The Topeka state journal. [volume] (Topeka, Kansas) 1892-1980, 1895-12-02
That's What Mr.. Eckles Declares
We Need More Of
Interesting Report of COmptrOl-
Ter of the Currency.
KILL TREASURY NOTES
Haven't Any Use for Them With
Bank Notes in Sight.
In That Way Gold Reserve
WILSON be ObViated.

WASHINGTON, Dec. I'm the report
of James H. Eckles, comptroller of
the currency, it is suggested that Con-
gress enact legislation which will in
duce national banks to pay greater at
tention to note issues.
1T is undoubtedly true" the comp
troller says, that national banks
would largely increase their note cir
culation if the embarrassment arising
from the needless locking up of a large
part of their capital, available for
other purposes, and the lessened profit
through excessive taxation now i'm
posed, did not confront them. They
certainly would do SO if the legal ten-s
der issues of the government were
paid and cancelled and the channel
now clogged by them freed for bank
note circulation.
1.-The experience of this and other
countries concluslvely demonstrates
that the best and most rational note
issues are those put forth by banks. 1t
likewise demonstrates that issues made
direct by governments are always eX-
pensive, and under every circumstance
a source of danger to such govern
ments and loss to their peoples business
interests. No clearer proof of this
could be had than that furnished by
the difficulties which we have wit
messed on the part of this government
in its efforts TO maintain the full
credit OF it's practically hmitless
amount of demand obligatiors.
1.-THE advantage accruing to the
government by the substitution of a
bank note for a Treasury note curren-
cy would be UNNECESSARILY great. The
need of maintaining a gold reserve to
tions, now never retired, would, with
in a reasonable time, be obviated, and,
delivered from this vexatious and ex-
pensive difficulty, the Treasury depart
ment could return to its legitimate
function of collecting the revenues of
the government needful to meet gov
Ornamental expenses and discussing the
same. y
The total number of National banks
organized since the date the first GER
titicate of authority was issued June
20, 1853, to the close of the report year,
has been 5,023, making a yearly aver
age Of 1872. OF the number organized.
there were in active operation on
October 81 last 3.715, with an author
lied capital stock of S664, 1876, 915, rep
resented by 285, $50 shareholders, or
an average capital stock of $l79,772
for each bank; average mum Der of
~'@-NA
holders. II. The total amount of their
circulation outstanding was $2l3, $751;
$50, of which amount $40, 1905 61 was
secured by United States bonds, and
1928, 106, 500 by lawful money deposited
with the Treasurer of the United
States. During the report year forty
three banks were organized, located in
twenty different states with an ag-
gregate capital stock of 81, 500, 900.
The number of banks organized dur
ing the year was less than thirty per
cent of the yearly average. There
was a net increase during the year of
SO, 779, 597 in the amount of circula-
ton secured by bonds and gross in
crease of 81. 1923, $40 in the total circu-
lation.
On September IS, 1895, the date of
the last report of condition of the
3,712 banks then reporting, their total
resources was So, 423, 629, 343 So, of
which So, 059, 408, 402. Y represented
their loans and discounts, and $780,
ST, $50. 81 money of all kinds in bank.
Of their liabilities, Sl.70i, $50, 52I2S
represented individual deposits, $780,
ss8. $50. So surplus and net undivided
profits, and S1S2, 481, 610. so outstanding
circulation secured by bonds
The corporate existence of seventy
one national banks in sixteen States,
with a capital stock of $40, 662, 900. and
a total circulation of So, 925, 275, has
been extended during the year The
number of banks leaving the system
by reason of the expiration of the
corporate existence, was four, having
a capital stock of $500, coo and a circu-
lation of si23, 700 OF these, two were
located in New York and one each in
Maine and Pennsylvania. A new asso-
citation, with capital stock of $50, 900
and circulation Of S22, 500, succeeded to
one of the two in New York.
The number of banks leaving the
system during the year through vol
untary liquidation was fftv-one, hav-
ing a capital stock of So, O93, 100, and
circulation of 81, 152, 600.
Receivers for thirty-six banks have
been appointed during the year. The
aggregate capital stock of these banks
was 1885, 02O and their circulation
was 81, 0o3, 402. Of these banks, two,
with capital stock of $3.50, 600, were
reported last year as being in volun-
tary liquidation, and nine, with a cap.
ital stock of So, 750, 900, were OF the
number of banks which closed their
doors in 1898, and subsequently, re-
sumed business, but through continued
business depression and the low char
acter of their assets were unable to
meet their obligations, and were thus
compelled to go into insolvency.