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ANNUAL REPORT OF THE SECEETARY OF THE TREASURY ON THE STATE OF THE FINANCES FOR THE YEA.II 1879, WASniISrGTON: GOVERNMENT PRINTING OFFICEo 1879« It/ TABLE OF CONTENTS. Page. in I . — R E P O R T OF THE SECRETARY OF THE TREASURY Tables accompanying the report ." 3 I I . — R E P O R T S OF TREASURY OFFICERS : Auditor, First Auditor, Second Auditor, Third . . . . . . ^ . Auditor, Fourth Auditor, Fifth Auditor, Sixth Coast Survey, Superintendent of Commissioner of Customs Commissioner of Indian Affairs Commissioner of Internal Revenue Comptroller, First Comptroller, Second..•. Comj)troller of the Currency Director of the Mint : Register of the Treasury Treasurer ..„ -... '. .-. •- - 3^S 270 279 285 303 311 315 547 263 537 47 247 259 101 177 385 331 REIPORT. ^. . TREASURY DEPARTMENT, Washington^ B . 0., December 1^ 1879. S I R : I have the honor to submit the following annual report: The ordinary revenues,.from all sources, for the fiscal year ended June 30, 1879, were—^ From customs....*...™ $137,250,047 70 From internal revenue 113,561, GIO ^8. From sales of public lands ^ 924, 781 06 From tax on circulation and deposits of national banks 6, 747, 500 32 From repayment of interest by Pacific Eailway companies . . . . ..„:.....2, 707, 201 03 From customs' fees, fines, penalties, &c 1,100,871 (jQ From fees—consular, letters-patent, and l a n d s . . . . . • 2,136, 051 79 From proceeds of sales of Government property..,, 181,128 81 From premium on sales of coin 8,104 38 From premium on loans 1, 496, 943 25 From profits on coinage, &c 2,924,938 07 From revenues of the District of Columbia 1, 741,461 16 From miscellaneous sources 3, 046,544 05 . Total ordinary receipts 273,827,184 46 The ordinary expenditures for the same period were—" For civU expenses ..,....,. $16,430,997 17 For foreign intercourse 1,333,830 13 For Indians , 5,206,109 08 For pensions,iQcluding$5,373,000 arrears of pensions. 35,121, 482 39 For the mUitary estabUshment, including river and harbor improvements and arsenals .., 40,425, 660 73 IV R E P O R T O F T H E SECRETARY O F T H E TREASURY. For the naval establishment, including vessels, machinery, and improvements at navy-yards $15,125,126 84 For miscellaneous expenditures, including public buildings, light-houses, and collecting the revenue.. 38, 870,205 78 For exi)enditures on account of the District of Columbia 3,597,516 41 For interest on the public debt 105,327, 949 00 For payment of Halifax award ... 5,500,000 00 Total ordinary expenditures,.....". T. ^ ,. 266,947,883 53 » $6,879,300 93 To the redemption of United States notes, & c . . . u.. To the redemption of fractional currency To the redemption of six per cent, bonds for the sinking-fund. : . . . . . . : . . . . . : . . . " . . . . . . . . ; . . . . , . . . . . : . . To increase of cash" balance^in the T r e i a s u r y . . . . . . . . $31, 617 50 705,158 66 Leaving a surj)lus revenue of Which was applied as follows: ° 18,500 00 6,124,024 77 6,879, 300 93 The amount due -the sinMng-fund for the year was $36j955,604 63, leaving a deficiency on this account of $30,070,303 70. Compared with the previous fiscal year, the receipts for 1879 have increased $16,711,159 70, in the following items: In customs revenue, $7,079,307 50; in internal revenue, $2,970,985 84; in premium on loans, $1,490,943 25-, in repayment of interest by Pacific EaUroacl companies, $1,340,246'67; in profits on coinage, $1,234,176 34; a n d i n miscellaneous itemsj $2,580,440 10. Therewasadecrease of $647,853 94, as follows: In sales of public lands, $154,962 3 1 ; in premium on sales of coin, $308,097 92; in semi-annual tax on banks, $115,552 G4;^and in proceeds of sales of Government property, $08,341 07; making a net increase in the receipts from all sources for the year of $10,003,305 70. The expenditures show an increase over the previous year ot $32,223,731 20, as foUows: In the W a r Department, $8,271,512 88-, in the Interior Department, $8,-501,292 11, (Indians, $570,828 80, and pensions,$7,984,403 31;) intheiriterestonthepublicdebt, $2,827,074 35; aud in the civil and miscellaneous, $12,503,851 92. There was a decrease of $2,240,174 53 in the Navy Department; making a uet increase i n t h e expenditures of $29,983,550 73. REPORT OF THE SECRETARY OF THE TREASURY. V FISCAL YEAR 1880. For the present fiscal year the revenue, actual and estimated, will be as foUows: • .^ Receipts. For the qaarter For the remainended Septem- ing three-quarher 30, 1879. ters of theyear. Actual. Estimated. From cnstoms $44,083,497 93 From internal revenue 29,409,691 81 117,383 61 From sales of public lands From tax on circulation and deposits of national banks 3,360,569 60 From repayment of interest by Pacific Railway comi)anies 252,427 46 239,579 26 From customs' fees, fines, penalties, &c '., 506,864 29 From fees—consular, letters-patent, and lands 55,965 33 From proceeds of sales of Government property.. 469,486 09 From profits on coinage, &c 1 238,864 06 From revenues of the District of Columbia 1,109,334 17 From miscellaneous sources -... $107,916,502 07 86,590,308 19 882,616 39 79,843,663 61 208,156,336 39 Total receipts 3,389,430 40 1,247,572 860,420 1,693,135 144,034 2,030,513 1,461,135 1,940,-665 54 74 71 67 91 94 83 The exi)enditures for the same period, actual and estimated, will be Expenditures. For the quarter For the remainended Septem- ing three-quarters of theyear. ber 30, 1879. Actual. For civil and miscellaneous expenses, including public buildings, light-houses, and collecting . the revenue' .. . . . . . . . . . $12,165,764 34 2,048,748 02 For Indians .. For pensions—regular. . . . . . . . . . . . . . . . . . . . . . . . . . . 10,892,742 06 16;374,249 60 For arrears of nensions ' . . For inilitary establishment, includiug fortifications, river and harbor iraprovements, and ar12,104,897 38 senals .= For naval establishment, including vessels and 4,196,569 59 machinery aud improvements at navy-yards For expenditures on. account of the i)istrict of 1,163,728 65 • Columbia . .. . For interest on the public debt . . . . . . ^ . . . . . . . . . . . 32,736,685 46 Total ordinary expenditures Total receipts, actual and estimated Total expenditures, actual and estimated 91,683,385 10 $39,537,769 3,451,251 20,480,257 3,252,750 66 98 94 40 31,017,692 62 11,303,430 41 2,132,737 35 61,140,724 54 172,316, 614 90 e... $288,000,000 CO 204,000,000 00 Leaving a balance o f . . . . . ' . . . . o . . . . . . . . . . . . . Estimated. 24,000,000 00 VI REPORT OF T H E SECRETARY OF T H E TREASURY. After applying the balance of the speciaFdeposit of United States notes held^in the Treasury for the redemption of fractional currency, araounting to $8,375,934, to the payment of arrears of pensions, as directed in section 3 of the act approved June 21,1879, the increased revenue derived during the months of July, August, and September of the present iiscal year, was fully absorbed by current expenses, and the payment of $10,374,249 00 arrears of pensions accruing under the, act aiiproved January 25,1879. Notwithstanding these unusual demands the Department has been able to purchase and apply to the sinking-fund, out of the surplus revenues for the month of October, $10,050,000 six per centum bonds of 1881, and $070,050 five per centum bonds, act of March 3,1804, the latter of which is the excess of redemptions of these bonds over issues of tour per cents, under the refunding acts; and unless unexpected appropriations, available for expenditure within this year, are made by Congress, the surplus revenues, in addition to paying oif the balance of arrears of pensions, will probably enable the Department to apply to the sinking-fund account, during the year, the sum of $24,000,000. FISCAL YEAR 1881. :' The revenues of the fiscal year ending June 30,1881, estimated upon ' existing laws, will be— From customs $152, 000, 000 00 From internal revenue 110, OCO, .000 00 From sales of public lands 1, 000, 000 00 From tax on circulation and deposits of national banks . . : . 6, 750, OCO 00 From repayment of interest by Pacific Eailway companies ,.. 1, 500, 000 00 From customs' fees, fines, penalties, &c „ 1,100, OCO 00 From fees—consular, letters-patent, and lands 2,200, OCO 00 From proceeds of sales of Government property . . . . 200, COO 00 From profits on coinage, &c 2, 500, 000 CO From misceUaneous sources 4, 750, 000 CO Total ordinary receipts o 288, 000, CCO CO The estimates of expenditures for the same period, received from the several Executive Departments, are as foUows: Legislative „ „.. $2, 954, 920 08 Executive .' 13, 500, 093 91 judicial , 399^ 300 00 REPORT OF. THE. SECRETARY OF THE TREASURY. Foreign intercourse ,.' MUitary establishment Naval establishment. Indianaffairs '....., Pensions Public works: Treasury Department War Department Navy Department Interior Department Department of Agriculture .,..". Postal service Miscellaneous. Permanent annual appropriations: Interest on the public debt Sinking-fund Eefunding—customs, internal revenue, lands, &e ...,....._. Collecting revenue from customs . . , . . ..... Miscellaneous ....'. VR $1,185,135 29,319, 794 14,509,147 4,992,845 32,404,000 00 78 95 80 00 3,121,150 7,557,034 375,000 508, 635 0, 050 7, 711,900 17,801, 520 00 42 00 32 00 00 75 88, 877,410 00 39,828,225 72 ' ' 5,778,000 00 5,500, 000 CO 1, 700, OCO 00 Total estimated expenditures, including sinking-fund . . = . . . . 278,097,304 39 Or, an estimated surplus of ....".... $9, 902, 035 01 Excluding the sinking fund, the estimated expenditures will be $238,209,138 07, showing a surplus of $49,730,801 33. ^ The estiinates of revenue for the next fiscal year are based upon the assumption that the increased receipts during the past few, months are abnormal, and mainly due to the filling up of wants created by recent depression rather than by the actual increase of trade.. These wants being supplied, the revenues for hext year probably will not be increased beyond tho amount estimated. The estimated expenditures for the same period are based upon the requirements of existing law and the necessary appropriations for public works in course of construction. The estimated surplus of $9,902,035 61 will probably be exhausted by additional appropriations. . , Should Congress increase the appropriations beyond this limit, or repeal or reduce existing taxes, other sources of revenue must be provided. Should this course be determined upon, which, however, the Secretary does not recommend, he' would suggest, as a means of vm REPORT OF THE SECRETARY OF THE TREASURYO meeting the deficiency,.the restoration of a moderate duty on tea and coffee, and the levying.of an internal, tax. upon manufactures of opium, as hereinafter morefuUy.statedo . . SINKINa-FUKDo The Secretary calls the attention of Congress, in this connection, to the acts of February 25,1802, and July 14, 1870, requiring the purchase or payment of one per centum of the entire debt of the United States within each fiscal year after the first day of July, 1862, to be set apart as a sinking-fund, and the interest in like" manner to be applied to the purchase or payment of the public debt, as the Secretary of the Treasury may, from.time to time,,directo. These acts are regarded as imposing upon the Secretary the duty of providing for the sinking-fund out of the surplus revenues of the Government. I t has been impossible to comply with these requirements during the past few years owing to the loss of revenue consequent upon the general depression of business throughout the country; but, as the, prospects for increased revenues enlarge with the renewed activity in all branches of industry, it seeras proper at this time to urge the importance of meeting the obligations crea;ted by these acts. I t is estimated that $39,828,225 72 will be required for this purpose during the next year. Appreciating the necessity for united action in this direction^ this Department will heartily co-operate with Congress in the most rigid econoray in the public expenditures under its charge, and to that end the Secretary invites careful consideration of the estimates of expenditures submitted by the several Executive Departments. Any appropriations beyond those actually de° manded by the necessities of the Government will only impair the ability of the Secretary to carry these laws into effect. With a view to proraote economy the Secretary ventures to suggests for the consideration of the respective Houses, a permanent organization of an appropriation conimittee for each House, who shall have leave to sit during the recess, with power to send for persons and papers, and to examine all expenditures of the Government; that rules be adopted by the respective Houses limiting appropriation bills to iteras of appropriation and excluding legislative provisions; that all appropriations, except for the interest of the public debt, be limited to a period not exceeding two years, and that their expenditure be strictly confined to the period of time for which they are appropriated; and that all permanent and indefinite appropriations, made more than four years ago, except that for the public debt, be repealed. REPORT OF THE SECRETARY OF THE TREASURY, IX R E S U M P T I O N O F SPECIE PAYMENTS. At the date of my last annual