THE SUNDAY OREGOXIAN, . TORTLAND, OCTOBER 3, 1909.
1U -
- - : ' I
SAFE on
IIS
ARGUED
Grange Takes Up State Guar
antee of Deposits.
OKLAHOMA IS DISCUSSED
Ir. Chapman Prepares Taper Advo
cating Surh Law, While B. I.ec
Paect Talks Against IMan, Al
leging Hardship on Banks.
The object of the guarantee of de
posits by the state is to make the public
mfe whfn It puto monry Into a bank.
The experienc; of Oklahoma shows u.i
that the object is p?rf?cliy practicable
and that th object has succeeded. That
ousrht to settle the iiPstion in tiie mind
f every rational ctt"n."
This 1 part of the argument submitted
by Dr. H. t.liapman In favor of a state
guarantee of bank deposit before an
audience, of rl at the meetins of Eve
ning Scar Grance on the Section Line
road yesterday afternoon.
Opnosed to him was B. sr Faset. who
advanced as argument against such a
law:
Who will not admit tlv? injustice to
the country banks which would have re
sulted in 1307 from their enforced assess
ment to help defray the losses Incurred
by the 'fr?nz'cd finance practiced by the
insolvent hanks of the Mate metropolis;
and who will not protest apalnst eub
mitring the merchants and farmers" of
our rural districts to the consequences to
them which would involve the necessary
calling In by their own hanks of out
sian.linK loans and utter Inability - to
reske new ones. It is cl?ar. therefore,
that in operation, this law would be un
fortunate alike for the banker and the
depositor."
: Dr. Chapman's Paper Read.,
"Shall Oregon Have a Bank Guaran
tee "Law for Bank Deposits?" was the
regular subject for discussion. Dr.
Chapman was not present and his pa
per was read by Mrs. William Hay-hurst.
It was an exhaustive review of the sub
ject and in favor of such a law. He
declared at the start. "There is not a
sinele argument against the guarantee
of hank deposits by the state which to
a candid mind has more than a sem
blance of validity." He held also.
"Every bank failure provides a rich
harvest for the whole tribe of parasites,
such as lawyers, receivers, court hangers-on
and speculators, while it plunges
a multitude of people into despair."
He contended that the object of a
state guarantee of deposits offers to
the person who puts his money Into a
bank the same security which the
hankers demand from borrowers. Fur
ther' he said:
"The only way to keep the hankers
decently honest is to restrict their op
erations by law. and then everlastingly
watch them and see that the laws are
obeyed. Even then some of them will
break loose and risk the depositors'
funds in mad ventures. Let us get over
our foolish habit of Reverencing our
financiers, whether they are bankers
or others. The truth about them Is that
they are all crazy to speculate with
other peoples' money and nothing will
pravent them but eternal vigilance. The
guarantee of deposits by the state can- i
not make the bankers any worse, but
It will make the depositors a great deal
safer. It will throw the losses which
are Incident to a dangerous business
upon the business itself and not upon
the innocent depositor, who has been
Induced to trust a class of men who
have proved themselves to be eminently
untrustworthy."
Oklahoma Law Declared Success.
Referring to the Oklahoma law he
. said: v '
"The guarantee plan lias been tried
there or two or three years now
under a fire of hostile criticism from
the whole country. Every swindler
and parasite in the United States has
been on the watch to find some weak
spot in it. You all know there are
no weak snots. The state banks have
Increased the'deposlts by some 1 2.000.
Ofl. This is the money which was in
hiding before the guarantee came into
effect. It lay in the teapots on the
top shelf and ' was burled in cellars.
Now it has gone Into the banks and is
helping- business.
"Where the guarantee system is in
effect, however, they (the people) like
it. They like it so well that it Is
spreading from Oklahoma to all the
surrounding states. Kansas. Nebraska,
Texas and other states all have it in a
full .or modified form. The light
breaks slowly ov-r the mountain tops,
but. thank heaven. It Is breaklng none
tiie less. It Is all very well for the
tankers and their hangers-on to assert
that the guarantee is unnecessary, but
it would be hard to convince the
wronged, and despairing depositor that
such Is the case. We need it to pre
vent the wretchedness, despair and
misery which result from bank fail
ures. We need it to draw hidden money
into circulation. It Is estimated that
almost half the circulating medium of
this co intry lies In hiding because peo
ple will not trust the banks. The guar
antee would draw out this money in
Oregon as it has in Oklahoma and set
it in circulation."
Paget Opiwises Scheme.
