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DECEMBERS. 0, 1909
a notice was published in the newspapers, ad
dressed to the owners of these unclaimed de
posits, advising them that they could got their
money on demand at the Central State Bank of
Oklahoma City. As to bank balances over 90 per
cent is paid and balance being paid as called for.
Your number fourteen, of course, is answered
above. The depositors having been paid, no
further assessment is necessary.
Your number fifteen is a rehash in different
language of incorrect statements which we havo
already answered.
Your number sixteen, of course, suggests a
possibility. If all of the banks in the world
break at the same time, there will be a world
wide calamity. It might bo said with almost
as much sense that if an earthquake rents the
state of Kansas from Colorado to Missouri, de
pressing the surface and creating one vast lake
of that entire state, that there will bo a calamity
among its people and a suffering for want of
bread, but whenever such a bank calamity oc
curs, the depositors of tho Oklahoma state banks
will receive interest bearing paper, redeemable
at an early future date, but what will
tho depositors of your pet national banks
receivo in the presence of such a calamity.
"We sincerely trust they would receive more and
get it' a good deal faster than the depositors
havo from the failed Capital National Bank of
Guthrie, which failed April 4, 1904, and up to
date the total of all 'payments received by de
positors is less than the rato of interest allowed
under the Oklahoma Territory law.
Answering number seventeen Oklahoma -is
profiting by experience. It will never repeal its
banking law, however. From experience, past
and future, it may add a slight amendment hero
or there and will redouble its efforts at strict
law enforcement.
In justice to Mr. Norton, who has been a suc
cessful business man and who, in his recent
trouble, has shown his Inclination to bo honest
and fair to his bank creditors by turning over
to the banking t board an amount of private
property 'doubtless sufficient to reimburse .every
dollar of liability, has impressed me that gen
erosity to his friends was his greatest offense.
In short, Mr. Editor, you will agree with me,
I am sure, that when a national bank is to be
closed in a tow;n large enough to have a chief
of police, the first act of the district bank ex
aminer is to appeal to the chief of police to put
a guard around the bank to suppress the antici
pated riot.
That don't happen at an Oklahoma state bank.
Policemen are wholly unnecessary.
Another feature the failure of a national
bank invariably embarrasses its depositors, de
presses business generally within the sphere of
its influence, leads to distress and the hoarding
of money and general unsettled conditions, none
of which occur when an Oklahoma state bank
requires liquidation,
With this large institution, the largest bank
In our state, almost wholly liquidated and paid
out in thirty-nine days at one hundred cents
on the dollar and only two hundred and forty
eight thousand dollars of emergency assessment
drawn from the other banks of the state, with
the depositors satisfied, with the people of tno
Btato satisfied, with, the state bankers satisfied,
what on eaTth are you kicking about?
, As proof of the feeling that our bankers have
for our state banking law, let me remind you
that from the date of our law so passed, nearly
two years ago, there has been two state banks
nationalized, one since the Columbia'- failure.
During the same period, there have been ninety
seven national banks converted into state banks,
one since the Columbia failure. Where, Mr.
Editor, does that look like a grand rush of bank
ers to escape the Oklahoma law, and during that
same period, the state banks have increased
twenty-seven millions of dollars in their deposits
and the national banks practically no increase.
I do not desire to be misunderstood. Okla
homa has a large -number of national banks,
about two hundred, I believe, and they are in
stitutions that the state is proud of and would
render any favor or assistance in its power.
They need, however, the blessing of a good na
tional banking law that will put them on an
equality at least with the state banks. They
need a policy of administration in case of mis
fortune that will not lock up the funds and stag
nate the business of the community and not re
quire the presence of a policeman where the de
positor is entitled to find a paying teller.
Just of recent date, since the Columbia Bank
and Trust. Company has been in our hands for
liquidation, I recall that one national bank has
failed in California, one in Wisconsin and one in
Ohio. There may have been others of which I
The Commoner.
know not, but I can toll you this, that not a
singlo depositor has beon ablo to get a cent of
money out of any ono of thoBO threo failed na
tional banks during tho thirty-nino days that wo
completed tho liquidation of tho Columbia Bank
and Trust Company. Our doore woro nover
closed for a singlo hour of any business day
and no depositor demanding his monoy was over'
turned away without it. In short, Mr. Editor,
you can't got around this proposition. In Okla
hoino, tho bank depositor in a stato bank gets
his cash whon ho calls for it.
Just another explanation I would liko you to
mako. Tho American National Bank, above re
ferred to, was found insolvent a' fow days after
wo took charge of tho Columbia bank. Fortu
nately there were some public spirited, wealthy
citizens in Bartlesvillo ready to organizo a new
bank and take tho place of tho American Na
tional and with sufficient collateral did assumo
all its obligations. Toll your readers why you
havo never called attention to tho failure of tho
American National Bank and why you havo nover
talked about the gross inofllcioncy of tho na
tional banking law, under which tho American
National operated. A great nowspaper should
not become so partisan on men or subjects that
it will suppress news In this way. If tho Co
lumbia bank was to havo daily editorials from
you simply because you did not liko our stato
law and tho American National Bank waB to be
passed by in silence simply because you did like
the national banking law, then you make a por
sonal organ out of your paper and render it
useless as a beacon light of public instruction.
