The Carson daily appeal. [volume] (Carson City, Nev.) 1865-1870, 1869-12-10
Report Of Controller Of Currency.
WAsHIxGroN, December 5th

1 ASdiN0IONs DeCS"UcE Otu
The annual report Of the Controller
of Currency shows l $50 banks in active
operation. Their condition is more
gratifying than formerly. The oppor-
tuuity afforded 10 spectators to manip-
ulate the money market is about en-.
tirely done away with, and the banks
have more complete control of their
affairs. The Controller recommends the
passage of an Act requiring all the
banks that 60 into liquidation to deposit
legal tender notes for outstanding circu-
lation, and take up their bouds de-
posi'ed with the Treasurer of The Uni
ted States as security against speculation
within sky days from the date of the
voie of stockho idrrs to wind up; be
also recommends that the tax-notes on
banks be made returuable aud pHya bic
10 the Treasurer of the United States,
including the special aud dividend tax.
now payable to the District Collectors
that compensation to the Bank Exam.
liners shall be Increased, and provision
made for its assessment upon banks so
examined, tho increase to include fair
coupens rIion to employees OF the Cur
rency Bureau. The recommendation 20
establish n central r-deeming agency in
New York, made in the last annual re-
port, is renewed The Controller says
the legal prohibition to the banks to
hire deposits, is not sufficiently explicit
or positI,e to prevent it, and he hints
at legislation TO that end. The Con-
troller argues in favor of national
banking system. AS il would cause ease
10 the money market lower rates of
interest, than would otherwise be OBJ.
tanned He thinks the Government cir
culat1on which is not convertible, and
therefore not elastic, should be with
drawn and substituted by national bank
notes, which are NORMALLY redeemable |
aud are certainly amenable to the laws |
of trade No check or limitation should |
be imp posed on tue latter, other than the |
laws of supply and demand. \ self ad |
justiug system of currency is The ouly |
one that is adapted TO the exigehcies of
she trade and To the wants of the coun-
try; and it is a vital question at this |
time whether this result can be reached |
before The return To specie payment. II
possible at all. IL is only so through the
agency of National Banks. The ma.
OF Government is not adapted 4
20 such ends; and further, if possible,
1t Is SO only upon the adoption of a
policy which will tend gradually but
surely TO the resumption Of specie
payments. L. must be gradual derel.
opmeut process, which shall absorb the
legal tenders and put in their place,
paper currency, which shall at all times
h. I
for coin, or paper legal ten"
ders or of goid-a paper currency
which shall gradually increase, while
the legal leaders for its redemption
shall gradually decrease, in such ratio
Is n healthy demand for banking facili-
les may determine. While free bank
ng facilities may thus be established
with safety anterior to specie payments,
only on the withdrawal and
cancellation of the legal tender dollar
or every dollar of bank currency is
Ied, free banking upon specie basis
nay also be permitted with equal safety
md without delay. With the details
adjusted banks may be estab
ished with authority to issue and put in
irculnt on gold no e. lin I'd in amounts
" the ability of the banks TO comply !
With the necessary conditions and re-
ieem their issues, or by the establish :
nent Of banks on specie basis. The
esumDtion of payments is only antici-
,ated, and familiarity with gold values
viii do much to relieve the subject of
he mystery with which it is associated
u the minds of many looking forward
o the day when uniform values shall
gain prevail. 1t may be that, by wise {
egislarion now, a banking system can
,e established truly national in its
character and scope, which will furnish
sound currency of uniform value in {
very State of the Union.