The sun., 1915-07-15
NO STATE CONTROL,
SAY PRIVATE BANKS
Fight Made Against Supt,
Ricliards's Plan to En-
large His Powers.
WAR ORDER CASES CITED

ALBANY. July ll.-Fear OF interfer-
ence with J. r. Morgan a Co.'S opera
tons as agents for three of the great
European nations at war led Francis
Lynde Stetson to-day to oppose before
the Constitutional Convention Committee
on Banks an amendment drafted by
state Superintendent OF Banks Eugene
Lamb Richards bringing private bankers
under the jurisdiction OF the State Bank
ing Department
"Of course" said Mr.. Stetson. I'VE rec
ognze In Mr.. Richards our present su-
perintendent. a benevolent neutral. but
suppose the private transactions In con-
nection with this business should be sub
jected to espionage by some one less
neutral For instance. the Superinten-
dent of Banks might send to Morgan *
Co. an examiner who is not bomb proof
OF proof against asphyxiating gases"
The amendmer. was opposed by pri-
vate bankers from all over the State
MIR. Stetson said there was no need now
for extending the present authority Of
the banking superintendent, pointing out
the there was no more creditable record
OF business in the world than that OF
private banks in New York state in the
last hftv years
Their loss has been comparatively
small. and considerably less than that
of the incorporated banks, he said. He
pointed out that II all the regulatory
features presented TO the convention
were adopted the Oklahoma Constitution
would not be In the same class as the
New York document.
Superintendent Richards said that the
proposal simply made clear the jurisdic-
ton OF the department and he believed
that the superintendent should he pro-
tected against legislative interference.
Senator T Harvey Ferris. who
also spoke for the amendment, said:
"One Of the greatest evils OF leeis-
lation these days is the frequent at
Temps made to remove a State oniciaL
We have now reached a point where
any man with any self-respect or regard
for his future is unwilling TO head a
state department. The evil of permitting
irrespor sihle and INSCRIPTIONS men to
trade on the word bank is so great that
something should be put into the Con-
stitution to make IL impossible. The
Legislature is often prevented from REM
edyiug evils In the banking system be-
cause of the pressure, political ana
otherwise. that is brought TO bear upon
st."
Superintendent Richards fled with the
committee letters In favor OF the amend
ment from ex-Superintendent OF Banks
George e. Van Tuyl, Jr.. clark Nilliams
and r. II. Kilburn. EN-Judge Randall
J lie Boeuf also spoke in favor OF the
proposition.
James G. Sheldon. attorney FOR the
Private Bankers Association. and John
r. Pine. counsel for the association. ar
gued against the amendment They de-
clared that the proposal disseminated
unjustly against business "of great I'M
por,ance 10 the community and essential
to the iinaucial prosperity OF the state
and that while purportlng 10 relate only
to the banking business actually com
pretended all persons and firms engaged
in the business OF negotiating any form
OF evidence OF debt. such as bonds and
like securities
". H. Seward. Ir.. president OF the
Private Bankers Association, said the
whole subject was matter for the Leg
islature to consider and not for the Con-
stitutional Convention.
"If We can't leave this matter to the
Legislature We should abolish It, he
asserted.