report, Deceraber 2,1878, the preparation for the resuraption of specie payraents, provided for by the act approved January 14, 1875, had been substantially corapleted. On the first day of January, 1879, the day fixed for the resumption of specie payments, the reserve of coin, over and above all matured liabilities, was $133,508,804 50. Previous to that time, in view of resumption. United States notes and coin were freely received and paid in private business as equivalents. Actual resumption comraenced at the time fixed by law, without any jmaterial demand for coin and without disturbance to public or private business. No distinction has been made since that time between coin and United States notes in the collection of duties or in the payment of the principal or interest of the public debt. The great body of coin indebtedness has been paid in United States notes at the, request of creditors. The total araount of United States notes presented for rederaption, from January 1 to November 1, 1879, was $11,250,078. But little coin has been deraanded on the coin liabilities of the Governraent during the same period though the amount accruing exceeded six hundred million dollars. Meantime coin was freely paid into the Treasury and gold bullion was deposited in the assay office and paid for in United States notes. The aggregate gold and sUver coin and bullion in the Treasury increased, during that period, from $107j558,734 19 to $225,133,558 72, and^the net balance available for resumption increased from $133,508,804 50 to $152,737,155 48. In accordance with the position taken in the last annual report j United States notes have been received, since January 1, last, in pay^ment of duties on imports. . To meet the local demand for coin,in places other than New York City, persons applying have been paid silver coin for United States notes, the coin being delivered to them on established express-lines free of expense; and for sorae time gold affd silver coin has been freely paid out at tho several sub-treasuries upon current obligations of the Government. There has been, however, but little demand for coin, and United States notes and the circulating-notes of national banks have, been received and paid out at par with coin in all business transactions, public or private, in all parts of the country. The specie standard, thus happily secured, has given an impetus to all kinds of business. Many industries, greatly depressed since'the panic of 1873, have revived, while increased activity has been shown in all branches of production, trade, and commerce. Every preparation X REPORT OF THE SECRETARY OF THE TREASURY, for resumption was accompanied with increased business and confidence, and its consuraraation has been, followed by a revival of productive industry unexarapled in our previous history. , It is raade the duty of this Department to maintain resumption, and for this purpose, in. addition to the use of surplus revenue and the fund for resumption purposes, the Secretary is authorized to issue, sell, ZLixd dispose of, at not less than par in coin, either four, four and a half, or five per cent, bonds ofthe description set out in the refunding act, approved July 14,1870. ,This act is based upon the idea that all the necessary exiienditures of the Government appropriated for by Congress will be met by the current revenues, leaving the surplus revenues and the reserve-fund available for resumption. It is also provided by that act thatthe amount of United States notes^to be redeemable on demand in coin shall be graduaUy reduced to the sura of $300,000,000. The act approved May 31,1878, increases the maximum of United States notes, upon which resumption is to be ma;intained, to the sura of ,$340,081,010, the amount outstanding at the date of the passage of the act. It also provides as follows: ^^ And when any of said uotes may be redeemed or be received into the Treasury under any law from any source whatever and shall belong to the United States, they shall not be retired cancelled or destroyed but they shall be reissued and paid out again and kept in circulation." This act must be construed in connection with the provision of the Constitution, that, ^^no money shall be drawn from the Treasury but in consequence of appropriations made by law." The reserve-fund created by the resuniption act could not, without further legislation, be applied to the payment of current appropriations. Nor is it to be presumed that Congress will omit to provide ample revenues to raeet such appropriations. Therefore, under existing law, the notes received into the Treasury in exchange for coin will always be available for the purchase of or exchange for coin or bullion. Any United States notes in the Treasury may be exchanged for coin under the authority of sec tion 3700, Eevised Statutes. When notes cannot be used at par for that purpose they must necessarily reraain in the Treasury. To avoid all uncertainty, it is respectfully recomraended that by law the resumption-fund be specifically defined and set apart for the redemption of United States notes, and that the notes redeemed shall only be issued in exchange for or purchase of coin or bullion. The great convenience and. easy transportation of notes has thus far enabled the Treasury to exchange thera for coin or bullion at allthe centres of production of gold and siiver in this country, and also to pay REPORT OF THE SECRETARY PF THE TREASURY. XI for large suras of foreign coin at the assay office in New York without any raaterial draft on the resumption-fund; and it is believed that this voluntary exchange will, in ordinary times, furnish the Treasury with all the coin necessary. I t would be only in an emergency not easy to foresee, and not likely to arise, that the power to sell bonds for resumption purposes would be exercised, but it should be preserved to meet any extraordinary deraand for the redemption of notes which might possibly occur. * The Secretary is, therefore, of opinion t h a t the provisions of existing law are ample to enable the Department to maintain resumption even upon the present volume of United States notes. In view, however, of the large inflow of gold into the country and the high price of public securities, it would seem to be a favorable time to invest a portion of the sinking-fund in United States notes, to be retired and cancelled, and in this way gradually to reduce the maximum of such notes; to the sum of $300,000,000, the amount fixed by the resumption act. . The Secretary respectfully calls t h e ' attention of Congress to the question whether United States notes ought still to be a legal-tender in the payment of debts. The power of Congress to make them such was asserted by Congress during the war, and "was upheld by the Supreme Court. The power to reissue them in tirae of peace, after they are ' once redeemed, is still contested in that court. . Prior to 1802, only gold and silver'were a legal-tender. Bullion was deposited by private individuals in the mints and cqined in convenient forms and designs, indicating weight and fineness. Paper money is a i3romise to pay such coin. No Constitutional objection is raised against the issue ot notes not bearing interest to be used as a part of the circulating, medium. The chief objection to the emission of paper money by the Government grows out of the legal-tender clause, for without this the United States note would be measured by its convenience in use, its safety, and its. prompt redemption. In war, and during a grave public exigency, other considerations may properly prevail; but it would seem that during peace, and, especially, during times of prosperity and surplus revenue, the promissory note of the United States ought to stand like any other promissory note. I t should be current money only by being promiitly redeemed in coin on demand. The note of the United States is now received for all public dues, it is carefully limited in araount, it is promptly redeemed on demand, and ample reserves in coin are provided to give confidence in and security for such redemption. With these conditions maintained the United States note will be readily received and paid on Xli REPORT OF THE SECRETARY OF THE TREASURY; all demands. While they are maintained, the legal-tender clause gives no additional credit or sanction to the notes, but tends to impair confidence and to create fears of over-issue. I t would seera, therefore, that xiow and during the maintenance of resumption it is a useless and objectionable assertion of power, which Congress might now repeal on the ground of expediency alone. l¥hen it is considered that its constitutionality is seriously contested, and that from its nature it is subject to grave abuse, it would now appear to be wise to withdraw the exercise of such a power, leavingit in reserve to be again resorted to in such a period of war or grave emergency as existed in 1802. The Government derives an advantage in circulating its notes without interest, and the people prefer such notes to coin, as money, for their convenience in use and their certain redemption in coin on deniand. This mutual advantage may be secured without the exercise of questionable I)ower; nor need any inconvenience arise from the repeal of the legaltender clause as to future contracts. Contracting parties may stipulate, for either gold or silver coin or current money. In the absence of an express stipulation for coin the reasonable presumption would exist that the parties contemplated payment in current money, and such presumption might properly be declared by law and the contract enforced accordingly. The Secretary, therefore, respectfully submits to Congress whether the legal-tender clause should not now be repealed as to all future contracts, and parties be left to s^tipulate the mode of payment. United States notes should still be receivable for all dues to the Government, they should be promptly redeeraed on demand, and ample provision made to secure such redemption. COINS AND COINAGE. ^ The operations of the mints and assay offices during the year, and their condition at the present time, are exhibited in the report of the Director of the Mint, The report also contains recommendations for increasing the effectiveness of that branch of the service and furnishes information relative to the amount of specie in the country, and the production of the mines ofthe United States, and statistics, brought up to recent dates, ofthe currency of the principal countries of the world, ofthe rates of production of the precious metals, and of their consumption in coinage, and in the arts and manufactures. X' REPORT OF THE SECRETARY OF THE TREASURY! XllI, The value of the gold coinage executed during theyear was $40, 980, 912 00 Of standard sUver dollars. 27,227,500 CO Of subsidiary silver coin 382 50 Of minor coin.., 97, 798 CO Total 08,312,592 56 Gold and silver were separated in the refineries of the raints and the assay office at New York in the amount of $20,759,549 97 in gold, and $10,087,520 97 in silver, a total of $31,447,070 94, and fine and unparted bars were made in the amount of $12,970,812 08 of gold, and $9,045,802 11 of silver. \ The mints and assay offices generally are in excellent condition, and their capacity is sufficient to meet the demand for coinage and bars. The gold coinage since 1802, about which time it disappeared from circulation, bas been principaUy in double-eagles, but during the last year over nine per cent, of the gold coins struck were in pieces of smaller denomination. The coinage of eagles and half-eagles will be continued until the demand for small gold coin is supplied. The coinage of standard silver dollars has been kept fully up to the . requiremeuts of law,-notwithstanding the difficulty experienced in procuring silver bullion for the mints at San Francisco and Carson, at market rates. The amount of silver coin of less than a dollar provided for by law having been executed, the coinage of this money has been suspended. The demand for minor coins, particularly for. the one-cent piece, has been pressing. The bullion production from the inines of the United States for the last year is estimated by the Director to be nearly eighty million dollars, the proportions of gold and silver being about equal. The year's total production is less than that of the preceding year, caused by a diminution iu the yield of the mines of Nevada, Avhich was not compensated by increased production in other places. The Director estimates the coin in^the country on October 31,1879, at $305,750,497 of goid, and $121,450,355 ofsilver. The bullion in the mints and New York assay office at that date awaiting coinage amounted to $49,931,035 of gold, and $4,553,182 of sUver, making the total amount of coin and bullion $481,091,009. , The estimating ofthe specie in the'country at any given time is always difficult; b u t this estimate appears to haye been carefully prepared from coinage reports and statistics of recoinage, export, aud import. ^ • • xiv: REPORT OF THE SECRETARY OF THE TREASURY.: The amount of gold and silver annually used in the arts and man ' ufactures forms no.inconsiderable.factor in estimating the production of the mines or the. specie avaUable for circulation, and an attempt has been raade to arrive at