The Scranton tribune. [volume] (Scranton, Pa.) 1891-1910, 1895-12-28
THE ALDEN SMITH BILL.
Plan to Relieve the Treasury That Has
the Approval of John sherman and
Other Financial Experts.

otuSs tSpcItS'
Washington, d. c., Dec. 27.-The Will
liam Alden Smith bill to relieve the
treasury from the menace now threat
ening it by the presentation of United
States notes called greenbacks and
treasury notes was introduced by the
Michigan members in the house today.
The measure was submitted by Mr..
Smith to Senator John Sherman, who
pronounced 1t meritorious in affording
relief to the treasury reserve. The plan
was also submitted to the leading mem-
bers OF the house including Congress-
man Dingley, Chairman Walker and
others by proposition. and was general
ly commended. The bill amends Sec
tion .. l9l, of the revised statutes of the
United States and provides that every
national banking association in either
of the following cities. Albany Balti-
more. Boston, Cincinnati, Chicago,
Cleveland, Detroit Louisville. Milwau.
kee New Orleans. New York. Philadel-
phia, Pittsburg. st. Louis. San Fran
cisco and Washington shall at all times
have on hand In United States notes
and treasury notes an amount in full
to at least % per centuIn Of the aggra-
gaze amount of its notes in circulation
and of its deposits, and every other
institution (bankine) shall at all
times have on hand in United
States notes and treasury notes an
amount equal to at least Is per
centum of the aggregate amount
of its notes in circulation and of its de-
posits. Whenever the United States
notes and treasury notes of any asso-
citation in any of these cities named
ing) shall be below IL per centum of it's
um of its circulation and deposits and
whenever United States notes and
treasury notes of any association (bank-
shall be below the amount of % per cent
circulation and deposits, such aSSocia-
ton shall not increase it's liabilities by
making any new loans or discount
otherwise than by discounting or pur-
chasing bills of exchange payable at
sight nor make any dividends of it's
profits until the required proportion be-
tween the aggregate amount of its out
standing notes Of circulation and de-
posits of the United States notes and
treasury notes has been restored and
the comptroller of the currency may
notify the United States and treasury
notes constitution the legal reserve
shall be below the amount above re-
Quired to be kept on hand. to make good
such reserves and IL such association
shall fail for thirty days thereafter so
as TO make good It's reserve In United
States notes and treasury notes. the
comptroller may, with the concurrence
of the secretary of the treasury. appoint
receiver to wind up the business of the
banking association.
According to the last report of the
comptroller of the currency. there was
sl.715, 1874. .S6O.41 Of individual deposits,
United States deuosits, and deposits Of
United States disbursing officers in the
ha he nf hA Tv,,ft Gtot
Twenty-Five per cent. the legal reserve
required in reserve cities. and lis per
cent. required in non-reserve cities.
would. upon the adoption of the act, i'm
mediately break the endless cfain of
which there is so much complaint and
these notes would be placed beyond the
reach of spectators and would release
sl62 .925, ,290 in gold now tied up in bank
vaults as part of their legal reserve.