New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1867-10-23

Tn MAXIM no tIe account hetWcon tho banks and TIE
Government, tho banks stand credited WITH the ioo"ns
l. Blk per centintcrost on $l14 900. 600, nleGal
f feT depo ndia " Wv sGSIOOOo
TT six ioT peT cen Interest on ,oo6ooo held as
reserve for circulation. $50; -. eeOoo~
Ill o eSo per rSrc Gi' rei 'l" 'e 100000
~ ot o9 ssIi 90 zoo Of depastsp. 2S55OOO
v OHc-Ea!t Of orc pc! cent pcranniin lax on
amount Of capital Of National Banksnot o,o
| vi onchalf Of one per cent per annum lax oa
fiHd Of bamR Is during tie past year 55OcOoo
VI" Sax on 80, dos G6j Of capital ... $4,000
| VIII Amount OF State taxc9 paid by The Ma
n no1,ea p "a Inc Trcs bepariment 100000
Total. ............. SIS, $4,000
Deduct six pcr cent interest on S0O,c0CoO Of
! circulation furnished TO tho banks..slS0o'w
p.,orco tlos,s.OOO
This Ialanccshect between the Banks and the People,
every item of which based upon Official data shows
lowed mp by the very terms and stringent OK
tho law but an excess OF TIN Mili0Ns EiS e on ~ MA
in cash TIE Government by the banks Tor inc piegn
q existing This call ta1a1m Tf ma. vT N5StionS svSpn
adopted and the GoYcrlnent TOOK ellc eCh,ro ol
mat rom either The circulation or deposits Of tho
banks or In return for their chartered privileges;
To rpthc whole matter IN . word; ne Ameriea,
peoIc 6y deoy!ng ue Aahonai Bank,ng ssen Is1 s,
e Ngon EpS ce @ e ,S S,s aot %o,s yaG
Hs Gcrpnue ~ e Baskg mG , mGS 'I S,S, ea s
NE cancellation ftffl Oflt iifftfSfOfNIfHV
statement Ct tho case can be eompIehended py i anu
be denied by any And nus - leaving Wholly oI
fer by tho OF tho present noble system and
return to tho financial confusion ard insecurity OF oer
OF the American people, atcr JUHy uidcrsMn"nV nhe
es IN te casc can adyoGatc Tine, SS are debeaeW
determined 10 commit financial suicide.
| IV-Prcsrnf Position Of ne National Bahks. a.
Those bar rs that have changed from the state 10 ue
National system having gwen MP Their former hnd in' ,
larger liberty OF circulation and deposits t0gcHer WIN
| lpd themselves threatened WIN Dcbb
deprived not only OF their national circnatio, pu. AIS"
of their positions scal agents Of the Government %
Tho profits OF ho banks during the war IKE those Of
almost al branches of business were lIge anu @ a.
opinion of bank officers generally when stare tna III
c,r r,f nd bnsIness the National banks cannot for
the immediate future declare average amman dSluth OF
more tan per cent. and DO sale ana icSi'a'e panA
fbo National Banks constitute now only system OF
Interests so the officers and stoeihod-
ara of tlc National Banks concerned. venture 10
II wcro question Of profit, gladly return 70 mo
| old state system could they be assured OF tue same
privileges formerly enjoyed under H. Are our merchants,
FARMERS, mechanics and WOlkingmcn geheihly pSS,,
pared for suce chauge-fo such change tHty VII
system Already. understand. an enabling act mas been
auicl for nr as been obtained from tie Legislature OF
SeYork 10 enable the banks of that powerful common.
wealth O. return 10 their former condition ~ state nst
,ntions The fast IT, the stringency Of tine National
nanina law the reduced liberty Of circulation. tine
uury reserves of funds the state and National TAXA
tion-a combine 10 render the present system H9ch
moro favorable 10 tho people aud less attractive TO the
| banker than that formerly in vogue.
Te number OF National Banks now IN existence and IN
good standing is @ agnS an sgife Hank as de- i
posores Of public moneys Is 3s9. having aggregate
rnpitsi of sis6OO0O0 These depository banks had on
deRos "a Nth the banks United states Bonds Of
various amounting to tDlesiSe 10 s,cute to.al
Os9 o. The average amount OF nonnerest bearing legal
tender notes by the banks during me past h'coi
deposit the National Treasury to secure lher cHena
ton bIx per cent bonds amounting 20 S5l go and I'VE
hpu
siO7o9 go, with which to secure ni sgG[egdte o f
Ion o. IL Of he system are nine having aa
aggregate capital OF 10000 Iwenl three Other bansS
haze tVluptary gone into lquidation-theu aggregate
lEegardipg Inc failure Of National Banks, word Is
aufelent Some National Banks have failed and others
viii do the future Tor the simple reason that IN any
business, and with any Sein II ~ 10 guard
nj all mcs against the oupidy aud dishonesty OF agenit
IN dishonest bank officer chooses To nDsc0hd VITA tho
funds OF his bank 1t Is difficult TO see what remedy there
could be under any system But under tno Natohni
system the security against accidents OF every kind Il as
nearly perfect practicable, and s vast improvement
the old plan For under the present system me Snt
holders are completely ard Gtys secured a ssSt every
security than under any former system ehihs q
the people are directly interested only in the security Of
The circulating notes Of the Banks for these are In every
mans pocket and they cannot be affected In value by
anything the banks may do Gnvetnemo pe'1S
note the very small number OF failures since tue change
from the old stem 10 tho new-ony n@ out 0i nearly
| ,,TOO having failed IN four years
| y-Supeyiority of the National Banking Syscm.
The superiority Of the National over tho State Bark
]
prcvious que sons and can only rccapuatc here The
State system involves this grave error, that IL gives
s ytr public interest Which Is naivsblc aud strictly
national In its character IL the currency Of one state
within Its own State limits, then State system might be
the proper but these state Bank notes Din tho event
whether good or bad, would become part ofthe Satios
currency, aud the people of all the States would be
equally interested TO have them well secured which
would be entirely impraccable. A subject which thus
interests all the people OF the country equally and which
in ia workings pays attention to State lines should
DO unity OF purpose aud in order that all the people may
share In determining through their central Government
| the character Of tho currency they must use.
Under the state system there Is no cleclipon undue
expansion or ana thus degree OF nc Sa
the National plan the volume OF tho currency Is deto
as the needs OK people and the business of the country
require. Thus stability and comparative certainty are
secured aud public confidence maintained onaer sn9
temptation to corruption before 80 different legislative
bodies under the National system the cor,ptng power
of the Banks they have at ALL Is confined TO sin.
glo National Legislature, ana as tho present law IS
framed and with the gaze OF nation concentrates upon
impossible there. Under the state system tho cur,
rcncy unlike In appearance Unequal IN value o anI
holders who emphaticay ne people; under the va.
tona system the currency uniform In appearance ma;
secured that bhoders do not and cannot lose anything
AS to the superiority OF the present system over inc
yocate return TO the latter But the National system
possesses all the advantages with few any OF the on
econable features OF the old United states Bank III.
| deed the National system golden mean between the
State system United States Bank combining the
erceences of both u combines the unity Of action and
general control and the uniformity OF ourrencywhe
were tho features Of the United states Bank-wl
the diffusion OF issue and freedom in local management
which characterize tho State system. Considering the
present extent OF country ana tho present anu prog
pceve magnitude Of It's business interests regard tho
establishment and OF United States Bank
next to financial mpossibility BESIDES ~ is not le
province OF government TO be the banker OF the
L mann ha uaoD "a