Rock Island daily Argus. (Rock Island, Ill.) 1886-1893, 1893-09-05
FUTURE FINANCES.
Cleveland to Send Another
Message to Congress.
REPORT CURRENT AT WASHINGTON

Seigniorage to BE Made Into Dollars-Gos-
sip About What Is to Be Done as to
Banking Explains and Re-
iterates Statement About State
Banks"-rhe Kind of Institutions He
Thinks Would Work.
WASHINGTON, Sept Sit is re-
ported here tn 1t the president has
decided to send another special mes
sage to congress. He has called his cabi-
net to meet today to discuss the proposed
message-so it is said The president will
ask congress to authorize the coinage of
silver bullion in the treasury. This
seigniorage amounts to $52, 600, 0O0 and is
the profit that the government has made
on the the purchase OF the silver The
coinage of this would be sufficient to make
up the deficit that now threatens the
treasury. This will also have the effect of
satisfying the silver Democrats that the
administration is not the energy of silver
that it is painted. 1t is also said that
Cleveland has conferred with Crisp. who
is in full accord with the executive on the
subject.
ne Stale l0eStIOn.
Regarding the burning question of state
banks, it is predicted that as soon as tie
repeal of the Sherman bill has been eff
fected SHOULD that ever be) the PROPOSE
ton to repeal the tax on state banks will
come to the front at once, and when it
does it is probable a discussion will be
begun looking to a thorough revision of
the financia. legislation of the country.
The idea of hasing the circulating notes of
state banks upon state or municipal bonds
does not find favor in the senate for tine
reason that such security is not looked
upon as substantial enough TO withstand
the assaults of the stock market.
Voorhees, Insists That He Was Right.
Senator Gray says that the bonds will
be paid in the near future and that some
thing will have to take the place of ma
tional banks, while other senators would
RAJ her issue other bonds for a basis for
circulation. Voorhees, is an outspoken ad-
vOcate of state banks. What he means by
"state banks" is not the banks so com
mouly remembered and associated with
ideas repugnant to good banking princi-
pies, but the chartered state banks which
had circulation based upon specie itself
gold and silver. Senator Voorhees, saws
that when he made the statement in his
speech few days ago that no man had
ever lost dollar through a chartered bank
he uttered a truth that had not to this day
been denied and could never be. That is
the sort Of bank he contends for.
\ Gold and silver Basis.
He wants the basis for the currency to
be the preciou, metals. This means that
there should be at all times IN the vaults
of the banks oue-thiri the amount of its
notes in gold and silver, an amount al
most sufficient, from his point of view, too
redeem all notes of the bank that might at
any time be offered for redemption, and
upon which to transact the business of
the community in which the bank is
located. His plan also contemplates gov
ernmental supervision aud inspection, a
combination which will, he believes, offer
a solution TO problems now before the
people and give them a system of banking
as firm and reliable as any ever devised by
man.