Omaha daily bee., 1909-09-16
Laws of States Differ Widely as to
Regulation of Business.
CLEARING HOUSE SECTION MEETS
President Endorses Gold as Only Safe
Reserve for Banks.
BAN PLACED ON "NoTE KTTING'
Trust Organizations Reported to Have
stood Strain Of n Recent
Panic I'm n Most Remark
able

CHICAGO, Sept. 15.-Two great divisions
Of the banking business, the trust COMPANY
and the clearing house. occupied the at
tention Of the delegates to the convention
Of the American Bankers association here
today. Separate meetings of the trust
company section and the clearing house
section OF the association we're held and
the problems peculiar to each were dis,
cussed.
Before the trust company section. which
was welcomed to Chicago by e. A Potter
OF the American Trust and Savings bank,
the principal address was voiced by Daniel
s. Remser of the New York bar, who
spoke on the Post Mortem Administra-
ton Of Wealth."
Strong endorsement OF gold as the only
safe reserve fund for a bank was the
burden of the annual address of T. c.
McDougal, president Of the clearing house
section. Sol Wexler Of the Whitney-Cen-
trail National bank, New Orleans, urged
that the members consider in the coming
year the idea of adopting a uniform rate
of charges for all items Of business
transacted by one bank for another bank
and also suggested that action be planned
looking to the establishment Of Uniform
ity in settling daily c~learances.
Trust Company Section.
In the trust company section the after
noon was spent in discussing problems
relative to trust companies, among which
were The Limitations of the Functions
Of a Trust Company" 1.-THE Duties and
Responsibilities of Trustees Under Cor
porate Mortgages and MORTGAGES as
Investments for Savings Funds of a Trust
Company"
Members from different parts of the
country took different views on most of
the problems, explaining that the laws of
the several states on the questions differed
so greatly that uniformity In practice would
not be practicable.
At the close of the session H. H. McIn-
tosh, president of the Guardian Savings
and Deposit mpa OF Cleveland, o., was
elected president of the section and Oliver
c. Duller. president Of the Wisconsin Trust
company of Milwaukee, Wis, was elected
first vice president.
The following were elected to places on
the executive committee of the sections:
Il. X. Boisot, vice president of the First
Trust and Savings bank, Chicago; John d.
Mckee, president of the Merchants Trust
company, San Francisco; Charles ]. Bell,
president of the American Security and
trust COMPANY WhSnllklOn, II. ~ n. ID.
Golf. president Of the Cleveland Trust COM
pany, Cleveland, o., and Edwin Chamber
lin, vice president of the San Antonio Loan
and Trust company, San Antonio, Tex.
Many of the delegates in the afternoon
visited Gary, Ind, and inspected the steel
works ther> Tomorrow will be devoted 70
sessions of the savings bank section and
the annual meeting of the secretaries of the
bankers associations.
A reception and ball tomorrow night will
be the chief social feature Of the conven-
ton.
Clearing House Examiners.
At the clearing house section meeting
the report OF the secretary of this branch
OF the American Banking association. which
is carrying on a vigorous campaign advo-
eating the appointment Of clearing house
examiners, was read.
THE advantages of this PLAN" the re-
port ran. have been clearly set forth in
many ways. 1t is conceded that the adop-
ton of the plan would put banking on a
higher plane and would be of lasting bene-
fit to the public. The campaign carried on
by the section has certainly created senti-
lnent in favor of this movement and it is
developing day by day.
THE clearing house cities in which ex-
aminers are now in vogue are as follows:
Chicago. Philadelphia, St. Louis, San
Francisco, Minneapolis, st. Paul, Kansas
City and st, Joseph, Mo, the cities of
Philadelphia and st. Joseph having lately
fallen into line.
The section has now under consIdera-
ton the working out Of a plan for a uni
form method OF reporting the weekly ex-
changes by all the associations of the
country and feels confident some system
OF accounting may be evolved which will
be generally put into force.
The section has also started to do all
in its power to suppress the business
known as note kiting' by giving publicity
to this business, carried on by so-called
brokers'"
Trust Companies Firm.
Trenchant paragraphs from the address
Of Edward T. Perine, president Of the
Company of New York, held the at
Continued on Second paQaN