B. Lee Paget answered these argu
ments, remarking that he agreed with
Dr. Chapman in one respect, that the
depositor oug'ht to be protected and
safeguarded, but was opposed to the
method advocated. He said he would
throw around every bank sufficient
safeguards to make the depositors rea
sonably safe, by closer inspection. He
would have the clearing house author
ities of Portland and the large cities
authorized to employ their own bank
Inspectors. Other banks throughout
the state he would group together in
clearing house districts and these
would' employ sperlal inspectors.
This. he said. was the guar
antee he would provide. and In
addition he declared he would make
certain and swift the piosecutlon and
punishment of men who wreck banks,
pointing to the effective character of
the Chinese method of cutting off the
heads of bank wreckers. He declared
In Oklahoma the guarantee law is
i not a success, and pointed to the fail
ure of the largest bank In that state.
He said an assessment of 2 per cent
on the banks of Oklahoma had produced
enough to pay the depositors of this
bank.
In answering Dr. Chapman's state
ment that Oklahoma had Increased its
deposits $12,000,000. Mr. Paget read
statistics to show that in 12 months
Oregon has Increased us deposits $10,
(V.o.fton without a guarantee.
Referring to the Oregon law. Mr.
Paget said:
Jlarrlr-hip on Banks.
The proposed law submitted to our
last State Legislature provided for an
assessment upon the capital stock of
ea-h bank amounting to 1 per cent
of its deposits, exclusive of those con
sisting of state funds properly se
cured. It wa very similar to the first
experiment tried in Oklahoma, and pro
vided for such further assessments as
may be necessary to pay the deposit
ors of all Insolvent banks.
"The last printed statement of the
Oregon State Bank Examiner showed
129 state banks with approximately
I4S. 000.000 of deposits nearly $7,000,000
capital and -$2,413,664.68 surplus and
undivided profits.
In order to have paid the depositors of
onlv two banks which closed their doors
in Portland in the panic of 1907-Just ,two
years-ago assessments wuuiu im j
necessary which would have completely
absorbed an amount or excess wi c" ;
tire surplus and undivided profits of all
state banks, ana wnicn uuiu ""
serious inroads 'upon the capital of a
great majority of them.
Threatens Banking Structure.
'Further than this, it would have been
necessary in many instances for entirely
solvent. well-conducted banks to sacrifice
securities at a serious loss by selling them
In a demoralized market in order to meet
the assessments necessary to pay the de
positors of mismanaged Institutions, for
which they were in no way responsible,
and this at a time when they were
strained to the uttermost In order to take
care of the requirements of their own
depositors.
It is Impossible to reallzi what would
have been then, or what might be in
some future contingency, the sum total
of ruin wrought by such a system, and
It is no reflection upon the reliability,
responsibility, stability .and solvency of
our banks, or the experience, integrity
and capability of their officers to admit
that a plan of tills character would be
likelv to Imperil the whole state banking
structure and place it in a position where
the confidence of the depositor would be
forfeited Instead of fortified. . .
"The Grange In Oregon has made an
enviable record in the matter of the leg
islation It has favored, and it appears to
me to be impossible that its members,
after having given this subject the
thoughtful consideration It deserves, will
be misled Into indorsing a measure of
such doubtful character."
F. E. Beach and R. C. Wright spoke
briefly.- ,
$3636loTii FOOT
DKKl'M PROPERTY BRINGS
$125,000 AND NOT $110,000.
Alex E. Miller Signs Deed ror 50x50
at Corner of Third and Alder
and Will Build.
Alex E- Miller Is the purchaser of the
half lot located on the southwest cor
ner of Third and Alder streets, which
was bought by a then unknown pur
chaser from Mrs. P. M. DeTcum a month
ago. The price announced at the time
of the sale was $110,000. but Mr. Miller
states that the price paid was really
JP'.iTboo. The property is 50x50 feet
In size and Is at present improved with
a two-story frame building occupied by
a cigar store. There is a lease running
for two more years on this property,
but it is believed an arrangement can
be made whereby building may start
soon.
Mr. Miller states he is contemplating
the erection of a 10-story building on
the property, acting In conjunction with
the Wilson heirs, who are now planning
to build a 10-story building on the
50x100 feet owned by them. If this Is
done, a party wall agreement will be
made.
Mr. Miller is president of the Miller
Clothing .Company, now locaieu at o
65 Third street. He says in case he
finally decides to build on the new
property, he will himself occupy it for
store purposes and enlarge the present
business.
The deeds for transfer of this prop
erty were finally signed yesterday. The
sale of the property was made through
the agency of Humason & Jeffery. Mrs.
