The Indianapolis journal. [volume] (Indianapolis [Ind.]) 1867-1904, 1898-01-03

| United States bonds, to be fixed as herein
| after provided. deposited with the treasurer
| of the United States. The additional notes
authorized may be issued without further
| deposit of bonds
Beginning Ave years after the passage
| of the proposed act the amount of bonds
required to be deposited before issuing
/ notes in excess thereof shall be reduced
| each year by One-hfth of the % per cent. or
capital herein provided Tor: an1 thereadt@r
bonds deposited in excess OF the require
ments hereof.
a. Every national bank shall pay tax
of per cent. per annum payable monthly,
! upon the amount of its notes outstanding in
/ excess of 60 per cent. and not in excess or
/ so per cent. of its capital, and tax at the
rate OF per cent. per annum, payable
monthly, upon the amount of its notes out
standing in excess of so per cent. of its
capital.
25 Any bank may deposit any lawful
money with the treasurer of the United
| States for the retirement of any of its notes,
/ and every such deposit shall be treated
/ reduction of its outstanding notes TO that
extent, and the tax above provided for shall
| on an equal amount of its notes.
e. The secretary of the treasury shall an
| nually fix the value of each series of bonds
of the United States bearing a rate of in
i terest exceeding 8 per cent. as equalized
! upon the rate of interest or per cent. per
| annum and such valuation as fixed by the
secretary on this basis shall be the valua-
/ ton al which the bonds will be receivable
| upon deposit. Bonds payable at the option
| 95 per cent. of their then market value as
determined by the secretary of the treas
| ury. If any bonds shall be issued hereafter
| payable at a date named and bearing in
| terest at 3 per cent or less they shall be
| receivable at par.
A GUARANTY FUND.
| q. The controller of the currency shall
| from time to time, as called for, issue to
any bank the capital of which is full paid
and unimpaired any of the notes herein
/ -
the treasurer of the United States. in gold
| coin of per cent. of the amount of notes
thus called for, which payments shall go
into the common guaranty fund, for the
prompt payment of the notes of any de-
faulted national bank Upon the failure of
| any bank to redeem it's notes. they shall be
| paid from the said guaranty fund, and forth
| with proceedings shall be taken to collect
| from the assets of the bank ana from the
| stockholders thereof, if necessary, sum
sufficient to repay to said guaranty fund the
amount thereof that shall have been used
| to redeem said notes; and also such turther
sums as shall be adequate to the redemp-
| ton of all unpaid notes OF said bank out
standing.
2S Persons who, having been stockholders
| of the bank, have transferred their shares
| or any of them, to others, or registered the
| transfer thereof within sixty days before
payment by the bank, shall be liable to all
| calls on the shares held or subscribed Tor
| by them, as If they held such shares at the
! time of suspension of payment, saving their
recourse against those by whom such shares
were then actually held. So long as any OBJ
| legation of the bank shall remain unsatis-
| fled, the liability of each stakeholder shall
extend to, but not exceed in the whole an
amount equal to the par of his stock.
| 49, If the said guaranty fund of 5 per cent.
| of all the notes outstanding shall become
| impaired, by reason of payments made to
| redeem said notes as herein provided. the
| controller of the currency shall make an as
| SpSSmPnt all the hanks in proportion
| to their notes then outstanding Sufhclent
| to make said fund equal to per cent. OF
| said outstanding notes. Any bank may
| deposit any lawful money with the treasurer
| of the United States for the retirement of
| any of its notes; or return its own notes
| for cancellation; whereupon the controller
| shall direct the repayment to such bank
| of whatever sum may be the unimpa1red
| portion of said banks contribution to the
guaranty fund on account of said notes
! Any portion of the guaranty fund may be
| invested in Urited States bonds in the dis
| erection of the secretary of the treasury. The
| taxes on circulation, provided for in Para
| graph "a, as well as the interest accruing
| from investment in any part of the guaranty
| fund, shall be held in the division of issue
| and redemption in gold coin or in United
| States bonds in the discretion of the secre-
! tary of the treasury, and shall be FUND
| supplementary and in addition to the guar
| anty fund, to be used only in case said guar
| anty fund shall ever become insufficient to
redeem any bank notes issued hereunder,
| and it shall not be taken into account in
estimating the amount of assessments nee
| essary to replenish said guaranty fund or in
| repaymentS to banks of their contributions
| to the guaranty fund.
REDEMPTION OF NOTES..
go The present system of national bank
| note redemption should be continued, with
| a constantly maintained redemption fund
| of per cent. in gold coin, and with power
conferred on the controller of the currency,
with the approval of the secretary of the
treasury, to establish additional redemption
agencies at any or all of the subtreasuries
of the United States, as he may determine
| 81. So much of the provisions of existing
| law as require each national bank to re-
| ceive at par, in payment of debts to it,
| the notes of other national banks, and max
| ing such notes receivable at par in payment
of all dues to the United states except duties
| on imports, shall be extended to cover notes
| issued under the proposed plan.
80. National banks shall hold reserves in
| lawful money against their deposits of not
| less than % per cent and 10 per cent. for
] the respective classes as now provided by
| law at least one-fourth of which reserve
| shall be in coin and held in the vaults of
| the bank. Neither the per cent. redemp-
| tion fund nor the per cent. guaranty fund
| shall be counted as part of the reserve re-
quired No bank shall count or report any
| of it's own notes as part or its cash or
| cash assets on hand.
49, Permit the organization of national
| banks with a capital stock of $4,000, in
| places of four thousand population or less.
3d. Provision should be made whereby
| Dranch banks may De eSLaDnSn6d WIN the
| consent of the controller of the currency
and approval of the secretary of the treas
| ury.
| 35 For the purpose of meeting the ex-
| penseS Of the treasury in connection with her
| national bank system a tax of one-eighth
| of per cent per annum upon its franchise,
| as measured by the amount of its capital.
F., surplus and undivided profits, shall be inn
| posed upon each bank.
| &C. So amend existing laws as to provide:
(a) For more frequent and thorough ex-
| aminatiOnS Of banks.
(b) For fixed salaries for bank examiners.
(c) To provide for rotation of examiners.
Id For public reports, regular or special,
at the call of the controller of the currency.
(e) To make it penal for any bank to loan
money. or grant any gratuity, to an ex-
aminer of that bank, and penal for such eX-
| aminer to receive it,
81. Any national banking association here
| tofore organized may at any time within
one year from the passage of the proposed
act, and with the approval of the controller
| of the currency. be granted, as herein pro-
| vided, all the rights. and be subject to all
| the liabilities. of national banking assOcia-
tons organized hereunder; provided, that
such action on the part of such associations
ing of shareholders owning not less than
two-thirds of the capital stock of the asso-
citation.
ONE YEARS TIME GIVEN.
49, Any national banking association now
organized which shall not. within one year