The sun. [volume] (New York [N.Y.]) 1833-1916, 1910-04-19

! included in it, platform IN iSOs spetlnc
approval nf the postal savings bank
system. President TAFT has given the
s,heIne his personal support. without
these two influences senate hull 5S76
would now he rrpo~inS peacefully in a
committee room piGeOnhnle.
/ The plan for postal savings hanks
c1cites about a. much public interest
and enthusiasm A. does the scheme for
prohibiting the sale Of intoxicating
| liquors in Hawaii In fact tho interest
/ publicly shown has be"n in opposition
90 tho measure rather than in approval
Il It, Scores 81 petitions have come
! from all parts 81 the country remon-
sIraIina against the passage Of the bill.
and few have been received urging it,
approval.
The ball was dragged through the
senate. where IL encountered strong
opposition: and IL IL an open question
whether more than a few Of the Sena-
tors who voted for II were really in favor
Il IT, II was made party measure and
branded n ono Of the President . policies
/ On those grounds rather than because Of
belief in IL or approval Of IL the bllI passed
Washington dispatches report that "a
considerable ma orityof thu members III
the HOUSE COMMITTEES having the hill in
charge are opposed 90 any postal saw
I ings bank bill at all All Washington
news regarding the matter iBdicatss
grave doubt 81 the merit Of the schefne.
combined with belief that the passage
~ the ball il littl" short 81 obligatory
because 70 the Presidents personal adj
vucacy Of IL and because Of its indor=e-
ment by a platform constructed chiefly
for political purposes.
These grounds are entirely INSULT
cient II there - doubt Of the wisdom 81
Z she scheme as a whole or Of the wisdom
I IT the form IN which the bill can be
! pas-ssi
the senate and apparently the point Of
special difficulty in the House is the tie
To be made Of the money deposited with
the Government through the medium
~ the post Offices There seems no
do,lbt that the bill would have failed in
the senate IL IL had not definitely pro
vided that the funds deposited IL kept
in the immediate neighborhond Of their
r,,,.ipt by the Government. This ob'ig-
atorv lOcalization 81 the fund II the
'-~-ance II the measure. bill pro-
vIding FOR notification Of the laws 81
gravity would - almost a. sensible
Mist - the town and country hanks in
!. -
=" ~ d.pD-ited already have a surplus
81 Iuanable funds which they send 20 the
larger financial CENTRES t-AoatI-e 81 in
sufficient local demand for loans. The
Government deposits on which the banks
must paw interest which they do not paw
- their ordinary dapo-itors will in
cr"l-.. heir -urply-. II would therefore
seem that such banks must either ref'i-"
- ac,,ep' the interest braring deposits
or acrapt them and incr"a-.. their de-
J-,-,'- IN IN" larger financial centres
whsre money j. wanted
Onlv hv pur. farce oan II - claimed
that 'h. increased surplus tho dap0s-
- by The agents of the Government. j.
r.iaIns-i for local 'ISs and The increased
r"mt'auc'.- ~ financial centres mad.
ruly from funds d"p"~,is-d bv priya'.
.r>'"ner-. Such "a proceeding woWld
suggest tho filing IT a bucket with water
from TWO distinct sDlIr''-- and daolsra-
ton that water taken from the bucket
cam" solely from on, 81 those souro,-~
/ The constitutional authority for any
such sohem" a. that PROPOSED i harly
/ d.ul..d by many able authorit - and
seriously questioned bv many Others
| The President himself - apparently IN
! osrrain regarding the cons'itutIunality
~ No" Senate bill but a question of con
-iituiiona!ity dos not az all disturb the
/ few who insist on postal hanks and COM
/ IhIi-Dry localizstiOn II deposits
! system 81 postal banks in this coun-
'ry j. scheme ~ potentially enprTnOrI-
PROPORTIONS and Of far r.aching lnfl,-
"ncs- The lack O' detail and sp.-ciiica-
b 'iDu IN the tending bill ~ alarming II
not appalling. Ths bill provides tina,
| through - post ofiios- tho Government
shall arcept deposits on which thor.
shall be pad psr cent. interest. shall
Immediately re'iepD-ir the funds 80 "a
caiy..d with local banks the banks 20
/ pay not Iss- than 81 Ier cent interest
to The Government. and shall thus con
duct an enterprise ~ vast but entirely
unknown dimensions without knowing
whe'hav the difference between interest
payment and interest charge will serve
~ cover he cost ~ administration and
apparently with Indifference 70 the pos
-ibls effect ~ what NAV be- a huge
; increase in tho volume Of money in
1 circulation.
/ II i clear that tho plan and provisions
~ the ball and its possible consequence
ar. dangerously uncertain.