The Houston daily post. [volume] (Houston, Tex.) 1886-1903, 1896-12-10

me speaker was then In the chair. but
representative Smith OF MICHIGAN. VIII,
seemed to have arranged the meeting told
s n Need who was waiting for him The |
speaker turned over the gavel to Mr.. sher.
man OF New York and stepped back 10 nj.
onise. Several congressman had already
sa,nered there and witnessed the prcscn.
.auon. 1t is said that the speaker and .hc
manager Of McKinlcy's campaign have
hese. met before Several members who
uau oeen active In Mr.. Reeds anti. conyon.
s,on campaign and Representative w. a.
stone. who managed Senator Quay's boom
meeting wv" p"'' ~ 'Ae
comptrolier Eckers Report.
washington. December s.--The annual
report OF Hon. James II. Eckels. comp.
troiier OF the currency submitted Ia con.
sross today, contains information IN do
taii In regard to the organization. super.
sion ara liquidation OF National banks
LOT tne year ended October 81, 1895. During
.Ae year twenty-eight new banks were or
sanised with capital stock aggregating
ss,Sso'uoV. The total number Of National
| banks organized since June 30. 1853. tho
date Of the granting Of the first certificate
VI xutnority, is b05l, making an average
VI 100 Tor each year. OF this number 1916
were IN active operation on October 81,
1876. with an authorized capital stock ng.
Eregating Seo0,014.S95, represented by 2sS,-
W snarenolaers or an average capital stock
Oh sl'6,6s2 for each shareholder The total
amount Of circulating notes outstanding
On october 81. 1896. was $23i,553, S0T, OF
which amount $70.09i .205 was issued BY
bonds still held for account Of insoivcnt
and liquidating banks and sls,7a7,4S0 by
lawful money deposited for account Of the
| lation.
The net increase in circulation issued by
ponds during the year was s26 1929. 053 and
the gross increase In the total circulation
was $2l .Oo9.420. The total resources OF the
1873 banks reported on October 8, 1896,
was S3.262, 6S5,3l3, OF which 1888 ,26s,s1
represented loans and discounts; 1857, 165.-
1888 money Of all kinds In banks.
Or their liabilities 81 597 1891 .05s repre-
scented individual deposits. $S38. 342, 1884 sur
plus and net undivided profits and $780,
944.0l9 outstanding circulating notes Sc.
cured by bonds.
Tho number Of banks that went into
voluntary liquidation during the year was
thirty-seven, with a capital stock OF $3,-
$4,000 and circulation amounting to ST.
262, sis.
Receivers were appointed during the year
for twenty seven banks. the aggregate cap
ital stock was 81 500 coo and the circulation
s76i 800. OF these four closed their doors
in 1893 and subsequently opened, but
through continued business depression and
the slow character of their assets were
unable to meet their obligations and were
compelled to 90 into insolvency.
A comparison Of the data prescribed for
the past year with that for 1895 shows a
decrease OF thirty six in the number of ac-
tive banks and of 81 3o5, eco In capital stock
The average rate of dividend paid for tho
current year was SO per cent. based on
the capital and per cent on the net earn
ings and "a per cent on capital and sur
plus
The comptroller states that the import
ance of obtaining proper classification OF
the money and currency held by the banks
throughout thu country led TO the sending
out OF a circular addressed to National and
other banks and trust companies, request
ing them TO furnish correct classification
OF the amount and kinds OF money held by
them on the list OF July last. Answers were
received from 5723 banking institutions.
An exhaustive and interesting analysis is
presented of returns received from banhs
us to the extent to which the use OF in
struments of credit enter into the settle
ment Of wholesale and retail transactions
in daily life.
The conclusion drawn from these returns
is that GA per cent OF the retail trade
of the country is transacted by means OF
credit paper. that 95,3 wholesale trade Is
SO carried; 95.1 is of business other than
, mercantile, and 92.5 per cent OF all bust
ness. In retail trade the National banks
have sc per cent of the deposits.
The comptroller deals with the question
OF the duty OF directors with respect to the
cases of failure in National banks and
says
THE inevitable conclusion to be drawn
, from n study of tho causes resulting In
these failures is that in the great majority
of instances those directly responsible for
the management Of the banks Involved.
ta,t a aud tNn m
been negligent in their duties and want
ing in insisting upon the employment Of
methods of ordinary safety and prudence
In 1896, up to the date Of the investiga-
ton eighty failures of State banks
were reported with a total capital stock of
81 1871 $40. assets si0.l3l .oo7 liabilities 81,
1858 ana dividends paid S27l ,bbo.
The comptroller suggests the following
amendments to the National bank act:
, That the loans and discounts Of banks to
the executive officers and employees be re-
strictod in amount and secured by prompt
collateral; that no loan be made to n d.
rector not an executive officer OF the bank,
except upon collateral security Of II salts
factorily Endorsed note: that tho directors
be required to make an examination of
their bank once each year upon day 10
he designated by the comptroller. That
assistant cashiers under certain conditions
be authorized to sign circulating notes
Z and reports OF tnUullluHN, lu1t Fip'isiui
, be made for administering general oaths
taken under the National bank act; that
in places having population OF less than
1000 National banks shall be permitted I'm =
der regulations to be made by the comp
, troller of the currency and approved by
The secretary of the treasury to be or
ganized with a capital stock OF not less
than sos 900 and with corresponding re-
, duction In the amount OF bonds required
5 to be deposited with the treasurer OF the
United States.
That National banks be permitted under
, such regulations and restrictions as shall
! be made by tho comptroller OF the cur.
, rency aud approved by the secretary oil
i the treasury to establish braach banks In
, towns and villages where no National bank
, ia established and where the population
does not exceed 1000 inhabitants; such
branch banks in no case to be permitted
, | 10 issue circulating notes other than the
| parent bank.
That the emi-annual tax on circulation
he reduced to one fourth OF ] per cent
that the issue OF circulating notes to the
, mar value of the bonds deposited be per-