The Kimball graphic. (Kimball, Brule County, Dakota [S.D.]) 1883-1905, 1898-12-10

Washington, Dec. 1.-THE annual re
port of Charles G. Dawes. comptroller
OF the currency, for the year ended Oc-
tober, 81, 1898, has been ent 70 con
gress.
With respect to the condition of the
national banks during the year, us
shown by the five reports required
from the banks, the comptroller says
Notwithstanding that the umb of
banks IN operation on September 80, 1888.
December. 10. 1890, the amount Of individ,
ual deposits. loans and discounts snd total
Is greater than at any time
during the ex!stenee OF the national bank.
time. the aggregate resources reached n
exceeded the 1900 100000 mark, the In
crease since October 5. 1887. being S29s, 377.-
with those of October 5. 1897. indicates an
increase during the year of $104, 1852, 1871 in
loans and discounts, $79, 1s4. $50 in govern
urer Of the United States to secure cir
culating notes and public deposits and the
amount held by the banks ST.. 3o4, S27. "a In
Of IS :4es, 600 in the mount Of Tinted States
certificates OF deposits for legal tenders
results in q net increase Of lawful money
S pos II; $50 s%s ;sg,;ss; 81 2s .ssst sss, 5ss lss7' a sns a on
September 26, 1898. $2,0si, 45i, $40. %, the IN
crease being $I7S.105, All. 79. The balance
s d@s ether z, b .a5 e. e.. apd % ankers shogs an
deposits Of $780, s.ols.27
The comptroller states that he does
not review in their details the plans
for the modification Of the currency
and banking systems which are now
the subject Of economic and general
discussion throughout the country,
but confines his discussion to the gen
eral principles, underlying all of them,
because they seem to ignore the inter
ests of bank. depositors, with whose
protection the comptroller is pc
culiarly charged.
1t is the belief of the comptroller
that the proposed preference Of the
note holder W the depositor, which
is a fundamental basis IT all these
plans, is not only Inherently wrong
and unjustifed by any grounds of pub.
lie policy, but that its practical effect
upon the present relation of deposit.
ors to banks in the smaller communi.
ties of the United States would be Sc
revolutionary as to bring about the
most injurious conditions in the gen
eral business OF the country.
The comptroller then fully discusses
the claim that there is an. adherent
moral right, irrespective of public pol
icy, to prefer u note holder over a de-
posit holder in the distribution Of the
assets of an insolvent bank and denies
that such right exists.
The comptroller then presents a
series of tables which indicate upon
what class of depositors the real bur
den OF this preference would fall.
These tables give approximately the
loss Under which The proposed plans
would result to depositors from the
preference of note holders over deposit
holders in case of insolvency, based
upon the showing made by the 1875 in
solvent banks whose affairs have been
finally closed during the existence of
the system.
The tables give these results bear
ing upon the interests of depositors
in banks according to geographical Sec
tons and according TO the following
c~lassitications of capital: Fifty thou
sand dollars, $l00, 900, 100000, $780,
600, $500, 900 and banks with a capital
exceeding 100000.
These tables, which are elaborate
and lengthy, show noteworthy results.
For instance, they show that
The depositors Of forty-four insolvent
ss.lS2.oo, nominal assets 81. 1853. 21a and with
or I1.61 per cent, situated ID the middle
states Of Ohio, Indiana. Illinois, Michigan.
Wisconsin. Minnesota, Iowa and Missouri,
holders with 100 per cent. issue, Sp.fe per
cent. more than under the present system,
or 5s,44 per cent. Of their dividends: with
more. or 44.s5 per cent Of their dividends,
and with q GO per cent. issue, 1882 per
dends.
The comptroller discusses at length
the necessity for the establishment of
international and intercolonial branch
banking. He shows the disadvantages
as compared with foreign trade, under
Which American export and import
trade o labors as n result of infe-
rior banking facilities and shows that
these same disadvantages are q seri-
Gus hindrance to the adjustment of
II trade relation. to the lew advan-
tages afforded by territorial expan-
sion. He says:
1.-THE foundation for the greater
growth of trade between the United
States and her colonies must be speed
lily and firmly laid in proper banking
laws, which will result in enabling
her merchants to do business with the
people of the colonies without the dis
advantages existing ut present.
Our present national banking laws
do not authorize the establishment of
American international or American
intercolonial banks, nor could any raa-
tional bank establish a branch i'll a
territory or colony such as Puerto
Rico or Hawaii, even if our present
laws unchanged were extended over it.
$4,000 Indiana Fire.
Frankton, Ind. Dec. 6.-The CONNER
cial block, containing six business houses
and the opera house. burned Yesterday.
The loss.is 500. 900. Newton Wallace was
killed and Dan Bradley fatally hurt.