The Salt Lake herald. [volume] (Salt Lake City [Utah]) 1870-1909, 1894-05-27
STATE BANK TAX,
Springer and Grow Speak Against
the BrayyIey Bill

springer and Grow Speak Against
the BravvIey Bill.
Washington, May 26.-The BrawIev hill
to remit the 10 per cent. tax on clear
ing house certificates and other notes
issued by private and state banking as
soeiations between August 1. 1888. and DC
tooer 10, 1893, being the period Of fnan-
cial depression. had the right of way in
the House today.
Mr. Springer, Of Illinois, chairman Of
the Committee on Banking and Currency
made speech against total repeal Of
the bank laws, while he favored the re-
mission of the tax on notes issued DIR
ing the financial stringency.
Mi; Springer spoke fully on the evils
resulting from the issue of state bank
notes notes to the people at large and the
He gave a full history of the failures
ana losses arising from the wildcat
banking circulation which preceded the
own bill for remedying all these evils lis
now before the committee on banSjnes
and currency. He described the bin
sectlon by section, the gist of the meas
ure being that all national notes Issued
snail be protected by deposits of gold
to the extent of 20 per cent and limited
states, state loan or county bonds for,
the other 80 per cent; the banks to be
made the means of distribution. by MAX
ing possible the establishment of a bank
IN every village; the notes to be issued
in three classes: Series ''A'' corresno06s
18th the amount of gold deposited and
pays 2-10 of per cent. per annurn to the
government to cover expenses of the issu-
ing commission; series 81 to equal 81
per cent. of all the currency issued to the
bank, which must pay per cent per an
mum, and series &C. issues to the amount
of the remaining 20 per cent, which must
pay TO the government per cent per
annum, the object of the series being to
secure the necessary elasticity. Glasses
"a and b. would furnish all the cur
rency needed for the ordinary business
of the people. Glass "C'' ouId not be
taken out unless the emergency required
and was worth the interest charged.
be returned and made applicable to any
other section of the country, therefore
never be deprecated, and as it would be
made legal tender and receivable for an
dues, and could not go beyond the nee
eSsitieS of the people, 1t would never
cause panics, but would release all finan-
cial stringency before the banks could be
affected.
At 2 o'clock Mr.. Springer concluded
his speech, and Immediately he became
the target of the broadside of questions
from a host of southern Democrats
whose views are at variance with those
Mr.. Cox, of Tennessee, who was the
next on the list of speakers, not feeling
Grow, of Pennsylvania, was recognized.
In spite of his advanced years, Mr.. Grow
spoke in a clear, resounding voice that
was clearly audible in every part of the
house Mr. Grow said he did not see
any wisdom in abandoning system
which had been almost universally ac-
ceptable and return TO an abandoned sys-
tenn of wildcat banking. He reviewed the
existing laws. and showed how much
safer and better guarded was the issue
of national banks than the issue of state
banks
Mr.. Crows speech was warmly ap-
plauded by his Republican colleagues and
was followed by Mr.. Lawson. (Democrat),
of Georgia, who spoke for repeal.
AT 4:40 D. m the House adjourned.