Act of February 14, 1880–Authorizing the conversion of national gold

banks.

Be it enacted, etc., That any national gold bank organized under the provisions of the laws of the United States may, in the manner and subject to the provisions prescribed by section 5154 of the Revised Statutes of the United States, for the conversion of banks incorporated under the laws of any State, cease to be a gold bank, and become such an association as is authorized by section 5133, for carrying on the business of banking, and shall have the same powers and privileges, and shall be subject to the same duties, responsibilities and rules, in all respects, as are by law prescribed for such associations: Provided, That all certificates of organization which shall be issued under this act shall bear the date of the original organization of each bank respectively as a gold bank.

Act of July 12, 1882-To enable national banking associations to extend their corporate existence, and for other purposes.

Be it enacted, etc., That any national banking association organized under the acts of February 25th, 1863, June 3d, 1864, and February 14th, 1880, or under sections 5133, 5134, 5135, 5136 and 5154 of the Revised Statutes of the United States, may, at any time within the two years next previous to the date of the expiration of its corporate existence under present law, and with the approval of the Comptroller of the Currency, to be granted as hereinafter provided, extend its period of succession by amending its articles of association for a term of not more than twenty years from the expiration of the period of succession named in said articles of association, and shall have succession for such extended period, unless sooner dissolved by the act of shareholders owning twothirds of its stock, or unless its franchise becomes forfeited by some violation of law, or unless hereafter modified or repealed.

*

SEC. 6. That the circulating notes of any association so extending the period of its succession which shall have been issued to it prior to such extension hall be redeemed at the Treasury of the United States, as provided in section 3 of the act of June 20th, 1874, entitled "An act fixing the amount of United States notes, providing for redistribution of national bank currency, and for other purposes," and such notes when rcdeemed shall be forwarded to the Comptroller of the Currency, and destroyed, as now provided by law; and at the end of three years from the dat of the extension of the corporate existence of each bank the association so extended shall deposit lawful money with the Treasury of the United States sufficient to redeem the remainder of the circulation which was outstanding at the date of its extension, as provided in sections 5222, 5224, and 5225 of the Revised Statutes; and any gain that may arise from the failure to present such circulating notes for redemption shall inure to the benefit of the United States; and from time to time, as such notes are redeemed or lawful money deposited therefor as provided herein, new circulating notes shall be issued as provided by this act, bearing such devices, to be approved by the Secretary of the Treasury, as shall ma them readily distinguishable from the circulating notes heretofore issued; Provided, however, That each banking association which shall obtain the benefit of this act shall reimburse to the Treasury the cost of preparing the plate or plates for such new circulating notes as shall be issued to it.

*

*

*

*

*

*

SEC. 8. That national banks now organized or hereafter organized, having a capital of $150,000 or less, shall not be required to keep on deposit or deposit with the Treasurer of the United States bonds in excess of one-fourth of their capital stock as security for their circulating notes, but such banks shall keep on deposit or deposit with the Treasurer of the United States the amount of bonds as herein required; and such of those banks having on deposit bonds in excess of that amount are authorized to rcduce their circulation by the deposit of lawful money as provided by law; Provided That the amount of such circulating notes shall not exceed in any case ninety per centum of the par value of the bonds deposited as herein provided: Provided further, That the national banks which shall hereafter make deposits of lawful money for the retirement in full of their circulation shall, at the time of their deposit, be assessed, for the cost of transporting and redeeming their notes then outstanding a sum equal to the average cost of the redemption of national-bank notes during the preceding year, and shall thereupon pav such assessment; and all national banks which have heretofore made or shall hereafter make deposits of lawful money for the reduction of their circulation, shall be assessed, and sha 1 pay an assessment in the manner specified in section 3 of the act approved June 20th, 1874, for the cost of transporting and redeeming their notes redeemed from such deposits subsequently to June 30th. 1881.

SEC. 9. That any national banking association now organized, or hereafter organized. desiring to withdraw its circulating notes, upon a deposit of lawful money with the Treasurer of the United States, as provided in section 4 of the act of June 20th, 1874, entitled "An act fixing the amount of United States notes, providing for a redistribution of national-bank currency, and for other purposes,' or as provided in this act, is authorized to deposit lawful money and withdraw a proportionate amount of the bends held as security for its circulating notes in the order of such deposits; and no national bank which makes any deposit of lawful money in order to withdraw its circulating notes shall be entitled to receive any increase of its circulation for the period of six

months from the time it made such deposit of lawful money for the purpose aforesaid: Provided, That not more than $3,000,000 of lawful money shall be deposited during any calendar month for this purpose: And provided further, That the provisions of this section shall not apply to bonds called for redemption by the Secretary of the Treasury, nor to the withdrawal of circulating notes in consequence thereof. 1

