The Mankato free press. [volume] (Mankato, Blue Earth County, Minn.) 1879-1924, 1881-03-24
BANKS AND BONDS.

Text Of Secretary WindOm's Decisles
Relative 20 the National Banks.
The decision reached by the Cabinet on tn.
request Of the national banks to withdraw thelI
legal-tenders deposited to retire circulation
maintains that the precedents of the depart
ment In similar cases should be adhered to,
and no return Of legal tenders made The text
OF the decision Il as follows:
TREASURY DEPARrMExr,l
WARRINGTON, D. O., March II, 1881. I
Ohio:
Sn: I am in receipt Of your letter Of the
9th inst stating your bank had, during the
previous week, deposited with the Assistant
Treasurer ct New York $4,000 In legal
tenders, with view of retiring that amount
Of its circulating notes that bonds to secure
the same, amounting to e2O0, 200, had been
forwarded from the treasury in this CITY TO
New York, and that the bank now desires b.
return them to the treasury OF the United
Of legaltender notes. As the action taken
in this case would establish rule by which
the department would necessarily be governed
In regard TO similar requests from other banks
some delay In answering your letter has oc-
Cured. II seems since the 10th ult. about
$ls, GOO coo In legal tenders have been Deposited
BY the banks for purpose like that mentioned
by you. or this amount about 81, 00O, 900 Was
returned by the Treasurer, the request there
for having been received before any re-
demption Of notes had been made or
security bonds delivered. In such GASES,
the transactions being incomplete, the de-
partment had clearly the right TO return
the notes, as has been done. OF tho remaining
amount, about S18.000,000 security bonds
therefore have either been surrendered or re-
dsmptions against the amounts deposited have
already been made, and transactions have been
30 far completed that 1t has been decided that
the precedents Of the department in similar
legal tenders be made. In this connection 1t
should be stated no apprehension Of unfavor-
able results need be entertained In this matter.
Since the 25th ult the department has
paid out for bonds purchased about
S6,500, 900, and Il to-day, paying out
Of $4,000, 900. In addition 70 these
payments there has been advanced from the
treasury since the 1st inst, TO meet payments
Of arTearages of pensions, the amount OF
o., 68S, 844, and on the LIST prox. there will fall
due Of interest more than $1,000, 900, and
there are on hand Of incomplete national bank
notes, which can 30 issued at once 70 the banks,
to the amount Of 4,000, 900, which in sggre-
gate, VIII be observed, take an amount from
amount Of isgsi-tsnder notes which
have been deposited BY the banks
since ths 10th ult-, and which, It II now do
sired, should be returned Letters have also
been received asking II the Identical United
Statos bonds held 40 security for circulating
notes which were recently Withdrawn by the ma
tional banks oan be re-deposited without trans
Ter. This request will be granted II the bond
bears no assignment except that Of the Treas
urer Of the United States 10 the bank returning
T. Very respectfully, q =. FRxNcz,
Acting Secretary.
The dscddon, although dgnsd by Acting sso.
rotary French, was actually randsesa By 6sszs-