Evening star., 1922-06-10

I
Revision Of the by laws of the asso-
| ciation by the council of administra-
| tion was urged.
Continuing, Judge Larner said:
Three years ago, when the nrst
| convention of this association was
| who doubted very much that such
convention would be successful. we
| have now assembled for the fourth
time and Under auspices which IN
dictate clearly the wisdom OF the pro-
! motors of the plan and the perpetu.
alton of an annual assemblage OF
| Washington bankers keenly inter
! ested in the welfare of their tndf-
vidual banks and the uplift of the
profession.
Secret of Banking Success.
! Banking is no longer a proposition
! for the uninitiated. 1t is profes-
sion which requires the closest at
/ tention and the highest order Of In
telligence. The success of banking
| Is the conservative investment ana
| management of funds of both the
shareholder and the depositor. II
| would seem. therefore, that 1t does
| not matter what bank has as what
it does with that entrusted to Its care
| and not so much what 1t does with
net as with gross profits.'
| After speaking at length on per
capita wealth, growth of business
increased circulation, etc, he con-
tinued:
Along the lines of this very in
! teresring subject. one which Is en-
crossing the attention of all our
people at this time. it may be well
| to cnumerate certain factors given ny
Mr. Lawrence Chamberlain as essen
tial to the steady increase or per
capita wealth.
"'Security of principal-the, GER
tainty that the money invested Will
be returned some time in the future.
| "A fair income return.
Stability of Income.
| stability of income-the assur.
ance that the income will be palo
promptly at stated intervals. ana
/ that the rate Of income Will not de-
| crease during the life of the invest
ment.
| 'Marketability-th quality when
makes it possible for the investment
to be converted into immediately
available funds.
"'Value as collateral-value sum,
cient to make the investment useful
! as security for a loan; exemption from
taxation; freedom from care-slm-
! plicity Of administration; acceptaole
duration; acceptable denomination.
/ Potential appreciation-the chance
that during the life of the invest
/ ment it's market value will be IN
creased
! "BrOtherhOOd" Of Man.
I'VE hear in these days much about
the brotherhood of man. Our brother
| TODAY does not necessarily live in
| our own home, in our own city or our
own country. He is everywhere. We
cannot fail to understand this propo-
! sition. The war has brought to us
! the full realizat ton of the theme.
To-day the economic condition OF
| 81, n L nj -
! ing man that unless we widen our
views and liberaliZe our feelings
toward our brother throughout the
world we will hinder the return of
| the nations to prosperity. and. per
! chance, stimulate the hate of nations
for each other and bring about a
! conflict more serious than the one
| just closed.
These thoughts may seem to be
| threadworn and bare. They may sug-
| gest ideas that have not been uni
versally approved They may bring
made: Am 1 my brothers keeper"
| I'VE cannot pass by these great
problems in these days when the cry
| of the suffering and the distressed
| is sounding and reSounding in our
ears. We must not forget the plati-
! tudes of the past or the beatitudes of
| the mount
The world is rapidly moving on to
better things We may not know it
| or feel it. but progress is being made.
| not by reason of any great thing
man may do. but in spite of what he
! is doing or has done The great
consummation will come when Provi-
| dence is ready for it."
Federal Reserve system.
! After the presidents address Mr..
| Larner introduced F. n. Shepherd,
| executive manager of the American
! Bankers Association, who spoke on
| the federal reserve system and the
| attacks being made against it.
| Mr.. Shepherd said:
| Political attacks that now menace
| the federal reserve system. if success
full, would destroy the great bulwark
| of defense in the United States
| against panics. such as visited this
country time and again before the in
auguration of the system.
| The greatest menace to the fed
eral reserve system is political.
!. There are now in Congress some
| forty bills which would do anything
from making slight amendment to the
| act to destroying absolutely its in
| tent and purpose. During stress and
! depression it seems to be the easy
! thing to try short cut and under
! take to bring about by Legislative
:. enactment that which can be attained
i only through individual initiative.
! enterprise and good Judgment, as
| sisted by the healing element of time.
; and politicians are attempting to use
the federal reserve for this purpose.
! History Of L. s. Bank.
'The present agitation recalls the
| history of the Second United States
Bank. which. upon the Inauguration
| of President Jackson. stood in the
best Of favor and was doing good
! service. Jackson questioned it's con-
! stitutionality, but congressional in
veseigatinG committees found nothing
| that warranted interference with the
! banks operations. The attacks on
the bank included charges of official
misconduct and misuse Of funds. The
chief witness against it was a former
director of the bank but at that time
an insolvent merchant. This man re-
minds one of certain characters who
have appeared during the last two or
three years in that he seemed to go
on the theory that if you threw
plenty of mud some Of it will stick
Before the committee of inquiry. he
! not only was unable to substantiate
/ the charges he had made, but was
proved a perjurer.
These charges and investigations,
however, unseated public confidence
in the institution. thereby impairing
became political issue and congress-
: men did what they do today-they re-
! sponded to what they conceived to be
public opinion and refused to re-
F! charter the bank.
| "Since the Inauguration of the fed
! eral reserve system there has not
been any such thing as a normal
| situation. The officials of the system
met tremendous problems for the
general welfare and to the best of
| their ability and they did it as well
| as it was possible for any set of
| human beings to do. No great eco
! nomic change. however beneficial it