Keowee courier. [volume] (Pickens Court House, S.C.) 1849-current, 1916-03-08
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!. THE STATE !.
!. WAREHOUSE SYSTEM. y.
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In the discussion Of the Beattic-
Lancy Graders bill, Senator J. Ar
thur Banks, Of Calhoun county, took
occasion to give to the State Senate
a review OF the State warehouse sys-
tenn, and graphically pictured the
wonderful results which had been ac-
complished. not only in South Caro-
lima, but throughout the entire
South. the bcncicert influence of
the system,' he said, "having radi-
ated to every farm in the South"
Senator Banks supported the State
warehouse idea when it was first ati-
vanced by Senator McLaurin; he
lent his efforts to the passage OF the
bill, and he has consistently and ably
bcfriended the system since its es-
tablishment. 1t was he who accom-
panied Senator McLaurin to the
money ccnters to make arrangements
for financing the State receipts and
establishing their character. His
own warehouse had been placed in
the system at the beginning. and in
his address to the Senate he smoke
not only with a clear conception of
the general scope Of the warehouse
idea, but with an intimate and Der
Sonal knowledge Of the details OF
operation; OF the struggles against
the insurance trust and corporation
interests, and OF the slow, sure stems
towards low insurance rates and low
interest charges.
The most striking thing about the
State warehouse system to him, he
said, was the revelation Of the pos
sibilitics OF work for the common
good by an individual who gave Of
his gifts OF mind and heart John
l.. Mcl-aul y. he said, had that rare
combination OF the brilliant imagi-
nation with the ability to nut his
dreams into practical operation, and
with a singular devotion to the COM
mon good.
He showed how one OF the most
serious obstacles to the organization
OF the system was the unreasonable
rates OF insurance imposed upon the
country cotton by Insurance compa-
nics in I hide-bound combination,
with a rate OF 3h per cent prevail
ing, and with no possibility Of break
ing into the combination by individ-
u'ai effort. But the genius of the
State Warehouse Commissioners
finally succeeded in securing a s1.5S
rate, with pro rata cancellation,
(which made it possible for us to
carry our cotton through the State
warehouse system, in our own ware
houses, on our own farms. at one
third OF the cost OF carrying the cot
ton under the old system OF public
warchouses-in other words, one
dollar bale year. instead OF three
dollars bale a year"
After the insurance feature was
worked out" he continued. "the
problem to be solved was to get
'''N'iSS t'I iSooohtDlt llSS ~ lllllllcc
the cotton. Money was very scarce
in the South at that time, and even
those Of us who were best situated
were unable to turn our cotton into
4 liquid asset by reason Of the fact
that we could not secure the money
needed even if we paid as high as s
nor cont cnr.
"'rhe State Warehouse Commits
sioner, who had made careful study
OF the Federal Reserve Law. conceiy-
cd the idea Of that law which seemed
to guarantee ever. citizen Of the Uni
ted States sufficient amount Of
money, upon reasonable rates, to
a legitimate business, and
he made an appeal to the Federal
government for relief upon that plan.
lie and together, in his office, went
over the situation and decided to
write a letter to W. p. G. Harding,
OF the Federal Reserve Board, ask
ing his assistance"
Senator Banks paid tribute to
Mr.. Harding as an official who had