The Dallas daily herald. [volume] (Dallas, Tex.) 1873-1887, 1882-06-24
FINANCIAL AND COTTON.
FINANCIAL.


THE bank charter bill, a. It passed the house,
.0n,sined section providing that no bank hav.
svs capital of $4,000 or less should be re-
swasi,ed 10 deposit more than 500 In United
S,ses bonds with the treasurer 70 secure circu.
ALTON. good deal Of apprehension has been
srnressed In certain quarters lest the enactment
ey,his section should result In sharp contrac-
.on of the bank circulation. Senator Allison
sssms to have shared In this apprehension. ior
an Monday he moved to substitute provision
,Sst national banks having acapital of 100000
ar less should not be required okeep on deposit
~ secure circulation an amount of bonds exceed.
M one .tlsird the amount of their capital stock
This amendment was adopted. Under the
to,se section, any bank with capital Of $50 90
=, less could reduce its circulation to $1,000.
Under the senate section no bank can re-
Snce its circulation below SIS 0O0 and no
hank with q capital exceeding $780, 000
an reduce Its circulation below $3.50 0. Under
me law as 1t now sands. no bank can have less
than $500 0 in bonds on deposit to secure circu-
stion, and no bank having more than $500
c%apltal can have less than IS 200 In bonds on
deposit for that purpose The amount Of circu.
ation does not necessarily correspond TO the
amount of BOMBS deposited in any case, since a
hank may dt post the requisite amount of bonds
without taxing out circulation at all. Senator
Vest seems to have been the only one who had
ANYTHING to say against this particular section,
Ne objected to Ii, DO h rs il came from the house
and as Mr. Allison proposed TO amend it. ON the
ground that 1t would impair the security of cir.
Mr. shermans amendment was adopted by a
vote of AZ to- 1t provides that holders of The
sS per cent "Windoms' may convert them into
sper cents ledeemable at the pleasure OF the
sSysm ne convert at pa , The lnto only Induce
tanned in the provision that none of the
latter shall be redeemed until all other bonds
bearing higher rate and redeemable at the
pleasure of the government shall have. been
called In, and that the 3s shall be called In the
reverse order of their issue-th the highest num-
be ed first. II is assumed that the banks which
have WINDOWS deposited to secure their circula.
tOn viii pr,,,r the IS to the 1-2s on account
Of their somewhat longer life, and hasten to
take them up 10 the amount of the 3l-2,s they
have on deposit OF course the Ss are offered to
All holdt rs of 1-:'s alike, but 1t is presumabe
hal The banks will be most likely to take them.
The Sherman amendment differs from the SEN
ate rounding bill in two particulars. First the
amendment simply offers the Ss for 1.2s at
par but does not offer them for cash, as the re-
iundng bill did; and. second, the amendment
permi.s the conversion of oil the Slips into SIS,
while the bill limited the conversion to $780,
00,00
~ of the treasury 10 receive deposits of gold coin
and the issue therefor Of certificate for circula-
lion In denominations of $40 and upward, cor
responding to the denominations of the United
States notes. opened the silver question. sena-
tor Coke proposed to amend so as to direct the
issue of silver certificates as well as gold certih
Gates. This bought out speech from Senator
Sherman, who thought congress had better let
The silver question severely alone for the pres
ent.
some questions were asked Mr.. Sherman in
the course of the debate when were meant 70
he trouble some, and one Of which certainly did
not admit of perfectly satisfactory answer:
This one was whether silver certificates had
been. issued In exchange for gold coin and bull
lion. The thing had been done, Mr.. Sherman
admitted and that to me o e1' ebopt ge tete
0OG but the law authorizing the doing Of the
thing was not pro luced. As 6 mater of fact
the law authorized the issue OF certificates for
silver dollars deposited in the treasury, bat did
not authorize the issue OF silver certlncales
against gold deposits. II anything Ike the sum
OF $40 0O0 90 of these certificates has been issued
against gold, the power of the secretary to obey
the law by issuing certificates against silver dol
lars In the hands of the people was long ago ex'
hausted or else the power to pay out silver do,'
lars in the course of business was exhausted.
This however, Is not matter OF vital I'M
portance.
Mr. Coke and Mr.. Ransom showed, Tor the pur-
pose of making 1t appear from MI. Shermans
admission that the people preferred silver dol
lars or their representatives, to gold coin Mr..
Ransom sought 10 make It appear that this was
the plain inference from Mr.. shermans admis'
sion that holders of gold had voluntarily sur
rendered 1t for certificates payable In sil'
yer only. II does not appear that Mr..
Sherman had anything to say in answer
to this, though he could hardly have been at a
loss TO explain this seeming preference for all
YER AT the time when gold was deposited in
exchange for silver certificates money was
wanled to ship west II cost considerably more
to ship gold than 1t did TO ship paper and as sill
We certificates and no other form of paper,
could be had in exchange for gold coin and bull
ton they were taken TO save cost In shipping
The persons who originally took the certificates
were sure of palming them Off on western peo.
pie Immediately as the equivalent of gold. and
II was matter of indifference to them how
much the certificates might afterward depreci'
ate. II was enough for them TO know that they
could get rid OF the paper as the equivalent OF
gold, and save n trihe In shipping. 1t goes
without saying that their action ~. this matter
was no proof Of a pref, renee. for silver. They
would have taken gold certificates or gr en-
backs quite as cheerfully as they took silvercer'
tlacatcs, II they could have got them.
DALLAS EXCHANGE AND COIN.
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Z ,change, all points x tos discount Sterling
Ssat 8! $ Francs, sos 10 Marks, Is ao..
Trade dollars. ,9Octs Mexican dollars. scot