The times. [volume] (Richmond, Va.) 1890-1903, 1895-01-05
MIX. AsnLLy.s PLAN AGAIN.

MIR ASHLkY'S PLAN AGAIN.
We shall never treat the subject of the
financial state of the country without re-
pea;ng what we have said from time To
time that we shall never nave that pros
porous condition which is our due until
the Government of the United states Is
absolutely severed from al connection
with the money and currency OF the
country. except to coin the precious
metals and stamp on each coin the
amount of metal that it contains.
When the Government tax on the issues
OF State banks Is repealed so that all
men may freely use their credit TO Inc
best advantage, and the people are lett
alone TO have whatever paper currency
suits them. We will have that blessed ana
prosperous state returned to us. in which
We lived In 1850. We shall never have
real prosperity until the free silver at
tack upon the standard of value is abanI
doned, until the Government is severed
from all connection with paper currency
and until the tax on tho issues OF state
hanks Is repealed. THIS must always be
understood most unequivocally to be The
Times position Whenever the subject is
\ brcaght up for discussion. Nevertheless,
we repeat what We said several days
back. that If the present system OF the
United States Government managing the
peoples currency is to be adhered to, the
plan which Mr.. j. NJ. Ashley has brought
forward seems TO us 10 promise advan-
tages beyond what are promised by any
other suggestions that have been so far
made. Though We have already stated
II. II IS just as well that we should state
again its leading features as The Times
would amend them. He proposes that
the Government shall issue enough two
and a half per cent. gold bonds TO take
up all of the Sreenbacks and Sherman
notes which The banks may use as a
basis for currency. issuing currency on
them 10 the par value of the bonds. That
the country shall be divided into districts.
ana that the banks In each district shall
form themselves into clearing house
association. That there shall be in adj
dition a national clearing house aeso-
citation. composed of representatives from
the district associations. The national
clearing house association may issue 10
the district associa tons notes for any
bank. to the amount of fifty per cent. OF
It's paid-up capital. upon such security
being deposited with the national assoc
citation as was satisfactory TO il. The dis
trict associations shall have power 10
make examinations and inspections OF the
affairs OF all .he banks in It, The bank
issuing the notes is then to be primarily
responsible for them. and the district
and national association also in the order
named.
We believe that II this plan were enact
ed into law IL would give the country all
the rest. repose and currency that ma
tional system OF paper currency can
give it. The power given the district as
ISOLATION 10 inspect the banks that con-
tributed 20 II would insure a real tn
stead of the perfuuctory inspection which
Government inspectors now give them.
and. with this right of inspection ana
the security for the notes deposited with
the clearing house. the association would
no, have any objection TO guaranteeing
their notes.
The objections made TO this plan In
The letter published elsewhere. signed
''Nirginian.' are good. we think. so far
as they apply TO the national clearing
house. That would make IL both cum
bersome and expensive. But why should
there be a nationai clearing house, why
will not the district clearing house be all
sufficient? Its guarantee would make the
notes perfectly safe; indeed. the coliai-
erai TO be required by a bank issuing
plan Is to have a district clearing house
only. TO give 1t power TO inspect the
banks in its association. to make II liable
for all notes that are issued. and 10 allow
II to permit any bank to issue as many
notes as II pleased, upon deposiiing with
the district clearing house coilaterals
that are satisfactory 10 1t. AS IL is to be
bound for the note issues. we can trust
II 10 require sufficient security. See. then,
how II would work. Each district asso-
ciation would permit its banks to deposit
the securities peculiar 10 each one.
charleston's banks would be allowed TO
deposit the favorite Investments at
charlsston. Rslsigh's OF Raleigh and
Richmond Of Richmond. and the clearing
house would require each one to keep
Ito securities up 10 . point that kept ils
seteb secure. Let them issue. then. IN