NEWS WORTH REMEMBERING
News Worth Remembering THE Administration currency reform bill, as shaped by the Democratic caucus, passed the Senate December 19, by a vote of 54 to 34. Senator Hitchcock, who had led the...
...51 to 30...
...of the federal reserve notes issued to the banks and in actual circulation, and not offset by gold or lawful money deposited with the federal reserve agent...
...of its demand liabilities and 5 per cent...
...The following Republicans joined the Democrats in voting for the bill: Crawford, Jones, Perkins, Norris, Sterling, Weeks...
...Before sending the bill to the conference committee, the House accepted the Senate's provisions authorizing rediscounting of six months commercial paper by national banks and permitting five year farmers' loans...
...This amendment was defeated...
...Daniels said...
...It is very gratifying that the company should thus volunteer to adjust its business to the conditions of competition...
...Provision for a tax on the deficiency in reserves held against deposits in reserve banks...
...bonds on which present bank note circulation is based...
...The vote on the resolution was as follows: Aye—Arkansas, California, Colorado, Connecticut, Delaware, District of Columbia, Florida, Idaho, Indiana, Iowa, Kansas, Louisiana, Maine, Maryland, Massachusetts, Michigan, Minnesota, Missouri, Montana, Nevada, New Hampshire, New Jersey, New Mexico, North Carolina, New York, North Dakota, Ohio, Oklahoma, Oregon, Pennsylvania, Rhode Island, South Carolina, Tennessee, Utah, Vermont, Washington, West Virginia, Wisconsin—38...
...Kentucky, twenty-six in 1912, twenty-five in 191G...
...New York, ninety in 1912, eighty-six in 1916...
...Permission granted to national banks having a capital of $1,000,000 or over to establish branch banks in foreign Countries...
...Nothing in the act to be considered as repealing the parity provision of the gold standard act of 1900...
...Florida, twelve in 1912, eight in 1916...
...Federal reserve banks to discount notes, drafts and bills of exchange issued for agricultural, industrial or commercial purposes upon the indorsement of member banks with a waiver of demand notice and protest by such banks...
...Federal reserve board members to be chosen according to financial,- as well as geographical,- di-visions.Gold reserve behind new currency notes to be 40 per cent...
...Following is the resolution: "Confident that the action of this committee, representing as...
...Without a dissenting vote the com-mittee decided to make a change in the basis of representation in national conventions which will reduce the representation of southern states, gave full recognition to the principle of the primary in the election of dele-gates to such conventions, approved laws regarding such elections that have been adopted by several states which provide that all delegates be selected at large and accepted the principle that delegates properly accredited by state authorities be placed on the temporary convention roll...
...additional delegate from each con gressional district in which the vote either for Republican presidential electors in 1908, or for the Republican candidate for the congress in 1914, shall have been not less than 7,500...
...Desertions from the United States army during the past year were 4,451, or 5.48 per cent...
...one delega from each congressional district...
...Six months' paper held by banks in agricultural sections admitted to discount privileges in limited amounts...
...Every new proposition in the post-office appropriation bill including an item of two million dollars for increased pay for rural carriers has been eliminated by the Postoffice Committee of the House as an economy measure...
...one delegate-at-large for each representative in the congress-at large from any state...
...of its time deposits...
...Tennessee, twenty-four in 1912, twenty-one in 1916...
...Paper covering merely investments or issued for trading in stocks, bonds or securities other than bonds of the United States not to be eligible for discount under any circumstances...
...Requirement that every federal reserve bank maintain reserves in gold or lawful money of not less than 35 per cent...
...The bill was then sent immediately to the conference committee to reconcile the differences btween the two houses...
...At the constitutional election held a year ago in Ohio, the amendment declaring for a minimum wage law was given a larger majority than any other...
...The Standard Oil Company," he said, "started out some years ago to -combine enough of the banking interests to effect a control of the financial situation...
...The session of the legislature held subsequently failed to enact such a law...
...Louisiana, twenty in 1912, thirteen in 1916...
...Mississippi, twenty in 1912, twelve in 1916...
