Yorkville enquirer. [volume] (Yorkville, S.C.) 1855-2006, June 16, 1922, Page Page Six, Image 6
DAVID AND GOLIATH."
(Continued From Fage One.)
"" I
L Mr. Williams had made a good
troller, and that,.as far as he was
tonally concerned, lie would being
to report the nomination
Jrably and have it confirmed, but
t he had promised some one out'
of the senate that he would not
so, and was therefore restrained
n favorable action. If the gentle1
to whom he had given his promwould
release him he would make,
behalf of the committee, a favor>
report!
or two years, therefore, Mr. Wills
kept at his work in the face of
*-ln;? and sometimes -irritating hosjr.
Representative Carter Glass
Secretary of the Agriculture D. F.
joton, successively secretaries 01 ;
treasury, despite their being Wil- ;
men, had little sympathy for the
troller. Senator Olass is one of
bitterest opponents. Mr. Hous,
now identified with Wall street
ihc executive of one of the richest
porations. sits aloof in superior
lain. Both were and are "finans"
but neither Is a banker except
in academic sense. In the office ofrctary
of the treasury, the incumt
with a little theory is a dungcrnfficial.
With the retirement of
ll M. Warburg there remained no
ctlcal financier on the Federal Here
board except Mr. Williams, bese
"Plg^y" Harding ai he is
wn in Alabama bunking circles, is
outlne small-town banker of the
-eervlent type: this is to say, subrientHo
metropolitan banking.
Lr. Williams belongs to the conictfve
school. He is also a plainken
man, and it is this plain speakthat
has ipadc him the opponent
the Federal Reserve board, ft is
b that he was a member during the
lod about whi(*h he complains now,
it must not be overlooked that Mr.
lidfns had the supervision of 8,000
ional banks with 20,000,000 deposli,
and that he was primarily conler
of the currency and only secarlly
a member of the Federal
lerve board. The secretary of the
isury did not sit with the board
y often, and Mr. Williams, with
ugh other work to keep him busy,
, no time to arttend meetings that i
It solely with routine matters.
I the members of the Federal Re- ;
re board have been tempted to
aider their meetings as of transdent
import: to the other members
absence of the "controller" was
orglvable. What was his office
how? And that his disdain of the
lent office is not mythical may bo
? In a letter by governor Benja.
Strong, of the Federal Reserve
k of New York, to W. P. G. Hurdin
which he asks why the office
he controller of the currency shall
be abolished, and if jgt, ,jyl\?lhcj
lay not be made subordinate to the
eral Reserve board,
i tfas through the Instrumentality
the controller that irregularities
e found in certain institutions
ch the Federal Reserve board failto
investigate and report to the
eral Reserve banks at interest,
i most conspicuous example of this
ligence was that of the end of
enpber, 1919, the amount which the
eral Reserve bank of New York
i furnishing on loans and redisnts
and through the purchase of its
eptance to one banking institution
New York City, was about $130,
uuv, i nis institution, uy me way,
been conspicuous for its specuve
operations, most of which have
:e corpe home to roost. Mr. Wil- '
is has said, and the official figures !
prove, that "many millions of dol- 1
i of the funds of that particular '
tor institution were being used and
jloyed in loans to executive offl- I
s of the borrowipg institution and
lyndlcate enterprises In which they !
e heavily interested. For this |
rowed sum of $130,000,000 exceedby
$16,000,000 the total amount of
is and discount/ plus "bills and
cptances purchased" in the open
*ket by the Federal lie.serve bank
Dallas and Minneapolis,
eprosentative Ogdcn I* Mills, of
v York, seeking to learn whether
Federal Reserve bunk, provided
er eligible for discount is presentwould
have the right to deny creto
a particular bank, elicited this
ly:
Determining Money Rate
flanks all over the country, wheththey
have the right or not. are dotig
credit to customers who present
flble paper. Whether they have
light or not, they are doing it.
?re is nothing in the law that reIts
a mernoer hank to take every
i that is offered to it. It is supt>d
the hank will he run with some
iUlgcnce and discretion. The sysi
would go to wreck and rai- on
' other hypothesis." Klsewhere, Mi.
|llams added: "It may not he praeil
to identify the purposes for
ich each particular loan is intendbut
I regard it as the duty of a
icrve hank to inform itself in a gen1
way in regard to the purposes
which the money which it hands
to nieinher hanks is used.
