The balance of public moneys in national banks at the close of November, 1914, was $81,705,083.37, but thereafter there was a gradual reduction in the amount until the close of the fiscal year, when the banks held to the credit of the general fund $53,454,547.87, and to the credit of postmasters and judicial officers $6,484,611.32, making a total of $59,939,159.19. District of Columbia. The amount of the funded debt retired during the fiscal year 1915 was $421,150, while $295,000 of 3 per cent United States bonds were purchased and are held for this fund. The total issue of District of Columbia 3.65 per cent bonds is limited by law to $15,000,000, and of this amount $14,997,300 has been issued, while $8,479,300 has been redeemed, leaving the outstanding funded debt $6,518,000. At the close of the fiscal year 1915 the 10 per cent guaranty fund retained from District of Columbia contractors amounted to $231,069.10, and is represented by $30,789.99 cash and $193,440 United States and District of Columbia bonds, which cost $200,279.11. Detailed information in regard to the affairs of the District of Columbia will be found in the reports of the District Commissioners and the Treasurer of the United States, ex officio commissioner of the District of Columbia sinking fund. COMPTROLLER OF THE CURRENCY. At the close of the fiscal year on June 30, 1915, there were 7,614 national banks in operation, having an authorized capital of $1,076,301,175 and a total circulation outstanding of $819,273,593, of which $725,313,141 was secured by United States bonds, $719,561 by other securities, and $93,240,891 by deposits of lawful money in retirement account. Charters for 10,752 national banks have been issued since the organization of the national-banking system in 1863. Of this number, 2,607 banks voluntarily liquidated and 531 failed and were placed in charge of receivers. The Comptroller of the Currency issued 181 national-bank charters during the 12 months ending June 30, 1915, which number included 91 conversions of State banks (an increase of 52 over the previous year), 39 reorganizations of State and private banks, and 51 primary organizations. The capital of the banks chartered during the year aggregated $11,724,500. From December 23, 1913, the date of the passage of the Federal reserve act, to June 30, 1915, 283 banks, having an aggregate capital of $24,039,500, were chartered. Of this number, 175 banks, with a capital of $4,619,500, were chartered under the act of March 14, 1900, and 108 banks, with a capital of $19,420,000, under the act of June 3 1864. For the three years prior to the passage of the Federal reserve act the average number of conversions to the total number of banks chartered was 27.6 per cent, reorganizations 29.2 per cent, and primary organizations 43.2 per cent. Since that date the conversions have been 43.5 per cent, reorganizations 26.5 per cent, and primary organizations 30 per cent. Of the banks chartered during the fiscal year, 109, with an aggregate capital of $2,914,500, were organized under the act of March 14, 1900, and 72, with an aggregate capital of $8,810,000, were organized under the act of June 3, 1864. It may be of interest to note that 128 of the 181 banks have not become banks of issue by the deposit of United States bonds. ness. During the last fiscal year 106 national banks discontinued busiOf these, 12 failed and were placed in charge of receivers and 94 were closed by voluntary liquidation. Two of the failed banks previously had been placed in voluntary liquidation by their shareholders. Of the banks placed in voluntary liquidation, 46, with an aggregate capital of $4,007,000, were absorbed by or reorganized as State banks; 37, with an aggregate capital of $9,570,000, were consolidated with other national banks; 5, with an aggregate capital of $300,000, were reorganized as national banks; and 6, with an aggregate capital of $310,000, discontinued business. Among the banks liquidated are included 3 associations the corporate existence of which expired by limitation. Banks for which receivers were appointed during the year number 16, with capital on the date of closing aggregating $2,200,000, while the liabilities to depositors and other general creditors amounted to $16,027,061.82. Six of the 16 banks placed in charge of receivers paid dividends as follows during the year: One, 70 per cent; two, 65 per cent; one, 40 per cent; two, 10 per cent; while four, with capital aggregating $375,000 and liabilities to depositors and other general creditors amounting to $2,166,531.53, were permitted to resume business, having been restored to solvency by their shareholders. From the date of the passage of the national-bank act, February 25, 1863, to June 3, 1864, the date on which the law was reenacted and amended, there were 456 national banks chartered, and of this number 223 are still in operation. Under the act of 1864 charters were granted to 6,798 associations, under the gold-bank act of 1870 to 10 banks, and under the act of 1900 to 3,488 banks, or a total of 10,752 charters issued to July 1, 1915. The percentage of national banks closed or which are being closed by receivers is 4.9, and the percentage of voluntary liquidations is 24.3. The banks in active operation represent 70.8 per cent of the total number chartered. The act of March 14, 1900, authorized the incorporation of national banks with minimum capital of $25,000 and permitted the issue of circulation to the par value of bonds deposited, not in excess, however, of paid-in capital, and reduced the tax on circulating notes. On that date 3,617 national banks were in operation, and from that date to July 1, 1915, there were 5,488 national