The Portland daily press. [volume] (Portland, Me.) 1862-1921, 1893-12-29
But Messrs. Hall and Warner Want
Uncle Sam to Run Them.
TWO IDEAS ON THE REPEAL OF
THE TEN PER CENT TAX.

Majority of the Committee Have an
Elaborate schome Putting State Insti-
tutions Under Much the Same Regula-
tions as Those for National Banks.
Washington, December 2S.-The sub
committee of the committee on banking
and currency of the II ouse to whom was
committed the question of repeating the
state bank tax, are divided on the mat
ter, Mr.. Cox of Tennessee submitting a
report em bodying unconditional repeal,
and Mr.. Warner of New York, and Mr..
Hall of Minnesota, reporting in favor
of conditional repeal. The bill drafted
by Messrs. Hall and Warner, has been
printed for use OF the committee, but up
to this time it's provisions have been kept
from the public. It's Important features
are as follows:
1t repeals the 10 per cent tax and pro-
vides that issues of state bank notes
shall be confined to the state in which
the banks are incorporated. If notes are
used outside of the state, they are to be
subject to tax of 10 per cent of the face
values. State banks, ETC., are authorized
to issue circulating notes subject to the
following regulations: Such notes shall
be printed in blank by the comptroller
of the currency, who shall cause them to
be printed in a. design so as to plainly
show, if such is the case, that they are
issued by a national banking association,
the state, if any, under the law of
which they are to be issued, and the
bank, banking association or corporation
or aSSaciation hv which fhnU are fo hp
issued.
No such notes printed in blank, shall
be furnished by the comptroller of the
currency to any such bank unless he is
satisfied that, if other than national
banking association, by the laws of the
state in which it is situated, the holders
of the circulating notes issued under this
act shall be given paramount lien upon
all its assets in preference to any and all
claims whatsoever; that the shareholders
of any such bank or banking association
shall be held individually responsible
for all it's outstanding circulation issued
under this act, to the extent of the
amount of their stock therein in addition
to the amount OF invested shares; that it
has made adequate and convenient pIo-
visions for the redemption of its circula-
ting notes, either at the capital city of
the state in which it is situated or some
other city of the state which shall have
been approved by the comptroller of the
currency; that the amount of it's capital,
paid up and then unimpaired, shall be
not less than $50, 600; that the aggregate
amount of the face value OF such notes,
printed in blank and furnished such
bank OF banking association, together
with any of It's circulation. ISSUED under
the national banking act, if it be
national banking association, still out
standing, shall be not greater than rs
per cent it's capital stock, paid up, and
then unimpaired. Every such bank, not
a national bank association, shall make
to the comptroller Of the currency, not
less than five reports during each year,
in the same manner as national banks.
The comptroller is given power to call
for special reports at any time and the
comptroller Is further given authority to
and associations doing business under
the act.
1t is further provided that no bank or
banking association shall, eithers.direct-
ly or indirectly, pledge or hypothecate,
for any purpose whatsoever, any its cir
culating notes issued under this act. Any
president, cashier, director or other
officer, who shall knowingly violate the
provisions of this section, or participate
in orssassent to any such violation, shall
be deemed guilty of misdemeanor and
fined not less than $1,000, nor more than
$4,000, OF imprisoned at hard labor for
not less than one year nor more than five
years, or both. No person, firm, corpora
tion or sassociation shall receive from
any bank, banking corporation or
association any of its circulating notes
issued under this act as security or col
lateral security, for any loan of money.
Any person, firm, corporation or associa-
tion offending against the provisions of
this section shall be deemed guilty of
misdemeanor and be fined not less than
800 nor more than $1,000 and further
sum equal to sthe value at the face de-
nominations Of the notes SO received.
1t is made the duty of the comptroller
of the currency to receive worn out,
mutilated or defaced circulating notes
issued under this act and destroy them
in the presence of witnesses to be ap-
pointed one by the secretary of the treas
ury, one by the comptroller of the cur
Tency, one by the treasurer of the
United States and one by banking asso-
citation and to issue new for those de-
stroye
The two propositions will come up in
full committee after the holidays.