The Washington herald., 1913-11-25
SENATE Opens
FISCAL DEBATE
Chairman Owen Makes Pre-
liminary Speech on the
Currency Bill.
NO ADJOURNMENT TODAY
Oklahoma Member Closely Follows
Report of the Committee-Hiteh-
cock to Follow.
NO ADJOURNMENT TODAY

The first speech opening the currency
debate in the Senate was much shorter
than had been expected. Chairman Owen
talked for a little more than an hour.
following closely the lines of his report
to the Senate. At the conclusion Of his
speech he formally offered the bill as a
substitute for the Glass bill.
Senator Hitchcock of Nebraska gave
notice that he would address the Senate
today in reply to Chairman Owen, ami
II is understood that Senator Shafroth
probably will be the next speaker. The
Senate after considering the matter in
formally, decided that that body would
not adjourn today on account of Miss
Wilson's wedding.
Secretary McAdoo came upon the floor
OF the Senate yesterday and took a seat
on the Democratic side. and heard Sem
ator Owens speech. The Senator from
Oklahoma was not interrupted to any
extent, but when he had concluded sew
eral Senators submitted inquiries. Sem
ator Cummins inquired about the sec
ton In the bill inviting State banks to
enter the regional reserve associations
as members
Mr. Cummfns expressed the opinion
that the statutes Of most of the States
would make IT impossible for a State
bank to comply with the requirements
OF the bill necessary to become a men,
Der OF the reserve association
Participation of States.
Senator Owen admitted that the stat
ute of many of the States had raised
barriers against the entry of State banks
into the monetary plan, but added:
I'VE have opened the doors as wide
as possible in the hope that the State
banks may come into the system. But
II they fail to do so, the membership
of the national banks alone will be a
guarantee Of the success OF the plan.
Chairman owen charged in the course
of his speech that national bank In
Kansas City had been compelled to close
its doors a few days ago due to run
caused by circular published and circu-
lated by the waters-Pierce Oil Company.
After the bank had paid out SIS, 10000
to depositors in an effort to stem the
tide created by the run, it FELL said
the Senator. Under the conditions
created by this bill. this failure would
have been impossible. AS a matter of
fact, the bank should never have failed,
because it has met all demands, re-
opened its doors, and is now a going
concern and very successful"
Senator Thomas of Colorado interrupt
ed to say that the same oil company
was reported to be backing one OF the
factions engaged in the, Mexican revo-
luton.
panic of 1907 was manufactured
Il cannot believe that it was an acci-
dent" said he The result was part of
a concerted plan by which few men
enriched themselves at the expense of the
nation and administered a political re-
buke to the administration then in pow
er."
The Pajo Money Trust investigation
disclosed that 100 mep dominated the con-
sum, equal to one-third of the entire ma
tion's wealth A handful of men exer-
cised absolute commercial supremacy
over the country, and could shake its
foundations at their will.
Chairman Owen condemned the central
bank plan. He declared that the Baltt |
more platform utterance on this point had
been garbled in the Democratic campaign |
handbook He explained that the plat |
form opposed the Aldrich central bank |
plan, .'or the establishment Of central
bank" while the handbook substituted |
the word for" instead of the word
or" thus giving the impression that the
Democratic party was committed TO some
sort of a central bank scheme.
Fight Banks Enough.
Senator owen went on record in op-
pc sition to twelve regional reserve banks,
declaring that that number was too many,
and that eight would be sufficient to pro-
vide mobilization of reserves.
In concluding Chairman owen appealed
to Senators to hasten the consideration
of the bill. Bankers, he declared. were
guarding their reserves and strengthen
ing them because they did not know
what to expect from Congress. He said
he hoped that differences might be recon-
ciled as promptly as possible. He re-
peated the warning that it was all
important that Congress act speedily with
the legislation.
In his opening speech, the chairman
attempted to do nothing more than ex-
plain the bill, and he will be heard from
later in the debate. He followed closely
the outlines of his report submitted in the
Senate Saturday.
At the conclusion Senator McCumber
expressed the opinion that the currency
legislation was an imitation" measure
and inquired whether Chairman Owen
and his colleagues had any plan for re-
firing the imitation, after il had satisfied
the emergency which called 1t into ex-