Fort Worth gazette. [volume] (Fort Worth, Tex.) 1891-1898, 1894-12-12
h 4 EASILY MADE BETTER
....uol.vs IDEA OF THE cum
~ nExcY PLAN.
-, GIVES some Reasons
w :. Adoption of cnriisie''
= M, say. 1t 1. Not what 1t
LID be.

...I.uflon.l ---SNN 80, =
''l' enorria, than whom there is no
's,,ker or man of more sound
VI n congress. talked with me
' ss,s, on the subject of Mr. Car
s', snaneial plan today
= ~ ,awson talks clearly and TO
w w. He has devoted much study
g.. ~. and currency. After a care
. XII Of Mr. carllsle's report he
Nm his way about it;
Mr.. carlisle's report today.
.,raaps the best scheme that
I. imposed under existing cir
,n.es There are many difficult
he way. 1t is much easier to
~ a new scheme and put 1t
~, a"sratlon than to adjust a new
4. 10 an old system and make
harmonlze.
Z. ars. proposes a modification OF
,,,IonaI banking law.
,atIonai bank shall be allowed
"a notes upon their paid-up and
SIRED capital, not exceeding 20
.!s, thereof. and the law authoriz-
mar issue on govrnment bonds
pssore any bank shall receive
no,es from the comptroller Of
...renrv il shall deposit a guaran-
snd consisting OF United States
t' lander notes and notes issued
Y he Sherman law to the amount
4 per cent Of the notes applied FOR
be same percentage shall be main
"a at all times.
n, provide safety fund for the
-edlate redemption Of the notes OF
IA hanks. an annual tax OF blank
mi shall be levied until the fund
ANTS 10 per cent of the total cir
.,nn The guarantee fund and the
N mnd shall be used to redeem
rsies Of failed benks and 1: these
\, torether with the immediately
f1,ble cash assets OF the failed
H lie insufficient to redeem ~
"a A pro rata assessment shall be
4, UPON all other banks according
~ amounts OF their outstanding
slltlon
There shall be a first lien upon
he assets OF the failed bank to re-
ute the contributing banks.
Each bank shall redeem Its own
n NJ tpbk shall Re requi-od % keep
Reserve en- account OF deposits.
"a The Individual liability of stock
n In, under the present law shall
inue and circulating notes shall
,a.uie first lien on all the assets
he bank.
Binu thus organized can issue n
IN larger and more elastic circula-
lhan Is now possible under exist
laws Bonds of the United States
. scarce and so hlgh-prlced that
rtncy based on them can not pos
possess the elasticity which COM
he demands. Besides there are
and grave reasons why bonds
q not be used for that purpose.
7ss government now Is surety for
riempton OF national bank notes,
unier the plan propc = d the banks
.deem their own notes. That the
nnent should have no connec-
rrth banks or other business en-
as Is n proposition too clear for
;rnt. Under this plan the govern
arsumes no liability whatever OK
h the safe-keeping Of the funds
-iafel and their appropriation 10
nAsmptlon of the notes OF failed
Id
" fcduire an arbitrary fixed sum
inserye to secure depositors Is un-
Niiry and is often n disadvantage.
kqsS, skilled In the management OF
business. always keep an ade-
Z reserve. but they ought not to be
4sled to keep II when the condition
'liinsss impcratively demands that
used, and inasmuch as the depos-
Nd the bank enter into their con-
= Voluntarily they ought 10 be left
amaze their own concerns.
r. facilitate the use of n larger
lht Of silver and silver certificates
! Proposed to prohibit the banks
ksulng notes of d smaller denom-
u'l than $40. And, in consideration
lebenefits bestowed upon the banks
pan requires that they shall with
nom circulation an amount OF
'unment notes equal to 80 per cent
a'i own circulating notes and de-
uem as n guarantee fund. This
partial protection OF the govern
ssainst raids upon the treasury
VT, and on the same line 1t Is pro-
mat the secretary of the treas
may, In his discretion, use any sur
.eVenues of the government for
sulement Of Its notes, provided the
sssa'e OF notes retired does not eN-
a. amount equal to 70 per cent
sHrculat9n taken out by national
a~'e banks under the proposed
,aele are the salient features Of
Netary's recommendation. so far
'A.y relate to national banks. and
AN valuable Improvement on
laws, II is quite different In
" It's features from the so-called
s more plan and is an improve
~. MS Is not all. As a part OF the
ne recommends that state
~ ~ shall not be taxed by the federal
.s NJ on their notes when Il IS
" appear TO the secretary of ~
and comptroller OF the cur
.nat such bank has at no time
sas'anding Its circulating notes
,sss Of 10 per cent of its paid up
snlnpaired capital.
kfv tn sI IT'S stockholders are indiyid.
{e = liable for the redemption of IT.
An e,ro notes to the full extent Of
+ n I ~. ownership Of stock.
m INA, the circulating notes consti'
~, Z, ~. Nv a first lien upon all the
III , .a , the bank has at all times
~ isunarantee fund in United States
IN n ssasef notes. including notes Is
! !, aa s the Sherman law. equal to
IL notsa. - outstanding eireu'A'
i aotes IL, y has promptly redeemed
ary redeem It's notes. OF course
saey. United States legal tender
iefal ~ proposed herein that th'
'fsner government shall have an,
ks,sol y me creation. supervision oil
isv, state banks. They shall b
r. the.s taxtion upon complying