Newark evening star and Newark advertiser. [volume] (Newark, N.J.) 1909-1916, 1914-05-05
THINK OLNEY Will !
REFUSE TO SERVE
His Defamation of Appointment
as Head of Reserve Board
Expected.

| WASHINGTON, May b.--8IteI TOUR
months of waiting, while President
Wilson carefully sifted hundreds of
names. the business and financial
world today learned definitely that
the following men had been chosen
for the Federal Reserve Board, which
win put into operation the nations
new currency system:
Richard Olney, of Boston, Mass,
former secretary of state and attor-
ney-general of the United States I'M
der President Cleveland.
Paul M. Warburg, of New York.
member of Kuhn, Loeb & Co.. and
lifelong student of foreign banking
| systems.
w. P. G. Harding, president First
National Bank of Birmingham, Ala,
ane one of the leading bankers of the
! South.
Harry A. Wheeler, vice president
and director of the Union Trust Com
pany of Chicago, and until recently
president of the United States Cham
| Der of Commerce.
DIR. Adolph Casper Miller, professor
| of finance at the University of Cali
| fornia, and now assistant to Secre-
tary Lane, of the interior department;
| a political economist and writer on
| economics and finance.
These men, together with the sec
rotary of the treasury, William G.
| McAdoo, and the comptroller of the
currency, John Shelton Williams,
who are ex-officio members, have been
selected to compose the Federal Re-
serv Board.
White House officials declined to
say when the nominations would be
sent to the Senate, as they were
awaiting today further word from
Mr.. Olney as to his acceptance. 1T
was feared by persons close to the
White House that he would not ac-
| cept on account of his advanced
| years.
| The four other men, it is UNDER
| stood, have all accepted. While Mr..
| Wheeler is a banker, he has had an
| intimate connection with the indus
| trial and commercial world. Mr..
| Warburg has made a lifelong study
of German and French banking meth
DDS, and knows finance from first
hand connection with the greatest
financial centres in the United States.
! Mr.. Harding is regarded by the
| President as an unusually able man,
of broad views and remarkable abil-
ity. He is looked upon as one of
the leading bankers of the South.
DIR. Miller is a trained economist
and long, a writer and student of
finance.
This personnel follows the Presi-
dents original idea of securing two
bankers, Warburg and Harding;
| business man, Mr.. Wheeler: an econ
omist and student of finance, DR.. Mil
Ter, and lawyer and business man,
Richard O1ney.
The declaration of Mr.. Olney which,
it was believed, would be formally re-
ce1Ved sometime today, would mean
the selection of another man who had
a combined legal and business train
| ing.
Under the new currency law. the
| President is ito have due regard for a
! fair representation of the different
commercial, industrial and geographic
| ical divisions of the country" Not
more than one of the five members
of the Federal Reserve Board can be
selected under the law from the same
reserve district. Should Mr. Olney
decline, the President would be free
to choose from District No. 1, New
England; District No. 3, comprising
| New Jersey, Delaware and Eastern
Pennsylvania; District No. 4, Ohio,
Western Pennsylvania, West Virgin
| ia and Kentucky; District No 5,
Maryland, Virginia, District of Co
| lumbia, North and South Cardinal:
District No. s, Arkansas, Missouri.
| Indiana, Tennessee and Mississippi;
| District No. g. Montana. North and
| South Dakota, Minnesota, Wiscon-
sin, Michigan; District No 10, Kan
sas, Nebraska, Colorado, Wyoming,
and District No. II, Texas, New Mex
Louisiana. Appointive members Of
| the board are to devote all their time
to the boards business Their sala-
ries are $4,000 a year. The law Gre
ating the board provides that none OF
| it's members "shall be an officer or
director of any bank, banking insti-
tuition, trust company or federal re-
serve bank nor hold stock in any
banking institution or trust COM
pany."
The board is authorized to examine
the affairs of each federal reserve
bank and each member bank and re-
ollire necessary reports. The board
must publish weekly statements OF
the condition of federal reserve banks.
1t may require the elimination OF
doubtful or worthless assets from
books of federal reserve banks and it
may suspend for statutory violations
operations of any federal reserve
| bank. A feature of the new currency
system is the creation of federal
advisory council, members of which
are appointed by directors of each