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CONGRESSI-oNALII:~I , d D~~-ohs~~ I I I: I
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Our fir;,t l:\!k 1.<; t reopen 11.11 sound banks. This Is ani lit 0 m upon :Whom rests this great responsl, i Ity. to gl~e
csserit lnl prehmtnnr: to subsequent ler:lsl.ntlon directed I :hi Il r support l~ this I particular matter ~nd at. this'I

nrrnmst spoculnt lon \ Ilh the funds of depositors and other I 11::\ tit Ill. hour J i I
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,,1;11:1t[(;I;S of J;o;ltlon of trust. tt st therefore, tbat there will be no Member: of this

, It: order that, the first objective-the openlng of banks ~ H S a either, 'side of thd Chamber who -r~11 object to
for t.he rosurrmtlon 0 business-may be accomplished. I ask [th s a Irtl?USrcon.~ent rCQ11est. iI
of thI' Congress the I mediate enactment of legislation glv- i i f 'f re aerlng under the rules of the HOUS~ and it were
In~ to the executive ranch of the Government control over, 'suo pe Io daY'ltbe Speaker ~01l1r1 recogni~e aD?one ~o move
banks for the protec ion' of depositors; authority forthwith, to su en the rUles'l and Pa:ts
this bill with l\ lllmltatlon of
to 'OPP!1 such banks ds hrrve already been ascertained to be I 140 m] ut s' debate, This ir~ues~ gives 40 ml~utes' debate
In sound condrtlon and other such banks. as rapidly as pos- Ion tl:\! b Il, I I trust. -there! e, under the pec~Ual' circum-
r,ibic; find fiuthority Ito reorganlze and reopen such banks :st~ce, a d 'under t*e sertou sttuattonwhlch cpnfronf,~ ti,"
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as may be found to require reorgunization to put them on 'co ntr • 'e'wlll ' agree to ta.k~ this bill up now.:pa,ss H. send
a sound lmsls' : . . 'it 0 t e eriate so it may' become a law this ,evening, and
1 a,k' nl~1~I;dmentsfs'to the Federal Reserve Act to provide 'th s b' a le the:Pre~ldent bf:the United state~lto open the
for such additional c rrcncy, adequately secured, as it may Iba kSito 10r'rO~ and give not only the bankaj but; business
become necessary to ssue to meet all demands for currency I in ere. s nel t~e people of trls country rellef·11
and at the same tlriIh to achieve this end without· Increas- I Mr.!s LL. IMr.lspeakcrtreservinw'the right to object,
Ing the unsecured Injdebtedness of the Government of the, I well: p rec1atEl,theJiIDPorta ce of what the ~en'tleman from
United States. ~' Te;nne ise has said. Of cour e it is ent ely out! of the ordl-
I cannot too stron ,ly urge upon the Congress the clear I nary t p S5 leglslatlOn' in th House that, as ft\r as I know,
necessuv for immer iatc action. A continuation of theiliis hot ve In print tt the U¢e it is offered, Ii do not know
st rarumlntion of bankjlng facilities Is unthinkable. The pas-II that Iii. possible 0 distribute copies c r th~ bill to the
SUI:e of the proposed ~egislatlol1 will end this condition and'IIMem~ 'rs of the Hotbe. but that is not me question before
I trust. with in a short space of time will result In a resump-' lusfher I a the present time. fI'he house is burning down, and
tion of business ncttvrtles. . ' Ii IthF, P si cnt ofthe United: states says this is tl:1~ way to put
In ndditton .. It Is thy belief that this legislation will not] oult t f e. i [ArlPlju5e.l . A!nd to me at this time there is
.ontv lift ·lmmedlately.:nl.1 unwnrrnntcd doubts and suspicions: I aliI.Y '.( no ans.'wer fto th.IS Quast!on, and that is,. to gl'm the i.