If the Federal Reserve hoard llnds
t tlie Federal Reserve hank is in
hands of inefficient or incompetent
n it can remove its officers or rec
to approve their salaries. The
ltd can exercise a moral suasion
ich would he very effective. If the
I oral Reserve board should have
Rvledge of an> rotten condition in
particular hank, and should llml
t that particular hank was being
tvily favored by a reserve bank
where. I think it would he the duty
the Reserve Hoard to take anion.
A loan may he legal and rotten. Ii
s not rotten it piny he unfair."
Ir. Williams advised Governor
? .
:
t ??BLIND
GRADUATE OF BAR
g WB
, > > [MH| MB
& IP MLl fltn
IfMifi m
| P^^^BbS ^B
HBl Ibb
k Hb
| ^^^^^B^B ^ ^jgB
Miss Catherine Burke is, show
She graduated from Barnard Coll
Phi Beta Kappa key. Miss Evelvr
Miss Burke's right and Miss Evl I
left
Harding that the excessive loan al- !
ready referred to "is a concentration i
of the funds of the reserve system with '
one debtor bank, conspicuous for its j
speculative operations and promotions !
which, in my judgment, is not only not j
justified but distinctly dangerous, and J
I feci it my duty to register my strong J
dissent from a continuance of such j
conditions as these by writing you, as I
I am doing as an ex officio member i
of the board." As the bank in qucs- J
tlon was not a national bunk and i
therefore not under the supervision of
the office of the controller of the currency,
Mr. Williams believed that he
hud done all that could be incumbent
upon *hlm under the circumstances.
Wall street leaders have denied !
time and again that their bunks either
control or hold the bulk of the money
of the United States, in spite of the
Federal Reserve system, which as
managed has been virtually inopcra- '
tive in this instance, but the fact, as i
JhaiUtlready^hceu.stated in the columns
of The Dearborn Jti{Rj^-ikienf, that
commercial banks in many parts ol'
the country have been seduced by un- :
natural interest rates in New York !
City into sending funds away from ]
hqine to be loaned in Wall street at |
those exorbitant rates. I have, of
course, Controller Williams' word in ,
support of this allegation.
It seems that every business day a
group of brokers, members of the j
New York Stock exchange, get to- j
.1 e.? 1..., thn flnr,,.
gVUlCI iUl WUKOUIUUIUII wii l IIV uwt I
of the exchange, or by the telephone, j
and determine what, in its view, is !
the proper rate for the renewal of nil
street or brokers' call loans for that
day. As soon as the rate is agreed
upon it is posted and then sent over
the- ticker to all the banks. This rate
is binding upon the out-of-town correspondents
unless other special arrangements
exist. Banks everywhere
mark up or down, as the case may be,
upon virtually all of their brokers'
leans.
Of course, it is often imagined by 1
the people that the usury laws are
drastic enough to prevent high-interest
abuses, but such is not the case.
Under the New York banking law, it
is lawful for a lender to charge any
rate of interest whien may be agreed
j up>n with the borrower on a demand
! lo; n for $5,000 or mofe secured by
stocks, or other securities. This prol
vision enables lenders to escape j onattics
for usury which exist in nearly
AMBASSADOR'S DAUGHT
Ka ' mrZmSS?,s*a4
S?r ,. ^, . ,.......
I\Irri. Marcelltis Thompson, <lai
envoy to Great Britain, is seen lior
invented by her father-in-law, Ge
' fires 1,000 shots a minute, hut Is Si
NARD AND COMPANIONS.
n in the center of the above picture,
ege with honors and was awarded a
i Orne, the olass valedictorian, is on
i. Jacoby, the class president, on her
nil of the other states. Is it any wonder
that money gravitates to New
York?
That is why money legitimately belonging
to a small community is manipulated
by the bankers so that it
shall find asylum in the metropolis,
to detriment of the local depositors
and tiieir financial requirements.
87 1-2 Per Cent Per Annum.
Small banks are subjected to penalties
or special charges. Controller
Wi.linms has called the country's attention
to a little member bank in
Alabama, temporarily deficient in reserve,
and because of this technicality
Svas forced to pay penalties which In
one instance meant S7 1-2 per cent,
interest per annum. Other instances
are mentioned in the official records
where member banks borrowing1 heavily
from the Federal Reserve hank of
New York at six per cent, were exacting
interest rates ranging from 20
per cent, to 100 per cent, from customers
at t heir mercy.
