Evening star. [volume] (Washington, D.C.) 1854-1972, 1913-10-10
.SEESLONG DELAY
FOR CURRENCY BILL
Senator Hoke Smith Predicts
Passage of Administration
Measure About Jan. IS.
SUBMITS TO Interview
IN WHITE HOUSE VISIT
Senate Banking Committee Hears
Former Representative Dawson's
Views Today.

| Most significant statements on the cur
rency question were made by Senator
Hoke Smith of Georgia today. in an in
| terview with reporters at the White
| House.
| The three clean-cut features of the
| talk Of the Georgia senator were to the
| effect that government supervision of
| supplemental currency, as proposed by
| the Wilson administration, will be &C
cepted by majority of the Senate. In
Guiding a majority of the republicans in
that body; that the currency bill will nat
be put through the Senate with the speed
that has been expected in high quarters:
that the Senate of the United States
proposes to amend the bill as it sees fit,
regardless Of anybody's suggestions, and
that the passage of the bill by January
Is or later will be victory for Presi-
dent Wilson and the party
THE currency bill will be perfected by
the Senate and will become law said
Senator Smith. Republican senator's will
join with democrats in an effort to make
the bill satisfactory. The bill, when it
does become law. will provide for gov
eminent supervision Of any issue of sup
Elemental currency under the new law.
Perfected, as it will be, / unhesitatingly
predict that a majority of the country
and a majority of the Senate including
a majority of the republican senators,
will accept the principle of government
supervision. The whole thing in the SEN
ate today is a matter of details, and the
Senate will work these out. Government
supervision is absolutely essential.
Big Piece of Legislation.
"The enactment of currency law is
one OF the biggest pieces Of legislation
that Congress has ever undertaken. l
believe in a thorough study of the ques-
ton. The Senate was free to amend the
tariff bill and will feel free to amend and
improve the Glass bill. The bill prob
ably will reach the floor of the Senate |
about the middle of November. and
should be thoroughly debated. II vote
Is taken by January 10 or even later IT
will not be an administration defeat.
ION the contrary the country will ap-
preciate the efforts of President Wilson
to obtain currency reform and will con-
slider a law for reform as having been
brought about through his persistent in-
sistence that such reform is necessary"
In carefully phrased words, as will be
noted. Senator Smith served quiet notice
that the Senate will not be pushed into
hasty action on this bill and that those
trying to rush things might - we'll cool
down while the Senate proceeds to full
fill its functions OF an Independent leg
islative body.
Senator Smith called at the White
House to invite President Wilson to at
tend the National Irrigation Congress at
Savannah next spring, but finding the
President engaged with Attorney Gen
|, ference.
Measure No Party Affair.
AS known friend of the President,
the remarks OF Senator Smith were
taken to indicate that the democrats will
not undertake to make the currency
measure a party affair, and that they
will slowly but gradually force the bill
to a vote, no matter how long it takes.
In the meantime the policy to be pur-
sued by President Wilson remains to be
developed 1t is not impossible that he
will go to the country with some vigor-
Gus speeches on the subject. largely for
educational purposes, and to impress the
people with the Importance OF securing
ment
with a long list Of witnesses still to
be heard. the Senate banking commit
tee today continued hearings on the
| administration currency bill Former
| Represents tive Dawson, president OF
| the First National Bank Of Davenport.
| Iowa, generally Endorsed the purposes
| Of the measure. but suggested a num-
| Der of amendments to make it more at
| tractive to smaller banks.
r.. D. Milliken of Washington. James
G. Cannon Of New York. William Ingle.
| vice president of the Merchants and
! Parker Willis. who acted as expert adj
wiser to the House banking committee
| in framing the bill. and q delegation
of seven Illinois bankers were on the
| committees program
Real Test of New System.
Mr. Dawson urged upon the committee
| he IF
new currency system so attractive that all
| the national banks and the state banks
| will be DESTROYS of entering the system.
1.-The real test Of any system rests in
| whether the banks will go into II" said
| Mr. Dawson. Compulsory membership
| In the system will not work. But the
| system should be made so attractive that
| it."
Crlticising the pending bill. Mr. Daw-
son declared that he believed 1t contain
ed an element of danger because Of the
political control Of the system which
might be derived through the federal re-
serve board
II am not one Of those who believe that
this power would be used by the present
administration" said Mr. Dawson But
you never can tell what the future may
have in store for you. The control Of this
system should be as free from political
control as from the .contro LOT great
country as whole are perfectly willing
to accept government control, or govern
ment supervision, OF the system, but they
demand that the system be divorced alb
solutely from politics.
Fears Of Political Control.
las the bill is snow framed the Presi-
dent will have the power to oppoint four
members of the reserve board when he
comes into office. This is majority OF
the board of seven. and should Presi-
dent desire to control the board. politi-
cally, the machinery would be ait his
hand Each President. as he comes INTO
| office. will have this same privilege
do not see the necessity. either. for hav-
| ing both the Secretary OF the Treasury
and the controller Of the currency mem
| bers of the board.
sThe controller Is the subordinate OF the
Secretary of the Treasury. and this
amounts to giving the Secretary OF the
Treasury two votes In the board instead
! Of one.
."The bill also provides that the Secre-
| tary of Agriculture should be q MEMBER
| of the board This is a mistake. Tor the
Secretary of Agriculture has SO many
| important matters in his own department
| to look after that he would have no time
| to give to the board.
'I would have the stockholders OF the
banks select a minority OF the member
ship Of the board, say two members. Inc
| stockholders Of the banks put up all the
l "a pftal for the aystem. and it Is only