The Washington times., 1914-01-14
j. 5. BANK WILL Be
GREATEST IN WORLD
New Currency System Will Be
Backed by Resources of
Twenty Billions.
By JUDSoN C. wELLIvER.

BY JUDSOR u WELLlSkk.
That the greatest banking institution
n the world has been created by the
Oasage of the new banking currency
aw, and that substantially the entire
banking power of the United states will
pe brought together in his gigantic CO.
operation and coordination Of financial
resources, is now assured.
The authorities Of the Treasury have
passed from the attitude Of hope and
confidence, to that of certainty. The
new banking system. viewed az a great
unity-and every effort o. the Admins
Uration will be directed to make the
world so regard twill have within two
or three years total paid-up capital of
about 100000.
Resources of Twenty Billion.
1t will represent consolidated and CO.
operating barking resources Of about
twenty billions OF doIlzrs.
Its paid-up capital viii be greater
than the combined capital and surplus
Of the Bank Of England, che Bank of
France, the Imperial Bank of Germany,
and the Bank Of Russia
It will represent gold stock of about
one billion four hundred millions, which
8 about 50 per cent OF the combined
sold holdings of the Bank of England,
the Bank of France. the Imperial
Bank Of Germany, and the Bank of
Russia .-
A..
ful banking establishment the world has
ever known, and, backed by the wealth
Of the most wealthy -Iation, will bring
10 this country the financial premier
ship Of the world
The immensely of the new institution
almost passes the capacity Of the mind
20 conceive. The figures are so huge
that the effort at their analysis is well
nigh impossible of understanding.
Worlds Gold Holdings.
Take, for instance, the figures on the
gold holdings Of the great banks of
tAe world. From the latest available
reports, these, as made up for The
Times by a high official of the Treas
Try. are in round figures as follows:
Gold stock in the United States
Treasury, a,2s7, 10000
Additional gold in banks affiliated with
the new system, estimated, 500, 900, 900.
Total, 8, ,ls7, 100000.
Gold stock to the Bank of France,
So, 10000.
sod stock to the Bank of England,
Gold stock to the Bank Of Russia,
S755, 900.
Gold stock of the Imperial German
Bank, $2s4, 900 900
Total gold stocks Of the four greatest
European banks, s, ,S51, 10000
The nations are constantly engaged in
a struggle to make their financial sys-
TENS firm by accommodating the greatest
possible stocks In gold, and by adopt
ing such financial systems as will en-
able them most certainly to retain that
gold, and also 70 utilize il most effec-
lively in the conduct OF their busi-
ness and the maintenance OF their in
tsrnational financial status.
Biggest Gold Stock Here.
The United States long has possessed
the greatest gold stock, but the QUO
least readily available for effective utiI-
Ization. Under the new system that
great gold store, piled in the vaults
the strong boxes of our banks, will
have the breath of life breathed into it;
VIII be made available as never before
icr the maintenanc Of tn national fiscal
position and its constant strengthening.
But this does not suggest all the pos
real, final analysis it is In effect the
new Bank of the United States. \
The new banking system will have a
cap tai representing s per cent OF the
combined capital and surplus OF all the
national and State banks and loan and
trust companies that affiliate them
selves with 1t. The applications for
membership thus far have been such as
TO insure that practically all these
banks will come into the system. True
some Of the State laws are such that
their State banks and trust companies ,
cannot become owners Of stock IN the
new establishment until the State laws
are modified. But these notifications
Will be made as fast as the legislatures
meet 1t is now confidently calculated |
that practically the entire list Of na- ,
Gonal and State institutions which are
permitted TO join the new system will |
90 90. |
Enormous Resources.
When they have all Joined, what will
be the capital and the resources of the |
new national reserve system?
Here are the latest and best figures +
on the capital, surplus and resources OF
the three classes OF banks that may
join the new system:
Cap. and Surp. Resources.
National...... H,7S1, ,O00, 200 Sl0,S76 OOO, 900
State..... 67S, 10000 4,0O0 900 900
Trust comps. s97, 900 200 100000 900
Totals. 3,S57, 10000 1856 6o0O. 900