Grant County herald. [volume] (Lancaster, Wis.) 1850-1968, 1897-12-09


Washington, Dec. 6.-The annual report
OF James H. Eckels. comptroller OF the
currency, for the year ended October 81.
1897. opens with a brief review of the his
tory Of the legislation which constitutes
the present national bank act and invites
the attention OF congress to amendments
to the law recommended In former reports
without specifically repeating them.
Rank Note Circulation.
On the subject OF bank note circulation
the comptroller says: sit IL noticeable that
in all the charges which havs been wrought
IN the national currency act from Its incep-
ton TO the present time the feature subject
to criticism, but which was intended should
constitute the principal benafit to be cou-
ferred. has remained comparatively un-
changed, namely. the note-lssuiuG func-
ton. Whatever justification there was in
the urrt Instance for restricting the issu-
Ing OF notes against the b1ndW OF the gov
ernmAnt. dsposited with the treasurer OF
this United States to 20 per cent. OF the
par valuA thereof. long since ceased. In
ths report of evary Comptroller Of the cur
rencY during the past % years the wisdom
OF changing the existing law 20 that thu
banks. and through them the commune
ties In Nhsch located. might have the adj
dittonat b6neft of an added loanRble capt.
tai has heeR urged. Despite all this the
law. sttn rsmaIns without amendment. Not
OHAJ AHoht0 Tie D0nA att 10 &tuch0S0 IA
this particular. but congrrss should So
riously consider such change in the meth
cd OF bank note Issues as win enable the
banks OF the country to more adequately
meet the demands of trade and commerce
in all sections OF the country. The busi-
ness OF banking. like every other form OF
investment, must be made attractive to
capital. II II Is placed upon q footing
different from other undertakings. embRr-
raised through unnecessary restrictions
the result cannot be otherwise han that
investabte capital will seek other means OF
employment, and to such an extent deprive
the people OF the benefits OF the agency
most requisite to commercial activity.
Would Re Dangerous.
at has been seriously suggested more
than once that the bank note issues be done
away with and all paper be issued by the
government instead. The danger OF such
a course Is not to be overestimated. The
experience of every government has been
that governmental currency paper is
source of weakness and danger. In the
United States. where there has been the
nearest approach to success, with the vol
ume of the federal paper comparatively
limited in amount, the credit OF the gov
eminent has been more i%an once put in
Jeopardy through 1t and The business In
terests OF the country subjected to unnec-
essary loss and confusion.
Growth OF National Banking system.
The total number OF national banks or
ganized since the system was put into OPP
GRAFTON in 1868 Is shown to have been sos.
On October 81 last there were In active op-
GRAFTON S6l7, having an authorized capital
of $500, $50, 295. The total outstanding cir
culation of the banks then in operation was
1929 1893. $50. of which SOC. 1894 sos was secured
by bonds of the United States and the ball
ance by lawful money deposited with the
treasurer Of the United States. The total
circulation outstanding OF all national
banks on October 81 last was 500. l31. OO5, OF
which amount 81 So, 500 was secured by
bonds held for account of insolVent and
liquidating banks and $26205,325 by lawful
money deposited for their account and by
active banks reducing circulation. The net
decrease IN the amount OF circulation Sc
cured by bonds during the year was sl2,-
5S4. 1874 and the gross decrease In the total
circulation was 1851 292. During the year
"a banks were organized with an aggre-
gate capita! stock of S6.420,000 During the
year n banks went into voluntary liquida-
ton. There was paid TO creditors of in
solvent banks during the year sl3.l69,lSl in
dividends.
An UnequaIed Record.
THE magnitude of this unequaled rec
ord" the report says, VIII more forci-
bly, Illustrated if considered in the light of
what has been accomplished heretofore In
the way of dividend payments to the cred
itors of insolvent institutions. In 1893 there
Was paid in dividends $3.433. 645, In 1894. 49,.
l24,DlI, in $780, III 1880 eS4ol So5 anu
in 1897, $l3,I69.7S1. making total of divi-
dends paid within the five years from 1898
10 1897 of 81, So. sis. or 36A per cent. of all
the dividends that have ever been paid 70
creditors OF insolvent national banks.
From 1863 TO 1897 there has been paid in
dividends SIS, 935. y25. and in the year en-
braced IN this report Sl3,l69.ISl. or II Id per
cent. Of all the dividends that nave been
paid during the period OF "a years or the
existence of the system. Since october II,
the end of the report year. II additional div
idends have been ordered, amounting 4 the
aggregate to about $625,000
The report contains the latest compiled
statistics relative TO the worlds monetary
systems and the stock of gold, silver and
naper currency. A very interesting fea-
ture of this statement IS the per capita
amount OF each kind of money in the
countries named. The per capita averages
in the principal countries of the world are
as follows: United States, $3.50; United
Kingdom, $2o.65 France, S34.6S Germany.
slS.s5; Austria Hungary. 1898, and Russia.
$685.
wan E4uIIqt and Acid.