Fremont journal. [volume] (Fremont, Sandusky County [Ohio]) 1853-1866, 1862-01-10

Tho ProposeA FIriamelal schsmo,


-The .Prgpossd FInanelal sehsms.
The following is a brief synopsis Of the
cot to nuthoriEs a National currency, seeur.
"a By tho hypothscaiion Of the United
States stocks, and tOiprovide for the circula-
zion ana redemption thereof prepared by
the Conmitee on Ways and Means and
70 BE- intSoduced into the House at an
early day. M ~
w IL provides for United States Bank De-
partmeut in tho Treasury buildings, with
q Bank Comptroller, appointed by the
President and Senate, with salary Of Eve
thousand dollars, 70 have general charge
and supervision over all banking operations
under the act. 1t provides for the issue oI
circulating notes, or similtude Of bank notes,
to bo cOuuteFsigned and registered in the
Bank Department. to be stamped on their
face, and secured by pledge Of United
States stocks, and receivable for all dues Il
and from the United States except duties
on imports, and made legal tenders for
these purposes. All existing banks in all
States and Territories of the United States
may elect or not to avail themselves of the
benefit Of this national currency, on com.
plying with the provisions of this act. New
banksmay be formed by any number ol
persons under its provision, with capita
Of one hundred thousand dollars or more
to circulate this currency and carry on
general banking business in any part of the
United States. All banks issuing national
currency are required to keep constantly on
hand twenty-five per cent of eirout-stand.
ing circulating notes in specie, to secure the
prompt redemption Of the same.
Stockholders are made individually lia.
bic for the debts Of bank to the amount ot
their stock. Banks organized under this
act are to have seal, may sue and be
sued in all courts, and may mako all by
laws necessary TO carry on their business
Banks under the act arc to make quarter
ly reports to the Bank Comptroller, who is
annually 10 report to Congress. If the
Bank fails, to redeem their bills and be-
comes insolyent, the securities in the hands
of the Bank Comptroller may be sold al
public auction, and bill-holders paid first
luSCANOus OdhNo W udNS EoColfoES dppOluteu
aud be wound up by order of Court
Frauds and counterfeits arc guarded against
This bill, the Committee believe, will Gre
ate large demand for United States stocks
to be used for banking purposes. The bills
issued on hypothecation of these stocks
will have the faith of the Government
pledged to that extent for their redemption.
These bills are 20 be receivable for taxes,
and all other public dues to the Govern
ment, and for all saleries, and all other
debts and demands due from tho United
States for services rendered. The Banks
issuing this National currency are made IL
able for its redemption, and the stock -hol
ders are made liable for it. The bill-holder
has security, first of the United States
Stocks deposited with the Bank Comptrol-
Ter; second, liability of the Bank issuing
bills; and third, the personal liability of the
stockholders of banks to an amount equal
to their stock; and it is thought to consti-
tute very safe and secure currency for
circulation among the people, TO pay the
army and all other extraordinary expenses
of war