Richmond daily register. (Richmond, Madison County, Ky.) 1917-1978, 1922-01-24

'NbiiiuGCu ilblil aye !
ment OF the Bingham co-opera-
tive marketing law. told of the
care with which it had been pre-
pared after all phases of the legal
question has been studied BY men
who had made specially of such
laws for fifteen wears: men who
represented in such matters 3
cooperative marketing aSsocia-
lions working under similar laws
in fourteen states.
Every Precaution Taken
We have taken every precau-
ton. said President Stone. TO
do everything absolutely in &C
Cordance with law and in bust
ness way. We have taken these
precautions because we believe
our association would be a big
thing for the people of Kentucky
your depo>itor>.
Mr.. Stone SAID that I'm the mat-
tcr ~ the proposed loans. NO qucs
tiua -. the validity Of the laW wa,
involved. d, there was not the
slightest doubt Of the security
~, posed. which was not affected
III any away. because oi the .act
that the collateral offered wuuIl
lie ample 10 protect the loans
Mr.. Stone explained that there
Wuuld be a period of three weeks
between the time OF rcCciy n%
and rcdryin% tha; portion al tie
pooled crop which must be re-
dried in order To- obtain the nd
varcc> OF the War Finance Cor
oorati"n on the warehouse re-
cciptS Of the association. 1t wa,
proposed. he said. to appoint thc
Security Trust Company. oi !cN-
Tyton. a trustee for :hc banE~
until ne debt should be i'qu;'at-
CO.
Mr.. Stone said that he had IA
ken un the matter OF 4 loan with
lanes y. Brown. Of the National
Bank OF Kentucky. and Mr..
Brown SAID that his bank was 90
ing TO loan the association the ic-
gal limit S5O0OoO. without regard
To the opinion OF LAWYERS a, to
the validity OF the law. Mr..
Brown said that. in h.> opinion.
no legal question was involved.
He had declared il the greatest
move ever started in Kentucky
Tor the benefit oi the people of
the tobacco growing sections and
that 1t would do more cool e. the
greatest number of people than
INV other movement on record.
Three other Louisville banks. MIR.
Stone said. Joined with the Gr5wn
bank and the result was q total
Dan Of SSC5,0c0 from Louisville
banks.
President Stone and Judge
Bingham went to { ncinnati. Mr..
Stone went on to explain. and
here called on the officials OF the
Fiitl-Third National Bank. The
result was that the Fiith-Third
%aye assurances that we will
loan Won our limit And that
limit. Mr.. Stone said. was about
$4,000. I'VE viii pull it thru"
Mr.. Stone expressed the oDin-
ion that there was definite plan
on the part OF three or four men
in Louisville TO break this asso-
citation up. He declared that eucl
4 plan will not succeed. Ms /
look into your faces | Know YOU
are not going to stand io- this.
We're going To- put his thru. just
a. we originally started To- pm i
through
Mr.. Stone said that the three
Louisville banks which had JON
ed with the National Bank 81
Kentucky in aiding the associa-
tioH were the Lincoln Savings
Bank. the Liberty Insurance Bank
and the Louisville National Bank.
Mr.. Stone then read the letter
from the War Finance Corpora
ton explaining the terms and con
ditionS ON which the loan would
be made.
Robert {. Talbot. OF Paris. |!
prominent lawyer. then discussed /
briefly the Bingham marketing
act. The security offered for
the proposed loans. he said. would
not be affected in any way By the
constitutionality of the oo-opera- !
tive marketing act. The rights
of holders of warehouse receipts.
he said, did not depend on the ex-
istence of the association but
were amply secured by the eener-
al law of the state. After "a
careful inpection of the statutes.
federal and state. he said, Il
would saw that YOU need have no