The Pensacola journal. (Pensacola, Fla.) 1898-1985, 1916-04-29
CRITICISES FEDERAL
BANKING SYSTEM IN
ADDRESSING BANKERS
Editor Weltnn Declares
Congress Not Familiar
With Needs of Banks.
GOV. MCCALL. DEFENDS
THE BANKING SYSTEM
Takes Issue With Editor
Welton That It Is Not
Elastic.

Two excellent addresses. one by A.
d. Welton, editor Of the Journal OF
the American Bankers Association,
and the other by Hen. J. A. McCori
of Atlanta, governor of the federal
reserve bank OF that place, featured
YESTERDAYS session of thu AIabAma
Bankers Association. Mr. Welton
criticised the comptroller of the cur
rency for claiming that Alabama
bankers charge usurious rates, said
the lawmakers of the country were
not conversant with the financial
needs of the country and that the
laws they had passed for the govern
n1ent of banks clearly proved this
contention.
Mr.. McCord defended the banking
system, declared the reserve banks
were necessary and valuable to the
banker, as well as the country, and
took issue with Mr.. WeIton in the
latters statement that the federal re-
serve system is not elastic.
Both addresses were listened to
with close attention by the bankers.
President Keith presided and first
introduced Mr.. Welton, who had as
his subject ''The Modern Banker and
His Relations to the People and the
Government"
Mr.. Welton's introductory remarks
were in a lighter vein. He said that
he was Ioath to address an assembly,
the individual members of which
knew more about the subject than he
did, thereby violating one Of the
first principles of oratory, for, he
explained, an orator must either
know so much more than his listen
ers, or. so little that his ignorance
viii give him free rein to cay what
he pleases.
Con trip To Washington recently
he continued, ~ visited the senate
Of the United States. Then / went
into the house Of representatives and
one thing that impressed me much
was the fact that a speech don't care
very much who makes it and less
about who listens to il"
c0ifas,A he took up the charges of the
4
| est rates. This accusation, IreA -4--...
is the result of a one-sided view
of the facts in the case, for just
as weighty evidence could be shown
1 by the bankers that it was a natural
| condition, was an absolute necessity,
/ and that the rates charged were not
usurious when compared to the risks
taken. "The banks he said, shat
4 sre said TO charge usurious interest
are country banks, and the charge
was made with no investigation. Had
the official investigated the cases be-
fore he made that statement he would
: have found that those banks must
J, lend money on collateral where the
risk is great, to insure themselves
against loss, and possible failure"
BANKS AND PUBLICITY.
: At this point he took up the reia-
: ton Of banks and publicity, and sta
: ted that the working Of banks arc
usually shrouded in mystery, wher
greater good would result if the PEG
pie took more time to try and IN
derstand banking conditions and tbs
uses and abuses Of credit. Public
: fly and banks are by no means
strangers" he said, land half th'
: trouble Of the bankers today is tn,
y direct result Of the secretiveness o
the banks"
g @The banker" he continued, ii
a popularity conceived TO be some kin,
e of ogre, who sits OFF IN seclusion AM
(Confiuued nm Pare Tvn1