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J*6ceivj3d at the Federal Reserve Bank / y yof Richmond - March 17, 1945 PRINCETON BANK. S TRUST COMPANY E S T A B L I S H E D \Q7A P R I N C E T O N , WEST V I R G I N I A March 16, 1945 W. 5DANGERFIELD CHAIRMAN OF THE BOARD J, H.LILLY, PRESIDENT W. D. SHUFF, VICE PRESIDENT E.B 5PANCLER.VICE PRESIDENT D J. BAILEY, VICE PRESIDENT E.E.BAILEY, CASHIER J.5. LILLY. ASST. CASHIER R..F. LUCUS.ASST, CASHIER Mr, Marien S. Eccles Chairmen of Federal Reserve Board Richmond, Virginia Dear Mr. Ecoles: I notice recently where you had suggested to our ^President the calling in of bills of large denominations as a means to try and eliminate some of the tax evasion and black market• I want to comment you for this suggestion and hope you will continue your efforts in this direction until some success is had. I too hope you will get them to go as low as the fifty dollar bill as in our bank, which of course is small, we see so much hoarding or what we suspect as hoarding in that so many people get bills in fifty and hundreds. This is especially true of profensional men* As we have a complete check on salaried men we feel that these other persons who are making more money than they ever did should be checked on in some manner. While the calling of these bills wouldnft eliminate the trouble entirely yet money would not be so easily hoarded and too the physiological effect would help, so I want to again ask you to continue your effort until something is accomplished. Yours very truly E. E. Bailey, Cashier EEB:FT 25 March 21, 1&5* Mr* E. E. Bailey, Cashier, Princeton Bank A trust Company, Princeton, West Virginia. Dear Mr* Baileys Shis is to thank you for your letter of Maroh 16* Khile I mentioned the calling in of bills of large denominations as one thing that had been given consideration in efforts to get at tax evasion and black markets, the British experience with this device was not encouraging and it is not likely that it would be effective in this country. I appreciate your writing and your encouragement* Sincerely yours. X* S* Socles, Chairman* (^onshlulional Q^Yloney. cJ^eague of menca Headquarters 3 2 0 0 S i x t e e n f c h Sfcreet/ YOWELL Washington, D. C S AUPE, L C H A R L E S G . B I N D E R U P , N a t i o n a l President n President I M ATI^IMQ Secretary-Treasurer c. J. ORGANIZATION STATE O F FLORIDA CI / ^ D I P l A J. n . Ai MIND, Vice-President ' ' A n r > A M I 7 A T I A K I C T A T C Headquarters 841 2nd Avenue North ira. Florida St. Petersburg, W MAURER, _ 36-1945. Mr.Marriner S.Eocles Governor Federal Beserve Board, Washington,D.C# Dear Mr. EE clee;We wish to express to you our sincere thanks and great appreciation for your stand on the ourrenoy question, as you were quoted in the Congressional Record of April 36, when "bill S 510 was on the floor for action, and the Senate passed it unqgaimouslytoyvoioe vote with only 53 members present, the others being in Europe, San Fransis00 and other places* Section 4 of this bill is a direot slap at our president, seoretary of the treasury,and this administration, and taking away this power to issue 3 billions of dollars interest free U.S.Treasury notes should an emergency arise in the future,as given under Sec* 43(b) 1 of the act approved May 13,1933 (48 Stat 31,53) Tour statement "Why have gold or collateral back of your ourrenojr? This is the currency of the United States Government, and they are the backers of that money* Ihy have any collateral back of that?" This is absolutely true,so why even 25$ gold when the entire nation is better than gold? Honey is only an isqpression of legal decree , and the United States stamp on paper,metal or anything else,is better than anything based on a single oommodity,gold or any other material* We want a stabilised dollar that has the same debt paying power when paid as when issued,and this oan be easily be done without gold,but not with a gold basis which varies constantly as proved in the past fifty or more~years* In a test made in 67 oountries only Lincoln Monqy was accepted at its faoe value,and no other,neither gold,federal reserve*or any other would be taken* Why be the only nation in the world to base our money on a variable basis on a single com* modity,gold,even on a 35$ basis, and which is not used as money anywhere, even in our own oountry, where we have been such fools to pay $35* per ounoe for it,when it was only worth #30* per ounce and then bury it in Kentucky where it does nobody any good* Gold is the metal of the miser and the thief,and should be used onlv in the arts like other metals* _ Art*l,Seo*8,Clause 3 ,should be atftlished the United States Constitution,and in its stead i s s u ™ l f international Money,free of interest at its +v Tr 3 aooeptable to every nation in the world* Our Foreign trade is only about 5% or less of our nations business, then why should we talk so muoh about this 5% instead of attending more to our own 95$ in our own country* Let us cooperate in every way with all nations, but our own American people should come first* Every Nation in the world is looking out for their welfare first, and as Former President Hoover said* "We are the only nation in the world that fights other nations battles at our own collossal loss*99 As we see your viewpoint you are endeavoring to stabilize the purchasing power of the dollar and when you do this the people in the United States will rise tg> and oall you blessed* And when you do this all nations in the world will want to follow suit* Senate Document 33 by Senator Bobt* M.Owens from Oklahoma, makes this very plain* He made , this statement in 1914* It seems that the whole world looks xxp to him as the walking encyclopedia of the monetary affairs of the entire world* After long study of monetary principles we are greatly pleased at your stand and we congratulate you again and again for your true expression of its value and for the welfare of all our people, and not for the few who try to exploit the masses by monetary control* Keep up your good work Mr*Socles and we the people will bless you as our great leader in currency reform* This is the conclusion of our gro\£>* Very .Sincerely Yours* 1 Q President 841 -3nd. AvoTNorth St. P otor eburg, Florida* June U, 1945* Mr. M. Yowell, President, Constitutional, Money League of America, 84L -2nd. JLvenue North, St. Petersburg, Florida. Dear Mr. Yowell: This is to acknowledge your letter of May 26* I. have read with interest your comments and appreciate having your views. I am, of course, interested in economic stability as a primary objective. The former Senator QwenJhas devoted-a lifetime- to menetary- matters and my only regret is that he thinks stability can be achieved, so easily tinder the quant it y-of-money-theory. I wish it were, that simple. Sincerely yours, M. S. Eccles, Chairman. ET:b ff Uhe^^vvCttQ
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