...The second amendment provided that no member of the federal reserve board, any officer or director of a regional or member bank should be a director or officer of any other bank, trust company or insurance company...
...News Notes —Cadillac, Michigan, has adopted the commission form of government with the city manager plan...
...So long as we are dealt with in this spirit we can help to build up the business of the country upon sound and permanent lines...
...Should subscriptions by banks to the stock of the federal reserve banks not supply sufficient capital in the judgment of the organization committee, stock shall be offered to public subscription at par in amounts to be determined by the committee...
...Informally, it had been agreed that the new basis of representation should be referred to the Republicans in the various states for ratification...
...This paralleled the Standard Oil group, and these two great combines account for the control of money and credits and capital in the greatest center of finance in the western hemisphere...
...State banks and trust companies to have privilege of joining in the system with national banks...
...against its deposits and its federal reserve notes in actual circulation, but the amount of gold in the federal reserve banks, together with the amount deposited by it with the treasurer to be at least equal to 40 per cent...
...The federal reserve board to have power to require federal reserve banks to rediscount the discounted paper of other federal reserve banks at rates of interest fixed by the board...
...Insurance of bank deposits provided for banks joining in the new system...
...The committee practically decided that a little later it will issue an address to the country...
...Enlistments for the year had been but 3,352...
...The Democratic vote was solidly in favor of the bill...
...I told him that did not mean it should be sung after the November elections of a year ago, as the whole Philippine policy of the government has changed, this administration making every effort to give Independence to the Filipinos, when they are ready for it...
...It was pointed out to the Secretary that the song had been sung at many Carabao dinners in previous years and had originally read "Damn, Damn, Damn the Filipinos," but had been amended...
...The Senate had previously rejected, without a roll call, a "central bank" bill offered as a substitute by Senator Burton...
...The first provided that "no United States Senator or Representative in Congress shall be a member of the federal reserve board, a director in a federal reserve bank or an officer or director of any member banks...
...I gain the impression more and more from week to week that the business men of the country are sincerely desirous of conforming with the law, and it is very gratifying indeed to have occasion, as in this instance, to deal with them in complete frankness and to be able to show them that all that we desire is an opportunity to co-operate with them...
...and that for each delegate chosen an alternate delegate shall be chosen in the same manner and, at the same time to act in the absence of the delegate...
...If the amount subscribed by banks and public is not sufficient, stock is to be allotted to the United States at par and paid for out of the treasury...
...Daniels said, "the thing I thought was particularly offensive was the song, 'Damn, Damn, Damn the Insurrectos.' Had I known it was to have been sung I would have asked that it be eliminated from the program or I would not have gone...
...Creation of a general board of control, called the federal reserve board, acting on behalf of the national government, consisting of seven mem-bers, including the Secretary of the Treasury as an ex officio member and six members appointed by the President...
...Another group, the Horgan group, was organized, with the National Bank of Commerce at its head, controlling another dozen banks and trust companies...
...Provision for a federal advisory council of as many members as there are reserve districts, each district electing one through the directors of the federal reserve banks...
...A provision by which the federal reserve board may require federal reserve banks to purchase government bonds from member banks...
...This, Senator La Follette said, was designed to prevent the "money trust" from gaining control of the new system through interlocking directorates...
...South Carolina, eighteen in 1912, eleven in 1916...
...a bank in a central reserve city, 18 per cent...
...followed the formal defeat by 44 to 41 of the "Hitchcock bill," which had been indorsed by Senator Hitchcock and five Republican members of the evenly divided Senate committee that passed on the legislation...
...Cordially and sincerely yours, WOODROW WILSON...
...Georgia, twenty-eight in 1912, eighteen in 1916...
...No federal reserve bank shall start business with a subscribed capital of less than $3,000,000...
...Provision for gradual retirement of 2 per cent...
...a bank in a reserve city, 15 per cent...
...bond...
...The purpose of the health centers would be to teach citizens how to keep well...
...Arkansas, eighteen in 1912, fifteen in 1916...
...Department officials declared that the plan gave the government everything and more than it could have hoped to obtain in court...
...Secretary of agriculture removed from federal reserve board...
