The Birmingham age-herald., 1911-01-22
SAYS ROBIN CAUSED ALL TIE UNEAS|NESS New York Banker Gives Req
 son for Quietude IT DATES BACK TO 1907 Edward I. GaIlicn Says Calm That Hns Pervaded Industrial World Was
 Result of Crooked Dealings
 of Accused Banker
IT DATES BACK TO 1907

Tho most odd and perhaps the most convincing analysis of the existing quiet ude which has been discussed in busi- ness circles for some time was given here yesterday by Edward J. Gallien, ,-as- sistant to Willis c. Nash, president of the Mercantile National bank of New York city, who was the guest for the day of local bankers
 In discussing the calm that has per- Vaded the industrial and business world, he said it was the result of underground business deals that had been carried on by trust companies since 1907 and was due to the manipulations of Banker Rob in whose arrest and trial in New York has attracted wide attention. In speak ing of the situation MT Galien said: Within 4S hours after the state de- partment of banks assumed charge of that string of banking institutions in New York operated partly by Robin, the en- tire financial center of the east heaved a sigh of relief. The beginning of the trouble dates back for the past three years and those financial men who are in daily contact with conditions know tiliS to be liut. A uuInDeT OI OpiiSdliOfS were known to be unliquidated since the troubles of 1907 The truth could not be explained by any fnancer, but there seemed to be disposition to strengthen up until those things that we knew were not clear should come to the surface. The bankers who have been informed of this condition told their customers that they would he cared for br n hold c much as possible. The entire financial center experienced period of uneasi- ness due to the knowledge that a great many matters should and must become clear before affairs would straighten out This disposition on the part of financial heads in New York kept the banks else where back; they in turn kept back their customers. who wanted to go ahead, but who were told to wait awhile. The coun- try did not know what was wrong, and attributing tue unrest to rate cases or railroad inactivity was unsound. The cause was those things hidden by Robin and others In that string of banks
 When the news of that closing up came on the tickers, we all knew that the en- tire trouble had been found, and instead of the market or the banking interest be- ing adversely affected. it positively clari- fed things to such an extent that mat ters were adjusting themselves in 4S' hours. As matter of course MT. Nor. save the Carnegie bank and others from utter ruin, but this was an act in which all who participated found pleasure for the simple reason that the drain man had unearthed the cause of the entire trouble and unrest. ~
 Now that the bankers in New York are relieved, stocks are being turned loose, buying is more active and every thing looks decidedly brighter. All this activity has taken place since the drain in New York was penetrated and the ex- aminers unearthed crooked deals carried on, which we knew would finally come to the surface. With the outstanding ob- legations liquidated the financial interest knows how to act and as a consequence no more backward feeling will be shown. This cause has been felt rgiht here in Birmingham and throughout the south because your cotton and corn crops have been large and the entire industrial sit uation is strong. However no advances were recommended by bankers until the trouble I speak of had been cleared away"
 MT. Gallien attended the meeting ct bankers in Montgomery last week and ir discussing the bankers bill which is to be presented to the Alabama law makers for passage he said:
 "The thanks of the entire business com munity here should be given the bankers for drafting that bill and the business men should stand behind them and get it through. When that bill is a law the banks in New York who have for many years been caring for local banks during certain periods will never again ask any questions.
 ''The financial laws of New York and Massachusetts are the best in the coun- try, or are supposed to be. The Alabama law is similar to those laws.
 we have In New York held down the Alabama banks to a certain restriction for various reasons but if this law is passed there will not be any hesitancy on nishing all the money you need here.
 ''If your banks are furnished with plen- ty of money 1t follows that all trades will improve as they expand and everything will be better. I hope those laws will pass for many reasons