the araouuts so used from the records of the New York assay office, which furnishes, the principalpart ofthe metals consumed for these purposes, and from reports of the manufacturers. The general result, while'incomplete in details, indicates that the total consumption for purposes other than coinage is in excess of estimates heretofore made. » In the last annual report, the Secretary stated: ^^ It would seem to be the best policy for the present to limit the iaggregate issue of our silver dollars, based on the ratio of sixteen to one, to such sums as can clearly be maintained at par with gold, until the price of silver in the market shall assume a definite ratio to gold, when that ratio should be adopted and our coins made to conform to it; and the Secretary respectfully recommends that he be authorized to discontinue the coinage of the silver dollar when the amount outstanding shall exceed fifty million dollars." He again respectfully calls the attention of Congress to the importance of further liraiting the coinage of the silver dollar. The raarket value of the bulhon in this coin has been during the past year frora ten to ' sixteen per cent, less than the market value of the bullion in the gold dollar. The total amountof silverdollars coined to November 1, 1879, under the act of February 28,1878, was $45,200,200, of which $13,002,842 was in circulation, and the remainder, $32,203,358, in the Treasury at that time. No effort has been spared to put this coin iu circulation. Owing to its limited coinage it has been kept at par; but its free coinage would soon reduce its current value to its bullion value, and thus establish a single silver standard. The inevitable result would be to exclude gold coin frora circulation. It is impossible to ascertain what amount of silver coin, based upon the ratio of sixteen of silver to one of gold, can be maintained at par with gold,'but it is manifest that this can only be done by the Government holding in its vaults the great body ofthe silver coin. It, would seem that nothing would be gained by ah unlimited coinage unless it is desirable to measure all values by the silver standard. The Secretary -cannot too strongly urge the importance of adjusting the coinage ratio of the two metals by treaties with, commercial nations, and, until this can be done, of limiting the coinage of the silver dollar to such a sum as, in the opinion of Congress, would enable the Department to readily maintain the standard dollars of gold and silver at par with each other. REPORT OF THE SECRETARY OF THE TREASURY, '• '• •^ REFUNDING-. '•".'• '' ' .XV . On the 23d of November, 1878, to which date the refunding transactions Avere brought in the last annual report, there had been issued of four per cent, consols for refunding purposes $144,770,900, and there remained at that time bonds redeemable as follows: Authorizing act. March.3, 1805 : J u n e 14, 1858.March 3, 18G4, (10-40's) , Total , Rate of interest. 6 per cent.. 5 per cent.. 5 per cent.- Amount. |371,424,800 260,000 194,566,300 566,251,100 In that report the attention of Congress was called to the threemonths' pubhc notice required by law to be given to holders of bonds called for redemption, with the recommendation that the law be so modified that the notice be, at the discretion of the Secretary, not less thau ten days nor more than three months. As no action was taken upon this recommendation, on January 1, 1879, the four per cent, loan was offered to the public without changing the period of the notice-; and, ih view of the practical effect of resumption, the Secretary offered to receive United States notes in payment for the bonds sold. : . The bonds were rapidly sold in this country, and the resulting redeinptions of five-twenties, many of which were held in Europe, rendered desirable the sale of the bonds in London sufficient to prevent the shipment of gold from this country. To attain this object a'contract was made on the 21st day of January, 1879, with certain banks and bankers, under which they agreed to subscribe at once for $10,000,000 of four per cent, bonds, with option of taking $15,000,000 more by monthly subscriptions of $5,000,000 during AprU; Mayj and June. On the part of the Government the bonds were to be delivered free of charge in London, at which place an agency was to be maintained during the continuance o f t h e contract. Undei* this contract $15,000,000 of bonds were taken. ' In the meantime, under authority of the act of January 25,1879^ the Secretary offered tp exchange four per cent, bonds for uncalled fivetwenties. The amount of five-twenties so exchanged was $800,000. On March 4, notice was given that when the remaining five-twenties should be covered by subscriptions, the sale of four per cents for refunding the ten-forty bonds would probably be made upon less favorable 4:erms to the purchaser. Owing partly to fears that the heavy pay- xvi REPORT OF THE SECRETARY OF THE TREASURY, ments falling due in April and May would create a disturbance in the money raarket, there was a falling off in the sales of bonds during the month of March. Measures were succesfully taken by the Department to secure the adjustment of the accounts of purchasers of the bonds without embarrassraent to the business interests of the country. On the morning of April 4, the araount of outstanding five-twenties . not covered by subscriptions to the four per cents, was $59,505,700. Before the close of business on that day subscriptions were received sufficient to refund the remaining five-twenties, and in accordance with previous notice the offer of January 1 was rescinded. Additional subscriptions were received and rejected, araounting to $00,919,800. The refunding ofthe five-twenties having been accomplished—and no other six- per cent, bonds being redeeraable—on April 10, $150,000,000 of the four per cent, bonds were off'ered at a preraiura of one-half of ' one per cent., the proceeds to be applied to the rederaption of the five ' per cent, bonds issued under the act of March 3, 1804, known as ten-forties, reserving the residue, $44,500,300, necessary for the rederaption of the entire loan, for the conversion of refunding certificates offered at the same time. The four per cent, bonds were also offered in exchange for any outstanding uncalled ten-forty bonds. On the following day subscriptions amounting to $149,389,050 were received and accepted, and $34,755,000 received and declined, and the offers bf the four per cent, bonds were withdrawn. One subscription for $40,000,000 of the certificates was also received and declined, the evident purpose of the law authorizing the issue of these certificates being to cause, as far as practicable, a distribution of the public debt araong the people. Exchanges were also raade in the amount of $2,089,500. On April 21, a call was made for the remainder of the ten-forty bonds, and on the 23d, a call was made for $200,000, loan of 1858, thus completing the rederaption of all .outstanding redeeraable bonds bearing interest at ^YQ per cent. On March 12,1879, independent-treasury officers were authorized to exchange the ten-dollar certificates, authorized by the act of February^^ 20,1879, at par for lawful money, and the Treasurer of the United, States was authorized to issue them upon the certificate of any national bank designated for the purpose. To facilitate and distribute the sale ° of these certificates, national banks and public officers were invited to become depositaries for this purpose, as authorized and provided by [ sections 3039 and 5153, Eevised Statutes of. the United States. Each certificate was prepared in the denomination of $10, and bore REPORT OF THE SECRETARY OF THE TREASURY. XVll interest at the rate of four per cent, per annura from April 1, 1879, at which time the quarterly interest began on the four per cent, bonds, into which the certificates were convertible in sums of $50, or its multiples. Any person subscribing could, at his option, have the certificates registered in his name on the books of the Department. Imraediately upon the advance by the Departraent of the price of the four per cent, bonds to one-half of one per cent, above par, the demand for these certificates greatly.increased. Offers for them at a premium corresponding to the premium- on the bonds into which they were convertible were received, but the act under which they were issued not only authorized but directed them to be issued in exchange for lawful raoney, thus apparently preventing the sale of thera at a preraiura, and the offers were therefore declined. To bring thera within the reach of small investors, on and after April 18, their sale was restricted to independent-treasury officers and public officers bonded for that purpose, and to sums not exceeding $100 at oue tirae. Evasions of the intent of the law and instructions, howeyer, with a view of immediate conversion ofthe certificates into bonds, soon became evident, and, on April 28, the officers selling the certificates were directed to refuse them when such evasion was manifest. At the same time commissions on the sales, if in large amounts, were greatly reduced, and the conversion of the cei'tificates into bonds was postponed uutil July 1, 1879. The entire amount was, however, disposed of as rapidly as the certificates could be prepared, and before the close of the fiscal year. In response to the invitation to becorae depositaries for sale of these certificates, five hundred and nine public officers and seventy-six: national banks were designated for the purpose and engaged in the. sales. The certificates were sold as follows: B}^ public officers designated as depositaries By national banks By independent-treasury officers In aU., $28,509,200 -.., 1,197, 070 10,245,880 40, 012, 750 of which amount there had been converted into four per cent, bonds to the close of business October 31,1879, $37,203,350, leaving outstanding $2,809,400. Thus, since November 23,1878, to which date the transactions were brought in the last annual report, there have been refunded $370,848,750 six per eent. and $193,890,250 five per cent, bonds of the United States, n xvm REPORT OF THE SECRETARY OF THE TREASURY. into bonds bearing interest at four per cent., making an annual saving of interest hereafter of $9,355,877 50. The following table shows the transactions in refunding since March 1,1877, and the annual saving of interest therefrom: Title of loan. Loan of 1858 'Ten-forties of 1864 Five-tweuties of 1865 •Oonsols of 1865, Consols of 1867 €onsolsof 1868 Rate per ct. Am^t refundecl. 5 5 6 6 6 6 $260,000 193,890,250 100,436,050 202,663,100 310,622,750 .37,473,800 845,345,950 Total Annual interest charge. 1 $9,707,512 50 j> 39,071,742 00 "^ 48,779,254 50 In place of the above bonds there have been issued bonds bearing interest as follows: Title of loan. Funded loan of 1891 . . . Funded loan of 1907, inchiding refunding certificates Total Rate per ct. Amount issued. Annual interest charge. 4i $135,000,000 * $6,075,000 4 710, 345,950 28,413,838 845,345,950 34,488,838 making a saving in the annual interest since March 1, 1877, of $14,290,410 50. These transactions have been accoraplished without the loss of a dollar, and without appreciably disturbing the current business of the •eountry. I n a fewvdays copies of the contracts, circulars, iraportant fiorrespondence, and accounts pertaining thereto, and also to resumption, will be laid before Congress. The entire transactions in refunding since 1870 have been as follows: Title of loan. Loanof 1858... Ten-forties of 1864 , Five-twenties of 1862 3Five-twenties of March, 1864 . Five-twenties of June, 1864... Five-twenties of 1865 Consolsof 1865 Consolsof 1867 Consolsof 1868 Total. Anuual interRate est char^je. perct.l Am^t refunded. $14,217,000 193,890,250 401,143,750 1,327,100 59,185,450 160,144,500 211,337,050 316,423,800 37,677,050 1,395,3 45,950 I $10,405,262 SO } 71,234,322 00 81,630,684 50 REPORT OF THE SECRETARY OF THE TREASURY. XIX In place of the above bonds there have been issued bonds bearing interest as follows: Title of loan. Rate per ct. Funded loan of 1881 Funded loan of 1891 : Funded loan of 1907, including refunding certificates 5 4 Total Total issued. $500,000,000 185,000,000 Annual interest charge. $25, 000, 000 8, 325, 000 710, 345,950 28,413,838 1,395, 345,950 • 61,738,838 making an annual saving hereafter in the interest charge on account of refunding operations of $19,900,840 50. The following-described bonds will mature in 1880 and 1881: Authorizing act. Fehruary 8,1861 July 17 and August 5, 1861 March 3, 1863 March 2, 1861 July 14, 1870, and January 20, 1871. Total Rate of interest. Date of maturit;y. Dec. 31, 1880 June 30, 1881 June 30, 1881 July 1. 