The Topeka state journal. [volume] (Topeka, Kansas) 1892-1980, 1912-07-12

world money power. Nobody IS dis :
turbed because of the revival of the !
expectation of gold; nobody is appre-
hensive lest this may foreshadow a /
stringent money market by and by; I
and yet few years ago a movement |
of gold at this time OF the year, when {
the preparations are beginning for the |
financing of the harvest of the late |
summer and early fall, would have
been looked upon as a very serious |
matter.
Financing the Crops.
With the beginning of the new fiscal !
year, it was for many years the custom
of the bankers of New York to pre- |
pare for the heavy demands which
would be made upon them late in the
summer for funds with which to finance |
the crops from the harvest fields TIC
the markets. When Leslie M. Shaw
was secretary of the treasury he began
in midspring to prepare, so far as the
treasury department would be able t6
do that for the movement of the crops.
Governor Shaw went SO far as TO
strain, as many thought, his discre-
tionary powers as secretary OF tins
treasury and it was even said IN our
own chamber of commerce that he mao
managed the treasury department IN
this transaction very close to the nml-
tations of the law. He foresaW, now
ever the danger of a serious conoltlol
in the money markets IN the late sum
mer and early fall, sure greatly to en-
barrass the farmers. He felt that II
was the duty of the treasury depart
ment, which had at its command Vast
amounts of cash, so to utilize TINS cash
as to facilitate the financing OF the
crops That could be done by deposit
ing government funds in national
banks. And the amount of cash tnat
the secretary thought could be MADE
available for this purpose coulo De- III
his view increased if an ingenious Sys-
tenn of bookkeeping were adopted
whereby some of the cash impounded OF
seuuestered in the federal treasury-De-
cause it had been paid in for custom
dues-could be made serVlceaple 10 tile
needs of the farmers
However justly Secretary Shaw may
have been criticised at the time he thus
utilized the treasury department TO tIle
end that there might not be serious
embarrassment of the money marker
when the crops should be moved, VIVA
he did certainly went lar toWdro eilliii-
mating that danger.
This year no unusual preparations
apparently, are to De made III TIC
month of July for the purpose OF as
sisting in financing the crops OF the
summer. That was an annual custom
which began soon after the close o.
the civil war and was maintained un-
til within the last year or Two. II
was the great financing operation VI
the midyear NOW the panhS VI
west and, to a great extent, the oanhS
of the south are abundantly tortlneo
TO meet the demands of the farmers
although to do that may entall tle
withdrawal of large amounts OF none
which these banks have placed on ue-
nosit with their correspondent banks
of New York city.
Had it not been for this momentous
change. itself illustrative of the
superb growth of the west in man
cial strength, we should now hear tnat
the banks of New York were making
such preparations as would enaole
them to meet, early in August ana IoI
some weeks thereafter the demand
from the west for FUNDS Win W ,IS,.o -
finance the crops from the harvest
fields to the markets. The change from
mast to prevailing conditions IN TINS
respect has been one OF the most IN
teresting and important OF the many
striking phenomena which have charac-
+o-izad oI1r national growth in the past
Mr.. J,ehmann's Resignation.
Undoubtedly it is correctly reported
that Frederick w Lehman, soIlcltor
| of the department of justice, mas re
signed his office for the purpose OF re-
\ s11noing the practice of law, in St
Louis. Yet those who have in the past
si1 months talked with Mr.. Lehman
cannot escape the suspicion that tne
statement is only a half truth. And IN
| fact the real significance OF his reslg-
nation is from a political point of view
| far more important than the personal
reason ascribed-namely, that ne wants
! to increase his income by taking UP
| aeain the private practice OF the law
| Mr. I,ehnann's experience as solicitor
| or the department of justice has con-
| WINGED him that any attempt to ad1nln-
| lister the government upon non-paruSan
| lines, so far as the personnel of the ad-
ADMINISTRATION is concerned, VIII always
| prove unsatisfactory. He has said to
| his friends that it has been impressed
upon him very powerfully since he en-
! tered the department of justice that the
| American people expect that the gov
! eminent will be a party government.
| There are, of course, some offices N
| which the principle of notwithstanding
nav be with good reason adopted But
| Mr. Lehman has felt that when the
| neop1e make party choice at national
| elections, they expect that the great
| administrative offices will be filled py
| men in sympathy with that party one
| Of Mr.. Iehmann's friends reports him as
| having said that intimate and delight
| fri as have been his relations with
| President Taft nevertheless never again
will he accept an administrative once
| under a chief with whom he is not IN
/ nartisan sympathy. When President
| raft asked Mr.. Lehman to accept the
| OTTER of solicitor of the department of
| Justice the great lawyer, who mad been
| president of the American Bar assocla-
ton. said instantly, you forget: Mr;
| President. that I an a rock-ribbed
To this President Taft replied that he
| did not care what Mr.. Lehmann's party
| ncIitics was: he wanted a very able
| LAWYER for that office and just the law
yer he wanted he found in Mr. Len
mann.
Complimented, even beguiled, by
these words of the president, Mr..
lehman let what he now believes to
have been his best judgment be over
ruled for he accepted the offer. But
there has never been moment since
he entered the office when he did not
/ feel assured that it would have been
| I,cttnr for him and better for the ma