The evening telegraph. [volume] (Philadelphia [Pa.]) 1864-1918, 1867-02-06

, meet the redemption Of the paper money. and the
larger the amount Of specie in country the larger
viii be the amount mt OF paper money that can be sus
The resumPaon Of specie payments cannot be
end esensive disturb The inSSssy 81 he eSS
ana The government az will fende9 eot az ss
| here as itle in other countries.
world metals bd RSS RsS0RSH'b %S be G auos tse
this unriyeed production SO long as We treat IL as
ana Of no use except shipped abroad
tures, The IN ury this inGicts upon our own manu-
balsnoss ths sSns o indGstTy more than counter
u is 70 be hSpea that Congress win resist all
the Pans lew which were intended as bounds outside
OF whloh tne Denks could not Lawful ly move with i'm
Pup to endangeE the prosperity of The country aud
creased nor the amount OF VII p9t be IN
Ii hes been urged that an increase Of paper money
f. needed to encourage industry and TO lift the bust
hess Of Ss country ont Of the angushns condition
IL Is din qt 70 perceive how the increase of paper
prom oe the interests of labor II onid oniv nroote
sIeouetion and by rendering prices stiil higher in
living to the wOrkmen On the other S hand judi
ShS healthy oae currency might esgsS gentle
% 6uSe tas Sost or materially that manufacturers
Wcrkmen could efford to i've. 'ner "Orks' ana their
Asg me- t ease OF paper money either in bank notes
nor remedy the evils which the industry of the oun
This bill diseouTages the aocumula alton of bank ba
SpGes e & IN Fey & HoTk b. prohibiting banks from return
teLest as no bank can afford to bay interest on such
seouetions in the large cities aud particuary in the
Gy & OF Eew t,4rk, are generally sustained by such
occu whenever there happens to be any unusual de-
but they should be dscoSTased TRe,e
aSeumnIeted IN New York from banks in all parts of
thsm and their ready command for speculation. It us
But bat hs1 9snas shall not pay interest on b9
not pc counted by any bank part Of its reserve Of
It uppeasent to many persons to listen to the sug
sesion thsta bank can be weak or fraudulent, inn
the benefit of those who entertain the Impression
etrsnng influences Of law would refer to the frauds
deyeGPef among ION & banks during the past year and to
insight into the actual management of banks:a
single private office our combination extended until
Il embraced twenty banks and banking houses. l
them the for Ot6ers Ct my oEn dsoreSn sqbgCt only
deS 9 81 se 9g the Pres
ment to know what was doing or why It was left
6e i1eressed OF diminished and the securities depos
Mr.. Hooper-it would seem as il there should be
some legislation to regulate and secure the public
them can be managed by one Individual the presde1t
and directors never troubling themselves for mo-
anything was done. The banks need some reguistion
ana esttapt for their own good as well as for the Sc
some In is effects upon them than the requirement to
redeem their circulation and to discourage the
mutation OF their funds in the large cities to be used
The managers Of banks do not generally recognize
the difference between the national 6snk circulation
t 'n9t 0I tne 81 State Psn6s me notes oi tne
frontier has it stamp Of nationality which over
to f nd @
country to the other az readily as government legal
deem 1t on demsnd IN lawful money; but who, wishes
too glad to it for currency and the lawful money
in which it would be redeemed would generally have
II $4,000 600 ives added morrow to the circulation
OF the national banks In Maine the whole of it would
De incorporated into the the
Iency Of the country, and the State of Maine would
now. j admit that it would be source Of profit 10
b % mnp s S S @ i al
minish the amount that those banks could loan the
millions Of their in 'S bO1ds
%nSa Se at prem pTemium to obtain the nine millions
ers mess q the tn & circulation of the country.
rency opposed increase the circulating
notes notes. Of the national banks beyond three hundred
ysTious States where few or no national banks are
ized as national banks the committee could suggest
no aet or better way OF providing for them than to
law to the existing national banks 1t was proposed,
theIetore to obtain the additional amount required by
banks which furnishes margin Of thirty millions for
This leaves in the law what has always seemed to
me to be its most Objectionable feature in principle
The .o authortg to national bank having not than
St boS 20 i9Se96 M Its whole SaPta In United
10 portion OF capital for its business of banking More
money fifteen per of the amount of the notes as
reserve TO their redt mption on demand; but
having invested all its capital in bonds to the
notes Ine reserve required can only be obtained di
feetly or indirectly, by borrowing. This seems
objectionable ia principle. 1t simply provides mode
OF oDta ming from the govern meut without interest
WINCH TO all intents, coed the same amount
OF ieRh lender notes, on the deposit of $1,000 ia
United states bonds as security.
1t seems to me that the allotment of circulation by
he eGslng law, and as proposed by this bill wrong
in principle The citing Comptroller OF the Currency
proposes an amen dment, which shAl offer at the pro
Ihe organization OF new banks will be increased to
nearly forty millions of dollars, and sufficient in the
ophiUn OF the Comp troer, to meet all the require
euts Tor new banks for several years to come. For
e lniormatiOn of the House beg call attention TO
the following letter of the Comptroller:
o. AEhsTRI DEPARTMENT., CFFlCE OF COMPTROLLER
SiI; ~ order to avoid discriminating specifically in
the amo unit OF circulation bank have
iYi ts capital, would suggest scale like the fol-
nUnnE as an amendment TO the House bill land the
OF such circulating notes to be furnished to
na SsoCatlon shall not be more in propog ton to its
pay up capital than as follows:
On the first $780, 600 of paid up capital seventy
nC n cent OF such capital the second $780, 900
~ capt. al sixty per cent Of such capital: on
such capis o OF Paia ug capital fifty per cent Of
psS m per cent Of such capita the NTH $500 900 of
Inc alvin h6 thlrty per cent of such capital;
cent Of such Ca o paid up capital twenty five per
on ali pSi ten per cent. of such capital, and
law requires to be with the Trees1Ser of ba nitsS
TAI Aot exceeding onethird of the paid up capt
follows: "o"lu give circulation upon capital as
~ a. SsO0 S0 900 @ at Is per cent, SS75,OOo
3D. SO mn az eV per cent 100000 81 100000 S675O00
Jtb ggVIUO az 40 per cent, 2OnOOO 0O OG0 i95 O00
9TH S6GSS az st Sg per cent, 100000 2,5OOOOJ 25OOO