The Indianapolis times. [volume] (Indianapolis [Ind.]) 1922-1965, 1933-03-04

With banking operations sus-
pended or limited in almost two
thirds of the forty-eight states, even
unemployment has become col
lateral problem temporarily, because
every one recognizes that unemploy-
ment and distress will become i'm
mediately much more serious unless
order and confidence is restored in
the nations banking facilities.
Confidence in Roosevelt
Analytically, the banking sit
uation appears to be one Of con-
fusion, COMPOUNDED by the change
of administrations and uncertainty
as TO the future course. But,
psychologically, the confusion is
pierced by a CLEAN of confidence
confidence in Pilot Roosevelt
course.
Democratic leaders stand around
in the capitols corridors, reciting
their misgivings as to the banking
situation. They place all the blame
upon Mr.. Hoover and the Repub-
lican leaders, but they admit that
they alone can not chart a true
course.
These Democratic leaders say
they do not know what Mr.. Roose-
welt will do, but they all declare he
will do something, and without
delay.
They say he will call an extra ses-
sion of congress to meet next week,
probably Tuesday or Wednesday, and
will lay down a program of banking
legislation that will be enacted
speedily and effectively.
Banks Are Closing
Banks throughout the country are
closing, or curtailing Withdrawals.
Gold is being shipped abroad. Yet,
in defiance of these ominous signs,
prices of stocks and commodities
doomed in Fridays markets.
No one has ventured to outline
Roosevelt's banking program, but
here are som of tn proposals dis
cussd by Dmocrats in congrss:
An embargo on gold expectation.
declared by an executive order of
the new President, and, if necessary,
sanctioned by the special session.
Some form Of bank deposit guar
antee legislation to induce fright
ened depositors to return withdrawn
funds.
Legislation increasing the limit on
Postal savings deposits from $4,000
to $4,000, converting postal savings
accounts into checking accounts,
and making the federal reserve Sys-
TENS banking facilities available to
the postal savings service. This is
the suggestion of Senator Dill
(Dem., Wash9.
Might Embargo Gold
A joint resolution giving the
President Power to invoke a gold
embargo, and giving the controller
of the currency the power to permit
banks to refuse to pay out currency
over the counter, and pay instead
in credits and cashiers" checks.
The story of banking develop
ments in Washington in the last
few days has been a story of buck
passing and futility.
The one piece of legislation which
might have forestalled banking I'M
easiness, the Glass bill, has for
more than a month gathered cob
webs in pigeonhole of the house
banking and currency corrency COM
mittee. The life of that bill expired
as congress adjourns at noon today.
The bill dies, victim of Repre-
sentative Steagall, chairman of the
committee, and other house leaders,
who resent the failure of the senate
to act on the Steagall bill to guar
antee bank deposits, and the Colds
borough rubber dollar" bill.
The house leaders declare that
there would have been no banking
crisis If the senate had passed the
Steagall and the Goldsborough bills.
The senators and the congressman
never did sit down together to try
to work out a compromise.