...Attorney General: Thank you for letting me see the letter from the American Telephone and Telegraph Company...
...This will forestall a suit to "dissolve" that corporation under the anti-trust act...
...Any national hank which fails to become a member of the reserve association within one year or fails to comply with the provisions of the act shall forfeit its rights under the national bank act and this act, in the discretion of the federal reserve board...
...All of them were signed by the Governor...
...Members of federal reserve board prohibited from becoming officers of member banks for more than two years after retirement from the board...
...Carabaos" Offend Wilson Official Washington was stirred last week by President Wilson's order for an investigation of the dinner of "The Military Order of the Carabaos...
...This society is composed of regular and volunteer officers of the army and navy who served in the Philippine Islands during the four-years succeeding the Spanish American War...
...Reserve requirements: A bank not in a reserve or central reserve city shall keep reserve equal to 12 per cent...
...Bell System" Reorganizes The American Telephone and Telegraph Company, the telephone trust, has agreed to reorganize...
...Municipal "health centers" primarily to prevent sickness rather than to cure were recommended to the New York City board of Estimate by a committee that has been investigating the city's hospital system...
...The note issue provided for is an issue of government treasury notes, obligations of the United States and receivable for all taxes, customs, duties and other public duties, to be redeemable at par on demand...
...The other compromises effected were: Rejected of the provision permitting use of new federal reserve notes as reserves by member banks, attacked in the House as likely -to cause inflation...
...The bill provides for the seizure of all such merchandise by the customs officials and for the prosecution of the offenders...
...and Hawaii, six in 1912, two in 1916...
...Cardinal Rampolla, formerly papal secretary of state and at the death of Pope Leo XIII...
...The reorganization plan originated with the company, it is reported, although it followed many rumors that a suit against the company might be filed by the Department of Justice...
...A group of labor union men have organized "The Ohio Minimum Wage League" for the purpose of stimulating statewide interest in a minimum wage law and securing the 30,000 signatures necessary to secure a popular vote on a proposed measure under the initiative...
...of its demand liabilities and 5 per cent...
...The adoption of the Administration bill, known as the "Owen bill...
...The main provisions of this measure as passed by the Senate are: Division of the country into not less than eight nor more than twelve districts and the organization of a reserve bank in each district...
...The plan met not only the approval of Attorney General McReynolds and officials of the subsidiaries of the trust, but was heartily approved by President Wilson, who sent the following letter to McReynolds: My Dear Mr...
...Senator La Follette proposed two amendments just before the bill came to a vote...
...be it "Resolved, That this committee shall issue a call for the national convention to be held in the year 1916, to nominate candidates for President and Vice-President in accordance with the following basis of representation...
...At the time of the recent illness of Pope Pius X, when for a time there seemed but little or no chance for the recovery of the supreme pontiff, Cardinal Rampolla was again spoken of as a probable choice for the papacy...
...Army and navy officers have no business singing either version," Mr...
...Each state shall be entitled in such convention to four delegates-at-large...
...In brief, the agreement between the Bell system and the Department of Justice provides that: The American Telephone and Telegraph Company will dispose promptly of its holdings in the Western Union Telegraph Company so that each concern shall be under distinct management and entirely independent...
...Minimum capital stock of regional reserve banks made $4,000,000...
...The conference committee eliminated the Senate's provision for a guarantee of bank deposits...
...When President Wilson's attention was brought to this, he expressed his indignation, ordered an investigation and formally withdrew his recent acceptance of honorary membership in this society...
...of its time deposits...
...The company will not hereafter acquire control of other telephone companies and where control of telephone companies has been acquired but no actual physical union has been effected the American Telephone and Telepragh Company will submit the course it is to pursue to the interstate commerce commission and the Department of Justice...
...The salary of each member to be $12,000...
...Outside the organization there is opposition to this program on the ground that the committee is not representative of the sentiment existing in the party throughout the country...
...No—Alabama, Georgia, Mississippi, Nebraska, South Dakota, Texas, Virginia—7...
...The National Republican Committee in session at Washington last week after consideration and at times heated discussion, decided it has the power to do all that a national convention could do in revising the party rules and regulations...
