The Washington times., 1935-05-11

attempt to bring the control Of
banking and credit under political
control. This Is the vital issue.
because it concerns the where
withal for spending. It concerns
the money bags.
Mr.. Eccles is chosen by the
President and represents him.
Eccles says that individuals
don't spend as they should,
and that the Government is
therefore going to spend. But
the Government hasn't any
money, except what it takes
away from individuals. There
fore, it is going to seize con.
troll Of the banks, and through
them it will issue all the paper
money it wants.
This is what the banking bill
means.
The main provisions of the
banking bill are as follows:
Cd It subjects the banking
system Of the country completely
to the control of the politicians.
The governor of the Reserve
Board is to serve only at the
pleasure of Mr.. Roosevelt. The
Reserve Board is to consist of the
appointees of Mr.. Roosevelt, and
are to be subject to removal at
his will.
It is proposed to maintain the
form or shell of the Federal Re-
serve System, but to set up in
fact a huge central banking Sys.
tenn subject to even greater po-
litical domination than that
which wrecked the nations fl
nances in our early history.
CD This politically dominated
banking board is to be given prac.
tically complete control over the
nations economic life.
It is to decide at will on pur.
chases of Government bonds.
Whenever Mr.. Roosevelt wants to
borrow a few billions, he will un-
load bonds on his bank, and have
them print him up the billions he
wants, in the form of bank notes.
It is to decide at will what re.
serves the banks are to hold.
Thus, at Mr.. Rooseve1t's pleas.
ure, it can initiate our currency or
ruin the banks.
Without any requirements, the
excess reserves of our banks, upon
which depend their loans, can be
raised or lowered at a politicians
whiln.
90 The politically controlled
Reserve Board is to be allowed to
lend to the banks on ANY sound
assets'-meaning any assets it
thinks to be sound.
"a The banks are to be al
lowed to make 20-year loans on
real estate.
5-Of course, deposits up to
$4,000 are to be insured by the
Government. But that means lit
tie, because the Government can
juggle the value of those deposits.
1t can change the reserves against
deposits, and depreciate the value
of currency.
All this means the natiOnali.
cation of banking. It Is straight
monetary socialism.
1t virtually means that our dc.
posts are to be subjected to Mr..
Roosevelt's control, and be used
as he sees fit.
Under sound banking, deposits
are not owned by banks. They
belong to the individual deposit
ors, and the banks owe depositors
the amounts deposited. BY what
right, then, does this motley New
Deal crowd, having seized our
gold, proceed to seize our bank
deposits and subject them to their
political whims?
What they are proposing to do
is to grab the general assets" of
the nation-your Gssets and mine
and force us to take New Deal
promises in return. This they do
to perpetuate their political ma
chine and pay for the Senseless
reforms" upon which they have
set their hearts.
This bill concerns every citizen
who has any money, investments,
or fixed sources of income. Think
it over.
The only hope lies in the Sen
ate. BY all means, write to your
Tell them you don't
want that Eccles banking bill
that you don't want political jug.
Cling with bank credit.