The Birmingham age-herald., 1911-11-23
Is Most Interesting Feature of Day Filled With
 Addresses
BROWN SPEAKS OF
 FARMERS NEEDS
Tenth Convention of State Superyis- DTS -Mohundro Elected President-Do Not Indorse
 Aldrich Plan

New Orleans. November 22.-An oper forum was conducted by former Senator Nelson w. Aldrich, chairman of the na- tonal monetary commission, this after noon in the second days session of the Thirty-seventh annual convention of the American Bankers association, in which he answered questions propounded by the experts of the country regarding the pro- posed plan of reform.
 It was the most interesting feature of a long day filled with addresses on differ ent phases of the field problem with which the country is beset. In defending the plan MT. Aldrich proved himself master of the proposed large institution planned by the national commission.
 In closing his address President Frank B. Anderson of the Bank of Gala, at Sar Francisco. said that while he approved the proposed reserve association, he die not think it's hands should be tied by pre- venting it from entering the open market for the purchase of commercial paper te protect it's discount rate.
 Mr. Aldrich took occasion to answer this by stating that the European banking in- stitutions had discontinued this practice and that it was absolutely impossi- ble to secure the enactment into law ol the plan If it permitted the National Re serve association to put commercial pa per in the open market.
 "1t is utterly impossible,'' he said. q think it would be wrong, and my Judg- ment has been confirmed that such plan would prove fatal to the institution
 MT. Aldrich, when asked if the Reserve association could not arrange a tentative geographical boundary for the different \ reserve districts, said he thought such a plan would be adopted by a commission ct later date. that his commission was still engaged in working out details which were at the present more important.
 Imitation of Currency
 As to the possible imitation of currency, Mr. Aldrich said the institution would depend upon the ability and judgment ot the management of the local district and
 stional seetiors. These managers are l1 be selected by the bankers themselves. After a certain amount of bank notes are Issued and when they are not fully paid . by gold they are to be taxed This, he
 
 undue expansion The function of the local association is to guarantee the paper of it's banks. This paper is scrutinized when submitted for redscount.
 Do you think the district association would permit undue expansion in this case?" he asked. We have arranged several limitations as to the Issuance of bank notes. At the present time there is no limitation. We have no laws what xplr prevent pansion or imitation. There is no lIni- tation to discounts. Under the proposed plan a bank cannot have it's paper re- discounted exceeding one-haf of it's capi- tai."
 At the beginning of the afternoon ses- sion Joseph G. Brown, president of the Citizens National bank of Raleigh, N. C., spoke of the needs of the farmers and the benefits they would derive from the na- tional reserve association. The address of President Stuart Patterson of the Vest ern Savings Fund Society of Philadelphia was read in his absence.
 Congressman Fuqua of Louisiana de- clned to address himself to the subject N. assigned to him, Benefits to the Coun- try as Whole From the Reserve Asso- cation.''
 He said inasmuch as he is chairman of the House currency and banking com n,ittee an opinion from him at this time WOuld not De proper. lie Sdlu lndt every person who had plan for the benefit ot the currency problems of the country would have opportunity of being heard II by his committee
 Congressman l.. P. Padgett of the seventh district of Tennessee, member of M the national monetary commission, made N an impassioned plea to keep the proposed H Aldrich plan free of partisan politics and H the possibility of special control II The subject of the address of Frank B H Anderson of San Francisco was The Re M laton of the National Reserve Associa- II tion to the Foreign Trade and Banks and \ the Worlds Financial Center" MT. An VI derson took occasion to ask for free cana N tolls for American vessels through the ' Panama Canal and banking system that would allow competition with foreign countries.
 The delegates with their wives and daughters tonight attended a gala per formance of the French opera, followed by dance in the opera house
 State Supervisors Adjourn II The tenth annual convention of the N National Association of Supervisors c, State Banks adjourned tonight. The A next convention will be held at the same time and place as that of the American Bankers association. whcf probably will meet in Detroit. N t4J. L. Mohundro of Seattle, Wash was elected president of the associa N ton. and F. F. Roberts of Des Moines Ia secretary; R. M. Scammon of New Hampshire, F. Royse of Omaha Neb. and w, l.. Young of Baton Rouge, La. were elected vice presidents. r. F. Bax- ton, state superintendent of banks ol Ohio, was chosen chairman of the ex- ecutive committed l While the association devoted con. siderable time to a discussion of the II Aldricll currency reform plan there wa no effort to secure the adoption of q | resolution of indorsement .I M. Dol. | Icy, commissioner of banking of Kan. sas. who favors the delay of the act;or | by Congress until 1912, offered a reso | tution providing for the election by the associati tion of committee of sever | members with instructions to consilll with the national monetary commission ! or with congressional committee about l the proposed reform plan, After ar 1; hours discussion the resolution was 1 tabled by a unanimous vote In fact MT. Dolley alone voted in favor of the resolution.
 | The association adopted resolution In. which the view was expressed th%t the association had no authority under It's constitution to name such com | mittee as suggested by MT. Dolley, The  | CONTINUED ON FACE p