Dekum bought the property in 1894
for $65,000. With the transfer of this
property at $125,000 instead of $110,000.
as first 'announced, it makes a front
foot record'of approximately $3636. fig
uring on a lot 50x100 and taking Into
consideration the corner. This Is a
near approach to the record price -of
$4000 paid by T. B. Wilcox last Spring
when he purchased 50x100 at the south
east corner of Sixth and Washington
for $250,000.
TEMPERANCE IS HER TOPIC
I'tah W. C. T. U. President Will
Speak In Portland.
Mrs. Lulu I Shepard. president of
Utah W. C. T. U.. is to be the chief
srleaker at the state convention of the
Woman's Christian Temperance Union,
which is to be held in Hood River this
week, beginning Tuesday and contin
uing until Friday. Mrs. Shepard Is
one of the best speakers sent out by
the W. C. T. U. While In Oregon for
the state organization this Spring she
took the people by storm, and there
was such a general call for her re
turn that the state officers secured
her for the convention.
Mrs. Shepard is a noted club woman
and has a wide experience as a teach
er, leaving the schoolroom to take the
platform for temperance, though she is
1
Mra. I.ulo L. Shepard, I ak W. C.
T. I'm President. Who Will
Speak In Portland.
also much in demand for club meet
ings as a speaker. Mrs. Shepard will
be In Portland some days after the con
vention, as the guest of Mrs. Ada Wal
lace Vnruh, and will deliver addresses
while here. She will, speak In Central
Raptist Church. East Twentieth and
East Ankeny streets. Dr. W. T. Jor
dan, pastor, on Sunday morning. Oc
tober 10; in the Hawthorne Park Pres
byterian Church at 3 P. M. the same
day and at Sunnyside Methodist Epis
copal Church in the evening. Some
other dates will doubtless also be
made.
Harris Trunk Co. for trunks and bage
T
w:
GOLD MEDAL
The "Stay Satisfactory'Range
AT SEATTLE
A. Y. P. EXPOSITION
Gold Medal, Seattle, September, '09 Gold Medal, Portland, October, Y)5
Never has a
Malleable .
Range been
awarded
higher honors
If you know nothing about ranges you ,
can safely take the decision of the juries
of experts at the expositions. If y ou care
to investigate, we can prove the Mon
arch to be the range you should buy.
Exhibited at
only two
Expositions
Wins Gold Medal
each time
Celebrate With .Us, This Glorious Victory
A TEN POUND TURKEY FREE
Every person purchasing a Monarch
from this date until Thanksgiving,
will receive a FREE TURKEY on
that occasion.
A TEN POUND TURKEY FREE
Prices are not raised to pay for the
Turkey. It is a free gift from us and
not taken out of your pocket by rais
ing the price of the range.
' TSSSl -
I' , '.TA:
TV - '
1
Axminster Room Rug, 9 ft. by 12 ft.
1
Rug worth $25.00 anytime,at any place. A special
value made possifcle by our large buying facilities and
our liberal advertising policy.
fc'VdB&8s$aasSSee
Door Mat Prices
-'X-.:
Size
14x24
16x27
18x30
16x27
18x30
20x33
Quality
Common.
Common.
Common.
Fine.....
Fine . .1.-.
Fine.'.'..
. . . 50c
... 70c
... 90e
: . ..$1.10
....$1.35
. . .' $1.75
Sale
39
70
85
$1.00
$1.25
n
V .
$2.75 Morris Rocker $1.25
For children up to ten
years of age, with adjust
able back,
made of solid
oak, golden or
mission finish,
not toys, " but"
useful as well
as attractive.
This week, on
sale at only
$1.25
Buy from the Maker
SPECIAL THIS WEEK
35-Pound Hair Mattress -$12.50
Wade in our own shop and worth
every cent of $20.00. Try a hair
mattress once and you will", never
use any other..
ThisHeater Burns Wood
or Coal. $7 Value
on Sale at
$4-95
Ideal Oak Heater, 'No. 211, exactly
like illustration, with nickel rails,
nickel ring, screw draft and fancy
urn; body 10y2 in diameter; stands
32 inches high. This price is for de
livery only. Setting up this stove, 50
cents extra.
Sale cf Mission Stands
$4.00 Value at $2.75
Genuine weathered oak, ex
actly like illustration; extra
heavy top and legs. Size of top
24x24. Sale price. .. . .$2.75
If 4
!' f4 ill'!
