Evening star., 1908-01-26
ATTACK UPON j. P. CURRENCY BILL SOON
Bill in Equity Filed by Bona Perfected A|drch Measure Is
parte Nearly Ready.
ITO SET ASIDE CONTROL SOME. IMPORTANT CHANGES
Of Southern Senator Bsiley Proposition Will
Probably Be Accepted.
TRAFFIC MONOPOLY CHARGED EFFORT TO MEET DEMANDS
Next Meet
of
Santa Fe nd Working
Perfected AIdrich Measure Is
Nearly Ready.
SOME. IMPORTANT CHANGES
Senator Bailey's Proposition Will
Probably Be Accepted.
EFFORT TO MEET DEMANDS
Bill May Be Reported at Next Meet
ing of Committee-Cortleyou
Working on Report.

Wh-n the Senate committee on finance
meets tomorrow Chairman Aldrich will be
prepared 10 exhibit the perfected text Of
his currency bill During the recess o.
the committee Mr. Ald,ich has be=n en-
gag d with Senators Hale and Allison and
other prominent republican members Of
the committee in p4ttins the finishing
touches upon the measure. and the. he d
lneir final meeting yesterday. Til. new
the principle underlying the original meas
ure, but 1t Will embody many changes. due
primarily to suggestions made In tn COM
mittse. and secondarily 10 Suggestions
from outsiders.
Among the more important OF the
changes will be one accepting Senator
Bailey's proposition for the distribution of
the proposed surplus bank issue among
the various states in proportion to their
banking capital and surplus. This feature
has be N strenuously contended for By the
Texas senator, and the republicans have
decided to concede 1t not only because
they consider 1t equitable but also be-
cause they think it will assist materially
in bringing democratic support to the
measure when 1t reaches the Senate. Sena-
tor Bal ey has been engaged in preparing
d substitute bill in wnicn this feature Is
given q prominent place. and it is not yet
det1rmin ed whether he will desist when
the action of the majority m IN mbership
becomes known. 1t is probable. however.
that he will go forward with his own bill
tor the present and until the retention of
the proposition is assured.
Changes in Perfected Bill.
Other changes which 1t is hoped will
have notifying effect upon op-
ponents. both in the democratic party
In the Senate and among western re-
publicans, is one increasing the amount
of extra circulation allowed by the bill
from $2J0,OOO.OOO provided by tie first
draft of the bill to $JUU.OOU, 900. and an
other making radical changes in the
provision in regard to municipal bonds,
which the bill provides shall De ac-
cepted as security for the surplus issue.
AS the bill stands 1t requires that
cities whose bonds may be accepted
shall be fifteen years old, nave not
fewer than 10000 in population. and
shall not for ten years have uefaulted
on any bonded Indebtedness. In the
new print all these restrictions and
definitions will be eliminated, and the
authorities thus will be permitted to
pass upon all municipal bonls upon
their merits at the time presented. The
committee also will concede the conten-
tion that additional issues will be per-
mitted to abe extent of 90 per cent of
the market value of the bonds de-
posted instead of IS per cent. as the
first bill called for. This latter change
was suggested by the terms of the
original national bank law.
All these amendments are intended to
meet the demands of those who would
provide, first, for a greater expansion
of the circulating medium and, Sec
ondly, for more liberal and equitable
treatment of the smaller and newer
centers of population. and the hope Is
expressed that they will have the eff
feet of pOpulariZing the measure and
of expediting its passage
Treasury to Be Responsible.
One important effect Of the bill as 1t
will be presented will be that of making
the United States Treasury directly re-
sponsible for the payment of all bank
notes issued after the law goes into ef-
feet. There is a popular impression that
under the terms of the bill there will be
two kinds of bank notes-one class such
as is now used and issued and the other
the extra circulation TO be issued under
the new law. Mr. Aldrich characteriZes
this as an entire m -sapprehens. on of the
intent of the measure. On the contrary.
he saysthat all the notes will be uniform.
but that they will be different from the
notes now provided for. These specify the
deposit. of government bonds to secure
payment. and this specification will be
discontinued In it's place will be legend
to the effect that the government guaran-
tees the payment of the note. Thus"
said Mr.. Aldrich. 1.-The new notes Will not
only be uniform, but the national govern
ment will stand behind them with an ex-
plicit pledge
Waiting for Cortelyou.
Whether the committee will report the
bill after its next meeting will depend
largely upon the extent that the commit
tee may be disposed to go in still further
granting courtesy to Secretary Corte!you
in the matter of his lons-promised state
ment in regard to the course of the Treas
ury during the recent financial eN.gency.
There is no longer pretense that the
character OF the bill itself will be changed
in any wise by this report for that
matter. by any outside report or
suggestions: but ii Is felt that
the figures Mr. Cortelyou will supply
the bill in the Senate. Now, III the be
ginning. there is desire to treat the Sec
retary with the utmost consideration, and
il is apprehended that il 1t is made evi-
dent that he can present Tie report with
in reasonable time the bringing in of
the measure will be still further delayed
on his account. Ii is known that the Sec
retary is giving the report his personal
attention. and he is under promise to pre-
sent it at the first possible moment; Ii is
not now believed that the statement will
be delayed beyond the middle of next