Iowa voter. [volume] (Knoxville, Iowa) 1867-1874, 1874-05-14
The Proposed New Currency Bill.

The following is summary OF the bill
reported in the Senate at Washington on
the 9th by majority of the Senate
Finance Committee, as q substitute for
the House Currency bill:
section provides that Section q Of the National
psnk ACT OF 1864 be SO amended that banking as
locations shall not be hereafter required TO keep
any money on hand by reason o. tnelr elrenlation,
nv the cum Of their deposits, and that as reserve
they shall be required to keep in their vaults one
fourth Of the coin received from the United States
- interest on the bonds deposited as security for
'n Section provides that each National Bank
shsll within ninety days after the passage of the
act. keep its lawful money reserve in its own
vaults at it's place of business and repeats all pro-
visions Of the National Bank act of 1864 conflict
ing herewith.
h restricts the amount Of notes in circulation under
said act and the provision Of the first section Of
the act Of 1870 prohibiting to banks circulation
OF $500 goo; the proyiso in the third section
limiting the circulation Of banks authorized to is
sue notes redeemable In coin TO 81 ,000, 000 and
section relating to the redistribution Of the
f25 0OO, 600 of circulating notes.
Section provides that every banking associa-
ton shall have on deposit in the United States
Treasury at all times sum equal to per cent Of
its circulation to be held and used for the redemp
tion of such circulation
section provides for the withdrawal Of crcula-
ton and the surrender Of bonds TO any association
desiring, and prescribes the manner Of SO doing.
Section provides that the charter number OF
each banking association shall be printed upon the
notes issued TO il.
Section 8 provides that the entire amount Of
United States notes outstanding and in circulation
at any time shall not exceed 1882 0O0,U and
further provides that whenever circulating notes
TO the amount OF 81 900 600 shall be issued to bank
ing associations IL shall be the duty Of the Secre
tary OF the Treasury to retire an amount OF United
States notes equal TO 50 per cent. thereof, which
shall be In reduction OF the maximum OF the
$3S2 600 00V fixed by this section; such reduction
to continue until the maximum amount Of United
States notes outstanding shall be $500, OOO, 600
Section provides that on and after the LIST day
OF January, 1871 any holder Of United STATES notes
to the amount Of $1,000, or any multiple thereof,
may present them for payment at the office OF the
Treasprer Of the United States at the office of
the Assistant Treasurer at the city of New York,
and thereupon The Secretary OF the Treasury shall,
in exchange for said notes, deliver to such holders
an equal amount Of coupon registered bonds OF
the United States, in such form as he
may prescribe, of the denominations OF fifty dol
lars or some multiple OF that sum, redeemable In
coin OF the present standard value, at the pleasure OF
the United States after ten years from the date OF
their issue, and bearing interest payable quarterly
in coin, at the rate OF per cent. per annum, and
the Secretary of the Treasury may issue United
States notes SO received or, II they are Cancelled,
he may issue notes to the same amount, either TO
purchase bonds or redeem the public debt, al par
In con 10 meet the current payments for public
service; the said bonds and interest to be exemp.
from the payment of all taxes or duties of the
United States as well from taxation In
any form by State, municipal, or local authority;
said bonds 10 have set forth and expressed upon
their face these conditions and with their coupons
be made payable at the Treasury Of the United
States; the Secretary of the Treasury, in lieu Of
said bonds. may redeem said notes in gold coin OF
the United States.
Section 10 provides that nothing contained In the
act shall be construed TO authorize the increase OF
the public debt Of the United States.
Mr.. Ferry gave notice that the report
did not represent the views of the minor
ity of the committee, and remarked that
he believed the minority of the committee
represented majority of the Senate.