Nashville union and dispatch. [volume] (Nashville, Tenn.) 1866-1868, 1866-12-07

P the importance 10 Llls -NOitt+ AD''''N'
that the South should be supplied with all
the facilities necessary for the production
of the great staples of that section, because
the export of these staples would reduce
the exportatioA of geld" The Comptroller
favors on increase Of the National Bank
circulation to meet the wants of the South
in this respect and says; ID,
This plan is met By the assertion that i
would tend directly to a further imitation OF the
currency. Buttkis objection may be obVisted BY
proper care in 50 adjusting the increase that y
shall not at any time, or IN any month"; eAceSd
the amount BY which legal-tender n9tes are d.
minished If the proper mission of legal-tenders
were fully understood, and the Necessity OF
placing our currency on permanent pa
/ stand as the substitute for specie-were properly
appreciated, there would be no dltneulty IN pro,
viding for the proper reduction OF the volume OF
lega-tenders so az to leave room Tor very naod-
crate increase Of national currency, and yet Sc
cure a net reduction in the whole volume OF the
currency.
He thinks an increase of the national
currency not to exceed S25, OO0000, to be
issued at the rate of 81, 100000 or $4,000
600 per month, would probably meet all
the wants of all the Southern States for two
years to come. And he recommends that
this addition be made, as it will add moth
ing to the volume of currency, since the
legal tenders are retired at the rate of S4,-
! 100000 per month, as provided for by law.
The Comptroller recommends the fol-
lowing amendments to the national bank
ing law:
There are many requirements and restrictions
contained in the National Currency act, strict
compliance with which is essential to the safety
and success Of the system. TIE Comptroller Of
the Currencyis expected to see that all the pro-
visions of the law are enforced, but in q HaJOrl-
ty of instances is left without the power to com
pei obedience in case OF persistent neglect or
wiliul disregard Of the law on the part OF the
banks. To remedy this defect certain amend
ments are suggested:
Tristan amendment to section 5, authorizing
the appointment Of receiver whenever salts
factory evidence is furnished that any association
is not carrying on the proper business OF bank
ing; that any of its reports required by law have
been false or fraudulent; that It's fund.- have
been wilfully miSappled by the officers or alrec-
tors in violation Of law, OrAthat it has committed
any act of insolvency.
Second-An amendment to section @. extend
ing the provisions contained thsreln, so that the
limitation 10 One-tsnth Of the capital shall APP
ply to all Liabilities for money loaned or deposi-
ted except balances due from one national bank
]
frequently placed in the hands Of private bank
ers Ostensbly in the regular course Of business,
, bu, really in majority Ofinstances because prl-
Vate bankers not being restricted in their OperA-
tions By law are able to ofer greater induce
ments for the use OF money; or, as Il IS not IN
frequently the case, private bankers have
secured controlling intereet II bank to divert
its funds from legitimate banking and use them
| in speculation, etc. Every national bank that
has failed may trace It's ruin 10 excessive de-
! posts with private bankers and brokers, and
| there is urgent necessity for such amendment to
section - as will prohibit this practice.
Third--An amendment to section "a, doing
, J away with quarterly statements, and requiring
monthly statements showing the condition OF
each bank in detail. The present monthly
statements are much too vague and general to be
of pTact teal benetlt. while toe quarterly reports
| now required, coming al mparatively long in
terYals and upon certain specified days, enable
banks 70 prepare for good exhibit upon those
days. If detailed r-FOrt- Eare -"Iuired month
! ly the preparation CT the part Of tho banks to
make good showing would be almost constant,
4 | and the Comptroller Of the Currency would be
{ enabled 10 exercise much greater vigilance in
. carrying out the provisions Of the law:
/ Provisions should also be made for the cOllec-
1 ton OF penalties imposed for dclnqucnces in
| making reports, and tor the disposition to be
| made OF the funds arising from such penalties
when collected.
Fourth-An amendment 10 section 80, proVid-
ing that where the capital stock of an associa-
tion has become impaired by losses or otherwise,
il shall be the duty Of the directors to reduce
the nominal capital and the circulation of the
4 I
necessary, so as to represent the actual capital
Of the association, as provided IN section IL OF
the act or, upon a vote OF the stockholders own
ing twOthirds Of the capital stock OF the bank, to
make pro rata assessment upon the stOckhold-
! crs for an amount sufficient 10 make up the loss
sustained; and in case Of failure to DO one or the
other within thirty days after the amount OF the
| loss is ascertalned, the COmpUOher OF the Cur
reucy may appoint a receiver to wind up the at
fairs Of the bank. -- r
| Fiflh--Ap amendment to section 49, making it
Ia for nor "a h1y IN hi
session, with intent to pass or utter, any false,
forged or counterfeit national bank note, and
requiring every national baking ASSOCIATION 70
cause every counterfeit nOte that may pc pre-
scented a, its counter TO be stamped with the
word counterfeit.
The cotton bulls" of New York still in
sist that the crop Of this year will exceed
2.00O,OO bale, and some contend that it
will reach 100000 bales I: is this per
sistent cry of large crop that depresses
prices. All the Information from the South
goes to confirm the previous reports of a
short crop, and there are intelligent South
ern gentlemen engaged in the cotton trade
who express the belief that the crop will
not exceed 100000 bales The experience
Of many Of large numbers of those who en-
gagged in cotton-planting favors very small
crop. Many who expected 200 to 300 bales
have realized less than a tenth of these
amounts. And such instance are to be met
/, with in many portions Of the cotton States,
4 cotton factor Of Cincinnati, communi-
Gates the following intelligence concerning
the crop to the Commercial ofthat city:
Some citizens Of Cincinnati who have rented
| one of the finest plantations in Washington Co.,
Mississippi, the largest cotton growing county Of
the State, put LIDO acres Of cotton expecting 20
/ gather at least 100 bales, week ago received
the last pckings from the place Their total crop
1 was only eighty-foUr bales, involving a heavy
loss. They state that their neighbors have suf-
1 fered in nearly the same proportion, and the
. crop raised in the county viii not yield more
than one-sixth of original expectations. In
| cveral instances. bale rope and bagging were
| purchased here in August, by parties interested
In cotton planting, and forwarded TO their plan
tations. sufficient for two three and fsur hun
bred bales, believing confidently at that time,
= that Their crops would amount even u more
than they had purchased baling materials for,
P who have already received their entire crop,
l. -