1881 May i; 1881 Amount. $18,415, OOG 182, 605, 550 71,787,000 823,800 508,440,350 782,071,700 Of these bonds, the loan of February .8, 1801, maturing December 31, 1880, is payable upon the deraand of the holders, and can probablj^ be provided for from the surplus revenues. Under the refunding acts of July 14, 1870, and January 20, 1871, bonds for refunding pur|;o3es were authorized in the amount of $1,500,000,000. Of this amount there have been issued, as above stated, $1,395,345,950, leaving available for future refunding operations $104,054,050. , I t is respectfully suggested that authority be given at the present session of Congress to issue, sell, and dispose of, at not less than par in coin, four per cent, bonds ofthe description set forth in the said act of July 14,1870, and refunding certificates of the description set forth in the act of February 20, 1879, with like qualities, privileges, and exemptions, except as hereinafter stated, to the extent necessary to redeem the bonds falling due on or before July 1,1881, above described, and to use the proceeds for that purpose. I t is hoped that the advancing credit of the country will enable the Secretary to sell such bonds and certificates at a preraiura, but it seems better to maintain the general conditions ofthe four per cent, bond rather xx, REPORT OF THE SECRETARY OF THE TREASURY. than to undertake to sell a bond at lower interest. The four per cent, consol is now universally known. The rate of interest is as low as will generally maintain the bond at par, and the premium will measure its advance above par at favorable periods. The certificates should bear the same rate and be sold on the same terms as the bonds. It is important that the authority granted should include the power to refund, from the passage of the act at the present session, and to prepay the excess of interest on the bond to be refunded prior to its maturity. The present is believed to be an exceptionally favorable time for such refunding. THE NATIONAL RANKS. The report of the Comptroller of the Currency gives complete statistics relative to the operations of the national-banking systera frora its organization until the present time. The number of banks in operation on October 2 of the present year, the date of their last reports, was 2,048, and the aggregate capital, $454,007,305; surplus, $114,780,528 5 individual deposits, $719,737,508; specie, including United States coin certificates, $42,173,731 23; legal-tender notes, including United States certificates, $95,973,440; loans, $875,013,107. The total circulation outstanding on Noveraber 1 was $337,181,418. Among the subjects discussed in the report are the relations which have existed between the national banks and the Government in the resumption of specie payments, and in the funding of the public debt. In both of these important financial operations the co-operation of the ' national banks has been of essential service to the Government. The banks, in the aggregate, have constantly kept on hand, as reserves, nearly one-fourth ofthe entire amount of legal-tender notes outstanding, which, together with the coin, is much in excess of the amount of the reserves required by law. They have constantly held as security for their circulating-notes, and for Government deposits and other purposes, raore than one-fifth of the interest-bearing debt of the United States. They have raaintained their legal reserves in the Treasury for the redemption of their circulating-notes, and such redemption has been made without failure or delay at their expense. In this mode exchanges have been made between all parts of the country at the lowest possible rates. The effect of the business depression prevalent from 1873, until the resumption of specie payments, upon the national banks, is shown in the losses which they have sustained and the dividends which many have been compelled to pass; also by the noticeable diminution, from year to year, in the aggregate surplus. REPORT OF THE SECRETARY OF THE TREASURY. XXl The aggregate capital and deposits of banks, other than national, is also given; and such other information, in reference to these banks, as could be obtained frora the officers who have charge bf the execution of the banking laws in the different States. The very large taxes paid by national banks to the National, State, and municipal authorities, have been a great aid in relieving other property from the burden of taxation, and, in the aggregate, are more than the interest at four per cent, on their entire circulation. Thus the large amount of non-taxable United States bonds held by them becarae taxable, and these taxes are in effect paid for the franchise they enjoy of issuing circulating-notes. The cost of Uquidating the affairs of national banks which have been placed in the hands of receivers since the estabUshraent of the systera is, for the first tirae, given in the report, and will serve to correct the irapression, which has to sorae extent prevailed, that too great a portion of the assets of such banks have been expended in the settlement of their affairs. Tables are also given showing the loss to depositors and also other creditors through the insolvency of national banks; and these losses are compared with sirailar losses incurred by the creditors of insolvent banks other than national, and the coraparison is exceedingly favorable to the national systera. The circulation of the banks which, since the passage of the act of January 14, 1875, has largely decreased, is now increasing in its aggregate araount, showing that the systera responds proraptly to the varying requirements of business. The advantages of this system over any system of banks hitherto devised are that their circulating-notes are secured beyond peradventure of loss; they are of universal credit in the country wherever issued; they are more perfectly protected frora counterfeiting; they equalize exchanges between distant parts of the country; they are proraptly redeeraed on deraand at one coraraon place; the banks are subject to a strict and vigilant surveillance by independent officers of the Governraent; their condition is frequently made known to the public; and they contribute a very large percentage of their profits in the way of taxes. A system of banking that, after an existence of sixteen years, through war and periods of great inflation and great depression, has produced such results, may fairly appeal for the confidence and support of Congress. xxn REPORT OF THE SECRETARY OP THE TREASURY. PURLIO MONEYS. The monetary transactions of the Government have been conducted through the offices of the United States Treasurer, nine assistant treasurers, five hundred and ten depositaries, and two hundred and twenty-two national-bank depositaries. The receipts of the Government from all sources have amounted during the last year, as shown by warrants, to $1,000,034,827 40, of which $792,807,043 have been received from loans; $137,250,047 70 from customs; $113,501,010 58 from internal revenue; and $23,015,520 18 from sales of land and from miscellaneous sources. These receipts were deposited as follows: In independent-treasury offices In national-bank depositories c ' $413,303,508 43 053,271,319 03 These transactions have been conducted without loss, and it may be stated that all officers engaged in the collection or safe-keeping of the revenues of the Government have collected and held the moneys without loss until i)roperly transferred or paid out, and that as far as accounts have been adjusted there appear to be no losses by defaults in disbursements, the trifling balances not adjusted being suspended mainly for information or investigation. In this connection attention is invited to the suggestions of the First Comptroller of the Treasury, as set forth in his report, in regard to the importance of prescribing by law the frequency and manner in which the current accounts of the disbursing officers of the Departments should be subjected to investigation, the danger to the Treasury of issuing duplicate bonds in lieu of coupon bonds alleged to have been destroyed, and the importance of defining the word "claim'' as used in section 3477, Eevised Statutes of the United States, and to other suggestions of that officer. REVENUE FROM CUSTOMS. The disbursements for collecting the revenue from customs for expenses incurred within the following fiscal years, have been as follows: In 1877 In 1878 In 1879 / , : $0,304,279 57 5, 525, 787 32 5, 485, 779 03 This shows a reduction for 1878 over 1877 of $778,492 25, and a reduction for 1879 over 1878 of $40,008 29, making a total saving for the two years of $818,500 54. REPORT OF THE SECRETARY OF THE TREASURY. XXlll A marked iraproveraent has also occurred during the past year in the collection of the revenue frora custoras. The revenue under the ad valorem system has fallen short of the amount which should have been collected upon a proper assessment of the real foreign-market value. This was due to a system of undervaluations in the entries at the custom-houses, especially upon goods consigned by foreign raanufacturers to agents in the United States. Evidence of such undervaluations has been obtained in many cases, and upon this evidence the invoice prices have been advanced by the local appraisers, and from these advances appeals for reappraisement have been taken in a large number of cases. The number of such reappraisements had at the port of New York for the years ending June 30, from 1875 to 1878, is as follows: 1875 1870; 1877 1878.' 1879.: . . . . . . „ - 107 202 207 278 ..550 The general appraiser at New York states that, according to the reappraisements demanded since the 30th of June last, the total number for the current fiscal year, at that port, will be likely io reach one thousand. The action of the local appraisers has, however, been generally sustained on the reappraisements, but the embarrassments resulting therefrom show that some method should be adopted by which such questions may be better disposed of than is permitted by the laws now in force. One method suggested is the adoption of specific duties in place of ad valorem. This change could, it is believed, be safely adopted with proper limitations in regard to kid gloves, piece-silk goods, piece velvets, and some other classes of goods which now pay an ad valorem duty, and which constitute the chief ground of dispute as to value between the Government and the importers. . Another plan would be to permit the Government, in case of an undervaluation, to take the goods at the invoice price, with a reasonable sum added for freight and other expenses and profit, and then cause saleof the goods to be made on Government account. By a treaty between France and Italy, made some years since, it was provided that goods ascertained by inspection to be undervalued to the extent of five per cent, raight be seized and sold b y t h e Government, the importer receiving his own valuation for the goods, together with a profit of five XXIV REPORT OF THE SECRETARY OF THE TREASURY. -pev cent. A similar plan adopted in England had the effect of breaking up this sj'Stem of undervaluation. The Senate Committee on Finance recommended the adoption of a similar measure in its report on the bill which increased the duty on woollen goods, which became a law March 2, 1807; but it was not adopted by Congress. It contemplated that the Government might take the goods at'the importer's valuation, with an addition thereto of ten per cent, for expenses and profit. The Secretary is convinced that if the ad valorem system on the classes of goods named, as well as ou some others, is continued, the adoption of a plan of this character will prove beneficial to the honest importer as well as to the interests of the Government. The difficulties attendant upon the collection of duties on sugars under the Dutch-color standard, which were alluded to in the last report of this Department, continued duriug the past year. Sugar continued to be imported which had either been artificially colored by the addition of foreign substances, or which, bythe process of manufacture, had been so radically changed as to produce sugars of the highest saccharine strength, while possessing the lowest grades of color prescribed by the Dutch standard. It has been held by the courts that Coiigress, in imposing the duty upon sugars according to their color, meant the true color of the sugar which is developed by the ordinary process of manufacture, and which indicates the degree of perfection to which the process of clarification has been carried. Acting upon this view, the Departraent issued instructions to its custoins officers that where the degree of saccharine strength, as compared with the color, showed that the sugar had not been manufactured in the mode contemplated by law, duties should be collected according to the true color of the sugar; and, for the purpose of carrying out this view, definite relations were established between the color and the strength. These instructions have had the effect of repressing the importation of the objectionable classes of sugars before referred to, and of i)roducing a more faithful collection of the duties upon sugars imported, according to the true intent and meaning of the law. Until the matter is ^settled, this Department will maintain the position it has hereto.fore assumed, of disregarding the apparent color of the sugar where the facts justify it, and assessing duties upon the true color of the sugar under the theory above stated. By the adoption of new regulations at the port of New York, respecting the weighing of sugar, the difference between the invoice weight REPORT OF THE SECRETARY OF THE TREASURY. XXV and the actual weight, as returned by the Government weighers, has been reduced from 10/^ per cent, in 1877, to 