The Democratic banner. (Mt. Vernon, Ohio) 1898-192?, 1911-12-22

currency system is near enough to be
taken seriously by the country. The
Aldrich monetary commission is hold
ing daily sessions. Banks favorable
to the scheme are bringing what pres
sure they can on the members of both
parties to get them to view the Aid
rich idea favorably. A million dollar
fund is being raised to finance cam
paign in support of the proposition.
Ex-senator Aldrich processes to be-
lieve that he will be able to rush
bill inaugurating the Central Re.
serve association" through at this ses
sion of Congress. The fact his idea
! is looked upon with disfavor and alarm
by the small bankers and the people
of the country does not discourage
him. He has passed joker-laden tariff
bills for the trusts in the past in the
very teeth of the opposition of the en-
tire country Apparently he thinks he
can do the same thing with the cur
rency plan, which he feels would be
fitting crowning glory to his achieve
ments as statesman. But he may be
disappointed, as he is reckoning with
out the progressive Democrats and Re-
publicans in both Houses who stand
ready to begin a campaign OF educa-
ton of the people to the tremendous
menace Of his scheme, at the first OPP
portunity that offers.
Another Aidrich Joker
One feature of the Aldrich currency
plan which has been largely over
looked, is so characteristic of the auth
or that 1t may discredit the whole pro
gram. 1t virtually permits the cen
trail reserve association to discount
railroad and other corporation securi-
ties.
| This is one of the concealed jokers
in the Aldrich plan. To mislead the
public, Mr. Aldrich proposes that the
central association, as he calls it, shall
discount for banks any commercial pa
per properly endorsed by the district
association to which the bank belongs.
In his public discussions he mentions
no other form of discounts than com
mercial paper. But there is in reality
this added provision: That the central
association shall discount the direct
obligation of any bank, upon a GER
tificate from the district association
that the bank seeking this discount
has deposited with the association Sc
curities satisfactory to the assocla-
ton, which Will be dominated by Wall
street banks. tsnfetTF SgtGH
The profits the banks can make on
straight commercial paper, which has
value of it's own, are restricted tc
legitimate profits. But corporation Sc
curities have chiefly u manufactured
value, and the Aldrich plan would en-
:, able banks loaded down with undigest
ed securities, put out from Wal
street. to draw good money from the
Central association by depositing these
securities with the local association
This is distinctly an Aldrichesque pro
position.
The Presidents Message
The only definite thing in Presiden
TalHs message to Congress is his at
tempt to prove that the farcical Tobac
co Trust decree is most excellent en-
forcement of the Sherman anti-trus
. law He would make the people be
lieye the Tobacco trust decision prac
ticnlly solves the trust problem. HC
complacently assumes that this deci
sion IS certain at some indefinite per
iod to restore competition, and softer
the evils of Illegal monopoly if it does
not indeed completely eradicate them
Once again, therefore, the Presiden
is found advocating in message e
Congress a cause that Is not popular
with the people, for the merest tyro ii
the study of trusts recognizes the to
: batco trust "dissolution" as a victory
for that monopoly, That even Wal
street so considers it is evidenced by
the fact chat the securities of the trus
are higher after the dissolution" than
before
The punishment indicted upon The
> American Tobacco company for be
, ing in existence In violation Of tn,