The enterprise. [volume] (Wellington, Ohio) 188?-1899, 1894-12-19
CURRENCY REFORM.
Secretary Carlisle's Bin Intro
duced in tho House,
A Full synopsis Of the Provisions OF the
Measure-It VIII Reform National
Banks and Change the Char
acter Of the Currency. :

WASHINGTON, Dec IL The bill which
Secretary Carlisle yesterday presented
to the house banking and currency COM
mittee embodying his currency reform
scheme, was as follows:
Section 1.-Be it enacted, that all acts and
parts OF acts which require, or authorize the
deposit Of United States bonds to secure circu-
lating notes issued by national banking associ-
ations, be and the same are hereby repealed
and such notes hereafter prepared shall not
contain the statement that they are so secured.
Section 2.-That any national banking asso-
citation organized as now provided by law and
any national banking association hereafter Or.
ganized, may take out circulating notes to an
amount not exceeding 20 per cent of its paid up
and unimpaired capital upon depositing with
the treasurer Of the United States United States
legal tender notes, including treasury notes is
sued under the act approved July ID, 1890, as a
guarantee fund equal to 80 per cent. of the cir
culating notes applied for. The association
making such deposit shall be entitled to re-
ceive from the comptroller Of the currency
circulating notes n denomination of $40 and
multiples thereof in bank, registered and coun-
tersigned, as provided by law, and all such
notes, together with the circulating notes Of
national banking associations now outstanding,
Shall constitute and are hereby declared to be
first lien upon all the assets OF the association
issuing the same. All circulating notes here
after furnished to national banking associa-
tions shall be uniform in design.
Section levies duty Of n per cent for each
half year upon the average amount OF banks
notes in circulation
Section provides for the mode of redemp-
tion and retirement Of banks circulation.
Section creates the safety fund for the
prompt redemption Of circulating notes of
failed national banks. Each bank shall pay to
the United States treasury in the months Of
January and July of each year q tax Of 4 per
cent. for each half year upon the average
amount OF its circulating notes outstanding
until said funds amount to per cent of the
total amount Of national bank notes outstand-
ing, and thereafter said tax shall cease A bank
retiring or reducing Its circulation shall not be
entitled to withdraw any part of this fund.
The mode of procedure in case Of banks
failure Is outlined.
Section 0 allows the secretary of the treasury
to invest money belonging to the safety fund in
United States bonds.
Section Z provides that on July /, 1895, ma
tional banks now having bonds on deposit may
withdraw them and substitute the 30 per cent.
guarantee fund.
Section repeals previous acts conflicting
with the measure.
Section 8 provides that the secretary Of the
treasury may, in his discretion, redeem and re-
tire United States legal tender notes; that no
United States or treasury notes authorized by
the act Of July IA, $780, of denomination of less
than $40 shall be issued.
Section 10 states that banks duly organized
under the laws Of any state, which transact no
other than banking business, shall be exempt
from taxation under the laws Of the United
States under certain conditions regulating state
banks.
Section II provides that state banks shall not
issue notes similar in design to United States
notes or certificates or national bank notes.
When he had finished reading his bill,
Mr.. Carlisle explained the various Sec
tions of the measure in detail. Subse-
quently Mr.. Springer introduced the
bill in the house of representatives.