4C^-Q per cent, in 1879, making a saving to the Government in duties of fully three million dollars. ' Eeference is made in another part of this report to circumstances under which it raay becorae necessary to reirapose the duties upon tea and coffee, should additional revenue be required. Such revenue can better be derived frora those sources than from any other. The duties formerly in force were specific, and therefore no troublesome questions of value intervened. The articles are bulky and hence cannot be easily smuggled, and the additional cost created by the duty would be so shght as scarcely to be felt by the people. Some complaint has arisen in regard to the manner in which examinations of passengers' baggage have been made at the port of New York. The system of examinations necessary to carry out the law, has made the customs officers obnoxious to many people, but any system of examination sufficient to detect or prevent smuggling will be offensive to the parties concerned. It has been the aim of the officers of this Department to apply the law equally to all persons* The annoy-^ ances incidental to the system have been increased by the lack of facilities to make the examinations with proper dispatch. It is thought, however, that the latter cause of complaint will be removed upon the comxiletion of the new barge office, already authorized by Congress. The duties collected on passengers' baggage at the port of New York, during the three years ended the 3Cth of June last, were as follows: Duties collected. Year. $63,030 11 86,760 64 171,857 51 1877 1878 1879 The law does not define any limit of quantity or value in regard to either household or personal effects of persons arriving in the United States, which may be admitted free of duty, and it is recomraended that a limitation governing the free entry of these classes of articles may be established by Congress. OPIUM. Large quantities of opium prepared for smoking are brought into the United States, and this article, being of smaU bulk and great value, is easily srauggled. A similar article is manufactured in the United xxvi REPORT OF THE SECRETARY OF THE TREASURY. States from the crude opium, and in endeavoring to ascertain whether, in any given case, the article has been smuggled, it has been found difficult to determine whether it is of domestic or foreign manufacture. The imported article now pays a duty of $0 per pound. I t is one that will bear a high rate of taxation, and it is recomraended that an internal tax upon opiura, prepared in the United States for sraoking, of an araount.equal to the duty upon the iraported article, to be paid by staraps, be adopted. This would yield a considerable revenue, without repressing any enterprise which should receive encourageraent at the hands of Congress. It is also recommended that provision be made for affiKing customs-stamps to packages of imported opium prepared for smoking, in the manner now required in the case of imported cigars, and that opium prepared for smoking, imported into the United States or manufactured iu the United States, found without proper stamps, be made liable to seizure and forfeiture. RICE. The total importations of rice during the last fiscal year amounted to 75,824,923 pounds. Of this quantity 59,430,871 pounds were imported into San Francisco, and about 55,000,000 pounds came from China. A large part was undoubtedly consumed by the Chinese on the Pacific coast, who are not citizens of the United States, and who have no intention of becoming such. The article will bear a higher rate of duty than that now imposed by law without materially enhancing the cost of living to the general consumer. INTERNAL REVENUE. The receipts from the several sources of taxation under the internalrevenue laws for the fiscal year ending June 30,1879, were as follows: From spirits From tobacco : From fermented hquors, From banks and bankers From penalties, &c Froin adhesive stamps, •.. r From arrears of taxes under repealed laws Total , $52,570,284 40,135,002 10, 729,320 3,198,883 279,497 0, 700,384 299,094 09 05 08 59 80 00 00 113,918,400 87 REPORT OF THE SECRETARY OF THE TREASURY. XXVll The amount of collections shown by the foregoing table includes commissions on sales of stamps, paid in kind, as well as amounts collected in 1878, but not deposited tUl the last fiscal year. There thus arises an apparent variation between the amounts of collections given in the table and those shown by the covering-warrants of the Treasury. The increase of the revenue from spirits during 1879 was $2,149,408 89; the increase from tobacco for the sarae year was but $42,247 98. The chief sources of internal revenue are spirits, tobacco, and ferraented liquors, which yield this year an incorae of $103,434,007 42, out of a total internal revenue of $113,918,400 87. The very large proportion of the revenue derived frora those sources is, of itself, an arguraent for the stability of the rates of taxation upon thera. If the proportion were sraall, fluctuation in the rates of taxation would be of less consequence. The simple agitation of the question of the reduction of the tobaccotax caused a temporary suspension of operations in the various manufactures of tobacco, and is estimated by the Commissioner of Internal Eevenue to have caused a diihinution in the receipts from tax on that article during the first half year of 1878, of nearly two milhons of dollars. Besides reducing the income from the tax, the uncertainty arising from an anticipation of a change of rates, by suspending production, threw multitudes of work-people out of employment. The change of rates in the tax on tobacco and spirits, or the anticipation of such a change, tends at once to diminish the revenue, disorganize the industries relating tothose commodities, and to derange trade. The deraand for change of rates does not originate with the consumers, who pay the greater part of the tax, but chiefly with those who seek an enhancement of profit on the capital invested in the manufacture. The falling off in the income from tobacco that raay be anticipated from the last reduction in the rate of taxation (estimated as likely to amount to one-third of the tax collected in the last fiscal year) should be regarded as an admonition that, in the interest of the pubhc revenue as well as of industry and commerce, no further change in the established rates of taxation should, for the present, be made. COMMERCE AND NAYIG-ATION. The total tonnage of vessels of the United States, as shown by the records of the Eegister's bureau, at the close of the fiscal year ended June 30, 1879, was 4,109,000 tons. Of this tonnage 1,491,533 tons represented 2,717 vessels registered for the foreign trade, and 2,078,007 tons represented 22,494 vessels enrolled and licensed and engaged in the coasting or domestic trade. There has been an increase of 94,350 rXXVlll REPORT OF THE SECRETARY OF THE TREASURY. tons employed in domestic trade, and a decrease of 137,514 tons employed in the foreign trade by sea, as compared with the tonnage of last year. The vessels buUt during the year are classed as follows: Numher. Sail-vessels I Steam-vessels Canal-hoats enrolled Barges ..._. .....-_ ..-_.. ,... _-.. Tonnage. 468 335 36 293 66,867 86,361 4,069 35,733 1,132 193,030 The vessels built in 1878 comprised 235,504 tons, being slightly in excess of the number buUt during the past year. The total tonnage of vessels entered at the seaboard ports from foreign countries was 11,530,527 tons during the year ended June 30, 1878, and 13,708,137 tons during the last fiscal year, showing an increase of 2,237,010 tons, or about 19 per cent. The American tonnage entered exhibited an increase of only 40,300 tons, or 1 per cent., while the foreign showed an increase of 2,197,304 tons, or nearly 26 per cent. The tonnage in these cases is computed on the basis of the number of entries of vessels, and not on the number of vessels, and is vrestricted to the seaboard ports. Of the total amount of merchandise brought in at seaboard, lake, and river ports, during the last fiscal year, an araount of the value of $143,599,353 was iraported in Araerican vessels, and $310,499,599 in foreign; of the exports, a value of $128,425,339 was shipped in Araerican, and $000,709,033 in foreign vessels. Of the corabined imports and exports, 23 per cent, only of the total value was conveyed in American vessels. In 1857, over 75 per cent, of the merchandise iraported and exported was carried in vessels of the United States; at present,.but 23 per cent., as stated, is carried in such vessels, though the total volume of the trade has risen frora a value of nearly seven hundred, to nearly twelve hundred, inillions of dollars. I t is neither to the advantage nor the honor of the country that so iramense a proportion of its foreign carrying trade has passed to other nations. The great decline in our tonnage, as is well known, was due to the war; and soon after its close it was proposed to facilitate the restoration to our merchant-marine of vessels that had been transferred to foreign flags. But the effort at restoration failed, and a special prohibition against the return of such vessels was embodied in the statutes. REPORT OF THE SECRETARY OF THE TREASURY. XXIX It may well be questioned whether the severity of the existing statute might not properly be relaxed after the lapse of so long a time, during which the privilege of registry has been denied to this class of vessels, and since the grounds for denial have, in a measure, lost their original force. It has always been the p olicy of the law to restrict the privileges of American registry to vessels buUt in this country. The object was to further the ship-building and naval interests of the country; and this policy was so successful as to advance the United States to the second rank among nations as respects tonnage and the nuraber of its ships. While wood was the article mainly used in the construction of ships, we had the advantage over foreign nations in the cost of material. Our ship-builders could not only supply vessels for domestic coraraerce, but could successfully compete in the carrying trade of the world. The use of iron in ship-building, in place of wood, is, however, steadily increasing, and in the cost of iron and in the price of labor other commercial nations have the advantage. It is a grave question of public policy whether the period has not arrived when the unlimited right of purchase, as under the English statutes, should be extended to vessels as well as to other comraodities, and when admission to American registry upon the payment of duties should be allowed them upon importation. The recovery of our old position in the carrying trade will more than, counterbalance any disadvantage likely to ensue from a modification of restrictions upon the right of purchase, while a moderate duty on ships iraported will enable our shixi-builders to compete successfully in the construction of iron vessels of the largest class. The proper policy to be pursued is difficult to determine, but the great importance of considering the subject is respectfully submitted to the attention of Congress. • ' EXPORTS AND IMPORTS. The exports and imports of theUnited States during the last fiscal year, are as ollows: Exports of domestic merchandise Exports of foreign nierchandise Total Imports of merchandise Excess of exports over imports > $098,340, 700 12,098,051 710,439,441 445, 777, 775 204,001,000 Compared with the previous year, the imports are greater by 8,720,243, and the exports by $15,573,075. xxx REPORT OF THE SECRETARY OF THE TREASURY. The annual average of the excess of such imports over exports for the ten y<ears ended June 30,1873, is $104,700,922; but during the last four years there has been an excess of exports over imports as follows: In 1876, $79,043,481; in 1877, $151,152,094; in 1878, $257,814,234; and in 1879, $204,001,000. The total gold value of exports of domestic merchandise from the United States has increased from $275,liB0,097 in 1809, to $098,340,790 in 1879, an increase of 154 per cent.