The Waco evening news. [volume] (Waco, Tex.) 1891-1894, 1893-09-07
c1EvELAND'S ATTITUDE.
Bill the President
Wants Drafted.

WASHINGTON, Sept. 3.-lhe ad'
ministration's proposed new system
of banking creates much discussion.
1t isso evidently intended as a pallia'
tive to the south and west for the
loss of silver that the ardent free
coinage Democrats from those sec.
tions are rather distrustful. The
administration proposes that the ten
ner cent. tax on state bank curren-
c cy shall be repealed with condl-
tious. The conditions are that the
state banks and the national banks
also, shall reorganize under new
system which shall embrace fea.
lures of the present state banks and
national banks, and also some new
provisions. These reorganlzed
banks are to take out state charters.
In this respect they will be state
banks. The currency which
the banks are to issue is to be
furnished them by the govern
ment, as national banks are now
furnished with their notes, at the
cost of manufacture. This will
throw around the new currency ali
the present safeguards against coun-
terfeiting, and will insure uniform
notes in all the states. The new
currency is to be based not upon
government bonds, but upon other
bonds and approved securities,
which are to be deposited in each
state according to plan which the
new system will provide. The
government is to extend over this
new system a plan of supervision
and examination which will give to
the currency the same security that
the public now feels in national
bank notes The perfection of the
system looks to state banks and
state bank circulation, with govern
ment regulation of the kind which
inspires the public confidence in
the present national banks.
Ultra states' rights Democrats
have always maintained that the 10
per cent tax was a violation Of the
spirit of the constitution. They
are for it's repeal without condl-
tions; they do not see how a condi-
tional repeal would be any the less
unconstitutional. The idea, how.
ever, of a new banking system,
partly state and partly national, has
taken strong hold on the mind of
the president, and he is very much
in favor of it. He thinks it will
give the increased circulation for
which the south and west is clamor.
ing, and also that it will put into
the volume of the currency the
tlexibility which is now SO conspic.
uously lacking. The president is
not in favor of repeal of the state
bank tax unless it can be done in
the way outlined.
The extent to which banking in.
terests are supporting the new
scheme is one of the strange things
about it. In last nights dispatches
mention was made of the practical
unanimity of the Chicago and St
Louis banks in favor of state bank
charter and circulation, with such
government regulation as will in.
sure perfect security and confidence
in the new money. Today it is
learned that ffty-seven Massachu.
sets national banks are willing to
give up their charters, organize
under state laws, and issue cur.
renoy to be based on bonds and
other approved security. At the
conference held in Secretary Car.
isles rooms yesterday it was stated
that many strong banks in New
York city were willing to go into
the new system.
1t is perhaps worthy of note that
Chairman Springer, of the commit.
tee on banking and currency,
through which the administration
banking bill must reach the house,
was not present at the confere nee
yesterday. Two other Democratic
members of the committee, Mr..
Warner and Mr.. Hall, were invited.
MIR. Springer is opposed to the re.
peal OF the state bank circulation tax
as bald proposition. He was not
given an opportunity to say how
he would view the repeal coupled
with the proposed new system of