The Wichita daily eagle. [volume] (Wichita, Kan.) 1890-1906, 1892-06-22
TREASURY NOTES.

WASHINGTON, June 21-Secretary Fos-
ter has sent the following letter to the
senate recommending that the provisions
of the act of June S, 1872, be extended to
the treasury notes authorized by the act
of June IA, 1890:
Under the act approved June II, 1890
there have been Issued in payment for
silver bullion pure hased AS shown by the
statement published June l. 1892. treasury
notes in the amount of S97 .39l, ,9S6. 1t has
been the policy of this department to en-
courage the general distribution of these
treasury notes by issuing them in the
smaller denominations, SO far as possible.
In pursuance of this policy and in order
that there might be no ground for discrim-
mating against them, my predecessor di-
rected that the outstanding treasury notes
be treated ia all respects the same as the
United States notes. Among the prOvis-
ions of law affecting the latter is one con-
tanned in the act OF June s, 1872. which
authorizes the receipt and deposit without
interest from national banking associa-
tions in sums not less than SO, 900, and the
issue therefor of certificates of deposit in
denominations not less than S., coo.
Soon after the issue of treasury notes it
was found that their distribution in small
denominations would be facilitated by ex-
tending to them the provisions of the act
of June 5, 1872 This was accordingly
done, after consultation with the proper
officers of the department.. ho were OF The
opinion that such action was not in coh-
hlct with any statutes. In view of the
fact, however, that the act of July IA, 1890,
did not specifically provide for the receipt
OF the treasury notes in this manner, |
deemed 1t advisable, when my attention
was called to the matter, to consult the
attorney general on the subject. and that
officer. under date of February Is, 1892, in,
formed me that in his opinion such treas
ury notes are not SO receivable. As his
opinion was at variance with that under
which the treasury department had acted,
1t was thought advisable, after careful
consideration, to discontinue the receipt of
treasury notes as special deposits, aud refer
the subject to congress for such action as
IL may deem proper. AT this time there
are no treasury notes of 1899 iu the depart
ment held as special deposits. The condi-
tion is the result of steps which were
taken as soon as the conclusion above in
dlcated was reached.
As the crop-moving period is near at
hand it is thought that the continued issue
of the smaller denominations of these
notes will for the present he acceptable
and Will not be Immediately checked by
tRe discontinuance of their receipt as
special deposits; but as soon as the return
flow of money TO the business centers is
established the addition of new currency
IL small denominations without privilege
of special deposits heretofore allowed, will
prove embarrassing alike to the public and
the department, and, in my opinion. will
eventually result in an increase in the pro-
portion of notes OF large denominations
Entertaining this view and being desirous
of furnishing to the people for their every
day use an adequate supply of such de-
nominations of money rs they may de-
mand, | do not hesitate to recommend that
the provisions of the act of June s. 1872 be
extended by appropriate legislation to
the treasury notes authorized by the act of
July II, 1890"