New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1908-10-02
STRONG RESOLUTIONS.
SpeecFos by Ne,c York Men-Guar-
antes UnogmrocaIIy Condemned.

-,s-r-- Oct The question OF guaranteeing
r--E 5e7os.-z zas brought sqUarely before the an
r.5zr convention # the American Bankers Asso-
cation today II report OF the ASSOCIATION Ieo-
err. legislative committee which took d decided
stand III aruozl.l such action by either 1eoeFaI
- -. governments Ths report IN part was as
follows
voar committee = opposed 70 the gaaran dE.e-1s
q deposits ty Ell sr state or IeoeIaI 80. 80 ~
r1ez- or Assumption Of trusteesh!p oS e1.lel: %
= er.srrrtee faad believing that Il would ne Z
function wholly outside Of any purpose I9a /" Nd ND
--+z @r5---e- Fer HAT the assuming Of q II Us
-ses--0 rduL5 h. misleading 70 the general plo-LSi
p 81 IS nct guarantee tE 1879 f 1-n7l5 work 10
government. and that sucG q law WoUt - 20 .l,e
lie datrlnent. not only OF the Dai'AS' Ou' ~ '-'
Il one class f bank creditors Is 70 be -LlSuLs+
= cas- s IS fo.r which nt. Is not responsible,
=: -: selection If Were ne shall keep his account
rs-7s.-r-s If q hank are guaranteed prlIiaI5tS
~ fFa character OF the assets in which me le
Tlsito-s roueE is inv esJed ITiarglned ana I4TleI
ssse-s---sL IS n say rs lnFes 1855
i IL credits nave been wisely eAteaoef' E' ~
tors are amply protected and need no ot.teL : 0 ne
s1-ee ry should not The BANK aSss-< te
T-z-s--az5a- Erv not guarantee payment 70
sgrss Of he -ecevables Of their various cllenls:
r1s would guarantee deposits Both proPos-IlOiS
ueT5zt.s IN . bank are safe in just the proper
49, ,-.ee as--a---ir-7 Of credit rather than open
g ---r-s- 1899 4-srLf-E which would
W ~ ~ "a 81 th.Se plans viii do away with
ps1lcs Are they noJ more -lk a-sse 'rsrsly-sig
f-r =, .--eTeCrltrE fear the part Of the puDlc.
-1-f5-+- ---efr f,5rdse fEiil they not rather.
withdraw them - once 1ee$tl-55 - .-s - -,57ae5
l g-s-arrez TIE losses in twenty tholsaH9 oaHs
70 those no have had such experience u es-ioT
s-5 ~ Is7 o..-.-5 be spread on the statute books
rrc-4 f-g-r syitn mischief than law for enforced
- coagress provide tie means whereof PEI, PEI,
5.--s-rr 5-- RE sane facility as banks in other
great comm e-0iai nations and tley VIII nav go
-ar toward prevention OF FaTlcs
FORM OF CONDENSATION
Tie c7------sa submitted the following resOlu-
Resolved That the American Ianl1eT'S Ass2 25E
looking - ire ruraaI guarantee OF oePosls, elIls.
D. state Cr me nation io5 me 49, - osrionai
LIZ IS function outside OF state VI Ha'40il3
!, is ursourd in principle
= 3 5--~ar-I~atle and misleading
8 + Is ss5rersIve TO sound economics. ,,,
T III lower the standard OF our present bank
ri IS Productive OF and encourages had banking
+ IN Justly vaakeus the strong ana nnla-Ily
.re1sth--s SIC weak banks - .-.-,s.-,-,tis7,
r csc-edrs honesty. ability ara coilt1 III
- l1ss suffered by one bank 1eopaTdlzes al
4 TIE public must eventually pay the tax
L L VII Cause and not avert panics-
Ire fede-zl legislative committee also reported
adversely on the proposed establishment Of postal
bs7-gs banks. saying. NO bill has Deel pIesei -
which z--ld really prove beneficial 10 the
cosHsr-"
j the addresses Of the day Alexander Gilbert
T7ezasut q the New York Clearing House spoke
O. Vita, Issues"
NJ. Gilbert suggested these amendments to me
rrssert law.
The amendments 70 the national banking iaw.
EEggsste5 ~ rbe experience Of recent years, IN
" judgment should be .,o.f, 80
First The repeal Of The tax upon circulation 10
1SEe Ire note issue & little more profltaDpl.es ..
second. More adequate redemption IaslIi,-est "a
.-ptl the retirement of notes VIZ I -
&c y make expansion possible Wheh I'qlii e.;
Third. Provision for an increased issue "heh
For his purpose the American Bankers bl-,
- one CT TWO tritiiug amendments, "CE-o 80
Sc admirably. but instead ~e Nd tI5 ts-,e
ke-rACrCh bin. u j. not what we shoulu 10,
fIS" VII probably be our eEiy Ls-lFF -------eIres
te Sc f5- the present Jet us reconclit or $3.50 sge
resS kra7i0usly and try 10 secure ~ az - &c 20
,--ellg thc upon emergency issues - az -
sEe Il workable and serviceable II peI,Ta4l," W
-sl-42 have need for It before something D'''
NafHs Is Iiace
- uz also Keen in view the fact that what We
1s4lre 10 round ous our system is d central bahh
- branches authorized TO issue an asset cur
49, n tine Of need. 10 be issued 10 ps i+est
- On acceptable security At rate OF M st
80 y lsW. less than per cent a year So
t-LalE would deal only with banks ana Ile 60.
ns-.eat and be ssfeguarded by ia" a. -
s-f2-lze all the criticism that Is urged against
- bank Its note issues would De sec-rS1 ~
rrs-aTaTltee fCnd-H 3 per cert gold TeserFe-due--
tsyEnelt
HOW TO INCREASE DEPOSITS
William C. cornweI. Of J. 6 Bache & Co. New
i'-k spoke On methods OF banking saying. in
5s-.
--ese are two ways OF increasing bank deposits.