...A storm of criticism has been aroused by the President's order in Army and Navy circles...
...San Francisco, Chicago and Boston...
...An explanation of the incident at the Carabao dinner was sent to Secretaries Garrison and Daniels by Major General Aleshire, Brigadier General McIntyre and Rear Admiral Howard...
...A bill to prohibit the importation into the United States of all merchandise manufactured by convict labor has been introduced by Representative Buchanan...
...of the enlisted force...
...On the night of December 11, the Carabao society held a banquet attended by members of the Cabinet at which a song was sung containing the following: Damn, damn, damn the insurrectos, Cross-eyed kakiack ladrones, Underneath the Starry Flag, Civilize 'em with a Krag, And return us to our own beloved homes...
...Secretary Daniels, who made a speech at the dinner, but left early to attend the congressional reception, said afterward that none of the "stunts" had taken place while he was present...
...Officials were more than pleased with the last part of the agreement, by which the Bell company gives long distance service to subscribers of other companies, and did not deny that they never had hoped to gain such a point by suit under the antitrust act...
...Provided, however, that the above basis of representation shall not be made the basis of the call for the national convention to be held In the year 1916, unless prior to January 1, 1915, Republican state conventions held under the laws of the states or called by the Republican state committees of the states in such number of states as are entitled to cast a majority of the votes in the present electoral college, shall ratify the action of this committee in respect to determining this basis of representation...
...of its time deposits...
...the man most widely discussed as possible successor, died at Rome December 16...
...One naval officer said to me that President Taft had heard the song at a previous dinner and had not objected...
...Illinois, fifty-eight in 1912, fifty-six in 1916...
...The committee adjourned with no set plan for future meetings and probably will not convene again until 1915...
...The bill went immediately to the House but by a vote of 294 to 54 it refused to accept the measure as passed by the Senate...
...Republican National Committee Changes Party Rules There will not be an extraordinary convention of the Republican party for "getting together" purposes in 1914...
...it does practically the unanimous sentiment of the Republican electors of the states, will be ratified by the Republican electors of the states...
...The society," read the letter, "composed largely of army and navy officers, is greatly distressed that anything in its entertainment should be offensive to its invited guests...
...Transfer of all monies now held in the general fund of the treasury to the reserve banks, disbursements to be thereafter made by check upon such banks...
...A dozen leading banks and trust companies were brought together into an organization at the head of which stood the National City Bank...
...Provisions for "farm mortgage loans under strict limitations as to the value of the security and for five-year terms...
...Pennsylvania, seventy-six in 1912, seventy-five in 1916...
...Texas, forty in 1912, twenty-five in 1916...
...This amendment was adopted without a roll call...
...While I was there," Mr...
...Senator Poindexter, who is listed as a Progressive, also voted with the Democrats for the bill...
...This bill proposed to give to these same men who have organized this combination control of the regional bank in New York, and it does not stop there...
...Virginia, twenty-four in 1912, fifteen in 1916...
...North Carolina, twenty-four in 1912, twenty-one in 1916...
...A new section for retirement of outstanding government two per cent...
...Louis...
...The reductions in delegations from states provided for under the new plan are as follows: Alabama, twenty-four delegates in 1912, fifteen in 1916...
...Senator Hitchcock, who had led the opposition to the bill, maintained his party regularity on the final roll call and voted with the Democratic majority...
...the federal reserve board to determine what paper is thus eligible for discount...
...The company will promptly make arrangements by which all other telephone companies in the United States shall have access to its toll lines...
...It would reach out and elect directors in banks at St...
...Senate provision for "not less than eight or more than twelve" reserve banks approved...
...At this writing, December 22, it appears that the conference has succeeded in effecting an agreement so that the measure will be hastened to its final passage and signature by the President, thus effecting another triumph for Caucus methods...
...Before adjournment, the New York legislature passed with record breaking speed bills providing for direct primaries, for the direct election of United States Senators, for the Massachusetts ballot and for workmen's compensation...
...ef its demand liabilities and 5 per cent...
Vol. 5 • December 1913 • No. 52
