New-York tribune., 1922-10-03
" all Street
Entertains
Big Bankers
Continued from page one)

Washington in attempting to collect
checks over the counter was not merely
for the purpose of collecting the
checks, but was absolutely for the pur-
pose Of intimidating, annoying and
forcing that bank to remit at par.
"Your committee suggests an amend
ment to what is known as the McFad-
den bill. The McFadden bill is simply
a bill which allows the banks to con-
tinue the collection of checks, but in
stead Of the clause which exists in
Section 13, which says that no charge
shall be made against the Federal Re-
serve, we have suggested an amend
ment, which is as follows: Subject to
conditions of the Federal Reserve
Board, any Federal Reserve bank may
collect any check or draft by sending
it to the bank on which it is drawn
and may charge to the bank from
which such check was received such ex-
change or remittance charge incurred
in the collection of such checks
Owe feel that with that it will be
optional for every bank. member bank
or non-member bank, to charge as it
sees fit
R. S. Hecht, president Of the di-
vision. and president Of the Hibernia
Bank and Trust Company, of New Or
leans, said that the controversy could
probably be settled on some basis fair
to all concerned when the two vacan
cies now existing on the Federal Re-
serve Board have been filed.
To Make Charge Voluntary
eve believe that the officials in
Washington" said Mr.. Hecht, "have
come to realize that it will be far
better for the Federal Reserve System
and for the banking fraternity at
large If certain features of this prob
lem be made voluntary instead Of COM
pulsory, and that the economic good
which it is designed to accomplish can
better be brought about by evolution
tnan by revolution. Certain it is that
a working agreement of this sort will
go much further toward a permanent
solution of this problem than acrimo-
NOUS debate, legal controversies and
even Legislative enactments in some
OF the states
ing some nervousness as a possible
cause OF rift at the general session is
.he suggested removal of the associ-
atlon's Headquarters from New York
to washington. This was advocated by
the executive committee at its meeting
at White Sulphur Springs last spring.
In view of the fact that they are hosts
to the convention, New York bankers
hope that the question will not be
raised here, while other bankers. who
strongly favor the proposal. are re-
luctant to bring it to a vote at this
meeting.
John McHugh, president of the Me-
chanics & Metals National Bank.
drew favorable comment by his ad.
dress before the Clearing House sec
tion in which, declaring himself opti-
mistic as to Americas future, he dis
cussed some phases Of the European
outlook and their relation to this coun-
try's welfare. He saw ground for hope
in the fact that Europe's chief difi-
culties are at last crystallized, a
notable sign of change abroad being the
recognition of the dominance of eco
nonlic forces over political forces.
Sterilization the Remedy
"The fundamental remedy for the
plight of Europe" said Mr.. McHugh,
us what might be called stabilization.
The economic weakness Of every
country abroad springs from the de-
struction Of international cauidence.
49,