The Birmingham age-herald. [volume], September 24, 1913, Page 3, Image 3

About The Birmingham age-herald. [volume] (Birmingham, Ala.) 1902-1950

Image provided by: University of Alabama Libraries, Tuscaloosa, AL

                
OREtGN EXCHANGE
ENORMOUS ITEM IN
BANK'SJSOIKES
ieport to Comptroller Re
veals Remarkable New
Financial Factor
iEYOND RANGE OF
LEGISLATIVE ACTS
>ne Bank is Carrying Over Thirty
Millions and Inference Is
That Others Are Well
Supplied
By HOLLAND.
Kew York, September 21—(Special.) —So
lar as an examination, necessarily hasty,
jlecloses, never before since the financial
restitutions of New York began to make
ffielal statements has an item appeared
ifr.ilat to one contained in a statement
eeently issued by one of the large trust
nstitutlons of New York. Under the
leading “resources” there appears among
Ither items one which sets forth that
jc Institution is in possession of for
■ign exchange of the amount in round
lumbers of *30,670.000. It is a unique item
Lot merely on account of the magnitude
“There Are
Lots of Good
Pianos
That We Admire;
But When We Buy
Of Course It Will Be
A Steinway”
$550.00 Up
Easy terms. For sale in
Alabama exclusively by
Clark & Jones
The Quality Piano Store
3814 Third Ave.
of the figures, but also because it stands
alone, so far as is known, Cn published
bank statements.
The item has been read with interest in
financial circles here because it is ex
ceptional, but there is really a deeper
significance in the figures than the mere
fact that for the first time foreign ex
change lias been included in an itemized
list of the resources of a financial insti
tution.
Tlie national banks ot New York which
have been accustomed to handle foreign
exchange have probably included these
securities under the general head of “bills
receivable” or some other general appel- i
lation when making their reports to the
comptroller of the currency at Washing
ton
At one time there appeared to be a dis- '
position at Washington to compel the na
tional banks to itemize specifically such
of their resources as were included un»
der the general heading of foreign ex
change, and it has generally been pre
sumed that this may have been the reason
why several of tho banks decided it would
be the better part not to continue that
business.
Cannot Issue Currency
In the first place the institution which
now reports that it possesses among its
resources considerably over $riO((HX),000 in
foreign exchange is a state chartered in
stitution. it cannot issue any currency.
It has no relation, excepting indirect and
through the clearing house, witli the na
tional banking system. The currency bill
now before Congress will, if it becomes a
law, affect only indirectly this institu
tion. It Is one of the largest banking
corporations in the world, possessing re
sources of nearly $220,OX),000 and carrying
a deposit account of nearly $1*18,000,000. li
Congress should decide that it is the bet
ter part to prohibit any national bank di
rector from serving in that capacity in
any other banking institution, several of
the directors of this institution would be
compelled to make c-holce between it and
the national bank directories upon which
they serve.
Magnitude of Foreign Exchange
In the next place, this item discloses tin
fact that a single institution in New York
now possesses resources in foreign ex
change of the value of $30,000,000, round
numbers. Presumably this foreign ex
change has been bought. If one institu
tion finds it the part of business wis
dom at this time to accumulate one of
the best securities, namely foreign ex
change, then it may reasonably be in
ferred that other large Institutions In New
York city are also accumulating at this
time resources of this. kind.
There is no way of discovering how
large these accumulations are unless the
incorporated institutions report the item
as this great trust company has just done.
The leading international bankers are un
doubtedly buying foreign exchange at
this time, and it is fair to presume that
if one institution obtains resources of this
character in so great amount others as
well as the international bankers are at
present somewhat occupied with similar
I business.
Where It Conies From
Foreign exchange as distinguished from
so-called finance bills represents com
modities. while finance bills represent
credit sometimes backed by collateral se
curities. If, therefore, a single insti
tution in New York is now carrying ts
a part of its resources'foreign exchange
worth $60,000,000, there must he behind
this exchange actual commodities. Tin*
bills are presumably drawn against com
modities that have been sold to Europe j
and the money with which they will Vie!
paid will he furnished by Europe, prol)- ,
ably chiefly by Lrindon. These funds will
establish in London, unless they are ini-:
mediately drawn upon, large available
credit for New York hanking institutions.
