New Orleans Republican. [volume] (New Orleans, La) 1867-1878, 1870-09-24
lPUBLIC-No. l61. |
AN ACT to provide for the redemption of the three
per cent temporary loan certificates, and for an
increase of national bank notes.


AN ACT to provide for the redemption of the three
per cent temporary loan certificates, and for an
increase of national bank notes.
Be it enacted by the Senate and House of Repre-
sentatives OF the United States of America in Con-
gress assembled, That fifty four millions of dollars
in notes for circulation may be issued to national
hundred millions of dollars on authorized e '''t bv
the twenty second section of the "Act to provide
national currency secured by pledge OF United
States bonds and to provide for the circulation and
redemption thereof" approved June three, eigh-
teen hundred and sixty-fOur; and the amount of
notes provided shall be furnished to banking as.
sociations organized or to be organized in those
States and Territories having less than their pro-
portion under the superintendent contemplated by
the provisions of the Act to amend act to pro-
vide national currency secured by pledge OF
United states bonds, and to provide for the eircu
tbres and March Sh
bonds deposited with the Treasurer of the United
States to secure the additional circulating notes
herein authorized shall b. OF any description of
bOndso the United States bearing interest i'll coin,
but new apportionment Of the increased circula
ton herein provided for shall he made as soon as
practicable, based upon the census of eighteen hun
dred and seventy: Provided, that if applications
for the circulation herein authorized shall not be
made within one year alter the passage of this act
by banking associations organized or TO be organ
lied in States having less than their proper ton
to issue such circulation to banking associations
applying for the same in other States or Territories
having less than their proportion, giving the pre-
ference TO such as have the greatest deficiency:
And provided further. that no banking association
hereafter organized shall have circulation in ex-
cess OF five hundred thousand dollars.
SEC. 2. And be it further enacted, That at the
end of each month after the passage of this act
shall be the duty OF the Controller Of the Cur
rency to report to the Secretary of the Treasury
the amount OF circulating notes ISSUED, under the
provisions of the preceding section, to national
banking associations during the previous month;
whereupon the Secretary of the Treasury shall re-
deem and cancel an amount Of the three per centum
temporary loan certificates issued under the of
March two, eighteen hundred and sixty-seven and
lDIf hmm }rad pp,AS CIV c:<v1t
not less than the amount of circulating notes
reported, and may if necessary in order to procure
the presentation of such temporary loan certifi-
Gates for redemption, give notice to the holders
thereof by publication or otherwise that certain
OF said certificates (which shall be designated by
terest from and after day to be designated in such
notice, and that the certificates designated shall
no longer be available as any portion Of the lawful
money reserve in possession OF any national hank.
ing association, and after the day designated in
Gates and they shall not thereafter I've counted rs
q part of the reserve Of any banking association.
SIC. p 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 in the
nineteenth and twentieth sections OF the national
currency act it shall be lawful for the Controller of
the Currency to issue to the association making the
same, circulating notes of different denominations
not less than five dollars not exceeding i'll amount
posted, which notes shall bear upon their face the
promise of the association to which they issued
10 pay them, upon presentation at the Office the
association, in gold coin of the United States, and
shall be redeemable upon such presentation in such
coin: Provided That no banking ASSOC, iation organ
lied under this section shall have circulation in
excess OF one million Of dollars
SEC. 4. And be it further enacted, That every
national banking association formed under the
provisions OF the preceding section OF this act
shall Mt all times keep ON hand not les than twenty
five per centum OF its outstanding circulation in
gold or silver coin of the United States and shall
receive at par in the payment of debts the gold
notes of every other such banking association
which at the time OF such payments shall be re-
deeming its circulating notes in gold coin OF the
SEC. 5. And be it further enacted, That every as
ISOLATION organized for the purpose OF issuing gold
notes as provided in this act shall be subject to all
the requirements and provisions of the national
currency act, except the first clause of section
twenty-five, which limits the circulation OF national
banking associations to three hundred millions of
dollars the first clause of section thirtytwo which
taken in connection with the preceding section
would require national banking associations or,
ganized in the city OF San Francisco to redeem
their circulating notes at par in the city of New
York. and the last clause of section thirfv-two
which requires every national banking assOcation
to receive in payment of debts the notes OF every
other national banking association at par: Pro-
vided, That in appl, ing the provisions and re-
quirementS of said act to the banking associations
herein provided for the terms lawful money, and |
lawful money of the United States" shall be held
and construed to mean gold silver coin of the
United States.
SEC. 6. And I've it further enacted That to secure
more equitable distribution of the national bank |
ing currency there may be issued circulating notes
to banking associations organized in states and |
Territories having less than their proportion as |
herein set forth. and the amount of circulation in |
his section authorized shall under the drect of
the Secretary of the Treasury, it may be re.
CURED for this purpose, be withdrawn, as herein
provided. from banking associations organized in
States having circulation exceeding that provided
for by the act entitled IAN act to amend an act en-.
titled An act to provide for national banking cur
rency secured by pledge of United States bonds,
and to provide for the circulation and redemption
thereof approved March three eighteen hundred
and sixtyfve, but the amount so withdrawn shall
not exceed twenty five million dollars. The Con-
tlOler of the Currency shall under the direction of
the Secretary of the Treasury, make "a statement
showing the amount of circulation in each State
and Territory, and the amount to be retired Inv |
each banking association in accordance with |
his section, and shall, when such redistribution
IF circulation is required, make reouisition
Tor such amount upon such banks, commencing |
with the banks having q circulation exceed. |
ng one million of dollars in States having
M of circulation, and withdrawinS
heir circulation in excess of one million of dollars
md then proceeding pro rata with other banks
having circulation exceeding three hundred
thousand dollars in States having the largest ex.
,ess OF circulation, and reducing the circulation of
uch banks in States having the greatest propor.
ion in excess, leaving undisturbed the banks in
'tates having smaller proportion, until those in
yreater excess have been reduced to the same
yrade. aud continuing thus to make the reduction |
'rovided FOR ~ this act until the full amount OF