This, U>o,t while the New York Reserve
bank loaned to two ipember
banking institutions in that city, both
conspicuous for their speculative activities,"^250,000,000,
while?mark this
difference?six other Federal Reserve
banks (Districts 1, 2, 3, 4, 5, 8) had
loaned to about 4,000 member banks
$15,642,000. This means that these
banks obtained an average of $3,875
In; ns against the ratio of $125,000,000
for each of two privileged New York
banks.
It has boon alleged by apologists for
the money trust that these New York
banks borrowed in order to lend to
correspondent banks. Theoretically,
yes, hut actually, no. Mr. Williams
lies said that one of the borrowing
hanks was lending to its own chief
executive officer and his immediate
family, largely on speculative securities,
more money than his bank at the
same time was lending to all of its
national bank correspondents throughout
the United States.
Ill ilitill1' crust*;--, ;in ?n r, w iiitaiuo iiuo
attcmpcd t'? expose, secret methods
have bc? n adopted by the officers of
tlfese hanks in using the funds of
I their institutions. 11 is examining
force was constantly discovering new
means and methods whereby the officers
and directors of banks sought
l<> camouflage or conceal their heavy
borrowings, such its "family" corporations,
dummy loans and private
"syndicates."
I
ER BEHIND BANDIT GUN.
uphter of George llarvev, American
e operating the new gun which was
n. John T. Thompson. The weapon
iH to have no recoil,
Spending Money for Palaces.
Of late, the public has sporadically
hoard about wastejuf money tor bjwjkfaff
palaces. They have not heard
that Mr. Williams has said that live
or six millions could have been saved <
In the administration of the New York
Reserve Hank last year, "if it had boon
run with a proper regard to Intelligent
administration and economy and
of the amount to be saved, 90 per cent,
would have gone into the .Federal
treasury."
It is probably, from what I know of
Mr. Williams after an acquaintance of
nine years, that he wpuld not have
gone very far into a discission whose
object would have been tire building of
a $25,000,000 bank In New.York with
public money. Nor that he would
have approved an expenditure of $50,000,000
in four cities at a period when
the congress ceased authorizing new
public buildings. At the end of last
December the Reserve bank of St.
Ivouis numbered a staff of 517, while
that in Cleveland numbered 598, with
this dJffcrcncor? that it cost the St.
Louis bank $987 per capita and the
Cleveland bank $11,093 per capita to
louse their respective employes. Mr.
Williams emphatically declares that
surely there is "somr thing rotten In
Denmark."
Yet the national scandal, as it has
been termed, has been headed for oblivion.
"What Is the reason the newspapers
ignore it?" one of Mr. Williams'
correspondents wanted to know.
"Believe me, they would not have
ignored it 25 years ago; nor the magazines
15 years ago.
"The facts of the suppression is more
momentous than the scandal that is
suppressed, tremendous as it is. These
are disquieting conditions/'
A few thousand dollars involved In
any sort ol' mismanagement, public
or quasi-public was sufficient for
editors a decade ago to devote pages
of space to it for months, under the
direction of their star reporters. One
may ask?what has become of these
star reporters? What are they writing
about today?
REPORT ON BOOZE
Bettor Law Enforcement Throughout
the Country Says Haynes.
Less than one-third as much whiskey
was withdrawn from warehouses
during the eleven months ended April
22, 1922, as in the eleven months ended
with April, 1921, according to Itt
A. Haynes, federal prohibition commissioner,
in a review of his first
year's work made public by him recently.
"R?al constructive accomplishments
have resulted" from his
year's work. Commissioner Haynes
/
asserts.
Withdrawals of whiskey, during the
eleven months from June, 1920, to
April, 1921, were 9,696,122.4 gallons,
Mr. Haynes says, while from 'June,
1921, to April 22, 1922, they >iad*bccn
reduced to only 2,027,333.3 gallons, a
reduction of more than two-thirds.
The withdrawals of alcohol' and
other distilled spirits from June, 1920,
to April, 1921, amounted to 24,856,3SS.88
gallons. From June, 1921, 'to
April, 1922, the withdrawals totalled
only 16,491,303.92?a reduction Of almost
one-third.
