Grant County herald. [volume] (Lancaster, Wis.) 1850-1968, 1908-09-26
GUARANTEED BANK DEPOSITS IN
OKLAHOMA.

Mr.. Bryan is seeking votes on his
proposition to have the government
guarantee the deposits of all national
banks, the hanks themselves paying
a tax on their deposits to make the
guaranty good. In a recent speech at
which has a state bank deposit guar
anty law in operation for several
months. the banks, all of them state
banks, which complied with the
guaranty law, gained in deposits from
December 1907 to May 1908, by reason
of that law, the sum of 81, 237, 765. %
while the national banks of Okla
Ihoma, in the same time, lost in de-
posits the sum of 81. 101, 807. Sc. The
inference from Mr.. Bryan's statement
is very plain that national banks,
which Attorney General Bonapart
said could not legally comply with
the Oklahoma guaranty law, had
suffered a severe loss of deposits be-
cause of their inability to comply
with the law, while the state banks
of Oklahoma had made gain OF over
four millions in deposits because of
the guaranty law. Mr.. Bryan spoke
snf.several cases where people in other
sstaees had sent money to Oklahoma to |
deposit it in the state banks of that
state. because of the security afforded
by the state bank deposit guaranty
Eiaw
ant just as the cold logic of facts
riddled Mr.. Bryan's free silver aad
free trade heresies. so their logic |
destroys all there is of this Oklahoma
bank guaranty illustration. For when
the facts are examined they show con-
clusively that instead of the state
banks Of Oklahoma increasing their
deposits under the guaranty law. the
state banks have actually lost depos-
ats; and that instead of the national
banks of Oklahoma having lost depos-
its, because they could not guarantee
their depositors under the state law,
that the national banks have actually
GAINED deposits.
And here is the proof to show that
Mr.. Bryan is dead wrong The en-
abling act passed by republican con-
gress gave to Oklahoma So. 600. 900
from the federal treasury for the bene-
fit of the public schools of the new
state. That fund became available
November is, 1907, and was then de-
posted by the federal government in
various national banks of Oklahoma,
subject to check or draft by the proper
officials of the new state When the
bank deposit guaranty law became
operative in December 1907, Gov.
Hsskill took this So, 600. 900 fund from
the national banks of the state which
could not come under the guaranty
law, and deposited this large sum with
the state banks which are required to
do business under the guaranty law.
This was pure game of politics; and
yet Notwithstanding this huge deposit
of So, 900. 600, we find the state banks
according to Mr.. Bryan only gained
81, 237, 765. %. so that but for this
So, 600, 900 political deposit, due to the
arbitrary action of the governor, the
state banks actually lost $762, 234. IS
IN regular deposits; while had the ma
tional banks, which cannot lawfully
come under the state guaranty law,
not lost the S., 600, 600 state deposits
through the governors political ac-
ton, instead of losing 81. 1O1, SO7. sc,
the national banks would have shown
2 gain of So, s9S. 1872. IA in deposits. In
other words, the national banks
gained in deposits all but 81, 101, SO7.
So of the $4,000, 600 the governors
action took from them; while the
state banks. without the S., 600, 600
deposits which Represented a very
shrewd political game Of the COVER
nor, would have actually lost over