The Washington herald., 1913-06-16

believes. will. indirectly at least. answer
the charge made against the proposed
currency bill that II is the Aldrich plan
with the teeth concealed President Will
son is committed to the regional reserve
plan. and the trainers of the tentative
bill have met the charge OF Aldrichism
by establishing over these associations a
! Federal board of control, with power 10
prevent the concentration of cash in one
or two reserve associations in times of
! financial stress.
Henry Charge Answered.
As for the charge in Representative
| Henry's statement. that by planning an
| asset currency the trainers of the meas
ure offer Wall Street a market for their
rotten securities" this is answered by
calling attention to a clause In the bill
which prohibits the reserve associations
from discounting stocks and bonds, or.
in fact. anything except prime CONNER
| Cial paper maturing in less than six
months,
AS far as the President is concerned.
most interest at present attaches to his
convictions as to the means of issuing
| and securing government notes. The
| plan at present is to issue them to re-
serve associations through the central
board of control, securing all such issues
by a gold deposit in the Treasury
amounting 10 g l-3 per cent Of the issue.
and further by constituting such issues a
| first lien on the capital stock. gold re-
serves, and all assets OF the reserve asso-
Citations and their member banks.
Whether Mr. Wilson will favor a larger
or smaller gold security is ns known.
The impression is that the plan as eX-
clusively announced in The Herald yes
terday morning in this respect has not
he of he Dras
ident. though Secretary McAdoo ap-
proves II.
President Wilson's attitude toward Mr.
Henry will be made very clear before
many days Mr.. Henry protests that in
attacking the plan for currency reform
at this session. he has taken no step
except what might be expected in view
of his attitude toward the money trust
investigation of last winter. He declares
that he wants a more thorough probing
of the money trust before any currency
legislation is framed. But at this point.
Mr.. Henry gratuitously attacks the bill
as he understands ii to have been
framed. paying his respects TO asset
currency and declaring against the adj
ministration programme.
Mr.. Wilson is not in a mood to mince
matters with the Texan. He will ad-
wise Mr.. Henry, through one medium of
communication or another. to wait until
the bill is finally stamped with the adj
ministration's approval. and then quiet
" take it off and study it. Incidentally.
he will inform Mr.. Henry that Demo-
Gratis must be either for or against the
administrat ton, and that authorized
statements sent throughout the coun-
try and which hint broadly that the ad-
ministration is playing into the hands OF
the Wall Street interests, Will not be
considered the act of a friend from now
on.
In other words, Mr.. Henry will be well
come to the administration backyard, but
he must play the game according to
Hoyle or get on the other side of the
fence and stay there.
This does not mean that the President
feels that any one who opposes currency
legislation at this session is declaring
war on him, but that with Mr.. Henry,
cit isn't what you say, but the 'nawsty
way you say it."
Bryau's Position Unknown.
Every one is wondering where Mr..
Bryan stands in regard to the Henry re-
volt. Whispers that the Secretary OF
State is urging the Texan on do not re-
ceive much credence. But the FEELING Is
that Mr.. Bryan can aid his chief very
favor of immediate currency legislation.
and, when Mr.. Wilson has determined
upon a bill, by urging all Bryanites to
support that measure.
Mr. Bryan has some very positive ideas
as to how government notes should be
issued. So has Mr.. Wilson; so has
Chairman Carter Glass. The last-named
wished the issuing power to be placed
in the hands of the reserve associations
and based largely upon bank notes. Mr..
Bryan. il is understood, wants the gov
eminent to issue notes secured only or
largely by deposits Of gold in the Treas
ury. Between these two extremes,
Owen, of the Senate. and Sec
rotary McAdoo, held out for cur
rency issued through central board
and secured both by gold and liquid
assets of the reserve associations and
their member banks. Secretary McAdoo
is reported to be sitting up nights in an
effort to bring Mr.. Wilson around to-
his point of view. No one seems to
know Just where Mr.. Wilson stands, but
his currency message Is expected to in
form them.