The Cairo bulletin. (Cairo, Ill.) 1???-1928, 1910-10-05
- ~ y z.ssssFss
BANKERS HAVE
DONATED $4,000
TO AID FAMILIES OF MEN WHO
WERE KILLED IN LOS AN
GELES TIMES PLANT.
P|ERS0N MAKES SPEECH
President Of American BAN ,sso
citation Rcccunts Work of Past
Year--The Postal Saving
Bank Law.

Los Angeles, Oct, 4g-The delegatea
TO the thirty sixth annual canvention
of the American Bankers Association
Numbering about 1,sGU, met here To-
pay and took up matters Of vast i'm
portanee to the banking interests.
The convention appropriated $4,000
for the families Of those who mel
death in the TIMES building.
President pierson, Of the Associa,
ton, today delivered his annual ad-
dress. In part he sail
President Pierson's Address
The past year has been an active
one for our Associations Your Postal
Savings Bank Committee strenuously
opposed The adoption of the law es-
tablishing such institut ons, but in
spite Of its efforts and the active
work Of its interchangeable chairman.
Mr.. Luc'us Teter, president OF the
Chicago Savings Bank, Congress en-.
acted such a law June 25,'~i910.
through the insistence of the admin.
istration that the party's pledge iii
its campaign platform should be car
ried out.
The opposition of our association
was based upon the principle that it
is as improper for the government
to extend its paternalism ami enter
the banking br siness as II would be
to enter the grocery ar any other
business; that there would always be
a temptat on on the part Of succeed
ing administrations to regard the de-
posits so received as revenue rathea
than obligations; that such deposits
| II accumulated to d vast amount auf
| lRayab'e on demand, would Iii any fiji
ure was cr sis, weaken the nation
redit when tbat credit should be
Strongest that while adopted n
other countries. it is a serious ques
tlon whether it's Ultimate result there
WI not be found more harmful thar
beneficial; and further, that with on
country so completely aud effect vel
served by savings institutions in tn
East operated under state laws aat
supervision &C unquestioned stab litv
and IN the West BY savings depart
ments IN National and Sta,c banks
thus offering every facility and pro
lection. such a departure by the ma
tioaal goyernmtnt is entircl s.-rnnee
essary.
While the law, as passed, place.
Its operations n the hands of com
mlttee somewhat as aa experiment. Il
~ reported that there is being ex
erted tie political pressure for ind
yidual benefit pr dicted by our mem
ters and so reprgnant to al prime.
1es Of good goyrnment.
The attitude Of our associaiio,
has been justified in Is opposition t,
tao bank guarantee heresay by tb,
reported failure of that pro7ostio.
In the State Of Oklahoma where i
originated ana it can only be hope,
that Congress viii heed the unani
nous warnings Of our men bers a t
the ultimate consequences Of a osta
savings bank system and at an earl.
| late repeal the present law.
4Durjng the year the failure of tw,
cotton houses and one grain conceri
revealed bill OF lading frauds totalin,
nearly $i0,000.o0O.
| This condition, long predicted b
your bill of lading committee, preclpl
taied a loss OF confidence in thi
document as an instrument of valu
to the extent Of foreign bankers
largely affected through these fraud.
| passed resolutions announcing thei
determination to withhold accepta1e
OF drafts drawn against cotton expof
bills OF lad ng after October 81, T9t,
unless the American banks throue
whose hands they passed would guar
antee both the genuneness of tn
signature Of the railroad agent ol
the bill and the receipt OF the eottol
by the railroad
This stand no doubt was influence,
by the failure of our senate to enac
into law the Stevens b-ll, drawn II
hold issuing carriers liable for bill,
OF lading signed by authorized agents
whether or not the goods had beer
received, which Bill, by a vote sus
pending the rules Of the House wa:
passed by that body earlier III thu
| season.
In view OF these conditions and
tGe necessity for action there have
been numerous conferences between
commercial bodies, representative oi
railroads AMI your h'll Of lading com
Imittee, ana special suh-comu ittee
Of New York bankers. that have re
spltel IN an atrcement upon fern
of validation certificate, which is
now being attached to cotton EXPORT
l 81