Omaha daily bee. (Omaha [Neb.]) 187?-1922, 1905-12-08

citation. in 1863. to October 81, 1905. 1886 as
sociations were organized, of which LIZA,
with capital at date of issue OF charter OF
SOS S6l, 9aS, were conversions OF state panks,
Ga per cent OF the number being located in
the New England and eastern states. Al
the close OF business on october 81. 1895.
5,S5S associations were in existence, l.669
having been placed in voluntary liquida-
ton and 439 exclusive Of twenty-one re-
stored to solvency) In the charge OF re-
portion of active banks is 1875 per cent
In voluntary liquidation. Il per cent; IN
solvent, SIS per cent.
Growth of Banking in United States.
From returns made to this office on or
were in operation 4535 national banking
associations, with capital of 500, 990554 and
individual deposits of $3.O9S, S75,712. and also
1859 Incorporated state and private banks,
with capital and deposits of $499, 621 20S and
$6OO5.A7,2l4, respectively. The report
tai and deposits estimated at Sl3S54s, 654
and S47S,592 1872, respectively, or an aggre-
ions ions with PiV Capital Of s4o1so 4is and de-
posts OF S95S3.315, The first estimate
made by this office as to the number, etc.
was for the year 1902, From returns on or
about June go 1905. II Is shown that the
number of national banks has increased
during the last three years to 566S, with
capital OF 1871, 567, 23l and deposits of 50 1885,
Sos, 49l The number of state and private
BANKS anu nOu-TtpOIuHB are nOW
1922, with capital Of s14s, 2SS l49 and de,
posits aggregating $500, 662S22. The total
number of national. state and private banks
in the United States and island possessions
Is therefore 1920, with aggregate capital
OF 81, S3O,3S0 and individual deposits of
S11. 1856 321, 3f6. The number of national banks
in active operation has Increased since 1902
by % per cent, and the figures presented
indicate that banks other than national
have increased at the rate of about % per
cent during this period.
In 1909 national bank capital represented
aggregate capital and deposits, respectively,
Of all reporting banking institutions.
There was in existence in 1902 as esti-
and, based on the estimate for the present
year, there is one bank for every 4,1s2 in
habitants.
stock of Money of the World.
Under direction of the director Of the
statement based on the latest information
obtained relating to the monetary systems
! principal counties of the world at the close
| of the year 1904. The summary relates to
forty-seven countries. in all Of which gold
| is the monetary standard, with the excep-
| ton of the Straits Settlement Bolivia, and
| the Central American states.
The aggregate stock of gold silver, and
amounting to $3.50 100000, classified as fol-
lows Gold, $685., 10000 silver. $3.50. 100000;
uncovered paper currency, g ,S92, 500 600 The
| and the silver and uncovered paper cur
rency p and "a per cent. respectively.
ing to the stock of money at the close of
| 1908, 1t appears that the holdings of gold
| have increased to the extent of 1868 900,0 900.
rency have decreased $1 900. 900 and sol
stock Of money being sls6,9Oo;OOO, Tn.
| greatest mass of gold is held in the United
States ate s. and md is stated as amounting >. to
81, 900. France is second in the list
GERMANY S %fS s 81 @ ccoR Sss,d 5oi sS
| United Kingdom, $685., 100000; Austria Hun
gary, s3O5,OOO,0OO; India. 1858 100000; Italy
S131 400, 600; and Australasia $12S, 500 900. The
leading countries with their stock of silver
| are as follows United States, $685., 100, 900
India, se03 100000; France. SAIL 10000; China
$173 000 United Kingdom, S113 100000
Russia, 1O1,9O0,0OO With the exception OF
Colombia. which has Sal, 100000, the United
| States leads the principal countries of the
currency Of $3.50 600, followed by Brazil
with $S6s. lOo; 600 the next in the list being
uncovered paper currency is $3.50, SOC, 900, ant
that Of Italy s15O.7OooOO, The. amount Of
the next In the list being the United King.
dom with Sis, 100000; Belgium, Sill 900, 900
France. 100000. and Japan. SOL 10000.
is held in France, namely. ss7,1S, followed
BY the United States with $31. Al; Germany
s224s; Spain. 1888; United Kingdom, si75s
Italy, 1925: Austria Hungary, 1904, ant
Russia, $500
The countries reported have an aggregat,
per capita holding of money of 1898.
Money I'm the United states.
AT the close of the fiscal year ended Jun,
States amount d to sass, iOe, ss4, Of whiei
the trsasury aS SGn aSHdas I Tnts'
States and national bank notes. The coin
bullion and paper currency in the treasur!
as assets amounted to 1926. 227, 211, the re
mainder, $2,5S7, $50 being in circulation
The estimated population of the ccuntr,
Circulation per- ac CAPITA of s s The he a amouS
of money held by national and other re
porting banks at date Of reports neares
$1,6OO,1 100000 outside of the treasury and tn
reporting banks. Stated in percentages tn
money In the treasury represents 1924 pc
cent OF the stock; in reporting banks, 342
per cent, and elsewhere, 65.49 per cent
The per capita unaccounted for appears t.
be $19.22.
Bank Examination and Supervision
After careful study of the cases whicl
have come under my observation during tn
last four years, am firmly convinced tina
no system of bank examination or super
vision from the outside OF the bank can alb
Solutely prevent fraudulent bank failures
The more thorough and efficient the super
vision the more surely and quickly fraud
will be discovered, and the more fear o
detection Will tend to prevent them, blu
they cannot be surely and in every cas-
prevented by any practical means outsd
of the bank.
l am also equally convinced by the sam
experience that with careful and efficien
work on the part of the examiner, aided b,
intelligent and thorough letters of criticism
based on the examiners reports, any boar,
of bank directors Of fair intelligence witt
an honesty desire to obey the law can, b,
cooperating with the examiner and tn
comptroller. make the failure of their BAN
practically IL not absolutely impossible.
No outside supervision can supply honest,
or brains for the management of a bank o
take the place of either when II is lacking
The best 1t can do is to discover acts O
| dishonesty or bad errors of judgment afte
they have occurred, and to some extern
! prevent illegal acts by fear of their dis
= covery and punishment.