The Prescott daily news., 1913-06-14
'HAMlN's C|BBET'
 FUR WALL STREET
REFLECTION OF WILSON WARN ING AGAINST PANIC SEEN
 IN OFFER TO BANKS.
VANDERBILT IS DISPLEASED
President of National City Bank of New York Declares There Is No Need for Emergency
 Currency Now.

New York, June 14.-Wall street is wondering just what was in Secretary McAdoo's mind when he offered $500, 100000 of currency to the banks of the country. Some see mighty big club in his hand, and they are wondering whom he intended to hit.
 McAdoo's offer was considered in Washington as impressive evidence of the administrators willingness to do everything possible to relieve any feeling of uncertainty in the business world. He said he would not hesi- tate" to issue the currency if the banks desired It. The announcement was made, it was said, to make clear McAdoo's attitude. It was later said that the coming moving crops prob ably suggested the offer to the banks
 Most people in the financial district believed that the secretary of the treasury had acted with the full ap- probation of the president, and some
 
 reflection of Wilson's warning to certain groups of financiers that If they attempted to force a panic in or der to embarrass the administration he would hang them as high as Ha- man, fguratively speaking.
 Criticism by Bankers.
 There was some criticism in bank ing circles of the secretary's action, but 1t came principally from certain group of institutions which has, in times past, opposed any effort on the part of the treasury department to give relief to the New York market. Last fall these same institutions were credited with having persuaded Secre- tary MacVeagh to decline to deposit here any of the treasury surplus at a time when money was quoted at 20 per cent; bank reserves were wiped | out, and there was great anxiety | among merchants and business men.
 Frank A. Vanderlip, president of the National City bank and president of the National Currency association of New York, said: There is no need | for emergency currency now. 1 do not want to be looked upon as criticising statement he has made. for we can readily appreciate the motive that | suggested his action, but what we need now is not more currency. Our need is for more capital"
 It was recalled, in connection with | the Vanderlip statement, that soon | after Secretary McAdoo took office he | barred from the treasury department a representative of the National City | bank stationed there to transmit at they came in from other parts of the | country. The National City com | plained that it had been unfairly treated, and number of statements were issued, evidencing dissatisfac. tion.
 In this connection the following which appeared in the Wall Street Journal. published by Dow, Jones & | Co. is rather interesting:
 "HAMAN'S GIBBET
 "Boston.-The turn about in the stock market is not disconnected with politics, or Washington, and the same may also be said of the National City bank entering into the market and discounting millions of commercial pa per at 6 per cent from its accumu lated surplus reserve of s2S,000, 900 be yond it's legal requirements.
 "A wise old man said long ago: All panics come from banks
 "The authorities at Washington had their eye on the National City bank in the piling up of its reserves and the accentuation of a world wide money strain.
 "The announcement of Secretary | McAdoo that he was prepared with | $500, O,000.0 .000 of emergency currency had back of it more than appears or the surface
 'Tt was an announcement to Wal street that Haman's gibbet was ready for people who did not listen"