New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1875-01-16
THE STATE BANKS.
REPORT OF SUPERINTENDENT ELLIS.


REPORT OF SUPERINTENDENT ELLIS
CONDITION OF THE BANKs-PRoPosED AMENDMENT
OF THE BANKING LAVA PLAN FOR FREE bANh-
Na-How TO RESUME SPECIE PAYMENTS.
d. C.. Ellis. Superintendent OF the state
Banking Department, submitted DIS anuua' ioPOi' ''
terday to the Legislature.
Tn thu repor he makes tho appended statement OF tne
condition OF the State banks and advocates Tree oanA
inc and a paper currency redeemable In coin;
M The Art of October 1874 the number Of banks organized
rnder Stat laws reporting TO the department was eighty
one Al the date IN 1873 eighty State banks were engaged
fc fiscal year Three Of the banks organized under
the OF lS4-chap 1861 with less than one hundred ho
sand dollars capital -Four banks have closed during the year
these went into liquidation voluntarily INC ioIn
the relative Of the State banks at the Close Oh e'Cn o'
tue last two official years:
CONDITION OF THE BANKS TIE STATE. SEPT Is, 1878
ioDns and discounts 7IS7S54G Tc.
CONDITION OF THE BANKS, SEPT 26. 1874
C,,,,s, s2e S3O 900 Due deposors s62 1900
Loans and DISCOUNTS 66435729 TOTAL resources leO54O
The dmnuton capitals tr1ng during the year. while the
slnkase deposits aud in loans and IN discount rs ooHsai
volume Of business since the panic OF 1873 Inc toa a
Of outstanding secured circulation sepleneSl o. ss
the decrease during the year being S2Ss so Inc
SS40a not bs sSIaIe on Se So I o
pvn ~ he sne on September 90 1873 was S73s'65l Ihe
DUNG ga ne 11 SarH MsI ss Year s OF these
e. M were notes of free banks aud $3.50 those OF moor
cgston to the amount $50 the time for the redemption
Of bills fixed by law having expired Inc tS sa on C
he ah Of sspmSeT ls s. T oi s e2cnaon Inc
incorp oratcd banks which are now IN 'ne wa orse1
have circulation or slCoSQl, which WIN be oa hI gu
during the next year The whole amount OF securities NEG py
the superintendent in trust September ls5 vas ~
sOO3 II were deposited by banks and So51jeo o uus.
coupan es The mortgages have nearly disappeared III inc s'
Of securities deposited by the banks only 500 no" remain
these having been posted many years ago M o"ih
by and other companies chiefly state o. Inteu STATS
bonds in instances however, the STOCK OI eue' III l'
Stale have been deposited.
NEEDED AMENDMENT or THE LAW
The Banking Department uniformly behind the Comptroller
OF the Currency in the completion Of summary Of the reports
Of the banks in tine State therefore respectfully suggest that
the law should be amended first as to permit the Supe-
tenden cali for OF the condition OF the banks ~
any time during the quarter second so that The banks sLa
have five days for making their statements after the call
This would bring method Of making the quarterly reports OF
the banks more into harmony with present modes O! bune
than it is nog Banking capital should not Dc excessively anu
uniusty taxed This i'm o.on Of excessive taxes IS NE
Of great complaint and during tne s year som pAH
have soug remedy the courts These Cls Pont - ue
crude partial and imperfect laws the state or he ae
OF uropcy for taxation The banks complain Of tie injustice
but do from bearing their fair proportion OF e o
policy TO refuse right bring Their capital within the
sum which they have discovered by actual tra IS 81 3 can
ue with advantage The Legislature may authorize the redn
toH Of capital has done so IN particular M y "ou
be harmony with the banking ssuin o. We pa ~
pass general law establishing practical and safe MODE ny
which bank may reduce its capital when 1t l. found tha te
Of is excessive and beyond ne Ieqnemsnis ol S
business This subject is also respectfully commended 10 your
consideration.
TIE CURRENCY
Since my last annual report the Legislature the subjects OF
banking and currency engrossed public attention TO
,ter decree than ever before the direct that
every person community has in the solution OF tho Ye1cd
monetary question: and the adaptation OF means to produce
desirable results makes it stady engaging the attention Of
the best thinkers Of the country few suggestions on some
here.
Nj Ellis then shows the evils Of irredcemabe currency
and continues follows:
Business Interests require stability and assurance that an
honest legitimate nvement shall produce an honest and e
climate profit that the foundation principles OF trade and
values shall cease TO be football OF spectators either IN OF
Of the halls Of legislation An honest currency wnca
upon and not sham which means payment at he opoh o
the debtor reputation altogether viii condnce To honest
trade and honest gains The fras Of accepted ana "eoenned
We have long wandered from the high road to real and per-
How shall we return TO 1t The practical
9Th seInus dIbts And feas OF violent disturbances
in tue money market and the commerce OF the country The
intelligent convictions of the people are that we must Ieace
safe paths that lead back to tho high road are de-
b-ted and deoaiabe DO we require inc PRESENT eAlsng
dions county disturbed By the Rebellion we bad
circulation about s 0OOOJ OF bank notes. in all the
states, viii gold and silver OF ABOUT SllQ0oVo IN all
S3lOOON The population a. that time was IN und num-
6ers 81 10000 The amount Of money per c4I ~ - Ihe
an I0UGOJ while the paper money was, nCiud-
fractional currency, IN rOind
added to the gold and silver Si0ON0 made the ota crcu
Ia ion author zed by law, S9S0 cIpt1 OF S3 De
Quoting the -Od silver whcA practically WthdTawn from
OF business and nave q paper currency OF
$7SUUOO and per cdpq Of t9yS against s@IOO 900 aud
per cdDd Of S5J IN 1850; an increase OF popuh III inc
Of about thirty three AMI td per cent,
and an increase paper money OF nearly $50 per cent think
conceded that the demands OF business were uy met
1862 with the then circulating medium and wond be hard
task to chow that increase Of circulation, If re.
deemable in coin, in pOport on To the increase OF
population that date, would not b. COMMENSURATE win
the business OF to-day. MANY COpsl0cr
lions enter into OF how much money needed for
medium exchanges ecic approximate amount
can be determined until It's quality is l1cd by the common
standard and then the quantity may be c 10 regulate se
But in adyOCsel reform The paper money the
amount Of winch has been med arbitrarily by law, II j.
proper 10 existing conditions and attendant results
The increase OF business and wat improved methods
transactons-rap dy and Cheancss with which produ.ts
are markotcd-he-c and many Others bear direct fela
ton TO question Of resumption IL is urged money Is
required heretofore because OF prevailing hgn prices
currency The proposition Is true In qudhed sense Du'
rendered OF Tue cha acte Of the money used The
second uuquestionably Actual resumption OF specie
payment aid paper currency e1eem1be IN com on demand
cannot be maintained withou contraction Uf the outstanding
paper degree. Their must be just relation IN amount
value between coin aud paper IN order 10 make esdmp
and redemption possible. That condition must DC attended
not alone tOn Of the paper money but ny general
rcrenChment public and private ndure greater econ
olny the affair Of business and domestic Ac less secIa
lion and STOCK jO3bing.
INFLUENCES Favor BEsULPTtOS.
The present business condition Of the country the limited
trade lack OF confidence future legislation the temper Of
the people all favor quick the old landmarks Prices
of the great staples breadu cotton and wooden goods iron
in all its varied FORMS neaTy quite low they
when the imitation began and the maximum during that period
double minimum present