908-10-01


y gives the deposition the security ,Shice
ne needs ana yet leaves the banking busI-
ness ness IN Tie hands Of the banks. But the
tai sSY,nsc PiattoTm declares for "a pos
cannot be secured" and In Noyemher
more than ninety per cent OF the voter
VIII VIII by their ballots demand eithor the
guaranteed bank or the postal SAYING
Dank Can the finauciers preyent ths
c.srLying out OF this demandf
,n,a Sa republican platform does not so
mto uetail, but IL Is fair to assume that
tne postal savings bank plank h Intend
go as an ENDORSEMENT OF the postal saw.
h lhks oank system proposed by tho Presl-
Dian ths PSssss ans, Under this
H wy. the deposit Of savings, a limit be-
ing placed upon the amount that zach
person OF each family could deposit. Ao-
would not be protected. for he uaea n
cnecklng account instead OF a aayiuEs
account; but no one can doubt that the
lngs bank would ultimately lead 10 an
extension OF the plan until the GOVERN
Incns pank would include the Ordinary
ws,Sc,i.s account and be open to deposits
Son,est between the deposltOrs ana the
oankers' put contest which must IN the
noS,,ors decided on the side OF the de-
fore whether he will favor a postal Sav-
sr,araasn, winch In the absence OF the
scrhs ,s bank. VIII grow until II alb
me present system OF banking by Siyin9
i, 20 the people, through a guaranty law.
, me Profession which they must other.
wise ma IN a government bank
rhe Democratic ulaD thereeoro 49,,
pp anpl,h,,s less radical change than the
sp sSS6'G Mr R,sn' In hts notification
remedies. Tho charge was not r'alI
founded, but I might reply by charm,
. .nl WIN advocating an unnecessary oxs
activity I'm the establishment Of the NO. ~
sal savings bank. when the Tiarentee,,
S udnn would answer the same purpose
number OF government employees. 7 would
rather see the banks attend 10 tho bant-
y, ing ,t business than to have II Transferred
70 have the banking buaIneas dooe ~,
the banks rather than by the Government
I urge the guaranty OF deposits "a the
ee Thsrs solution OF our difficulties.
there are IS, 900. 900 depositors, ana I 40
not hesitate to declare that N n conf,ict
, Desween me two. the deposltors have a
prior claim to considerations. n we eati-
mate me average number OF stoclrholders
OF each bank at ACKNOWLEDGEMENT Ihaf ia
s,o noera, estlmase-the total number OF
stOcknoiders would only be a million ana
n half, or one-tenth as MANY AZ thora
are depositors. The stockhoider "a NOT
SonpeIed TO buy stock. while the de-
bo,h e. compelled TO use the banks,
A..
or the community. for only by using the
banks can no keep his money a mart Of
in nS eitISc srssarg b medium The gdaranty
20 the greatest number, as we'll as those
side. ' NP"h '"e'E
There Il another reason vvhv thu o,o,r,
OF the deposltor Is superior 10 the eiaiSn
or the stakeholder. Tho stockhoIder has
voice In the selection OF the hanlt
one mus, 'h Ioso dep ,ba. has not II any
OF bad management. Il ought TO be the
stockholder rather than the depositor
nas ,I ! venture to ask, II the bankers viii
expect the depositors to trust the banlSsT
We are fortunate. however, In that We
n .I not compelled 20 choose between jus-
Cice 70 the deposition and Justice 20 the
stockholder, for. AS has been shown be-
FORE, the plan which we propose moi only
does Justice to both, but brings advan-
which we propose protects the banker
anu ~ mis- only protection--aKainst the
',sa.a. OF government bank,
bankers business. with tho Ruaranteod
bank established, government savings
banks would only be needed in the towns
a a villages where there were no Eiaran-
There is another advantage which the
guaranty OF depoaitors brings TO the
Danks-it protects the reserves deposited
y, IN other banks. During the panic last fan
trouble. The small banks wanted to
withdraw their reserves from the CITY
banks, and the big banks In the cities
With deposits guaranteed. there would be
no runs on local banks and no sudden
withdrawal OF reserves
I have selected the capital OF the state
OK Kansas as the most appropriate place
TOT the delivery OF a speech upon this
subject, because your nelghbor tipon the
south mas been pioneer In this reform
aieT plan. as you know, has been such
drawn across tho line from your state
INTO Oklahoma. The alarm caused by
this invasion OF your banking territory
call for special session a recommended
ton OF the passage OF n law similar TO
that OF Oklahoma. When the legislature
Ss ssi however owe ne influence o. the large
cd legislation, and your state stili suffers.
the people OF Kansas have had an OBJ
Ject lesson; they know the necessity for
law guaranteeing deposits. They have
seen It's benefcient results In n aister
state; they have seen hfty-four national
banks taking advantage OF the state Hys-
made inquiry and find that many Kansas
bankers favor the adoption OF a guaranty
system,th ree-fourths OF those who have
replied have declared for the guaranteed
bank. They have heard the echo OF
the blow that has been struck az the ma
tional banks OF oklahonER By the attor-
nHg-4@utHdA5 Iuiiuk, MntCu denies 20 SUCH
banks the right 20 share IN the dement's
or the state guaraRty system--that echo
being the surrender OF charters by ma
sioSai banks which prefer 70 become state
on the guaranty system -Four national
banks have surrendered their charters
and are now conducted as state banks.
while 8ixteen more have applied for state
charters. Your people have also seen
how the influence OF n few big banks.
concentrated upon n Legislature, can de-
feat the wishes OF the smaller banks and
the desire OF the dspositors ali over the
state.
I submit that IN this effort 70 make ali
hanks secure. the Democratic party n
the champion Of the farmer, the labor
ing man, the business man, the profess
elonal man, the champion OF the banker
- well. NO class IL outside Of the besIe-
rte OF this law, for Il bestows its bless
mss upon all
Why has the Republican party been 80
quick 70 respond 20 the demands Of Wall
street. ana 90 slow 70 Yield 20 the de-