Bismarck daily tribune. [volume] (Bismarck, Dakota [N.D.]) 1881-1916, 1907-11-22
MEMBER OF ASSOCIATED PRESS
GRoNNA,s BANKING BILL

CONGRESSMAN Gronna announces
that at the forthcoming session OF
congress he will reintroduce his
banking bill, which provides for the
leyying of a very small percentage on
the average deposits in all the ma
tional banks in the country to create
a permanent special fund to be held
by the treasurer of the United States
to reimburse depositors in defunct
national banks, to the extent of the
Liabilities after the period of full Ii
quotation There has been some op-
position to this measure on the part
of strong banks on the theory that
it amounted to a protection for the
weaker banks, in case of extraordi-l
nary conditions, at the expense of the
stronger institutions, but it is. be-
1ieved that following the financial
stringency that has prevailed lately,
Congressman Gronna's measure will
appeal wildly to the serious consi-
deration of congress. The further
opposition that such a measure, in its
operations, might result in laxity of
management, amounting possibly to
criminal carelessness, will have little.
weight in the public mind when it
I is considered that such a measure
would in no wise lessen the vigilance
Sof the government in its supervision,
under the existing laws, of all nation
al banks. As a matter of fact this
bill is a simple and effective form
OF insurance on deposits, and is as
legitimate, as defeasible and as COM
mendabIe as insurance against loss
by fire or on human life for the bene.
& fit of the surviving members of the
family. The full text Of Congress
man Gronna's bill is as follows:
A bill providing for the creating of a
fund with the treasurer Of the Unit
ed States for the payment OF de-
posts in national banks that may
uSE6dltSi UbCOiiIt1 llIsSlSCa1k.E III
BE it enacted by the senate and
II house of Representatives of the United
States of America in congress assem-
ibled; That each and every nationa
bank created, organized and existing
under and by virtue of the bankins
laws of the United States shall an
d ~
nually pay to the comptroller of thu
currency tax of onstffth of one per
csntunl of the average annual amour
of its deposits for the purpose Q
creating special fund to be held b.
4 the treasurer of the United States
and to be used and paid out by TIL
comptroller of the currency for tn
purposes and as hereinafter specific
and set forth in this act. Provided
That whenever in his Judgment tn
said fund shah ba sufficient to ansWe
the purpose herein provided for, til
az comptroller of the currency SHALL iT
on reasonable notice to each Of sal
banks, suspend the further payment {
said tax. 5
See q. That Immediately upon th
passage OF this act the comptroller {
the currency Shall notify ali nation;
banks existing and doing business a
2 der the banking. laws of the Unite
states sof this act with notice thi
they shall within thirty days Their
from pay to the comptroller of Il
currency the amount of one-fftieth
one peroentum of their average annu
deposits as determined from the FL
reports made to the comptroller Of I'll
currency for the previous year. TIL
il the officers of any national bar
WilIfuIIy neglect or refuse to comp
with any or all Of the, provisions
this act, such failure or refusal shs
DE deemed a. sufficient cause for u
forfeiture of the charter OF such ban
and it shall be 6tlle duty of the com
trolIer of the currency to cause pl
ceedings To be instituted for such Il
feiture
Sec. 8. That when any nation
bank as mentioned III this act, shi
hereinafter have become insolVent q
after fun Liquidation and settlems
It's depositofs shall not have bean pa
iii full, the amount found To he q
each and every depositor after gu
liquidation and settlement with int
EST thereon at the rate Of three p'
centum from the date such nation
bank was declared insolvent,s shall I