The Daily Missoulian. [volume] (Missoula, Mont.) 1904-1961, 1917-01-18
CHEAPER MONEY IS
GIVEN IMPETUS
IN HOUSE
Making 10 Per Cent Legal
Interest Rate in Montana
Is Sanctioned.
ACTION is ADVERSE
TO MAJORITY REPORT
Resolutions Of Sorrow on
Death of Dewey Are to
Be Presented.

Helena, Jan. l7.--(W. G. Ferguson.
Staff Corrcspondcnt.)--A minority re-
port of the committee on hanks and
banking prcclritatcd a debate In tho
house of representatives today In re-
gard to the maximum rate of interest
which may be charged legally. The
majority report Of The committee was
that the bill do not pass. The mi
nority reported that the bill be
amended from eight to 10 per cent and
that as amended 1t pass. This re-
port was adopted. Mason. Missoula.
author of the bill, spoke in its de-
fense. He stated that he had no
intention of working hardship on
any business and had consented To
raising thc'limit from eight to 10 per
cent. He read a statement from tho
Billings clearing house asking for "A
10 Per cent limit II bog of yon.''
said Mr.. Mason, ito take into consid
GRAFTON that the small business man
has to live just the same as the large
one and that he cannot do business on
II per cent money"
Bclden, Fergus, opposed the meas
urc on the ground that the banks wcr~
now paying high rate Of interest for
| money ON which to do business and
| that he knew Of many communities
| where practically all loans were made
at Il per cent and that these districts
were very prosperous. lie called at
tcntion to tho fact that competition
was so keen In the effort to secure
farm loans that many loans were
made at eight per cent and that the
farmer pledges his lands to guaran-
| tee this Indebtedness. Later on he
| Is forced to borrow money locally and
the banker under this law would be
compelled to accept the same rate of
interest for a loan. much more haz-
ardous owing to the fact that his land
had already been put UP as security,
Should Help Farmer.
Higgins, Missoula called attention
to the fact that the legislature had
been doing everything in It's power to
secure cheap money for the farmers
by resolution and every other means
and that he failed to see why the mi
nority report should not be adopted.
"Thc reports are current to the effect
that the banks of Montana are burst
ing with money" said Mr.. Higgins
Last week the First National bank
of Missoula paid n premium on county
bonds which pay four r-and-a half per
cent. cannot sec why tho farmer
, should not have the benefit Of a rate
, almost twice as high"
After Cottcr, Broadwater. and Ar
= ncson, sweet Grass, had spoken
, against the minority report on the
$ ground that conditions at tho present
time we're not normal and that with
b the recurrence OF former conditions
. development In the state would be re-
h turded, a roll call was ordered. 1t re-
c suited 6 to 26 in favor of adopting
: the minority report which will now
u go on general orders.
= Consider n. 3. 20.
IS With the house In the committee ol
II chair. II. Il. 20, by Demel. Yellow
a stone was brought up for considera
II tion. This bin is entitled, an act I.
T. prohibit the issuance OF non negotiable
y Acknowledgements in payment 70
y wages due employees. provides In wha
" the time when certain wages becom
due and provides for attorneys fee
- In actions to recover wages.
It's author stated that tho bill Wa
40 based on the Oregon law and that
, was distinctly a labor measure en-
. dorsed by the labor organizations o
n tho state. Motions that the bin d
] not pass and that the cnacting claus
@. he stricken out were lost. The meas
w urc was finally recommitted, hein
he sent to the committee on judiciary o
N. the question of constttutionalitA
'al Belden. Fergus. Higgins. Missouli
and Kelsey, Custer, argued that it va
no mot constitutional to provide attorney
ry fees for the plaintiff IN an action an
"A not for the defendant. They base
at their arguments on the fact that In
10 supreme court Of the United state
had held such action did not give fn
protection of the law to both partie
and that the measure in its prescn
form was unconstitutionala t4AT The
lsh protested against any measuret com
I'VE ing before the house as class lcgts1a
'ad ton and also that in some instance
,ad 40 hours was not sufficient notice fo
Of
~~auk;uvcN m Do GAvonN