St. Paul daily globe. [volume] (Saint Paul, Minn.) 1884-1896, 1890-05-28
Proposition for the Forma-
tion Of an international
American Bank.
The Principal Offices Of the
Great Institution to Be
in New York.
Branches to Be Located at
Other American Com
mercial Centers.
The Scheme Is Warmly In
dorsed by the President
and Mr.. Blaine.

WASHINGTON, May 27.-The follow
ing message was transmitted to con-
gress to-day by the president:
transmit herewith letter from the secre-
tary of state enclosing a report adopted by
the International American conference re-
Gently in session at this capital, recommend
Ing the establishing of an international
American bank, with it's principal Offices in
the city of New York and branches in the
commercial centers of the several other
American republics. The advantages of
such an institution to the merchants of the
United States engaged in trade with Central
and South America and the purposes in
tended to be accomplished are fully set
forth in the letter OF the secretary of
state and the accompanying report 1t is
not proposed to involve the United States in
any financial responsibility, but only give to
the preposed bank a corporate franchise. and
to promote public confidence by requiring
that its condition and transactions shall be
submitted to a scrutiny similar to that which
is now exercised over our domestic banking
system. The subject is submitted for the
consideration of congress in the belief that it
will be found possible to promote the end de-
sired by legislation, so guarded as TO avoid
all Just criticism. BENJAMIN HARRISON.
In his letter to the president Secretary
Blaine sets forth the advantages to be
derived from such project and says:
s'The merchants of this country are
as dependent upon the bankers of Eu-
rope in their financial transactions with
their American neighbors as they are
upon the ship-owners of Great Britain
for transportation facilities, and will
continue to labor under these embar
rassments until direct banking systems
are established. The report of the COM
mittee cot the PanAmerican conferencel
presents a simple and easy method OF
relief. and the enactment OF the
measure recommended will, i'll the
judgment of the conference, re-
suit in the establishment of proper
facilities for inter-American bank
ing" A bill has been prepared at the
state department to carry into effect the
recommendations of the committee.
The bill designates the United States
delegates to the Pan-American confer
ence commissioners to receive subScrip-
tions to theeapital stock OF 1.-The Inter
national American bank" books for
which purpose may be opened in Wash
/ ington, New York, and such other prln-
cipal cities in the American republics as
the commissioners may think proper.
As soon as $4,000 shares are subscribed,
the subscribers shall have the usual
powers to organize the corporation,
which shall have the same privi-
leges now enjoyed by banks gem
orally, its acquisition of real es-
tate, however. to be limited to Is per
cent of the capital stock paid in. The
corporation may be designated by the
secretary of the treasury as deposit
ory of public money, and may be enl-
ployed as financial agent of the gov
ernment The principal office shall be
in Washington or New York city, with
power to open branch offices IN the
United States, Mexico, South and Cen
tral America. The capital stock is
fixed at $40, 200, eco in 500 shares, which
MAY be increased by two-thirds vote
to not exceeding S25,00O,00O. Busi-
ness may be begun as soon as
25 per cent of the subscriptions shall
have been paid in cash; but at least
s5,OOO,OoO must be paid in within two
wears. The board of directors shall con-
sist or twenty-five persons. not less than
fifteen to be citizens OF the United
States. No person shall be director
who does not own 250 shares of stock.
The first meeting for organization is to
be pursuant to call issued by the COM
missioners, after which the commission
ers' duty shall cease. Stockholders are
made liable to the amount of their
subscriptions, but no more. The cor
poration shall file, semi-annually, with
the secretary or the treasury report OF
its financial condition, and its affairs
shall at all times be open to examina-
ton OF officers of the treasury depart
ment, Provision is made for the ap-
poiutment of receiver for the cor
poration and the winding up of its af-
fairs in case its capital stock is impaired
more than 20 per cent of the amount of
the capital stock actually paid in, and
the directors fail to make such impair
ment good.