CONGRESS. (THE FINANCIAL MEASURE.) 



161 





per cent, per annum, payable quarterly, such bonds 

 to be payable at the pleasure of the United States 

 after one year from the date of their issue, and to 

 be payable, principal and interest, in gold coin of 

 the present standard value, and to be exempt 

 from the payment of all taxes or duties of the 

 United States, as well as from taxation in any 

 form by or under State, municipal, or local au- 

 thority; and the gold coin received from the sale 

 of said bonds shall first be covered into the general 

 fund of the Treasury and then exchanged, in the 

 manner hereinbefore provided, for an equal amount 

 of the notes redeemed and held for exchange, and 

 the Secretary of the Treasury may, in his discre- 

 tion, use said notes in exchange for gold, or to 

 purchase or redeem any bonds of the United 

 States, or for any other lawful purpose the public 

 interests may require, except that they shall not 

 be used to meet deficiencies in the current rev- 

 enues. That United States notes when redeemed 

 in accordance with the provisions of this section 

 shall be reissued, but shall be held in the reserve 

 fund until exchanged for gold, as herein provided ; 

 and the gold coin and bullion in the reserve fund, 

 together with the redeemed notes held for use as 

 provided in this section, shall at no time exceed 

 the maximum sum of $150,000,000. 



" SEC. 3. That nothing contained in this act 

 shall be construed to affect the legal-tender qual- 

 ity as now provided by law of the silver dollar, or 

 of any other money coined or issued by the United 

 States. 



" SEC. 4. That there be established in the 

 Treasury Department, as a part of the office of 

 the Treasurer of the United States, divisions to 

 be designated and known as the division of issue 

 and the division of redemption, to which shall be 

 assigned, respectively, under such regulations as 

 the Secretary of the Treasury may approve, all 

 records and accounts relating to the issue and re- 

 demption of United States notes, gold certificates, 

 silver certificates, and currency certificates. There 

 shall be transferred from the accounts of the gen- 

 eral fund of the Treasury of the United States, 

 and taken up on the books of said divisions, re- 

 spectively, accounts relating to the reserve fund 

 for the redemption of United States notes and 

 Treasury notes, the gold coin held against out- 

 standing gold certificates, the United States notes 

 held against outstanding currency certificates, 

 and the silver dollars held against outstanding 

 silver certificates, and each of the funds repre- 

 sented by these accounts shall be used for the re- 

 demption of the notes and certificates for which 

 they are respectively pledged, and shall be used 

 for no other purpose, the same being held as trust 

 funds. 



" SEC. 5. That it shall be the duty of the Secre- 

 tary of the Treasury, as fast as standard silver 

 dollars are coined under the provisions of the acts 

 of July 14, 1890, and June 13, 1898, from bullion 

 purchased under the act of July 14, 1890, to retire 

 and cancel an equal amount of Treasury notes 

 whenever received into the Treasury, either by ex- 

 change in accordance with the provisions of this 

 act or in the ordinary course of business, and upon 

 the cancellation of Treasury notes silver certifi- 

 cates shall be issued against the silver dollars so 

 coined. 



" SEC. 6. That the Secretary of the Treasury is 

 hereby authorized and directed to receive deposits 

 of gold coin with the Treasurer or any Assistant 

 Treasurer of the United States in sums of not less 

 than $20, and to issue gold certificates therefor in 

 denominations of not less than $20, and the coin 

 so deposited shall be retained in the Treasury and 

 held for the payment of such certificates on de- 

 VOL. XL. 11 A 



mand, and used for no other purpose. Such cer- 

 tificates shall be receivable for customs, taxes, 

 and all public dues, and when so received may be 

 reissued, and when held by any national banking 

 association may be counted as a part of its lawful 

 reserve: Provided, That whenever and so long as 

 the gold coin held in the reserve fund in the 

 Treasury for the redemption of United States 

 notes and Treasury notes shall fall and remain 

 below $100,000,000 the authority to issue certifi- 

 cates as herein provided shall be suspended: 

 And provided further, That whenever and so long 

 as the aggregate amount of United States notes 

 and silver certificates in the general fund of the 

 Treasury shall exceed $60,000,000 the Secretary 

 of the Treasury may, in his discretion, suspend 

 the issue of the certificates herein provided for: 

 And provided further, That of the amount of such 

 outstanding certificates one fourth at least shall 

 be in denominations of $50 or less: And provided 

 further, That the Secretary of the Treasury may, 

 in his discretion, issue such certificates in denomi- 

 nations of $10,000, payable to order. And sec- 

 tion 5193 of the Revised Statutes of the United 

 States is hereby repealed. 



" SEC. 7. That hereafter silver certificates shall 

 be issued only of denominations of $10 and under, 

 except that not exceeding in the aggregate 10 

 per cent, of the total volume of said certificates, 

 in the discretion of the Secretary of the Treasury, 

 may be issued in denominations of $20, $50, and 

 $100; and silver certificates of higher denomina- 

 tion than $10, except as herein provided, shall, 

 whenever received at the Treasury or redeemed, be 

 retired and canceled, and certificates of denomi- 

 nations of $10 or less shall be substituted therefor, 

 and after such substitution, in whole or in part, 

 a like volume of United States notes of less de- 

 nomination than $10 shall from time to time be 

 retired and canceled, and notes of denominations 

 of $10 and upward shall be reissued in substitu- 

 tion therefor, with like qualities and restrictions 

 as those retired and canceled. 



" SEC. 8. That the Secretary of the Treasury is 

 hereby authorized to use, at his discretion, any 

 silver bullion in the Treasury of the United States 

 purchased under the act of July 14, 1890, for coin- 

 age into such denominations of subsidiary silver 

 coin as may be necessary to meet the public re- 

 quirements for such coin: Provided, That the 

 amount of subsidiary silver coin outstanding 

 shall not at any time exceed in the aggregate 

 $100,000,000. Whenever any silver bullion pur- 

 chased under the act of July 14, 1890, shall be 

 used in the coinage of subsidiary silver coin, an 

 amount of Treasury notes issued under said act 

 equal to the cost of the bullion contained in such 

 coin shall be canceled and not reissued. 



" SEC. 9. That the Secretary of the Treasury is 

 hereby authorized and directed to cause all worn 

 and uncurrent subsidiary silver coin of the United 

 States now in the Treasury, and hereafter re- 

 ceived, to be recoined, and to reimburse the Treas- 

 urer of the United States for the difference be- 

 tween the nominal or face value of such coin and 

 the amount the same will produce in new coin 

 from any moneys in the Treasury not otherwise 

 appropriated. 



"SEC. 10. That section 5138 of the Revised 

 Statutes is hereby amended so as to read as fol- 

 lows: 



" ' SEC. 5138. No association shall be organized 

 with a less capital than $100,000, except that 

 banks with a capital of not less than $50,000 

 may, with the approval of the Secretary of the 

 Treasury, be organized in any place the popula- 

 tion of which does not exceed 6,000 inhabitants, 



