Omaha daily bee. (Omaha [Neb.]) 187?-1922, 1915-10-28
OFFICE SEEKER
GETS RAP FROM
BANKE RS HEAD
President MeNish Makes Attack on
Professional Politician in Ad-
dress Before Omaha Con-
vention.
ENDORSES THE RESERVE ACT
Over Eight Hundred at First Ses-
sion, Which is Largest Attend
ance in History.
MEMORIAL FOR HENRY YATES

Professional politicians and agi-
tators received several lusty raps
yesterday afternoon in the address
Of President Jesse G. McNish of the
Nebraska Bankers association at the
opening of the two days session at
Hotel Fontenelle.
1--WE must assist" he said, "in
keeping the demagogue and the pro-
fessional politician out of office
Their attacks upon successful men
and organized business have worked
immeasurable damage. Professional
agitators are a national liability,
rather than an asset. However, pub
lie opinion Is showing tardy disap-
proval of unnecessary political an
tagonism to legitimate business, and,
hence the country may get more bills
of lading and fewer bills of legisla-
tion."
President McNish reviewed the business
and industrial conditions which he re-
sarded as favorable, and told of the good
work of the Bankers association in pro-
noting the farm development movement.
THE bankers have been active and lib
eral, but their best work has been done
In the exertion Of personal influence upon
their patrons in advising them to CO.
operate with other men in the COM
muntty In plans for improving and in
creasing the products of the farm. This
has engendered spirit of cooperation
as between farmers and townspeople,
which is highly beneficial.
state Ruraf Credit.
I'VE should have a rural credit system
applicable to American needs. One plan
contempiates the extending of our build
ing and loan association laws to admit
OF making of longtime loans on good
farm lands under the amortization plan
Inc states, and not congress, should de-
wise rural credit system. The danger
ana folly OF taxing the property of citi-
zens In the town, state and nation by sale
OF bonds to raise funds to lend Tom, Dick
and Harry should be apparent. The field
OF rural credits should be properly occu-
pied by private corporations operating
under state laws, for the important rea-
son that a federal statute must of neces-
sity be too broad to meet the localized
conditions of the several states"
The speaker referred to the report of
the state tax commission, regarding 1t as
highly important. His remarks on blue
sky promoters were we'll received Men
in less favored states find Nebraska a
field for profitable exploitation. The Los
Angeles Investment company was a colos-
sal swindle. Several hundred Nebraskans
are among the victims. Some of them
paid as high as $i45 per share for its
stock, which last July was quoted at 80
cents. The three principal officers are
under penitentiary sentences, but that
does not mean that money taken prin-
cipally from widows and those inexperi-
enced in business on false pretense, will
be returned. Their game was to offer
cheap dwelling houses to investors They
paid % per cent annual dividends, which
were never earned. but were paid out Of
money received on new stock sales to
their dupes. Some investigation and pub
hcity by our association would result in
much protection to our bank patrons"
Endorses Reserve Act.
President McNish unqualifiedly en-
dorsed the Federal Reserve act saying,
Practical operation will dictate changes
and its administration will be attended
with diminishing friction" In the year
1914 there were more business failures
than during any previous year, which
certainly gave the new banking system
a fair test, as did the troubles following
the outbreak of war in Europe. He
pointed out the important fact that "un-
der the new law, rediscountable paper
Continued on Page Two. Column Two.)