, 1880-11-28
History OF the National, Banking
System and Incidental
... Legislation.
How the State Banks Fought the
Matter to the Bitter
End -
remarkable Success Attending tha Sys-
teJs for Seventeen Fenrs.- -
ssfe and Uniform Currency Established
' Throughout tbs Country.
aphciat Dispafch to 11s CAtedpo Tribune.

TnEy
1oa" ~ ,J.,..,,,,+~, Aeso,;.t,on +.,fe o,.or,
before uc Ae4e''."ss &1oeo.'.''tou t.ae e'1H e,
tnE was of more than usual 1hterest 70 tne
AIeIca"'"o .1.-'tSI~'' ~ -,
listened to anu frequently appiaudeo ny LIE
lso eaes.s u. 49, @ .rnora .sara ~ ttran+, % s s,x
S0e oh's e"eS@ ~
Presidents vi Natlonat banks Ill boston' III.
n rnnarh Assistant United States TreaSur-
+: he.'a'u' ~ 1,"asi 49, na.,. ca.s...,,.s,a
er, Iollecaoi oe.1o' tao o"nA commissioners
Of Massachusetts,, and number OF pfotnl-
son1 nonare,i men. The dinner was. as
aeat '1o'cye 49, 1.'1.s..
usual. AL etetan< ala44. oo4aH IL olu"ass
President of tile Association, was III the
cha1i' .u1 ..',...,.',. ~ e,,.as .''onI. 49,
Afterwards 4 nuhloef o1 ouief speakers,
on,nup them the Hon. George G. Richardson,
Charles i. Hail. Collector Beard, aud others,
gu gu ~ ~ H!,~ s;.nirolirr Nr Ennx smoke smhstan-
oy uie Suni t.;tn A' N>'A'"> '%'90~
aaA, - ,.>..,,-<, ...erz,,,
The original Nas,onal-l'ank aet OF FEB. IS.
1sza did not pass Congress without ent'oantsF-
ing great opFs'siuon: Secretary ChRse nrSt sug-
ses.sa hs ;s o tn st s il % aaIy II nes M
came law Me rccommend,.d ITS passage n
his report % Ioassess ~ H., Uece,noef. fsS!. ana
ten. He favored the gradnai issue OF National
bunk notes to replace tbs existing Stat<s-ounk
currency in preference even u the issue OF de-
49, 49, - AeA'~"tN FNt - NN'.4-
The Nationai- bunk act was was prepared IN accord
ance With htt views. chiefly ~ samuel Hooper,
Of MASSACHUSETTS,. and spau!dtn9. OF New
tee of Ways and Means. nnd during the
use of thai Committee; The III encountered ed
most earnest oppnsluon IN t6e CoMmittee. Wn}cn
was bustiy cuxaged gu the Loan ana lnternal-
Revenue bills and other Important work Of the
mitses' uSs 10 his report ior is, seerc,ars Chase
amin, Notwithstanding the suspension Of specie
payments which had 1akcu place. earnestly ad-
terly manner and at considerable length the
arguments Tor and against the system. and
urgently renewed his previous Recommendation
which would urise from It's passage would be,
"that tho United States bonds would be re-
CURED for banking purposes. steady market
a91v roa% % af nr;c 9nr lba
bonds
ut q rate above funds Of equal credit. but not
to appreciate the full benefits OF such conditions
to ! Government Obliged to borrow: it. will
reconcile rs far as practicable the interests Of
people" "'and will supply !" u firm anchorage to
the union Of the Stntes" The bill is said 10 hare
had the sanction OF every member OF the Ad-
advocated is passage in biz annual message ia
]SG., and In 1563 he said: = The euactnent by
Congress Of National banking inv has proved
4 sA1AAu1C suppOFk VI LlG pAUllG%HtN0ll~ NIL LIS
general legislation In relation 10 loans has fully
answered the expecta lions Of Its fArorers.
