The Birmingham age-herald., 1909-09-18
Postal Savings Bank, and Guarantee Are Condemned
CENTRAL BANK ADVOCATED
Bankers Declare for Greater Cooper ation Between National Bank Officials and the Officials
 of the Government.

Chicago, September 17.-After five days consideration and discussion of financial problems of greater or lesser import, the delegates to the thirty-fifth annual con vention of the American Bankers asso- citation today selected Los Angeles as their next place of meeting and adjourned until the fall of next year.
 The convention condemned postal saw ings banks and legislation guaranteeing bank deposits.
 The idea of the establishment of a central bank was advocated by many. Different groups of bankers in the section meetings came out strongly in favor of permitting national banks to establish separate savings banks departments with funds segregated from the other depart ments of the bank and savings deposits specially protected.
 A resolution pledging the association 10 seek legislation looking to the establish ment of such segregated saving depart- ments failed of passage today and was referred to the currency commission for consideration.
 In the opinion of some of the officers, one of the greatest results accomplished was the awakening of the interest in the need of cooperation between the comp troller of the currency, the federal bank examiners, the state bank examiners, the clearing houses and the directors of bank ing institutions on the careful and in- telligent examination of banks, both na- tional and state.
 The need of constant vigilance and ex- actness in bank examinations was the burden of address by James B. For gan of Chicago today in which he de- clared his perfect accord with the plea for co-operat ton in bank examination made by Comptroller Murray earlier in the convention.
 The movement for the establishment of uniform bills of lading which would be safe as negotiable instruments re- ceived impetus from the convention and strong indorsement of the necessity of an ample cash reserve in banking in stitutions was voiced.
 Without dissent the convention adopted the following resolution regarding the postal savings bank problem:
 Resolved That it is the sense of this association that we should condemn in unqualified terms the proposition for the establishment of postal savings banks or any other system by which the govern ment enters directly into banking re- Iations with the people
 Resolved. That the American Bankers association Is opposed to any financial legislation based on the argument that 1t was party pledge and should be re- deemed.
 Resolved, That we believe the proposed plan to invest postal savings bank de- posits to the extent of S6, GOO, GOO or ST, ,O00,- 00O in United States bonds simply to main tain such bonds at par is unsafe and would lead to lack of confidence In our national credit"
 Without opposition Lewis E. Pierson of New York, former vice president, was elected president of the association and F. O. Watts of Nashville was made first vice president, being advanced from the chairmanship of the executive council.
 Secretary Fred Farnsworth of New York, Treasurer P. c. Kaufman of Ta- coma, Wash, Assistant Secretary w. G. Fftzwilson of New York and General Counsel T. B. Patton of New York were reelected by unanimous vote
 The 1910 convention will be held between October 15 and November 15