banks, with capital aggregating $355,402,800, authorized to begin business, of which number 3,488 banks, with capital aggregating $90,955,000, were chartered under the act of March 14, 1900, with individual capital of less than $50,000. Of this class of banks the average capital is $26,076, the great majority of the banks being incorporated with a minimum capital of $25,000. The remaining banks organized during the period, numbering 2,000, with capital of $264,447,800, were incorporated under the act of 1864. Comparing conditions on March 14, 1900, with those of June 30, 1915, a net increase of 3,997 is shown in the number of active national banks and an increase in authorized capital of $459,993,080. During that period the outstanding circulation increased from $254,402,730 to $819,273,593, or a net increase of $564,870,863. The bond-secured circulation during the fiscal year 1915 decreased $10,215,819,1 or from $735,528,960 to $725,313,141. The amount of circulation secured by the deposit of lawful money increased $78,097,952. The total increase during the year of circulation secured by bonds, miscellaneous securities, and lawful money amounted to $68,601,694. The number and capital of national banks organized since March 14, 1900, by State and geographical divisions, together with the number and paid-in capital stock of the banks on May 1, 1915, appear in the following table: Summary, by States, geographical divisions, and classes, of national banks organized from Mar. 14, 1900, to June 30, 1915, and the paid-in capital stock of all reporting national banks on June 23, 1915. New England No. Capital. No. Capital. No. Capital. No. Capital. No. Capital paid in. 1 This amount does not include $719,561 circulation outstanding on June 30 secured by miscellaneous securities. Summary, by States, geographical divisions, and classes, of national banks organized from Mar. 14, 1900, to June 30, 1915, and the paid-in capital stock of all reporting national banks on June 23, 1915-Continued. Eastern States: No. Capital. No. Capital. No. Capital. No. Capital. No. Capital paid in. 118 $2,950,000 10 $317,500 105 $18,520,000 233 $21,787,500 240,000 44 3,710,000 110 5,400,000 478 807,000 230 24,690,000 489 31,372,000 833 95,000 172,000 13 1,480,000 9 245,000 50 2,452,000 24 100 District of $166,150, 100.00 22, 127,000.00 118, 289, 390.00 1,638, 975.00 16,379,710.00 6,977,000.00 331,562, 175.00 18,628,500.00 10, 297,000.00 9,350,000.00 9,167,000.00 14,706,000.00 7,265,000.00 Alabama.. 36 900,000 12 379,500 40 3,935,000 88 5,214, 500 92 11, 339, 840.00 Mississippi. 9 225,000 4 125,000 27 2,515,000 3,875,000.00 Louisiana.. 13 325,000 1 30,000 22 3,710,000 7,035,000.00 Texas. Arkansas. Kentucky. 248 6,200,000 93 2,998,500 160 20,210,000 53,977, 500.00 5,286,000.00 54 1,350,000] 7 230,000 39 975,000 9 270,000 30 36 5,370,000 97 6,950,000 141 17,675,900.00 4,795,000 14,420,000.00 Grand total.. 3,012 75, 300,000 476 15,655,000 2,000 264, 447, 800 5,488 355,402,800 7, 605 1,068, 519, 105.00 650,000 6 725,000 5 A very large proportion of the United States bonds bearing the circulation privilege are owned by national banks and have already been deposited by them with the Treasurer of the United States as security for their circulating notes. As the amount of such bonds is limited, it is evident that any material increase in the circulating medium based on such collateral is impossible. This handicap has been recognized for many years and as a temporary relief from these conditions the act of May 30, 1908, was passed by Congress and a plan adopted to work out a more elastic currency system. This act, as amended December 23, 1913, and August 4, 1914, provided for the organization of currency associations and that the member banks should be allowed to issue circulation equal to 125 per cent of their combined capital and surplus, provided the surplus was 20 per cent of their capital. The act rendered available, under the direction and control of the Secretary of the Treasury, as a basis for additional circulation any securities, including commercial paper, held by a national banking association. No circulation was issued under authority of this act prior to August 4, 1914. On or before July 1, 1915, provision had been made for the retirement of all of the $382,502,645 of emergency currency with the exception of $200,000 issued to a bank which afterwards became insolvent. The first issue of this currency was made on August 4, 1914, to banks in the city of New York; the largest amount issued in any one week was for that ended August 15-$67,978,770; the maximum amount outstanding at any one time appears to have been $363,632,080, on October 24, 1914; the largest amount retired in any one week was $45,144,798, which was redeemed during the week ended December 12, 1914. Emergency currency was issued to 1,363 banks in 41 States. The only States in which emergency currency was not issued were Maine, Vermont, Rhode Island, Delaware, South Dakota, Montana, Wyoming, Idaho, and Nevada. The State in which the largest amount of emergency currency was approved for issue was New York, which amounted to $156,539,960. The next largest amount was in Massachusetts, $28,674,500. Illinois came next, with $27,825,000. The next largest amount was to Pennsylvania, $24,451,750. The only other States to the banks of which as much as $10,000,000 emergency currency was approved for issue were Texas, $18,136,300; Missouri, $13,173,000; California, $13,110,250; and Minnesota, $12,416,500. Emergency currency authorized for issue by geographical divisions to the banks in operation on October 31, 1914, was as follows: The New England States received $30,277,500, issued to 63 of the 441 |