Evening journal., 1908-03-06
CROZIER FLAYS
ALDRICH BILL
And WALL ST.
Ccontlnued from Page s.

Inc power 70 contracr even the $780,
100000 Of emergency currency suddenly
should not be given. But the Aldrich
bill startlingly empowers national
banks to also suddenly contract the
nearly S700,0O0.0O0 OF outstanding bank
currency. This might lead to the worst
panic Of all history. Even the unre-
strained discretion ~ the Secretary NJ
the Treasury, an appointed official not
responsible TO the people. would not be
ample protection against possible dan
gers. His judgment might be at fault
even If his integrity was unimpeach-
able. Without intending any personal
allusion. It is proper to cite the historic
fact that very many treasury officials
have graduated into positions with
Wall street financial institutions pay
ing S25.000 to $4,000 salaries per year.
IL is not my purpose TO excite distrust
Of all men, or prejudice against even
national banks. Most men ana most
bankers are honest and patriotic. But
some are not The insurance. traction,
railroad and trust Investigations and
exposures prove this fact. And the very
men whose regulations were most In
ured by those stunning revelations are
still largely In control OF the very
financial institutions which IN the lar
gest measure will exercise the vast
powers conferred by the Aldrich bill.
Never have l used more scathing words
Of denunciation than those employed
by the distinguished senator In his
speech on this measure 70 character
we the unpatriotlc greed Of certain
powerful bankers. County banks Will
never use dollar OF the emergency
currency. There would be no profit In
10 panic It viii all be allotted TO others
long before they are sure they viii need
It and apply.
For Wall Street Banks Only
The few Wall Street banks win be
the chief benenciarles OF the AIdrich
bill. These viii WELD the terrific
power II confers. power that vastly
Increases their grlp on the other banks
Of the country. And which will be EN-
ployed TO take away their deposits and
further concentrate the capital and
wealth Of the land. Only these New
York banks are aituated to borrow ths
SaOO.O0OO0O emergency currency from
the government at & per cent. and loan
II for stock gambling purposes at 10
to 200 per cent This will tempt
them TO keep call loan rates bii nigh
1t would result ia imposing upon the
commerce and industry and labor cf
the entire country the burden Of unjust
interest rates. If the Aldrich bill be-
comes law. the three biz banks have
mentioned can legally obtain from the
Federal treasury and retain. loan and
manipulate. more than 500. 600 600 OF
public currency. They alone win have
ne tremendous power 90 initiate and
contract the public currency to that ex.
tent For the use of half of this thes
/ VIII pay 6 per cent, and for the be-
ance they pay only half of one pal
cent annually. II they average ,
profit OF but per cent. on this money
and some Of the time they can get 10
per cent on call loans. these thra
banks, dominated by three powerful
men, through the use Of this money be-
/ longing to the treasury of the republic
will make an extra net profit Of Ss
100000 every year, The lSa saving,
banks Of Massachusetts, with their l..
s0S.s7S depositors. win get-NONE.
/ lational Bank Graft
The average dividends OF an nauonn
banks since 1869 has been SIC per cent
annually. Their yearly net profits abau
Is per cent Many pay 90 70 so per cent
Some New York banks pay enormous div
idenda and their stock is worth man,
times par. SO these banks DO not nee,
legislative charity. On January IS. rg
s095.s2le0600 OF national bank curreuc,
was outstanding. This paper currency O.
printed by the government and oaned ex
clusiveiy to national banks az half o
one per cent per annum TIE banks lonr
It to the people at six per cent, or uu,
other rate they can get The government
makes this currency sound by gla-an
teeing its payment. II is protected b,
government bonds for the anne ameun
deposited with the treasury TIE nte 81.
on such deposited bonds also gees 10 th,
banks
Besides this currency. on Dec, mbar
1907. s222 % 20 on public money wa hi
deposit in national banks Not one c.n
Of interest was paid Tor the use of tha
money Aurust 22 1907 Eli N0m quo
lie funds were IN such banks Takui
this smaller amount. at per cent tha na,
tlonal banks so favored wouiI make &
yearly net profit Of sje0OO0oO1 lrom M.
free use Of this money belonging to th.
people Of the United States tbs nreh
would in ten years be s6e00O0O0O 90 an 90
ing to the 4is.O57 stockholders OF national
banks
The other 17,2s7 banks and trust rom,
panies of the country get none Of thes,
rich governmental favors. The Aidrlcf
bill will not even allow them any Of lh,
emergency circulation to protect their Z
million deposltors against the dang o
panios even when they put up the sam,
security and pay the same high tax u
win even legislate their deposits from
them by creating a prejudice in favor
Of national banks. AS long as the treas
ury deposits public funds or issues cur.
rency only when perfect security is given
why not allow other banks and trust
companies TO share in the benefits7 Why
not consider the rights Of s.5sS.sl1 deposi
tors Of the 14i5 savings banksl Have ma
tional banks sufficient legislative inhu
ence to maintain their present absolut,
monopoly Of the financial favors granted
by the government Of all the people Of
the United states7
95 Per Cent Of All U. S. Currency Not
Lawful Money
It has been held that the only law
ful money is legal tender money only
this kind has to be accepted when
rendered in payment Of a debt. Any
other kind can be refused. The $500,
927, $4,000 bank currency is not law
ful money. Nor is s67S,244.s69.0 United
States gold certificates although pay