New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1912-01-06
MERCHANT MARINE HIT MONEY PLAN COMPLETED
Dancer of Centralized Control
Believed AVerted.
RESTRICTIONS ON BANKS
Voting Rights Limited in Cases
of Joint Stock Ownership
Other Changes Made.

Washington. Jan. 5.-The National Mon
etary Commission to-day virtually agreed
upon a provision which, II Is believed, will
prevent the exercise of undue influence on
the affairs OF the proposed National Re
serve Association by any individual, "or-
poration or section OF the country. This
practically completed the work Of that
body
The great fear from the beginning of the
commissions labors has been that the $780,
10000 reserve which 1t is proposed 10 es-
tahlish would be controlled by some fnan-
cial centre II was at first believed that
this danger had been avcrted by the pro
hibition Of the transfer of stock and other
restrictions. hut lately there was the aU-
prehension that holding companies or other
corporations, or even individuals, might
gain an undesirable sscendancy through
the purchase of stock in banks comprising
the association.
Representatives Vreeland and Weeks and
ex-Representauve Bonynge especially have
pressed this point and at to-day's meeting
presented a proposition which proved &C
ceptable. II would restrict the voting
rights Of hanks in cases in which indi-
viduals or corporations own stock in more
than one of them. The effect of this pro-
vision would be to limit or prevent voting
by banks owned or partly owned by one
stakeholder or one set of stockholders. 1t
is in line with the effort Of the commits
sion TO avoid the possibility of centraliZing
the power to frame the policy of the re-
serve association. IT is also expected TO
meet the criticism that the association
might be controlled by such an important
centre as New York City
Fifteen Reserve Districts.
The division OF the United States into if
teen branch reserve association districts
also was made 10 prevent Capitalization.
These districts will be distributed as fol-
lows: One in the New England states; two
in the Eastern states Of New York, New
Jersey, Pennsylvania mad Delaware; four
in the Southern states, extending from
MARYLAND to Texas; four in the Middle
Western states, and four in the Far West
ern and Pacific Coast states, west OF the
Missouri River and north Of Texas The
result of this distribution will be TO give
the Southern and Western and Pacific
states a proportion of control far in excess
Of their banking capital
The commission recently made numerous
changes in the composition Of the board Of
directors Of the reserve association. There
are to be seven eX-offiCio members, instead
Of six, the Secretary Of Agriculture being
added to the list, and only nine members
instead of twelve who are not bankers, the
other three being transferred TO the list 10
be chosen BY the voting representatives OF
the various districts, which is enlarged
! from twelve to fifteen.
The commission will meet again to-mor-
row, to add the finishing touches to the
report which, it is understood, Will be
| ready for presentation to Congress Tues
| day. 1t will he presented in the Senate BY
| Mr.. Burton, Of Ohio, and in the House bJ
! Representative Vreeland, of New York.
| In the hope Of eliminating politics from
/ the question, the bills carrying the Aldrich
plan into effect will not be pressed before
the Presidential election or at the present
session of Congress.