In this way some of the apprehended1
financial embarrassments of the fall may
he averted. If the figures in this one re
port are to he accepted as fairly well in
dicating foreign exchange transactions
in New York, then there should not be
■ nif-v- • «u r:.y
mm national bahkj
I
Capable employes being the |
most important element in |
the success of any institu- |
tion, it is the practice of this I
bank to have the Executive |
Officer personally interview |
eacn applicant tor a posi- gt
tion. In line with this idea, Mr. Carnegie |
is quoted as having said: “The most valu
able acquisition to his business which an |
employer can obtain, is an exceptional 1
young man. There is no other bargain so 1
! fruitful.”
The foregoing is one of the many exped- 1
ients which this institution uses, to offer I
the best service to customers and the public, f
JOHN H. FRYE, President
Birmingham, Alabama Resources $1,200,000.00 |
B
Five different grades of Rice including “Domino”were placed
under the magnifying glass and photographed. No. I repre
sents Domino while the others represent various inf erior grades
DOMINO RICR
SEUSf 1 Pound Size 10 cents
Packages 2% “ Size 25 cents
AT YOUR GROCER
RAILROAD TRAFFIC
w ires Down in Many Places
Near Eufaula
AUTO TURNS TURTLE
Barbour Physicians Heartily Indorse*
Movement for New Public Hos
pital—Auto Destroyed by
Fire
Eufaula, September 23.—(Special.)~ Kail
road transportation in this section is seri
ously hampered as a result of the heavy
rains oi. last week. Wires are down all 1
along the Central of Georgia lines and the
roadbed has been washed out and torn !
up in many places.
Jim Kendall, a popular local traveling |
salesman, was married to Alisa Rose |
Monoghan at New Orleans a few days 1
since.
An automobile • party, composed of R.iv
Lasse ter and Willie Lainpley, and Miss
Marjorie Long of Eufaula and Miss Mury
Allen of Tampa. I'la., a visitor here, had
a narrow escape from fatal injury, when
their machine skidded into a ditch on the
national highway last night, turned tur
tle and threw its occupants to the ground
Members of the Barbour Medical asso
ciation are heartily Indorsing the move
ment for the establishment of a public
hospital In Eufaula.
An automobile, owned by Tom Fryer,
who, operate a line between Eufaula and
Clayton, was destroyed' by fire last night
on the street. The origin of the tire is a
mystery.
A larger crowd than ever is expected to
go from Eufaula and Barbour county to
attend the state expositions to be held at
Montgomery and Birmingham this month
and next.
tiie slightest reason for any apprehension
respecting the condition of (he money
market. The sale of these commodities
in Europe, the heavy loans made to banks
and to individuals In the crop sections
and the distribution by the Secretary of
the Treasury, Mr. McAdoo, of a large
body of funds to he utilized in the Crop
sections, funds which would otherwise
have remained idle in fne treasury de
partment, are regarded as having com- j
pletely averted any money strain unless!
there should of a sudden arise unoxpeeu-d
fund difficult conditions.
What Are the Commodities?
It would-be of interest just $it this time*
if there could be a detailed report which
would show exactly what the commodi
ties are against which these foreign se
curities are drawn. The first impression
naturally is that these bills represent th •
early movement of American agricultural
products to the markets across the* s«.hs.
Undoubtedly to a considerable extent they
do. Hut a new factor has been injected
into tlie trade conditions which arc* rep
resented by foreign exchanges. That i
the very large balance in favor of the*
United States which has been for two or
three years and is this year created by
the magnitude of our exportations ot
manufactured products. There have come
to New York recently intimations from
Russia, from South America and from
Canada of a rapidly increasing demand
for American manufactures. Within the
past week word has come from Kussi-t
that our exportation of manufactured
commodities to that country is likely to
be within the next two years even greater
than at any time in the past.' Against
these shipments this summer and fail .if
manufactured products undoubtedly i
good many bills have been drawn.
But whatever the detailed Items may
be, the fact remains that the disclosure
which has just been made by one of tin*
great trust companies of New York of
the amount of foreign exchange it Is
carrying as part of its resources is suf
ficient proof that ns •* are marketing Amer
ican products in foreign lands upon a
vast scale this fail.
