The daily gazette., 1880-03-24
From the National View.
UNITED STATES LAWS
Laws Of the United states Upon
Coins and colnaEe, Banks and
Backing, Treasury Notes and
Bonds.

THE ACT OF FEBRUARY 25, 1901,
(sTATUfEs /, p. 19',)
chartering the first Bank of the Uni
ted States under the Constitution. 1t
had $40, 600, 900 capital, and was to
run twenty years; the Government
under the amended chartefof March
2, 1901, taking %, 600, 900 of the stock.
The notes of the bank were made le-
gal tender for all debts due the Uni
ted States. It had the name and credit
of the nation.
THE ACT OF MARCH 10, 1912, (sTAT-
UTEs2, p. 605,)
provided that the notes of the Bank of
the United States should no longer be
received for debts due the Govern
ment, the charter Of said bank having
expired in 1911. The notes of this
bank were monetized by the act Great
ing it, but this law demonetized said
notes after the charter expired. The
law makes and unmakes paper as well
as metallic money.
THE ACT OF MARCH 10, 1912, (srAT-
UTEs2, P. 1857
chartered the Mechanics Bank OF
Alexandria, (then in the District OF
Columbia,) with capital of $500, 900.
This bank was to loan the Government
money, and to report regularly to the
Secretary of the Treasury as the Uni
ted States bank had done.
THE ACT OF JUNE 80, 1912, (srATuTEs
Q, p. 1855.
provided that the moneys of the Gov
ernment might be deposited in State
banks, and they were SO deposited.
The banks then professed to pay coin,
profession which was a false pre-
tence and fraud.
THE ACT OF FEBRUARY 25, 1918, (sTA-
TUTEs 2, P. 601,)
made the same provision as to deposit
ing the Government funds in State
banks, the banks still protesting to
pay coin for all liabilities.
THE ACT OF MARCH IA, 1914, (sTAT-
UTEs 3, P. 1909
authorized the placing of Treasury
notes to the credit of the Government
in State banks at their face and ac-
crued interest, though the banks were
then suspended.
THE ACT OF FEBRUARY 25, 1916,
(sTATUTEs 8, P. 1917
gave the same authority to the Secre-
tary of the Treasury as to selling
Treasury notes to State banks and hav-
ing the proceeds placed to his credit
therein. When the banks suspended
in 1914, they were well supplied with
Treasury notes and the Treasury was
well filled with bank notes. The for
mer were good beyond doubt; the lat
ter were very doubtful. The Treasury
should have relied upon Treasury notes
for circulation and had nothing to do
with the banks. This is what Jeffer-
son and Madison insisted upon, but it
was not done.
THE ACT OF APRIL 10, 1915, (sTATuTEs
8, P. 1861
chartered the second Bank of the
United States, with a capital of $685.
OOO, OOO, composed of $25, 600
United States bonds, and $1,000, 900
coin and bank notes. The Govern
ment took $1,000, 900 of the stock of
the bank and had five directors in the
institution. The notes of the bank
were made legal tender for all dues TO
the United States The charter ex-
tended twenty years. The bank paid
VI, 600, 600 for its charter. We have
since 1868, been paying to banks
bonus of.over $4,000, 600 per annum,
for furnishing us money not 30 good
as Treasury notes.
THE ACT OF MAY Is, 1920, (sTATUTEs
8, P. 582,) ANIL THE ACT OF MARCH
8, 1921, (sTATUTEs 8, p. 635,)
repealed the law prohibiting the Bank
of the United States from loaning the
sums over 500, 900, and
the Secretary of the Treas
lry to borrow Of said bank So, 900, 600,
vt 8 per cent.
TIE ACT OF APRIL II, 1888, (sTATUTEs |
6,P 81
provided that the Bank of the United |
States should no longer act as the CON-
missioner of loans for the United |
States, the President having pctoed a
Dill rechartering said bank. This in
'titution had been the fiscal agent of |
,he United States and had kept the de-
)osits thereof since 1915. A commits |
'ioner of loans was no longer needed, |
IS the United States did not wish to |
make any loans, the debts being then
nearly paid off.
The CHARTER OF THIS BANK EXPIRED
IN APRIL, 1886; AND BY THE ACT
OF JUNE Is, 1886, (sTATUTEs 8, p.
49,
he notes of this bank were demonit-
zed, the twenty years during which
he Government had made them legal
ender having expired. The law of
April 10, 1916, made these notes lawful
money and the law of June Is, 1896,
Inmade them. The law makes and
money of paper as well as
METAL.
HE ACT OF JUNE 90, 1885, (sTATuTEs
8, SO,
rovided that the deposits of the Uni
ed States should be made in State
anks, and that said banks should do
nd perform for the Treasury all that
he United States banks had done and /
erformed. These banks obligated ,
to at all times pay coin, and
, pay the Government 2 per cent. in |
crest for certain deposits. They were
, report their condition to the Secre- {
Try of the Treasury at certain per- ,
IDS.
HE ACT OF MARCH 8, 1887, (srATUTEs
8, p. 89,)
pproved the charter of bank in the 9
erritory of Wisconsin.
HE ACT OF JULY 2, 1887, (sTATUTEs ,,
8, P. 1852
,newed the charters of certain banks
the District of Columbia. {
nm cr OF OCToRER 10 1897 (sTAT. |