New Orleans Republican. [volume] (New Orleans, La) 1867-1878, 1870-09-16


AN ACT to provide for the redemption OF the three
per cent temporary loan certificates, and Tor an
increase OF national bank notes.
Be it enacted by the Senate and House OF Repre-
sentatives of the United States OF America IL Con-
gress assembled That ity-four millions of dollars
III notes for circulation may be issued to national
han6ng assoniations in addition to the three
the weuty-second section of.te 'Act 10 provide Il
national currency secured by pledge of United
States bonds. and to provide for the circulation and
redemption thereof. approved June tlree. ei@h-
hundred and siNtv-Iour: and the amount ~
provided shall be furnished 70 banking as
Sociations organized TO he organized i'll those
States and Territories having less than then pro
portion under the apportionnent contemplated by
the provisions OF the Act to amend an act to pro
vide national currency secured by pledge OF
United States bonds and to provide Tor the clrcu-
lation and redemption thereof" approved March
three. eighteen hundred and siXty-Hvc and the
bonds deposited with the Treasurer ot the United
States to secure the additional circulating notes
herein authorized shall be of anv description ot
bontSsot the United States bearing interest il coin,
but a apportinnment OF the increased circula-
lion herein provided for shall he made as soon as
practicable, based upon the census of eighteen nun
bred and seventy: Provided, that ii applications
for the circulation herein authorized shall not he
made within one year after the passage OF this act
by banking associations organized OF To he organ
lied in States having less than their proper ton II
shall be lawful for the Controller of the Currency
to issue such circulation TO banking association
applying Tor the III other States or Territories
having less than their proportion, giving the pre-.
ference to such as have the greatest deficiency:
hereafter organized shall have circulation in Y
cess of live hundred thousand dollars.
SEC 2. And be il further enacted, That at the
end of each month after the passage OF this act i:
shall be the duty OF the Controller Of the Cur
rcncy to report to the Secretary Of the Treasury
the amount of circulating notes issued under the
provisions of the preceding section, 10 national
banking ASSOCIATIONS during the previous month
whereupon the Secretary OF the Treasury shall re-
deem and cancel an amount OF the three per centun
TEN pOrary loan certificates issued under the acts O
March two. eighteen hundred and siXty-seven. ard
July twenty five, eighteen hundred and sixty
not less than the amount Of circulating notes 81
reported, and may. il necessary i'll order o procure
the presentation of such temporary loan certih
Gates for red mption give notice to the holders
thereof by publication or otherwise. that Certain
of said certificates, (Which shall be designated by
number, date, and amount) shall cease to bear IN
teres from and attera day TO be designated in sucl
notice, and that the certificates designated Sbal
no longer he available as any portion OF the Lawful
money reserve in possession OF any national bank
| ing association, and after the day designated II
such notice interest shall be paid such ceriti
Gates and they shall not thereafter lie counted
part of the reserve OF any banking association.
SEC. g. And be it further enacted, That upon the
deposit OF any United States bonds. bearing inter
est payable in gold with the Treasurer OF the
United States, in the manner prescribed i'll tn,
nineteenth and twentieth sections OF the nationa
currency act it shall be lawful for the Controller
the Currency to issue to the association making the
| same circulating notes of different denominations
| not less than five dollars, not exceeding III amount
Peghty per centum of the par value OF the bonds de
posted, which notes shall bear upon their face I'll,
promise of the association to which they are sse'
to pay them upon presentation ut the office OF tn,
association, i'll gold coin of the United states. ano
shall he redeemabe upon such presentation i'll sllci
coin: Provided That no banking association organ
lied under this section shall have Il circulation Il
| excess of one million OF dollars.
| SEC. 1. And he it further enacted That ever,
| national banking association formed under th'
provisions of the preceding section of this ac
Shall at all times keep hand not les than twenty
five per centum of its outstanding circulation II
gold silver coin of the United States, and silal
inf 4llr ff.., u,
| notes of every other such banking association
! which at the time of such payments shall lie re
| deeming its circulating notes III gold com OF thu
| United States.
SEC. 5 And be it further enacted, That every as
sociation organized for the purpose of issuing gold
notes as provided i'll this act shall be subject to al
! the requirements and PROVISIONS OF the nationa
| currency act except the first clause of section
TWENTY-FIVE which limits the circulation OF ationa
banking associations to three hundred millions o.
dollars; tie fist clause OF section tlrtNtw0, Which
taken in connection with the preceding section
would require national hanliing associations or
.anZrd in the city OF san Francisco 10 redeem
their circula ing notes at par III the city of New
York; and me last clause of section tlirtv-two
which requires every national banking association
to receive in yEcnt of debts the notes Of every
other national banking association ut par Pro
| vided That in applying the PROVISIONS ami fe
ouirementS of said act to the banking IONS
herein provided for the terms lawful NONE aud
lawful money of the United States, Sh3i! he held
and construed to mean gold or silver com OF tht
| United States.
o. y
more coliit;lbe distribution OF the national bank
in currency there may be Issued circulating nocf
| 10 banking associations organized i'll states an'
| Territories having less than their proportion IL
herein set FORTH And te amount oi circulation IL
this section authorized shall, uder the direction
| the Secretary of the Treasury, as ii may be re
Quired for dis purpose ne withdrawn rs herein
provided, from banking associations organized Il
States having circulation exceeding thar pioNdct
Tor by the act entitled An act TO amend an act en-
| titled An act to provide for national banking cur
| rtncy secured by pledge OF United states bonds
and to provide for the circulation and redemption
thereof" approved March three, eighteen hundred
and sixty-five but the amount so withdrawn sinai
NOT exceed twenty-five million dollars. The .ton
troier OF the Currency shall. under the direction
the Secretary of he Treasury, make Il statement
showing the amount of circulation III each stat,
anu Territory, and the amount 10 be retired 10y
each banking association in accordance VIII
this section, and shah, when such redistribution
i OF Circulation is required, make d reqiiSItioI
Tor such amount upon such banks, commencing
with the banks having circulation exceed
ing one million of dollars i'll States having
an excess of circulation, and withdraw ne
ther circulation i'll excess of one million OF dollars
and then proceeding pro rata with other banks
having circulation exceeding three hundred
thousand dollars in States having the largest e&
of circulation, and reducing the circulation OF
such banks in States having the greatest proper
ton i'll excess, leaving undisturbed the banks III
States having smaller proportion, until those III
greater excess have been reduced TO the same
grade, and continuing thus to make the REDUCTION
provided for by this act until the fun amount OF
twenty five millions herein provided for, shall De