Delaware gazette and state journal. (Wilmington, Del.) 1883-1902, 1898-03-24
CURRENCY REFORM PLAN
Laid Before The Republican Members
of the House Committee Yesterday.
ITS TWELVE PRINCIPAL PROVISIONS
Establishes a Division of Issue
and Redemption.
BASIS OF NATIONAL BANK CIRCULATION


Associated Press Dispatch ov special wlros-
Washington, March 90. This report of
the Republican sub committee of the
House COMMITTEES on banking and cur
reHcy was to-day laid before tho full
Republican membership Of the com
mitteo. This bill reported 10 entitled
"A Bill to provide for Strengthening
the Public Credit for the Relief of the
United States Treasury, and for the
Amendment of the Laws relating to
National banking Associations. The
principal provisions of tine bill are:
IA division of issue and redemption
is established in the Treasury, for
which tho Secretary of the Treasury is
authorized to set aside the general
cash balances in excess of $50, 600, 600.
This excess on March 18th, 1893, was
S176, 139. 532 No note redeemed in gold
ia tn be- again paid out except under
exceptional conditions.
2-National banks are required to as
sume the currency redemption of United
States demand notes, in order to obtain
circulation based upon their commercial
assets. A new class of notes, called
| national reserve notes Ia to be issued in
lieu of legal tender notes deposited by
| the banks With the Treasury. These
reserve notes are not treated in any
respect as bank notes, becauee the
banks arc not liable for their ultimate
re demption.
| 3 The basia OF national bank note
circulation will eventually be the com
mercia assets of the banks. The result
will be reached, however, only after 6
series Of years.
Additional banks are to be permitted
to issue currency notes upon their com.
mercial assets to the amount of the RS
serve notes issued to them in return fol
deposits OF United States.
5--Treasury notes issued under the
act of July 14th, 1890, are to be deal
with eventually upon the same basis at
United States notes.
Ga tax of per cent is levied upor
currency notes issued in excess OF Gl
per cent of the capital of any nationa
bank.
THE national currency notes based
upon commercial assets arc to be Sc
cured by bank note guaranty fund,
made up by the contribution in golt
coin of 5 per cent of the entire circulR
tion of the bank. The notes are also sc
cured by first lien upon the bonds OF
deposit as security and upon all tht
other assets OF the bank.
S-The national reserve notes will con
tinue TO be legal tender until received in
to tho Treasury from failed and liquitlat
ing banks, when liability for them viii
be assumed by the government and the.
will be redeemed and cancelled.
9-Standard silver dollars are to b.
Reasonable in gold, but silver osrtifi
Gates are redeemable only in STANDARD
silver dollars.
l0-Silvor certificates are hereafter I
be issued only in denominations Of 81
50 and S.. Legal tender notes, reserveI
notes and currency are not to be issueI
in denominations below S10
functional banks arc required /
pay q tax of 1-S of l per cent semi
annually upon their capital, surplus AM
undivided profits.
l2-National banks are permitted I
establish branches under regulations t
be prescribed by the Secretary of tn
| TREASURY