The Birmingham age-herald., 1912-01-06
NEW PROV|S|ON|N
 THE CURRENCY PLAN
Will Prevent Exercise of Undue Influence
 By Clique

Washington, January 5.--The na- tional monetary commission today vir-
 tually agreed upon a provision which, it is believed, will have the effect of preventing the exercise of undue infiu- ence upon the affairs of the proposed national reserve association by any in- dividual. corporation or section of tho country. This practically completed the work of that body.
 The great fear from the beginning of the commission's labor has been that | the $500 .oo0 reserve. which 1t is proposed to establisil, would be con troIled by some financial center r was at first believed that this danger
 has been averted by the prohibition of the transfer of stock and by other re- strictions, but lately there has been ap- prehension that holding companies or other corporations, or even individuals, might gain an undesirable ascendency through the purchase of stock in banks comprising the association.
 Representative Vreeland and Weeks anG former Representative Bonynge especially have pressed this point and at today's meeting presented a proposi- ton which proved acceptable. It would
 restrict voting rights of banks in cases in which individuals or corporations own stock in more than one of them, The effect of this provision would be to limit or prevent voting by banks owned or partly owned by one stock holder or one set of stockholders. IL is in line with the effort of the com mission 10 avoid the possibility of cen- tra1izing the power to shape the policy of the reserve association It alsok,s expected to meet the criticism that the association might be controlled by such an important center as New York City.
 The division of the United States into 15 branch reserve association dis tricts also was made to prevent central ization. As determined, these districts will be distributed as follows: D. One in the New England states, two in the eastern states of New York, New Jersey. Pennsylvania and Delaware; four in the southern states, extending from Mary land to Texas; four in the middle west ern states, and four in the far western 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 coast states proportion of control far in excess of their banking capital
 The commission recently made nu- merous 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 sec retary of agriculture being added to the list and only nine members instead of .12 who are not bankers, the other three being transferred to the list to be chosen by tine voting representatives of the various districts, which list is enlarged from 12 to ,.
 The commission will meet again to- morrow, to add the finishing touches to the report, which Is understood will be in shape for presentation to the two houses of Congress Tuesday l t will be presented in the Senate by senator Burton of Ohio and in the House by 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 prior to the presidential elec tfon or during the present session of Congress.