Evening star. [volume] (Washington, D.C.) 1854-1972, 1903-12-07
THE NATIONAL BANKS
Annual Report Of Controller
of the Currency.
CAPITAL AND SURPLUS
GRADUAL INCREASE SHOWN DUR
ING THE YEAR.
Need for More Elasticity In the Circu-
lating System-Stability Of
Institutions Shown.


controller of the currency, has been pre-
pared for transmission to Congress. The
report starts with a table giving detailed
statement of the resources and liabilities
of all the national banks of the United
States as shown by the five reports of con-
dition made in response to the call of the
controller.
Comparing this statement with that for
September To- 1902, it is observed that there
has been an increase in number of report
ing associa tons of AL and a net increase
of 196J01 O53.S7 in aggregate resources.
The increases of the principal items of re-
sources are follows: Loans and dis
counts. s20l ,319. 291: United States bonds.
$50, 1o9. 800 specie, 81 ,320, 04132; legal ten
ders. $14,992, 241.
During this period the loanable funds
were augmented as follows: Capital stock
to the extent of SIS, 1924: surplus and
other profits, $50, 7G0, 9S4. %; government de-
posts. s25, 671 1871
Notwithstanding the increase in loanable
funds and the volume of loans and dis
counts. there was net decrease from Sep
TENDER Is, 1902, to September 8, 1903. in in
dividual deposits of s52,940, 394.s6 This item
reached the maximum during the year. and
also during the existence of the national
banking system, on June 8, 1903, namely,
So 300. 500. 100 %. From this high-wa ter mark
there decline on September to
50, 1856. 1873. 49907, or s44650.O1o.15.
Capital and Surplus.
The capital stock and surplus funds of
the associations gradually increased from
STA 616353 and $3.50. 1853, 7303 S, respectively,
on November % 1902. to 1913, 100 ,65S and
s37o, 800. GS426, respectively on September
8. 1903.
The deposits of the United States with the
national banks have shown but slight varia-
tfons during the year, the amount to the
credit of the government on November %,
1902, being S13S. 464 S03.47. and al the close
of the year $1io All. 1929 Bills payable
and rediscounts We're at their minimum on
February g. 1903 and that time amounted
to $22,921 ,S31. 10. and We're at their maxi
mum, S41, o56,312.06, on September 8, 1868.
United States bonds on deposit to secure
crcula ton incres sed from $341 32S, $50 on
November %. 1902 to $3i3 1890 on April
o. 1903; to $685., 81 $40 on June 8, and to
s3S1 .56s $50 on September .. United States
bonds on deposit to secure public deposits
increased during the year from Sl3l.3I6 IGo
on November %. 1862, to $136 94o020 on
United States securities. deposited to secure
public deposits, amounted on November 25.
1902, to $40, 705, 749S4, and steadily decreased
to SIG. ia, 055 on June g. 1903. On Septem-
Der o. 1903, however, securities of this char
acter were deposit to the amount of
So 900 134. 60.
Specie Holdings.
The specie holdings with the banks varied
from a minimum of $3sS 616,31T.S5 on June
o. 1903, TO a maximum of si17,572, 1867 on
February G of that year. The amount of
gold In the banks on the date last men
toned was $780, 2SS. 729; gold treasury
tificates, s11S, 765 $50; gold treasury GER
tificates, payable to order, $42, 215, 900, and
gold clearing house certificates, So, 435, 600;
total gold and gold certificates, 1898, 703, ITO.
OF the holdings of silver, s11, 160.02l was in
dollars $5S, 161, 29S in certificates. AMI
S9547UaS in fractional coin; total silver,
SIS, sGS, 1857. On September .. 1903. the specie
held amounted to 1897 .55S. 16S, classified as
follows: Gold coin. S1o5, 569. S94; gold treas
ury certificates, s119,367, 220; gold treasury
certificates, payable to order. $27, 1904 600:
gold clearing house certificates, $63 ,301 600;
total gold and gold certificates, 1915. 424. ia;
silver certificates SCI. r91, 76S silver dollars.
$40, 1856, 143, and fractional silver coin, So
00i 143; total silver, So, 49,, 054.
The Controllers Recommendations.
The controller again renews the recon-
mendations contained in his report for 1902
for legislation in regard to liquida-
ton and consolidation of national
banks and extension of corporate existence.
The matter of consolidation of banks was
apparently very little considered at the
time of the passage of the national bank
act The necessary method OF effecting a
consolidation under the law as 1t now exists
Is inconvenient and cumbersome both to the
banks and to the controllers Office. and In
the interest of better and more efficient ad-
ministration the controller recommends
such an amendment of the law as was adj
vised in his last report.
Increased Circulation.
The most notable fact in regard to the
national bank circulation Is the great In
crease in its volume, which reached S42i.-
222. $50 September 5. 1908, the largest
amount which has ever been in circulation.
1t is b5.43 per cent of the maximum possi-
BILE circulation. which Is higher than this
percentage has been since 1885. This in
crease in the volume of circulation has been
largely due to special efforts on the part
of the Treasury Department. 1t has been
when the demand came for currency to
move the crops this year 1t might produce
more than the usual disturbance In the