The record-union., 1898-01-07
Representative 0verstreet Intro
duces a Bill in the House
Which is Designed to Carry Out the Plan Of
the Monetary Commission.
A Comprehensive Measure En-
bodying in Legislative Form
Every Feature Of the Recon-
mendations Adopted by the
Commission, Of Which Ex-Sena-
tor Edmunds is Chairman.

tor Edmunds is Chairman.
WASHINGTON, Jan. 6.-Representa-
tive Overstreet of Indiana introduced in
the House to-day comprehensive bill
for carrying out the plan of the None
tary Commission for the reform of the
| currency. The bill was referred by
Speaker Reed to the Committee on
Banking, and Chairman Walker has
arranged to give an early hearing to
Senator Edmunds, Chairman of the
commission, and perhaps to other men,
bers.
The bill contains forty-seven sections
and embodies in legislative form every
| feature of the recommendations adopt
ed. In the early portion, relating to
the maintenance of the gold standard
the creation of the Bureau Of Issue and
Redemption and the gradual retire
ment of the legal-tender notes are en-
bodied in the bill in almost the same
| language as in the report. The bank
| ing features are more elaborate, and
carefully define the character of the
guarantee fund for the protection of
notes issued upon assets and the man
! banks. The section dealing with the
guarantee fund is as follows:
Section 2-That every National
| Banking Association shall at all times
keep and have on deposit with the Divi-
sion Of Issue and Redemption, for the
purpose hereinafter specified, a sum in
gold coin equal to ) per cent. of its
outstanding circulation. The amounts
| cto1 n
fund to be known as "the Bank Note
Guarantee Fund" which fund shall be
! held for the following purpose, and for
no other namely:
Whenever the Conptroller of the
Currency shall have become satisfied by
the protest of the waiver, and a decision
specified in Section 2556, or by the re-
port provided for in Section 5227 Of the
| Revised Statutes of the United States,
that any association has refused to pay
its circulating notes on demand in law
full money, ne shall direct the redemp-
ton of such notes from the Bank-Note
Guaranty Fund aforesaid, and such
notes shall thereupon be so redeemed.
After the failure Of any National Bank
ing Association to redeem its notes shall
! have been thus ascertained the bonds
United States shall be sold as provided
/ by law and the proceeds of such sale
shall be paid into the Bank-Note Guar
anty Fund. The Comptroller of the
Currency shall forthwith collect for
the benefit of the fund from the as
sets of the bank, and from stockhold-
ers thereof, according to their ability,
as declared by this Act, such sums as,
I ha hanlr'S h<al in q Ra MI
Note Guaranty Fund, shall equal the
| amount of its circulating notes out
standing. And for this purpose the
United States shall, on behalf of the
Bank Note Guaranty Fund, have par
amount lien upon all the assets of the
association, and such fund shall be
made good out of such assets in pref
erence to any and all other claims what
soever, except the necessary costs and
expenses of administering the same"
The next section of the bill provides
that whenever the Comptroller Of the
Currency shall ascertain what def
cheney, if any, lies between the aggre-
gate collections for the benefit of the
bank note security fund in the case of
any failed bank and the amount of it's
outstanding notes redeemed and to be
redeemed from the said fund, he shall
assess such deficiency upon all the
National banks in proportion to their
notes outstanding at the time of the
failure of such bank
The provision for the assessments of
the tax upon the circulation above the
! authorized limit is as follows:
Section 25-That every National
Banking Association shall pay on or be-
fore the last day of every month to the
Division of Issue and Redemption a
duty imposed at the rate of 2 per cent.
per annum upon the average daily
| amount of its circulating notes out
standing in excess of 30 per cent of it's
J capital stock, and not in excess of so
per centum of such capital stock, and a
duty imposed at the rate of 6 per cen
tum per annum upon the average daily
amount of such notes outstanding in
excess of so per cent. of its capital
stock. Circulating notes of any Ma
tional Banking Association shall be
deemed and held to be outstanding
| whenever they shall have been sup
piled by the Comptroller of the Cur
rency of such association in blank, reg
istered and countersigned according to
! law, and shall have not been returned
to the Controller for cancellation or COW
cred by an equal amount of lawful
money deposited with the Assistant
Treasurer in charge of the Division of
Issue and Redemption for the retire
ment of such notes."