The Cairo bulletin., 1913-12-30
Treasury Officials More Pleased if
State Banks and Trust Com
panies More Responsive.
ARE GRANTED AMPLE TINE
TO ADJUST CONDITIONS
Simplicity of Law, Asserts Promin-
ent Senator, is One of Its
Sources of Strength

Washington advices report in
stead of one thousand banks up to
the close of business last night, en-
actly 1876 national banks and 80
state banks and trust companies had
commlricated with the organiza-
tion committee signifying their pur-
pose to enter the new banking and
currency system
Treasury officials. it is said,
would he better pleased il state
banks and trust companies were a
little more responsive. In some
states /, is questionable whether,
unless state laws are changed, inst-
tutiOns operating under state char
tors can become a part of the new
system. 1t was declared that bank
organized under the law of the State
holding any stock IN corporation.
In order TO obtain the benefits of the
new currency system and become a
member a bank must subscribe to
the capital stock of the reserve bank
in the same proportion as national
banks are required to subscribe
The laws of the State of Illinois also
prohibit banks holding charters
from holding stock in other corpora
tions bat It is held that this does
not APP ly to the new currency and
banking measure.
No doubt the slowness of the
banks Of the country in not Quickly
accepting and applying for member
ship in the new currency measure
is due to their desire to first obtain
n comprehensive knowledge of the
workings of the bill. The rostora-
tion Of confidence in the country, 1t
is said, is due to the assurances of
inaction from Washington rather
than the enactment of the currency
bill Finance likes the measure as
Omcnbach S heroine liked her third
fiauee---Lecause she could get moth
ing better. Bankers assert that
there are phrases IN the bill false
in premise, absurd in deduction and
quite impossible in practice.
A Cairo banker in discussing the
subject yesterday said that; Cur
reney reform has become impera-
tive. No banker of standing, of any
sense of responsibility cared any
longer to take chances under the old
order, cared to undergo another
such strain as 1907 presented. One
thing the Owen-Glass bill does---it
renders highly improbable recur-
renee of money panics. Money in
crises can be made plentiful. The
vulnerable part here is that 1t can
be made plentiful in times other
than crises.
"A beginning, however, in the
right monetary direction has been
made. In time---some. day---the bill
of today may be improved to the ex-
tent of doing away with redundant
"regional" banks and of having one
central bank. Simplicity and eff
cheney are the result of refinement
and long experience
Another excellent thing about
the bill is its leisurely effectiveness
The country in general and bankers
in particular are given ample time
to adjust themselves to the new
laws requirements, Which is a sheer
contrast to the tariff bill. This be-
comes effective abruptly Its sud
denncss shocked business.
\ very prominent senator in dis
cussing the measure said:
at is the most constructive
piece cf legislation that any Con
grcss has enacted since the Civil
War. not excepting the Sherman
antitrust act. 1t is as great a leg
islative achievement as successful
operation upon the heart of a hui
man being would be in the surgical
world. for the currency system Is
the heart through which the arter-
les of commerce pulsate.
The basic business conditions IN
this country was never more sound
than at present.
"The currency law can be easily
understood. In its simplicity lies