The daily times., 1922-01-30
ADVISORY COUNCIL
FEDERAL RESERVE
SYSTEM S ACTIVE
ADDRESSES PRESIDENT
Says if Farmer is Put on the
Reserve Board Why Should
Not Labor Insist that it Have
Representation Also on the
Reserve Board.

OSAOA
al Advisory Council has addressed
the following memorial to Presiden
Harding:
It is with great reluctance that the
Federal Advisory Council asks fol
the privilege of an audience at {
time when so many pressing prob
lens of national and international
Importance are occupying your mind
A grave situation has developed
however, which endangers the safety
in our opinion, seriously menaces the
future of the entire country. The
Council views these circumstances
with profound disquiet and feels that
it would be neglectful of it's duty if
it did not seek an opportunity of
bringing them to your attention.
There is before the Senate at this
time bill (S.2263) to amend the
Federal Reserve Act. The bill as re-
ported by the Committee on Banking
and Currency was not merely an un-
Objectionable but desirable amend
ment, providing that in selecting the
members of the Federal Reserve
Board the President should "have
due regard for fair representation
of the different commercial, indus
trial, agricultural, and geographical
divisions of the country (the word
agricultural" being added to the
present provisions of the law to con-
form to the basic requirement of
the Act that paper eligible for redis-
count must have arisen out of agri-
cultural, Industrial or commercial
transactions). An amendment or sub
stitute bill, however, was proposed
vides in part that 'fthe first vacancy
existing from the death, re-
signation, removal, or expiration of
the term of office Of such a member
shall be filled by the appointment =
of person whose business and
occupation is farming.''
This proposal the Council believes
to be Objectionable class legislation,
a whole, when it comes up for con-
sideration on January II, as at
present arranged by the Senate's
unanimous consent, it should either
be withdrawn or defeated
If the law should be amended SO |
as to oblige you to put a farmer on |
the Board, one might ask in that !
case why should not labor insist that |
it as a class should also be repre-
sented. and why should not similar !
claims be made by merchants, manu-
facturers, exporters or any other !
special interest or group. Indeed two
other bills of this nature have al |
ready been introduced. That it might |
or might not be desirable to put a |
farmer on the Board is not the uues-
tion-the wrong is in inquiring, as |
matter of law, that one special in
terest shall always be represented on
the Board.
Furthermore, such bill if enact
ed, would seem to endorse the un-
warranted assertion that the present |
plight Of the farmer is due to the
alleged maladministration of the
Federal Reserve System. This dan
gerous slander has been spread so j
persistently and unscrupulously that
large percentage of our agricultural
population have accepted it as true
and the Council fears that even byi
a substantial number of members of
Congress the real facts of the case
are not sufficiently well understood.
The Council begs of you, therefore,
to use your great influence with lead
ing Senators to oppose this proposed |
bill and the principles which it en-
bodies. The future success of the
operation of the Federal Reserve
system and the welfare of the coun-
try demands that the Federal Rel
serve Board shall be judicial and
non-partisan body acting in the in
terest of the country as d whole. not
body influenced by political pres
sure and expediency in furtherance
OF the claims of special interests.
What is causing this agitation
against the Federal Reserve Board
amongst the agriculturists?
Ihere. is no. doubt that the 'farmer1
nino onf, ,.and is still, passing through
,eees fron,af great hardship, nor is
I'VE fed from 'oubt. that he believes
states must reserve System respon-t
n country with bssent plight.
cause the nations ne lacts
them shelter are reission OF Agrlcul-@
care for them Fart I of it's report, !
time care for thei,uses of the present
~ D.; - pWs: