Evening star. [volume] (Washington, D.C.) 1854-1972, 1897-12-16

| OuitoO StbbcS hotpDp III SdSuTy notes OF 1851
and silver certificates, deposited by any
| national banking association shall not ex-
! coed the amount Of ts capital: Provided.
that the total aaop g OF Of United States
tiflcates deposited With the treasurer Of the
tic shall not som Of 8 eSss &C.,
sse shan ssae ths Of the r.
discretion, bondsi.pf me. same class and
character as those ada6cribed in the third
Of this lss substitute the
States for equal, arnohnts of the United
| States notes, TREASURY notes of 1890 and
silver certificates deposited by national
banking assoeiatIons. and the bonds 50
! the respective national banking associa-
tons, and be ACCOUNTED for by them at
such prices, not less than par. as shall rep
| resent the market value of such bonds
| And the United States notes, treasury notes
| Of 1890 and silver certificates released as
herein provided shall become part of the
general redemption fund: aud the Secretary
| Of the Treasury is hereby authorized 20
! exchange any Of said treasury notes of
| 1880 and said silver certificates for a like
amount of United states notes; Provided,
that the amount of bonds issued under the
| authority Of this section shall not exceed
| the sum of $2O0.0O0OO0.
Sec. z. When any national bank now
| existing or hereafter organized shall have
deposited such United States bonds United
1
yer certificates. to an amount of not less
than 80 per centum of: its capital, it shall
be entitled to receive from the controller
of the currency. and to issue. national
bank notes, in addition to the 80 per centum
| thus provided to the amount of IS per
centum Of such deposits, but the circulation
| issued by any national banking association
shall never be In excess of its paid-up CAPT.
| tai stock, and the additional notes 80 is
sued Shall not be secured by said deposit
but shall constitute first Hen upon all tho
remaining assets of the association issu-
ing such notes. Upon the failure of any
| ssociation to redeem it's circulating notes
above provided, whether the same are is
sued against deposited security or against
general assets, the same shall be promptly
redeemed by the treasurer Of the United
States 10 secure the United States against
any loss arising from it's guaranty to pay
and redeem such additional circulating
notes, 1t shall be the duty of the controller
of the currency to levy upon and collect
from every national banking association
issuing such unsecured circulation a tax at
the rate of 2 per .centum per annum on
such unsecured circulation, which said tax
OF z per centum per annum shall be paid to
the treasurer of the United States, in equal
semt-annual payments. In January and July
OF eacn year, and wnen SO collected 1t shall
constitute safety fund out of which the
United States shall be reimbursed for any
redemption Of said unsecured circulation it
may make as herein provided.
The safety fund thus created shall he in.
vested by the Secretary of the Treasury
in such government bonds as he NAV con-
slider advisable. Said tax Of Q per centum
per annum shall be In addition to the tax
of one-haif of l per centum per annunn on
circulating notes hereinafter authorized.
| Sec. g. That each national banking asso-
citation shall deposit and maintain in the
treasury of the United States a sum of law
full money equal to 10 per centum of its az.
gregate circulation. said sum to be in lien
! or the 3 per centum redemption fund now
required by section 3 of the act approved
June 20. 1874, to be maintained, and to be
subject to, all the provisions of existing
| law respecting said redemption fund not
inconsistent with the provisions of this act
And in consideration! of the deposits OF
bonds, United States notes. treasury notes
of 1880 and silver certificates. and the tax
of per centum On the unsecured circulate
| ing notes of national Banking associations
| and of the deposit Of lawful money pro
vided in this section. the faith of the United
States Is hereby pledged to the redemption
in lawful money df tho United States of a /
the circulating notes Of said national bank
ing associations. go.
Sec. 9. That the aqntt9ler of the currency
shall not issue to any national banking as
! ISOLATION, on and after tthe date when this
act shall take effect. any of the circulating
notes of such association of less denomina-
ton than $40; and Whenever any crculat-
ing notes of less denomination than SO
shall be redeemed or, received into the
treasury Of the Tnitea States they shall
be Cancelled and destroyed, and other
h9 ha iS-
| sued in their place,
Sec. 10. That and after the date when
THIS act shall take effect. the circula ting
notes OF the national banking association.
snail be redeemed at the office of the
United states assistant treasurer in the
city OF New York, and at such other sub
treasury offices as may be designated by
the controller of the currency. with the
approval OF the Secretary of the Treasury.
ANA the circulating notes of each national
banking association so redeemed shall be
charged to the 10 per centum redemption
1und OF such associations under such regu-
lations as may be prescribed by the CON
troller of the currency. with the approval
or the Secretary of the Treasury.
Sec. IL. That In lieu of all existing take
every national banking association issuing
notes shall pay to the treasurer of tie
United States in the months of January
and July of each year tax of one-fourth
or i per centum for each half year. upon
the average amount of its notes in circu-
lation; provided, however, that during all
the period of time Intervening between the
deposit of United States notes, treasury
notes and silver certificates and the substi-
tuition Of bonds by the Secretary of the
treasury, as in this act provided, the cir
cula;ing notes specifically issued therefor
and secured by said United States notes
treasury notes or silver certificates. shall
be exempt from taxation under the pro-
visions of this act.
Section H. Section 513s of the Revised
Statutes shall be amended to read as fol-
| lows
No association shall be organized with
less capital than 100000, except that
banks with capital of not less than
SD,coo may, with the approval of the Sec
rotary of the Treasury. be organized in
any place, the population of which does
not exceed GOO0 inhabitants; and except
that banks with capital of not less than
$4,000 may. with the approval of the Sec.
rotary of the Treasury. be organized in
any place, the population of which does
not exceed 1900 inhabitants. No associa-
ton shall be organized in a city. the pop
utation of which exceeds $1,000 persons,
with less capital than 100000.
This act shall take effect on and after the
- day of --, eighteen hundred and
| ninety, and all acts and parts of acts
| inconsistent with the provisions of this
act are hereby repealed
Wide Range of Discussion.
A Wide range of discussion occurred OH
section of the Secretary's bill In an
s"er to inquiries, he said its general pur-
pose was the same as that set forth by
the President. He also said, in answer
to query from Mr.. Cox OF Tennessee,
that there was no probability that the
parity between p,lS}S and silver would I've