New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1913-08-15
Caucus Consents to Amend Re-
discounts Section to Preserve
Rights of the Farmer.
BAN ON RURAL SPECULATION
Chairman Glass Assents to
Slight Modifications-De-
bate to Last Two
DAYS More.
fFrom The Tribune Bureau

Washington, Aug. 14.-Under the gen.
eralship of Representative Robert Lee
Henry, who forced the recent investiga-
ton Of the money devil" the insurgents
hemmed In the conservatives on all sides
In the Democratic caucus to-day and viz
tually obtained a promise that the admin
istration currency bill will be amended.
Chairman Glass has hopes of paclfying
the insurgents by striking out three
words" in the rediscounts section Of the
bill. The recalcitrants insist they have
votes to insert language of their own,
making it clear that the farmer shall be
entitled TO currency issues against ware
house receipts covering the staple prod
ucts Of the farm.
Mr. Glass was not In his usual pepperi
mood following the adjournment Of the
caucus to-day. He asserted that "a lot
of bunk is being handed out about the
farmer" adding that If slight changes
were demanded in the language Of the re-
discounts section he would not object
Four days ago Mr. Glass was confident
the bill would go through without any
change whatever.
Want Entire New Section.
I'VE are not going to be satisfied with
striking out three or four Words said
one of the insurgent leaders. I'VE want
this section rewritten in plain language,
preserving the rights OF the farmer"
Instead of adopting the Ragsdale-HenIy
corn tassel currency" amendments, Mr.
Underwood suggested 10 the caucus that
the objections Of the insurgents might be
met by striking out three words of the
bill as drawn. The conservatives have
argued heretofore that the rediscounting
Of paper backed by warehouse receipts
encouraged speculation by the farmer;
that It permitted him to keep his product
of the market and speculate on higher
prices. One clause of the administration
bill. relating to paper which may be re-
discounted by the federal reserve banks.
reads:
But such definition shall not include
notes or bills issued or drawn for the
purpose Of carrying or trading in stocks,
bonds or other securities"
Mr.. Underwood suggested striking out
the words cor other securities" thus al
lowing the farmer TO raise money on his
lating. in the Wall Street sense.
1t is doubtful. however that the in
surgents will be content with this slight
change in language. as the Henryites
claim to have the votes TO rewrite the
section in their own way and provide
specifically for warehouse currency.
The debate in caucus took a wide range
to-day. Mr.. Stanley, OF Kentucky. was
Mortified at the suggestion that a bank
should have the right TO demand Of
borrower information as to what he IN
tends to DO with the borrowed funds.
If the security is good a bank has no
right asking a man what he is going TO
do with the money loaned" said the
Kentuckan.
1T is good thing the gentleman is
not in the banking business, If that is
his theory" said Mr.. Adair, a practical
banker. He wouldn't stay in the bank
Ing business long II he loaned money
without asking any questions"
Clark Gets Points in Banking.
Speaker Clark. unaccustomed to bank
ing methods. sought enlightenment do
you mean TO ell me-" he asked, that
the banker has right TO ask the bor-
rover what he's going 10 do with the
money!" The Speaker was assured that
banks generally reserve that privilege.
He sat down a surprised but wiser
man.
The verbal sparring was constant and
members had little opportunity to make
set speeches. Consequently, the verbose
Democrats further extended the time
limit for general debate. Under the pres
ent agreement the bill will not be read
for amendment until it has been dis
cUssed as a whole for seventeen hours
The Democrats originally started with
an agreement TO debate the measure for
only eight hours, but the warning factions
have barely warmed Up and there will
be at least two more days Of general
discussion"