Evening star., 1926-09-19
BY EDWARD c. STONE.

Washington bankers. as well as
those from New York and all over the
country, expect some lively discus.
sions on branch banking at the COM
ing Los Angeles convention, the issue
centering around the McFadden bill.
which has twice failed Of passage In
Congress and which will bob up again
at the next session. AS all bankers
are aware. the Hull amendment is
what caused the split. the Senate and
House being unable to agree on this
feature of the bill. Two years ago
the American Bankers Association
indorsed the McFadden bill, but since
that time those favoring and those op-
posing branch banking appear to have
grown wider and wider apart in their
views. Branch banking Is being
more discussed in advance than any
other question and intense interest is
already being shown in what action
may he taken at the convention.
In discussing the mea sure recently.
Chairman McFadden of the House
currency committee, author of the
bill, declared that the present bill.
while drafted in extremely technical
terms, as must be the case in all
financial legislation, contains no pro-
vision unfair to any State bank or
trust compa ny. nor does it give to ma
tional banks any advantage over the
State banks. 1t Is based upon the
policy of "live and let live"-its un.
DERIVING ideal being a high standard
of banking for the United States
based upon best banking practices de-
veloped under both national and State
laws.
McFadden Urges Agreement.
1.-The only controversial features of
the bill" Chairman McFadden added,
"are the provisions relating to bra nch
banking. This is a subject Of violent
controversy in many States and 1t
appears almost impossible to draft
formula which will satisfy every
group. There are those who object
to branch banking in any form; tnere
are those who. favor home city branch
ba mixing but object to any form or
branch banking on the outside or the
home city of the parent bank: tnere
are those who favor home city bra ncn
banking not only within the CITY
proper, but also in the contiguous
suburbs thereof. but who also object
to state wide branch banking. There
are those who favor Statewide ora ncn 7,
ba hiking but who object to national
there are those who favor bra inch
ba anking in it's widest form, such as
is in vogue in Canada and European n
countries"
In all his recent addresses touching
his bill, the author has urged bankers
to agree on what they consider Tor the
hest interests of all concerned and let
their Senators and Representatives
know lust what legislation they hope
will he enacted. He insists that some
definite agreement among bankers Is
most essential to keep the measure
passage from being blocked a thiro
time.
Ritchie Would Arouse Bankers.
Gov. Albert G.. Ritchie declares that
ba mixers are keeping too aloof from
politics and are not doing their share
in helping settle the battling industrial
and social problems that have devel
oped in the past two decades and
which most vitally concern the bank
ers Of the country He concludes an
article appearing in Trust Companies
Magazine as follows:
..The bankers own self.interest re
ouires a higher interest In politlcal
institutions. Political consciousness Is
not an abstraction. 1t is living. now
ing spring that must not be allowed
to dry UP or to be contaminated
Bankers are more interested in the
sound administration Of government
than perhaps any other element In the
State. Their ultimate security rests ir
seeing that this interest Is not selfish
one. but Is one for the common good
Give to it some measure at least OF
the character and thought and energy
bankers give to banking.
THE life and the stability of bus1
ness Is dependent upon virile. intel
ligent democracy. which will accorc
to business the selfgoverning rights
and freedom which. so long as the!