New-York tribune., 1909-09-17
AGAINST POSTAL BANKS
BANKERS ALSO OPPOSED
TO A GUARANTEE.
Urge a Lac Segregating SaTings
Deposits an Commercial Banks and
Specifying Their Investments.

Chicago. Sept. ls,-Not voice was raised to-day
in defense Of the postal savings bank plan in the
sessions of the American Bankers Association con-
vention. there word uttered in favor OF
guarssteed deposits in state or national banks
In formal reports, in set speeches and in inn
promptu remarks both ideas were repeatedly scored
by the assembled bankers, who were apparently ~
one mind in opposing the two remedies offered for
the relief OF financial conditions
T'he morning session Of the savings bank section
opened with address of welcome by Henry s.
Henschen. Of Chicago. who led the attack on the
postal savings bank by declaring that If the good
of the country demanded that the experience of
trusted and intelligent men custodians Of the
peoples savings be disregarded and the custodian
ship turned over 10 third and fourth class post
masters. the bankers would acquiesce but that If
the welfare Of the country did demand such
sction the bankers would protest in no uncertain
tones"
The president of the section John H. Johnson of
Detroit in his annual report argued against postal
savings banks, and insisted that the savings de-
posts be safeguarded against all possibility Of loss
President George NJ Reynolds the head OF the
bankers association. congratulated the savings
bank section its steady opposition the postal
savings bank idea.
a new note was injected into the proceedings lov
=. L. Robinson. of Baltimore. who in remarks OF,
me department Of mercy emphasized the helm
which savings hanks could he depositors by ad-
Vising them and extending 10 them sympathy and
encouragement President Reynolds. in his re-
marks also prophesied that within year there
would be such revision of the national banking
laws would permit national banks 10 accept saw
ings deposits.
FOR UNIFORM TAXATION
While the savings hank section holding its
meeting, the members OF the standing law and
federal legislative committees Of the association
discussed the question of securing national egsla
ton placing the taxation OF banking institutions
an equal basis. James p. Helm. of Louisville, re-
ported an exhaustive analysis OF the varying condi
ditons Of taxation OF bank capitalization in the
oiherent states and urged the passage of law
making the rate of taxation uniform. AT fits ses-
sion in the fail the standing law committee will
further consider the question.
Comment was made by several OF the bankers on
uhe hank guarantee law and fits effect in Oklahoma
IN direct contradiction the praise State Super
visor Young, of Oklahoma. at the meeting of bank
supervisors earlier in the week.
At the conclusion OF the session Of the savings
bank section, officers for the section for the coming
year were elected. follows: President, William
r. Greer, secretary os the Cleveland Savings and
Loan Company; Vice-president Edward l. Robin
son. Vice-president OF the Eutaw Savings Bank. OF
Baltimore, and Henry s. Henschen, OF Chicago;
II. Ia RemmeIl, OF Little Rock. Ark. and r. c.
Stephenson. OF South Bend. Ind. members Of the
executive committee Of the section.
Without a dissenting voice the nominating
mittee Of the association named for president Lewis
z. Pierson president of the Irving National Ex-
change Bank, of New York; for vice-president. F.
o. Watts, president OF the First National Bank,
OF Nashville. Tenn.
The nominations win be placed before the closing
session of the convention Tomorrow The election
Of both should follow the usual custom of the as
socistion in elevating 10 the presidency the Vice
president OF the preceding year, and giving 10 the
chairman OF the executive council the Office of vice
president William Livingstone. OF Detroit It is
expected, will be chairman the executive council
AT the meeting Of the secretaries of the state
bank associations w F. Keyser, of Sedala Mo-
was reelected president; n. p. Calling OF Lynch
hrru
B. Hughes Of Nebraska, was elected second vice
president.
The following members Of the board Of control
were also elected: Andrew Smith. Of Indiana; J. NJ
olnwiddie' Of Iowa; ". W. Bowman. OF Kansas:
". c. MacFadden, OF North Dakota, and W. J.
Henry, Of New York
APPEAL FOR POSTAL BANKS
An open letter was received from the Postal Saw
tngs Bank League of the United States. The letter
was addressed 10 George NJ Reynolds president of
the American Bankers Association, and was signed
~ Junus Goldzer' president Of the Postal Savings
Sank League In part the open letter says:
The recent expressions OF officers of your asso-
clstlon tend to show spirit OF opposition to
posta! savings banks. which. while contrary TO
guDisc ollnloa, IS also as We believe. contrary
me best interests Of your business. The dominant
Inent OF the peoples banks vet in the s@gSn san
~ oa IN n %alea you make proposition in behalf
sDs easfivs s"PerEsl0n Pc s you ask the legislative
given the body of the people in platforms sSd
Ofnclal documents -
Here is The place and the time when broad
as. ksIIlS.lsn urges that opposition TO the postal
snail cease and that the American Raukers' Asso-
clauon win The trust, esteem and profound respect
% ne American people by publicly frankly in
aorsng that measure, unnindful OF seeming and
immediate self-lnterest 20 the contrary
EKpef1ehoe IN other countries has shown that So
FAR from inJu1OuEly affecting the bsnkins br,sJ
ness Tostad savings banks have acted as feeSars
anu WI
mr. Reynolds showed the letter to number Of
delegates to-day. but action was taken. II NJ
ZlnmeFnan Commissioner OF Banking for Mchi-
gan, said:
We may disagree with the advocates Of ho,b the
insurance OF deposits ana the postal savings plans
breaking away from some Of our more conservas
tive and well established principles so far al Ieas
as the safeguarding OF our savings deposits Is
concerned Nf0N''S -
While Il may be inpracticabIe or unvrise to sd,r,
the insurance or deposits plan or urge the estsh
lishment OF postal savings depostores Vet n U,oi5
seem there IS an apparent need, least for The
teEreSauon ana safeguarding Of our savings de-
posts. ~
The speaker urged the adoption % q general Is,
IN the nation well in the states nro,,tdin,
that any institution chartered by either which holds
itsef out 20 the public TO receive savings denosts
should be required 20 segregate them and invest
Nhem IN a definite and prescribed manner
SAVINGS BANK LAWS.
The report on postal savings banks said:
-Ow years experience has proved clearly that
the bankers Of the country united I'm that they