Status of additional circulating notes. Provisos. Limit of is banks. as herein modified, be applicable to all bonds deposited under the terms of section three of this Act. SEC. 5. That the additional circulating notes issued under this Act shall be used, held, and treated in the same way as circulating notes of national banking associations heretofore issued and secured by a deposit of United States bonds, and shall be subject to all the provisions of law affecting such notes except as herein expressly modified: Provided, That the total amount of circulating sue of notes by notes outstanding of any national banking association, including notes secured by United States bonds as now provided by law, and notes secured otherwise than by deposit of such bonds, shall not at any time exceed the Maximum of amount of its unimpared capital and surplus: And provided further, That there shall not be outstanding at any time circulating notes issued under the provisions of this Act to an amount of more than five hundred millions of dollars. additional notes. R e demption fund. quirement for SEC. 6. That whenever and so long as any national Special re-banking association has outstanding any of the additional additional cir- circulating notes authorized to be issued by the provisions 18, p. 123. of this Act it shall keep on deposit in the Treasury of culation. Vol. culation to States. the United States, in addition to the redemption fund required by section three of the Act of June twentieth, eighteen hundred and seventy-four, an additional sum equal to five per centum of such additional circulation at any time outstanding, such additional five per centum to be treated, held, and used in all respects in the same manner as the original redemption fund provided for by said section three of the Act of June twentieth, eighteen hundred and seventy-four. Proportional SEC. 7. In order that the distribution of notes to be assignment of additional cir-issued under the provisions of this Act shall be made as equitable as practicable between the various sections of the country, the Secretary of the Treasury shall not approve applications from associations in any State in excess of the amount to which such 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 associations in such State bears to the total amount of unimpaired capital and surplus of the national banking associations of the United Proviso. States: Provided, however, That in case the applications from associations in any State shall not be equal to the amount which the associations of such State would be Emergency assignments. entitled to under this method of distribution, the Secretary of the Treasury may, in his discretion, to meet an emergency, assign the amount not thus applied for to any applying association or associations in States in the same section of the country. Information, etc., as to ac ties. SEC. 8. That it shall be the duty of the Secretary of the, Treasury to obtain information with reference to the ceptable securivalue and character of the securities authorized to be accepted under the provisions of this Act, and he shall from time to time furnish information to national banking associations as to such securities as would be acceptable under the provisions of this Act. culation. SEC. 9. That section fifty-two hundred and fourteen of Tax on cirthe Revised Statutes, as amended, be further amended to read as follows: Revised Statutes, sec. 5214, Secured by bonds. 484. By bonds of higher interest. "SEC. 5214. National banking associations having on deposit bonds of the United States, bearing interest at the p. 1008. rate of two per centum per annum, including the bonds 2 per cent issued for the construction of the Panama Canal, under the provisions of section eight of 'An Act to provide for Vol. 32, p. the construction of a canal connecting the waters of the Atlantic and Pacific oceans,' approved June twentyeighth, nineteen hundred and two, to secure its circulating notes, shall pay to the Treasurer of the United States, in the months of January and July, a tax of one-fourth of one per centum each half year upon the average amount of such of its notes in circulation as are based upon the deposit of such bonds; and such associations having on deposit bonds of the United States bearing interest at a rate higher than two per centum per annum shall pay a tax of one-half of one per centum each half year upon the average amount of such of its notes in circulation as are based upon the deposit of such bonds. National banking By other se associations having circulating notes secured otherwise than by bonds of the United States shall pay for the first month a tax at the rate of five per centum per annum upon the average amount of such of their notes in circulation as are based upon the deposit of such securities, and afterwards an additional tax of one per centum per annum for each month until a tax of ten per centum per annum is reached, and thereafter such tax of ten per centum per annum, upon the average amount of such notes. Every national banking association having out- Monthly restanding circulating notes secured by a deposit of other lation on other securities than United States bonds shall make monthly bonds. curities. turns of circu than U. S. returns, under oath of its president or cashier, to the Treasurer of the United States, in such form as the Treasurer may prescribe, of the average monthly amount of its notes so secured in circulation; and it shall be the duty of the Comptroller of the Currency to cause such reports of notes in circulation to be verified by examination of the Use of taxes banks' records. The taxes received on circulating notes cured by other secured otherwise than by bonds of the United States shall be paid into the Division of Redemption of the Treasury and credited and added to the reserve fund held for the redemption of United States and other notes." on notes se than U. S. bonds. Retiring cir culation. 1290, amended. of notes se States bonds. 