The sun. [volume] (New York [N.Y.]) 1833-1916, 1914-10-02
CITY IN BATTLE FOR
U.S.,SAYS SETH LOW
Country Realizes New York's
Financial Unselfishness, He
Tells Chamber.
WARBURG RESIGNS OFFICE

ES-M,yor Seth Low az president OF the
Chamber OF Commerce, told tho mem
bers OF tho Organization at the regular
monthly meeting yesterday that the coun-
Try now realizes New York city Is on the
firing line OF foreign exchange and finance
generally and that the city Is engaged
u an uneelfsh battle TO sustain the COM
mercIal credit OF the ontire United States
AS he spoke many men who have passed
through great financial storms smiled q
little. Il was not 80 long ago that New
York was regarded as the sore spot on the
financial body.
When the meeting was called TO order
he resignation OF Paul NJ. Warburg - a
f.,o-presldent was submitted. Mr.. war
arg write thar as a member OF the Fed
.ral Reserve Board he deemed 1t his duty
o resign. Jacob II. Scnif was unsnI-
nously elected 20 take his place.
The meeting was largely devoted to
cumming up the work the various commit
ICES OF tho chamber, either singly or IN
cooperation, have performed within the
.dst month. Eusenius II. Outbridge told
II the Washington conferences. the ship
'ogstry bill, the bureau OF war tau Ia.
urInce and the suspensicA in part OF tho
navigation and inspection laws Following
ain Mr. Low remarked that forty-two
vessels have come under the American
Dag. representing tonnage OF l7:.sos.
WI lie the bureau OF war risk insurance
mas justhed It's organization by Issuing
policies 3m uniting to between $1,000, 600
and $4,000. 600.
The Chamber OF Commerce will not hold
" usual annual dinner this year. 4
ft,s Fr.ot to hos "A,
when there IL so much need for aid
abroad u would be unwise to hold the
dinner WAS adopted unanimously. Tho
sense of the speeches made was that II
would ne far better % take the money
which would be spent on the dinner and
give It To the Red Cross.
In going over the financial situation
MIR. Low said
81 am also able to say IN regard TO the
fine work done 10y the banks Of New
York la taking care of the obligations Of
tho city OF New York on the other side
that the subscribers 20 that loan were
double those ever received for any loan OF
the kind. Small subscribers were 10
numerous Is almost To- take up all that
was available.
1T Is true that IL the city had borrowed
this money IN the spring Of the year In
this country the situation would have been
very much eas.nt than It was. The neces-
slty OF providing this large amount Of gold
represented "A real problem as long az II
was uumet. bu: after all / think we ought
10 remember In Justice to the city that Il
is because the citys credit was so good
that last spring II was able TO borrow
abroad more chcapy than II could borrow
mere.
The city therefore Ia not 10 be blamed.
IL gecms 20 me, because by the chances OF
war this problem involving the city made
so much trouble for the week or two that
II lasted am ia sympathy with the
suggestions made from the banking COM
munty that the city raise more through
the tax levy
The real trouble springs from the fact
that the City's financial system Is itself
most unfortunate. 1t borrows money
from the first OF January until the month
OF May TO pay It's current expenses. In
May half of It's tax levy - collectble. the
other half does not come ga until Novem-
her. The consequence IS that the city Is
always obliged every year TO Issue very
largo volume OF revenue bonds that have
20 be paid for IN the late autumn.
Having said this for the city. may
lust say also one word for the banks?
II wac gratifying 10 me and other citizens
If New York 70 see with what readiness
and with what unanimity the banks OF
the city took the stand that the credit
of the city OF New York must be main
talned no matter what the cost may be
to the city OF New York
1T seems TO me that that Is an attitude
worthy o, all admiration. and II ought TO
give us confidence, gentlemen, N the
future OF this splendid municipality