Albuquerque morning journal. [volume] (Albuquerque, N.M.) 1903-1926, 1914-08-03
ADMINISTRATION
TAKES STEPS TO
PREVENT PANIC
Five Hundred Million Dollars
in Emergency Currency May
Be issued Under AIdrich-
VreeIand Act,
,sv aoss,as ,ovsn.. SPECIAL LEASED ~,ssi

Washington. Aug. 1.-THE vast ma.
chinerv Of the federal government
was turned today toward the perfec.
ton Of plans TO fortify the American
banking system so that the nations
share Of the financial burden of tn,
European war will be distributed OF
many shoulders and its direct effects
minimized. Conferences AT the White
House and treasury departments at
which the foreign and domestic as.
poets of the situation were discussed
eliminated late today in the departur,
for New York Of Secretary McAdoC
and Comptroller of the Currency VIII.
Hams
MAY issue Emergency Currency.
These Two men have all the govern.
ment authority to put in operation III,
plan which congress designed years
ago for such situations as the present
BY which the national banks of the
country can obtain s50O.OO0.OO0 in
currency under the Aldrich- Vreeland
act with which to face any condition
and meet any obligations.
Mr.. McAdoo. before he left, de-
clarod that he considered the country
10 be in excellent shape TO take care
of itself and there was not the slight
est reason for any feeling of alarm
President Wilson, who discussed the
situation with Secretary McAdoo, is
confident that any condition which
arises can be met without great diff.
lficuty.
Mr. McAdoo and Mr. Williams will
confer with financiers In New Yor,
as soon as possible and these confer
ences are expected to strengthen the
spirit of cooperation between the
government and the banks looked
upon here as one of the hopeful signs
of the day. Mr.. McAdoo may return
to Washington late tomorrow in time
TO meet representatives of clearing
house associations of Chicago and St
Louis now en- route to the capital. at
his invitation.
In official circles here the feeling
was evident that any unusual strain
will be manifest first in New York and
both the president and McAdoo were
anxious that the highest financial au-
thorities be on the ground.
Before Mr.. McAdoo left Washington
the treasury shipped out about $780,
100000 of the Aldrioh- Vreeland cur
rency which will be in the vaults of
the sub-treasury tomorrow ready for
the New York banks.
Announcement was made at the
White House that Attorney General
McReynolds had advised the president
that the federal reserve board cannot
be organized without its full legal
membership.
This was taken to mean that an ex-
traordinary effort will be made in the
next few days to secure the confirma-
ton of Paul NJ. Warburg as a member
of the board. The president is ex-
pected also to send to the senate to-
morrow the name of the man he has
selected to take the place which was
to have been filled by Thomas d.
Jones. of Chicago.
In view of the present situation II
was believed tonight that unless there
are unforeseen developments the con
sent Of the senate to the confirmation
will not be long withheld.
II was said tonight that Secretary
McAdoo might decide to confer with
the representatives of the clearing
house associations in the central re-
serve cities, New York, Chicago and
ST. Louis. in New York, instead Of at
the treasury Festus j. Wade. at the
head of the st. Louis committee, and
George NJ Reynolds, with a Chicago
committee, were understood here to-
night to be on their way to
Washington.
President Wilson tonight decided
to cancel all engagements dealing
with appointments the next few days
and to make none for the next few
weeks which do not concern the war
or the financial situation of the
country.