America 1919

Chapter 1569 - 571: A New Era for the Banking Industry (Part 2)

Even wanted to use Venus Bank and Breton Bank to enhance his own prestige.

Now it seems such thoughts are really shameful.

Donnie didn’t stay in the Oval Office for too long.

Although the entry of Breton Bank can alleviate the problems of the American banking industry.

But for Franklin Roosevelt, the overall environment is still a very daunting task.

Franklin Roosevelt still has many things to do next.

In fact, this is true.

It was the day after Franklin Roosevelt delivered his inaugural address.

Franklin Roosevelt asked Congress to hold a special meeting on Thursday, and not only that, he issued a proclamation announcing that all banks nationwide would take a holiday, prohibiting gold exports and all foreign exchange transactions.

Thus, the United States can be considered as partially moving away from the gold standard—albeit temporarily.

By Thursday, Congress convened and passed a law with great acclaim, giving legal effect to everything the executive branch has done so far, and further tightening control over bank operations, gold, silver, currency, and foreign exchange.

On Friday, Franklin Roosevelt asked Congress to cut federal spending to the minimum—Congress quickly got to work on this, despite the politically unpleasant move of drastically cutting veterans’ compensation.

Saturday—after a week’s active action by the Treasury Department, during which the Treasury Department designed and revised various regulations, and abandoned the plan to issue clearinghouse licenses.

Announced a plan to issue a new currency.

With the help of recommendations from the chief auditors of the Federal Reserve Bank and the National Bank, banks were roughly graded according to their reliability—Franklin Roosevelt announced that the majority of banks nationwide would gradually open on Monday, Tuesday, and Wednesday.

Sunday night, in his first "fireside chat," Franklin Roosevelt explained to the people across the country, in an extremely simple, clear, and persuasive manner, how the reopening of banks would operate and how his listeners could help make the process orderly.

Riel Callis sat in the president’s office of Detroit Citizens’ Bank at that moment.

Looking at the document of the equity transaction signed with Breton Bank in his hand.

This morning, Breton Bank officially became the largest shareholder of Detroit Citizens Bank.

Although Riel Callis still enjoys management rights of Detroit Citizens Bank.

He will be subject to the supervision of Breton Bank.

Moreover, Riel Callis has to go to New York every week to report work to Breton Bank.

Simply put, Detroit Citizens Bank has become a subsidiary bank of Breton Bank.

Detroit Citizens Bank was saved, but his rights in Detroit Citizens Bank have been greatly controlled.

He went from being a boss to being half an employee.

Riel Callis was quite satisfied with this situation during the day.

After all, Detroit Citizens Bank was saved.

But now...

Listening to Franklin Roosevelt talking about the bank grading system, he always felt this was nothing more than a variant of the earlier Breton Bank’s grading system for loan customers, wasn’t it?

Such a ranking system, once released, would definitely naturally increase public trust.

Which means, if he could get a higher ranking for Breton Bank, perhaps he wouldn’t need Breton Bank’s assistance?

Riel Callis fell into silence!

On March 13th, Monday, major banks gradually opened.

On the same day, Franklin Roosevelt requested Congress to legalize beer—thus ending his first ten days in office on a note of festive cheer.

All these events happened within Franklin Roosevelt’s first ten days in office.

However, just listing facts alone

What do these ten days mean to the American people?

They mean many things that no one dared to believe before.

The predicament of the new government is astonishing.

The new President and the new Cabinet aren’t even used to their daily tasks, mainly unfamiliar with their staff, having to heavily rely on those officials left behind from the Hoover administration to assist them, having to handle unprecedented urgency, facing unforeseeable problems.

They have to do everything as quickly as possible.

No one tells you what future costs might be for mistakes made under such pressure.

Similarly, no one dares confirm if this is a series of progressive emergency events... it might lead to the infinite deterioration of the situation... the first in the series.

No new government has ever appeared to walk into such a potential problem hive like the current one.

But other circumstances aided them.

Firstly, a fate so harsh to Herbert Hoover, unexpectedly gifted America with such a government: in the race against financial panic, it can only

Start from the starting point, uninhibited by memories of past failures.

Simply put, the period under Herbert Hoover was already very bad, could it possibly be worse now?

Moreover, for Americans, treating a new government kindly and supporting its initial actions is an old tradition.

And this time, the friendly feeling is not only readily available but also intense.

The vast majority of people desperately wish for the New Deal to succeed.

Even the Wall Street bankers were willing to give Franklin Roosevelt full authority, hoping for his success, even if they might be deemed as financiers who "have fled from the lofty perch of civilization’s temple" they occupied.

They were terrified, their institutions greatly demoralized, their collective reputation tarnished in any case, their only hope pinned on Franklin Roosevelt’s success.

Newspapers now enthusiastically clamored.

For weeks, they kept banking panic news hidden on the left pages.

Now they could—in news columns, in editorials—unleash—and gush—enthusiastic, agitating passion, publish optimistic fighting statements, the kind of enthusiasm inherently, habitually embedded in the American temperament.

Usually discordant, hard-to-control Congress, now becomes like a department cheering together, unanimously and passionately—because public opinion demands it.

The mail for National Congress Members is always heavy, and the theme of the mail is "support the President."

It’s as if a nation torn by division suddenly discovers they are marching in unison forward.

"It seems, indeed, building on ruins is somewhat easier."

Tang Fei sat on the sofa in the study of his Washington estate, feeling satisfied with the events of these ten days.

Robert Taft and Robert Lillard sat with Donnie here.

"Indeed it is so, I have never seen any new government gain such broad public support like this!"

Robert Lillard also spoke excitedly.

Currently, he is the Secretary of the Treasury of the United States, holding high office and substantial authority.

He has numerous documents to handle, but today he still came to Donnie’s side.

Because after today, Donnie will leave Washington and return to Atlantic City.

During this period, to outsiders, what Robert Lillard did was cooperate with Franklin Roosevelt in various policies.

But actually, to Donnie and the others.

What Robert Lillard did most during this period was to ensure Breton Bank legally became the largest shareholder of other local banks in the shortest time.

In just ten days, Breton Bank has become the largest savings bank in America in terms of scale, overlooking the largest area.

Of course, how to digest these local banks will be the most important matter for Breton Bank next.

"Franklin Roosevelt is a capable person!"

Robert Taft couldn’t help but say, these past ten days, the series of actions of Franklin Roosevelt have greatly impressed Robert Taft!