in .rcgard to banks ,"hich nrc 100 percent sound but wlll[1 P~esJlj int What h cmnnds land says Is necessary to meet
also mark the beginriing of n new relationship between the: t l 5i ua~on. I.. I !! ' I'
banks andthe people of this country. I, d;n t knowlth~tlI am In favor of 11.11 the-dctatlacnr-
The Members of the new Congress wlll realize, I am con- irl d i it Is bill, .but whether II am or not. I am :golng to g!\;e
fldent., the grave responsibility which lies upon me and upon!. :t e prpsi .ent O.f Ithe United'.• states today hiS. :way. He is
them. ' j UJ!e mfn esponslble.!and we thust at this t,:me foUo";, his lead.
. In the short space :of 5 days It Is Impossible for us to i I hOPQ nb one ion this '-llde iof the !l.isle will object to the
.~ ,formulatc completed mc~s~res to prevcnt the rCCllrfl'nCe of: consi~erabon of the requestl [,.APPlausE.J . '
thc eVIls of the past. 'Ihls docs not and should not, how-i ~,1.r,:b lNKHEAD.1 Mr, 8pbkf'1'. will the g't:tltleman-(:1.
,ever. justify any delay in accomplishing this first step. : for a pa lamentary inQulry~ 1

. At an,earl~ moment I shall request of the Congress two iMr.IB RNS. , I YIeld. . J •
othcr measures which'': I rcgard as of Immcdiate ureency. Mr. 113 HEAD.. I As far hs 1 am advised. tilc Emt," rm1
~ith ac'tian taken thereon we can proceed to the consldera-: not 'y~t opted rUI~s Of pro~edurefor ,thlsCongre~'. A1 I
tlOn of a :ounded program of national restoration. upde 'a dit, unless objection Is raised the ordinary pr'1-
FRANKLIN D. ROOSEVELT. ~edig. s gov.•. emiD. g Ith,•.e H.ou.se during i the se.v.,.·enty-second
THE_ WlIITE HOUSE, March 9, 1933. on 'ss will prevail in the consideration of.' this unani-

-NATIONAL 'BANKING SYSTEM

ous
I ,co ent' request?!
Th 'is EAKER. the gentleman is cimect. '
,:

Mr. BYRNS, Mr. Speaker. I ask unanimous consent for! M 1'0'

ONNOR. iMr. Spehker, will the gentleman yield?
the Immediate ("onsldcrntlon of H.R. 1491. and In It~; con- i 1M. iE NS. I yield. . 1 , ,

sideratlon that therc shall be 40 minute·s of debate, one half II, ! lVIt.!; a CONNOR. Jus~ td clear uphcqllTlitunn\t(',r;
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01 such time to he controlled by the rrentlemrm from Ala-ill. ~It\lfl ,Ion MI under$ttUld th~ request of 'le ~ellUt'man Lom
barna IMr. STy.MlAr.l.l f\nd the other half by the gentleman:' Tt:nrjdfse. it Involvb the! consl,deratlon of thi;; bill I!' the
lrom P('nn~;yl\'nlll!L IMr. McPADn~N 1; that at the concluslon'll i;I6Id~\ as though thf. mid of
the Seventy-s<'t:oncl COllf(ress
Jor th,e lh·llllL(\ t he previous q\lestl~m I,hall be considered 0$1 ~)ad, adopted, o.nd, as it were, under sUSPtln&ion oj tbe
on\('l'el\ 0\1 the hili to 'fInnl Ill(SSagc. .' rule. ;I'a t the bill ~vill 110t be sub,!ect i,o r,men,Lnrnt. (s
Now, M:r. Sp('aker, may I make thl!; gtatt'ment. with the l .thi" ~brr ct?. .. ! '. .'
Inclull-(l'nce of 1111: lIotlse, !x'!orc this reqllest is ~;ubmitted ::1 " .In NS. Thd hut wlll not be sul'lJect to ,nmfnJmcnt,
The l'rl'~lclellt In Ids mes.'il\!~e has gIVel;. the very best 'or',.' I ',~ .llS ,A.GALL. JThut is the inquiry I wanted to mnke,
rr'r(f;OlU why thl~ request should be ngrcpl.! to. The Senate: I w * d It clearlY nderstoOd.
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I:; now awnltlllf{ tile llctloll of the House upon this partiCUlar.! iTI~91s El\KER. ~stherc iobjectlon to the nlque,:it of the
bill. , ~enl~a from TeI1nes5CC? !
H l~ of thr IMst extreme Importance t.h!~t this bill. intro"! i 'I ~fe as n" obj~ction. i
1111l'('(1 a few moments aHa by the gentlcman from II l.lbama. , : 'I G:Cl rkrcad thp bill, ll..<; follows:
wlTytn': out the rrcornmcncliltlons of the PresIdent llI'epnra- '

