Deseret evening news. [volume] (Great Salt Lake City [Utah]) 1867-1920, 1908-09-29
American Bankers Association
Against Them and Also
Guaranty Of Deposits.
ADOPT STRONG REsO LUTI0Ns
Declare Plans Unsafe and Protest
Against Their Enactment
Into Law

| Denver, Colo, Sept. 2S,-The most i'm
| portaEt discussion in the savings bank
section Of the American Bankers as
|! sion when the questions of postal say
\ ings banks and the guaranty of bank
/ deposits were taken up. While 1T was
evident that the sentiment was; orac-
|! tically unanimous against postal saw
| ings banks and overwhelmingly against
1.-THE guaranty idea, d respectable minor
I ity tried to prevent action on the latter
question:, contending that 1T Was
matter for the convention of all the
members of the association to decide
upon and not. for a single section.
John Sohuette Of Wisconsin was the
only speaker in favor of the guaranty
of bank deposits. He opposed the es-
[ Establishment of postal savings banks
on the ground that 1t would establish
$4,000 banks in the country to compete
with. the other banks of the country.
He favored. the guaranty bank deposit
plan in order to avert the establish
ment of the postal savings banks, and
declared that the bankers of the coun-
try would have to face one or the other
Of these issues.
Former Gov. Myron T. Herrick OF
( Ohio then offered the following reso-
|, luton.
tof the American Bankers association
represents the savings of the people
&ofE the United States; and ,
..Whereas, The record of these banks
for conservatism and stability ana I'M
selfish devotion to the interests Of their
depositors is unparalleled in any coua-
sitrys5in the world; and =tsia,'s
.Whercas, The loss to their deposit.
ors has been so small as to be an alb
solutely negligible quantity, therefore
be it
Resolved, That, inaslnuch as any
plan or scheme to make each of these
banks responsible by taxation or as
sessment for the acts of another, or to
connect them With the national bank
ing system, is economically unsound IN
principle confiscatory in form ana m,
fimical 10 the best interests of its de-
spositors, stockholders and borrowers, II
would discourage individual Initiative.
tho best product of the American mind nd
1t is q specious form OF paternallsnlS
and Socialism. 1t would tend to en-
courage speculation and an undue eX.
Epansion of credit; therefore be 1t
.Resolved That we enter the most
solemn protest against enacting into
law either by states or the nation of
any principle so subverse of sound.
economies and SO REVOLUTIONARY IN, char---
acter.''
After a heated debate, C. r. Broken
ridge OF Fort Smith, Ark. offered a
substitute to the effect THAT action on.
4 tho resolution be deferred until after
the question came up before the gem
eral convention This substitute was
voted down, SO to 49,. md GOV. Fer
riclSs resolution was then adopted.
After u discussion OF postal savings
banks a motion was carried placing tho
savings bank section in opposition to
the establishment of postal savings
banks and asking the support of tho
American Bankers association in this
opposition.
j. H. johnson of@Detroit was elected
president of the savings bank Sec
I ton. and William Greer, first vice
president, William Hanllart was re-
elected secretary by the executive COM
lnittee. w. I. Ravenscroft OF Dem
yer, A.. W.eJohnstonc of Schenectady.
N. ". and r. J. Wood of New Orleans
were elected new members of the ex-
ecutiSe committee.
A vice president from ach state was
also named before the convention adj;
jo1Tlfed.
The Clearing House section also held
its convention this Afternoon. Besides
the report OF the secretary and routine
business. there We're several addresses,
and the matter Of bank guaranty was
also brought up and condemned
The following officers were elected:
President e. G. McDpugal OF Roch-
ester, vice president, Sol WeXler. New
Orleans; executive COMMITTEES, CA.
}Ruggles of Boston and Ralph AZ. Van
Vecten OF Chicago. s
AIT the, meeting of the executive com
niittee Immediately after adjournment
Fred E. Farnsworth was re- elected Sec
retary.