The Topeka state journal. [volume] (Topeka, Kansas) 1892-1980, 1909-07-09
BARNES IS READY
viii Meet Bankers Insurance
Question When 1t Arises.
Act on Advice of the Attorney
General.
SITUATION CHANGES.
Now Hinted National Bankers
Want Special Session.
Now Believed Governor Will De-
eide Next Week.

Insurance Commissioners Charles
Barnes was at his desk today and
when asked what he would do about
! regulating the national bankers
insurance company if that question
was checked up to him, he replied
that he would have to defer his
answer to that question until the
application for a permit had been
made to his department. BY that
time the question might have as
sumed a different phase.
The legal publication in connec-
ton with the bankers insurance
organization will not have been given
public notice a sufficient time as by
law provided for some days yet. Al
ter that time the bankers will apply
to the insurance commissioner for
hermit to do business in this state.
If he is satisfied with the wording of
the charter he will grant the permit;
if not he can hold it up and IN
vestigate and in the end deny the
permit for reason. Then the pank-
ers would have to resort to the courts
to compel him to issue their permit.
Mr.. barnes stated today that in all
legal matters in connection with his
ONCE he had consulted with the at
vides that he shall do and that he
had followed that ofHc1aES adVlce:
He and Mr. jackson, he SAID, hao
conferred on many matters 1or sew
eral years in an official way ana hdu
never had any friction nor ola ne
ev0ect that they would have any
trouble in the future. If the attor-
ney= general stands pat on ms & e&S
pressed opinion on the powers OF the
commissioner to regulate the bank
ers' insurance company 1t is hke!y
that Mr. Barnes will follow the at
torney generals advice, although ne
has not said that he would DO so.
If the insurance commissioner re.
stricts the bankers to the payment or
three per cent on deposits in the IN
tarest of safe banking then the ker-
mel of the controversy would appear
to have been extracted from the nut
National Bankers Anxious
Rut today there has arisen another
nbase Of this vexatious question It is
intinated now that the national nank-
ers themselves want a specla SESSION SESSION
in order to have a special state law De
hind their charter for protection as
veil as regulation. President Ames OF
the bankers company is on record as
favoring a special session, but the dl-
rectors Of the company talk differently
about the matter and many of them
beIieve that the national bankers
should regulate their own analrs py
means of their charter. lThey can
change the provisions of this cnarter 70
suit themselves. The effort to bring
troll has been tried and failed. They
were granted the privilege of insurance
of deposits under a charter ana now
thew appear to be asking state protec-
It is a nice muddle and gets more
mixed every day At the beginning 1t
vJae fhe state banks that clamored Tor
nrotection from the national charter
clause which permitted the natlonaI
hanks to pay over three per cent inter
EST On deposits while the state banks
were restricted by the state suar rallIS
law to three per cent
war threatened among the men OF
money and a special session was an
Novy It appears to have shifted to a
noint where the national bankers are
demanding the protection of the state
law via. a special session. This change
of face on the situation is as rapid a.
those made by the famous 1taHah
mummers of the eighteenth century
Attorney General Jackson was quot
ad as being unaIterably opposed to
snecial session al along and had point
ed ont the bank insurance comr' 'sslon-
az a. a solution or remedy for all the
tro,1h1es Bank Commissioner Do1ley
nreached peace by declaring that the
bankers would get together in the
name of the state and humanity. Gov
ernor Stubs was as ret1cent as the
snhinx. Now Jackson is quoted in the
Kansas City papers as predicting
special session. Dolley looks for one
now and the governor is reported TO be
anxious to call one.
Cost Will Not Be Large.
This special session will cost in the
neighborhood of $4,000, but this