Wheeling register. [volume] (Wheeling, W. Va.) 1878-1935, 1879-12-06
A Bill Requiring National Bank Reserves
toBe Kept in Standard Coin.


WAsuNGroN. December ). - The
House Committee on Banking and Cur
rcncy to-day authorized Chairman Buck
npr 10 report 10 the House ior passage,
at the first opportunity, the following
bill.
4 bill requiring reserves Oi National
Banking Associations 10 be- kept in
standard gold and silver coins oi the
United States in lieu OF lawful money.
Bsd .uaci,d. That section j,l9l OF the
Revised Statutes of the United states Is
hereby amended 81 rs 10 read aS follows:
SEC. jlOl. Every National banking as
sociatiou in either Of the following
cities Albany, Baltimore, Boston, Gin
cinnati. Chicago, Cleveland, Detroit,
Louisville, Milwaukee, New Orleans,
New York. Philadelphia, Pittsburgh,
II. Louis, san Francisco, Richmond,
Charleston and Washington, shall at all
times have on hand, in lawful money OF
the United States, our-halt OF which
shall be- in standard gold or silver coins
oi the United States, an amount equrItO
- per cent. OF the aggregate amount oi ITS
notes i'm circulation and its deposits and
every other association shall at all times
have ON hand in lawful money OF the
United States, one half of which shall
be I'm standard gold or silver coins of
the United States, an amount equal To
at least ID per Centum of the aggregate
amount of its notes in circulation and
of its deposits. Whenever the lawful
money oi an association in any Oi the
cities named shall be below the amount
of p per centum OF It's circulation and
deposits and whenever the lawful OF
any association shall be below
II per centum ot it's circulation
and deposits. Such association shall
not increase its liabilities bv making any
new loans or discounts, otherwise than
bv diScounting or purchasing bills ol cN-
change PAYABLE AT sight, nor make any
dividend Ot its profits until tine required
proportion between the aggregate
amounts of it, outstanding notes OF cir
culatiOn and deposits and its lawful
money of the United States in the pro-
portion required rs tu coin has been re-
stored and the Comptroller OF the Cur
rencv may notify any association
whose lawful money reserve shall be-
Il'lllN Allf AlIl'NANAA anu l'A'l'fA Al'AA W
the coin as above required 90 br kept
on hand % make good such reserve,
and If such association shall tail for
thirty davS thereafter 81 % make good
IT'S reserve of lawful money and in pro-
portion rs aforesaid, the Comptroller
may, with the concurrence Of the SeCre-
tarv of the Treasury, appoint receiver
tp wind up the business of the aSSOCIa-
ZION. n provided i'm section j,23i, pro-
yiIrd that neither the clearing house
certificates nor the balances provided
for i'm section ., lg2 shall be counted or
deemed any portion of the coin reserves
required by this act.
judge Buckner states that one effect
ot the enactment of this bill, aside from
the purpose Indicated 10y Its title, would
be toaboliSh the present distinction be-
tween the proportion OF coin required
10 be kept as a reserve by the National
hanks i'm the cities named, and the pro-
portion required 10 be maintained by all
other National banks. The main object
of the bill is, however, 10 effect a dlStrl-
button throughout the country OF a
considerable portion OF the coin that
has accumulated in the nited
States Treasury, and, incidental
lv, % release corresponding
amoun, of legal tender notes now kept
bv the banks As part OF their reserves.
The Banking and Currency Commit
tee also to-day took up the resolutions
introduced in the House a few days ago
bv Messrs. Price and Fort, Republicans,
bat after briefly discussing them laid
them aside for consideration at the
meeting called Tor next Wednesday. A
prominent Democratic member of the
committee expresses the opinion. based
upon the tenor OF the preliminary dis
cussiOu this morning, that the commit
tee will probably take no action at pres
ent upon these resolutions, or in regard
10 the Presidents or Secretary Sher-
mans recommendations therein re-
ferred 10.