The Washington herald., 1908-05-12


of the House Of Representatives in con-
ference last night approved a redraft Of
the Vreeland emergency currency bill,
thus assuring its passage in the lower
branch Of Congress ut an early date.
While the conference was far from har-
monious. the opponents of the Vreeland
bin displaying great bitterness in their
attacks upon it. the leaders insist that
last nights action insures the enactment
OF an emergency currency law before ad-
journmeut,
Representative Fowler of New Jersey,
and the little band Of insurgents that raj
lied around him, put up a lively fight
but they lacked the votes and were licked
from the start.
OF the twenty-five amendments offered
To the measure last night, only four. all
of them involving purely verbal changes,
were adopted.
Was Lively Ahair.
The conference was one of the livelest
sessions the Republicans have held in
many years. II was fun of action from
the beginning, and eliminated in an in
cident at its conclusion that caused bad
blood between Representative sherman,
Of New York, who presided, and Repre-
sentative Overstreet, OF Indiana. Mr.
Sherman failed TO see Mr.. Oversueet
when the latter arose as the conference
was about 10 break up and the Indiana
Representative was very Indignant at the
affTont he alleged he received at the
hands of the presiding officer. Speaker
Cannon poured oil on the troubled waters
and quiet was once more restored
Another Little Incident.
At the height OF the conference another
incident occurred that created something
of a stir Representative Parsons, OF
New York, had offered an amendment
which, he explained, would make it easier
for commercial banks to secure emergen-
cy circulation. The Parsons amendment
was voted down. Thereupon Representa-
tive Hayes, of California, and Prince. OF
Illinois, walked out of the conference.
IT e public is being him-hammed, said
Representative Prince. in explanation of
his course. 'Al amendments that would
improve the bill were voted down with q
rush. I could not. in decenCy, remain any
longer" Mr.. Hayes echoed the state
ment.
The e-nfsrenee decided to let the Re
publican members of the Committee on
Rules determine upon the legislative pro
eedure in handling the currency bill in
the House.
A Summary of the Bill.
Under the bin, authority is given for
the formation of national banking asso-
Citations Cf not less than ten banks each,
having an aggregate surplus OF $5,0C0.000
No bank can belong to more than one
association. and not more than one as
sociauon shall be formed in any city.
The emergency circulation authorized IS
10 be based upon any securities includ-
ing commercial paper held by a national
bank among its assets.
Only 30 per cent Of its capital in bond
secured circulation need be held by a
bank in order to enable it to take out
additional circulation through a clearing
house association. No change is made in
the existing law in regard to the reserve
in gold or lawful money against ad-
ditionaI circulating notes.
NJ SELL4Dl tL the country IS 70 nave
more than its proportion Of emergency
currency based upon the proportion its
unimpaired capital and surplus bear 10
the total amount Of unimpaired capital
and surplus OF the national banking as
sOciations Of the United States.
Redemption Of the emergency notes Is
70 be in lawful money OF the United
States. Interest Of / per cent per annum
on the average monthly amount of de-
posits is to be paid by regular and tenn
porary repositories.
The currency commission provided for
by the bill is TO consist Of six members
of the Senate, TO be appointed by the
Vice President; six members of the
House, to be appointed by the Speaker.
and six other persons, 20 be appointed by
the President.
The commission is directed 10 investi-
gate the causes Of the recent financial
panic and make recommendations to Con-
gress FOR changes IN existing banking and
currency system, and with regard to
banking institutions in the States. The
commission must report TO the President
not later than January l, 1909.