The Saint Paul globe., 1896-12-09
REPORT OF THE COMPTROLLER
OBJ THE CURRENCY SENT TO
CONGRESS.
TEN CHANGES SUGGESTED.
BRANCH BANKS PROVIDED nv rrHta
MOST IMPORTANT OFF THE
AMENDMENTS.
NO MONOPOLY IS POSSIBLE
1rave Dangers to the Government
of a Banking side Issue Clearly
Set Forth,

WASHINGTON, Dec. S.-The annual
report of Hon. James H Eckels. comp
troller of the currency submitted to
congress today, contains information in
detail in regard to the organization.
supervision. and liquidation of national
banks for the year ended Oct. 81,
1856. During the year twenty-eietht
banks were organized, with a capital
stock aggregating $3,245O0O. These
banks were located in fifteen states
and the District of Columbia. Of the
number, eight were in Pennsylvania.
two each in New York, Georgia. North
Carolina, Ohio and West Virginia. and
one each in Alabama, Illinois, Kansas.
Kentucky, Maine, Missouri. Texas.
Virginia, Wisconsin and the District
OF Columbia. The capital stock of the
twelve located in the Eastern States
aggregates $1,180, 600; of the six located
in the Western states, $875. .OOO and the
ten In the Southern states, 81 1870 900.
The state of Georgia Is first in the
amount of capital stock represented by
the new banks organized, the aggre-
gate being S600,000; Pennsylvania next.
with $4,000, and the District of Column
b1a next. with $500,000. The total num-
Der OF national banks organized since
June 80, 1853, the date of the granting
OF the nrSt certificate of authority, Is
o,0ol, making an average Of 153 for
eacn year OF this number 3,679 were
IN active operation on Oct. 81. 1896.
With an authorized capital stock ae-
gregating $3.50, 0,014,SS5, represented by
2SS,9Oz shareholders, or an average
capital stock of SITS, ,682. of shares or
STOCK 296 of Sl,o
total amount of circulating notes out
standing on Oct. 81, 1896, was S234.-
5o3,o oOf, OF Which amount S., ,091, POS was
secured by bonds still held for account
OF 1nsolvent and liquidating banks, and
$lS, TAI, ,43O by lawful money deposited
Tor account of the same and by active
panks reducing circulation. The net
increase in circulation secured by
bonds during the year was $26. .329. .O5S.
ana the gross increase in the total cir.
culat1on was 21,O99,429. The total re-
sources OF the 1876 banks reporting on
OCT: o., 1886, the date of the last re-
port of condition, were s., ,263. .685. .313.S3
of which $1,S93, 26S, 1881 represented
loans and discounts and 1852 165, ,733. IS
money of all kinds in bank.
or their liabilities, $1.b97, ,S91, ,05S.73 rep
e resented en- individual deposits, 1886, ,S42,-
oS4.lO surplus and net undivided profits.
and $2O9,94.O19.50 outstanding circulat-
ing notes secured by bonds
During the year the corporate ex-
1stence of rs banks was extended, the
aggregate capital stock Of which was
S3,153,S00 and their total circulation
$1,175, 400 One bank left the system
during the year by reason of the expi-
ration of it's corporate existence This
bank was located in North Carolina
1t had capital stock Of $10O, 900 and
circulation of 100000, but was succeed
ed by new association, with capital
| ctr nOl 0f
amounting to $22, 500
During the year ending Oct 81, 1897,
the corporate existence of 10 banks will
expire, with a capital stock aggregat-
ing $2,2S9,000 and circulation amount
ing to $7S3, 900. Of these banks, are in
New York, 2 each in Colorado, Michi-
gan and Ohio, and / each in New
Hampshire, Pennsylvania and Texas.
Between 1897 and 1906 the corporate
existence of 993 banks will expire, with
a capital stock Of $146, 461 150, and cir
culation amounting to $39,003,872
The number of banks that went into
voluntary liquidation during the year
was 81, with a capital stock of SO, 745, 900
and circulation amounting to 1,262,81
Receivers were appointed during the
year for 27 banks. the aggregate capi-
tai stock Of which was $3,805, 900 and
their circulation $761,500 OF these,
closed their doors in 1898 and subse-
quently resumed business, but through
continued business depression, and the
slow character of their assets, were un-
able to meet their obligations and were
compelled to go into insolvency.
A comparison of the data prescribed
for past year with that for the year
1896, shows a decrease of SO in the num-
Der Of active banks and of 81, 900 in
capital stock The number Of banks
organized is Is less and the number of
banks going into voluntary liquidation
Ii less There has been a. decrease OF
9 in the number of receivers appointed,
and As in the number of extensions Of
corporate existence Tn number of ex-
pirations of charters decreased 3, and
the number of new banks organized to
succeed expiring associations remains
unchanged.
Abstracts are given of the reports of
condition made in response to the five
calls required by law. In this connec-
ton the comptroller states;
BANKS AND BUSINESS.
Complaint has been not infrequently
heard during the past years that those
engaged in banking have been unfair
toward the business public in the mat
ter of Withholding credit. A careful
study Of the returns given, shows that
such restriction has resulted from
necessity and not from choice. The
unsettled currency conditions Whlcn
have so marked the course or
the country of late, have made deposi-
tors more easily frightened into de-
manding their deposits, and to meet
such calls on demand large amounts
of idle money had to be always kept
in bank. In such case it could not be
otherwise than that loans on the one
hand should be called in and new
credit denied on the other.
In the appendix Of the report table
is presented showing the semi-annual
dividends and the net earnings or
banks in excess of such dividends, by
states, reserve cities, and geographical
divisions, for the current and prior
wears. and also a table showing the
number of banks, capital, surplus div1-
dcnds, net earnings, and ratio of divi-
dends to capital for each year for
twenty-seven years, and the average.
The average rate of dividend paid for
the current year was 6.9, the per cent
of dividends based on capital and sur
plus 5, and the per cent OF net earnings
on capital and surplus 5.4.
The report also contains all the in
formation that could be obtained re-
lative to the resources, liabilities, and
condition Of banks, banking companies
and savings institutions other than
national, organized under state and
territorial authority. This information
is said to be substantially complete,
except from the states of Delaware,
Maryland, South Carolina, Georgia,
Alabama. Louisiana. Texas, Arkansas,
Tennessee Washington, Oregon, Utah,
Nevada, Idaho, and the Indian terri
tory and territory Of New Mexico.
According to this data the number
of banks organized under state au-
thority and in operation at the close-of
the fiscal year, June 80, 1895, was 5,70S
and the number from which the comp
! trollers received reports, 1856. Reports
...a..a alcc, rocoi1re,d from 22A rr.iuata