View original document

The full text on this page is automatically extracted from the file linked above and may contain errors and inconsistencies.

A

CHARLES
THOMAS
ROBERT

W.CLAIR

F. Z I M M E R M A N ,
F. M I L L E R .

W- F L E C K ,

VICE
VICE

JOHN
PRESIDENT

W. S T R A I T ,

U.WILLIAM

PRESIDENT

SAMUEL

CASHIER

EDWARDS,

D. F L E M I N G ,

PRESIDENT

H A L L , VICE PRESIDENT
IN C H A R G E




OF

TRUSTS

C H A R T E R

NO.

31

FIRST NATIONAL
CAPITAL,SURPLUS

AND P R O F I T S

HUNTINGDON,

$

BANK

600,000.00

PENNSYLVANIA

November 23, ±9h9

Hon. Marriner S. Eccles, Governor,
The Federal Reserve Board,
Yfashington, D. C.

Dear Marriner:
Reading the newspaper account this morning
of your testimony yesterday before the Douglas sub-committee
prompts me to send you the enclosed copy of an address of
mine !tThe Future of Commercial Banking" in 1938 which is
interesting in the fact thatrayeye-sight wasnft too bad
at that time.
I do not know if you will find time to
look it over, but in case you find it convenient to do so,
I would much appreciate having some word from you in reply.

Going back to 1935 and beyond, I recognized
the belief in which you and our friend ftA. P.H shared to
the effect that unification of banking in America was very
desirable.
As you know, this thesis has had no appeal
with me and I find my views growing stronger rapidly these
days when those same influences are again becoming vocal
down Washington way.

Although I have become a mere silent observer
I do find it a privilege to try to keep in touch with the
efforts being made these days along the same lines.

With very kind regards, I am

ASST.CASHIER
ASST.CASHIER

December 9, 1949•

Mr. Charles F. Zimmerman,
President,
First Rational Bank,
Huntingdon, Pennsylvania.
Dear Charlie:
I am glad to hear agaan from you in your letter pf November 23rd.
It confirms the fact that you and I haven't seen the banking picture the same
way and that no amount of argument will cause either of us to change his mind,
but it gives me an opportunity to send you a copy of the statement which I made
before the Douglas Subcommittee on monetary, credit and fiscal policies on
November 22, 1949* because I am sure that the newspaper account was inadequate.
In addition, I enclose a copy of the letter which I sent to Senator ^ouglas on
December 1 supplementing my testimony.
INhile I will not take up your time to review ancient history, and
particularly some of the statements in your address of April
1948, with
which I do not agree, I cannot refrain from expressing my complete disagreement with the idea which one might get from your letter that you "recognize the
belief in which you and our friend A. P. shared to the effect that unification
of banking in America was very desirable.® I am sure that, upon second thought,
you will realize that A.P. and I never shared any such belief. One emphatic way
of demonstrating this is by referring to the fact that the proceeding now pending
against. Irmsamerii^imde^t^
Act was instituted by the Board of Governors while I was Chairman to test out the legality of the continuing absorption
of individual banking institutions by Transamerica, as well as to the initiation
by the Board of Governors, also during my chairmanship, of bank holding company
legislation, which was designed not only to provide more effective supervision
over bank holding companies but to restrain their unlimited expansion.
In my statement before the Douglas Subcommittee I expressed my views
on the *dual banking system* red hearing and on the relationship that in my
opinion should be established between the Federal Reserve System and commercial
banks generally.
Reiterating my assumption ttikt nothing I say on "this subject will change
your mind, I am nevertheless glad to hear from you in your new capacity as a
* silent* observer and to know that you are keeping in touch.
ftith sincere best wishes, I am
Very truly yours,

M. S. Eccles%

CM:







Quinn called and said that Bob Nathan spent his entire 15
minutes on the radio last evening on you and your testimony. The first
part on the testimony and its outstanding, forceful, etc., quality.
Then he spent time in high praise of you
Governor Eccles is one of the finest economists in the
country — there is none finer. His public spirit is remarkable, especially since he was demoted from the Chairmanship
over a year ago — he decided to stay on his job as a Governor and to give the country the benefit of his wide experience
and ability.
Quinn said that was the jist of it, but that it was stronger
and more "flowery11 than that.
I called Nathan's secretary to see if he had a copy. He speaks
off-the-cuff at one station, what he says is recorded and later broadcast
over another station. She is going to see if they have had it taken from
the record for a written record — if not, she said she would see if the
station would let someone listen to the record and take it down in shorthand. Quinn suggested this and said Judy would be glad to do it, as they
wanted a copy too. ^he is going to let our office know on Friday. I, and
I think you, would like to see what he said about YOU and the testimony.
* *

x * # *
November 1949

Miss Saunders:
Bob Nathan's secretary will call on Friday or Monday and let us
know whether or not she was able to get a written transcript of Mr. Nathan's
evening broadcast of last night — if not she will advise you whether it is
permissible for someone to listen to the recording and take the thing down.
Judy Romney is going to go and take it down if they will let us do that —
you can call her or Quinn at OWens 5150 if Judy is to go and take it off the
record. She and Quinn called me about it and asked if they could go take
it down — that will save us bothering as we would like to have a copy.
-- -- -- * -- *
x x x
x
Friday P.M.
Miss Egbert:
Mr. Nathan's secretary called to say that they do not keep the
tapes at MJFM or WINX, that they are sent up to New York, She said there
was a possibility that you might get some information by writing to M D R ,
444 Broadway, N.Y. But she did not sound very encouraging. Mr. Nathan
makes only the briefest notes and has no manuscript of his commentary at all.