Perth Amboy evening news. [volume] (Perth Amboy, N.J.) 1903-1959, 1913-03-14
Hon. Charles N. Fowler Ad-
vocatos Revision of Country's
Currency Laws.
INTERESTING TALK AT
TRADE BOARD MEETING
Nearly 200 Present at Pub
lie Session Last Night
Change the Constitution

Condemning the present banking
laws OIL the country as antique and
not conforming to present needs and
advocating the revision of such laws
to meet the existent requirements
and explaining currency and its re-
lation to business, Honorable Charles
N. Fowler, former chairman Of the
currency committee of the House OF
Representatives, held the attention
of nearly 200 persons at the Board
Of Trades general meeting at city
hall last night. The following
changes In the constitution and by
laws of the organization were adopt
ed: To give the Board of Directors
power to elect candidates to member
ship and to change the meeting days
of that body to the first and second
Fridays of the month.
Mr.. Fowler, whose services were
secured through his friend, Judge
Adrian Lyon. after being introduced
by President Joseph r. Stricken, be-
gan his discourse by explaining how
urgently the country needs reform
banking law. He asked his auditors
to consider how this city has grown
In the last twenty years and asserted
that such development has been
taking place all over the United
States, and that different banking
laws are needed to meet the increas
ed growth. There Is no question
of such Importance that compares
with this, moral questions aside" he
said He stated that every dollar of
capital is affected by the banking
rIn oft a
heart OF ell business.
He impressed his audience with
the fact that banking law once
passed is almost irn,tovable and that
1t is with the greatest hardship that
new legislation aflecting it is put
through. "In 1853" he said, eve
passed our bank act and 1t has not
been changed in fifty years; 1t can't
be changed every year" Continuing
he said; Probably if you pass
bank act now it VIII last for 100
years unless 1t Is SO bad that 1t can
not. What we want to do is to get
the best banking system we can, and
that means the best banking system
in the world"
To get at the fundamental prin-
ciple of the problem he explained the
difference between money and cur
reAcy. What is money!" he asked.
He declared that the only pieces OF
real money In the country are the
two-tiftv. Ave. ten and twenty dol
ar gold pieces. Continuing he
said: what is gold certificate? II
is nothing more or less than bank
checl, and you would not call your
trunk check trunk. A United States
note says agrees to pay, but that is
not money. It's an l. 0. u, prom
ise to pay. A gold certificate or a
silver dollar are not money because
they cannot redeem themselves
He explained that there is gold
standard of the world and that moth
ing. therefore, can be money unless
1t is made out of the real standard
He stated that silver dollar and
bank note are only currency certifi-
Gates.
In coming to his remedy for the
present banking system he adyocat-
ed the converting of book credits
INTO note credits. This has been
done for 27O years in Scotland" he
said. "There is no difference be-
tween a deposit subject to check ana
a note lSSutu ny tuS pdih, ho 40
serted. This he explained would ne
cocc'+n+a . o'e0 In" house system
which is now had In Canada which
he .omnenued hlahly. he said that
in Virginia the note issue OF the
banks is much larger than the
amount of the deposits. Continuing
he said: There Is no difference be-
tween issuing a note and issuing
money. You would not issue me a
cashiers check unless you got some
thing for 1t, would you?"
He explained the clearing house
system adopted by ESQ cities, and
how many of them had examiners
for the city banks, all, he stated,
without law. He called attention to
the ideal banking system worked out
tContinued on page '2.)