The Brandon news. (Brandon, Miss.) 1892-1961, 1908-02-06
$5OO,OO0,OOO
MAY BE ISSUED
IN CIRCULATING NOTES TO RE-
LIEvE UNCLE SAM.
DEMOCRATS FOR SUBSTITUTE
Provisions of Long Expected Meas
ure and Amendments That Have
Been asserted. New Mexico Gives
Up.

Washington.-Th Aldrich financial
bill, which has been in the hands of
the committee on finance since its in
PRODUCTION in the senate on January
Z, was reported by Senator Allrich.
The various amendments which have
been published FROM time to time
appear in the bill, although in gen.
eral character the bill remains the
same as when introduced. There has
been an effort on the part of the
committee to emphasize the emergen-
cy of the act that is proposed and to
this end, various amendments are in
serted In the bill which are intended
to cause speedy issuance Of addition
al currency when stringency occurs.
The following amendments are in
serted In the first section Of the bill
In lieu of the provision which gave
the comptroller of the currency power
to fix the time and amount Of issues
when application is made accoding to
his judgment and at his convenience.
1.-The comptroller of the currency
shall transmit Immediately the appli-
cation with his recommendation, to
the secretary Of the treasury, who
shah, if in his judgment business con-
ditions in the locality demand ad-
ditional circulation, approve the same
and shall determine the time of issue
and tiX~the amount within the limita-
lions hereinafter imposed, of the ad-
dltlonal circulation notes to be issued.
In order that the distribution of the
notes to be issued under the provis-
ions of this act, shall be made equita-
bic as practicable between the various
sections of the country, the secretary
of the treasury shall not approve APP
plications from associations in any
state In excess Of the amount to which
such a state would be entitled of the
additional notes herein authorized on
the basis of the proportion which the
unimpaired capital and surplus Of the
national banking association in that
state bears to the total amount of
impaired capital and surplus of the
national banking associations of the
United States, provided, however, that
IN case the applications from associa-
tons in any state shall not be equal
to the amount which the association
of such state would be entitled to I'M
der this method of distribution, the
secretary Of the treasury, may, in his
discretion, to meet an emergency as
sign the amount not thus applied for
to any applying association or associa-
tons In states in the same section of
the country"
The cause Of the original bill fixing
seventy-fve per cent of the market
value Of all municipal and railway
bonds as to the limit Of the issue of
notes against them has been amended
so that railroad bonds alone are to
be taken at seventy-fve per cent of
their market value Notes may be
issued against deposits of municipal
and county bonds up to 80 per cent of
their market value. The limit of cir
culating notes that may be issued un-
der the act has been raised from
$250,000,0000 to $50O,000,00O.
BOND SECTION BROADENED.
The section Of the bill relating to
the acceptance of interest bearing OBJ
legations, or any legally authorized
bonds of states, cities, towns and
counties as deposits for the security
of additional bank currency issued
against them has been broadened con-
siderably by amendment. The words
'or other legally constituted munich
pality or district which have been
added, are taken to mean that bonds
issued by school districts and town
ships will be acceptable providing
they conform to the requirements
specified. The population Of these mu-
inequalities is fixed by the reported
bill at 10000 instead of 10000 as orig
inally proposed.
There is an amendment making it
the duty of the secretary of the treas
ury to obtain information with refer
ence to the value and character Of the
municipal and railroad bonds to be
accepted under the provisions Of the
act, and to furnish information to ma
tional banking associations as to such
bonds as would be acceptable as Sc
curity. To the end that information
concerning railroad bonds may be
gathered with some degree of accura-
cy the clause of the bill relating to
the acceptance of railroad bonds as
security for note issue is amended SO
as to include only the bonds of roads
Misuse of Money.