Il~a 11 he adoIlt(~d und become 11 lnw today. : i .... i't

, " '..}t lui. 1'191 tIf!
'lory to ollen!ng the banks of the country on tomorrow, An ~ct. t< pr(wlclto rc\lcr In the t'~.!,-.tlp~ natIonal etn"~l"'n,'\- ,\
! bf,nk\J1g, lind ~OJr Nher purposes.
Unll':;s this request b granted there Is, of course, a Pos,'ii- I i ,ne tt c acttlcl, ~tc,,1 That the Congre>lll hereby dt>clart'!j t'.1ll1. l\
,bll1lY t1.lut Ulls legislation may nott become a law tOday,.'.1 ~r. 10 ,Jr.' er cr.!til•.no:!· c~xl5t,1l and. i.th~t It Is 1m.peratl•. '•. ely uect·~ary
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.ll11(1 11') one In t.hls HOllse or cl:,~where can know just What! ~TJ~. ~jf t Vu~ 'lto efrect rtlm~dlc9 of unlrorm naUonal aPJl,lc:\-
til? ('Ifl'Ot "(Ill be t o m o r r o w . ! f·~ i I] i . : Tlj".E t i' !
. Mr. Spl'uker, the people of'the UnIted States have chosenil : Sr:~ON 1. 'the Il\ctl~n!l, I'\'l(utatlona, nllell. 1I0er.... re.. I'releM!. and
thl" Pl'('~;ldent as the leader' not only of h15' I)lll'ty but lI."!1 r. r(JC~a~ ..at 0. nilIheretO!o.rc or nt'rellftt'r take;n. promUlgated, mado,
the l('(\(lrr' of the Nation. To him they are looking f ' (lr 1!Jjl\IM y the l'rClll~cnt ot ~he United $tatos 01.': the ~~ccrctar.y
'Ii r II' I . I 1 . . or! of t1~IJi:'rr 1U!\lry II1nool March, ~. 1933. pUT81um t to 'tho authority
n c. . c s t lC r . only Ilope. They have confltknec in\ Ct'l'fllflcd y $t1bdl\'l!lIOl\ (blC'~ gl'ctIN' I) nt' tho nl~~ of O.:tober 6,
him un(\ llTe II)okllll{ to hlln aloDc. to restore thIs ,:ount.ry: 1111,7,.1 ':~ 1\ ne-nlle,d. l\fC hr:,.,b.v 'l)'pm\'f'(1 ann conllrttlcll,
to no 1'lI !;!.! prOsperlly. l\lld I :;ubmlt, Ihllt W(', '~ll Memher:;; I ,;',1"[" .:.1_ • \1I111!1\ 1~I"n ('.'1 ~>, ,S1~11, ". /", or·1 ho, '1\:1 . ':< o(:';"'~"'l' 0.
of~ COIlI'res-,
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"L., I (ill t tut,r.. tIl,. "_, "'.J~,l ..."ll. ill I,en \) 1l.L.l'nd<'(l
owe II t,' t~ tlC pc()!,l'" ()f ll"i" C('lll\'!," und O\VCH!Dlh,.)r~. ' t,1 ~,,,,(I '.<'
! f
 1933 IC~NGRES~:n
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AL RECOhD-. H~USE
printed and deliver d more tho. $30,000,000, run In' t Iboth national debt. TItat would help balahce the
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nUd~t;
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day and ntcbt, 81 Ilar sums :le now being pr! t d and would take tax-ex~mpt securities out o~ the way and cause
delivered daily. . i I I more income tnxe~ to. bo paid to the 'ctovcrnment an less
r.xrAN. ON OP CURllI!:J1CT NECT.SSART . I I' taxdodglng by the big rich. : I
If the Republlca. Party had , re~ased itself ro )the OPPOSITION TO CO,CENTRA'IION or MO'N~Y AND ·CltEDIT CON-·
clutches of Wall 8t eet and exp/md d the curren y unme- TROL IN THE HAN~S OF A FEW GREAT INtERNATIONAl; DANKlNG
dtntelv after the sto k-rnarkct .crash I 1929 or wit n 0.1year CONCERNS!' ·1:
nrter the crash. our eople would] ha e been saved r rrl
this Mr. I,UNDEEN. I Mr. Speaker, today the Chief Executive
awful money pani. Our Pi'efldent will. doUb lc sl ask sent to this House of Representatives! 0. bo.nklI}g blll tor
amendments to this new law wh~ cdnditions are 0 e nor- immediate cnactm~nt. The author of fhls bUl se~ms to be
mal and. when it is better underytooti. :Under the n W law unknown. No on~, has told us who dra,'!ted the bill. There
the money is issued to the bank~ 'in return for 00 e ent appears to be a. printed COpy at the SPeaker's desk, but no
obligations. bills of exchange. draft!;. notes. trad ccept- printed copies are] available for the H~lUse ,Memb!ers. TIle