^ With one or two unimportant exceptions, the United States stands alone among the coramercial nations in having an excess of exports over imiiorts of raerchandise. The increase in the values of our exports is derived mainly from breadstuff's, preserved meats, copper, live animals, agricultural implements, furs and fur-skins, distilled spirits, and refined sugar. Many other articles exhibit a large increase in the quantity exported, but a decrease in value owing to their lower prices. The articles which show the greatest increase in the quantities exported are wheat, flour, oats, corn, rye, copper, cotton, petroleum and other oils, provisions, (excepting beef and lard,) quicksilver, distilled spirits, starch, sugar, molasses, tallow, and leaf tobacco. The value of the exports of breadstuffs from the United States during the last fiscal year, amounted to $210,355,528, and constituted 30 per cent, of the total value of our exports of domestic merchandise. The value of breadstuffs exported during the year 1873, amounted to only $98,743,15L ' The almost unlimited capacity of the western and northwestern States for the production of cereals, in connection with the facilities for cheap transportation, has brought thera into sharp competition with the older States and with foreign countries. Many products of American manufacture, previously exported in small quantities, or not at all, now find profitable markets in foreign countries, and some of these products are now exported to countries from which, a few years ago, they were largely imported into the United States. The importation of raerchandise into the United States amounted to $042,130,210, during the fiscal year ended June 30, 1873. It feU to $437,051,523 in 1878, and increased to $445,777,775 in 1879—an increase of $8,720,252, or of two per cent, as compared with the preceding year. The importation of railroad-bars declined from 531,537 tons in 1872, to 2,011 tons in 1879. The production of railroad-bars in the United States during the y^ar 1878, amounted to 788,112 tons. REPORT OF THE SECRETARY OF THE TREASURY. XXXl The total amount of exports and imports of coin and bullion during the last fiscal year, was as follows: Exports of coin and bullion Imports of coin and buUion ,.., Excess of exports over imports $24,997,441 20,290,000 4, 701,441 During each year since 1801, the exports of specie have exceeded the imxDorts of specie. The largest excess of such exports over imports was reached during the year 1804, when it amounted to $92,280,929. Since the year 1875, the excess of exports of specie has rapidly declined, amounting during the year ended June 30,1878, to only $3,918,811, and during the fiscal year ended June 30, 1879, to only $4,701,441. A marked change has recently taken place in thb moveraent of the precious metals. During the raonths of July, August, and September ofthe current fiscal year, the iraports of coiu and bullion exceeded the exports $33,125,337, and from the 1st of October to the 15th of November the imports of coin and bullion at the port of New York exceeded the exports at that port $20,381,584, indicating that from July 1 to November 15 the entire imports of coin and bullion exceeded the exports about sixty million dollars. This marked change in the movement of coin and bullion was not unexpected. During the last four years the value of our exports of merchandise has exceeded the value of our imports of merchandise $753,271,475. The excess of exports has heretofore been mainly met by the remittance to this country of American securities, but the time appears to have come when the balance of trade in our favor is to be adjusted by means of the precious metals. INTERNAL COMMERCE. The internal commerce of the country, as exhibited by the tonnage transported on railroads, has steadily increased iii volume, even during the period of commercial depression of the last six years. This affords an illustration of the recuperative powers of the country, as the commodUies transported on railroads are the products of agriculture, of miiiing, and of manufacturing industries. More than ninety per cent, of the internal commerce of the country is now carried on by means of railroad transportation, and the habits of the producing and comraercial classes are becoraiug more and more conformed to its methods and necessities. The facilities for direct trade afforded by arrangements entered into XXXll REPORT OF THE SECRETARY OF THE TREASURY. between connecting railroads has greatly extended the trade limits of the seaports and of all interior points. Similar combinations between railroads and ocean-steamer lines afford extensive privileges for direct foreign trade at all the important interior points of the country. The competition of rival lines for through-traffic has given rise to grave questions touching inter-State commerce. These questions relate chiefly to the matter of discriminations in rates. As purely national questions they demand a careful investigation under the authority of Cougress. CLAIMS. The need of some legislation for the adjudication of claims which are now within the jurisdiction of this Department, has been called, informer reports, to the attention of Congress. Proper methods for investigating claims, such as are used in courts of justice, are not within the xiower of the Dexiartment. A tribunal which may require the best evidence Avhich the nature of the case admits, the crossexamination of witnesses instead of ex parte statements, a xiublic hearing, and a i)Rblic record of xiroceedings, is essential for the x)roper adjustment of such claims. Section 1003 of the Eevised Statutes contains a provision for sending to the Court of Claims certain disputed cases arising iu the Departments. A general provision of law by which all important disputed questions of law or fact might be remitted to that tribunal for trial, Avould greatly relieve the officers of this Department, and tend to promote the ends of justice. It may be assumed that the methods adopted by all courts of justice for ascertaining the truth, best subserve that xiurxiose. The importance of providing some limitation of time within which claims against the Government shall be xirosecuted, or, for want of such prosecution, be forever barred, is again urged upon the attention of Congress. I t may be assumed that any claim in behalf of an individual who is in a situation to present it, will, if well founded, be presented for payment within six years from the tirae when the clairaant's right first accrued. Such limitations form part of the codes of all civilized nations, and experience has shown that, as between individuals, less injustice is done by the conclusive presumption that clairas, thus delayed beyond a reasonable time, are unfounded or have been adjusted, than by allowing thera to be prosecuted after witnesses to the transaction have died or been lost sight of, and other evidence has been destroyed. REPORT OF THE SECRETARY OF THE TREASURY, XXXlll The presumption is much stronger in case of a claim against the Government than in one against an individual. The Government is always solvent, and can always be found, and it is difficult to suggest a reason why a valid claim against it should not be presented within the term of six years. Under the present circumstances, it is impossible to administer equal justice to those who present old claims. The Comptrollers and Commissioner of Customs have by law the final determination of all claims coming within their jurisdiction, and while one of them, or the Auditor who first considers the claim, raay reject it, because its prosecution has been for raany years delayed, and he therefore believes it to be unfounded, another officer feels it his^ duty to examine it upon such evidence as may still exist, because Congress has not interposed a statute of limitation in bar of its allowance. The Third Auditor, in his report, has called special attention to the imxiortance of some limitation of this character. I t is recommended, therefore, that it be provided by law that no claim pending in any of the Executive Departraents shall be allowed unless presented for payment within six years after such claiin first accrued, with the usual excexition in favor of those disqualified by age, or otherwise, from presenting the claira within such time. Legislation of a similar character in favor of those against whom the Government holds claims seems eminently xiroper. Cases of great hardship arise in which sureties upon bonds of a principal long since dead or insolvent are held liable to pay balances upon accounts, which might, by due diligence, have been enforced against the principal while he was alive or solvent, as the case might be. A disttuction is made in most codes as to the limitation of suits uxion sinixile contracts and. upon contracts under seal. It seems, however, but justice to xirovide that persons liable to the Government, even by con-' tracts under seal, should be discharged from liability after the lapse of six years from the time when such liability has been ascertained and fixed. As to claims accruing in the ordinary course of current business, the Department is well organized for their investigation, and a decision? made as final by the accounting officers, should be regarded as final in all tribunals; and it is believed that all propositions for the re-examination of claims thus adjudicated, either in the Court of Claims or elsewhere, are oxiposed to the true princixiles of legislation. I t is submitted that the true end of legislation on the subject of claims is, to render their adjustment speedy and final, and to discourage the allowance of old demands, or the re-examination of those already settled, in xxxiv REPORT OF THE SECRETARY OF THE TREASURY. SPECIAL TRIBUNAL IN NEW YORK FOR TRIAJL OF REVENUE CASES. In the report of this Department for the year 1877, the following paragraph occurs: "Embarrassments attendant upon the collection o f t h e revenue at the port of New York, alluded to in the report of my immediate predecessor, growing out of the large number of suits brought to recover alleged excess of duties, have not ceased, but a considerable number of such suits have been pressed to trial, with results in favor of the Government in the majority.of cases. Owing to the multiplicity of such suits, a considerable delay necessarily occurs before they can be brought to trial.; which delay is adverse to the interests both of the Government and the importers. It was then recoramended that a special tribunal be created by law, for the trial of customs-revenue cases, at the port of New York." The Secretary takes this occasion to state that the importance of this recomniendation has been made more apparent by the Experience of the last year than ever; and that it would be of milch advantage both to the Government and to the importers if it could be adopted. I t is also recomraended that, for the xiurpose of securing a greater uniformity in the collection of duties on imports at the various ports of the United States, the Secretary of the Treasury be authorized, iu cases of variance between the appraised value or classification for duty of similar merchandise a t two or more ports in the United States, to Xirescribe regulations under which the board of general appraisers, or a majority of them, shall decide uxion the triie dutiable value or classification of such imports. The present force of general appraisers is limited to four, and these have been found inadequate to perform the necessary duties in the appraisal of imxiorts. I t is therefore recoramended that authority be given for the appointment of three additional general apxiraisers. o DISTINCTIVE P A P E R . In the last annual report mention was made that proxiosals for a new paper for xirinting public securities had been invited. As a result, a paper has been adopted, having for its distinctive features a continuous silken thread and distributed silk fibre of different colors,, both of which are incorporated with the pulp in the process of manufacture. As soon as the character of the paper had been determined upon, public advertisement was made for proposals for its raanufacture, and the bid of Messrs. Crane & Co., of Dalton, Mass., being the lowest received, was accepted. Under the contract which has been: made with that firm the Government pays, including the cost of fibre, 44 cents per xiound for the distinctive paxier, a reduction of REPORT OF THE SECRETARY OF THE TREASURY. XXXV 20 cents per xiound as compared with the lowest price heretofore paid, and a saving in the ordinary use of this paper of about $25,000 per annum; but, in case a larger amount of paper shall hereafter be needed for printing bonds, or for other xmrposes, the saving would be correspondingly greater. It is believed that this new paper will protect the public against counterfeiting quite as well as that which has heretofore been in use, while for drafts and checks its use is much preferred. As soon as the supply of old paper is exhausted, which will be about the first of January next, all United States notes, national-bank notes, bonds, and checks of xiublic disbursing officers, will be printed upon the new. BUREAU OF.ENGRAVING- AND PRINTING. The system adopted in the business of engraving and printing notes and securities of the Government has been closely adhered to, and as a result this bureau is upon a thorough business basis. During the past fiscal year an unxirecedented amount of work has been executed, axixiroximating ninety per cent, of increase over the year prior, while the increase in the aggregate expenditures has been but fifty-four xier cent. I t is gratifying to know that while this work was executed at reduced cost, the employes, under the operation of the plan of paying "by the piece," have been receiving better corapensation. Those formerly paid $1 50 a day have been' able to earn from $1 80 to $1 90 a day of not exceeding six-hours' labor. It is expected that this work will be removed from the TreasuryDepartment building to the new building in course of erection by the spring of 1880, when, with increased facilities, it can be consolidated and still more economically managed. LIGHT-HOUSE ESTABLISHMENT. The light-house establishraent remains in a satisfactory condition. During the fiscal year it has put in operation thirteen new light-houses, seventy-five new river-lights, one new steam fog-signal and one hundred and twelve new buoys, of which last, three