Albuquerque morning journal. [volume] (Albuquerque, N.M.) 1903-1926, 1914-03-31
IS
ABOUT READY TO
NAME RESERVES
Not Less Than Eight Nor More
Than Twelve Regional Banks
Are 10 Be Selected Under
New Currency Law

Washington March 30 After three
months of consolidation the rcseln o.
bank organization secretary McAduo
and Houston and Comptroller of The
Currency Williams - charged with
laying the ground work for the now
currency system ~ about ready fo dee
hno geographically the limits of the
federal reserve districts and name Che
cities in each district whore reserve
banks are 20 Doe located.
II Us the general expectation chat
the announcement ot those conciu-
sions VIII Doe made about Auril D
opinion is divided among those
close to the administration as io ihe
number of banks Go Dee established.
Tho law permits the establishment off
not less than ci.ht and NOT more than
twelve banks There is apparently
little ground for believing that the
committee viii name only ei4ht cities
and many persons are confident tlWt
they viii select the fun number ale
lowed.
The expectation seems To- Doe gene
cral that there Will Doe mt loast four
cities ON the Atlantic scabulrd. lu
This section. Boston. New York. ana
Philadelphia have been mined many
times Between the Allegheny moun-
tains and the Rockies the prophets
agree that chicago So Louis and
Kansas city practically nrc ccrtuin TO
be chosen and many of thm add
Minneapolis, Cincinnati ana New ur-
leans. on Dallas Tex
Persons who have figured their lists
largely on the resources of the nae
tional banks which are 90 become
members of the reserve system believe
only one bank viii he located ON the
Pacific coast at san Francisco. Thty
point out that in that territory there
are now only banks with sufficient
capital 10 subscribe % the stock of one
reserve bank
Under tho law each rcscryc bank
must have q capital stock of $4,000
900 and each bank must subscribe Cd
make ts capital g per cent of itH own
capital and surplus
10 tho banks becoming members
cannot subscribe sufficient amount
90 make up the sL00O,OO0 Tho stocl
ol the reserve bank g. go bc subscribed
by the public 10 is assumed here
I that the committee VIII not launch the
new system u such % way hat ann
/ bank VIII Dee the center of district
. which cannot without public suhscrip
/ ton take up the necessary rcscrU
hnnk stock Those who use this ar
gument are Inclined To believe thD
committee for this reason may cstab
Iish less than twelve BANKS Thcs ll
that 90 win bc only a few years Wher
thc Pacific Northwest Will ho able 90
the course of normal expansion tl
take the stock OF reserve bank, ana,
that hy that time that section ssh
need such "a bank.
There has been doubt in the mind
Of some persons as to- the number o.
banks 90 Dee seq up on the south. 40
lanta. New orleans. Richmond ant
Louisville have been active in am at
tempt % obtain bank. but the com
mittce has been reminded hy other
that the south, cast of the Mississippi
river. is Sun borrowing countri
Accepting this statement as true som
. persons Zoo their prophosies have linn
tied their lists go ten They dcclar
that this would allow for natural ex
.pansion in the south and permit Oh
establishment 40 q bank There later.