New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1897-11-22
ANOTHER CURRENCY PLA
EX .CONTROLLER W. L. TRENHOLM IT'S
AUTHOR.
HE WOULD FUSE THE GREENBAcKs AND SHEER
MAN NOTES INTO ONE FORM or PAPER. RE
DEEMABLE IN GoLD-CuANGES ~ THE
BANKING SYSTEM AND THE Use
OF SILVER SUGGESTED.

OF SILVER SUGGESTED
Washington. Nov. 2I-Colonel william L. Tren-
holm who was Controller Of the Currency under
President Cleve.ands first Administrator. has just
submitted his views Of currency reform TO the
Monetar! Commission. They embrace a number Of
features entirely different from those Of other ex-
perts and have been carefully studied by the Com
mission at several recent sessions. Colonel Tren-
holm recommends the fusion OF the greenbacks and
Sherman notes into one form o; paper redeerable
In gold He thinks tina, these notes should be
issued In denominations OF 81. 81 and s. in orce:
that the people may have confidence in the money
in current circulation. He believes that redenis-
ton fund OF SlOlOOOO would be sufficient to main
tain the parity OF tho entire volume OF about
$40 10000.
The suggestions Of Colonel Trenholm regarding
banking as follows
First-To make adequate provision for the recog
iishment of others by allowing them 20 to- organ
lied in central reserve cities under the National
Ranking Law. with defined powers and responsible
ties.
tied TO license BANK. in ihef Tesrec,Ve css 70
sGcep GrGeans dr1; aSS" by I .d IN place.
be free OF all ta3a,on. Federal State or municipal
Third-'Eo limit the maximum amount 20 which
any such bauk may have acceptance outstanding
al any one Time 10 certain proportion OF Its cap
Founh~To prescribe that such bank be
licensed to accept such drafts without taking from
amount 81 such contemplated accepianccs, when
security may DC IN the form Of discounted paper
also. without having deposited with the CLEARING
house security to the amount OF tho circulating
both in amour, ana character. TO be certined n
each instance separately 70 the Controller. OF the
Currency by the proper authorities OF the clearing
sonss ana op9T@ysd y me local bank sHSmns,
drafts. which drafts are 10 be delivered by the
clearing -hoaoe to the Controller OF The Currency
flfth-,The circulating drafts authorized to be
by any National bank. or 10y any STATE or private
bank which viii submit to such examinations by
co zoe SGhi q h m The Of Sa
Of any such drawer outstaIding AZ one time 10 be
those held by the iae,ee?';1ne bank s,, .r
* Ind d' m se IA o
OF ST. 81, 81 IS and mutipes q s.. having engraved
upon their face tns namo Of the accepting bank
with blanks to he flled with the name OF the
drawers
seventh-such circulating drafts to be prepared
by the Controller Of the Currency and issued TO
each clearing house association upon It's requisi-
ton made from time 10 time under regulations 10
be established by the Controller OF the Currency.
Elghth.This plan. II adopted. is expected to work
ton will from time 20 time make requisiton upon
the Controller Of the Currency for certain amount
OF such circulating drafts 10 be accepted by certain
named banks. members OF that association The
are called for will satisfy the authorities OF the
clearing house association as 70 their COMPLIANCE
Ss n &c mad 10 such '6e
each OF such banks will cause 20 be nlled In the
OF the drawer AMI thcn execute It's acceptance
upon the face OF the drafts. These drafts may be
then sent incomplete currency is sent
through the mails or by express al moderate
charge as they viii not become effective from cir
culation until duly signed by the drawers. When
signed they Will be paid out 10y the drawing bank
or banker for local use nrst. and VIII gradually
And their way back 10 the accepting banks. where
they Will be redeemed and sent into the clearing
house, In order 10 release prOport!onatc amount
OF the securities there held against such Issue The
object of this suggestion - 10 enable banks AZ
remote points throughout the country 20 meet tho
local demand for currency when II arises. and only
as II does arise. and at the same time TO limit and
control such issues through the operation OF the
principle OF selfprotecion which Will assert Itself
In the management OF the accepting banks.
Regarding the disposition OF the silver dollars
and silver certificates, Colonel Trenholm suggests
that the silver now In the Treasury be constituted
a reserve fund for the guarantee OF outstanding
silver dollars and that the silver certificates IN
excess OF the actual bullion value OF the coins and
certificates outstanding be cancelled from time TO
time as they come into the Treasury He recon-
mends that silver certificates be issued In denomi
nations OF SO and over. and that some OF them be
issued in denominations OF 81 900 s. 900 and slo ono
In order that they may be held by National banks
In the proportion OF 20 per cent OF their lawful
money reserves.
Colonel Trenholm suggests an International agree
ment among silver producing countries for steadyine
| the price OF silver He does not contemplate he
restoration of silver 20 parity with gold hui the
regulation of the prize as 10 give the
to the worlds commerce that there be no fur
ther material decline n the price.