New-York tribune., 1872-12-10
TEE YEW B4NKING SCHEME.

HOW Mr.. WTFrLERs GREAT NATIONAL BANK
BILL Is REGARDED By CAPITALIsTs-HENRY
CLEWs EXPLAINS TIE sCHE1IE-Ir Is TO BE
BANK FOR THE REDEMPTION OF NATIONAL
CURRENCY.
A number Of the leading capitalists Of Wall
st and its vicinity were questioned yesterday, by
TRIBUNE reporter concerning the object Of the bin IN
troduced INTO House Of representatives, on Friday
by the Hon. Mr Wheeler Of NewY0r, TO incorporate
the Governor aud Managers OF the Exchequer Of the
United States Of America with the following features:
capital OF sl00O00OO) In shares Of $1,000 eachi sub
scripuons to be payable three-ourths legal
tender notes and the remainder in gold coin; not
less than threefourts Of the capital % be az al times
held by citizens Of the Unted States 20 insure the
formation of the corporation provided that II after
a given time the whole capital be not subscribed, any
national bank In existence may subscribe, upon the
same terms, the whole any part OF its capital and
consolidate and become merged into this Corporation.
provided II abandons its existing organization the
al Office to be IN NewYork. and branch Offices 20 be
established IN the fifteen largest cities in the country
the propretors choose managers FOR all these Offices
she corporation 10 be divided into two departments-
one for banking and the other 70 consist OF three Com
mssoncrs each Office appointed respectively by the
President the Governor OF the State and the managers
OF the Offices: these Commissioner 10 have authority %
Issue notes the Banking Department, for which gold
CON will be required security, 70 Oue-i1urth the
amount OF the frst Oo,0O0O00.
The first person called upon was John Thompson con-
nected with the First National Bank and long known
a shrewd fnancer. he stated that he knew nothing of
the scheme norhad ne heard 0f connected with
IT, He regarded II as impractcable, at least for the
present Il would require considerable special leg3a-
ZION before IL cOuld be formed lnd ne did not believe
This could be accomplished within two or three years
He did not believe mOneYed institution Ot TINS magnl-
tude would be- received with favor hy the financial COM
munity. IL probably of those financial schemes
troture but vgbch nearly al gavs come 70 naueht
Tua
Office OF the Union Trust Company. Mr. schell smiled
ygneu ed IN he mad heard OF scheme or knew any
thing concorning II, and said that he know OF
connected with IL He had heard OF 10. but thought that
II a newspaper sensation. he did not know enough
A. Campbell OF the trm OF Ward Campbell q Co,
when asked II lie had heard OF scheme said that he
had but that he knew Of no one connected with 10 The
general impression among moneyed men was that the
10 conferred greater than any mOneFed insttu
ton had before possessed They greater than
OF the old United states Bank 10 would III much
the position IN this country that the Bank OF En-
gland does in Great Britain. He doubted whether Con-
gress would confer sucn powers upon any INSTITUTION or
corporation. II would be virtually part OF the ma
ehinery OF the Government.
several other representaVes OF ne niqneyed lhsttn-
tons OF THE city expressed their views When ~ mag
nitude or the scheme was considered II was Grange
how little interest II had exclted some OF those whom
the reporter cOnversed with were ignorant or the de-
tails Of the scheme They only knew m general way
that "A financial project had been introduced into
Congress- Others thought that u was connected IN
some way with the syndicate. Nearly all, however,
when the provisions or the Oil we're explained 10 them
decidedly OF the opinion that II would not receive
II was suggested by some OF those on whom the
porter called that possibly Henry Gews would be able
by the reporter and questioned IN regard 70 the matter
Mr. Cews said that there was such project or scheme
in contemplation. He declined at present to say who
were those interested in the matter Their names
would appear good time. In fact he was desrOus
that nothing should De sad ot the matter Tor the
he was reminded that the bin had been introduced
into the House Of Representatives and that the public
would gladly know OF the details or scheme OF
tins magnitude embracing capital or s000lOOO0. He
replied that everything would De made clear IN due
The capital need not necessarily De SO0OOO,OOO
It might not exceed SOOO.000
He was asked tho main object OF the proposed cOrpo
ration. He replied that one OF the nam features would
in this respect similar TO the suffolk Bank Of Boston
He asked whether this junction was not already
The negative The Clearing confined itsef the
redemption Of grcenbGcks and checks The new nsutu-
ton would also be source OF accommodation 70 the
merchants OF the country. in giving them increased
facilities for discount IN this respecs the new insttu
ton would bear the same relation TO the
Of England does 10 those OF Great brltAln
The merchants this country seriously hanpered
by the present National Bank system A majority OF
the National Banks would not discount the merchants
merchant is compelled to obtain mis- accommodation
from broker paying nom 70 u per cent IN many
and in this way obtain larger rate OF interest ths4
they could lawfully obtain In on
reserve OF % per cent OF their capital .nes
is one OF Two per cent iow Win n some Of ther
securities TO make good the detcieney AT such
time 10 Is comparatively easy thng LOT lew
moneyed Institutions 10 make money Tunchly
stringent by locking up seVera4 millions Win bs heN
institution possessing SO large captal, tH stte OF
things would rot continue. IL Intended thht the
institution should in every way command tne con.
ndence OF the financial aud mercantile community ~
would liza Board Of Directors or 9overnors to be
composed OF the best and strongest business men OF e
country who would direct ts entire operations AT the
head OF these will be President Cher OF approved
standing in the financial world, whose name VIII Dc
guaranty OF int gritty and fitness for the position.
The reporter stated that he had been informed mat
such an Institution corporation the one proposed,
such power could not Do IN
cOrporated under the present laws and that additional
legislation would be required. Mr. Clews responded,
such the but that the needed egisiauob
would DC asked tor apd probably optsnssd.