Santa Fe new Mexican. [volume] (Santa Fe, N.M.) 1898-1951, 1913-12-19

Washington, D. c., Dec. 19-Unless
unforeseen obstacles are encountered
the new currency bill will pass the
senate before it adjourns today. The
Democratic leaders had the bill in a
position at the closing moments of
last nights session that they might
have passed it with an hour or two
more of debate.
Settlement of the remaining de-
tails was begun as soon as the senate
assembled. A combination amend
ment by Senators Crawford, Owen and
Nelson broadened the section to al
low national banks to loan on five
year farm mortgages. The amend
ment would permit central reserve
city and county banks to loan one
third of their time deposits, or 20
percent of their capital and surplus
on such security. Senator Nelson
succeeded in getting into the bill a
provision that such banks may con-
tinue to receive time deposits and pay
interest on them, procedure at pres
ent technical violation of tha law.
The Democrats voted down a proposal
by Senator Crawford to prohibit inter
locking directorates in banks in the
new system.
Senator Cummins presented an
amendment to authorize the regional
banks to loan direct to individuals on
proper security, if the banks in the
borrowers community were unable
or unwilling Several Republicans
Joined the Democrats against it and
it was beaten Al to 3
Senator Newlands declared he had
several changes which he wished to
propose to the measure, but said he
would prefer to have the Democratic
caucus first pass on them. He began
an agitation for further caucus of
Democrats.
An entirely new fiscal policy was
proposed in an amendment by Sena-
tor Weeks, but was voted down, A to
40, 1t proposed that the surplus in
the treasury at the end of each fiscal
year should be applied to reducing
the national debt
An amendment by Senator Burton
to deprive the federal reserve board
of power to suspend all reserve re-
quirements was defeated Al to 81.
Senator Bristow proposed that the
board be prohibited from suspending
the requirements as to the gold re-
serve against circulating notes. Sen
ator Root declared that without the
amendment the directors could null
lify the provision written into the
bill last night to check depletion of
the gold reserve.
The senator pressed for final vote
on his bill as substitute for the
house bill, but Senator Burton de-
clared he had several amendments to
present. He then proposed to strike
out the provision allowing the fed,
eral reserve board to authorize the
use of the new currency or the pres
ent national bank note currency as
bank reserves.
Senator Root supported the Burton
amendment, declaring that the new
notes and the present bank notes
were simply promises to pay and
were, therefore, and absurdity as re.
serves.
This is the most preposterous
think have heard Of" said he, "since
Mr.. Micawber paid his personal obli-
cations by giving his note of hand. 1t
provides simply for the use of debts
as security for debts. y
The Burton amendment was defeat !
ed, 40 to 81.
Mr.. Burton then attacked the pro- |
vision allowing members of banks to
deposit as half their reserve in the |
federal reserve bank, paper available
for re-discount. An amendment to /
strike out that provision was defeated
without roll call.
Senator Burton endeavored to pre-
vent the issue of the new currency
in denominations of 81 to 50, but an
amendment to that effect was rejected |
"A to S5.
A final attempt to further strength. I
en- the gold reserve requirements of /
the bill to guard against undue ex. !
pansion of the currency was made |
by Senator Nelson. who proposed to