The morning call. [volume] (San Francisco [Calif.]) 1878-1895, 1894-10-11
BIG MONEY TALKS.
Meeting of the Bankers
Association.
PROPOSE A NEW STATUTE.
To Govern the National CircuIa-
ting Medium.
PUT A TAX or ALL NOTES.
Then Let Any Bank Issue Currency
Under the Supervision of the
Government.
PROPOSE A NEW STATUTE.
PUT A TAX or ALL NOTES.

BALTIMORE, Oct. 10.-The twentieth an
nual convention of the American Associa-
tion of Bankers convened at Ford's Opera
house at 10 80 O'Clock. Every section of
the Union was represented. Secretary
Giess said the crowds check for $780,
100000 would be cashed.
Mayor Latrobe's address of welcome
was responded to by President White.
who in turn was followed by Myron 7.
Herrick of Cleveland. His subject was,
"The newspaper press and it's influence
ON finance in 1898"
The association will petition Congress
to adopt the following amendment to the
national banking act for the purpose of
establishing a safe and elastic national
currency:
Section / The provision of the national
banking act requiring the deposit of bonds 10
secure circulating notes hereafter issued shall
be repealed.
Sec. .. All of the banks TO issue circulating
notes to the amount OF 30 per cent of their
paid-up, I'm impaired capital, subject 10 a tax of
one-halt OF one per cent upon The average
amount of circulation outstanding for the
year; and an additional circulation OF twenty
five per cent OF their pald-up, unimpaired capt.
tai, subject both 10 the tax Of one-nalf OF one
per cent and TO an additional tax per annum
upon the av erage amount of such circulation
outstanding for the year, said additional 20 per
cent TO be known as emergency circulation"
Sec g. The tax of one-nalf OF per cent upon
the average amount or circulation outstanding
shall be paid TO the Treasurer OF the United
States as means OF revenue, out of which the
expense of the office of Comptroller of the Cur
rency, the printing of circulating notes ETC.,
shall be betrayed. The excess over one-halt of
1 per cent imposed on the emergency circula-
ton" shall be paid into the guarantee fund"
referred TO in section 6.
Sec. 4. The banks issuing circulation shall
deposit and maintain with the Treasurer of the
United States "a redemption fund" equal 10
per cent OF their average outstanding circula-
ton, as provided for under existing law.
Sec. b. The redemption of the notes of all
banks, solvent or insolvent, TO be made as pro-
vided for by the existing law.
Sec 6. Create a guarantee fund" through
the deposit by each bank OF per cent upon
the amount Of circulation received the first
year. Afterwards impose a tax of One-half of
! per cent upon the average amount of out
standing circulation, the same 10 be paid into
this fund until 1t shall equal 3 per cent of the
entire circulation outstanding, when the coec-
ton OF such tax shall be suspended, TO be re-
sumed whenever the Comptroller OF the Currency
shall deem it necessary. The notes Of insol.
vent banks shall be redeemed by the treasury
OF the United States out or the guarantee fund
II 1t shall be sufficient, and if not sufficient
then out of any money In the treasury the same
10 be reimbursed TO the treasury of the guarau-
tee fund when repleniShed Ell her from assets of
The failed banks or from the tax aforesaid Ad-
ditiOnal banking associations, organized 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
outstanding. and 10 be subject to the
tax Of one-half Of 1 cent per cent per an
mum, as called for by the Treasurer of the
United States,for the creation and maintenance
of this fund No association or individual
shall have any claim upon any part of the
money in said guarantee fund, except for re-
demption of circulating notes of insOlvent ma
tlonal banking associations. Any surplus or
residue OF said guarantee fund.- which NAV be
hereafter ascertaned or determined by law
shall inure to the benefit of the United States
Sec. z. The Government shall have a prior
lien upon the assets OF each failed bank and
upon the liabilities OF shareholders for the pur
pose of restoring the amount Withdrawn from
the guarantee fund for the redemption of its cir
culation, not 10 exceed, however the amount Of
the failed banks outstanding collateral after de-
Quoting the sum 10 its credit in the ''redemp-
ton fund" provided for in Section 4, already In
the hands Of the Treasurer OF the United States.
Sec. 8. Circulation can be retired by bank
at any time by depOsting with the Treasurer
Of the United States lawful money to the
amount OF the sum desired TO be withdrawn.
and Immediately upon such deposit the tax in
dicated in sections q and 6 shall cease upon
the circulation so retired.
Sec. 9. In the event OF the winding up OF the
business OF a bank by reason OF insolvency or
otherwise, the Treasurer of the United States.
with the concurrence OF the Comptroller of the
Currency, may make application OF the di-
rectors or of the liGuidator, receiver, assignee
or other proper Official, and upon being satisfied
that proper arrangements have been made for
the payment OF the notes OF the bank and any
tax due thereon, pay over TO such directors.
liquidatOr, receiver, assignee or olbef proper
official the amount TO the credit of The bank
In the redemption fund indicated in section 4
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