New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1868-11-17
WASHINGTON.
THE DEPARTMENT REPORTS.

PARTMENT REPORT-IHE sOIhhNlSiN" nv
CHITECT's UGGEsTIONs-LOUIsIANA ELEC-
TIoN-sMXTHE APPoINTED-PERsoNAL-T
BOUNTY FRAUDs-REvENUE REGULATIONS
THE INAUGURATION.
WASHINGTON, Monday Nov 49, 1868
The annual report of the Hon. II. r. Hurlburd
Controller Of the Currency which is nearly hniShou
will show the number of banks organized during
the last year to be but 10 about half of which were
Intended to take the place of banks that are WIN
ing up, and are TO have circulation as the notes u
such banks are returned the remainder being nc"
associations without circulation, until some iur'n'i
proyiso shall be made by Congress 1t Will also con-
tain fables showing the condition of the lawful
.o,o,, reserved bv States exhibiting the amount of
articulation and deposits to be protected by the
reserve. the amount of lawful money on hand. and
the amount available in New-YOrk and other re-
seeming cities for that purpose. Those banks that
are required to hold in reserve Is per cent and those
that are required to hold Is per cent of their crcua
ton and deposits are grouped separately. These
returns are given for each quarter of last year. and
show a very considerable excess of reserve over the
amount required by law The report will present IN
tsbuar form the amount of taxes paid by the banks
70 their respective States and to the United States
fol the calendar year 1867, showing the aggregate
taxation to be nearly five per cent on the capital OF
the banks An interesting exhibit will be made of
the aggregate amount of the loans and discounts
made by the banks in the several States the number
and average amount of loans and the average time
the average for all the States being about 70 days
the credits being longer in the Eastern or older
States and shorter in the Western States. Rhode
Island elbows the longest average, being 109 days
The Controller renews his recommendations OF last
year for the redemption of all National Bank notes
in New-YOTk. believing that the ultimate redemp-
ton of all such currency is established beyond
question. 1t only remains to make them convertible
This can be done only by making them redeemable
at a common center, which should be the center of
trade. When this is accomplished, the amount of
notes IN circulation will be regulated strictly by the
demand. When the volume shall be greater than is
necessary to do the business of the country the
banks will be called npon to redeem the surplus
and it will be retired. When trade Is
active, and more currency is required,
the banks will expand their issues, and re-
demptons will not be demanded until the season of
activity is over If all the banks are required to
conform 10 a uniform standard of responsibility in
this particular the burden. being equally divided
among all in proportion TO their circulation will be
light, because the aggregate redemption at any given
time will not exceed the surplus Of notes in circua
ton while if such rule is not established the bur-
den will be unequally divided, falling most heavily
Oh those banks which conform to the highest stand
ard compelling them by the frequent return Of their
notes 10 contract their issues while at the time
the remote banks will be tempted to undue expan-
SION the temptation being the difficulty and expense
AZ ret forr ode N as
In all other cases, the inferior currency will be the
more abundant. Rigid, unfailing cOnvertibility is
the only safe rule and in the end the most econOmi
cal IL is an obligation which every National bank
owes to the system to contribute its due share TO the
maintenance of circulation Of uniform value This
At can do only by keeping its issues at par in the
great centers of trade Any plan which is not COM
prehensive, thorough, and rigid, will fail half
way doubtful, voluntary arrangement will not
answer the purpose. The Government which author
ICES the issue of Bank notes for tcurrency
has light to require allS banks TO conform 10 the
highest standard. The currency of a country be-
longs to the people and the Government, which
represents the people, should see that the people
have the very best currency possible. In his last
annualreport the Controller remarked that there
was not at the time any immediate demand for the
redemption of National Bank notes. but it would be
one of the healthest evidences of returning sound
ness in our financial affairs if it should be begun. II
legal tenders should command small premium, it
would begin IL wOuld be the first step toward specie
payments 1t would mark an era in lcgal-tender
notes the date of their appreciation in value. At
the same time it would be healthy reminder to the
banks that their circulation is liability payable on
demand. The Controller IS opposed TO the payment
of interest on bank balances by Ncw-YOrk city
banks, and favors a return to specie payments.
The annual report for the fiscal year ending June
So 1868, of Gen. Dyer, Chief of Ordnance has been
submitted to the Secretary Of War lie says that his
expenditures for the year were $3O92 OOO which is
less than three-fths of his expenditures during the
previous year. The necessary preliminary steps
have been taken for removing public prop
erty and selling land at the st. Louis Arsenal
and Liberty Depot. in Missouri, as required by an
act of Congress at the last session. lie says that the
sale of the St. Louis arsenal renders it necessary TO
make arrangements for supplying its place. An ord
nance board which made an investigation. recon-
mended the establishment of a arsenal at JEFF
ferson barracks and the War Department cOncurs in
this recommendation. Gen. Dyer Tenews his propO-
sal TO sell the arsenals at Rome ~ T. and Vergennes
VT and the Government property at Harpers Ferry.
He also renews and strongly urges the establishment
of arsenals at Omaha or elsewhere IN
that section of the country He speaks at length OF
arming the prominent Notifications of the country,
and says that experiments have been instituted TO
test the smooth-bore and rifle cannon. He recon-
mends that the Government go on rapidly as pos
sbe with the manufacturing of smoOth-bores and OF
rhe-bores the results of practical tests Will
90 authorize. He says finally that good report IS
made from all quarters of the breech loading mus
kets that have been converted from muzze leaders.
and that the work in this direction being continued