The Wheeling daily intelligencer. [volume] (Wheeling, W. Va.) 1865-1903, 1873-11-25
Forthcoming Report of the Comp.
troller OF the Currency. u

ing report, gives o history OF the working
OF the free banking system In the country
previous to the establishment Of nationa
banks, and goes on TO say that the amount
OF national bank notes now authorized tc
be issued is 1854, 900, 900, and the amount
of legal tender notes 1856, ,0O0, 900. So tina,
the proportion Of legal tender money In
which national bank notes are now re-
deemable 10 nearly Identical though
slightly in excess. Il the national bank
Ing law was amended 30 as to require the
redemption Of national bank notes at a
Of per cent discount, as is the case In
the New York State law, instead Of ai
par, as provided In the national currency
act, and the national banks OF the whole
country would agree to such o provision
Of law, the prompt redemption OF national
bank notes would be insured. But the
redemption OF this vast amount Of circula'
ting notes, II redeemed but once o. year
would result In great loss to the people
OF the United States. A system Of re.
demption Of this kind would also at once
increase the rate Of exchange from the
ITO of one per cent now existing OF most
periods Of the year between the different
cities OF the Union, to from ] cent to. l
per cent, thus restoring to q. considerable
degree the condition Of exchange at q
time oil the Inauguration oi the national
banking system, and insuring loss TO the
people annually Of millions Of dollars.
Such system would, however, IN.
doubtedly result In return Of the
notes Of, the national banks at certain
seasons oi the year, when they were not
needed, TO the vaults Of country banks, to
be paid out when the demand for curren.
cy has increased. And such q system
would also give, what is exceedingly de.
sirable at the present time, elasticity to
the currency. In order to insure prompt
redemption Of national bank notes, the
amount issued must be so much increased
that notes will be, say at one.eighth Of
one per cent discount, and this would
probably be accomplished until an addi.
tion was made 10 the present circulation
Of $100000,000. The same rule would
follow from the reduction Of the value ol
legal tender notes simultaneously with the
issne ol bank notes, but Congress has re.
fused 10 diminish the smount Of legal ten.
der notes. So that the Comptroller Is Of
the opinion that any general system OF
free banking, accompanied with redemp.
tion, must be postponed until the resump.
tion Of specie payments. The Comptrol.
Ter, In order TO avoid any misapprehension
Of his views upon the subject, desires 10
say that he Is not an advocate OF any per.
mant system Of currency usually known
as irregular currency. He believe, how
ever, that the people Of this country
ought not and will not submit to
the high rates OF exchange privilege
previous 10 the war and that amendment
10 the national currency act which shall
result in restoring high rates o. exchange
will also result in the downfall OF q sys.
TEN Of banking which 1t is believed will
become the most satisfactory Of any sys-
TEN ever established. During the past
year, as far as his observation has extend.
ed, national bank notes have been rarely
at any preceptible discount ior legal
tender notes, and during the late panic no
distinction was made by the people be.
tween the legal tender notes Of the us.
and national bank notes. Both were
boarded alike as the thing the most de.
sirable OF all others TO hold, and 1t Is prob.
able that when specie payment shall
be resumed that the faith Of the peo'
pie will be SO wellepstablished as to the
safety OF the currency Of the National
banks that no such general system OF re.
demption will be required as was required
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