The true northerner. [volume] (Paw Paw, Mich.) 1855-1920, 1881-12-09
BANKING AND CURRENCY.
Report Of Comptroller Knox.


Comptroller Knox, In his annual report,
says Eighty-six national banks were organ
lied during the year ending Nov. last, with an
aggregate authorized capital Of 1861, 1850, to
which %, 233, $50 in circulating notes have been
issued This is the largest number Of banks or
ganized in any year since 1872 Twenty-six
banks, with an aggregate capital Of s2.020,000
and circulation OF 81, GAS $50, have voluntarily
discontinued business during the year. Nation
al banks are located in every State of the Uuion
except Mississippi, and in every Territory ex-
cept Arizona, the total number in operation on
Oct. last being :, 1872. This is the greatest
number Of banks That has ever been in opera
ton at any one time. The total number OF
national banks organized from the establish
ment of the notwithstanding system, Feb.
1863, to Nov. of the present year. is 2, 58l. 25
From the establishment of the system to
Nov. last, $40 banks have gone into voluntary
liquidation by the vote OF shareholders owning
two-thirds OF their respective capitals and
eighty-six have been placed in the hands of re-
ceivers for the purpose Of closing up their af-
fairs. The total amount Of claims proved by
the creditors of these insolvent banks is $685.
COG, 602, and the amount of dividends paid to
creditors il Sl8. SCI 698. The losses to creditors
from the failures of national banks during the
eighteen years since the passage OF the act is
80, 24O, 900, and the average annual loss has
therefore been about $4,000 in the business
OF corporations having eli average capital of
about $45O.O00,0 900 and deposits averaging
about $500, 100000 Twenty-one of these in
solvent banks have paid their creditors in full,
and forty OF them have paid more than rs per
cent each.
The following table exhibits the resources
and liabilities OF the q l48 national banks at
the close of business on the 1st day of October
1881:
Loans and discounts. ............ 81 l69 O22, 1903
Capital stock and surplus fund ..... so ,963,6O3
The period of existence of national bank
as body corporate commences from the date
OF its organization certificate and not from
that of the certificate of the Comptroller author
izing the association to commence business.
The corporate existence Of the national bank
first organized will under this limitation of
law, expire on Jan. 1, 1882 and that of the
second bank on April IL following. From the
date last named 10 Feb 20, 1888, the number
OF banks whose corporate existence will ter
inmate Is 1913, having capital OF nearly S92,-
600, 900, and circulation of nearly sos, 000,0 00
The number of national banks organized UNI
der the act Of JuIre 3. 1864, the term of whose
corporate existence viii during each year
prior to 1891, is l,0S0 with capital and circula-
ton of $3.50, 81 ,965 and Sl92, 5Sl, 0S5.
Bills will undoubtedly be brought before
Congress during its present session fo- the ex-
tension of the cha-ters of those banks whose
corporate existence is soon 10 expire.
The Comptroller makes an earnest plea for
the national banks and combats the claim that
the profit upon their circulation il excessive.
He says: 1.-The proportion OF taxation,
honal and State, imposed upon the banks has
been shown to be much greater than that upon
any other moneyed capital. being i'll the aggre-
gate equal 70 an average rate OF per cent
upon the amount of their issues The amount
OF interest received by the banks upon the
limited States bonds held by them has i'm late
years gradually decreased, and the profit upon
circulaton has tn reby been reduced almost to
the minimum. Such profit cannot now, at
least, be said TO be excessive
The Comptroller recommends that an act be
passed during the present session authorizing
any national bank, with the approval of the
Comptroller at any time within two years prior
to the date Of the expiration of its corporate
existence, TO extend its period OF succession for
twenty years by amending its articles Of asso-
citation.
The imports of gold in excess of exports.
from the date of resumption to Nov. l. 1881,
have been 3l97, 434, la, and the estimated gold
production of the mines Is Sl04, 10000. The
amount received from these two sources dur
ing the year ending Nov. 1, 1881, has been
STA 749,390.
The stock of standard silver dollars is also in
creasing at the rate Of about g., 800, 600 month
ly, the amount coined during the year having
been :27, S24, $685. Tables are again given here
with showing the amount OF coin and currency
in the country Nov. 1, 1879, 1880 and 1881
Nov. 1, 1879. Nov. l, 1880. Nor. l, 1881.
Gold coins 355,6sl,532 453,ss2692 So, 56s971
Silver coin 126.OO9,537 15S,32O,9l1 ,565
der notes s4s,e i,ols s4s,esl,Ole s46,esi, ois
blk notes as7,lsl,4ls s4s, ,lO7 s6o,344, $50
Totals 65, 55s5oa $780, 7is72e 81 ,oO2
sEstimate of Director of Mint