Show the national banking system in peril of congress at the recent flen FAILURE session to pass the dea repper bill revising the national banking act seriously jeopardizes the future of the national banking system according to representative senta tive mcfadden rep pa chairman of the house committee on banking and currency the bill which la Is designed to remove some of the handicaps which place national banks at a disadvantage with state banks and trust companies was approved by tile the house and senate committees on banking and currency and was scheduled for passage in both houses but unexpected opposition caused the leaders to stole sidetrack track it although congress Is likely to pass the bill next winter the banking situation according to mr mcfadden will be more difficult to deal with then than now many leading national banks it Is declared have contemplated withdrawing from froin the system unless tile the pending bill becomes law at an early date the bill Is supported by controller henry 31 dawes and the federal reserve hoard board and has the endorsement indorsement Indor odthe of the american Americ tin bankers association the competition of state banks and trust companies tins has grown up tip recently said representative mcfadden the branch banking situation to Is developing ve loping so rapidly that tho the refusal of congress to consider this restrictive measure Is simply nn an invitation for an extension of branch banking which will be more troublesome to deal with next december this bill tho the most important bank ing bill since the passage of the federal reserve act la Is necessary to preserve and more firmly establish the benefits end and advantages advantage of that act national banks can exercise no powers except those granted by congress and tilt the purpose of tills this bill Is to restore as aa nearly as possible the equilibrium between the state and national banks within the federal reserve system the bill will not place any disadvantage upon the state banks but Is lu many respects favorably to them ahem since january ry 1 1918 1018 national banks each with a capital of more than gave up their national and took out state charters and carried with them total assets of nearly i this Is about 10 per cen cent t of the total assets of tho the entire national banking system at this rate it would not be many years before tho the system itself would be destroyed an and the federal reserve system thereby let left with only state member banks which could bouldi withdraw at will |