Some amenuments muy bv required 10 perfect
exis1ing aaws, but no change 10 their principles
o. general scope is believed to be needed"
Again. III 1854. he favored tha taxation Of the
issues Ut State banks and the SUBSTITUTION OF
About fourteen months Thereafter the same
bill which had been printed for the use Ct the
COMMITTEES Of Waye and Means. was t.trodnced
m ne senate ny senator SHERMAN ana trIerreo re- reg
10 lQ8 F1lAUtG AQGu1ul4lEE1 ADu MAlCA A. "24o
reported ~ him on rep. =. lar,; Win amend
menus zen Gays iasef II passea t..ua p9oy KY & nT
moatn II aiso passe4 me aouse oi ~ ~.
nses ny sote vi 20 20 ~ masor'y "s u sag
r. r., Fl, ,.. st4 - ete a1 ai,asIsHr ,4
vermont
OPPOSED IT WITH GREAT EARSKSTA1Sss
and one OF the most hospitable.; genial and
vas opposed 10 the btll but was persuaded by
Secretary Chase to vute Ip committee ia favor
Of its report. "If it should turn out to be
good measure" he said, "is will be well; 1t. not,
ny vote will stand recorded against it on .its
final passage Senator coilames, in his speech
in the SENATE deb IL 1850. said: >. It will be
FOUND tnat tue people viii not ofeak up taes
M nj 1be;r fsT fransactidns a. h"nd nn ~ tr
t a. 1:1 y; lii. :. ~ h,tna ,t,rs .&nn
ths hiii end 1he: vii ~ h,,v rnt+ed Ststes
e1neaa % t,s ~ .h.s -:nsa ltne u ia rena,nn ~
opposing tie Iii was that The Schools t Of some
tha tar.S',nI s r,iianrai ron ths eTietfng Stafo
hast Su.tgc.ea 1tu1 s tnu eA.stk ,k -.
eaasa. as - Hlts a s.si ~ a 1se~ w. ..5
r.,,, u, ,ea9 M o VI ~ -.
c. i +. ~, 49, ,.rt',e r.ta .s 80 o1d.
= 1r,a ia.,H T.. @ t, S.+.. e - sn ~ V.t ~ No. "
hai,as ~ i5 .as .;ss,,,+ ~ .dn;,,, tba,
char.e1e ~ sta, ,,i,,,e nrsos.ione fSla
on1 es,st;n1 ~ orxg ~ '.s,ona ~ "aa ~
thIs Xii ,.nT 40 M lrn,osa that
ei1a;s ; ooi ~ tho
S,.ta ~ Nov- WI. 1a,,,d a.,ar - .,nnooa ~
.n-seJ aser 1.1 "uun. = I ~ a 49, ~
Ss.1e ia ,,a ea0 ,'., 81, n;.; n...,n n,.oG
1,raa. ~ ~ 3. uoGaaS ~ G y. Gh
.nan a..o =. ~ .sos ~ i.'e ~ ~ SALt e.
1.sr.i i1 .... 10 .ir;. ~ - 3 .a ., r., Nan IN
hars h,5, p '9e mno,1 nic nj s ~
choose: Fitst to repeal tue Sub-Treasury act
md use the paper Of local banks rs currency;
secondly to increase t}e issue largely OF United
States notes: thirdly. to organize q system Of
Rational banks; and. f6urthty, to sell the bonds
those who SUted ia It's fsyor on It's final passaeo
tn the Senate, werc Chandler and Howard Of
Michigan. Sherman and Wade Of Ohl0 Wilmot
of Pennsylvania, with Morrill, OF slaiue, and six
Feasenden. and also Summer and Wilson, par
""s< JTutFum,
THREE SENATORS OELT
trum the Midalo Stotos ,-oted IN ia fsror fHar-
1rum Vermont 1,olln rer and Fnnt, voted arafnst
Il, and one frnrn 1nnncrt;cns 111;Yon1 and seven
frpm tha M;dI,o c,"ta. omon1 ,ren,n wore
Cpx1n ~ Es,,ner1,.on;o onI i tnr ~ Nav
Yark. In tha nnss!,,o at ~ sha sct ~ tbe House
fpm Scs ne most eminent 9! me sats Az
ttneis6cd 1nsnf,ns ~ ~ +.a Sonata ,19+e ,cafnst