Evening times-Republican. [volume] (Marshalltown, Iowa) 1890-1923, 1908-10-28
Financial Condition OF Iowa
Not Being Used as a Cam
paign Exhibit
DEMOCRATIC HOPE BLASTED
Planned to Make Political Capital Out
of Condition of State Funds, Which
Were Crippled by Panic - Banking
Firms Quitting the Trust End of
Business.
Special to Times-Republican.
Business.

Special to Times Republican.
Des Moines. oct. 2S.-The state treas
ury OF Iowa has now more cash at Its
disposal than it had a year ago. 1t
is better off than it was in the dark
days of the Wall street panic of 1907.
Therefore the financial condition of the
state of Iowa is not being used as a
campaign exhibit this year.
1t is recalled that a years ago there
existed what Secretary Shaw was
quoted as saying. one of the worst
panics ever experienced in this coun
try. 1t was not a bank panic or a
commercial panic, hence did not resul.
in an epidemic of failures; but it did
have serious effect on the finances of
the state Every contractor who had
work with the state rushed it, and
everyone insisted on collecting all
claims very promptly. while at the
same time all who owed the state held
back as long as possible. Then it was
also true that the state last year was
working under the extraordinary APP
preparations of two legislatures COM
ing only year apart, which greatly
added to the expenses Of the state.
None of these conditions prevail now,
and the result is that since the first
of the year there has been steady
gain in the net cash balance in the
treasury until at the present time
there is half million dollars avail
able for use In the general fund. The
amount is ssure to increase Eight along
for the remainder of the fiscal period
rather than diminish.
1t is known that at the time of the
democratic state convention there was
hope entertained by leading democrat
ic politicians that some capital could
be made out of the financial affairs
of the state by representing to the
voters that the state has been run
extravagantly and without regard to
the interests of the taxpayers. But
the figures would not bear them out,
and the committee which in the cam
paign of two years ago handled the
calamity end of the democratic CAM
paign is this year otherwise engaged.
The other day big banking and
trust company of Muscatine increased
its capital stock and struck the word
trust out of it's name. This has been
done in a number of instances There
Is a tendency on the part of the banks
doing a trust business to get out OF
it. In fact the state banking depart
ment has been engaged Systematically
in compelling banks to either give up
banking or give up the trust business.
1t is contended that If they do any
trust business they must submit IN
addition to the regular banking exam
ination TO an examination as a trust
COMPANY. and this is expensive and
difficult There is no trust law, proper
in Iowa. 1t is expected there will be
one some day. A good many banks
have tried to do trust business with
banking charters, hut are said to be
gradually changing.
The supreme court has taken judicial
notice of the fact that the attitude OF
the public toward combines has
changed in recent years. In a damage
case involving libel, from Nicola, an
article had been printed virtually ac-
cnsine one merchant of maintaining a
trust or combine. The supreme court
called attention to the fact that there
has been remarkable change not only
in public opinion, but in the law as
we'll. regarding pools, combinations ana
trusts, calculated to stifle competition,
control prices or regulate the output
of goods: and the law of libel must of
necessity keep pace with the public
opinion as reflected in the public prints
as we'll as in legislation"
The news from the east that large
SIMS of money are being sent into
Ohio and Indiana by the republican
national committee and that the fund
comes from the large protected inter-
ests of the east and from Wall street,
makes it all the more significant that
the national committee has done not
a. thing for Iowa beyond permitting
Taft to enter the state. No speakers
have been available for Iowa, and not
a dollar of funds. 1t is believed that
this is the first time on record when
the national committee has failed to
send money into Iowa to aid IN the
campaign. This year the money has
all gone out of the state. 1t indicates
that the national committee regards
Iowa as abundantly able to care for
Itself. The democratic committee has
not received any funds from outside
whereas it is known that two years
ago a big slush fund was brought to
the state from the outside and made