The Seattle post-intelligencer. [volume] (Seattle, Wash. Terr. [Wash.]) 1888-1914, 1898-12-05

'-Sscond-~For the purpose OF allowing
elasticity to bank note issues to protect
the banks and the community IN TINE OF
panic small amount of uncovered notes
In addition to the secured notes. should be
authorized by law under the following Inn
itations: They should be subjected 10 so
heavy tax that they could not be Issued
i'm normal times for the purpose OF profit.
but would be available In times of emer-
Eency. The tax should be so large upon
The solvent issuing banks as 10 provide Il
fund which I'm connection With the pro rata
share of the assets of an insolrent hank
would h-f sufficient 10 redeem the notes in
fun without necessitatng any preference
Of note holders over depositors or any IN
solvent issuing hank. The tax should be
sso large as To force this currency into
retire M nj as soon as the emergency passes.
Such a currency could IL used only 20
isesen the evil effects o. the too rapid
liquidation OF credits which are collapsing
under financial panic, but could not be
pFufitabiy used as basis OF business spec
uation and imitation Il should b. TO the
business community what the clearing
house certificates are 10 our cities IN tinIes
OF panic-a remedy for emergency, not
an instrument OF current business
The cofnptroiir states that IN the ad-
fntnls;raticn OF ansoivCnt banks in the IN
serest Of creditors ne has effected annual
savings approx imatiBg sila.eoc.
Concerning bank examinations, he re-
ports tina; during the year he has ex-
tended over the cities ~ New York. Bcs-
ton. Philadelphia and Baltimore the system
-
force in all other sections Of the country.
HE has utizod the examiners i'll lnvestiga-
lions into the credit Of heavy debtors or
ranks " here such Indebtedness constituted
a menace 10 the safety % banks, and
where despite the criticisms Of the comp
tyolier and the efcTts OF the hank off,
cais. no material reductions IN ihe aInoun,
OF the Indebtedness could he had.
branch Banks i'm Colonies.
The ranait roller recommends that femes-
Ia faan - localized
communities 81 less than : @1 Inhabitants.
many Uf which ate BOW unable to support
/ independent banks. but opposes the grant
tug 90 Huy uuTe liberal privileges OF
branch banking shan these. on the grounds
thAt sach privileges would place The iarSer
banks Of the sreat cities IN cSaulpetttlon
with Tho banks Of smaller communities.
and would probably result In q rapid con-
! sgajizat3ou az the banking business of the
country IN she hands IF q constantly less
enlag nuinbyr % Institutions.
Ia connection with thls branch Of his re-
pars he discusses ~ leagth tha necessity
fuF the os3abl isEs1ent of international and
sntercoiouiai banking
~ the Hawaiian aad Porto ESfC1n hank
.ng and trade situations he says
The foundation Tor the greater growth
/ ~ the tya1e between the United States and
( her colonies must be speedily and firmly
/ lai1 ia proper banking laws, which VII
s result iu enabling her merchants - ia
J bnsitess wtth the people OF the coo lies
/ without Disadvantages existing az present.
( our present national banking laws do
/ uot Authorize tAs ostalsl}s hEIsHt u AmeFi-
+ csB sgsGesro ieut8l hanks nor coua any ra-
! tfona1 ssAnk establish a tg-sstch IL. terri
! torS ay CoiaGy siiNA 2s Porto Rico Or Efa-
+ wait. even Z oDr present lRaH GDcaAnee>.
! we're eNtoudod over r.
Wa'ie Il As Questionable whether con-
! rrN@s should isgaitxe tha establishing ~
+ foreign or colonial branches ly national
/ banks tyans&ctlag business upder the
I Egssstst (aw. MAT & sGot;i8 az least ,ass
+ lAws ststaoFsztuE. HnEes psufser raz,r35.#.srS
--s - 81 a.ga.. H..