The evening telegraph. [volume] (Philadelphia [Pa.]) 1864-1918, 1869-12-06


In my report for 1861 called the attention OF Con-
gress TO the fact that, in several instances, notes
prepared in the usual manner for issue to national
banks had been purloined from this office Two
amounts larger than the rest were mentioned, to
wit: $45OO in nifty and one hundred dollar notes Of
the National City Bank Of Lynn, Massachusetts and
$4,000 in fifty and one hundred dollar notes or the
First National Bank of Jersey City, in addition to
which several thefts OF single sheet had occurred,
making in all s17,56O. Suspicion at that time was
directed to coored man, who had been employed
in the oflce from the time of its organization, in
confidential capacity, and who then under ar
rest The evidence against him. though very strong,
was not considered to be conclusive, ana 1t was
thought best not to bring the to trial at once,
but to wait and see what additional testimony might
be developed by the lapse OF time. During the past
year efforts made by the guilty party TO avail him
self OF the stolen notes furnishing conclusive proof
OF his guilt he was tried in the criminal court of the
District in August last, and convicted, but motion
In arrest Of Judgment was granted by the court
for some defect in the Indictment, and the criminal
was discharged; he was at once rearrested on seve-
raj other charges, and is now awaiting his trial on
new indictments only about sl400 OF the stolen
notes have been recovered, and II is a serious
question whether provision should not be made for
the payment OF these stolen notes when found in
the hands OF innocent holders. Their similarity
to the genuine issues of the same and other national
banks, and the difficulty 10 any but the most
expert and sllllful in recognizing the forged sigma
lures make it impossible for the great majority of
those who may handle money to distinguish the
spurious from the genuine issues. The subject Is
respectfully submitted to the consideration Of Con-
gress.
Reports.
Under the act OF Congress of March s. 1869, three
reports nave been called for. The first call was
made Tuesday, April 20, for a report showing the
condition OF the banks at the close of business on
the previous Saturday, April II.
The second call was made June 1b, for a report
showing the condition of the banks on Saturday
the 18th OF June.
The third call was made October 13, for report
showing the condition Of the banks on the 9th Of
that month.
The first report showed larger number OF banks
than usual deficient in their reserve OF lawful money
but generally in small amounts
The second and third reports successfully eX-
hibted an Improvement in this respect; and as they
are regarded as setting forth the actual working
ditlon OF the banks, without manipulation prepa-
ration the results are far more valuable and crafty
ing In fact, the two evils most complained OF
under the former system of reports, 10 wit, pre-
Vious preparation on the part OF the banks and the
opportunity Afforded to spectators TO manipulate
the money market, have been almost entirely done
away with. The banks habtually keen Themselves
IN better condition, as rule are less extended and
have more complete control OF their affairs III fey
carry out this policy little more thoroughly they
better able TO protect the legitimate interests of their
customers, and better entitled to the fostering care
OF the Government
Liquidation.
As the law now stands, bank may, by a vote
OF the shareholders owning twothrds OF its
stock, go into liquidation and close up its
affairs. After the expiration OF one year from the
publication OF notice TO its bll-hoders and creditors
as required by the statute 1t may deposit with the
Treasurer OF the United States egaender notes for
Its outstanding circulation, and take up the bonds
held as security therefor.
This section was undoubtedly intended TO provide
for the winding up OF banks under the ordinary
ajtjODs incident 70 specie payments. The natural