New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1896-12-15

THE HOUSE WILL BE ASKED TO-DAY TO
CONSIDER THREE MEASURES.

ONE ~ lNCHfLASE Clftt lINiiC->' o->h> ~ '>''''D
LIsH NATIONAL RANKS WITH $4,000 CAPT.
TAIL AND ONE TO EXPEDITE CERTAIN
RECEIvEHsHIP PROCEEDINGS.
ley TELEGRAPH TO THE TRIBuNE.l
Washington, Dec l4-To-morrow when the call
OF committees for report Is ordered Representa-
tive Henry C. Van Voorhis OF Ohio. for the Com
mttee Banking and Currency. will ask con-
sideration of three important banking measures
which have been reported frcm the committee
and which were approvngly referred to by the
President in his recent Message. The first Dill Is
by Mr.. Brosius. Of Pennsylvania. and provides for
the organization OF banks with capital OF not
less than $4,000 in any place the population Oh
which does not exceed 1000 The second measure Is
by Henry l.. Johnson Of Indiana. and provides Una,
the circulation OF National banks may be In
creased to the par value Of the bonds deposited
to secure circulation. The third bill Is b. MI
Hooker. of New-York. and seeks to re-enact
section Of act Of 1876, with amendment. pro-
viding for the appointment OF receivers for Nation
al banks. Speaking of these bills this afternoon.
Mr. Van voorhis. who then in charge. said:
1.-The President in his Message suggested that
legislation be enacted 20 provide National banks
for towns of less than five thousand inhabitants
That is just what the Brosius bill provides ana
think ii is a measure which the House will not
hesitate 10 pass. Under existing laws the minimum
capital stock required for the organization OF n
need for bank issues well as for ether banking
accommodations in small towns in which the
amount OF $4,000 cannot be readily raised 1or
banking purposes. The inequality In the dlstrlDu-
ton of National banks is one of the marked fea'-
OF National banking system In the
Eastern and Middle States banks are apuhuah',
and this alteration in the law would not be aVa''eu
CT 10 any considerable extent. But in the western
and Southern States there Is dearth Oh pa''hs
In many sections due doubt. TO the lack OF
capitaI This bill will relieve that inequality 1t
is recommended by the Controller or the currency
and by those best qualified 10 judge
1.-The Johnson bill TO increase the circulation vi ->"
tionol banks Will be of interest everywhere. Suc'
a measure has been recommended by every con-
troller of the Currency since Knox Exisths law
authorizes banks issue circulation 10 the amount
of 90 per cent Of bonds deposited. The wisdom OF
amending the law so as TO provido LOT lhs III
creased circulation does not seem 10 ADMIT OF
doubt There are no United States bonds now
out excepting the . per cent bonds, which are no'
selling in the markets at a considerable premium
and therefore possible loss can occur 10 inc
note holder by the amendment proposed even II
there was no other recourse. but when we CONSIDER
that the note holders have a first lien upon all the
assets of the bank. in addition TO the security OF
the bonds deposited there exist In no case the
possibility OF loss. Under existing law the banks
are deprived OF a portion OF their available capital
for oaning purposes. and TO that extent accom-
wise might be available. II seems clear that. when
little profit in their circulation.
now limited, that ii scarcely pays to make II out
there ought to be enlargement OF their rights
TO issue notes TO afford an inducement 10
furnish as large measure of accommodation 10
the community is compatible with entire safety
TO note-hoiders. .
Now. In explanation OF this other bill, by Mr.
Hooker: BY the law. with reference 10 the wind
ing up Of the affairs of broken National banks. as
amended in 1892 full provision was made for the
distribution OF assets among creditors In sa'sfac-
tion Of their claims and the appointment OF an
agent by the shareholders to act for them In dis
tributng whatever might be left after all claims
satisfied. There is. however. no provision in
case Of failure 10 serve. death. etc. or the agent
appointed and instances have already occurred
where. account OF the death Of the agent hrst
named there has resulted great embarrassment
and delay in the distribution OF the remnant left
to which the shareholders are entitled. The same
reasons which justify the appointment OF an agent
in The first place. instead OF RELOCATING the share
holders the jurisdiction Of the courts OF equity
are equally strong for the appointment OF sue
10 q agent whose service ceases before the
fulilment of his duties
Besides these. ii Is doubtful II any other general
financial measures will be considered by the House
this session. Chairman Walker. OF the Banking
and Currency Committee. believes there Will be
none. although he has promised Controller Eckcls
a hearing upon certain bills for the revision OF the
banking laws. of which IL his Chair
Walker said to-day that Controller Eckcls
would be heard by the committee until after
the holiday recess