Martinsburg herald. [volume] (Martinsburg, W. Va.) 1881-1920, 1913-09-20

ate Now Has BIll-Amendn;ents
From Republicans and Progressives
Were Beaten One BY One As they
Were Presented.
WASHINGTON, D. c.. Sept. IS
The Administration Currency bin was
passed by the House and sent to tho
Senate today. To complete the de
tailed consideration Of the measure
and leave nothing hut the formal vote
for today the House sat last ,ight
and concluded the voting on proposed
amendments. No material changes
were made in the BILL
. CURRENCY BILL
The Glass currency bill passed the
house by 81 to 26S. A number of
republicans voted for the bill Three
democrats. Elder, of Louisiana, Gal
loway, Of Texas, and Witherspoone,
Of Mississippi voted against the mea-
sure.
Republicans and Progressives con
centrated their fight on a grist OF
amendments offered to the note issue
section of the bill, which the Demo
Gratis disposed of with rolling Choir
us of noes" monotonously repeated
AT one time 16 amendments proposed
from the minority side of the aisle
were veted down in rapid succession.
The attack was directed principally
at the provision making the Federal
reserve notes proposed to be issued
through the Federal reserve banks
Government obligations. The Repub
leans declared this and provision
making the notes payable in gold
and lawful money" were a return to
,gr,eembaekism" and declared that
Secretary Brayan had written into
the bin the monetary theories for
which he has contended since 1896, !"
Blocks Commercial Business
The committee proposed and the
House wrote into the bill an amend
ment which prohibited Federal re-
serve banks from engaging in loan
transactions with any one other than
the Government. This change was
made to prevent the Federal reserve
banks from engaging in commercial
business in competition with the mem
Der banks, which are forced to sup
ply the capital upon which the re-
serve banks will operate.
No obstructive tactics were resort.
ed to by the opposition to the bill and
tho reading of the measure for amend
ment went along smoothly. A recess
was taken before the evening session
to allow the Banking and Currency
Committee to perfect certain minor
amendments to be offered to perfect
the phraseology of the bill
Problems of note issue and Ques-
tons of whether the Government or
the banks should control the issue of
paper currency occupied much of the
attention of the Senate Committee
during the hearing on the bill yester-
day. William II. Berry, collector of
customs at Philadelphia; John Clafiin,
of New York, and Professor o. M. w.
Sprague, of Harvard University, were
heard yesterday afternoon.
Might Replace All Notes.
Professor Sprague endorsed the
general principles of the bill introduc-
ed by Senator Shafroth. which would
provide for a general issue of Federal
currency to replace all paper money
now outstanding, including the ma
tonal bank notes, the Government
taking over the bonds and holding
them as part security for the cur
rency. Claflin said he believed the
banks rather than the Government
should issue the circulating notes of
the country.
An argument for legislation to di-
vorce transactions of the New York
Stock Exchange from the banks was
presented by John r., Dos Passos, a
New York lawyer, who declared that
present stock exchange methods, re
quiring daily balances. involved enor-
nous borrowing and costly processes
OF settlement. He advocated systems
OF fortnightly settlement as abroad.
That evils are connected with the
operations in the stock exchange is
undeniable" he said "The point is
whether the time has not arrived
when the method of doing business
in the exchange must not be radical
ly changed. Short sales become so
reckless at times that they should
be curtailed They cannot entirely
be abolished, but when they are open
ly and brazenly made the stock exi
change should instantly reduce their
proportions"