The Wheeling daily intelligencer. [volume] (Wheeling, W. Va.) 1865-1903, 1879-08-08
the BANKERS' CONVENTION,
Comptroller Knox on Ranks and Hank
ing-The Relations or Hanks and
BRnkeFNtO the People.

OF the Bankers Convention to-day bega
by John ]. Knox, Comptroller OF Cul
rency, reading paper on banks and banE
ing system.
Comptroller Knox introduced his pape
by giving number Of banks and banker
and the amount Of their capital and de
posits. Speaking OF the taxation OF bank
and bankers, the Comptroller said one o
the evil results Of the system has been Il
largely increase the rates Of interest il
several districts and thus to place its bur
den upon the people, who, Of all others
are least able to bear it. Bank taxes, STATE
and National, have been most arbitrar,
and unjust, and in many cases resulting
in the collection OF twice or three times
the amount imposed upon other capital
which the law provides shall be exactly
the same. Its real effects are seen in the
rapid reduction OF banking capital which
has taken place. The tax upon deposits
should long ago have been repealed, and
il the carefully prepared tables and sound
arguments in favor Of such repeal, which
have been so frequently presented by this
! Association, had received the favorable
consideration from Congress to which it is
believed they are entitled il would have
long since been accomplished.
Why, then, has not!the desired legislation
been obtained? The two and only rea.
sons are the following:
First-The income from the tax has
hnnN Vnn,taI lac, tt,n
Second-An unreasonable prejudice has
existed against the banks.
The first named reason has abundant
answer in $l4,OO0,0O0 saved the govern
ment in the last two years. though largely
at the expense OF the banks, who were
large holders OF United States bonds. The
prejudice against the banks in this coun.
Try has undoubtedly partly arisen from
the losses sustained by the people in
former years upon the circulating notes of
these institutions. But the present gencr-
alton OF young men have not experienced
such losses and the reasons for this pre-.
judice must be looked for elsewhere. The
refusal 10 loan money except upon the
bes; security, may account largely for the
prejudice against banks aud bankers as a
class, but when good times come and
the people generally are prosperous this
prejudice ceases to large extent.
Holders Of bonds hearing four per cent
interest can hardly he called "bloated
gold Bugs Those who loan money at
from two 10 four per cent per annum can t
well be termed money sharks" look
lora change Of opinion among the people
IN reference TO banks and bankers who
have survived the evil times, through
which YOU all have passed. II the people
change their minds, the minds Of mem.
hcrS Of Congress will also change, so that
! feel quite certain that the tax upon de.
posts will be repealed by the next Con-
ercss.
The Comptroller, referring to rcsump.
ton, said, Every citizen feels proud Of
the late achievements Oi the Treasury
Department. No nation ever before with.
IN one hundred days sold Sj37 100000 oi
bonds a. as low rate OF interest as four
per cent. No nation ever before in one
hundred days made an annual saving OF
c>,NN,uN III Interest upon its public debt.
No nation ever before resumed specie
payments with SG6S, ,OD0 or 800, ,OjO.O0O
oi paper money in circulation. NrYcr he.
tor" have any people evInCrd such un.
bounded faith in the credit Of nation Us
have the American people during the last
slX months. The man cant be found in
all this land who, since the resumption oil
specie payments, has demanded dollar
o! coin because he lacked faith in the
issues OF the country or in the banks.
The amount Of gold coin in the Treasury
and in the banks is today greater than on
the day ot resumption. The Treasury has
redeemed nearly I2O millions United
states bonds, with legal tender notes and
not dollar oi coin has been demanded
in the payment OF 40 million OF called
bonds.
The Comptroller then told story Of the
authorship OF y section in the coinage
act OF l,11&, which discontinued the
coima:" Of silver dollars and sad coinage
act "i i>7$ and revised statute oi 1874. 1t
simply registered in form 6i statute what
had been really an Unwrittcn law nj the
land for nearly forty years. In my
opinion there Is not property any such
thing a. the double standard, that which
Is called the double standard is simply an
alternative standard. Silver circulating to
exclusion Of gold when ever the mint and
market rate is such that silver is over
valued in It's relation to gold and in turn
gold circulating to the exclusion OF silver
when gold is really the over valued metal.
The Comptroller argucl that it is for
several reasons probable that both systems
of banking, National aud State, shall con.
tinuc TO exist, and that they should each
be improved and perfected, He closed rs