Sale of
MissionScreens
$5 Value only
$3.60
A thre-panel screen, solid
weathered oak frame, green
burlap filling, 5 ft. 8 in. high
4 ft. 6 in. wide, at $3.60
Guaranteed
Sewing '
Machines
$25, $35 and $45
Highest, grade drop-head
styles. Easy terms. '
$1 Down, 50 Cents Weekly
f7
0
GOOD PLACE TO TRADED
BENEFIT HOI PUBLIC'S
FREIGHt RATES CCT BUT PRICE
OF GOODS NOT ALTERED.
Railroad Agents ' at Xewlston Find
Weak Point in City's Support
of Steamboat Line.
IEWISTON. Idaho. Oct. 2. (Special.)
Lewlston mercfiants . who have been
granted reductions in their freight rates
to the amount of 25 per cent by reason
of the -inauguration of service between
Portland and the city by the Open-River
Transportation -. Company have been
charged with pocketing the saving and
not tivlmr their patrons the benefit of
the lower transportation charge.
This condition was suggested in an ad
dress made recently at the Good Fellow
ship monthly dinner, and has been later
publicly charged by representatives of
the railroad company who have interest
ed themselves in investigating the actual
benefits received by the consumer from
the open-river service.
The people of Central Idaho and East
ern Washington- are solidly behind the
open-rivr project, and the heavy ship
ments made over that line have made
big inroads upon the -business of .the
railroads from 'this section. ' The agents
.of the rail lines have been on the -alert
for the past several months to discover
some weak points in th-3 open-river serv
ice, and the suggestion that the shippers
were grabbing ail the saving effected by
the new service was eag-erly taken up
for Investigation. '
It is stated the local prices on a rum-;
ber of commodities have been advanced,
while .the Jobbers' quotations do not show
there has been an advance to the retail
merchant. It is suggested the railroad
companies will employ this -weapon 'to
endeavor to separate the people from.
the open river service, but it is believed
the only result will be a lowering of
prices by the retail merchants. At the
present time the Snake River warehouses
are filled with the farmers' grain, await
ing transportation to Portland, and sev
eral hundred tons of Lewlston freight are
now en route to Portland to be delivered
over the open river route.
The recent rise In the rivers ' has en
abled a resumption of service and it is
not expected there will be further em
barrassment to traffic during the season.
BODY HORRIBLY MANGLED
Vancouver Police Believe.. William
; Cody AVas Murdered.
VANCOUVER, B. C. Oct. 2. The horr
ribly mutilated body of William Cody, a
logger, aged 40, was found at daylight
this morning lying beside the building
of the Bank of British North -America.
The chest was crushed, the collarbone
broken and the flesh bruised.
The police believe Cody was -murdered.
A letter from the dead man's
son. In Pittsburg, N. H., was found in
his pocket.
SECOXD. FALL BUYING TRIP
E. I. Bartholomew, of the Bartholomew
Company, is now in New York City,
whither he was obliged to go In order to
make additional purchases of Fall and
Winter goods. The trade in suits and
Fall dresses of all kinds has been much
larger than usual, and the Winter prom
ises to be an active one from a social
standpoint. Heavier demands will be
made, doubtless, upon women's furnish
ers than ever before.
This is the second trip Mr. Bartholo
mew has been obliged to make this Fall,
his first purchases having not been large
enough to meet the unusual demands
Portland has made upon them. He will
examine the latest models In Gotham
and purchase liberally before he returns.
INDIAN SUMMER IN EAST
This is the most comfortable season
to visit the East. The O. R. & N. will
sell round-trip tickets to Chicago Oc
tober 4 for $72.50. Ticket office Third
and Washington streets.
WIRELESS PEOPLE
ATTENTION !
We have a full" line of Wireless Receiving Ap
paratus, also 5000-ohm Receivers.
CALL AND SEE OUR DISPLAY
Western Electric Works
61 Sixth Street. Portland. Oretfon. Phones. Main 1696: A 1696
BEST DENTAL WORK
All of our wQi'k is strictly, modern and performed
with a skill that won't disturb your nerves. Prompt,
efficient service and gentle treatment we guarantee
in every, case.
CALL AT ONCE. EXAMINATION FREE
Good Set of Teeth CUT HA . Best Set of Teeth O Hfk
on Rubber Plate UU on Rubber Plate pOUU
Best Celluloid Plates $7.00
PAINLESS DENTISTS
Associated with M. S. Benriett and F. A Blackmore
R. O. MacFarland
342 V2 Washington Street, Corner Seventh
OFFICE HOURS 8 A. M. to 5 P. M. SUNDAYS 9 A. M. to 12 M.
Phone Main 2119 Fourto en Years in Portland