The Washington times. [volume] (Washington [D.C.]) 1902-1939, 1904-05-01
BANKS CALLED ON
FOR $I2,OOO,OOO
Treasury WithdraWS Ten
Per Cent of Deposits.
ANOTHER CALL PROBABLE
Would Pay Panama Bills and
Leave Working Balance of Fifty
Million Dollars.

The Secretary of the Treasury has is
sued call directing national bank de-
positories to transfer to the Assistant
Treasurer at New York city on or be-
fore May TO- 1904. an aggregate amount
of s12. 100000.
The call on each bank is for 10 per
cent of the public deposit of such bank
as il stood before the recent 20 per cent
call. thus making a total withdrawal
of 80 per cent of public deposits.
This call. however, exempts all de-
positories whose authorized balance be-
fore the recent call was less than
100000. 1t also exempts few banks
having active accounts where their
authorized balance is not greater than
the convenience of the Treasury De-
partment in transacting public business
requires. With these exceptions the call
applies TO all repositories, permanent
and temporary.
Another Call Probable.
1t is probable an additional call of the
same character will be issued, PAYABLE
about June ]. This would supply the
amount of the draft upon the Treasury
made by the payment for the isthmian
canal right-of-way. and would afford a
working balance Of $50 OO0, 600, actually in
the Treasury and subtreasuries. as at
present.
There Is another difference between
this call and the recent one On that
occasion the money called in was direct
ed TO be transferred to the various New
York banks. This time. however. the
money is to be paid direct to the Assist
ant Secretary of the Treasury at the
New York subtreasury.
This is because the object of the call
is frankly to supply the deficit created
in the Treasury balance by the Panama
Canal payments now made and about TO
be made. BY this means the working
balance of the Treasury can be kept
UP TO the traditional figure of $50. CO., OOO
No Effect on Markets.
No effect on the stock or money mar
kets Is anticipated by this necessary
move Without resorting 10 this method
the balance would have gone below any
figure since the Cleveland Administra-
ton. This situation is somewhat ag-
gravated by the fact that the returns
for April. closed yesterday, show a de-
felt OF 100000
In addition TO the million dollars paid
J. P. Morgan & Co. for the republic
OF Panama. there have been other
heavy expenses, including million for
the postal deficit. and a million for the
St. Louis loan.
on the other hand, customs receipts
fell down greatly this month. as COM
pared with the two or three preced-
ing These receipts are below those
OF last year. the figures for the past
ten months amounting TO $500. 100000 as
against $2sl, 600, 600 for the same period
OF last year.
Internal revenues. though larger this
year than last. showed a decrease for
the month OF April.
Payments to Bank in France.
No further definite information could
be learned yesterday as to the method
and manner Of paying the $40 OOO. 900 due
10 the Bank of France, 10 reimburse IL
for the payment 10 the French Panama
Canal Company. The general suppose
ton Is that the Bank of France has
discharged this obligation in paper. I'M
der an arrangement with Mr.. Morgan.
who is in Paris. For this reason. 1t
IS believed that the draft on this coun-
try for this sum viii direct its pay
ment to Mr.. Morgan's company.
1t Is further supposed that Mr.. Nor
gan VIII transmit this sum in small in
stallments Of gold, so as not to disturb
money conditions IN France. the Bank
OF France and Mr.. Morgan dividing
the profit TO accrue from the trans
action.
AS an earnest Of Mr.. Morgans posi-
ton in the matter is cited his re-
quest on the Government for s.. 200. 600
for shipment abroad, presumably 10
Paris. one-half 10 be in double eagles
the other half in bars
The Treasury is not yet informed as
20 what kind OF money will be requir-
ed. or when II will be asked for. but
stands ready to meet any conditions