Sincerely,
C. N. HASKELL,.
000 0 0000 0 0-0
Practical Tariff Talks
A practical illustration of tho way in which
tho tariff aids a monopoly in fixing prices 'is
found In tho movement of tho wool market
since the Payne-Aldrlch law was passed. Lon
don is the great wool market of tho world, and
there tho advance on woolens for spring de
livery is between 5 and G per cent, whereas in
New York the increase is from 25 to 32 per
cent. This is due to tho fact that congress dis
criminated against tho carded woolen manu
facturer, who uses the poorer grades of wool
and consequently makes the cheaper clothing,
and gave tho larger advantages to tho worsted
men, who are mostly in tho American Woolen
Company, tho trust. They havo a rate on wool
and its "products ranging from 45 per cent to
four times that figure, and havo a wide margin
in which to move prices up or down without fear
of foreign goods coming in to disturb tho prices
they make. The price now quoted, translated
into dollars and cents, means an increase of
from $2.50 to $4.00 on a suit of clothing.
Tho discrimination against tho cheaper grades
of wool under tho Dingley law, it was stated in
a memorial to congress from the associated
clothing manufacturers, created conditions which
resulted in a decrease in tho weight and dura
bility of the clothing worn by tho masses of
tho people, the suits sold from $8 to $15 each.
In that same memorial they declared that tho
$8 and $10 suit of tho future must be built of
shoddy and cotton, and that tho suit which sold
for $10 will hereafter sell for $12.50. Five
dollar trousers will cost $6 and $6.50 next year.
The poor man will also be hard hit upon
blankets. The national labor commissioner,
Carroll D. Wright, is authority for the state
ment that tho entire labor cost entering into
a blanket is 15 per cent of its whole cost. Tho
tariff is 165.42 per cent. Tho protective tariff
can only bo defended upon the theory that tho
American manufacturer should bo permitted to
charge enough additional to make his labor cost
equal that of his foreign competitor. Yet who
can claim that there Is justice in a tariff that
levies a tax of 165.42 per cent upon the value
of an article, the total labor cost of which is
only 15 per cent of its total value?
C. Q. D.
A GOOD BEGINNING
0
REVISION 0
Tho Chicago Journal calls attention to 0-
tho groat incrcaao In tho duty on ntruc-
tural stool, on which tho duty was sup-
posed to havo been lowered. If a build-
or cares to buy his stool unpunched ho
can get it at tho old flguro, or a little 0
below It. For tho Dingloy rato waa 0
$10 a ton on all this steel, whother 0
punched or unpunched. Tho duty on tho 0
stool now runs from $0 to $8 a ton ac- 0
cording to value. Tho lower duty ap-
plies to all steel valuod at $18 a ton or
under, while tho higher duty applies to
all steel valued in excess of that figure.
It in neodloBH to my tho larger amount
of tho product will pay tho higher duty.
But theBo new ratoa apply only to un-
punched beams, tho provision of tho
Dingloy law, which was retained in tho
original Payne bill, having hoop struck
out by Senator Aldrlch. Tho duties of
$6 and $8 a ton apply only to beams,
etc., "not assembled or manufactured, or
advanced boyond hammering, rolling or
casting." Obviously this excludes beams
that are punched. They can not bo
brought in under the lower duty. But
they are not unprovided for. Several
pages further on In tho tariff law thoro
Is an "omnibus" paragraph the very
last ono In tho steel schedule which
provides that articles or wares not spe- 0
cially provided for shall pay a duty of
45 per cent ad valoroni. Thus steel val-
ued at $10 a ton would pay a duty of
$18, which is an increase of 80 per cent
over tho Dingley rato. As most struc-
tural steel is punched it will havo to bear
this greatly Increased tax. Such Is tho
cost of having a few holes drilled In
steel beams. At $30 a ton tho tax
would bo $13.50.
Now, of course, this is an excellent
thing for tho steel trust. Wo see, too,
how easy it is to increase duties without
the peoplo knowing anything about It
till after the Job is done. All you need
do Is to cut out a' fow words, put In a 0
few more, 'and tho duty" Is 'ralkod ovfiti ,
though tho duties scorn to ho actually 0
reduced. And this Is how tho tariff was 0
revised downward It Is also a speci-
men of tho revision of the tariff by Its 0
friends. No house of lords, numbering 0
on its roll such men as Plorpont Morgan,
is necessary. All that is needed is that
the Morgans should have friends In the
senate. A few years ago, when tho steel
trust was organized, Its common stock,
which represented no Investment, was 0
worth practically nothing. It value was
merely nominal. Now It Is selling at
90 cents and Is paying a dividend that
makes it worth that price. A few more
such Juggles as that In connection with
structural steol and tho stock will go
to par. So valuable aro tho services of
tho trust's influential friends in con- 0
gross. Indianapolis News. 0
NO CENTRAL BANK NEEDED
Who wants a central bank? Tho smajlor
banks? No. They know that a branch bank
will dominate the community In which it is lo
cated. Who need a central bank? The people? No.
Their needs are supplied now better than they
would bo with a central bank.
A central bank, with branches, would simply
establish a big money trust which would tyran
nize over business, make all small banks tenants
at sufferance in tho financial field and subject all
communities to the danger of being squeezed
whenever Wall Street needed money.
The great financiers havo for twelve years
or more been planning for a central bank, but
they havo not dared to push the matter before.
Can they succeed in forcing it through now?
Let us hopo that there will bo enough progres
sive republicans to join with the democrats and
prevent it.
Mayor-elect Gaynor of New York has an
nounced that he will not do business through
the "bosses," but that applicants for positions
must come to hijn in person. - This is a good
beginning and will be good news to democrats
everywhere.
FIGHT
With President Taft endorsing tho stand
patters and Speaker Cannon reading tho insur
gents out of tho party it would look as if Sen
ators LaFollette, Cummins, Dolllver, Brlstow
ct al would havo to fight or be run over.
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