Democratic Sentinel, Volume 20, Number 51, Rensselaer, Jasper County, 25 December 1896 — TO AMEND THE BANK ACT. [ARTICLE]

TO AMEND THE BANK ACT.

Comptroller Eckels’ Annnal Report Sutnzests Several Changes. The annual report of James H. Eckels, Comptroller of the Currency, submitted to Congress, contains information in detail in regard to the organization, supervision and liquidation of national banks for the year ended Oct. 31, 1896. The Comptroller suggests the following amendments to the national bank act: That the loans and discounts of banks to their executive officers and employes be restricted in amount and secured by proper collateral. That no loan be made to a director, not an executive officer of the bank, except upon collateral security or a satisfactorily indorsed note. That directors be required to make an examination of their banks once each year. That in places having a population of less than 2,000 inhabitants national banks shall be permitted to be organized with a capital stock of not less than $25,000, and with a corresponding reduction in the amount of bonds required to be deposited. That national banks be permitted to establish branch banks in towns and villages where no national bank is established and where the population does not exceed 1,000 inhabitants. That the semi-annual tax on circulation be reduced to % of 1 per cent. Concluding, he says: “It is respectfully submitted that legislation by Congress, based upon safe and prudent lines, having in view the gradual payment and cancellation of the credit currency now maintained by the Government and the issuance hereafter of all such currency through the banks, with full responsibility therefor placed upon them, should be had at the very earliest practicable moment. The results which would follow

such enactments would be beneficial, and neither would monopoly be created nor favor shown thereby.”