The Roanoke times. [volume] (Roanoke, Va.) 1890-1895, 1893-09-09
TAX ON STATE BANKS.
Discussion on the Subject May be
Next in Order.
A THOROUGH REVISION PROBABLE.

Biii with This End In Wow VIII be
One of tho Four to DO Introduced when
th" House Finally Adopts Its Rules
Senator Grny's Views.
WASHINGTON. Sept. 5.-The question of
repeating the tax on state banks, as called
for in the Chicago platform, is already be-
fore the senate in the shate of bill intro.
duced some days ago. Also in the Butler
amendment to the Voorhees, bill, and in
the shape of another amendment to Mr.
voorhees, bill, providing for the extension
OF the circulation of national banks. The
latter bill has been effectually sidetracked,
anu there appears to be little hope of res
urrecting it, so that the last named
amendment will go the way of all amend
ments to bills that have been killed by the
process of slow stranQulation
1t is predicted, however, that rs soon as
the repeal of the Sherman bill has been
effected the proposition should that ever
oe) to repeal the tax on state banks will
come to the front at once, and when it
does 1t Is probable a discussion will be be-
gun looking to thorough revision of the
financial legislation OF the country The
idea of basing the circulating notes OF
state banks upon state or municipal bonds
does not find favor in the senate for the
reason that such security is not looked on
as substantial enough to withstand the
assaults of the stock markets.
Senator Gray, speaking of this matter
Thought the day was not far distant when
this whole subject would have to he con.
sidered, and acted upon by the congress
OF the United States. He said the condi-
lions today and those before the war, when
the state banks were in vogue, was as
widely different rs possible. There was no
more danger now of wild cat banking
than there would be of attempting to en-
force the fugitive slave law.
He bcliov d that the wisdom Of congress
would evolve some plan upon which the
currency of the people could be based and
given stability that could never be cues
TONED. Government bonds would soon
cease to exist and when that time came
the security that now preserves the notes
oil national banks and makes them as good
ms the governments obligation would pass
away, and by the mere force of crcum-
stances something would have to take
their place. What that substitute should
De was Tor congress to say. Whatever it
was he believed it would be as firm and
substantial rs the system now in use. The
substitution of state banks would add to
the currency of the people and increase
the circulation in small communities,
where it was SO often needed
In the minds of other senators the idea
OF issuing more bonds finds favor, while in
those OF others it Is nightmare that
causes unrest and uneasiness Whether
such n proposition could carry is mooted
question Some of the strong men of the
senate are on either side.
Senator Voorhees, is perhaps the most
outspoken champion of state banks on the
hoor of the senate. What he means by
state bank Is not the bank so commonly
remembered and associated with ideas re-
pugnant to good banking principles but
the chartered state banks, which have cir
culation based upon specie itself-gold
ana silver Senator Voorhees, said yester-
day that when he made the statement in
his speech Il few days ago that no man
had ever lost dollar through n chartered
state bank he uttered truth that to this
day had not been denied, and could never
be. This is the sort of bank he contends
for.
His plan also contemplates govern
mental supervision and inspection, acorn
bination which will, he believes, offer %
solution to the problems now before tho
people and give them system of banking
ms firm and reliable as any ever devised by
man.
There is no gainsnying the fact that a
bill with this end i'll view will be one of
the four to be introduced when the house
has adopted its rules, and Democrats in
the senate are thus early discussing the
probability of its passage In the senate
it is unlikely that the Democrats will
have the assistance of the eastern Repub-
licans, rs they now have in the attempt to
repeal the Sherman act