The Wheeling daily register. [volume] (Wheeling, W. Va.) 1864-1878, 1876-04-20
NATIONAL BANKS.

1t looks as though that there was TO be
a compromise effected on the money
question, and it is between the advocates
of the National banking system and the
eenback infationists. A Washington
correspondent Of the New York Bulletin
give the following resume of the argu-
ments presented by the advoca es of the
National banking system at Washington
last week
"Thc other day committee OF
National bank officers met bc!or; the
Committee on Banking and Currency,
insisting that the present banking law
be amended so that when bank de-
posts bonds ss security for circulation,
the Comptroller OF the Currency may is
sue circulating notes up to the full
amount of the bonds SO deposited. They
contend that the Government should be
more liberal toward national banks,
and besides issuing circulation
to the par OF security bonds, should re-
move the tax from capital and deposits,
and should also restrict local taxation to
the par value of bank stock. The object
of these requests was admitted to be In
the direction of making bank circulation
and banking profitable under the national
currency. acts. 1t was charged that it
was not now profitable TO conduct a
national bank; that the average profit
had fallen down to legitimate interest
&al hat
circulation was not profitable and
was undesirable for the banks, be-
cause of the high price Of bonds and the
fact that the circulating notes were only
issued by the Government at the rate OF
80 per cent. of the face OF the bonds de-
posted as security. They were in favor
also of abolition of tho Two cent check and
draft stamp, hut all the questions of taxa
ton were stated before the Ways and
Means Committee.
The whole drift Of the argument of the
bank people was that national banking
associations should be encouraged by
more liberallty on the part of the govern
ment. and that the contraction that has
recently occurred should be stopped by
issuing par of notes TO the banks for par
of security bonds. They urged that
the undesirability of holding circu-
lation at the rate of 80 per cent.
when bonds are SD high causes the
banks to reiinquish it, and that the
greenbacks they send to the Treasury
representing the amount they wish to
retire are taken from use until sufficient
amount of the Outstanding notes come
scattering in through the Redemption
Bureau. The bankers tell the Initiation.
lists thst unless Congress removes the 90
per cent. limit contraction will continue
and take place more rapidly. This view
has caught the soft money" men, and
they will work for the change, aided by
the national bank men Of both parties in
Congress"
The Courier-Jomnai, in referring to
this action of the banks, says:
These favored institutions have every
facility to escape the taxation which is
II slight offset against the value of the
royalties on their capital invested in gov
ernment bonds, by retiring their circuls-
ton and organizing rs State banks under
the same conditions rs existing State
banks, hut they think proper to ask Con-
gress TO increase the taxes of the heavily
burdened people for their exclusive ben
eft. They ask too much, and the claim
may excite discussion which may result
in curtailing the advantages which they
already enjoy. The banks have Jared
better than any oiber business interest,
and they should be- content with letting
we'll enough alone