The Guthrie daily leader. [volume] (Guthrie, Okla.) 1893-1996, 1910-01-08

titled to protection and considerations
Generations have demonstrated a
safe estimate upon bank losses with
just as much certainty as upon other
subjects covered by stable insurance;
just as the family may not have its
physical comfort destroyed caused by
the death of its supporter; Just as
conflagration may destroy buildings
without destroying the owners for
tame; just as many individual losses
may be apportioned over vast num-
hfrtof people so as to be trifling In
I ifs effect, so Should the danger and
/ disaster to thel Individual deposito.
and to the credit OF the community be
averted and minimized by like num-
erous minor contributions, and the
government of the states or nation
can we'll afford TO assume temporary
burdens where the result Is for the
permanent and lasting good of the
people.
In this connection, my dear Senator,
recent experience in Oklahoma makes
it incumbent on me to request that
you confer with the proper authorities
of the National Banking Department
4 In Washington, and advise me upon
the following propositions: #
/ On Decnmher 14th the Farmers
National Bank of Tulsa, Oklahoma.
suspended, and was taken in charge
by the Comptroller. 1t had tied up
some twenty-one thousand dollars Of
money due the First State Bank Of
Keifer Ga nearby village1 The
Keifer bank was a small bank, with
ten thousand dollars capital stock
doing fail business, and in good
| condition. except for this deposit
greater than double its own capital
stock. Our State Bank Commissioner
made inquiry of the Comptroler's agent
as to when the Keifer bank might be
able to withdraw It's balance from the
suspended Farmers National Bank.
The reply was God only knows, and
Judging from the usual delay occasion
ed in liauidating national banks, we
Immediately took charge OF and by
the end of the eighth day, had fully
paid every dcpositor Of the Kolfer
Bank, and are only awaiting the DOS
sible dividends which may be received
from the Farmers National Bank as a
means Of reimbursing the State
Guaranty Fund.
We have sought at all times to give
proper credit and business opportunity
to The national banks Of Oklahoma,
rs well as the state banks Oklahoma
/ is proud of all It's financial institu-
lions, both state and national. and
loes not desire to IN any way limit
sheir proper privileges.
In this connection state banks often
A find 1t convenient just as was the
practice Of the Kcfer State Bank to
carry moneys on deposits as reserves
n other bank balances. in national
banks in Oklahoma. and We do not
desire to interrupt this practice, ex-
cept as last resort, and as a matter
of necessity, but you will recognize
lihat Oklahoma cannot afford to per-
nit its state banks to carry their re
serves or balances in unsecured banks,
where the national government itself
will not carry dollar without ade-
quate security, nor can these state
banks be permitted to have their
balances indefinitely tied up in sus-
\ pended national bank when the prac-
! tice of the Oklahoma state banks is
% pay on demand, regardless OF
whether the bank officers themselves
or the State Bank Commissioner is at
the paying teller's window.
Simplified, the question is: Under
the present national banking law, will
the authorities at Washington point
out some way that the state banks oil
Oklahoma can have security against
the misfortunes of the national banks
with the least degree of inconvenience
Or embarrassment tc the national
banks? This question must oe settled
and settled now believe that the
national banks of Oklahoma are on a
substantial basis equal to the best in
the United States, but no promise to
pay is good unless there is some
meanr Of enforcing it on demand.
Sincerely yours,
C. N. HASKELL,