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ances. and banker's acceptances. I. Tlle money wm,~ worth bill has been driven through the Hous~ with. cycl6nic speed
.JJ 100 cents on the dQHar. becaus.el,it is backed by ljllc dredit after 40 minutes' '.debate, 20 minutes fb.r t.~:.' minbrity and
nndother property 9! all the peop•.lCl.b. th".'e NaticJl1. I
NO GOLD cottltAdE I ' .
The money so is ued will not! Mve lone penn
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~ of the Nation. It Vl~ll represent amclrtg:\,ge on all the l~orrtes 20:minutes for theimajority.
I h. ave dem (I..,
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..•.andC. 0. roll call. but have been unab.Ie to .sct.
the attention of the Chair. Others havc done thp same,
f gold notably, Congressm;an SINCLADl, of North Dakota, and Con-
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coverage behind it. ecause it IS Ireally not needed. e do gressman BtJ,L LbrKE, of North Dak<:>ta, as well, as
some ot
,not need gold to ba k our Internal currency. We yjneed our other Fa:mer-:Labor Members. Fifteen men were stand-
gold to settle our balances with foreign count ie . I Our ing. demanding a : roll call, but that number is not sum-
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people do not actu ly usc gold as Ii medium of X~h~nge; clent; we therefore have the spectacle of the grEiat HouSe
paper money Is jus as good and Is Imuch easiElf 0 handlc. of Representatives of the United States of America paSsing,
Ho,,:·ever. if gold Is eslrcd as a! b~.cki~g for papa' n~y, we after l\ 4.o-1l\lnute l.'debate. l\ bill its Members never! read and
have a ~urncient a aunt to permit the [tssuanc f $5000 _ never saw, a bill whose author is unknown. The great
000,000 more money and still hayeal gold reserve (If140' pe~- majority of the Members have been unable to get :l. minute's
cent. When Engla d paid us approximately $100.1>00.000 in time to discuss this but; we have been re'used a roll call;
gold last December t e TreasurY shoUld have taken! that gold and We have been refused recoemtlonbr the Chair. I do
and issued $250,000000 in paper money, using ·t~egold as not mean to say that the Speaker of the House of Reprc-
a sufficient coverag of 40 percent, 'and the monevi should sentatives intended to ignore us, but everything was in such
have been put into Icirculation by paying It to Odvernmcnt a turmotl and there was so much excitement tbat we sim')!:,-
employees or other Igovernmental debts. Instead] the gold "were not recognized.
was delivered to tl~e private banks and the Government I want to put mysell on record against a procedure of
given credit for the hmount. The banks used apalrtoe it as this kind and against the use of such methods in pt\;;Slr1~
a base to issue considerable money, which they loaned to legislation affecting millions of lives and bUlions ot dollars.
~heir customers, and thc remainder,j which was th!e most of It seems to I,ne that under this bllI thousands of small banks
It, was sold back to IEngland by the bankers, • I • will be crushed arid wiped out of existence, and that money
DRIVE AGAINST GO~D HOAR~ERS i and credit cant.rOJ.:, wlll be s.'till turthe,r .l' concentrated In the
The gold that is Igiven up by: th~ people In: t~e present hands of those w~o now hold the power. .
crisis should be deli'~ered to the.'.IGo~'ernment, :It should be It is ~afe to sa~ that in n.. orm.ali. tim,ell, 8.tter careful st:..lcly
I.

