New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1913-12-23

tndt III hulHOIlbins tnt IItsiutll W
name the Federal Reserve Board Con
gross was placing i'm the hands Of the
Executive a power greater than that
ever given to any President
Work Of the Conferrees.
In a statement accompanying the re-
port Mr.. Glass made the following ex-
PLANTATION NJ the conference agreement:
The House conferrees restored the Sec
rotary OF Agriculture and Controller OF
the Currency to the organization commit
tee. They also restored the Controller OF
the Currency 10 the Federal Reserve
Board. giving the President power to APP
point FIVE members for ten-year terms
instead OF six with six-year terms
The House conferrees struck out the
provision OF the Senate bill authorizing
domestic acceptances and the so-cslled in
suranCe OF bank deposits provision.
The House conferrees threw out tn"
Senate provision permitting federal re-
serve notes TO he used as reserves in the
individual banks.
THE House inserted a provision rcquir-
ing that the net earnings going to the
government should be applied TO the gold
redemption fund or to the reduction Of the
bonded Indebtedness OF the United States.
The House inserted q provision requir
ing that branch banks shall be operated
by boards Of seven directors having the
same qualifications as directors ~ the
federal reserve banks. four 10 oe appoint
ed by the parent bank and three by the
Federal Reserve Board
"The House altered the Senate reserve
features so as to extend the transition
period from two to three years. as was
provided IN the House bill. The House 50
| altered the Senate's reserve provision as
10 require that at least one-third OF the
reserves " country banks should he held
| in the vaults Of the local bank whereas
the Senate provision permitted all the re-
serve to he held in the vaults OF the re-
serve bank.
The House conferrees practically re-
stored the collection feature relative 10
| checks and exchanges.
| "a new section on bank eXanina tons
was written, emitting some OF the objcc-
tonable provisions put I'm by the Senate.
| The House conferrees so amended the
! Senate bond provision as to require the
retirement for a period of twenty wears
OF about s3tOCcocoo OF the bond-secured
| national bank notes, whereas the Senate
amendment did not provide for the retire
mont OF more than sl25 .o00ooO.
Tho House conferrees threw out the
provision prohibiting directors OF the fed
ersl reserve banks, Glass G, from being
stockholders OF any bank. and practically
| restored the House provision requiring
directors Of this class TO be selected from
a list supplied by the Federal Reserve
| Board.
THE House conferrees practically re-
| stored the House restrictions In the mat
ter OF requiring one federal reserve bank
70 rediscount for another federal reserve
bank.
THE House conferrees limited the de
nominations OF the notes to be issued &c
3 minimum. striking out the 81 and 3.
provisions OF the Senate, which It was
contended would cause imitation.
The Senate provision fixing the number
OF banks at not less than eight and not
J more than twelve stands. as against the
| House provision making the number no,
| less than twelve.
There was a compromise on the mini
| mum capital the Senate bill requiring
| &c 900 900 and the House bill s5,0oo,00o. The
CAPITAL was finally fixed at 100000.
"The Senate provision striking the Sec
retarv Of Agriculture off the Federal Re-
serve Board stands
THE Senate method OF balloting fol
directors was retained.
THE Increase OF gold reserve beyond ths
note issues 20 10 per cent with a tax OF
per cent on all amounts between 30 and 90
stands.
| THE method OF raising the capital Of
the federal reserve banks on capital ant
surplus OF member banks, instead Of OF
| capital alone, was retained in the Senate
amendment.
THE increase OF salaries OF members
of the Federal Reserve Board from $1,000
to $1,000 Is retained.
There were several hundred alterations
in the text Of the Senate amendments
After waiting patiently until almost Il
o'clock tonight the Senate abandoned
hope Of acting on the conference report
and agreed TO take II up tomorrow morn
ing at 10 o'clock and vote on it finally not
later than 2:So o'clock.
compromise was finally reached OH q
vote at 2:9o o'clock. That there might be
no occasion 20 wait to receive the report
| from the House tomorrow the Senate
took recess until Has o'clock tonight,
assuming that the House would complete
its task by that time and send over the
bill. an assumption which proved to be
we'll founded.
When the measure was received from
the House the Senate promptly adjourned
until tomorrow