Green-Mountain freeman. [volume] (Montpelier, Vt.) 1844-1884, 1871-12-13
:. : uIrency Report.

currency Report.
Since the last annual report. I55 Nationl
Banks have been organized. making the tota
number % October /. 1856. rthis mum
Der ten banks, among them the Nationa
Bank 5f the Commonwealth of Boston, witt
! an aggregate capital Of 81 9G0. 600. .w er,
organized hy the surrender and transfer O
circulating notes for that purpose by exist
. llE National Banks. and did not increase th,
aggregate u bank circulation
During tie year l45 banks have been Or
, San'zed under the act Of July -. 1870
. providing for the issue of fiitv-iour million,
DO additional bank circulation. These bank.
( are located Iu the ~ est AMI South. the largest
number (-7) in the State it Illinois
/ HE total amount IF currency issued under
/ tile ac- of July -. 1870. t. October /. 1871
i- - 555,9jD, some $50 OO0, 600 oil which
h1s been furnished % new BANKS, and tac
I remainder u existing banks which had n l,
I received their fun quota, Or which had in
creased their capital To- meet the growing
! demands of business.
lac Comptroller estimates that the West
ern and Northwestern States can be fully
supplied and still leave from $50 600 900 O.
/ 50 600. 600 for the Southern States when
/ they are in q condition to take it,
In New Orleans one obstacle IN the way oi
\ q Change % the national system is the lIm-
\ tatian ot the amount Of circulation t0 any
one bank 20 500, 900. The proprioty of re-
moving tais limitation is suggested AlIu-
SION D. made TO the tcuacity with which the
/ Pacific State. adhere ro t6e 5,IJ au~ra-rg
The Substitution Of paper currency, the
Comptroller thinks. would set free for tie
6lvernmeut and tie whole country. some
-Hrty Or icrtt millions of gold aud be
recommends rhe establishment If r.+i,7,4I
banks FL those State. unaD j Ie.-al tender
basis. the law tciny So mod ftiei Is Is enable
hem -9 conc sue. Is -.,Ifv with o.her bank
lr- f.-tlJ...5.s. 81. ...,-o.-, doing austnes. 10
that section.
2utrttle dishonesty In the management
Ut tic banks has .ecurrei Tho lig. rate.
. IT tazstiua imposed On National Banks in
...sc ot Z .c States Is remarked upon. and tb,
opinion expressed tlac the pubuc good would
iu-t f- sl.a limitation to the power of the
~-tre- to tA X lee Shares of National Banks.
.u. avert-e tax paid O, the JulteI States Is
= - ger cent. IN the capital of the banks.
AID cls equivalent uf TINS INK Ouy4t q be
s4.he.crr ior iEe states iu which the bank.
are Gated.
lie recommends taet the COMPTROLLER of
-i.s t'.rr-,..v a.. rl.taei with power To act
in e se- whore the riuitai Of a bank has been
s riau-lv impaired by losses VI otherwise.
r.saer IS .Qa4r.u- tuat capital ID b maIe
q. .l.Ie uv a--e--ucuC .i Tie -IJrca9'dess, ur
lv requiring t.e-u4uk te wind uu rs affairs
gltail o reasonable tine If It's capital Is not
made good Also to wind up the afTurs 0t
any bank which * noS engaged IN the trans
s ti51 d. % Legitimate and reputable bu>I-
ness. or wlIca aa7 obtained an organization
through tI,e or fraudulent rcprc-entatlons.
lie suggests tne ezpedrency Of legislation
requIr.uy Tile banks ID stamp all spurious
~ ..uev as q. counterfeit - when presented at
the counters
The circulation furnished 10 national
banks mas now secn outstanding for an aver
t,-e rrri3I Of about five wears. and sC il be-
iny returned in constantly increasing
.,r.l.,o+. fan. r.eyv notes. Since the organIza-
ton of the Bureau 20 September 80, TIE
total amount returned Tor destruction IS
sol .546,345. ol winch S23, ,94S 527 were
returned during the last year. lhe hanu-
ling or these notes involves much care and
labor. ana REQUIRES an addition to the pres
er- .s,.irlhlo ioraa Of the office
SPECIE PAYMENT
Tbe Comp-roIlerde devotes considerable space
ra the discussion o. this topic The con
traction 80 theory. he claims, has failed, be-
eau-.. tbe reoplc do not wish ior resumption
tbe onIy road. Ae saws. to specie pay
- n remains closed al the mandate Of
the people" TIE doctrine, also Of a cur
renc5y permanently divorced from specie
5asI- j. deemed iailaeiogs. Panic5, ne says
% convertible currlncIes, Of winch credit
forms "a constituent element
The hobby has been ridden 10 death Ab-
solute converrt'bility can be secured only , oy
locking up the specie, and ior eacA doiar
under lJck and key issuing a paper prom
use t. psya dollar on demand. Ultimate
solyoncy Is Of far greater importance e., to .I The
raj and judicious use OF credit = q lar more @
value IN the commercial "orld ii t4an tne I'M IN
slant command ol S''@ - ',-1 - .be ,r.sent
system, under which, he thinks, specie and and
paper VIII GfaIuaily "A1 'uI0iy' '"ou7i -
Ia Ps slowly, approximate to an equality IN
value . ,.-....o. LEGISLATIVE inter
lie therefore ueti - - +be ,Tdart,sino
a.atof6re \, .,tC considered. to place the entire