The Wheeling daily intelligencer. [volume] (Wheeling, W. Va.) 1865-1903, 1880-08-13

with the return OF prosperity ha
already increased to ssh ,l50, ,3l3
With such elasticity there can hardly
be imitation or stringency in the cir
cula,ing medium, and relief in such casel
Is fortunately afforded without any specia
act on the part OF the government excep
to issue and redeem notes and TO hole
necessary security for their redemption
It would seem, therefore, that not onl,
i, has the original purpose Of the act beer
met in giving to the country an uniform
currency, but by supplemental Legislation
this currency Is made to adapt itself iE
, amount 10 the actual needs ot the
country, without the aid OF additional Lex
islauon or interference by the Executive
Department
The second purpose TO be secured was
additional facilities for the RECEIPT
safe keeping and disbursement Of public
money. Under the authority OF the origin.
al act, the Secretary fthe Treasury has
from time to time, selected certain Of the
national banks for this purpose, requiring
of.each bank as security. deposits OF Uni
ted States bonds, at least equal to the
moneys which the Government would
probably have in 1t at any time. In such
banks there has been received collect.
ions OF revenue officers and funds OF dis.
bursing Offices. OF the former there has
been depositedto the S0th Of June last the
sum OF s4,S49, ,00S, ,S3l, and Of the latter the
estimated amount Is $500 900, 600.
These amounts have been paid out or
transferred to where needed generally
without expense to the Government, and,
excepting In few cases olcomparatiyely
small amounts, without loss. Not dollar
OF these monies have been lost since 1866.
The amount OF labor and expense saved
TO the Government through these agencies
cannot be. computed, but must be very
large. or the amount stated as deposit ed,
S792, ,l64, ,905 arose from the sale OF bon DIS
on account OF the refunding and resump.
ton operations. And here let me state
that without the aid OF the National
Banks the unprecedented re!unding oper-
stions OF last year would have been
almost, II not quite, impossible even
in the earlier refunding operations. When
the bonds were sold by contract the con-
tracing parties found 1t convenient to EN-.
ploy National bank depository as a fiscal
agency. But for these repositories the
money paid for these bonds would GER
tainly have been placed In the sub-treas.
ury vault to await the maturity OF the
bonds called under the three months no.
tice required by law. At the close OF
April, 1879, there had been sold through
subscription, on several depository banks,
on which the Government held certif-
Gates secured by United States bonds
as collateral, the amount Of S3S9,94+,-
995 81. But for the depository banks this
Rfi
turned at once into the treasury to be
paid out only as the bonds were called and
matured, and were presented for ray-
ment. In that case more than half the
paper circulation OF the country would
have been lying idle at one time in the
public vaults to the destruction OF every
business interest in the country, but
through the agency Of banks this disaster
was ayerted, for within the time required
called bonds were gathered up by the
banks and turned 10 for credit, acccmp-
fishing the refunding Of the debt by which
the annual saving in interest has been
effected OF Sl9, ,907 ,607, without withdraw
ing the currency from circulation
except for small balances which
were adjusted at the sub!Treas-
ury. The banks have also in a
large way strengthened the hands OF
the Government in its efforts to bring
about species payment. though in the &C.
complishment Of that purpose they have
been obliged to chargeit to profit and loss,
on account OF the shrinkage in the pre-.
MUM on bonds deposited by them for
their circulation, aud deposits TO the
amount Of about Sl0,000,000 within the
last three years. do not presume that
the assistance which the banks have thus
rendered the Government, and indirectly
the people has been given without mate.
rial returns 10 the banks. In some
form capital is placed in the banking, as in
other schemes, that the owners may profit
therefrom. Whatever form banking may
take, capital will be invested only for that
purpose, Whether franchises granted
national BANK are exceptionally valuable,
or whether further restrictions OF their
power is desirable, / don't care to discuss
at present. I only wish to call attention
to the valus such banks bear to the
government in comparison with that OF
banks organized under State laws, nor
do I desire, even by implication,
to express my preference, for depository
banks as against the sub Treasury system.
lle E6COIuo VI Lue 1IeabuIy pePattuleub
show that in 1873 many banks were tenn.
porarily embarrassed for currency, and
that the Government, for most OF that
period, was compelled to rely entirely on
the accumulations OF the sub.Treasury for
its disbursements. From the vaults OF
these offices the money flowed into the
channels OF business, not only saving the
credit Of the country but relieving the f.
nancial distress, then 80. heavily
felt. But so long as the banks
are necessity TO people there Is no rea-
son they should not be 80 organized that
they may also be help to the Govern
ment, and under our existing laws with
accumulations OF actual money in the sub
treasury, sufficient to bridge over any
probable stringency in the money market,
and supplemented by depository banks
controlled by the Government to aid In
great transactions requiring banking iacil-
tiles, the country can feel assured that
| II has a system capable Of meeting all prob.
able demands-a system which ia attract.
ing the attention OF other nations and
which should not be abandoned unless q
better one can be devised to take It's place.
Very respectfully, JOHN SHERMAN.
The Superintendent Of the Philadelphia
mint read paper opposing bimetallsm,
and urging the repeal Of the act remone.
tiEing silver.
A paper, prepared by the japanese Min.
lister, on banking and financial matters
in that Kingdom, was read by the seere.
tary, the etiquette OF Japan not allowing
the attache who brought the paper to ap.
pear on the stage while the paper was be-
Ing read.
General Wager Swagere, formerly OF
Toledo, now Of New York, spoke in regard
to bank taxation.
| G. P. Williams, oil Albany, who carried
the case through the United States Court
involving the constitutionality Of the laws
relating TO the taxation OF bank shares,
and had the State law declared unconsti.
tutional, read paper regarding the ques'
tions he had litigated.
Adjourned till tomorrow,