The times. [volume] (Richmond, Va.) 1890-1903, 1898-03-24
THE PROPOSED
CURRENCY BILL.
Some Features of Four Bills Drafted
Into II.
GRADUATION CIRCULATION TAX
Silver Dollars Redeemablc i'm Gold
Certificates Only i'm Silver-A Bank
Note Guaranty Fund-A Divis-
ion ofIssue and Redemption

WASHINGTON. March 2S.-The House
Committee on Panking aud Currency
to-day brought up the proposed general
currency legislation for this session. The
report OF the subcommittee appointed
to draft the general measure was made
to the full committee by Representative
McCieary, OF Minnesota. II was read py
sections and led 10 much discussion. The
subcommittee took az their basis the
four bills introduced ut this session.
known as the Monetary commission
Gage. Walker and Fowler bills ana con-
sidered the features Of those measures
but did not confnc themselves 10 thtm.
The bill is the result OF about SIX weeks
close conference OF the Subcommittee
who met most Of the time AT the private
residence of mmber. The Dill Il en-
titled:
a bill to provide for strengthening the
--lblic credit. for the relief OF the / hl'eu
States Treasury, and for the amenuinehl
OF the laws relating TO national banking
associations"
THE PROVISIONS.
The method Of dealing with the green
backs Is not by direct retirement. but by
the substitution of a legal tender note
which the banks are required TO assume
and for the redemption OF which they are
required to find the gold so long as they
are conducting "A solvent business Inc
principal provisions OF the Dill are as
follows.
l. \ division of issue and redemption
IS established I'm the treasury for which
the Secretary of the Treasury Is suthor-
lied 10 set aside the general cash balances
I'm excess Of Sj0O00.O00 This excess on
March L. 1895 was Sl76.l 39. 5S2 united
States notes received by this DIVISION lot
redemption in gold are 10 be canceled
and reduced in proportion as certain
substituted currency is issued. No note
redeemed in gold is to be again paid OUT
except under exceptional conditions.
. National banks are required 10 as
sumo the current redemption Of United
states demand notes in order TO obtain
circulation based upon their commercial
assets. 4 new class Of notes. called ma
tional reserve notes is to be issued In
lieu of legal tender notes deposited by
the banks with the treasury, and these
reserve notes are 10 be redeemed upon
demand by the banks ont OF the redemp-
ton fund which they are required to
maintain in gold
3. The basis Of national bank note
circulation will eventually be the COM
meTcial assets OF the banks. but this
will be reached only after a series of
years.
(. National banks are 10 be permitted
70 issue currency noies upon their as
sets to the amount OF reserve notes issued
to them i'm return for deposits Of United
States notes.
5. Treasury notes issued under the act
Of July T. 1890 are tn be dealt with event
ually upon the same basis as United
States notes.
GRADUATED TAX.
6. x tax of two per cent. is levied upon
currency notes issued In excess a. sixty
per cent. OF the capital Of any national
bank of six per cent. when in excess OF
50 per cent
:. The national currency notes baseo
upon commercial assets are 20 be secured
by a bank note guaranty fund. made M
by the contribution in gold coin Of iiv'
per cent. Of the entire circulation Of th'
bank and provision is made for replen
ishment of this fund within certain limits
s. The national reserve notes will con
tinue TO be legal tender until received int
the treasury from failed and liquidatinl
banks when liability for them will be as
sumed by the government and they vii
be redeemed and cancelled.
.. Standard silver dollars are to be re
deemable I'm gold. but silver certificate
are redeemable only i'm standard silve
dollars. The parity OF silver with goA
Is secured by gold redemption fund.
10. Silver certificates are hereafter q
be issued only in denominations Of 81
81 and s.. Legal tender notes, reserv
notes and currency are not to be issue'
in denominations below so.