Condon globe. (Condon, Gilliam Co., Or.) 189?-1919, 1894-10-19
THE WEALTHY MEN
Twentieth Annual Convention
of American Bankers. y
IN SESSION AT BALTIMORE
Association VIII Petition the United
statss Congress for Change In the
Banking Act In Order to Secure .
~ Safe Currency,

Banking Act In Order to Secure q
Safe Currency. ~
BALTIMORE, October 1.-THE TWEEN
tieth annual convention OF the American
Association OF Bankers convened in
Ford's opera house at 1890. Every sec
! ton OF the Union is represented. Secre-
tary Giese says tho crowds check for
$50, 900, 900 would be cashed. Addresses
Of welcome were made by John p. Poe and
Enrich Pratt, Chairman of the Balti-
more clearing house. Mayor Latrobe's
address Of welcome was responded to by
President White, who in turn was fol-
lowed by Myron T. Herrick OF Cleve-
land. His subject was the newspaper
press and its influence on finance in
1893. The association will petition Con-
gress to adopt the following amendment
TO the national banking act for the pur-
pose Of establishing safe and elastic
currency: Fa 10.
Section /. The provision Of the ma
tional banking act requiring the deposit
OF bonds to secure circulating notes here
after issued shall be repealed.
Sec. 2. All OF the banks to issue cir
culating notes TO the amount OF 80 per
cent OF their paid-up, unimpaired capi-
tai, subject to tax OF one-half of l
per cent upon the average amount of
circulation outstanding for the year and
an additional circulation OF Is per cent
OF their paid-up, unimpaired capital SUBJ
| hnth - "A to~ nf half ~ 4
per cent and to an additional tax per
annum upon the average amount OF such
circulation outstanding for the year said
additional 26 per cent to be known as
emergency circulation"
Sec. 3. The tax Of one-half OF l per
cent upon the average amount OF cir
culation outstanding shall be paid TO the
Treasurer OF the United States as a
means OF revenue, out OF which the ex-
pense OF the office OF Comptroller Of the
Currency, the printing of circulating
notes, etc., shall be defrayed. The ex-
cess over one-half Of per cent inn
posed on the "emcrgency circulation
shall be paid into the guarantee fund"
referred TO In section 9.
Sec. 4. The banks issuing circulation
shall deposit and maintain with the
Treasurer of the United States "a re-
demption fund" equal to 5 per cent OF
their average outstanding circulation, as
provided for under the existing law.
Sec. 8. The redemption of the notes
of all banks, solvent or insolvent, to be
made as provided for by the existing
law.
Sec. 8. Create guarantee fund :"
through the deposit by each bank OF 2
per cent upon the amount of circulation
received the first year. Afterward inn
pose tax OF one-half OF per cent upon
the average amount Of outstanding cir
culation, the same to be paid into this
fund until it shall equal per cent of the
entire circulation outstanding, when the
collection of such tax shall be suspend
ed, to be resumed whenever the Comp
troller OF the Currency shall deem it
necessary. The notes OF insolvent banks
shall be redeemed by the Treasurer OF
the United States out OF the guarantee
fund, ii it shall be sufficient, and II not
sufficient, then out OF any money In the
treasury, the same To be reimbursed to
the treasury OF the guarantee fund when
replenished either from the assets of the
failed banks or from the tax aforesaid.
Additional banking associations organ
ized after this plan shall have gone into
operation may receive circulation from
the Comptroller of the Currency upon
paying into the guarantee fund sum
bearing the ratio to the circulation ap-
piled for and allowed that the guarantee
fund bears to the total circulation out
standing, and to be subject to the tax oi
one-half of l per cent per annum, as
called for by the Treasurer OF the United
States, for the creation and maintenance
of this fund. No association or individ-
ual shall have any claim upon any part
of the money in said guarantee fund ex-
lcept for the redemption of the circula-
ton notes OF insolvent national banking
associations. Any surplus or residue ol
said guarantee fund which may be here
4 after ascertained or determined by Law
shall inure to the benefit of the United
States.
Sec. Z. The government shall have &
prior lien upon the assets of each faileC
bank and upon the liabilities of the
shareholders for the purpose of restoring
the amount withdrawn from the guar
antee fund for the redemption of its cir
culation, not to exceed, however, tn,
amount OF the failed banks outstandin,
circulation after deducting the sum Il
its credit in the redemption fund.
Sec. s. Circulation can be retired b,
the bank at any time by depositing witt
the Treasurer OF the United States law
full money to the amount OF the sum de
sired to be withdrawn, and immediatel
upon such deposit the tax indicated il
sections 2, 3 and 6 shall cease upon tn
circulation 80 retired.
Sec. 8. In the event of the winding
up of the business Of bank by reasol
OF insolvency or otherwise the Treasure
OF the United States, with the concur
renee Of the Comptroller OF the Curren
cy, may upon application OF the direct
ors or the liquidator, receiver, assigne
or other proper officials, upon being sal
isfied that proper arrangements hay
been made for the payment of the note
Of the bank and any tax due thereon
pay over to such directors, liquidatol
receiver, assignee or other proper ofiicit
the amount to the credit of the bank
the redemption fund indicated in SCI