The times dispatch. [volume] (Richmond, Va.) 1903-1914, 1913-11-19
Amendments Designed
to Cover Transition
Period Considered.
CURRENCY BILL
NOT YET READY
Work Of Two Branches of SEN
ate Committee Will Be Re-
sumed To-Day - President
Let's Democrats Know He
Opposes Movement to
Secure Adjournment.

Washington. November 1s-Means
OF protecting tho country against any
possible financial stringency when tho
proposed new currency system goes
into effect was considered to-day by
both the Democratic and Republican
wings OF the Senate Banking and Cur
renc| Committee.
In each case amendments TO the ad-
ministration currency bin agreed upon
were designed TO cover Tho "transi-
tion period" while banks arc trans
ferring their reserves 10 the proposed
new Federal reserve banks.
The Democrats adopted change
that would permit local banks to de-
post half the required reserve in the
regional bank In the form of CONNER
cial paper instead of requiring tho
entire deposit to bc In cash An
other amendment would authorize the
Federal reserve board TO MAX. the
new Treasury notes and the present
bank notes eligible for use as part
ment during tho transition period.
The Republicans ana Senator Hitch
cock. continuing their work on :; drart
OF tho bill, adopted n more radical
change. providing that banks need de-
post only l per cent rescrv. when
tho new system becomes effective. an
additional ! per cent 10 be deposited
each six months until the entire re-
serve Of Per cent has been provided
for
Caucus Not Decided On.
The work of the two branches of the
committee Was not concluded to-day
and viii he resumed tomorrow. The
Democratic caucus 10 consider tho ad-
ministration bill probably Will not be
decided upon after the steering com
tniitee,' which met to-day, has had
another conference next Thursday.
President Wilson let Democratic
Senator'S know IN positive terms to
day that he was opposed to the move
mont to secure-a an Adjournment OF
Congress for the week prior to the
opening OF the regular December ses-
sion. While adjournment talk con-
tinued to-day, II was believed tonight
the special session would run through
and merge into the regular session,
December J..
Changes IN the currency bill made
by the Democratic wing of the com
n,i;tee to-day We're the result OF figures
presented by Chairman owen. showing
that the shifting OF the reserves in the
nill. as originally drawn would have
taxed the reserve money OF the couu-
try
The administration forces once more
reinstated the disputed lawful money
provision. The clause provides that
the new currency s.a:i he payable in
gold at the treasury in Washington.
but shall be payable in old or law
ful money" at each regional bank In
this connection the committee strength
ened the gold redemption fund re-
quiremcnts.
Stricken out Again.
The legal tender quality Of the new
notes provided for in the bill, after n
lengthy discussion ard II rather heated
struggle, was stricken out again to-
day The representation of the bank
IN the directoratcs Of the regional
reserve banks was altered 10 allow
directors elected by the member banks
10 be directors or officers OF other finan-
cial institutions.
Farm loans as an investment for ma
tional banks would be authorized in an
amendment written into the Repubii-
can draft Senator Hitchcock and the
minority members amended the bill 70
provide that national banks may invest
one-third of their time deposits In five
year farm mortgages based on 90 per
cent OF tho value of the land mort
gagged.
The Republicans struck out OF the
House bill tho requirement that ma
uonai banks must segrcgatc the capita,
and assets behind all funds held as saw
ings accounts. The nank examination
section OF the bill was revised tho
committee providing that bank exam
lners snail be placed on a salary OF
from $4,000 to $1,000 year. thus elm
mating tho fee system.