Evening star., 1934-10-31
FEofaAl RfStRW soARD

Reserve agent for the San Francisco
Federal Reserve Bank. That job carries
$4,000 a year, or twice as much as
Mr.. O'Connor was then getting.
Everything lUould haze been
peaceful and pleasant in this dis
position OF Mr. O'Connor, but tuo
members objected They said they
came from the Pacific Coast area,
had been through the territory re-
GENTLY and that neither they nor
the territory pdnted Mr.. O'Connor.
(The real reason for their objection
probably was that they had a candi-
date of their own, the capable Wilson
Mccarthy. Hoover appointee to the
R. F. c.
The debate got so hot that they
had a vote on it. The vote showed
3 to 2 against O'Connor until Treas
dry Secretary Morgenthau rushed into
the breach. Morgenthau took the un-
usual step Of exercising his right to
vote on the board. He voted to give
OConnor the job.
That tied it up, at all.
Morgenthau Goes to Work.
Mr.. Morgenthau is not the kind OF
man to let a little thing like tie
vote stand in his way of getting nice
job, 5000 miles away, for Mr.. O'Con-
nor. He went to work on the matter
The biggest influence in the New
Deal also went to work on the board.
AS a result, another meeting was
called few days ago. Another vote
was taken. That vote showed 5 to
in favor of getting Mr.. O'Connor
to San Francisco as soon as possible
The one dissenting vote was cast by
Adolph Miller. There is still some
feeling high up in the New Deal about
Mr.. Miller's failure to make 1t unani-
nous
Nevertheless, Mr.. Morgenthau won
and the offer was made.
Reason for Anxiety.
Casual readers may wonder why
there was all this excitement about
finding such an excellent job for Mr.
OConnor when there are so many
other people available.
The truth is Mr.. O'Connor rubbed
the right people here the wrong way
That Is a mild way Of putting it. His
relations with Treasury Secretary
Morgenthau have not been cordial
from the start. and every one around
the Treasury has believed for months
that the issue might ultimately get
down to a question Of the survival OF
the f1tteSt.
There haze been more or less
open hints from the F. D. I. C. and
the Treasury that every one Uould
enjoy life lot more around there
tOithout any dissenting influences.
II Mr.. O'Connor heard these hints
he did not take them. He Dds con-
frmed for his job by the Senate
and he could not be removed NTH
out cause, eUen by the President.
Admittedly there wds no such
cause.
But the feeling against him grew
when he had some unfortunate ex-
periences with news men. They also
wanted a man they could work with.
Any one who wants to take on Mr..
Morgenthau. the F. D. l. c. and the
press at the same time has a Job on
his hands.
Bank Probes Involved.
One of the main serious causes Of
inner difficulty between Mr.. O'Connor
and his adversaries is the question
of bank examinations.
Three distinct sets of examiners
are in the field. One represents the
controllers Office, another the Fed
eral Reserve Board and the third Is
from the Federal Deposit Insurance
Corp.
This triple threat on the bank
ers' books is distinctly undesirable,
and the Nep Dealers haue just
about reached the conclusion that
all three should be put under one
head. Consequently, you may
shortly erpect to hear of the CEN
tralizdtion OF bank examinations in
the F. D. ]. c., headed by capable
Leo CroWley.
Such a transfer has been opposed
by Mr. O'Connor, who thought all
should be under the controllers office.