are automatic signalbuoys. It has discontinued six lights, which were no longer needed, and changed the characteristics of ten others, so that they will be more useful than heretofore to comraerce and navigation. The board has continued the work of changing the burners of the smaller lights i n t h e several light-house districts, so as to substitute coal-oil for lard-oil as an illuminant, but it has not found it expedient to make the change in lights of the higher orders. xxxvi REPORT OF THE SECRETARY QF THE TREASURY, Experiments with the electric light have been continued with such results that the board has now asked for means to put the light to the practical test of a working exhibition in a light-house. The estimate for this purpose is comraended to the attention of Congress. The experiraents, as to the penetration of sound through fog, made by the late Professor Henry, have been continued by his successor in the board. Professor Morton, ivith the results detaUed in the appendix to the board's annual report. COAST AND GEODETIC SURVEY. The report of the Superintendent for the fiscal year shows the intimate bearing of this work on coraraerce, navigation, and many requirements in civU life. For river and harbor improvements, light-house service, raarine constructions, and for engineering purposes generally, the records of the survey contain precise details pertaining to geographical positions, shore-line, tides and currents, distances and directions, heights and contour of ground, the hydrography of tidal waters, and the raagnetic variation in all the States and Territories. The results of the year include twenty-six hydrographic surveys; additional geodetic operations and topography in fifty-two sites of work; deterrainations of raagnetic variation at forty widely-separated localities; longitude and latitude at others; and special observations on tides and sea-currents. For the raariner, the charts of the survey are marked with corapass variations derived from observations directly useful to land-surveyors in the interior. The survey, having mapped and developed the most important reaches of the Mississippi, is represented by a meraber in the "Mississippi Eiver Commission" as organized under the act of Congress approved June 28, 1879, to consider expedients for the improveraent of that river. All previous comraissions of like iraportance have been constituted in the sarae way, and it has generally devolved on this branch of the public service to raake the needful surveys. Econoray in means has been thus secured by the employment of observers in readiness and acquainted with all the details required in connection with questions of iraproveraent. Geodetic work now in progress along the thirty-ninth parallel is well advanced to the eastward of the Sierra Nevada mountains. In the course of the year the demaud for charts has largely increased. At our seaports sales have raore than doubled, and the volumes of the Coast Pilot and printed tide-tables are in steady request. With the annual reports appendices are given on subjects, of special interest. REPORT 0:F THE SECRETARY OP THE TREASURY. XXXVII ' These are constantly called for by intelligent citizens, but the number of volumes printed has, for some years, barely sufficed for distribution to public departments and institutions of learning, MARINE-HOSPITAL SERVICE. The Surgeon-General of Marine-Hospital Service reports that 20,922 seaman received relief during the last fiscal year, of whom 11,499 were treated in hospital and 9,423 as dispensary or out-patients; being an increase of 2,099 in the number of patients over last year, and of 4,114 over any y^ar previous to 1878. The amount of hospital-tax received and covered into the Treasury during the year was $301,409 58, while the total expenditures were $375,104 01; making a per capita cost of $17 93, a reduction over 1878 of $2 11. A continuous reduction has been effected iri the cost per capita, from $38 41 in 1870, when the service was reorganized, down to the present tirae. On June 11,1879, a circular was issued, offering to the owners of such American vessels as might desire them, proper facilities for the physical examination of sailors employed by them. The offer has beeri received with much favor, and the results already reached are such as to justify the recommendation that such examinations be made compulsory by law, so that no American vessel shall be allowed to proceed to sea until the crew shall have been examined and pronounced physically sound, and able to distinguish the color of signal-lights; and the employes in the cook's and steward's department of vessels carrying passengers, free from disease. In previous reports to Congress, recommendations have been made « by this Department that statutory provision be raade for exarainations fpr appointraent and promotion in the medical corps of this service, and those recoraraendations are again renewed. While no person has received an appointment as assistant surgeon without a fair and thorough examination as to his professional qualifications, yet it is believed that such examination should rest on something more than departraental regulations. No appropriation was made by Congress during the past year whereby active co-operation with local health authorities could be undertaken, and no work of this character has been accomxilished excexit the publication of the "Bulletin of Public Health," forty-six weekly numbers of which have been published from the appropriation for xirinting for this Departraent. By the act of June 2, 1879, the duty of condensing and publishing the information received from revenue, consular, and marine-hospital officers and local health authorities was assigned to the National Board of Health. x x x v m REPORT OF THE SECRETARY OF THE TREASURY. The need of a marine hospital, for the care of sick and 'disabled seamen, atthe port of New York, has long been recognized, and repeated recoraraendations have been raade to Congress that one of the military hosxiitals at that port be transferred by law to this Department for such purposes. Within the last year, at the request of this Dexiartment, the Hon. Secretary of War has transferred Bedloe's Island, in the harbor of New York, for this purpose, subject to the provisions of the joint resolution, approved March 3,1877, designating that island as a site for the colossal statue of liberty, and subject also to recall if actually needed for military xmrposes. The island was immediately occuxiied, and has been used for marine-hospital purposes since August 1, 1879. PUBLIC BUILDINGS. The Supervising Architect reports that, during the past year, work on the public buildings, under control of this Department, has x^^'ogressed satisfactorily, and that in consequence of the low. xirices of labor and materials, which have ranged throughout the year, contracts for the various branches of work have been made at rates very advantageous to the Government. Upon completiori of the granite-work for several of the large buildings, reported as nearly finished, one of the largest items of expenditure iu the construction ofthe public buildings will be removed, and it is recommended that liberal apxiropriations be made for prosecuting the work on such buildings during the ensuing fiscal year. The estimates submitted are believed to be sufficient for the diligent xirosecution of the work. Attention is particularly called to that portion of the report in which reference is made to the need of a building constructed expressly for th-e xireseryation of the records and files belonging to this Dexiartment. There is unquestionable need of such a structure, and it is recommended that early and ample xn'ovision be made therefor by Congress. LIFE-SAVING SERVICE. The results of the operations of this service during the past year, as shown bythe report ofthe General Superintendent, are highly satisfactory. The number of reported disasters to vessels during the past year, is two hundred and eighteen. This number is larger than that of any preceding year since the organization of the service, partly because the extension of the service has involved the inclusion of disasters REPORT OF THE SECRETARY OF THE TREASURY. XXXIX upon coasts thus brought within its purview, aEhd partly because additional casualties have been caused by gales of esceiitional violence. There were on board these vessels two thousand one hundred and t^ve persons. Of these two thousand aud forty-seven were saved, and , fifty-eight lost. The number of shipwrecked persons cared for at the stations was three hundred and seventy-one, to whom onethousand and seventyfour days of succor were afforded. The total valueof property involved in these disasters was $2,887,851, of which $1,445,051 was saved, and $1,442,800 lost. Of the twenty-three new stations remaining to be built since last» year, under the provision of law, seven have been finished and put in operation, and six (uxion the Gulf coast) are approaching completion. The remaining ten will be erected as soon as possible. The existing stations upon the lakes have received additions and improveraents, which render them much more servicep^ble. ' The beneficial results of the act of June 18,1878, axipear in a marked improvement in the personnel of the service. The higher compensation accorded by the law to the keepers, and the general prestige also conferred upon the establishment, appear to have attracted to the stations a higher "average of ability and character. The examinations show that of the whole number of keexiers and crews, ten hundred and sixteen persons all told, it was found necessary, during the xiast year, to replace only seventeen by men better qualified. This fostering legislation, whose general effect has been to enhance t h e service in public regard, as wellas to increase its power for usefulness, has also largely turned the attention of the inventive talent of the country to the production of improved xilans and devices for saving life. So raany of these have been received thjit it has been found advisable, alike injustice to the inventors and the service, to organize two boards of experts for their examination, under the supervision of the General Suxierintendent. One of these boards has cognizance of wreck-ordnance aiid whatever pertains thereto, its members being proficients in the theory and practice of life-saving gunnery.; The other board has charge of inventions relating to aU other life-saving apparatus and appliances for use at life-saving stations. : REVENUE MARINE. V „ The following exhibit of the services performed by the vessels of the Eevenue Marine during the fiscal j^ear ended June 30, 1879, shows the xl REPORT OF THE SECRETARY OF THE TREASURY. attainment of better results than have been achieved in any former year: ° Aggregate nuraber railes cruised Number of vessels boarded and exarained .o Nuraber of vessels seized or reported for violating the law., Number of vessels wrecked or in distress, assisted Nuraber of persons rescued .from drowning. 252,112 32, 853 3, 444 210 123 The estimated value of vessels assisted by revenue vessels, with their cargoes, was $3,547,073 80. In addition to the foregoing, iraportant assistance was rendered by the revenue vessels to raany other branches of the public service. The expenses of maintaining the service for the last fiscal year were $844,527 25. The cadet system for the Eevenue Marine, provided by Congress in 1870, has xiroduced satisfactory results. The selection of the cadets upon competitive examination secures young men of superior qualifications, while the plan ofi conducting all their instruction on shipboard especially fits them for the service in which they are to engage. In June last, six of these cadets, after serving the probationary term of two years as required by law, were advanced to the grade of third lieutenant. I t was stated in the last annual report that sorae of the older vessels of this service, which would soon need extensive rexiairs, were provided with machinery of old types, and were expensive in the consumption of fuel, and the suggestion was raade that in the interest of economy they should be replaced with ne^Y vessels of improved design. I t is recommended that appropriate legislation be had at this session of Oongress, providing for at least two new steamers for service on the Atlantic and Gulf coasts. The revenue-steamer " E u s h " cruised from about M a y l to October 1 araong the islands ojf the Aleutian Archipelago, to protect the sealfisheries and sea-otter hunting-grounds, and for the general enforceraent of law in Alaska. The coraraanding officer, under instructions frora this Department, made careful observations during his cruise, upon the comraerce of those waters, the numbers and condition of the population, the resources and natural history of the country, and the tides, currents, &c. The report of the cruise shows that the presence of a revenue-vessel in the waters named is necessary to stop illicit traffic in fire-arms and rum, and to x^r^vent the extermination of the sea-otters and other animals which furnish sustenance to the' natives. The report of the special agent in charge of the seal REPORT OF T H E SECRETARY OF TPIE TREASURY. xli islands also shows the necessity for