The Fargo forum and daily republican. [volume] (Fargo, N.D.) 1894-1957, 1913-11-05
n. I. Bankers Give
Views on Currency Bill

! home and abroad. This, coupled with
free trade and reduced revenue,
means a glorious wake and a gorge
Gus funeral.
j. j. Nierling. president, Citizens
National bank, Jamestown, N. D.: II
consider the currency and banking
bill now pending especially detrimen-
tai to our country banks, compelling
them to maintain the large reserve
in Federal bank, without voice or
choice, which at no time can be util-
lied as an operative credit. as a rule
not being in position to meet the re-
quirements Of commercial paper. This
will compel such banks to maintain,
in addition, their reserve correspond
ent bank for such credit that may be
required from time to time, CORE
spondingly with drawing funds from
circulation in respective localities.
Should the bill pass without further
modification, I fear many national
banks will convert into state institu-
tons.
Many other SERIOUS objections could
be cited would space permit.
Returns Not Large Enough.
c.. D.. Lord, president, Bank Of Park
River, N. D.; 1 am in favor of some
currency legislation at this time. I
approve of the present measure in
most respects but think the returns
on invested capital should be moro
than 5. per cent; that the board of d.
~rectorS should consist partly of bank
ers, and that reserves need not be so
high. $500.
Satisfied With Bill.
II. S. Hunt, cashier. Farmers Ma
tional bank, LaMoure, N. D.: n
currency measure which recently
passed the national house of repre-
sentatiVes and which Is now before
the senate, should speedily become
our national currency and banking
law.
This is not saying, however, that it
is d perfect measure at all. But it is
agreed by our ablest financiers that
its fundamental principles are sound
and right and that it embodies the
latest and best financial methods as
worked out and applied to our pres
ent-day intricate and varied m
cial system.
For years and years there has been
constant agitation for currency and
banking reform, and none have. been
more insistent for this reform than
the bankers themselves. Commissions
have been chosen and at great expense
have visited foreign countries and
studied their systems, and time and
again schemes for the reformation Of
our currency and banking avs have
been proposed. Until now nothing
LdItSIple IldS IfldteTldl1Z6U.
| believe that all bankers should
lend their influence in favor of the
enactment of this measure and then
tremendously aid in it's, administra-
tlon. All laws nowadays are good or
bad according TO the way in which.
they are administered. The objection
able features of the proposed meas
ures can beA and no doubt will be,
largely circumVented by just and wise
and practical administration.
Steele Has Objections.
H.. II. SteeleS tpresident, First Ma
tional bank, Mohall. N. D.: Replying
to your circular letter on behalf of
the bankers association and in regard
to the opinion of country bankers up
on the Glass-Owens currency reform
bill.
am opposed to the scheme as pro-
posed for the reason that I dc not
think the remedy meets the condition
and gives d reasonable assistance to
the country affected by the bank, VIZ:
1t will require the country bank to-
, take 20 per cent of it's capital out OF
ITS business and invest it in the CAPT.
tai stock of the reserve bank at not to
exceed S per cent interest. "
Further, it will require the country
{ bank to keep reserve with the federal
, reserve bank instead of with the city
bank as at present, and thereby take
the reserve deposits Of the country
! banks from the use of the city banks,
VINO in turn now use it to loan back
l to the country banks in times Of
need.
1t seems to me, that the legislation
that is needed should be such as
{ would leave the system as far as pos
: slbie as 1t now stands. and providing
for elasticity of the currency to the
national banks and such state banks
as would qualify, by allowing them
to issue emergency currency and re-
discount under. restrictions, their bills
receivable to a federal bank. Said
federal bank to have the power to
issue greenbacks for such purpose,
:. Provision being made by tax upon
> such emergency currency in such a
. rate as would insure it's retirement
, at the earliest possible date.
The provisions of the Glass Owens
bill as to bills receivable of a bor-
rowing bank is such that very few of
. the northwestern banks would be able
e to furnish, viz: so to 100 day maturi-
S ties. @3,
The most OF these banks make loans
due October to Dec. 1 each year
the only time when there is any
money In the country to pay with.
Should the bank need assistance in
Y the early part OF the year, and Its
n paper or bills receivable were sc
per cent due in the fall, where would
it be able to furnish the required col
I lateral to benefit blythe democratic
programme?
4 Benefits Fasteners.
TIL Lewis .Fs Crawford CASHIER Intege
n.