The Hattiesburg news. (Hattiesburg, Miss.) 1908-1917, 1913-12-01
EXCHANGE FEATURE
ALMOST CERTAIN
To Be AMENDED.
BELIEVE BANKS WILL BE ALLOW
Ed TO MAKE CHARGE FOR
COLLECTIONS.
WILLIAMS GIVEN FULL Credit
Threat to Vote Against Bill Unless
Provision Was Eliminated Brought
Other Senators to Time-Pat Harri-
son Congratulated for His Work.
(By Frank d. Lander, Jr.)

Washington, Dec. 1.-While Senator
Hitchcock and the "other" Repupn-
cans have succeeded in "balling up
the currency bill in many of its vital
particulars, it is practically certain
that the exchange features, over which
Mississippi bankers and legislators
have persistently fought, Will be
amended in the interest of the country
banks.
The original Glass bill prohibited
banks from making any charge for col
lecting checks and drafts or other ex- ,
change. F. w. Foote, active vicePres-
ident of the First National Bank OF
Commerce of Hattiesburg protested.
against this provision on the ground
that it would be serious blow to the
country banks of America and great
advantage to city banks and city mer-
chants.
Representative Pat. HARRISON, OF
Mississippi, in connection with Rep-
resentative Aswell, of Louisiana, tried
to have the bill amended before it
left the house so as to allow the coun-
try banks to make reasonable charge
for their services, but their amend
ments were defeated before both COM
mittee and Democratic caucus.
When the bill went to the senate
Senator John Sharp Williams took
the matter in hand and protested
against what was termed an unjust
discrimination against the smaller
banks.
In his efforts to protect the smaller
banks of the country from being made
the unpaid servants of Big Business,
Senator Williams went so far, in per-
sonal letter to President Wilson, as to
threaten to vote against the bill unless
this provision was changed. This let
ter was reported exclusively by your
correspondent. b.. e-i
The Democratic half of the banking
and currency committee in reporting
the bill to the senate says: The
house bill proposed to clear checks
and drafts at par but we propose an
amendment providing that checks and
drafts sent to the Federal reserve
banks may be cleared, allowing the
Federal reserve board to fix the
charge which may be imposed for the
Service Of clearing or. collection rem
dered either by the Federal reserve
bank or by the member banks, and
with a provision that the act should
not be construed to prohibit member
banks from making reasonable
charges for checks and drafts debited
to their accounts, or for collecting and
remitting drafts, or for exchange sold
to it's patrons. IN this way the reserve
banks are not put in competition with
the country banks, but can serve them
and their customers at fair price
This amendment should remove the
very serious objection of many Of the
country banks to the House provision,
which they thought would interfere
with their rights to charge for ex-
change for making remittances."
/, 1t is generally believed here that
Senator williams threat. to vote
against the bill was made for the pur-
pose Of convincing administration
aeaders that advocates of the rights
of country banks were in earnest m
their protestations against the provi-
sions of the Glass bill.
Whether or not this was Senator
Williams purpose the senior Senator
from Mississippi is given full credit
for having effected this, one of the
most important changes that the SEN
ate committee has made in the cur
Nrency bill. Representative Harrison
80 is being congratulated because
amendment for which he fought
n though in vain when the bill was
before the house, is about to become
a part OF the senate bill
Not only does the Democratic half
* TIE oommittee endorse the amend