New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1913-12-07
PROVISIONS OF COMMISSION.

PROVISIONS OF COMMISSION.
II provided for control by bankers, and
did not meet with favor in Congress. II
! should have provided for government
control Then it could not have been
open TO the charge that it was a scheme
to put Wall Street bankers into unre-
stricted control of national finances. In
its banking provisions, however. the AID
rich bill was good. 1t has been so de-
clared by some of the worlds best bank
ers
The Owen-Glass bill is the product or
an unfortunate incident on the one side
and of great ingenuity, ability and indus
try on the other The House committee
began to study the subject a year ago.
and finally, in August reported a Dill
which the House passed on September ~.
Since then the bill has been in the hands
of the Senate committee. and has been
greatly amended. Both committees have
taken advice from numerous bankers,
business men and so-called experts. They
are certainly not open to any criticism on
the ground that they have shirked their
difficult problem or have refused to listen
To wise counsel.
Unhapp!ly, they could not be entirely
open minded. / am informed by United
States Senator that the Baltimore plat
form as written did not declsre against
any and all kinds of central banks, but
simply against the "so-called Aldrich bill
for the establishment of central BANK
and that i'm the copy for the newspapers
the letter so was dropped from the
word "for," so that the country believed
that the Democratic party was opposed
10 any and all kinds of a central bank
FOR" OR "OR"?
Senator owen and Mr.. Glass both as
sure me positively that the word or was
written in the original draft of the plat
FORM II is a pity that some one does not
produce that original draft, but | can
easily understand that no administration
Democrat will be eager TO bring II Tor
ward if ii contains the word FOR IN
stead of "or," for then the raison detre
of the Owen-Glass bill would be wiped
out.
Chairman Glass of the House commit
tee announced nearly a year ago that, In
the opinion OF some OF the members OF
the committee, it was precluded by the
party's platform from considering the ad-
visibility of establishing central bank.
That being the case. ii became neces-
sarv TO invent something else that would
seem TO be advantageous. The Owen
Glass bill is the result.
Briefly. this bill proposes the following:
That the country shall be divided into
, twelve districts, and that each district
shall have its own central bank, to be
known as a federal reserve bank with a
capital of not less than 100000 The
| capital OF the twelve federal reserve
banks combined shall be not less than
slOO, 900.
CAPITAL STOCK.
The capital stock of any one Of these
district banks is to be subscribed and paid
! In by the national banks located within
the district. II any national bank re-
fuses to subscribe to the capital II for
feits its charter and will be compelled 10
sell its government bonds at a sacrifice
in order that 1t may provide for the re-
demption of its outstanding national bank
notes. This, of course, Is a risk that no
national bank would like to assume and
accounts in part for the widespread OPP
position TO the plan among bankers.
Each of these district banks is to do