New-York tribune., 1913-11-14
VANDERBILT BITTERLY
ATTACKS CURRENCY BILL
Even Some Democrats Oppose
1t, but Caucus Binds Them
To 1t, He Says.
SPEAKS AT CATHOLIC CLUB
President of National City Bank
Denounces Administration
for Making of It a
Partisan Measure.

Frank 4. Vanderlip. president Of the
National CITY Bank. in speech at the
Catholic club last night vigorously de-
nounced the administration for turning
the currency bill into partisan measur"
He said that most/of the Republicans III
Congress had been kept in ignorance OF
the contents Of the bill until IT had been
introduced, and that many OF its Demo-
cratic supporters admitted its Deficiencies
but declared themselves unable. owing 10
the rigors Of the party caucus. either 20
criticise or oppose 1t.
1T has been called crude he sald
but it's not Ii shows an understandings
of the economic principles involved nut
a lack of courage and honesty in empodE-
ing them In legislation. II doesn't square
with correct economic principles The
reason for this is that freedom OF
thought. which, in my estimation is OF
! importance equal TO that OF the plI
itself. has been denied the Senate com
mittee by the administration. The ques-
ton we hear discussed in the papers, In
speaking of the deliberations Of the com
mttee ia not Did il approve OF TINS or
that feature of the bill?' but VIII the ad-
ministration permit the committee to
make its views founded on long study
and deliberate judgment. effective?
The question has grown from one or
currency legislation alone to that o.
, whether we are or are not 10 have f'ee
legislation, legislation enacted by the
Judgment of the men we choose for that
purpose. or whether We are merely to
have laws made at the behest of the ad-
mlnistration. whose function II is, not 70
make laws. but to administer them.
IF the Senate Committee were free TO
exercise It's best judgment, ! would not
scruple to leave the subject in its hands
for il has shown grasp of the fundamen-
tai principles involved. but we know they
aren't free to do that.
Il have not. however, abandoned hope.
The judgment of the committee can soiVe
this problem, but only If bodies like you
arouse public sentiment to such pitch
that il will force the administration TO
allow these men to exercise the func-
tions for which they were elected
Mr.. Vanderlip summarized the cur
rency requirements of the country thus.
An elastic currency, 10 dudpt HStif w
| the changing needs of business.
! Some provision for the mobilization of
| reserves.
Some provision for lquidating com
mercial paper.
The creation of a discount market. where
| indorsed commercial paper can be readily
marketed
! His answer to these requirements, he
| said. involved the formation OF a single
! central bank. capitalized at sloO,cOO.0O0. the
! stock TO be disposed of to the people. the
| smallest subscribers 10 get the first
! chance at It, and the dividend to be per
cent
| The management Of the bank would be
+ in the hands of board picked for COM
! petence and TO serve for at least fourteen
| years. no eX-officio members to be al
| lowed; the members of the board would
| by reason OF membership become public
| officials. The stockholders would have
no share i'm the direction of the bank.
| The central bank would issue notes and
would have as many branches as re-
| quired, these branches equalizing each
other. as the deficiencies I'm some could
I be replenished by borrowing. through the
central bank from the surplus in one or
more of the others.