Permit System Improved.
"Notable improvement has been effected
in the permit situation," says
Commissioner lluyncs, "and every ef- |
fort made to reduce the number of<
counterfeit and forged withdrawal per- I
mits and physician#' prescription
blanks.
"A new and unique withdrawal permit
and a new physicians' prescription
blank have been devised and put
into use. These new forms are printed
from an engraved plato upon es
1i~i?iiit> UCM^III'U aviiniiiM'U I'.IJK'J , uuu
for still further protection an ingenious
machine resembling a ,check writer
has l>een manufactured, by which an
impress is made on each withdrawal
permit showing the amount of liquor
authorized to be withdrawn.
"The fact that the bureau lias I men
PROFESSIONAL CARDS
Dr. C. L. WOOTEN
? DEN TIS T ?
OFFICE OVER THE POSTOFFICE
Telephones: Office, 128; Residence, 53
CLOVER, - - S. C.
71 t. f. , 6m
J. S. BRICE
Attorney At Law.
Prompt Attention to all Legs*
niifdness of Whatever Nature.
Office on Main Street in the Moore
Building, First Floor, formerly occupied
by S. E. Spencer.
J. A. Marion W. G. Finley J
MARION AND FINLEY
Ml lunmcro Ml LMw
Office opposite the Courthouse.
Phone 126. YORK,8. C.
DR. WM. M. KENNEDY
? DENTAL SURGEON ?
Office, on Second Floor of the Wylis
Building. ,
Telephone*: Office, 99; Residence, li#
YORK. - 8. C.
YORK FURNITURE^COT
Undertakers ? Embalmers
YORK, - - 8. c.
In All Its Branches?Motor Equipment
Prompt Service Day or Night In
Town or Country.
JOHN R. HART
ATTORNEY AND COUNSELLOR
AT LAW.
Prompt and Carsful Attention to AM
Business Undertakenfolephone
No. 69. YORK. 8. C.
76 f.t It1
~y i
able to obtain many convictions has
ufiquHtlonnbiy Increased favorable
l>ul>lic opyiion, and I need only to cite
the Remus* case as an outstanding
success In obtaining a conviction
against what a year ago would have
been unsurmountablo obstacles.
Playing No pavorites.
"Also'1 the fact that indictments
liave In-en secured against former officials
Indicates an intention to play
no favor lies'. Recent verdicts indi- !
oatc that Juries arc assuming a I
more drastic attitude toward violators '
of the liquor laws.
"One of tlu* first acts of this admin- i
1st ration, under date of Aug. 9. 19,21. [
resulted in a decided improvement
In fhe brewery situation. Having a
special group prepare all criminal informations,
indictments, injunctions,
libels and search warrants, with necfisary
supporting affidavits for ill
l||g through the Department of JusTAKEN0T1CE
The Sanitary Market
Has moved from Congress
Street to
' ' < ?'L
Madison Street
And are now ready to
promptly fill all orders.
J ust continue to
Call No. 6
t.
For your wants in all
kinds of meats.
** ' ' ' ? \
SANITARY MARKET |
? LEWIS G. FERGUSON, Mgr.
L 4
See, Phone or Write to
THOS. C. OTARRELL
ft ' , FOR
High Grade Monuments
In Marble and Granite
Plant on Eaat Liberty 8treet, Adjoin*
ing Rose Mill uemetery.
iiiiiiiuikiiiiifiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiy.
i CATHOLIC BOOKS I
I > < ' I
= SENT FREE ON APPLICATION. =
3 GET YOUR INFORMATION ""
j| FIRST riAND. j
5 QUESTIONS ANSWERED BY 5
3 MAIL.
5 WRITE TO
| REV. W. A. TOBIN
~ 8aint Anne'# Church
5 ROCK HILL, 8. C. |
i H
|
| f ^ f ^
$ ^ if f$ #. 8 -# ft J J
I i X I '"Srftbi ::: *.*' : :: >. k! ' f.V
i ^
! , ri
tier, has proved invaluable as a j
weapon.
"The fact that .some twelve cAscs
have been rettlod within a period of I
sixty days by the entering of picas j
of guilty and the compromise of the j
civil liabilities demonstrated the success
of the policy under which we are
now working. Operators of breweries
now realize that the law will be enforced
with all possible severity.
