Warren sheaf. [volume] (Warren, Marshall County, Minn.) 1880-current, 1894-12-06
THE CoMPTRoLLER,s OFFICE.
------- M; ~ ~
Main Points In the Annual Report 81 Mr..

EckeIs.
WASHINGTON, Dec. 3-Suggesttops have
been received, says Comptroller otithe Curren-
cy Eckels in his report from. MANY emtnent
nnanclai sources that the whole question of .
banking and currency system ought to be re-
lerrea oy congress, to commission to be cre-
ated by law, appointed by the president, and
clothed with proper authority
"A commission ron partisan in It's character"
ne says composed of men OF eminent abilitles
could unquestionably devise currency sys-
tenn sound in every particular, and one which
"ouio commend Itself to every interest
OF the country It could largely take
the question out OF politics. and have
1t considered simply in its business aspects
and upon merit alone but If the present con-
gress Is to enact a law upon the subject, the
appointment OF a commission could avail moth
ing. II, however, nothing more definite can
pe accomplished, the question of the creation
or such commission ought to be considered and
acted upon
The report also gives full information in re-
gard to the organization, supervision and
liquidation OF the national banks for the year
ended October 81 1894 1t -shQws that during
this period but so banks were organ
1zed.@With capital stock of S., 2S5, 900,
the smallest number chartered, as well as the
minimum amount of capital, in any one year
since 1872 The charters OF forty one banks
were extended during the year. having
an aggregate capital stock OF s5,143OOO
and circulation of S1,67S,O5O Ten banks,
with capital stock of 81 ,575 900 which
were in the hands OF receivers at
the date OF the last report, resumed business
during the year, and the charters of six with
capital stock Of s635 ,0O) and a circulation
amounting to Ss83S50, expired by limitation,
tive OF which were succeeded by new associa-
tions, with capital stock of 100000, and cir
culatlon amounting to sss.25o On October 81.
1894, the total number of national banks in
operation was 1856, with an authorized capital
stock OF S672671.36 1866, represented by 7,955O76
shares OF stock, owned by S7,842 shareholders.
On October 2, 1894, The date of their last re-
port Of condition. the total resources Of the
banks were $3,473,9 22, 055.27, of which their
loans and discounts amounted to s2007, 122,-
l91 30. and money of all kinds in bank $422. 49,
192.45 or their liabilities SLIPS, AIS, s19. IL
represented Individual deposits, 1884, 121 OO2.1O
surplus and net undivided profits, and
$172. 331 97S circulating notes outstanding. The
total circulation OF national banks on October
81. 1894, amounted to S2O7 Az SOB, net decrease
during the year of 81, 741 1868, and gross de-
crease of So ,614S34 in circulation secured by
bonds
During the year 70 banks, with an aggregate
capital stock Of l0475.000, passed out OF the
system by voluntary liquidation, u, including
which failed in 1893, with a capital stock of
S2770 600, became insolvent and were placed in
charge Of receivers.
= The average annual dividends paid by the
banks between March, 1869, the date earnings
and dividends were first reported to the office,
and March. 1894, is shown to be s44 355. s14, and
the net earnings S55 237, 454. The rate per cent.
Of dividends declared varies from 1916
in 1870 to 6S in 1894. The average
for twenty-five years is IS The net earnings
during the past year have amounted to only
90 per cent. and dividends to 5 per cent, the
smallest percentage Of dividends ever paid by
the banks, and the percentage of earnings falls
below all the years except 1873 and 1879
The usual statistics are furnished in regard
to the banks other than national which show
that the number organized under state
authority and in active operation July
l, 1894 was 5,033. and reports OF
condition were< received from 1884 Reports
were alsoTreceived from e04 private banks and
bankers, and these. together with the state
bank reports, have been distracted and their
resources and liabilities are shown in detail in
the tables which form part Of the report
Information and statistics are also furnished
as to the failures OF banks other than national
during the YER, the number OF which is
shown to be g. eliminating mortgage COM
panies not doing banking business
The comptroller suggests the maintenance Of
u safety fund to be provided by graduated tax
alton upon the outstanding circulation Of the
not less than per cent Of the
total of such outstanding circulation, this
fund to be held by the government as an agent
only and for the purpose OF Immediately re-
dee ming tie notes OF inSolvent banks It is
immediately to be replenished out of the as
sets OF the banks on which it shall have first
and paramount lien and from assessment to
the extent OF The double liability on the share
holders.
Continuing. the comptroller says: 1.-THE
general government ought to; be wholly free
from the direct issuing and redeeming Of
notes to pass as money among the people. No
government has ever yet successfully engaged
in SO doing, and The experience OF the governs
ment OF the. United States has proven no ex,
ception to the rule. The general cost and loss
entailed upon the government and the repeated
periods OF uncertainty as to the government
credit and the stability OF our monetary sys-
tenn, have been so great as to make the legal
tender and treasury issues Of 1890 one OF the
extraordinary burdens placed upon the people.
The Issues ought to be redeemed and cancelled,
and the government thus enabled to retire
from the banking business, a business for
which it is SO poorly equipped