The Wheeling daily intelligencer. [volume] (Wheeling, W. Va.) 1865-1903, 1898-03-24
INTERNATIONAL CREDIT.

slsSBllii Forniaistsa bss Ills itspppiissn
yi,nb.rs OF ths itAhkisn aud C.,rrsneyl
Committee rus rarpe,s eiihs ,iss.atsi
u. 10 throw OH sllans, hank. tht i,ur.
den 81 itladinE Gold Tor ti,s Note. Of ,he
Country. \! 4 (
S.lsHiNGToN j. q March % (.
The report Of The Republican sub.com-s
niitted OF thu house committee on bank
slns Gnd currency was laid to-day be-
fore the full Republican membership Of,
tlsc committee. ,t,his su6.co,nmlttes:5
which Sds appolntsll a piefih ago TO.
report a general banking aud currency
measure. consists, OF Mr. aiccleary, Of
Minnesota. chairinan: Mr.. Prince. Of IL
llhols, and airs Mitchell, Of New York.
The bill they taye reported Is entitled
"a bill toDnloride for strengthening the
public credit. forfthcy relief OF. the
United States treasury and for the
amendment Of the lava relating TO ma,
stonal banking associations q
The method 81 dealing With the
gresnbaeks IS rot By direct retirement,
but By the substitution OF legal ten.
dss note. which the banks are REQUIRED
TO assume, and for. the redemption OF
which they are required 10 ind the gold
so long as they are conducting u so.v-
ent business. Z VI 4 ), q \. Is
The commi,cessay, in explanation OF
the provision regarding the iassumpt!on
oti IN. legal tender notes by the banks.
ithas they l,ave erdeavored to adopt d
system which would, be subject to none
OF the crit!clsms nude against the Is.
sue of interest bearing bonds or the.
taxation of the people Tor the payment
Of this demand debt. I They! dec!are:;
1.-THE system adopted 10 such as TO
continue TO the government all ,uhe BEN
cllts OF the loan without. any OF the dis
advantages OF Its character as de-
.mand obligation. The proposed bill inn
poses upon the banks the whole burden
OF carrying and sustaining this debit
There Is no profit or return to the
tanks In thus carrying the nations
debt, and they are required by tho bill
to assume the entire obligation as COM.
pcnsaton for the franchise and yprivi-
!leges granted as national banking cor.
iporations. n 3 z
iiS.The heavy burden assumed by the
banks must be givenllts due weight In
measuring any additional privileges
which are given them by this bill. The
banks are required to redeem; this debt
of the government now assumed by
them, upon precisely the same terms as
the redemption OF their own notes while
they are conducting a solvent banking
business. 1t Is only when by the re-
fusal to pay such notes, they become
insolrent that the government recog.
inizes again its demand debt and as
srules It for the complete protection Of
the holder OF the note and for the BEN
eft o. the creditors Of the bank by leav-
ing the remaining assets unimpaire,l
for the settlement OF their Just claims.
Tho form OF note thus assumed by the
bank with the final redemption guar
aIteed by the government combines the
strongest OF all resources for It's ulti-
mate payment. II = 81
BY the bill the country Will be pro.
lTidea with. an ample legal tender cur
tency. consisting OF adj the notes sub
st!tCted for the present legal tender
notes and of ali the gold and silver coin
in circulation, 10 the maintenance Of
whose parity the faith OF the govern
Ment Is sacredly pledged" y
The report states thar there are sew
eral possible results which may follow
the authority given the banks, TO as
sumo the government debt and issue re-
serve notes. II. Is conceivable and prob
able that a large proportion of the pres
ent legal tender notes will be converted
into reserve notes and Will cease yabso-
flutely to be receemable at the treasury;
except in the restricted cases OF the
failure or liquidation of. the bank
through which they are issued. IT,
however. onlyEaI small portion OF the
legal tender notes are thus absorbed,
the fact that they Rre cancelled when.
redeemed in gold by the treasury will
give them a value which Ewill at once
remove all question of their prompt re-
demptiop and Will give them substar-
TALLY the character. of gold certificates
The fact that note Is TO be cancelled
on redemption and not re-issued VIII
tend Very greatly TO prevent its presen-
tatIon for redemption. 3 4. 4.
The purpose and effect Of the pro-
posed bill, says the report, lis to throw
upon the national banks the. entire bur-
den OF finding gold for the notes OF the
country. There Is no doubt OF their
ability to do this IL It Is regulated by
law. They have the power 10 regulate
interest rates, within the narrow limits
marked out by economic law, In such d
manner as to attract gold to the cur
rency by; restricting their circulation
when necessity arrives. The system
proposed by your. committee provides
an easy and adequate method OF obtain
ing gold for export from the banks.
without exposing the country or the
United States treasury to the alarm
and convulsion which :, have attended
gold exports during the last five years
Kansas Debt-Faylng
There may be inquiry. as to now Kan