Omaha daily bee., 1908-09-27

the amount necessary to make up the de-
benefit of the depositor's guarantee fund a
first lien upon the assets OF said bank or
trust company, and all liabilities against
tho stockholders, officers and directors Of
said bank or trust company, and against all
other persons, corporations or firms. Such
liabilities may be enforced by the state for
the benefit OF the depositor's guarantee
funds"
The bank commissioner is dealt with I'M
der the guarantee fund. which provides
hat he shall be appointed by and with the
advice and consent of the senate and shall
hold office for the term of four years. No
officer or employee of any bank or any per-
son interested as owner or stakeholder of
any bank, shall be eligible to the office of
bank commissioner. However, no person
may be appointed as bank commissioner
who shall not have had at least three
years practical experience.
He must give bono in the sum Of $25. 900.
1t is HIS duty, or that Of his assistants. to
visit every institution subject to the pro-
visions of the act, at least twice a year,
and oftener If he deems It advisable for
the purpose of making a full and careful
examination. He and his assistants are
authorized and empowered to administer
oaths and to examine under oath the stock
holders and directors and all officers and
employees and agents of such banks or
other persons.
It will be seen that this provision comes
near putting every one connected with the
bank in the power OF the commissioner,
and also "other persons"
Fear POIiticians-Aceept Law.
As to the benefits 70 the guaranty law.
there are divergent opinions, though an
officer OF the Oklahoma Federation of
Commercial and Industrial organizations
says:
ut is difficult TO find bankers who will
openly favor the law. not excepting the
state bankers themselves, who generally
object TO being quoted for the reason that
they fear criticism either way might bring
down upon them the mailed hand Of the
politician. An official Of one Of the strong
? est state banks expressed what he con-
siders to be the position Of state banke
by saying that while in a measure II
might be of temporary advantage to state
banks in smaller towns, they all view the
law with more or less apprehension and
treat It as an experiment.
"The state banking board issued a state
ment in July showing an increase Of TWEEN
ty-nine In the number OF state banks since
the law went into effect. and in deposits OF
more than 100000. Opponents of the law
point out that several million dollars in
school money and other public funds were
transferred to the state banks to assist in
making this showing by the state admins
tration."
National Fear Act.
National bankers OF Oklahoma present an
attitude of practically unanimous hostility
to the law. This feeling Is presented by f.
p. Johnson, president OF the American Ma
tional bank, Oklahoma City, who says:
1.-THE guaranty OF bank deposits in Okla
homt is a failure so far as largely increas-
ing the deposits OF state banks is con-
cerned. The mass OF the people pay little
attention TO II, but continue as heretofore
to carry their balance with banks that they
know and have confidence in. regardless
OF whether the lattear are 'guaraneeed' OF
not.
But II 70 up to the state officials, who
were among the original propagandists Of
the idea. TO make "A showing for the sys
TEN. Thus. W hen the deposits OF stat
banks did not increase as fast as expected
after the new law went into effect al
state and school funds were transferred
from the national 70 the state banks, de