Martinsburg herald. [volume] (Martinsburg, W. Va.) 1881-1920, 1913-12-27

me Treasury, the Secretary of Az.
reulture, and the Comptroller Of The
Currency. The Senate dropped all but
the Secretary of the Treasury. The
House conferees readily acquiesced
in the elimination OF the Secretary
Of Agriculture from the board. but re.
fused to allow the Comptroller Of the
Currency to be left off.
President Wilson and Secretary M
Adoo backed the House conferaas and
It seemed for time as if an aeree
ment would be impossible. FINALLY
however, the telephone rang and one
Of the Democratic Senators answered.
it. After short conversation this
Senator returned to the conference
table and said in substance.
President Settles II.
Gentlemen, I've just been talking
to the President. AS we all know he
has followed our deliberations. r
would suggest that we settle this maj
ter by making the Comptroller mem.
Der Of the Federal reserve board
Thus a message from, the White
House at 3 o'clock in the morning
was the real reason why the Comm
troler of the Currency was added 70
the board and the influence of the
administration in the central banking
board increased
The salary of the Comptroller of
the Currency will be increased from
$4,000 to $4,000 in compensation OF
this additional service imposed upon
him. No only is he to be a memttr
of the Federal reserve board, but lie
Is also to serve as member
of the organization committee, whicl.
His to take tie preliminary steps fol
the inauguration Of The rev system
At present the office Of Comptroller
is filled by Thomas P. Kane, Deputy
Comptroller There has been 40
Comptroller of the Currency since
last spring. Why the administration
has reTained from filling The most
important office is one of the myster-
les that Washington has been tryilg
to solve for a long time. While nomi-
nauy the affairs of the Comptroler's
Office have been in the hands Of M.
Kane, as deputy, they have, in fact,
been dictated from the Office of John
Shelton Williams, Assistant Secre-
tary OF the Treasury.
struggle on Question.
There mas been a persistent rumoi
that this salary of the COMPROMISING
is being increased in the currency bill
and the place was being held open so
that Mr. Williame might step from the
Assistant secretaryship suto this
powerful office as soon as the bank
ing and currency legislation was pass
ed This alleged plan, however, was
threatened with failure when the Ser
ate eliminated the comptroller from
the Federal reserve board.
These reports an Mr.. Williams per-
sonality entered prominently into
the struggle yesterday in the confer
ence compnittee. There was however.
an additional and broader opposi-
ton to the plan Of having two Treas
ury officers on the Federal board
This latter opposition was based OF
tn argument that ii the board is to
consist Of emily seven members, ana
the President is to have two Of his
Treasury Department officers as mem
bers ex-oficio, with the privilege OF
appointing two other members OF the
beard in the first two years of his
administration he can dominate this
powerful banking board in the ser
ond year OF his occupancy of the
White House.
In the hands Of some Presidents, il
was argued this would be danger
Gus power and was plainly a move
in the direction of opening the great
Federal banking system 20 politics
The Republican members. from the
beginning, had urged that the Fed
eral reserve board be SO large that
no President could expect 10 control
the majority OF it within his admin
istration But President Wilson was
indstent on having two exotico mems
beers and upon keeping control Of the
Federal reserve board under tas
President.
President Is Victorious.
The President and the House gain
ed victory in having the House pro
vision authorizing an organization
committee, to be composed Of The
ISL Aor;at,ttttvg aNH