The evening times. [volume] (Grand Forks, N.D.) 1906-1914, 1911-02-15
private individuals. Their capital
was supplied by the state. BY 1875
these banks had been closed because

OF mismanagement. From this time
until 1860, when the Imperial bank
was established. various state banks
were organized. Their history pre-
sents the following characteristic
features: "I'he dominant role played
by the state banking system and the
consequent close connection between
the banks and the national credit;
the late beginnings of private bank
ing and the complete absence of pri-
vate banks Of issue the tendency to-
ward q comprehensive regulation Of
private banking by the state"
The Imperial bank is a purely state
institution directly under the control
Of the minister Of finance. "The CEN
trail administration of a council of
the bank. q governor, and two deputy
governors" The capital of $4,000, 900
rubles was supplied by the govern
ment There are d, number of main
and secondary branches.
"The business Of the bank COM
prises the discounting of bills and
other paper maturing at a fixed date,
the granting Of loans and credits,
the taking of deposits, and the recep-
ton of valuables for safe-keeping, the
purchase and sale of bills and other
paper, the issue of drafts drawn in
one locality upon some other place,
and buying and selling on commits
sion. No other state insti-
tuition has hithertosattempted to grant
credit to agriculturists and manufact-
urers so readily and with the exercise
of such leniency In the event of diff
ficulty of payment."
Since November 26, 1897, the bank
has been bound to make specie pay
ments and to redeem its notes on de-
mand. The redemption Of the notes
Is guaranteed by the entire resources
Of the government. The Imperial
bank Is allowed to issue notes as
needed by the money market up to
GOO. 100000 rubles against a gold re-
serve Of fifty per cent. Any issue in
excess of 600, ,000,00 rubles must be
fully covered by gold reserve.
In 1908 the notes in circulation
amounted to 1,155.1 million rubles,
the deposits to 60S.s million rubles,
and the gold reserve to 1,161.5 nil
lion rubles, making good reserve of
sixty1six per cent against demand
liabilities.
Banking accommodation is also
provided in Russia by joint-stock
banks, and mutual credit associations
of which classes of institutions the
first is by far the most important.
| The Bank Of the Netherlands
The bank Of the Netherlands, q
central bank of issue, is a joint-stock
company created BY the royal decree
of March Is, 1872 "The supervision
over the bank has been exercised
since 1863 by royal commissary.'
The management OF the institution il
carried on by five directors elected
by the shareholders. and the pres.
dent and secretar..a -.pp9:nted by tn.
] sovereign. The capital Of the bank 1,
20.000,000 florins. Since 1868 there
4, has been no limit to the amount oi
note issue. ,"The ordinance of 1864
prescribed metallic reserve of forty
per cent against bank notes and all
other demand liabilities. The rest
of the circulation is covered by bills
and collateral on loans" The notes
are redeemable on demand at the
main Office, subsidiary Office, and al
the 102 ION March 81, 1907 branch
Offices. Although the Bank Of the
Netherlands was originally given 8
monopoly Of note issues, this express
monopoly was taken away in 1868
However no other bank has beer
granted the privilege Of note issue
The bank is obliged to act gratui.
tously as the fiscal agent of the gov
ernment and as collecting and dis,
bursting agent for the postal savings
banks. Out Of the net earnings ar
amount equal to three and one-hal
per cent of the original capital frs,
goes to the shareholders. Ten pei
cent Of the remainder is to be assign
ed to the surplus until it reach TWEEN,
<r>-4,.,,.a o~ .o~o ol>