The daily banner. (Cambridge, Md.) 1897-2008, 1913-08-25
CURRENCY BILL
CHANGES URGED
Amendments to Be Urged on
Measure By Bankers.
PLEAD FOR CENTRAL BANK
Committee Will Go to Washington
and Urge Desired Changes on Prest'
dent Wilson and His Advisers.

and Urge Desired Changes on Presi,
dent Wilson and His Advisers.
Chicago, Aug. 25.-Bankers from
all parts of the country at the close
Of a two days conference agreed or
a number of important Amendments
to the Owen-Glass Currency bill, nov
pending in congress, and appointed
committee of seven to 60 to Washing
ton and endeavor to have the changes
incorporated in the measure. Meng
bers of the conference expressed thg
belief that the administration forces
in Washington will be convinced bx
the arguments they will present, anS
modify the bill, so that it will be real
sonably satisfactory to the banking
and business interests of the country.
The amendments were presented ta
the conference by a committee on re:
solutions, and were adopted, after
long discussion, by a unanimous vote:
The committee went through the cur;
rency bill section by section, and re
commended more than score OF
changes.
On motion of Luther Drake, sol
Omaha, the following committee was
named by Chairman Hepburn, of New
York, to go to Washington and pre-
sent the recommendations of the con
ference to President Wilson, Secre
tary of the Treasury McAdoo and con-
gress:
James B. Forgan, Chicago, chaiH
man; George w. Reynolds, Chicagos
E. J. Hill, Norwalk, Conn; r. F. Mad
dox, Atlanta; Sol Wexler, New OF
leans; Joseph Chapman, Minneapolis,
and Festus ]. Wade. st. Louis. The
committee will go to Washington II
q few days to begin its work.
A summary of some of the import
ant changes in the currency bill pr6
posed by the resolutions adopted By
the bankers conference follows:
That there should be establishes
one central federal reserve bank. un-
der the new currency and banking
plan instead of IL, and if this is found
inexpedient the number should not
exceed five, with as many branches
as may be required in all parts Of the
country
That membership in the federal re
serve banks be made voluntary in
stead of compulsory on the part q
national banks. the same as provided
In the case of state banks.A
ucclhat.the.. 0lQo1lntso of he s1ll2Ex1 pfae
to the capital stock Of the federal -
serve banks be reduced from 20 tot "
per cent of the capitalization Of the
bank applying for membership.
That in order to remove the control
of the federal reserve banks from po-
litical influence direction of the insti-
tuition be be vested in a board of sew
en- members to be appointed by the
President of the United States, who
shall give due regard to geographical
territory of the country, and three
members to be selected by the mem
ber banks The terms of Office are
fixed at three, six and nine years at
the beginning and nine years for all
members after the first term. The
salary is fixed at $4,000 year with
the allowance for necessary travelling
expenses.
That three of the directors of re-
gional banks shall be experienced In
banking and live in the district.
That the directors of the regional
banks be authorized to elect their own
officers, who, with the federal agent
designated by the federal reserve
board, shall manage the institution.
That the appointee of the federal
reserve board shall not act as chair
man of the board of directors of re-
gional banks, but shall transact the
duties of a government represents
tive.
That the advisory board Of the fed
eral reserve bank be abolished, as un-
der the plan proposed the bank mem
bers would have representation on the
regular board Of the reserve bank.
That the authority Of the federal
reserve board to compel one member
bank to rediscount paper OF another
member bank be made optional In
stead of mandatory.
That the cumulative dividends al
lowed member banks out of the earn
ings on their shares in the federal
reserve bank be increased from 5 to
per cent.
That state banks accepting mem
bership in federal reserve banks be
required to adopt the word national
in their corporate names.
That all government monies be de-
posted in federal reserve banks ex-
cept the per cent. redemption fund
Of outstanding national banks notes.
That federal reserve banks be pro
hibited from rediscounting paper
drawn for carrying of securities other
than stocks and bonds.
That the country banks required
reserve be reduced from Is to IL per
cent, and that not less than pei
cent be kept in the bank vault, not
less than 4 per cent. deposited with
the federal reserve bank and the re
mainder with the correspondent.
That the reserve city banks reQuir
ed reserve be fixed at is per cent. In
stead of 20 and % per cent, as by
the former variable scale. OF this
per cent. is to remain in vault, s pei
cent. in federal reserve bank and
per cent. with the correspondent in
central reserve bank.