The Elbert County tribune., 1908-10-01
POSTAL BANKS
AND GUARANTEE
ARE BOTH STRONGLY OPPOSED
IN AMERICAN BANKERs'
ASSOCIATION
AT DENVER MEETING
GREAT NATIONAL ASSOCIATION
ASSEMBLIES AND GETS DOWN
TO BUSINESS.

Denver.-The thirty-fourth annual
convention of the American Bankers
ssociation, that promises to be the
most important and most interesting
convention In the history of the asso-
ciation. is under way.
The meeting began Monday with
3essions of the savings bank and
clearing house sections. and meetings
of the currency commission, bills of
lading. and constitution and bylaws
committees.
The convention is the largest in
point of attendance that has ever been
held by the association. Nearly 5000
delegates or visitors were registered
at the Brown Monday and trains that
were delayed will bring several hun
dred more to the city.S
The leading questions to be con.
sidered by the convention are the
bank guarantee plan and the postal
savings bank plan, which are issues
In the present campaign.
The bank guarantee plan is in.
6orsed by the Democratic party. and
larties.
Bitter opposition will be made to
both plans, and it is expected that the
association Will go on record positive
~ against the adoption of either.
The first gun in the fight was fired
yesterday at the meeting Of the sav.
tngs bank section, when John Schuette
OF Manitowoc. Wisconsin, introduced
proposed guarantee law that em.
bodies many of the provisions advo-
Gated by William Jennings Bryan.
The postal savings bank and uni
form savings bank committees of the
branch introduced reports against the
postal savings bank law, and advo.
Gated uniform laws for the government
of savings banks In all states and for
federal control ultimately.
Schuette's proposition was fought
bitterly by former Gov. Myron 7. Her
rick and Col. j. ]. Sullivan of Cleve-
land. Herrfck declared that the vast
majority OF the bankers were against
the proposition. The general express
sion of opinion among the delegates
bears out the assertion.
The bankers take the position that
the guarantee law would offer an in
centive to unprincipled men to engage
tn the banking businessmen who
would have no trouble in obtaining
business. inasmuch. as, with guaran-
teed deposits, their institutions would
PRESENT the same inducements from
the viewpoint of safety to the deposit
tors as would institutions established
that had built up regulations for hon
csty and integrity. They declare that
the "wildcatting" that would follow
would result in bank failures in every
section of the country until the whole
financial world would be thrown into
state of chaos.
The Postal Savings Bank report
says: Although, in our opinion, no
great detriment will result to the exist
ing savings bank system from the es-
tablishment of postal savings deposit
taries. inasmuch as the present facili-
ties are superior to any that could be
afforded by the government, or to
those of the country where postal saw
ings banks now exist, yet the previous
experiences of the United States gov
ernment In conducting banking insti-
tutions. and notably in connection
with the Freedman's Savings and
Trunt Company, do not encourage us
t. believe that the proposed postal
savings system would be managed
more wisely or with better success
than the existing savings Institutions