Evening times-Republican. [volume] (Marshalltown, Iowa) 1890-1923, 1914-08-05
FINANCIAL CRISIS
PASSED BY ]. 5.
BANKS RECOVER FROM EARLY
PANIC AND STABILITY IS
ASSURED.
PASSAGE OF EMERGENCY
BILL ENDS ANXIETY
Secretary McAdoo Says There Need Be
No Fear-Much Gold Now in Ma.
tionaI Sub. Treasures - Government
Preparing to Disburse New Currency
Issue.

| Washington, Aug. 1.-THE financial
crisis of the United States incidental to
the European war has been passed
successfully and banking conditions
are rapidly returning to normal.
! Reports received by the treasury de-
I partment indicated that banks in all
/ parts of the country are paying out
currency freely and making the ordin-
airy domestic loans without any trouble
/ or delay.
| The amendment to the Vreeland-
Aldrich emergency currency act was
sent to the president this evening and
! is now q law Banks all over the coun-
| try are making inquiries ior this cur
! rency, but SO far the actual demand
has not been large.
| The New York subtreasury paid out
! about S10.000,000 of this currency to the
! bankers committee in that city today.
! but reports from Chicago indicate that
| there has been no demand for the new
notes there
! The next step to protect the credit
| Of the country will be the organiza-
ton of the new banking system under
! the direction of the federal reserve
! board.
Secretary McAdoo declared tonight
| that thI New York bankers are work
I ing In harmony with the federal gov
eminent to prevent further shipments
of gold abroad.
Controller Of Currency Williams re-
turned from New York this afternoon
with the information that grain eX-
porters have practically perfected plans
| for the shipment of 100000 bushels
| of wheat from New York and Balti-
more. The credit arrang ements have
| been made and negotiations are being
carry the cargoes.
| Need Be No Fear.-MeAdoo.
Shortly after he had been notified
that the amendment liberalizing the
| Aldrich- vreeland currency act had
/ become a law, Secretary McAdoo is
sued statement declaring there was
| banks Of the country would be unable
to take care of the financial situation.
! His statement follows:
|
the house and senate this afternoon
| OF the amendment to the federal re-
serve act, whereby the secretary OF the
additional national bank currency In
such amounts, exceeding even $780,
100000, as in his judgment may be nee
essary to protect the business situa-
| ton in this country, puts at rest any
question as to the ability of the banks
to take care of the situation.
Explains His Authority
There need be no fear whatever OF
| insufficient currency to move the crops
and to meet the demands of business.
| The bill. as amended, authorizes the
! secretary, in his discretion to permit
| national banks to have outstanding a
maximum of circulation notes equiva-
lent to 125 per cent of their unimpaired
capital and surplus
I This provision will enable banks
which now have outstanding circula-
ton equal TO their capital stock to OBJ
tain large amount of additional cir
culation
i "Applications have been received
from number Of national currency
associations thruout the country for
additional currency, and these applica-
lions are being promptly responded to.
Much Gold to Subtreasuries.
Already 100000 900 Of currency has
been shipped to the subtreasuries in
ii New York. Chicago, st. Louis. Cincin-
natl San Francisco, Boston, and Phila :
delphia, in order that the needs of the
banks may be promptly supplied. In
many cases banks have applied for adj
i ditional currency merely as a precau
tionary measure.
1.-The situation thruout the country
is excellent and no greater testimonial
to the inherent strength Of our finan-
cial and economic position and condi-
ton could be given than the way in
which the country has withstood the
shock of the greatest European dis
, turbance that has occurred in the last
> hundred years.
, 1.-THE unanimous vote in the house
, and senate is an inspiring evidence OF
the patriotism of the representatives
of the American people. who, whenever
, there is a threatened danger, forget
party lines and present solid from
in support Of the common interest"
Prepares For Now Issuance.
AS 1t is expected that the removal OF
the s500O0OOO limitation on thi!
emergency currency will stimulate {
demand for it. Secretary McAdoo ha,
asked congress to appropriate I'm
mediately 1901, ass to enable him to pur
chase 5000 900 sheets for the PRINTING
OF treasury and national bank notes
In his communication he said:
1.-The present financial conditions
turnout the country due to the Euro
, pean crisis require early favorable
consideration and I have instructed
the bureau of engraving and printing
to proceed with all haste to execute
y this work"
Favored tho Lowest Bidder.
j IT have come to ask for the han'
of your daughter" announced tn
the young man.