Show 1 N BANKS n. AND TILE rUE GUARANTY Without doubt Attorney General Bonaparte Is right in his vie view that tho the fc federal eral law Jaw will not permit pert per- per t mit a national hank bank to guarantee against loss the depositors of or other hanks banks His ruling is Jg made necessary because or of tho the situation in Oklahoma s. s where the now state slate laws Jaws require all banks to 10 unite In Jn a combined guaranty to all depositors that thc they ci shall receive their money back on demand if ir a bank will not nOl join In that guaranty the state withholds Its lis approval al and such a a. bank will have difficulty totting getting business There Is no law y ing It to Join the guarantors but ono one can easily 5 see ee 0 A how ho hoone one ono that refuses would bo be outstripped in get get- ct- ct s. s tins Ung 8 b by banks which would consent V t And nd let jet ct there is the sound rule that a a. A bank has ban no powers beyond tho those conferred conferred b by law The n e basis of or the rule rulo Is that Hint h t a n national bank b by j this guaranty would stand as ns Insurer for banks that o i were wre not under national charter m i that not hot giving ln 1 to stockholders In national Institutions f n compensating benefit q Ills It Is to be regretted that the guaranty principle for for national banks s has been heen found untenable in law That rule is right Depositors Depositor should be as- as f they will get their mona monc money out of oC a n bank no matter whether the bank hanl fans falls or remains solvent sol And It will wll t c 1 wise re a a. move on the part of government govern govern- ment Inept to adopt a rule 1 by 11 which national hanl banks s can i. i ako that guaranty to their depositors Very clearly they cannot Join In such guaranty with private banks s and state banks banka But there is isa x a principle of oC security that goes to the very cry core of oft I I t T 1 4 banking And Arid every eVAry depositor will hope that national na na- na legislation may soon place national establishments establish- establish ments on tho same system as that wisely selected hy hr Oklahoma |