The sun. [volume] (New York [N.Y.]) 1833-1916, 1914-06-30
NJ ADOO PREPARES
FOR FARMERS LOANS
Secretary Makes Canvass of
Banks as to the Govern
ment Funds Necessary.
SIX QUESTIONS ARE ASKED
Says Treasury Department Is
Ready to Help Crop Situa-
ton to the Limit.

WASHINGTON. June 29.-The banks of the
country are to ballot on the advisability
OF the Government making crop move
ment loans this season. Secretary Nc
Adoo has sent 10 the president Of each
national bank list OF questions as TO
the possible need OF Government funds
and as to general business conditions.
He accompanied these lists with
statement that the Federal reserve banks
are expected to be in operation in time to
meet tn demands of the crop movement
this fall. but that In case or uncN-
pected difficulty ;tc Treasury stands
ready to repeat its loans of last year
The Secretary. on several occasions
recently. has directed attention to his
readiness to make loans out TO the coun-
try banks II they need them for the
harvests. His communication TO the
bankers follows:
I'm order that the Treasury Department
may determine intelligently to what eN-
tent IL at all 1t may be necessary or
desirable this season to deposit Govern
mcnt funds in national banks In different
sections Of the country 10 meet the legtl-
mate demands OF the movement of crops
or other commercial causes. I shall
greatly appreciate IL II you will send me
prompt. answers to the following oues-
tons. which are being submitted also TO
other national banks:
al. Does your bank expect to have any
unusual demand for money or credit
within the next six months2 II so, for
what purpose or purposes?
''2. To what extent In your judgment
will funds be needed In your immediate
section In addition to what local banks
may be able to supply conveniently and
normally from their own resources or
through the usual accommodat atoms from
correspondents?
20. During what months between now
and January l, 1915. will additional
funds II any be most needed?
-. If. In your opinion, II is desirable to
deposit public funds as was done last
year in the national banks in certain
cities OF the different States, please, indi-
cate when and TO what extent you think
1t may be desirable TO place such funds
In the national banks in the principal
cities In your state upon the assump-
ton that the banks in such principal
cities will use such funds as far as prac-
ticable for the accommodation of their
country bank correspondents
"5-If such deposits should bc made
this season please state when you think the
deposits placed In your possession could be
retuFned TO the Treasury. indicating the
proportion OF the depoits TO be returned
each month. so that the last repayments
may be made not later than March /,
1915.
"6--What security, commercial paper
United States or other bonds. can. with
the greatest advantage to general bust
ness and with safety 20 the Government,
be given by the banks i'm your section 10
secure such Government deposits.
while 1t is said the Federal reserve
bank will begin business In time to assist
In moving the crops this fall. the Treas
ury Department will nevertheless be pre-
pared TO help business TO the full extent OF
its power through the proper use of Gov
eminent funds II II becomes apparent al
an" time that such help is needed in any
section Of the country"