| Show Deposit Guarantee Fails of Purpose LOS ANG ANGELES While Willie the Idea of or the rhe guarantee of or bank deposits by some legally enforced plan pian seems to appeal to many people who give it casual thought the fact is that it has Ims not only failed in every Instance in tho the eight states where the experiment ment meat was tried but actually produced unsound banking and increased the number of ot failures it was declared by bytho bytho bytho tho recent convention of or the American Bankers Association held beld hero bero Guaranty of or bank deposits carries nn an Idea that naturally ap appeals eals to people people peaple peo pea in general on casual consideration the declaration said However In principle It Is unsound and In practice it t Is unworkable It has been tried In eight States and aud it has not only failed Called n n every case casc but it has bas resulted In increasing the number of or bank fall rail ures Taxing properly managed banks to make snake up losses Josses of or failed Called banks is not only unfair and unreasonable but it ft weakens the whole banking structure ture Again guaranty of or deposits laces the Incompetent and reckless anker ranker ou on an equal footing with the the able and conservative banker hanker which encourages bad had banking at the ex ex- Pease of oC sound sund banking We Wo are there there- ore Jore ore opposed to the passage sot of bf any i I aw nw carrying a n guaranty of or bank de- de osItE and nd believe that it Is against the Int interest of at the people of or the United States tates to develop any such system wl l t 1 5 C i |
