The Indianapolis times. [volume] (Indianapolis [Ind.]) 1922-1965, 1933-03-07

the scrip WOQld De as dCCepJdDlt
store. filing station, or movie house.
The scrip will be backed by the
it. In form. it will be a piece Of !
rency and probably in the same del
the bank to pay AS soon as the
deemed in United States currency
The scrip will be put into circu-
latlon this way:
Suppose YOU work for John Smith
e. Co. The Smith company has
plenty Of money in the bank, but
under the banking moratorium it
can not get any of this money to
pay you.
You Spend Your Scrip
The company goes to its bank, or
10 the city clearing house. There 1t
obtains the amount of scrip needed
TO meet it's payroll. The scrip is
handed out to you and your fellow
workers. You spend it, and as 1t
finds its way back to the clearing
houses the amount is charged OH
against the companys bank balance.
Whether the government should
issue nation scrip is one Of the
questions still being debated by
treasury officials in their increasing
rounds of conferences with bankers,
economists, and legislators.
The Democratic senate leader
Joseph T. Robinson, said this was
one of the problems congress would
ponder when it meets in special
session Thursday Advocates Of ma
tional scrip believe it would assure
unhampered interchange OF the
emergency money between com
munities and guarantee its accep-
lance at full value.
New Deposits Accepted
IT. has not been decided whether
the government will accept local
scrip in payment for income taxes
and postage stamps. The postof1lce
department, however, has directed
postoffices to accept checks in pay
ment for postage bills, although 1t
can not cash the checks during the
banking holiday. Postal savings
banks are remaining open.
Most important of the functions
which banks we're permitted to re-
sumo today was to accept new de-
posts which the depositor may with
draw at any time by check or in any
form of cash except gold or gold
certificates.
Banks are required to keep such
deposits separately in cash, in gov
eminent securities, or in special &C
counts with the federal reserve
banks
Treasury officials believed opening
of these new accounts would ia
cilitate the return to normal bank
ing operations and bring much
money out of boarding.
This authorization also applies to
similar special unrestricted deposits
accepted by banks under state holi-
days before the national modified
moratorium was declared.
Can Pay on Demand
Under the treasury order, banks
now may pay out such deposits on
demand. All regular deposits made
before the holiday remain i'm
pounded.
Banks also were directed to carry
on all operations necessary to
finance shipments and deliveries of
food without delay. The interstate
commerce commission gave further
assistance by ordering that freight
bills do not have to be paid during
the banking holiday,
Other functions where banks
we're permitted to resume today
were:
Make change; give free access to
safety deposit boxes; cash checks
drawn on the federal government;
accept payment on obligations due
them; return intact, without re-
striction, all cash, checks and other
items received for deposit or col
lection after the last closing hours
and not entered on the books.
In all cases, however, the ban on
payments in gold or gold certificates
remained in force,