? Washington, June 13: According to ,
a statement today by the commission- ,
er of internal revenue, South Carolina ,
for 19l'0, paid into the treasury as in- I
come tax. $:i.326,K75. The returns num- i
tfWWUVIA
1 AWN
I
X IF IT IS AWNINGS
\ We can fix you up. They
X the hot sunshine and he 1
i
I ICE CREAM FREE
| Icc Saws, icc Hooks, Icc
X Glasses. Come and let 11
X nicr's necessities.
I
? Ask to see the "Hot <
X picnics and other outing*
?
| Call at the RED "W" S
X Wants. We can suj
t :? : ?
| YORK HARI
! UNDERWOOD
%
We have made arrai
jr writer Emporium, (Ship
? Chicago, for the sale of
? Typewriters in this te
y Ward Mfg. Co., speciali:
j wood machines, devoting
X cago to this work alone,
jt years they have rebuilt a
X sands of Underwood T;
X which is sold under an ir<
? every way equal to NEW
? antee. Every machine
X machine, in cither No. 4
t 4 carries 70 characters a
i actors. Both have 10 inc
%
? We will sell you citlie
? stallments as you prefei
$ for $77.50 and the No. 5
\j press charges. The in
? ments is $3.00 cash, and J
If you prefer to pay c
$ is 10 ])er cent less than
'? plus the express charges
|
:!; Tlic Sliipman-Ward ]
$ sponsible references as
j* buyer 011 installments.
I We will be pleased t<_
X formation you might des
L. M. GRIST'S S
X
ERE IT 1'
'EVER YOU V
IF you're lookin;
iyou have sometl
results surely am
WANT ADS.
j A THERE ARE III
; J waiting to make a
| J and many of tliei
: X whom you want to
j J THE WANT AD!
I itabjc fairy god-mo
; ' J time or other, so i
; / Opportunity.
I
j ^ TheYo
bored 33,044. The income of those
making"telhrfis ?wa!C $109,248,057. The
per rent of population making returns '
was 1.96. The ,average amount was v
$3,306.09. Tho awe rage amount of tax
per return was #07.96. Since Ii 14 returns
have been as follows: 1920, 33.044:
1919, 37.296; 1918. 20,239; 1917, i
22,321; 1916, 1,20-^
'.> The total mortgage debt on owned
homes and farms in Indiana is $227,162,109.
Tho total value of these mort- > *
gag"d homes and farms is $760,128,279.
The mortgage ty?bt thus represents
nearly 30 per cent, of the total value.
This is in accordance with-, the census
of 1920. 11 ' J ;
INGS |
1 YOU WANT call on Us. $
arc going good. Cut out v
uorc comfortable.- !
ZERS. ICE PICKS I
Tea Glasses and Sherbet $
s show you some of sum- x
or Cold" Gallon Cans for j;
itore for Your Hardware j:
)ply them. j
3WARE CO. I
TYPEWRITERS f
ugements with the Type- ?>
tman-Ward Aifg. Cq.), of
their Rebuilt Underwood ;;
rritory. The Shipman- ?
2es 011 rebuilding Under- ?
? a large building in Chi- * ;;
, During the past dozen ;;
nd sold hundreds of thou- ?
rpcwritcrs, every one of ? '
m-clad guarantee to be in ;;
r, with a Five-Year Guar- ;;
offered is an up-to-date ;;
or No, 5 Models?the<No. !!
nd the No. 5 has 84 char- !;
;h carriages. - X
%
r model for Cash or on in- - ?' ~
*. The Alodcl No. 4 sells
i for $83.50?plus the ex- t
itial payment on ihstall- Z
(55.00 per month. ?
4 >
:ash on delivery, the price jt
the installment prices? X
tffg. Co., requires two re- ?
to responsibility of the
i give you any further in- ?
ire. See or address? ?
ONS, YORK, S. C. I
?
s? I
/ANT! I
g for a "job," or if ?
- 11 i c
ling to sen?to get
d quickly, use the
J
XPREDS of people just ?
11 exchange of some sort, J
n are just the ones with ?
get in touch. j
1 HAVE PROVEN a ver- j
>ther to most folks at some A
ivail vourself of the same f
I
rkville Enquirer j