Daily Kennebec journal. [microfilm reel] (Augusta, Me.) 1870-1975, 1910-02-14

amendments drawn apparently for the
purpose Of having money deposited as
savings in government postoffices distrib-
uted through the locality where deposited
in the banks, state and national, and so
deposited as to make it impossible for
the trustees of the fund appointed under
the law to withdraw the money for in
vestment in any other form.
II regard such an amendment as likely
to defeat the law First, because it takes
away a feature which ought to be pres-
ent in the law to assure its constitution
atty. If the law provided that the trus-
tees to be appointed under the law with
the funds thus deposited could meet the
| financial exigencies of the government by
purchase or redemption of the govern
ment per cent. and other bonds, the
measure would certainly be within the
| federal power. because the postal banks
| would then clearly be an instrument of
| the national government in borrowing
| money.
1--WE have now about $700.0O0,0O0 of 2
per cent. bonds, with respect to which We
| owe q duty to the owners to see that
| those bonds may be taken care Of with
out reduction below the par value there
of because they were forced upon nation
al banks at this low rate in order that
the banks might have a basis OF circula-
ton. The implied obligation Of the gov
| eminent the postal savings bank funds
would easily enable it to meet.
Secondly, if the funds are to be arbi-
| trarily deposited in all banks, state and
national without national supervision
over the state banks, and panic were to
come, it is difficult to see how the gov
eminent could meet it's obligations to it's
postal savings bank depositors, because
with every bank suspendng payment the
funds of the postal savings banks would
be beyond the control Of the government
and we should have financial disaster
greater than any panic we have hereto
| fore met
| "A provision that when the money is
not needed to invest in government bonds
| or to redeem the same it may be deposit
ed in national banks in the neighborhood
of the place of deposit, will avoid the
great danger of a panic and will strength
en- a banking system which is an arm OF
the federal government.
Il sincerely hope that before the
measure is hammered into its final
shape it may take on these character.
istics which shall give it constitu-
! tional validity and sound financial
strength and usefulness.
Those who insist upon the elimina-
ton of these two necessary character
istic features of the bill will put the
party in the position where it cannot
hope to escape the charge that it is
| Fol O mac Or
of a postal savings bank act, and is
not seeking, therefore, to comply with
the promise of the Republican plat
form in that regard"
In discussing the promise regarding
railroad legislation and the bill now in
committee, the President said:
There is every hope that the bill
thus introduced, in substantially the
same shape as introduced, will pass
and be enacted into law Indeed this
railroad measure goes further than the
promise of the platform, for, while it
subjects the issue of stock and bonds
to the restrictive supervision of the
| commission and prevents future wa
tering of securities. and forbids the
acquisition by a railroad company of
stock in a competing line, it also puts
very much more power into the hands
of the commission for the regulation
| of rates and it facilitates in every way
the ease of supervision by the COM
mission of the railroads to secure a
compliance by the railroad with the
rights of the public and of the shipper.
| THE bill was prepared by the at
torney general, after a full conference
with the interstate commerce commits
| sion, with the representatives of the
| shippers and with the representatives
| of the railroads, and while it was not
| the result Of an agreement between all
| the parties in interest. it was drafted
with a view to meeting all the fair
objections and suggestions made by
every one of them"
After quoting the platform pledge
regarding the issuance of injunctions,
Mr.. Taft said:
| "A bill to carry out exactly this
promise has been introduced into both
the Senate and House and will doubt
| less come up for consideration and
passage. The bill does not go as far
as Mr.. Gompers and the Federation of
| Labor demand, but it goes as far as
the Republican convention was willing
| to let it go. and it Is so drawn as to
make an abuse of the issuance of an
injunction without notice very i'm
probable.
1T requires that no injunction shall
| be issued without full notice and hear
ing unless to prevent irreparable in
jury, and that in such case the court
shall make finding from the evil
dence adduced pointing out what the
injury anticipated is and why ire
parable, and why there is not time to
give notice; and after the injunction
shall be issued without notice it is
provided that such injunction shall
lose it's force at the expiration of five
days unless a hearing is had
The platform also promised state
| hood to Arizona and New Mexico. and
the bill providing such statehood has
passed the House and has been favor
ably considered by the committee of
the Senate so that there seems to be
no reasonable doubt that this promise
will be fully kept"
The plank on conservation of the
Of "a