The Birmingham age-herald., 1918-10-02
RAPID ADVANCE
 OF YOUNG BANKER
By HOLLAND

dly OIs DhHhlIS COHulIlOHS dS tI0y ttiph were and of the outlook for the Amer iean banks, whether the United States went into the war or not, was told that in 190o at the time of the presidential campaign there were few days in late August when serious apprehensionss pre- vailed lest President Mckinley be de- feated for re-eIection by Colonel Bryan and that, in order to protect the mar ket from what it was. feared would be perlops condition in case Colonel Bryan were elected a pool of s25, 00o.poo of gold was secured under the leadership of Fred erick D. Tappen
 Furthermore MT. Sabn was told that i'll the last year of McKinley's first ad- ministration the United States received in gold imports sl00000,0DO, so great an amount that the vaults in the clearing house association were choked with the gold and even the aisles were filled with the boxes which contained it. Mr. Sabin was much interested in this statement but he smilingly said that all this oo- cured before his time and that he knew of it only in the vaguest way There fore in 1900 Mir. Sabin. as a young man well started in his career as a banker at Albany, could not have foreseen that the day would come when he would be chosen as president of the greatest trust institution of the world and that under his presidency this institution would pos sess resources in excess of S7O0000, ,0G0 In a brief period of l4 or f5 years he was advanced from comparatively minor po- sitions in the banking world to- that of president of an insttNtion whose influ- enee is now worldwide.
 No wonder that the committee which had in charge the arrangements for the annual convention of the American Bank CTS association at Chicago last week should have deemed it expedent to in- ylte MT. Sabin to make an address. 1t was presumed that if he accepted the invitation he would take as his principal theme the relation of the Federal bank ing system to American banking and also what the present as well as the after war relation of American banks to the financial life of the nation is to be.
 This forecast of the nature of MT. Sabin's remarks was fully Justified. No one could have gone farther in speak ing of the inherent strength of the fed eral reserve system or it's ability to han dle we'll whatever conditions may arise after the war. Nevertheless MT Sabn is of the opinion that the federal bank ing system represents no more than the beginning of an evolution in banking which in the end will create for the United States a single uniform and uni- fled banking system.
 INDEPENDENT SYSTEM
 When the day comes, if it does, when the views now advocated by Mir. Sabin become fact and law he believes that there win be no further need of an in- dependent treasury system. For the fed- eral reserve banks will inevitably becoma efficient fiscal agents of the government. For that reason we would not again be subjected to those periodic disturbances of the past in the money market which were caused by the deposit and with drawal of very great amounts of money without giving any heed to the demands ir trade. Under the administration of Secretary McAdoo the greater part of tn. government funds have been kept on deposit in the banks, and the utliza- tion of these funds has been performed with great discretion. Nevertheless MT McAdoo as secretary can at any time in fllence the money market by depositing or withdrawing funds This is d power which MT. Sabin says is equivalent to regulating rates for money and that is power which no government officer should possess. Instead that power should belong to the federal reserve board.
 AFTER WAR IS OVER
 Not at present, not until the war is ended should there be. in Mr. Sabins view, any important changes in the bank ing system, but after the war is ended there will be Imperative need of CO., operation among the American bankers and thorough mobilization of our bank ing resources. if the United States is<to retain the financial and commercial sll- premacy which is now ours, That state ment supplements one made by an able banker to gathering of bankers in Dem Yer few days ago. He simply Saia that we noW possess financial and con mercial supremacv and that we ought to be able to retain it. Ar. Sahiu says that in order to retain it there must he complete cooperation among bankers and mobilization of banlsne resources He might have said that this is some thing which is, temporarily at least, to be maintained, for without such co-opera- ton and mobilization it would be im- possible to market the fourth Liberty Loan or at least any considerable portion of it.
 MT. Sabin spoke to the bankers as he has already recently spoken in private to his friends of the fact that, to use his own words, for the first time in the history of the United States we have the opportunity of becoming leading factor in international trade and finance. it may be necessary for our bankers tp co-onerate with the foreian banks so that some International bank ing plan which would meet the exisen- cies forced upon us eby the war can be perfected. Already half or the world is on a paper basis and it has, been for some time evident to our leadins bank CTS that. in part for that reason. there must be established some international banking agreement if the worlds tokens of exchange are to be stabilized and the trade of the nations to be expedited The address on the whole is considered bv those who heard it as a really pro- fourdly thought-out exposition of pres ent-day conditions in American banking and financial life and the proba ble con- ditions which will arise after the war IS ended
 Stock Increased
 Montgomery, October lv-(SpecalD Capital stock of the Noma Naval stores eonpany, oreanized under the laws ot Flcrida and doing business in Alabama, has been increased from s50.Ge0 to sSa.0p according to ? notice filed with the sec.- retarN of state Monday. The company orcrateS a plant in Geneva county