The Madison daily leader. [volume] (Madison, S.D.) 1890-current, 1913-09-10
CURRENCY BILL
REPORTED BACK
Measure Has Approval Of
House Committee.
GLASS SUBMITS REPORT

%HumcTdtes advantages Nlaimeu TOT
New Law by Democratic Majority
and Asserts That II Will Rectify
Long Standing Evils.
Washington, Sept. 10.-The admins.
tration currency reform bill, as ap-
proved by the Democratic caucus, was
reported to the house from the com.
mittee OH banking and currency by
Chairman Glass. A voluminous re.
port, including lengthy technical
discussion of theory of the bill accom-.
panied the measure, setting forth the
views of the Democrats on the com.
mittee. Representative Hayes of Cali.
fornia presented a report from the
Republicans criticising the measure
and proposing various amendments.
The majority declared that the bill
is intended to bring about necessary
changes in the present banking and
currency system of the United States
and to correct long standing evils that
have had slow and deep rooted
growth. Ii aims at the rectifcation of
the essential defects of the present
system, although II does not seek to
make all the innovations that might,
from an ideal standpoint, be deemed
desirable
Reviewing the arguments against
the so called Aldrich plan outlined by
the national monetary commission and
against all central bank plans sug.
gested the report said:
Gives important Elements.
After looking over the whole
ground and after examining the vari-
GUS suggestions for legislation the
committee on banking and currency
is firmly of the opinion that any ef-
fective legislation on banking must
include the following fundamental ele.
ments which it considers indispensable
in any measure likely to prove salts
factory to the country:
Creation of joint mechanism for
which possess sound assets and which
desire to liquidate them for the pur-
pose of meeting legitimate CONNER
cial. agricultural and industrial de-
mands on the part of their clientele.
ultimate retirement of the present
bond secured currency. with suitable
provisions for the fulfillment of gov
ernment obligations to stockholders,
coupled with the creation of a salts.
factory flexible currency to take it's
place.
To Help Americans Abroad.
Provision for better extension of
American banking facilities In foreign
countries to the end that our trade
abroad may be enlarged and that
American business men in foreign
countries may obtain the accommoda-
tions they require in the conquest of
their operations.
Beyond these cardinal and simple
propositions the committee has not
deemed 1t wise at this time to make
any recommendations, save that in a
few particulars 1t has suggested the
amendment of existing provisions in
the national bank act"
Crediting the present financial sys-
tenn with chief responsibility for the
various panics of the past half GEN.
tury the report sets forth that under
the proposed law the federal reserve
banks to be created under the bill
would have available at least $3.50 0,000,-
900 of reserves in cash.
This" said the report, would Gre
ate a reservoir OF liquid funds far sur
passing anything of similar kind ever
available in this country heretofore.
1t would compare favorahlv with the
resources possessed by government
banking institutions abroad"