The Manning times. [volume] (Manning, Clarendon County, S.C.) 1884-current, 1894-12-19

man law. and there would then be no
other paper OF the ernmentredeem-
able III gold.
We should then be on asilver ba-
sis, said Mn Sperry.
NO. " said Mr.. Carlisle. ''on gold
basis.
Mr.. Sperry wanted 20 know if
should the time ever come when there
was no paper Of the government re
deemable IN gold, tie debts OF the
government would not be pad III
silver.
To this lIr. Carlisle said that there
would moi be enough silver 70 do thls.
Furthermore. the debts OF the govern
ment We're paid in large bills. The
silver was needed for small CON. SUB
sidiarv coin WAS piled up in the banks
by tradeslnen. bankScould not pay It,
out. and therefore it w@s sen: 10 " ash
ington fer redemption in large demp-
ton IN large denominations. The
Treasury Department found 1t would
be difficult IN getting this money INTO
circulation again and the Secretary
thought there would therefore be no
great demand for silver in payment
on government debts.
Taking up his suggestion, that the
circulation of State banks be exempt
from federal taxation, under certain
conditions, Mr. Carlisle said that theo-
retically he believed that the govern
ment had no right to tax State banks.
although the Supreme Court had held
that it was perfectly legal He thought
that it might be a good thing, however,
to retain the tax, but it was the lnten-
ton of the plan suggested by him to
lesson government interference with
these banks as far as possible. 1t was
contended by Mr.. Carlisle in answer
to several questions that it was netessa-
rv TO give the government authority
as was contemplated in his plan to inn
posea tax on circulation of State banks
if they did not comply with the con
ditions imposed by federal law. This
was the only way the Treasury De
partment had of controlling national
banks which refused to comply with
the provisions of law applicable to
them.
Mr.. Carlisle said that he believed
that the State banks We're necessary
for the needs Of the people for local
purposes. He believed that the plan
would give q needed elasticity to the
circulation in the rural districts.
Secretary Carlisle said he would re-
turn tomorrow morning and read to
the committee complete draft Of his
bill, embodying his currency plan.
CAELISLES CURRENCY PLAN.
WASHINGTON, Dec. 11.-Interest in
the second days appearance of Secret
arv Carlisle before the banking and
currency committee OF the House was
shown by the promptness with which
the members of that committee gather
ed this morning. With few exceptions
all were in their seats at quarter-past
10o'clock.
Pending the arrival of Secretary
Carlisle Horace White, of New York
addressed the committee. He said he
had drawn a bill which embodies ms
idea of the Baltimore plan but which
had not been adopted by the Baltimore
committee. He proceeded to read at
some length q carefully prepared paper
covering the general subject OF bank
ing.
When White had concluded Secre-
tary Carlisle, who had appeared some
time previously. addressed the COM
mittee, and read the bill he had pre-
pared to carry out his financial views.
When he had finished reading his
bill Mr.. Carlisle explained that Section
S repealed Sections and II of Act Of
july 22. 1882 Section of that Act
authorized deposits Of lawful money
by rational banks to withdraw their
deposits of circulating notes. 1t might
not be absolutely necessary he said.
to repeal that section if the proposed
plan adopted. but still the spirit of the
section was that no national bank shall
retire in the aggregate more than So
0O0. 900 per month, and, having done
so. shall not be allowed to increase It's
circulation within six months. Sec
ton - OF the Act of 1882 referred to
gold certificates and their suspension
when the gid reserve fell below a hun
dred million dollars. and concerning
this provision Mr.. Carlisle SAID 1t was
not good policy for the Government
to establish ware house for the deposit
of gold, and to issue certificates against
it. for the reason that this gold, or a
large part of it. would come into the
treasury and stay there if these certiti-
Gates were not issued against 1t. But
still the repeal of this section was not
an essential part of his scheme. His
own viewwas thatit would be beneScl-
al to the Government motto issue these
certificates, but to have the treasury
hold gold and pay it out SO as to get 1t
into ciculation.
To Mr.. Brosius, of Pennsylvania,
Mr.. Carlisle said that MS theory con-
cerning national banks was that the
Government should be wholly divorc-
ed from relations with them, except
in so far as it was necessary to throw
safeguards about them IN order to IN
sure their stability and reliability:
His belief in this connection was based
on both constitutional and practical
grounds.
THE BILL INTRODUCED IN THE HOUSE.
WASHINGTON. D. c., Dec. 11.-Mr.
Springer, of Illinois, today introduced
in the House the financial bill which
Secretary Carlisle read to the commit
tee on banking and currency. The
bill repeals all Acts and parts of Acts
which require or authorize the deposit
of United States bonds to secure cir
culating notes issued by national
banking associations and such notes
hereafter prepared shall not contain
the statement that they are so secured.
National banks are permitted to
take out circulation to the extent of Is
per cent of paid up capital. Circula-
ton to be first lien upon assets. a
tax of of per cent per annum on
circulation IS provided.
+. i