124. SEC. 10. That section nine of the Act approved July Vol. 34, p. twelfth, eighteen hundred and eighty-two, as amended by the Act approved March fourth, nineteen hundred and seven, be further amended to read as follows: Withdrawal "SEC. 9. That any national banking association desircured by United ing to withdraw its circulating notes, secured by deposit. Vol. 18, p. of United States bonds in the manner provided in section four of the Act approved June twentieth, eighteen hunDeposits of dred and seventy-four, is hereby authorized for that purpose to deposit lawful money with the Treasurer of the United States and, with the consent of the Comptroller of the Currency and the approval of the Secretary of the Treasury, to withdraw a proportionate amount of bonds held as security for its circulating notes in the order of Proviso. such deposits: Provided, That not more than nine milMonthly lions of dollars of lawful money shall be so deposited during any calendar month for this purpose. lawful money. limit. Notes secured by other securities. Deposits. "Any national banking association desiring to withdraw any of its circulating notes, secured by the deposit of securities other than bonds of the United States, may make such withdrawal at any time in like manner and effect by the deposit of lawful money or national bank notes with the Treasurer of the United States, and upon such deposit a proportionate share of the securities so deProviso. posited may be withdrawn: Provided, That the deposits deposits to re- under this section to retire notes secured by the deposit Vol. 26, p. of securities other than bonds of the United States shall Retention of deem notes. 289. not be covered into the Treasury, as required by section six of an Act entitled 'An Act directing the purchase of silver bullion and the issue of Treasury notes thereon, and for other purposes,' approved July fourteenth, eighteen hundred and ninety, but shall be retained in the Treasury for the purpose of redeeming the notes of the bank making such deposit." SEC. 11. That section fifty-one hundred and seventy- Issue of two of the Revised Statutes be, and the same is hereby, Revis Revised Statamended to read as follows: notes. sec. 5172, p. 1000, amended. Engraving and printing. tions. security. "SEC. 5172. In order to furnish suitable notes for circulation, the Comptroller of the Currency shall, under the direction of the Secretary of the Treasury, cause plates and dies to be engraved, in the best manner to guard against counterfeiting and fraudulent alterations, and shall have printed therefrom, and numbered, such quantity of circulating notes, in blank, of the denomina-Denominations of five dollars, ten dollars, twenty dollars, fifty dollars, one hundred dollars, five hundred dollars, one thousand dollars, and ten thousand dollars, as may be required to supply the associations entitled to receive the same. Such notes shall state upon their face that they Character of are secured by United States bonds or other securities, certified by the written or engraved signatures of the Treasurer and Register and by the imprint of the seal of the Treasury. They shall also express upon their face the promise of the association receiving the same to pay on demand, attested by the signature of the president or vice-president and cashier. The Comptroller of the Currency, acting under the direction of the Secretary of the Treasury, shall as soon as practicable cause to be prepared circulating notes in blank, registered and countersigned, pared. as provided by law, to an amount equal to fifty per centum of the capital stock of each national banking association; Deposit for such notes to be deposited in the Treasury or in the sub- to order. treasury of the United States nearest the place of business of each association, and to be held for such association, subject to the order of the Comptroller of the Currency, for their delivery as provided by law: Provided, That the Comptroller of the Currency may issue national ent form. bank notes of the present form until plates can be prepared and circulating notes issued as above provided: Provided, however, That in no event shall bank notes of Present form the present form be issued to any bank as additional cir- tional circulaculation provided for by this Act." Additional notes to be pre Amount. delivery subject Provisos. not for addi tion. ey. Redemption SEC. 12. That circulating notes of national banking in lawful monassociations, when presented to the Treasury for redemp- vol. 18, p. tion, as provided in section three of the Act approved 123. June twentieth, eighteen hundred and seventy-four, shall be redeemed in lawful money of the United States. Secretary of Authority of SEC. 13. That all acts and orders of the Comptroller of the Treasury. the Currency and the Treasurer of the United States authorized by this Act shall have the approval of the Secretary of the Treasury who shall have power, also, to make any such rules and regulations and exercise such control over the organization and management of national currency associations as may be necessary to carry out the purposes of this Act. Designated depositaries re clude public de SEC. 14. That the provisions of section fifty-one hunserve not to in- dred and ninety-one of the Revised Statutes, with reference to the reserves of national banking associations, shall sec. not apply to deposits of public moneys by the United States in designated depositaries. posits. Revised Stat utes, 5191, p. 1004. Interest pay able on special lic moneys. SEC. 15. That all national banking associations desigdeposits of pub-nated as regular depositaries of public money shall pay upon all special and additional deposits made by the Secretary of the Treasury in such depositaries, and all such associations designated as temporary depositaries of public money shall pay upon all sums of public money deposited in such associations interest at such rate as the Secretary of the Treasury may prescribe, not less, however, than one per centum per annum upon the average monthly amount of such deposits: Provided, however, Safe-keeping That nothing contained in this Act shall be construed to change or modify the obligation of any association or any of its officers for the safe-keeping of public money: Uniform in- Provided further, That the rate of interest charged upon such deposits shall be equal and uniform throughout the United States. Provisos. not modified. terest. Appropria tion. Monetary Com ed. SEC. 16. That a sum sufficient to carry out the purposes of the preceding sections of this Act is hereby appropriated out of any money in the Treasury not otherwise appropriated. National SEC. 17. That a Commission is hereby created, to be mission creat-called the "National Monetary Commission," to be comAppointment. posed of nine members of the Senate, to be appointed by the Presiding Officer thereof, and nine members of the House of Representatives, to be appointed by the Speaker thereof; and any vacancy on the Commission shall be filled in the same manner as the original appointment. Inquiry as to changes in SEC. 18. That it shall be the duty of this Commission monetary sys- to inquire into and report to Congress at the earliest date practicable, what changes are necessary or desirable in tem, etc. |