Show WOULD REVISE FRAMEWORK OF CURRENCY Bill LL Proposal Made by Three Members Members Mem Mem- bers of Senate Committee I Now Giving Hearings on Measure Passed by House SENATOR REED AGAINST S REGIONAL BANK SYSTEM WASHINGTON Sept 23 Corn Com Com Complete v revision on of the framework of the t he administration currency hill bill was proposed b by Senators Reed and nud Bristow lo today ay during luring the he examination of Samuel lJ before fore tho time Senate banking committee Senators and l Hitchcock assailed assailed assailed as as- sailed certain provisions pro is ons of the tile House bill nil Today Senator Reed advocated what he called tile the Hitchcock plan which would eliminate c the scheme of regional reserve c banks hanks and substitute IL a i government issue of currency to in- in banks on commercial paper backed jacked by lW a n 50 30 0 per cent gold reserve ip up to 75 per pel cent of the tho capital stock lock of each bank biuk That would be he in iii ad- ad dit ion to the banknote is issue ue Senator Reed Heed criticised the Jc regional ional bank plan as aJ making the Individual combination banks subservient to a tL of banks Mr 11 opposed the tIme Hitchcock plan us as not offering enough h security to the tho government for tOl the issue of at currency Mr 11 will I r return turn Monday Monlay Mr II made c it il clear that In his bin testimony yesterday ho desired to toden deny den the federal reserve board hoard would wo bo be able aLle to use Its Influence for political purposes II Senator Reed Heed sug suggested este a charge of or 2 per cent Interest a against banks to which currency would be issued to ie form orm it a i sinking fund to pt Pa pay oft off tho the government o debt That Is a revival hal of oC the tIme bank banle guarantee E guar guar- antee Idea commented Mr 11 cr this bill IH Is passed returned Continued on oil Paso PabO i 4 Column 3 3 WOULD REVISE 1 FRAMEWORK OF CURRENCY BILl Administration Ac M Measure Criticised Criticised Criticised by S Senators Reed Hitchcock and Bristow Continued from Page PaSc 1 M S Senator nc feed d I 1 hope to sec O C a provision pro pro- I vision lon written into it t that will 0 banking safer for lor depositors than It Is no now Charles M. M I. I Harrington read a lengthy ar argument to show that under the proposed proposed pro pro- posed s system the tho banks of or the northwest north north- available sufficient wc west vest t would not have hac dent funds to han handle lo the farner products during the fall Call and winter F. F P. P n. n said that In his business busi ness fleas of manufacturing Ing farm arm machinery he lie found Cound it n necessary to borrow money mone on paper running running- from Crom nine months toone to ono one year In order older to accommodate the purchasers and for COI that reason tho ninety days s provision of or tho the bill would make tho the proposed loan s system stem valueless aM to him Ho TIc added that the th provision of ot the bill allowing the rediscount of paper running up to six months when used for export or import transactions was wasa a rank discrimination against domestic do do- do- do bu business Other members of or the Minnesota delegation delegation del del- will bo be heard tomorrow The committee also heard a n. delegation a tion of oC Minnesota business men tho the Minneapolis Civic and Commerce Commerce Com Coin merce meree association tile the Minneapolis l Chamber Chambor of ot Commerce and the Duluth Commercial club J dward P P. Yell Welts as ns spokesman poke man told the committee that the delegation al although although al- al though opposing the hill bill lid did not represent represent rep rop- resent banking banking- Interests He lie declared the idea for Cor capitalizing tho the federal ro- ro serve e banks was confiscating capital and putting it into an organization that might become the tho football of or politicians 0 I I t I C La ii ns s. s Wells Well believed country banks would be bo unable to take advantage of ot the re rediscount rediscount rediscount re- re discount provisions lons because much of the farmers farmers' papers ran for tor a years year and under the bill oni only ninety day day paper would bo ho available for re rediscount Mr l Wells Yells declared that In talking with country bankers in the northwest northwest northwest north north- west he had not heard a n single ex expression expression expression ex- ex in favor tavor of ot the tho billI billI bill I I believe the tho business men of tho the country countr r he said ald would be satisfied to cant continue nue under the present system I temporarily at least long enough h to to allow proposed le legislation to ho bo thoroughly thor thor- I considered and digested |