West Virginia argus. [volume] (Kingwood, W. Va.) 1877-1946, 1878-12-07
Annual Report OF the Controller Of the
Currency.

''' A'P"i VI 'he Noh'rOller Oi the
currency.
annual yeport. shows a.. to,ai ,;yI1,,h taa -
banks and private hanLe,s IN ,ba cn,,,,,.
546 with a. sosrsgs,f. ca,,i,aI ~ seZs z5g
goo and agg,eSste denoS;ts 90 e. oi9'oss'
600 During the mast vear t,rc1tv.si,.h,
bonLs -. - y - " y-eiisn'
lied capital Of - az 0oo - ,Sbich a. eos
900 I'm circulating n,tes baya -, $3.50
Fifteen banLs fsiiad ,githi a. Nt'S
having an aggreoate canitai ~ 90 20 90
and fortv.ene hanks vii a total oani,sI -
81. 200 600. yoluntariIv JisconunreJ 49,.
ness "u'f
Tn. total a,ro,nt % tr,i,.l S,.... 60
collected from, tbs OBSERVATION-DISCLOSURES, -
system, To The ,,rcs,,,t So - ~. fIi o- '"'
-. - ~ ioiio"S'
0,, 5"'i, $50 1887
On IS 900 1s9
-
Total .sss Os3,S4
OF United States bonds held nv nat;oral
banks on November / 1865 and 'denositod
with TIE Treasurer a. secnTitv To- tbs;r
circulating notes. nearly tbree.fonrtbs
bring interest at the rate of six per cent
The amount OF this class of bonds has since
been gradually reduced until II Z. nov, -.
than one.fourth of All bonds hold Will
nearly one.fourth of the VboIe an,nunt
bears interest nj the rate of Gonr.and,ona'
half and four per cent. ONLY abont
If h.
latter class of bonds ia no,y
held by national banks. The CoptrollsrJe.
tends the national han King svste,, 40 ian,,,b
and argues for its continuance lie soys ,bo
funding of six per cent bonds into fo;,r ,,ar
cents has made rapid progress during Tho
last year, and the national hanks have 6een
of great service TO the government in tbis
progress OF refundinp NV ue0otiatino ord
absorbing a very consider'narl az abis a.
new issues. Should the nationaI bant
system continue there il NO doubt that
the nresent rarfd rad,,,,; 81 la
don OF interest will continne Ola re- 80
national bank system Is 10 he aboIisb.d anJ
an additional amount of United states en-
rency is to be issued all hone Of reducine,
the rate OF interest ON the pubIic debi
must be abandoned s21 .OO0.OO0 YEARLY
may be saved to the government by fundiny
the FIVE and six per cent. bonds into fouI
per cents, while the amount which II
is claimed may be annually saved NV the
repeal of the national banking act and
the issue of 32O,OOO.OO0 of uneon vertibIe
Treasury notes, is SI3,OOO,OOO only. With
the issue of this large aInount ~ oovarn.
ment notes, the funding of the publtc debt
will be rendered impossible for the nledge
Of the government will then he violated
and its credit permanently Unmarried Which
is a wiser course to continue the work of
funding the debt, which has 80 sue
cessfully progressed during the nresent
wear, thus saving the gPeater amount
OF interest named, while adding 10
the credit Of the country. or To- nj.
tempt by repeal of the national bank act In
save the less amount, and at a loss as well Of
reputation and credit? is there not danger
that the attempts to remove apy Imaginary
evil may be followed by the liberalization
of a real and much greater evil? Success
in funding the national debt through the co.
operation of 1000 OF the PRINCIPAL monetary
institutions of the country may be assured,
but the effects of the issue of a large amonnt
of irredeemable government currency can
not be fOretold.
1t is not probable that additional legal
tender notes can be constitutionally issued
IT, therefore, Treasury notes shall he sub.
Stituted for the present national hank
notes il is doubtful IL they can be made n
legal tender in payment of all debts Two
kinds of Treasury notes will then be i'm cir.
culatiOn, one of which will be n full legal
tender, and the other not Even beween
national banks, as is now the case with their
own notes, the full legal tender notes will
be OF greater value than the other class. nm .
less they are both alike redeemable in gold
at the commercial centers 1t is believed
by the Controller that this PROMISED
substitution is imprae icable. and that
the repeal OF the National Bank Act will
result not in an additional issue of Treas
ury notes, but in a restoration of State Kvs.
tens similar to those which were preyiouSlv
in operation.
In regard to resumption, the Controller
says Congress has fixed day for the
restoration OF the specie standard and the
legislation needed is that which will not