SEC. 10. That upon a deposit of bonds as described by sections 5159 and 5160, except as modified by section 4 of an act entitled "An act fixing the amount of United States notes, providing for a redistribution of the national-bank currency, and for other purposes," approved June 20th, 1874, and as modified by section 8 of this act, the association making the same shall be entitled to receive from the Comptroller of the Currency circulating notes of different denominations, in blank, registered and countersigned as provided by law, equal in amount to ninety per centum of the current market value, not exceeding par, of the United States bonds so transferred and delivered, and a no time shall the total amount of such notes issued to any such association exceed ninety per centum of the amount at such time actually paid in of its capital stock; and the provisions of sections 5171 and 5176 of the Revised Statutes are hereby repealed.

*

*

*

*

*

*

*

*

SEC. 12. That the Secretary of the Treasury is authorized and directed to receive deposits of gold coin with the Treasurer or assistant treasurers of the United States, in sums not less than twenty dollars, and to issue certificates therefor in denominations of not less than twenty dollars each, corresponding with the denominations of United States notes. The coin deposited for or representing the certificates of deposit shall be retained in the Treasury for the payment of the same on demand. Said certificates shall be receivable for customs, taxes, and all public dues, and when so received may be reissued; and such certificates, as also silver certificates, when held by any national banking association, shall be counted as part of its lawful reserve; and no national banking association shall be a member of any clearing-house in which such certificates shall not be receivable in the settlement of the clearing-house balances: Provided, That the Secretary of the Treasury shall suspend the issue of such gold certificates whenever the amount of gold coin and gold bullion in the Treasury reserved for the redemption of United States notes falls below one hundred millions of dollars; and the provisions of section 5207 of the Revised Statutes shall be applicable to the certificates herein authorized and directed to be issued.

Act of March 3, 1887-To provide for additional reserve and central reserve

cities.

Be it enacted, etc., That whenever three-fourths in rumber of the national banks located in any city of the United States having a population of 50,000 people shall make application to the Comptroller of the Currency, in writing, asking that the name of the city in which such banks are located shall be added to the cities named in sections 5191 and 5192 of the Revised Statutes, the Comptroller shall have authority to grant such request, and every bank located in such city shall at all times thereafter have on hand, in lawful money of the United States, an amount equal to at least twentyfive per centum of its deposits, as provided in sections 5191 and 5195 of the Revised Statutes.

SEC. 2. That whenever three-fourths in number of the national banks located in any city of the United States having a population of 200,000 people shall make application to the Comptroller of the Currency, in writing, asking that such city may be a central reserve city, like the city of New York, in which one-half of the lawful money reserve of the national banks located in cther reserve cities may be deposited, as provided in section 5195 of the Revised Statutes, the Comptroller shall have authority, with the approval of the Secretary of the Treasury, to grant such request, and every bank located in such city shall at all times thereafter have on hand, in lawful money of the United States, twenty-five per centum of its deposits, as provided in section 5191 of the Revised Statutes.

SEC. 3. That section 3 of the act of January 14, 1875, entitled an "An act to provide for the resumption of specie payments, be, and the same is hereby, amended by adding after the words "New York" the words and the city of San Francisco, California." Act of July 14, 1890–Directing the purchase of silver bullion, etc.

*

*

*

*

*

"

*

*

*

SEC. 6. That upon the passage of this act the balances standing with the Treasurer of the United States to the respective credits of national banks for deposits made to re deem the circulating notes of such banks, and all deposits thereafter received_for like purpose, shall be covered into the Treasury as a miscellaneous receipt, and the Treasury of the United States shall redeem from the general cash in the Treasury the circulating notes of said banks which may come into his possession subject to redemption; and upon the certificate of the Comptroller of the Currency that such notes have been received by him and that they have been destroyed and that no new notes will be issued in their place, reimbursement of their amount shall be made to the Treasurer, under such regulations as the Secretary of the Treasury may prescribe, from an appropriation hereby created, to be known as "National bank notes: Redemption account," but the provisions

1 See Act July 14, 1890, page 44.

2 See page 30.

of this act shall not apply to the deposits received under section 3 of the act of June 20th, 1874, requiring every National bank to keep in lawful money with the Treasurer of the United States a sum equal to five per centum of its circulation, to be held and used for the redemption of its circulating notes; and the balance remaining of the deposits so covered shall, at the close of each month, be reported on the monthly public debt statement as debt of the United States bearing no interest. See Act of July 12, 1892, and June 20, 1874.

[For remainder of the act see under Coinage.]

APPENDIX.

COINS OF THE UNITED STATES, AUTHORITY FOR COINING, AND CHANGES IN WEIGHT AND FINENESS, TOTAL AMOUnt Coined, Legal Tender QUALITY.