The weekly north Iowa times. [volume] (McGregor, Iowa) 1857-1867, 1862-01-08
The National Ba nk.

The following is brief synopis Of the act
to authorize national currency, secured by
hypothecation of United States Stocks, and
to provide for tho circulation and redemp-
sion thereof, prepared by the Committee of
Ways and Means, and introduced into
the House.
It provides first for United States Bank
Department, in the Treasury building, with
Bank Comptroller to disappointed BY the
President and Senate, with salary Of So
600, to have general charge and supervis-
ion over all banking operations under the
act.
ltprovides for issuing circulating notes
IN the similitudc Of bank notes, to be coun-
tcrsigned and registered in the Bank De-
partment, to be stamped on their face 'Se-
cured by pledge Of United States Stocks,
and receivable for all dues to and from the
United States except duties on imports, and
made legal tender for these purposes"
Allexisting banks in all States and Terri
tories Of the United States may elect or
not to avail themselves Of the benefits Of
this national currency on complying with
the provisions of the act
New banks may be formed by any num-
Der Of persons under its provisions, with
capital Of 100000 or more, to circulate
this currency and carry on general bank
ing business in any part Of the Z. S.
ALT banks issuing national currency are
required to keep constantly on hand TWEEN.
tyfive per cent. Of their outstanding circu-
lating notes in specie, to secure the prompt
redemption Of the same.
SfOrk boldrrS mazda IN ,J,,o H., 10
for the debts Of the bank to the amount of
their stock.
Banks organized under this act are to
have seal, may sue and be sued in all
courts, and may make all by laws nccessa.
~ to carry on their business.
Banks under the ACT are to make quarter
~ reports to the Bank Comptroller who is
annually to report to Congress.
II banks fail to redeem their bills and be-
come insolvent, the securities in the hands
OF the Bank Comptroller may be sold at
public auction and the bill-holders first
paid.
Insolvent banks are to have Receiver
appointed. and be wound up by order Of
the court
Frauds and countcrfeiting are carefully
guarded against This bill will, the Com
mittee believe, create large demand for
United States Stocks to be issued for bank
ing purposes. The bills issued on hypo.
thecation Of these stocks will have the TAI tn
Of the Government pledged to that extent
for their redemption.
These bills arc to be receivable for taxes
and oil other public dues to the Government
and for all salaries. and for al ether debts
and demands due from the United States
for services rendered, and for supplies and
materials furnished. The banks issuing
this national currency and made liable for
its redemption, and the stockholders arc
unade liable for il.
The bill-holders have as security: First
the United States Stocks deposited with the
1snk Comptroller second the liability Of
the bank issuing bills third the personal
liabilities Of the stockholders of the bank
70 an amount equal to their stock and it
is thus thought to constitute very safe and
secure currency for circulation among the
people, to pay the army, and all other ex-
tssordinary expense Of the war.