The Anaconda standard. [volume] (Anaconda, Mont.) 1889-1970, 1895-12-02
REPORT OF ECKELS
The Comptroller Of the Currency Sub
mits and Recommends.
NATIONAL BANK FIGURES
He Advises the Substitution OF a
Bank Note for a Treasury Note
and Points Out Many Other
Great Advantages.

Washington, Dec. 1.-The report OF
Comptroller of the Currency Eckeis, 10
be submitted to congress tomorrow.
gives information IN detail in regard to
the organization. supervision and
hquida ton of the national banks for
the year ended Oct 81. 1895, and SIM
liar Information as far as obtainab1e
relative to banks. banking companies.
and savings institutions organized and
doing business under the laws of the
several states and territories In ad-
dition TO the foregoing, the report
shows briefly the various systems of
banking In operation in foreign coun-
TRIES and in rthe states and territories
comprising the union. as affording IN
formation as TO the different methods
employed to facilitate commercial ex-
changes and sustain a banl0note circu-
ladton-
The totaa number of national banks
organized since the date the first GER
tificate of authority was issued, June
20. 1863. to the close of the report year.
has been 5.o23. making a yearly aver
age of 152. OF the number organized.
there were inactive operation on Oct.
81 last ans. with an authorized capital
OF their circulation outstanding was
s213, ,Ss7. $50, of which amounts s19o.1so.-
961 was secured by United States bonds
and 23.706.669 by lawful money depcs-
tied with the treasurer OF the United
States. There was a net increase dur
ing the year OF $40. .779. .5s7 In the amount
of circulation secured by bonds and
gross increase of s6.322.540 In the total
circulation. On Sept. 2s, 1891. the Date
of the last report of the condition or
the 3,712 banks then reporting, Their to-
tai resources was SO, 423. .629.343 OF which
g. 059, ,40S. .402 represented their loans and
discounts and $3.50, 6,577, $50 money of all
kinds in the bank.
There are 2,611 national banks iocat-
ed east of the Mississippi river. with
capital stock of s527 ,612,792. and 1.1o4
west of the Mississippi. with a capital
stock of $135, 961 $50. During the year
ending Oct. 81, 1896. the corporate ex-
isbence of 2S banks. with a capital stock
aggregatlng s3.453, 500. and a circulation
OF 81, $40, 400 will expire. In the succeed
ing 10 years, from 1896 TO 1906, the cor
porahe existence of $50 banks. having a
capital stock OF 1929. .694.s50 and cir
culataon of s34. oil, ,ss7. will expire.
The following amendments 10 the law
are recommended: That the comptrol-
Ter, with the approval of the secretary
of the treasury. be empowered. in ell
proper cases, to remove officers and d.
rectors of national banks for violations
of the baw and mismanagement. first
according them a hearing on charges
preferred; that loans of any banks 10
IT'S executive officers and employees be
restricted and made only upon the ap-
a
arate wrstten record thereof being kept:
that the assistant cashier. an the alb
sence OF the cashier. be authorized 30
sign the circulating notes of the bank,
and reports OF condition; that some
class of public officers be empowered TO
administer the general oaths required
by the natdonn1 bank act: that bank
examiners be required 10 take an oath
OF Office and execute a bond before en-
tering upon the discharge of their du-
ties; that upon a day in each year. TO be
designated by the comptroller the di-
rectors of national banks shall be re-
qusred to make an examination OF the
affairs of the banks and submit to the
comptroller a report thereon upon
blanks TO be furnished for such pur-
poses: that the comptroller be author
tied to issue to national banking asso-
cations circulating notes TO the value
of the bonds deposited by them with
the treasurer OF the United States TO Sc
cure such notes; that the semi-annual
tax levied on account of the circulating
notes of national banks be reduced 30
as to equal but one-fourth of per cent.
per annum- In making suggestions rels-
tive TO the Increase OF note issues, the
comptroiier uses the following IAN
guage:
The issuing of circulating notes TO
the par value of bonds deposited TO Sc
cure the same and the reducing OF the
per cent. OF senl-annual tax levied up
ON such notes has been urged by all
the secretaries of the treasury who
have touched upon the subject at all.
and by every comptroller from the time
Of and including Comptroller Knox.
The provision OF the law prohibiting the
former and the provision of the law
governing the amount of the latter.
however. are changed upon the stat
ute book.
1T Is unquesttonably true that ma
t3onal banks would largely increase
their note circulation II the embarrass-
ment arising from the needless locking
up OF a large part of their capital.
aEdAAdUtc ObAcI PIPtcCSs anu l1t
lessened profit. through excessive tax
arion now imposed. did not confror,
the legal tender issues Of the govern
ment were paid and cancelled an the
them They certainly would do % II
channel now clogged by them freed
from bank note circulation
The experience OF this and other
countries conclusiveiy demonstrates
that ~na r,,ass accent able national r.ofa
Issues are those put forth by banks.
IL likewise demonstrates that Issues
made directly by governments are al
ways expensive. and under every cir
cumstance a source OF danger % such
governments ard loss 70 their peoples
business interests. No more clearer
proof OF this could be had than that
furnished by the difficulties which we
have witnessed ON the part Of thts gov
,ernment IN rs efforts % u,atnta<n nhe