Evening star., 1899-04-10
CURRENCY REFORM
House Caucus Committee to Assemble
Next Monday.
CHAIRMAN BABCOCK'S INQUIRIES
Replies of Bankers to Questions He
Propounded.
NAN BABCOCK'S INQUIRIES
TREATMENT OF GREENBACKS

Next Monday the house caucus commit
tee on currency reform will begin it's ses-
sions at Atlantic City. y. J.. and win prob
ably sit night and day in the preparation
of a practicable scheme OF currency reform.
The bill which they will frame is to be the
bill of the republican party in the next
Congress, and after it's acceptance by the
caucus Will be introduced in the House and
pushed TO early passage.
There has been much speculation as 10
the probable shape the new bill will take,
but owing to the diversity OF ideas ad-
vanced. no one is able at this time to ac-
curately forecast the action Of the caucus
committee. one probable feature OF the
bill seems to be assured, however. pro-
vision for carrying out the Presidents rec
ommendation for the treatment OF tho
grecnbackS.
1t is understood that there is strong OPP
position among the great financial institu-
tions of the country both I'm the eas: and
the west. to amending the banking laws to
permit national banks to issue circulation
upon their commercial assets. tn" weak
and the small banks would be glad to do
so. but the stronger and more important
institutions are fearful Of the authority be-
ing abused and weakening the general
financial condition OF the country.
Chairman Iiabcock's Inquiries.
Chairman Babcock of the republican con-
gresslonal committee. who is also a MEM
ber of the caucus committee. has been de-
voting a great deal Of attention since the
adjournment of Congress to the subject Of
the caucus committees coming deiibera-
tions. He has been in correspondence with
bankers in his state. to ascertain their
views upon the financial propositions which
may come before the committee. Some of
the responses to the inquiries which he had
made up TO that time were published in
The Star a few weeks ago.
Since reaching Washington last week
Chairman BabcoCk has caused a Compila-
tion to be made of the subsequent replies
received from bankers, and has tabulated
the Information in form for convenient ref
erence and ready understanding.
one of the questions of greatest popular
interest propounded was. DO you favor the
Presidents suggestion that a greenback
once redeemed In gold should not be paid
out again except for god?" To this 15
replies were received, 127 of them I'm the
affirmative Twelve were in the negative
and six Were conditional
Disposition of the Greenbscks.
Another question was, What disposition
should be made of the greenbacks? Should
they be retired?" Ninety-five bankers an
swered yes outright, twelve thought the
present system satisfactory and eighteen
We're against retirement. Those VINO dC-
vocated retirement were asked what meth
cd they would suggest for dealing with The
greenback question. Seventeen advised re
placing the greenbacks with national bank
circulation or with other gold or silver legal
tender notes; twenty-five would Issue = or
~ per cent longtime bonds and permit
national banks to issue notes on the same,
Adopt the Presidents plan, suggested
fifteen correspondents. ''and in this way the
matter will gradually adjust Itself and re-
tire the greenbacks, gold being used in cir
culation in its pace Nineteen favored
hon Lot fffafaf
creases or as excess revenue can be used
for retiring. The remainder of the answers
received to this qustiOn were non-commit-
tai or favored the plan of Secretary Gage
or of Controller Dawes.
Another question was Would you favor
a bank note circulation secured upon the
commercial assets of the bank? In other
words, do you think ii safe to permit a
bank to issue any part of its circulation
upon its business assets?" To this question
Ia answered no fatty, while "a were
favorable to such plan If conducted under
strict government supervision.
Would you favor an amendment" quer-
led Chairman Babcock, ITO the present law
requiring national banks to hold their re-
serves, either I'm greenbacks or treasury
notes, with the object of tying up this
amount of government obligations To
this thirty bankers answered affirmatively,
some Of them making the proposed action
conditional upon the retirement of the
greenbacks. Eighty-eight answered mega
lively.
Payment I'm Gold.
DO you favor the payment of all the de-
mand obligations of the government in
gold?' was the next question. To this Ill
bankers answered affirmativey, II an
swered negatively and IL condtionaly.
Other questions and their responses were
as follows:
do you favor the increase of national
bank circulation to the par value of bonds
deposited in the United States trea aslIry?'
One hundred and thirty-seven answered
Yes" and l. negatively.
do you favor the repeal of the tax on
national bank circulation?" Eighty-one on
swered Yes" "a favored reduction of Il,
Il or y OF / Per cent per annum, or to a
sufficient amount to pay expense OF govern
ment connected with circulation; 81 an
swered No"
do you favor the establishment of ma
tional banks with a capital of $25.O00?'
Eighty-fve said Yes" 20 Yes in towns
rot over 10000. or in smaller towns and
MI sail n