New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1913-12-07
BANKERS AWAIT
MUNSEY DEPOSIT


Continued from first page.
largest reserve fund-more cash on
hand-than perhaps any other WASH
inrton institution cast by the
sworn statement OF the Munsey Trust
Company Of its condition at the close
of business on October 81, which gives
its cash on hand. lawful money re-
serve" as 1854 60.
The same statement gives among the
liabilities of the Munsey Trust Com
pany individual deposits subject To
check. SI.320.510 81 The report Of me
Commercial NATIONAL Bank OF the same
date shows that bank had cash amount
ing To sI,7oO.75S; the District National
Sank. Sl5S,O0O plus. and numerous
banks had upward Of 100000 cash on
hand.
1t has been asserted, as told IN the
Tribune. that the Treasury statement
quoted was not issued by Assistant
Secretary williams, but that assertion
was made privately, while the state
ment was printed i'm the Munsey paper
here on November - as an official
Treasury statement and has never been
publicly repudiatcd.
In support Of the contention that
Congress has purposed that the office
of fhe Controller OF the Currency
should he Independent OF the Secretary
OF the Treasury and Of his assistants,
and that therefore the course OF John
SHELTON williams in overruling the
Controller constituted usurpation Of
power. IL is pointed out that the law
provides that the Controller OF the Cur
rency shall make his reports directly
to Congress, he being the only bureau
officer in the federal government who
enjoys this privilege. The reports N
all other bureau chiefs are made 10 the
heads Of their respective departments.
and even the heads Of tho several de-
partments. with the single exception
Of the Secretary Of the Treasury, arc
| required To report To the President.
! who may modify their reports as he
may gee TT. and who transmits them,
or as much Of them as he Is prepared
to indorsc. TO the Congress.
Controller Never Overruled.
Attention IL also called to the fact
| that on more than one occasion serious
differences Of opinion have existed be
tween the Secretary OF the Treasury
and the Controller, but no previous
Secretary or Assistant Secretary has
presumed to overrule and direct the
Controller as If he were subordinate.
! 4 notable instance of this occurred in
the Mckinley administration, when Ly-
man ]. Gage, Secretary OF the Treas
ury. heartily favored a form Of asset
currency. Charles q. Dawes. at that
time Controller OF the Currency, OPP
posed the views Of Mr. Gage. contend
ing that currency based on the assets
OF the banks would prove prejudicial 10
the interests of the depositors.
Although this was purely a matter OF
broad economic policy, and in no way
affected the concrete relations OF the
Controller with the national banks
under his supervision, Mr.. Gage so far
respected the wish OF Congress that he
endured considerable embarrassment
rather than seek to impose his views on
the Controller.
Numerous inquiries from minority
stockholders Of the United States Trust
/ 10 ha
Tribune correspondent asking what
compensation the stockholders were TO
receive from the Munscy Trust Com
pany, what were the terms Of the
transfer Of the United States Trust
Company TO the Munsey Trust Com
pany, If anything whatever was to be
paid for the goodwill OF the United
states Trust Company. and urging
that The Tribune exert its influence TO
the end that any investigation by Con-
gress should be sufficiently broad in its
nature to include an inquiry into the
rights OF the minority stockholders and
a development Of the circumstances
which have led to their loss.
So far as Is known to rhe national
banks Of Washington. the Munsey
Trust Company has not agreed to pay
anything for the good will Of the United
States Trust Company 1t has merely.
according to their information, guar
anteed the obligations of the United
States Trust Company, taking over its
assets for liquidation, and agreeing to
turn over to the stockholders any resi-
due which may be left after meeting
all obligations.
Sends to Get Proxies.
What becomes OF the trust obliga-
tions of the United States Trust Com
pany, what may be the standing OF
leases executed by that company. etc.
is not clearly understood II is as
sumed, however, that following a meet
ing OF the stockholders OF the United
States Trust Company these points will
he better understood. The United
States Trust Company has. through its
board Of directors, issued "a call for a
SPECIAL meeting of its stockholders, to
be held at the company's office, Fiji
teenth and II streets, Northwest, on
| January 5, at 4 D.. nj.