used to issue additi nal money upo which thcPeople will of a printed copy! Iand after careful dtba~c: and eonstdera-
not have to pay int rest while it lIs i. circulation. I . tton, this bill wo~d never .have p~eJl this House or any
REsENT SATlSFAc-nON .: . . other House. Its; passage ,coUld ibe !aCcomplished only by
Those of us who have worked for 3 yea:s ~rYir.g to .get ra~id procedure, hurried and he9tic ,dFbate• and! a general
the currency cxpa ded have, the eonsolatton of: knowing rush t~r voting wt~hout roll call, i ,.' "
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that our plan has een adoptecti 1 [do not believe that the

issued that we havcl advocatcd: s1)oUl(1 be issued. *

I believe.In the ,.l~ouse of Rep.rese.,ntat~ves. I belf.eve:n the
expansion is being ade In n nianner that will permit the power that was gh'en lL'I by' the p¢ople~ I believe ,tha~ Con-
mOlit good. Howder. the same kind of moneY; is being gress is the grea~est anq tnost lJOwer'~ body i~ America.
is sound and I believe tha~i the p¢0l?le pave vested in Gonftress their
money, although n1 t as wen s.eco.red. as the mo. ncr' wq pro- UltimO..te I\.nd ft,n~~ power IJt e.ver;vl, ire. nt, v.,ital QUes . tion, and
,po1ied to Issue. ' : ! - : i the Constltutioll ~~rsme out in ~hat'I'! ,

m:.~~~~:o%,~:,ii~:'~:::~~b~;~.i.:~.l~~o~~.~;,~~f 1:. 1I,md~ ~ ~;f~::o~:¥.i.r 'O~q.baD'~.a.• n:~vte~i.S.air~i.l.ifrae 1;".n.:.I~\~~~Sr;~.,.:~O~:~~~

•. , ft..
tril)utlon thn~ will cst !lromotc: the general \\Ielf *e. :
U

I want, the RIt

.C.nk..• es.i • •.
O
wan,
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to sHow th$,t .t: and l\~n, I\gnin.t
It could be paid 0 l~ederal crnplOyees. It cou d be used this bUl and thl:1 method~f :prcjccdure: nnd I believe no
to retire a part of t e national debtland save a c sid~rable °
good wUl come. t Of.it tOl' Amerlfa. rNe mmt not. a!Xilcate
f)Ulll In Interest caC'l year. At ~he iprescnt time ur .tntire our power to ed*ctse jud eJ1t. I Wei must not allow our-
national debt or $ 0,000.000.0001 c0'tld be retlt.ed wltl} . ne.w selv.es to . . bC.. SW. eP.lt!. d. rc '.ou.r f~. t by hySt'rlo., and we must n. at
money without pIa Ing too much money In cltcu allon and let the. power ofl the :Executive ~ral~ our led;.ls.t\ve ;10
tor
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the G~vernment Ii cd moreth~n ~700.000.000 nUlUly. tion. If we' do,' It 'w6uld tr' bet~r U8 tOt ~bml\nd (\0
liA J: $100,000,000 "~NUAt.LY! I home-and save ,the peopl~ the ~lary,th"y ar~:~Ylng Ull.
I 't d !th b ! I! !' J I look forwa~4 ito thl\t l:1ay w~en!ie shall read tho bUl
ns ea 0 e ~ ks being per.. ml~ted[. to.loa~ $ 5,pOq,ooo,- we arc conslderfrtg., :".'.nd ~ the' au. orot thej bll1. s. tao nd
000 with a reserve ,of from on~ tol three blllion dolh~rB to before the Ho~ laind expJi&,in it; an then. after calm de-
back it up, they sh uld be denied that prlvllegq a ~ l\ Imuch
greater money rese ve required lof them. Then. I1 st
the banks having
fd
of
little money to pay thelr ~<1PO Itors,
liberation and saber jUdirnent-aheJ,' ull and fr~ debate-
I hope to see 8an~ ILnd seNtblc lekisla~lu:l passed~ which will
11ft America oud ot this ~nic and dl$,,~u~r into which Wft
th~Y· could have 4illor 50 cents In actual money 0 lUll k up were plunged byl the World War. 1
every dollar in de 11..'1. We woUldIthen have ~n.f bat!Jklng, " \ !
nnd the Governme,t would ~10t 0'jV(~ a penny 0 Iml~IOm\1 i RULES 0'" tHY. HOURI':
debt. Further, our OoV('rmnent wl)uld, be liavcd Itt~e 1;;'/00.- MI'. POU, Mr, Splmker' l I otTer 1\ rcn,]uUon ;ll~d nslr for
000.000 that JIl now, 11l.:llIg paid lmriually as lntcrf8~ oIn the ' its Immediate! con,sideraU,on. ,I
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