New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1890-11-25
THE NATIONAL BANKING SYSTEM.

bership OF the House.
THE NATIONAL BANKING SYSTEM.
INFORMATION CONTAINED IN THE ANNUAL RE
PORT OF CONTROLLER LACEY.
Washington, Nov. o4.-The annual report OF Mr..
Lacey the Controller of the Currency. contains full
information I'm reference to the affairs OF National
banks and covers the operations of the Bureau Tor
the twelve months ended October 81, 1870 During
this period 3O7 new associations have been orcaheu'
fifty have gone into voluntary hqudauo'' anu h
have been placed in the hands OF RECEIVERS ING '
increase is 24s constituting larger growth '"an
during any similar period since 1850. Inc h'iip' VI
active banks on October 81 $780, was 3507 which Is
AN increase over any previous date. These banks
have in capltal stock 1868 1872 s65 bonds depostco
IN secure circulation S14O,190,900, and banknotes
outstanding 1870 643, including $o4,I9o,9o' rep
resented by lawful money deposited 10 redeem 0io""
tlon still outstanding. The gross decrease III cho"i"
tion during the year, including notes OF goiu odnh
ona those Of failed and lquidated associations was
800 267, 772. and the decrease III crouia"oii 'e'
by United states bonds was So'24o,o4o' -,
On Oc;ober . 1890 the date of the last report oi
corajtion 3540 banks were open for business lhese
associations report an aggregate oaPi''i Vi g.
o3,. SURPLUS S213, 563,So2 ana undlVIdeu pion'''
se7 COG 636 Gross deposits including amounts uuo
s., aro sated AZ 81 O.3, 500, O67 loans and dis
| UNITS 90
-. -. o,v nrevious date. They held $l0o,9OS, 500
~, ocia. $50 0O4 73l in legal tender notes Sle,4o2'-
400 in National bank notes, and S0loo'ooo III ohi'eu
states certificates of deposit Accessiohs u 'o y
80 49, most numerous In the States west OF the
,,,;serp; River Texas being most prominent, WIN
sixtvtbrcc new associations, followed Ill INC oiuoi
named Inv Pennsylvania with twenty-seVel Hi.s'o''
with twenty, Nebraska with mne'eeh' anu
with eighteen 49,. . A., <o, ,ho.
.h ssre of circulating notes has become unremuhera
two nm account of the high premium commaIoeo ny
the bonds of the United States, and rehews HIS ic.oi
mendation of last year that the obligatory deposI VI
bonds he reduced that circulation be issued equal III
amount TO the par value Of the bonds pieuseu' anu
that semi-annual duty thereon be liked at -
of , ner cent per annum. The passage Oh INC piii
u.y, OH 40 sos o55 at an average cost to the
nurcbaser of IL cents premium on each @loo' oens
about 1l2 of per cent ~ ,.,
comparison is made with conditohs eA's'ine
prior to the establishment of the NauohA esS'o'"'
when per centum was the average rate Vi premium
on domestic exchange. An estimate Oh ,i'e aioui'
of drafts drawn by other banks and Dahhcrs 10 aIo
submitted from which it would appear Una, INC
! a,ost;c exchange drawn by banking institutions In
the United states during the last fiscal year aggre
gated 81, 9o7 ,524,760.
The Controller has published returns eAiipins .n0
nroportion of coin, paper money, checks anu uraA's
used in banking operations, as shown Dy deodeu s"
ments of the receipts of the National associations OH
July and september II, 1890. For the hrst oa'c
reports were received from 1864 National banhs'
Their total receipts on that day were $42lo.4''2o.
of this sum 80 726 sos in gold com, $l,3o2'o4
in silver coln $6427 973 in gold Treasury certncates,
&c 44o 63s in silver Treasury certificates, S'ool'oo
in legal tender Treasury notes, $5,244,96' IN Nauohal
hank notes. $500 900 in United States certhcaes Vi
denost for legal tender notes. 70S in checks
and nf
S4391177 in clearing house certificates, S1042oo2o3
in exchange for clearing houses, and S213S,o2S III
miscellaneous items OF the total reccpts LOU per
cent consisted of coin and paper money, and the re
mainder 90 per cent, in checks, drafts ana o'ef
substitutes for money.
The total receipts of 3,474 National banks for Sep
tember1S 1900 arc stated at 1927 27S201 Of which
coin and paper money constituted 500 per cent and
checks drafts, etc.. 81 .O4 per cent The Controller
states that the falling off in total receipts on the
latter date is due to the severe strngency In the
money market then prevailing. Similar statistics
wers procured in 1881. comparison shows that
larger proportion of coin and paper money enter INTO
banking operations in 1890 than In 1851 These per
cen,ages for two days in 1881 4.87 and 401 re-
spectively; In 1890 for similar dates $50 and 800
per centum. The increased use Of money in banking
operations here shown is equal TO GO per cent and
Is deemed significant, when considered in connection
with the present apparent insufclency in the amount
gested in explanation that great change has taken
place during the last nine years in the matter ,a OF
shorter time and TO much larger extent for cash
than formerly.
The Controller expresses the opinion that the evi.
dent of necessary to the proper conduct
Of business ID during TIE last few months is
which form Of paper money alone possesses that
elastic property so essential in perfect circulation
All money issued directly by the Government whether
of coin or paper, is necessarily nonelastc by reason
of its being IN all available for the lawful money
| sessing the legal-tender quality.
The Controller says that, aside from the right II
issue circulating notes, the National banking system
Is, il its rapid extension Is correct criterion more
fnvOraby regarded than heretofore and that the trans
actions of the year have been attended by more
as rule received satisfactory dividends, and that the
people at large have been faithfully and economically
the associations belonging TO the National system have
merited the high commentator of unpre1udced OBJ
servers.
OPERATIONS OF TIE LIGHTHOUSE BOARD
Washington, Nov. 24-Tle annual report Of the
Lighthouse Board made t. the Secretary of the Treas
ury shows that the number of lighthouses in
creased during the last year from 7s3 to s33. Three
new lghtships are nearly ready for service and de-
signs are being prepared for four Others The num-
Der of buoys spndles and day beacons decreased
from 1868 10 4651 owing to a reduced appropriation
The Board Gays that other appropriations for the sup
port of the establishment found to be inadequate
that it not possible TO do under them all that
was needed, and that appropriations for works
have been increased out of proportion to the appropfa
ons for the maintenance of existing structures Dur
ing the last fiscal year there 5000 mile.
on twenty-five rivers lighted by about GOO postllghts
| at an average cost per year Of $3.50 each and The
| Board says that other expenditure made by The
Government has given greater satisfaction than this