The Abbeville press and banner. [volume] (Abbeville, S.C.) 1869-1924, 1895-01-02
THE LATEST BANKING PLANS.
Wherein the Committees Substitute Diff
fers From the Carlisle Bill.

THE LATEST BANKING PLANS.
Wherein the Committees Substitute Diff
fers From the Carlisle Bill.
The substitute for the pending cur
rency bill, which Mr.. Springer has
laid before the House consists of the
amendments which have been agreed
upon by the Democratic members of
the committee; some were suggested by
Mr.. Carlisle, and certain features of
the Carlisle bill it has been deemed
advisable to retain. Mr.. Springer ex-
planned the important changes made
in the Carlisle bill and their effect, as
follows:
First-Permitting the deposit of cur
rency certificates issued under section
5,193 of the Revised Statutes to secure
circulation. as well as the deposit of
legal tender notes and Treasury notes.
These certificates represent legal tender
notes actually held in the Treasury and
the effect of depositing certificates is,
therefore, the same precisely as to re-
quire the deposit of notes.
Second-So amending the present
law as to permit State banks to deposit
legal tender notes and procure these
currency certificates in the same man
ner that National banks are now per-
mitted to do. '
Third--Dispensing with the provision
which authorizes an assessment upon
the National banks to replenish the
safety fund for the redemption of the
notes of failed banks, and, in place of
this provision, inserting one providing
that the collection of one-fourth of a
cent tax for each half year shall be re-
sumed when the safety fund is impaired
and continued until the safety fund
is restored.
Fourth-Authorizing the Comptrol-
ler of the Currency, instead of the
banks themselves, to designate the
agencies at which National bank notes
shall be redeemed. The effect of this
will be to secure the redemption not
only at the Office of the bank, but also
at the other places accessible to note
holders.
: Fifth-Dispensing with the provis-
ion compelling existing National banks
to withdraw. their bonds now on de-
posit, and take out circulation under
the new system, and in lieu of that
provision inserting one permitting the
banks to withdraw their bonds if
they see proper TO do so, by deposit.
ing lawful money as now povided by
law, and then to take out circulation
under the new system if they choose
to do so.
Sixth-Providing that the notes OF
failed National banks which are not
redeemed on demand at the Office OF
the Treasurer of the United States,
or an assistant Treasurer of the United
States, shall bear interest at the rate
of per cent. per annum from the
date of the suspension of the bank
until thirty days after public notice
has been given that public funds are
on hand for their redemption.
This imposes no obligation on the
part of the United States to use its
own funds for the redemptions, as
the safety fund is in the hands of the
Treasurer, and he will redeem notes
out of that fund. 1t is not necessary
to repeal the repeating clause in sec
ton as reconstructed, because Sec
ton 1 as proposed to be amended
repeals all bond requirements as to
banks taking out circulation under
the proposed bill; nor is it neces.
sary in section to set out how the
notes of existing banks shall be re-
deemed, when lawful money has been
deposited, because the present law
provides for all that.
In regard to the provision making
the notes of failed banks bear inter
est, it is absolutely necessary to re-
quire their presentation at some place
before they begin to bear interest;
otherwise it is impossible to frame a
clause which would not make all of
these notes bear interest from the
date of suspension, even though there
might be funds on hand to pay them.
There are ten sub-treasuries in the
United States. and there will be no
difficulty in presenting the notes if
the holder of them has any doubt
about their immediate redemption and
thus making them bear interest. .