The Three Masters of Exchange
There are in New York city three ac
knowledged masters of Hie very difficult
science of foreign exchange. These at •
John A. Hardin. Fred I. Kent and Max
May. They are true captains of one of
the greatest departments of financial in
dustry. Their names arc not known to
tlie public, but if there were to lie .1
gathering of the captans of financial in
dustry similar to the 100 who met Prince
Henry of Germany at a banquet in this
city It years ago, these three men would
certainly lie distinguished among the*
others. They must be very busy there
days. One of them handled the foreign
exchanges to tell amount of $30,000, which
is enumerated in tin table of resources of
the trust company. They are the men
nvho know why the reports have been cir
culated recently that importations of gold
are likely to be made at any time and will
be made in case bankers In the United
States find it expedient to make the de
mands. Furthritiore, these are transac
tions entirely outside the field of legisla
tive action.
GRAY AND WART) ARE
CLEARED OF MURDER
Two Arrested in Laurens, S. C., Arp
Found Not Guilty a(
Scottshoro
Srottshoro, September 23.—(Special.)
Henry Gray and George Ward, the two
young white boys who were arrested at
Laurens. S. C.. on a charge of the mur
der of Gordon Norris, and brought to
Srottshoro, were today acquitted of the
charge. Gray, whose home is in Scotts
lioro, was being congratulated this after
noon by liis friends,
A big white frost fell In this section lust
night, but it is thought no great dam
age Has done.
George Schrader is on trial today in the
circuit court for murder. There are 117
witnesses in attendance.
TUBERCULOSIS TALK
HEARD AT DOTHAN
Dothan. September 23.—(Special.)—Dr.
George Eaves. D. D.. of Birmingham,
secretary of the Jefferson County Anti
Tuberculosis league, delivered a very
strong and interesting illustrated lecture
to a largo and Interested audience at the
Forster Street Methodist church here la-t
night. Dr. Eaves’ lecture was given
under the auspices of the Houston County
Anti-Tuberculosfs league and Inaugurat' d
a campaign of cure and prevention of
the white plague in this county.
Weds in Tennessee
Scottsboro, September 23.—(Special.)—A
beautiful home wedding and one of much
interest was that of Henry Grady Jacobs
to Miss Sarah Louise Wilson, which was
solemnized at the home of the bride at
Niota. Tend., Wednesday. Immediately
after the ceremony they left for Washing
ton and New York.
Gold Bars Reach London
London, September 23.—A record con
signment of gold bars valued at $8,850, wo
reached London today from the Trans
vaal.
CAPITOL AT JACKSON
NOW TENYEARS OLD
Friday Tenth Anniversary
of Mississippi’s Capitol
GOV. BREWER RETURN
Meridian Authorities Going Ahead
With Improvements Following Ap
proval of Amendment to ( harter
By the Attorney General
Jackson. Miss.. September 'Af (Special.)
Xext Finlay, September 2H. is the tenth
anniversary of Mississippi s new capital.
It was on that date that the several
state officers began to move In, the
governor and the secretary of state be
ing the lirst to lake po.-sessien of Uieir
new quarter's. (During the afternoon of
the first day, September 2<i. H««, Governor
Longlno affixed his signature to two or
three official documents, and the same
were certified to by Secretary of State
J. W. Power, one of the ver> few offi
cials of that day in 1WG who remain on
guard in the same capacities. The others
are Wirt Adams, revenue agent: Georm
C. Myers, eierit of the supreme court, and
Miss Mattie Plunkett, librarian.
Attorney General Collins bus thrown a
little oil on Meridian's troubled waters,
and the authorities there may now go j
ahead w ith their improvements. Some j
time ago Meridian voted a bond issue,
but the buyers of the bonds declined to
pay over £he cash until the charter of
the city had been amended authorizing
a bond issue of 10 per ‘cent of the as
sessed valuation of the property of th'e
city. Meridian was operating under a
spec ial charter and there does not seem
to be any limit to her bond issuing ca
pacity, though there is for ail. oities and
towns operating under the general char
ter. The attorney general approved the
amendment today and the same has been
recorded in the office of the secretary
of state.
\Y. O. IJgon, United States marshal for
the southern district of Mississippi, has
been advised of the capture of four of
tiie citizens of Jones and Jasper enmities
who were indicted by the late federal
grand jury at Meridian for dynamiting
I I
First of Series Yesterday on
“Specialized Effort” by
Edward Betts
Huntsville. September 23—(Special.)—The
pupils of the city schools are to have the
advantage of hearing lectures by several
At H known business men, doctors, law
yers and preachers during the next few
weeks. The first of a series of lectures
was delivered yesterday by Edward Betts,
president of the Chamber of Commerce,
on "Specialized Effort." S. R. Butler,
county superintendent of education, spoke
today.
