Evening star. [volume] (Washington, D.C.) 1854-1972, 1913-10-30
MAY CUT NUMBER
Of REGIONAL BANKS
Believed Senate Committee
Will Provide Only Four,
Instead of Twelve.
FIRST PARAGRAPH ONLY
OF CURRENCY BILL READY
Suggestion of Senator O'Gorman
That Night Sessions Be Held
Is Rejected.

That a considerable reduction in the
number OF the regional reserve banks will
be made by the Senate banking and cur
rency committee was apparent when the
committee adjourned for luncheon today.
resolution was pending placing the
number at four instead of the twelve pro-
vided for in the original bill The pend
ing resolution is to place these regional
banks at New York. Chicago, st. Louis
and San Francisco. The committee hopes
TO settle this question before adjourn
ment tonight
Although the committee is consider
ing the number of banks which shall
be adopted, 1t has not yet settled the
question as to whether a central fed
eral bank shall be substituted for the
regional system of the administration
bill. The committee is still deadlocked
over this matter 1t will go ahead with
the tentative framing of the bill, in the
hope that some compromise will be
effected which will permit the breaking
of the deadlock.
While 1t has not officially been stated,
it is understood at the Capitol that the
administration opposes reduction in
the number of regional banks below
eight.
Only First Paragraph Completed,
ing the bill in executive session for
three and half days. In addition to
it's failure to settle the important ques-
ton as to the central or regional sys-
tenn, the committee has completed only
the first paragraph of the bill. In an
effort to hurry along consideration of
the bill. Senator OGorman, suggested
today that night sessions be held. This
suggestion was rejected by the commit
tee.
A regular program was mapped out,
however. calling for sessions OF the
committee from 10 o'clock in the morn
ing until o'clock in the evening, with
an intermission of one hour each day
for luncheon.
The question as to whether the Sec
retary of the Treasury shall be re-
tanned as a member of the federal re-
serve board Is still pending before the
committee, which yesterday eliminated
the Secretary of Agriculture and the
controller of the currency from the
board.
Larger Reserve Board.
The cQmplexion of the proposad federal
reserve board was materially altered by
amendments adopted yesterday, and it
probably will be further changed. 1t
was decided to increase the membership
of the board from seven, as fixed in the
House bill, to nine.
The committee decided to arrange the
terms so that one members service
would expire each year. This provision
is designed to meet the demand that the
service of members of the board he
given continuity to enable them to profit
by their experience on the board.
Regional Banks Considered.
large part of yesterdays session of
the committee was devoted to q discus
sion of the number of regional banks to
be created by the bill if the regional plan
is maintained, but no conclusion was
reached.
The administration supporters in the
committee endeavored to keep the num-
Der as near twelve as possible. but other
members favored four. five or six banks.
It was argued that New York, Chicago
and st. Louis. the present central reserve
cities, would need regional institutions,