The weekly Elko independent. [volume] (Elko, Nev.) 1872-1887, 1881-03-20

Tho BlOarea Natl0nal hanks
The ino:dinate Avarice Of the Ma
tional Banks. aud their recent effort To
tntimidsts Congress for tho prevention
Of the passage of the Funding bill, has
led them INTO deeper waters than they
desired. The complacency Of Ruther.
ford. surramed THE Good" accom-
plished With q stroke OF q pen what
the combi,rd efforts of his pet banks
failed to efect-tbe robbery OF the peo-
pie Of at least thirteen millions of dol.
lars by tho strangling Of the Funding
bill.
1t is source Of ssatfcation, however,
TO learn that Ruthy's psppered pets
have partially "pat their foot in it," A
Washington dispatch says that up to
the close OF business at tho Treasury
Department, Wednesday, Secretary Win
dom had not rendered dscisica upon
the pending request OF the National
Banks that they be allowed to rsdeposit
U. S. bonds in the Treasury and with.
draw the legal tenders recently deposited
by them for the purpose Of retiring their
circulation. Secretary Window, in
conversation OH the subject. referred to
the subject as one Of vital importance,
and said lac was most desirous OF having
it determined At tho earliest possible
moment, but owing to the great pressure
OF busines he had not been able 10 de-
eide. Inquiries were made of the Off.
GERS OF the Treasury as the authority
upon which the present regulations Of
the Department rested. Taere were
many varying opinions. The Comp.
troller OF the Currency stated that the
question had never before been before
the ID partment for decision. aud that
in no case where bonds had been dc.
posted to retire circulation had legal
tenders been surrendered. Other prom
iuent officers expressed the opinion that
during cI Secretary Bristow's admins
tration the question was orally decided
against permitting the surrender Of
lawful money deposited. The officers
referred to maintuin that there is noth.
ing III the law which authorizes such
surrender, aud that the statutes
expressly provide for the mode Of pro-
ceduro, which has invariably been fol.
lowed 10y the department, namely, that
u deposit Of lawful money once made to
retire circulation cannot be surrendered,
but must be held until expended in
redemption Of the circulation OF the
notes OF the bank making such deposit.
Originally, it is stated, a National Bnl K
culation until it's deposit of lawful
money for the redemption OF its circu.
iating notes had been entirely exhaust.
ed Legal tender notes deposited to
retire the circulation OF National Banks
are not laid aside in the vaults OF the
United States Treasury. but enter into
its cash. credit being gived on the
books to account for the redemption OF
th" notes OF the bank depositina, and
the notes redeemed being paid from the
cash aud being charged to its account.
In fact, the account 10 treated just NJ
the disbursing officers account is
treated. or as bank treats . deposiioi's
occount. Legal tenders SO deposited
arc not included in tho Treasurer's
balance, shown by tho public debt
That statement includes
such moneys only as arc subject to draft
in payment Of demands against tho gov.
ornment.
When asked what effect a decision In
favSr OF tho Withdrawal OF the legal ten
ders would have on tho Treasury,
Treasurer Gilnllan said: "Ii the deciu.
ion shall bc Of general character,
that is, not confined to deposits made
during tho pendeney Of the Fuudlng
bill, It will affect about S32, 900. 900 now
on deposit at the Treasury Department
for tho reduction OF circulation.
Levi z. Morton called Mt the Treas.
ury Department and expressed himself
in opposition TO tho surrender Of the
legal tenders by the government.