this section, securities herein enumerated in such proportions as he may from time to time determine, and he may with such approval at any time require the deposit of additional securities, or require any association to change the character of the securities already on deposit.

Transfer of title in trust.

Treasurer.

SEC. 4. That the legal title of all bonds, whether coupon or registered, deposited to secure circulating notes issued in accordance with the terms of section three of this Act shall be transferred to the Treasurer of the United States in trust for the association depositing them, under regulations to be prescribed by the Secretary of the Treasury. A receipt shall be given to the association, Receipts from by the Treasurer or any assistant treasurer of the United States, stating that such bond is held in trust for the association on whose behalf the transfer is made, and as security for the redemption and payment of any circulating notes that have been or may be delivered to such associaation. No assignment or transfer of any such bond by the Assignments, Treasurer shall be deemed valid unless countersigned by bondvised Statthe Comptroller of the Currency. The provisions of sec-utes, 5163tions fifty-one hundred and sixty-three, fifty-one hundred 5234, pp. 998, and sixty-four, fifty-one hundred and sixty-five, fifty-one hundred and sixty-six, and fifty-one hundred and sixtyseven and sections fifty-two hundred and twenty-four to fifty-two hundred and thirty-four, inclusive, of the Revised Statutes respecting United States bonds deposited to secure circulating notes shall, except as herein modified, be applicable to all bonds deposited under the terms of section three of this Act.

custody, etc., of

5167, 5224

1010-1012.

Status of additional circu

of notes by

SEC. 5. That the additional circulating notes issued under this Act shall be used, held, and treated in the same lating notes. 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 notes Limit of issue outstanding of any national banking association, includ- banks. ing 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 amount of its unimpaired capital and surplus: And provided further, That there shall not be outstanding at any Maximum of time circulating notes issued under the provisions of this notes. Act to an amount of more than five hundred millions of dollars.

additional

fund.

quirement for

culation. Vol.

Redempt i on 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 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 maaner as the original redemption fund provided for by said section three of the Act of June twentieth, eighteen hundred and seventy-four.

culation to States.

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 L 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 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 entitled to under this method of distribution, the Secre tary 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.

Proviso. Emergency assignments.

Information, etc., as to ac

ties.

SEC. 8. That it shall be the duty of the Secretary of ceptable securi- the Treasury to obtain information with reference to the value and character of the securities authorized to b 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.

Tax on circulation.

Revised Statutes, 5214, p. 1008.

SEC. 9. That section fifty-two hundred and fourteen of the Revised Statutes, as amended, be further amended to read as follows:

"SEC. 5214. National banking associations having on deposit bonds of the United States, bearing interest at the Secured by 2 rate of two per centum per annum, including the bonds

per cent bonds.

issued for the construction of the Panama Canal, under

484.

By bonds of higher interest.

curities.

the provisions of section eight of 'An Act to provide for Vol. 3o, p. the construction of a canal connecting the waters of the Atlantic and Pacific oceans,' approved June twenty-eighth, 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 associations having circulating notes secured otherwise By other sethan 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 outstanding Monthly recirculating notes secured by a deposit of other securities lation on other than United States bonds shall make monthly returns, States bonds. 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 banks' records. The taxes received on circulating notes Use of taxes secured otherwise than by bonds of the United States cured by other shall be paid into the Division of Redemption of the States bonds. Treasury and credited and added to the reserve fund held for the redemption of United States and other notes." SEC. 10. That section nine of the Act approved July 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:

turns of circu

than United

on notes se

than United

Retiring clr

culation.

Vol. 34, p.

1290, amended.

Withdrawal

of notes se

"SEC. 9. That any national banking association desiring to withdraw its circulating notes, secured by deposit cured by U. S. of United States bonds in the manner provided in section Vol.18, p.124.

bonds.

four of the Act approved June twentieth, eighteen hundred and seventy-four, is hereby authorized for that purDeposits of pose to deposit lawful money with the Treasurer of the lawful money. 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 such deposits: Provided, That not more than nine millions of dollars of lawful money shall be so deposited during any calendar month for this purpose.

Proviso. Monthly

limit.

Notes secured by other securities.

Deposits.

Proviso.

Retention of

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 deposited may be withdrawn: Provided, That the deposits under this deposits to re- section to retire notes secured by the deposit of securities Vol. 26, p. other than bonds of the United States shall 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."

deem notes.

289.

notes.

Issue of SEC. 11. That section fifty-one hundred and seventyRevised Stat-two of the Revised Statutes be, and the same is hereby. 1000, amended. amended to read as follows:

utes, 5172, p.

Engraving and printing.

"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 quanDenomina- tity of circulating notes, in blank, of the 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 Character of supply the associations entitled to receive the same. Such notes shall state upon their face that they are secured by United States bonds or other securities, certified by the

tions.

security.

notes to be pre

Amount.

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 Additional under the direction of the Secretary of the Treasury, pared. shall as soon as practicable cause to be prepared circulating notes in blank, registered and countersigned, as provided by law, to an amount equal to fifty per centum of the capital stock of each national banking association; such notes to be deposited in the Treasury or in the sub- Deposit for treasury of the United States nearest the place of busi- ject to order. ness 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 Use of present 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."

delivery sub

Proviso.

form.

not for addi

tion.

in lawful

SEC. 12. That circulating notes of national banking, Redemption associations, when presented to the Treasury for redemp- money, tion, as provided in section three of the Act approved June twentieth, eighteen hundred and seventy-four, shall be redeemed in lawful money of the United States.

Secretary of the

SEC. 13. That all acts and orders of the Comptroller Authority of of the Currency and the Treasurer of the United States Treasury. 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 hundred and ninety-one of the Revised Statutes, with refer- serve not to inence to the reserves of national banking associations, shall posits. Revised Statnot apply to deposits of public moneys by the United utes, 5191, p. States in designated depositaries.

1004.

SEC. 15. That all national banking associations designated 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 deposits of pub

Interest pay: able on special

lic moneys.