The largest meeting ever held by the
Liberty Baptist association has come to
an end at Mi. Zion church in the western
portion of this county. Every Baptist
church in Madison and Limestone counties
except one was represented. The reports
showed the greatest number of conver
sions and the largest collections during
the last year of any previous year of
live association.
Pete Turner, a negro porter, was found
in a dying condition in the bed of Dry
' reek, under the Madison street bridge,
this morning, and after regaining con
sciousness told the police that he had been
Stabbed by Howard Baker, a negro com
panion. Baker thought he had killed
Turner and sought to hide the body. He
■hae disappeared.
•attic dipping v its, and states that his
deputies will have several others in dur
ance- vile in a few days. Those arrested
have been landed in the Lauderdale coun
ty jail at Meridian.
Governor Brewer returned last night
from N e w Orleans, where hn/went to!
consult with the Burns detectives as to
the Boyce cotton deals and shipments
to I'hirope, and was hard at work at his
office in the capitol this morning.
The interview with Governor Brewer
and Detective Pagan, as printed Sunday,
vv.-s read here with a great deal of in
terest. Bvcry patriotic Mississipian is
ylad to know that Governor Brewer’s
special agent, H. A. Pagan, got what
he went to Burope after, arid hopes that
tiie mystery surrounding the sale of the
state’s cotton will soon be cleared up.
The scene <>r action will now he trans
ferred to (Tarksdale. the governor and
his repre-entatives leaving for that place
last night.
OECAIUSS MAKING
WAR ON BURGLARS
Three Indicted by the Grand
.Jury and Sentenced by
Judge Wert
Decatur, September 23.—(Special.)—The
officers and Judge Thomas W. Wert of
the law and equity court are making war
on the burglars who have been breaking
in so many residences In the two De
caturs during the past few weeks. The
following were indicted by the grand jury
in session here and plead guilty and
Sentenced by Judge Wert as follows: Guy
Miles, burglary, lii months and 27 days;
Sam Black, burglary, hi months and 21
days; Ben Janies, burglary, hi months and
29 days.
A revival meeting is In progress at the
First Methodist church. The revival is
under the auspices of the Kindling Con
stant Burning team of Nashville. Dr. Wll
1 ITEMS OF INTEREST
AROUND ASHVILLE
j Ashvjlle, September 23.—tSpecial.)1-Cir
cuit court ictbnvenea at Ashville on Mon*
I day, September 29. by Judge J K. Hla« k
| wood.
The Ashville Cooperage company is run
j ning on full time and said to he one ..f
the most up-to-date plants in the south.
Senator Watt T. Brown of Ragland
will address the people of Ashville at
•the courthouse at J1 o'clock on Septem
ber 29, on the mibjc t of industrial edu
cation. Sam Brown will also address
the people of Marshall county on the
same subject at the courthouse at Gun
tersville on October 0.
While the cotton crop of this county
will be short, the farmers are greatly en
couraged over the advanced price.
Ham J. Cambron. the advanced man of
the team, is hero raid has already
preached several strong sermons.
The special grand jury which was con
vened yesterday by Judge Thomas W.
Wert to investigate the murder of a negro
wc man on Bank street 10 days ago. re
ported today that they had indicted John
Ragland, a negro, of the murder and
made, tin? offense murder in the first de
gree.
A Bank That
Appreciates Small
Deposits
That’s the way this
bank .started —
that’s the way it
has grown.
4%'
On
Savings
JEFFERSON
COUNTY
= SAVINGS
BANK
THTS PARTICULAR BRAND
FOR PARTICULAR PEOPLE
»
A breezy ride
in a speedy car,
A. perfect road
that winds afar,
Lunch on the lawn
’neath shady tree,
Murray Hill Club—
Ah! joy is me.
JOS. A. MAGNUS & CO.
CINCINNATI, OHIO
rf=
£9>jpM£:ojici& o«^i0.kiojni to Cousumsps
Notify us direct whenever other brands are substituted by distributors from
whom vou order
MURRAY MILL CLUB