The Laurens advertiser. (Laurens, S.C.) 1885-1973, 1914-11-18
NEW BANKING SYSTEM
|NAUGURATED MONDAY
Twelve Regional Reserve
Banks Opened
BEGINS NEW ERA
IN BANKING

New System Marks Financial Eman-
cipation Of this Country. Improve
ments to be Made.
Washington, Nov. Although the
twelve Federal reserve banks only be-
gan business today the Federal re-
serve board already has before it plans
Tor widening their field OF operations
and increasing their store OF cash.
No definite data Oh the business done
was available tonight, but Secretary
Willis tclcgraphcd each bank for an
account of it's rediscount business and
expected to lay report before the
board tomorrow.
The board may not be willing to
draw definite plans from one DAVIS
business, but the first week may have
material effect and may result In
augmenung tho u.sh Of the banks by
more than $l55,000,0OU. The board has
under consideration the deposit of a
large part Of the loose cash now de-
posted in national banks.
If the first weeks rcdiscount busi-
ness shows that the reserve banks can
use more cash, the board probably Will
suggest the adoption Of this plan. 1t
ha sheen reported to the board that
there is about 81 0,0O0 900 in the treas
ury available for this purpose and that
about $GA,000,000 Of the SIS 900 900 now
IN banks on deposit for the govern
mcnt could be TRANSFORMED
The board tonight made public a
circular defining time deposits as in
Guiding any deposit subject 10 check
on which the bank has the reht by
written contract with the deposilor at
te time Of deposit to require not less
than 30 days notice before any part
of it may be withdrawn. ANY asrec-
ment with depostor not TO enforce
the terms Of such a contract shall
vitiate the contarct The posloaice
department has notified postmasters
that no postal savings funds Shall be
deposited in banks not members Of the
Federal reserve system and instruct
ing them to discontinue deposits in
such member banks.
President Wilson received many
telegrafs conveying congratulations on
the opening Of the new system.
Secretary McAdoo early today sign
Secretary McAdoo today sent the
following telegram Of congratulations
TO the Federal reserve agent and grv..
crnor Of each Of the Federal rNsLrye
banks:
Please accept my cordial can"nat-
niations upon the opening of the = C.
eral reserve bank of your distliot a. d
my sincere commentator III -, /, o
effective work YOU have done ; 49,
pairing the bank for business Il III.
snort time allowed for the opcv Ng.
am sure that the Federal +, ,civo
banks will serve a great and b, nc.ic!al
purpose in the future o! our C)uI''',y;
and | am sure that this dep T. n, ii,
and the Federal reserve board my
count upon your loyal co operation ~
the important work and duties hic,
have been confined to you. NJ! rrarty
good wishes for your success"
Paul NJ. Warbnrg, OF the /, crel
reserve board, today declare 1T
November 16 might be consid
the economic life Of the United S ,.i
as marking the foun6 ton Of ~ nq-
tons financial emancipation
THE new banking system wi al.
ministered," said Mr. Warbur.
prove to be the means, not Of II
but Of safety, independence an
ual, healthy expansion. IIows
may become world power c1u.
strength and independence to trosc
whom we have had to lean un' ",
will depend upon our ability {, y,
ourselves of the opportunity nov cDen
to us.
"Wc are starting out toda
tious Of attaining this end, r'
Still far crmovcd from our &C
spirit prevailing of unsolfish -
tion and mutual helpfnlncs IT,!
careful planning and singlene! r.
pose, We are certain to over '1>
obstacle that still block our wS hotn
within ana without"