Fort Worth gazette. [volume] (Fort Worth, Tex.) 1891-1898, 1893-08-23
BAILEY's BANK BILL.

WASHINGTON, Aug. 22.-It Is the
expectation of the free coinage men in
the house that, whatever be the result
on the various votes on repeal. condition
A. or unconditional, on the 18th, the
'Fnatc will within short time. pass
~ VOORHEES, bill to increase the volume
% fonal bank notes and send the
W. 20 the house for its concurrence.
20 Ia expect the house to adopt
H.. ."LNe. and with promptness are
hker ~ e. appointed. 1t will give
rise to " sed debate, and the silver
men ar, preparing to meet the
VOORHEES, bill with an even more liberal
proposition. They are to propose a meas
ure, which, instead of swelling national
bank currency $l9,000OOO, as contem-
plated by the Voorhees, hill. would In.
crease the circulation SjS,O0U,O0O. and at
me same time satisfy the demands OF a
Slfohg element of the American people
hy making II impossible for the national
banks TO increase or diminish al will
the volume of circulating currency. The
measure, which Is being discussed by the
sliFef men as counter proposition to
The voorhees, bill. has been drawn By
Representative Bailey OF Texas, an ar
dent b.metallist, who is known IN the
secret camps Of the free coinage men TO
De the real author OF the free coinage
bill now pending in the house.
Mr. Bailey's national bank bill is as
~ bill to increase the currency and to
provide for the redemption thereof and
for other purposes.
Section !. From and after the pass
age of this act any bank organized under
me laws of the United States and hay-
ing on deposit with the treasurer of the
United States bonds bearing interest nj
HE rate of ! per cont per annum, may
surrender said bonds 10 the treasurer of
the United States, TO be cancelled, and
TO receive IN lien thereof M amount Of
national bank notes, which. added to the
amount of notes heretofore ssued 10 said
bank shall be equal 10 40 cents for each
dollar specified N said bond.
See. >. Any bank which shall surren-
der It's bonds in accordance with the first
section of This act shall thereafter be
and remain exempt from the tax of per
cent now required to be paid upon It's
circulation.
"Sec. 3. Tho treasurer Of the United
states shall return to any bank which
mas surrendered It's bonds. IN accordance
with the tirs' section Of this act. The
amount which may be In The treasury
TO the credit If said bank on account OF
It's redemption fund.
Sec. :. The United States hcreby as.
sluH's al notes issued under the first see
tlOn Of this act and all notes heretofore
issued by such banks US shall surrender
their bonds, in accordance with the first
section Of this act, ard Nv order TO pro-
vide for the redemption Of said notes
the secretary of the treasury is hereby
directed 10 have coined into standard sil-
yer dollars all of tho silver bullion now
in the treasury except 80 much thereof
as may be sufficient 10 redeem the coin
notes issued under the act Of July H..
1880, entitled: AN aci directing the pnr-
chase of bullion, anl The issue NJ treas
ury notes thereon. and for other pur-
pOscs.' And the said silver dollars shall
be reserved as q special fund TO redeem
such Of said notes as may be presented
for redemption.
Sec 3. The additional notes issued to
any bank under the first section Of this
act shall be uniform ~ all respects with
the notes heretofore issued TO the same
bank. and may be counted as a part of
the lawful reserve which the law re-
quircs national banks 10 hold. and the
said additional notes shall be receivable,
the same us is provided by law for the
notes heretofore issued, aud when re-
crivad by the treasury shall be reissued,
United States notes.
IN explaining his measure and the
position of himself and many Of his free
coinage colleagues on the national bank
question, Mr. Bailey said
9Th, RI arc about SlG2,OOO,000 Of these
4 per cent bonds deposited 10 secure a
circulation Of about SlI5.O0O,OOU. My
pronosition wonld increase this circulation
over SOL .0OOOOO directly. and would.
Indirectly add over SI.OO1OOO more Be
sides his II would save the taxpayers
of the country over SUoOo,uoO III annual
interest The banks IN every part OF
The country would md II profitable 10
surrender their bonds anu ms huuluohi,ni
cir,llntiun. hut II would be especially
profitable TO the banks in those sections
where lie rate Of interest Is the highest
and these are the very sections when
st,nI most In need Of this Increase. In
TEXAS our rate OF interest H. ~ per cent
Under the present law Il bank which
owns bonds TO the face value o. fou,VVu
issues 80 per cent or Sio'Vsgs,o ,n ~ ~ I'M ,,i.
IL must keep ) per cent, SS-Jn' % ihis
nn,otnt in The treasury Of the Dnllch
Stntes as a redemption fund, leaving Only
: Is .,i0 available for loan. This sum, at
ID, nor conf. brings $3.50 IN interest.
from which amount the circulatl9n taN
Of / per cent or $50 must be subtract
Ell. leaving net interest on me 9ireulh
Ion ~ S(S6o The 5000 received from
lie government as interest on me p9hus
added to this amount makes total o.
s5SOO Under my plan the same nihk.
vshile IL would have no bonds, would nave
y circulation Of SGO.OoO, which nj tle
came rate Of 10 per cent, would ylelu
5000. The difference in favor OF inc
Lonk ,ctuld be 5000 per annum besides
~ nre MUM of $4,000 on its bonds,
This arrangement would be even better
fnr the reople than for the banks. because
tbese bonds have fourteen years TO run,
INA nj 4 per cent per annum, the people
49,. nav 80 cents In interest, when,
ahded 10 the principal Of 100 cents; makes
NY totnI cost of redemption lO6 cents
" oach dollar. II we can discharge them
now for 12B cents We thus save the leo,
III III" "a cents in interest by substituting q
hand which does not perform me iuno ,
. ni"ns n money with q note which does,
p ". Iii Min also utilize all Of The bullion
~. ~ H. In tie treasury except what i nerfs-
INV - y, redeem the notes issued unaer
~! s,i,srn,,n act The surplus y SOME
XII MI. SCI 600 900. which VII con
','If,ite a coin reserve iun4 q ~. IL -, -
.a,,,e proportion as Is now he,,u loi 'Ns
samntion Of the greenbaeks'
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NEW YORK. Avs. 22-Ihs New
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