the services of a revenue-cutter in Alaskan waters. The recommendation contained in the last annual report that provision be made for the constriiction of a vessel specially designed for that service, is renewed. NATIONAL BOARD OF HEALTH. Section 3 of the act of March 3, 1879, establishing a National Board of Health, provides that such board shall report to Congress, at its next session, a full statement of its transactions, together with a plan for a national public-health organization. By section 4 of the act of June 2, 1879, entitled " A n act to prevent the introduction of contagious and infectious diseases into the United States," said board is required to make to the Secretary of the Treasury an annual report of its operations, for transmission to Congress, with such recommendations as he may deem important to the public interests. By section ,8 bf the same act, it is provided that the sum of $500,000, or so much thereof as may be necessary, thereby axiproxiriated, shall be disbursed under the direction of the Secretary of the Treasury, on estimates made by the National Board of Health, to be axixiroved by him; and that said board shall, as often as quarterly, make a full statement of its operations and expenditures under said act to the Secretary of the Treasury, who shall report them to Congress. o While the Secretary has been disposed to meet the requisitions made by the board, in the liberal spirit which inspired the action of Congress in its establishment, the general xirovisions of law impose upon the accouuting officers the responsibility of deciding whether or not the sums disbursed by the board are within the provisions of law makmg the appropriations. The board has submitted to the Secretary its report for the quarter ended September 30, which is herewith transmitted. By this report, it axipears that the expenditures under the act of March 3,1879, which appropriated $50,000, amount to $18,890 41, leaving a balance of that approxiriation of $31,103 59. The expenditures under the act of June 2,1879, amount to $51,810 20, and the estimated amounts for the payment of September accounts to $30,000, leaving a balance of the appropriation made by said act, available for future operations, of $418,189^74. By the act of April 18, 1879, the Secretary of the Treasury was authorized to contract for the purchase or coiistrhction of such steamvessel and refrigerating-machinery, or to arrange with the Navy Department for the use of such vessel as might be recommended by the National Board of Health, to disinfect vessels arriving from x:)orts sus xlii REPORT OF THE SECRETARY OF THE TREASURY. ^ pected of infection with yellow-fever or other contagious disease, and for that purxiose the sum of $200,000, or so much thereof as niight be necessaiy, was axipropriated. The reasons why such a vessel has not been constructed fully ajipear in a letter from the Secretary of the Treasury of June 25, 1879, in answer to Senate resolution of June 23, 1879, to be found in Executive Document No. 33, Senate, Forty-sixth Congress. No action has been taken in this Department with reference to the subject since said letter, with the accompanying documents, was transmitted to the Senate. The failure hitherto to enter upon the cohstruc' tion of the ship in question is the less to be regretted because, by.the admission of all xiarties, it was too late, when the subject was presented to the Department for action, to complete the construction of the vessel and its machinery for effective use during the season when yellow-fever niight be expected to prevail. The whole matter can now be considered by Congress with the deliberation which so important a matter de< serves, and practically no time will be lost if the construction of such ship is promptly ordered. STEAIVIBOAT INSPECTION. During the past year 4,288 steam-vessels have been inspected, of an aggregate tonnage of 1,092,354.42 tons, and licenses have been issued to 15,212 officers, an increase over last year of 151 vessels, of 74,922.39 tons, and of 723 licensed officers. The total receixits from the inspection of vessels and licensing of officers were $270,405 57, and the total disbursements for salaries and travelling and other expenses were $210,434 34, leaving a surplus of receixits over expenditures of $59,971 23. ALASKA. The statement was made in the rexiort of last year that the condition of affairs in Alaska demanded the establishment of some form of government competent to restrain disorder, and insure the safety of the inhabitants. Events since that time, have rendered it a matter of urgent necessity thiat some form of civil government for the Territory of Alaska be established by Congress. Last sx^i'l'^g ^^ outbreak seemed imminent between the whites and Indians at Sitka, and had such outbreak occurred, it would, no doubt, have resulted in great loss of lite. The white inhabitants, however, foreseeing the danger, communicated with the commander of the British man-of-war "Osprey," then stationed at Esquimalt, and upon receipt of the communication REPORT OF THE SECRETARY OF THE TREASURY. xliii the vessel started at once for Sitka, arriving there on the first of March. The time for the outbreak had been fixed for the day following the arrival of that vessel, and her timely arrival prevented the calamity that would otherwise have followed. She remained there for sometime, and until relieved by a United States revenue-cutter, and it has been found necessary to keep a cutter in and around Sitka for much of the time since, to prevent the possibUity of such an outbreak. A t least three murders, however, have occurred during the past year in the neighborhood of Sitka, of Indians by Indians. The laws now in force require that the trial of such offences shall be had in the district courts of California, Oregon, or Washington Territory. This does not seem adequate to the occasion, involving as it does the transportation t)f the accused and witnesses a long distance, and a trial remote from the locality where the offence was committed. A form of bill to establish a goverhment for the Territory of Alaska has been prepared in this Department, and will be submitted to Congress, with proper explanations. I t i s recomraended that earnest consideration be given to the measures therein suggested. The reports from the Seal Islands show continued good health and Xirosperity among the inhabitants. The maxiraura number of one huudred thousand fur-seal skins allowed by law has been taken by the Alaska Commercial Company during the past season; and the taxes thereon, with the rental pf $55,000 for the islands, have been paid by said company to the Government, as they became due. DISTRICT OF COLUMBIA. The net expenditures ori account of the District of Columbia for the fiscal year 1879, were $3,597,510 41. The revenues of the District deposited in the Treasury for same period were $1,741,40110. Since July 1,1878, at which date, under section 7 of the act of June 11^ 1878, the offices of the comraissioners of the sinking-fund of the District of Columbia were abolished and their duties and powers transferred to the Treasurer of the United States, the bonded debt of the District has been reduced in the sum of $418,320 07, and the total annual interest charge thereon reduced $30,154 11. In view of the fact that a sinking-fund for the final redemption of the threesixty-five loan of the District was provided at the last session of Congress by permanent annual appropriation, it is recommended that a permanent annual appropriation for interest upon that loan and for interest and sinking-fund for the old funded debt of the District, including the water-stock bonds, be made.' The annual amount required xliv REPORT OF T^HE SECRETARY OF THE TREASURY. for this purpose is estiraated at $1,088,352 75, which will meet the interest on the entire bonded debt of the District, and provide for the redemption of the old bonded debt by the maturity of the three-sixtyfive loau. The existing provision of law requiring investment of the appropriation for the sinking-fund of the three-sixty-five loan in bonds of that loan seems to work to disadvantage, while District bonds bearing a higher rate of interest are from time to time maturing. Eecomraendation is therefore raade that authority be giveu for the investraent of any raoney appropriated for the sinking-funds in question in any bonds of the District of Colurabia. PUBLIC SERVICE. The Secretary acknowledges his obligations to the several officers of bureaus and divisions of the Departraent for the ability, skill, and industry manifested by them in the discharge of their iraportant and coraxilicated duties. In this report he refers only to the leading oxierations of the Department, aud those only in general terras; but refers for details to the statements and reports herewith transmitted. The organization of the several bureaus, is such, and the system of accounting so perfect, that the financial transactions of the Government during the past two years, aggregating $3,354,345,040 53, have been adjusted without, question, with the exception of a few small balances now in the process of collection, of which it is believed the Government will eventually lose less than $13,000, or less than four mills on each $1,000 of the amount involved. JOHN SHEEMAN, Secretary, Hon. ^ SAMUEL J. EANDALL, Spealcer of the Rouse of Eepresentatives, TABLES ACCOMPAMING THE REPORT. IF REPORT OF T H E SECRETARY OF T H E TREASURY. 3 TABLE A.—Statemeni, of the net receipts (hy warrants) during the fiscal uear ended June 30,1879. CUSTOMS. Quarter Quarter Quarter Quarter ended September 30,1878 ended December 31,1878 ended March 31,1879 ended June 30, 1879 -. $38,868,208 10 29, 833, 340 25 34,508,909 25 34,039,530 10 ". , $137, 250, 047' 70 SALES O P PUBLIC LANDS. Quarterended Quarter ended Quarter ended ^Quarterended September 30,1878 . . . ' . . . December 31,1878.. March 31,1879 June 30,1879... 260,765 63 311,959 67 206, 210 13 145,845 63 924,781 06 INTERNAL R E V E N U E . Quarter Quarter Quarter Quarter ended ended ended ended September 30,1878 December 31, 1878 March 31,1879 June 30, 1879.: 28,572,144 46 29,068,'525 50 22, 923,180 30 32, 997, 754 32 '. 113,561,610 58 T A X ON CIRCULATION, DEPOSITS, E T C . , O F NATIONAL BANKS. Quarter Quarter Quarter Quarter ended September 30,1878 ended December 31,1878 ended March 31,1879 . . . .• ended June 30,1879 3, 368, 519 03 6, 936 26 3, 337, 076 32 " ' 34,968 71 -. . 6,747,503 32 REPAYMENT O P INTEREST BY PACIFIC RAILROAD COMPANIES. Quarter ended September 30,1878 Quarter ended December 31,1878 Quarter ended March 31,1879 Quarter ended June 30,1879 " 307,737 10 291, 921 36 126, 541 98 1, 891, 000 59 2,707,201 03 CUSTOMS, F E E S , F I N E S , PENALTIES, AND F O R F E I T U R E S . Quarter Quarter Quarter Quarter ended ended ended ended September 30, 1878 December 31,1878 March 31,1879 June 30, 1879 ...: • 244,833 93 340, 576 33 253, 275 80 262,385 60 / 1,100,87166 F E E S , CONSULAR, LETTERS PATENT, AND LAND. Quarter Quarter Quarter Quarter ended ended ended ended September 30,1878... December 31, 1878 " March 31,1879 June 30, 1879 • 508,890 76 503,489 22 485,79448 637, 877 33 : :— :... '. '.... 2,136, 051 79 PROCEEDS OF SALES OF GOVERNMENT PROPERTY. Quarter Quarter Quarter Quarter ended September 30,1878 ended December 31,1878 ended March 31,1879 ended June 30, 1879 .." 41,127 51 28, 513 81 67,925 15 43,502 34 , 181,128 81 P R O F I T S ON COINAGE. Quarter ended Quarter ended Quarter ended Quarterended September 30,1878 December 31,1878 March 31,1879 June 30, 1879...... •. • 71,968 31 . 902, 659 67 777, 927 29 1,172,383 40 , 2,924,938 07 REVENUES. OF DISTRICT OF COLUMBIA. Quarter Quarter Quarter Quarter ended September 30,1878 ended December 31,1878......... ended March 31,1879... •ended June 30,1879 -. 313, 275 42 926,90196 171,570 47 329,653 31 : , _ 1, 741,461 10 MISCELLANEOUS. Quarter Quarter Quarter Quarter ended September 30,1878 ended December 31, 1878 ended March 31,1879 ended June 30, 1879 -. . . , . Grandtotal 18 89 01 75 3,054,648 43 Total ordinary receipts, exclusive of loans and premium Premium on loans : Excess of net receipts from loans over redemptions . . . . . . Total net receipts ..'........:........!....... Balance in Treasury June 30,1878........ 752,193 844,247 578,892 879, 314 272, 330, 241 21 1,496,943 25 Q'i, 301, 833 84 ,..., - 367,189,018 30 258,489,808 97 625,678,827 27 REPORT OF THE SECRETARY OF THE TREASURY. TABLE B.—Statemeni of the net dishursements (by warrants) during the fiscal year ended ^ June 30, 1879. CIVIL. Congress Executive Jndiciary G-overnment of Territories Subtreasuries Publicland offices Inspection of steam-vessels Mint and assay-offices ---^ -- $5,232,621 71 6, 082,769 88 3,697,898 87 205, 816 08 329, 900 82 509,150 17. 210,434 34 171, 405 30 Total civH $16,439,997 17 FOREIGN INTERCOURSE. Diplomatic salaries..' Consular salaries Contingencies of consulates ." ' Eelief and protection of American seamen. Rescuing American seamen from shipwreck Ameiican and Spanish Claims Commission Ooptingcnt expenses foreign missions International Bi-Metallic Commission Tribunal of Arbitration at Geneva r --Prisons for American convicts International Exhibition at Paris Intema,tional Bureau of Weights and Measures Exxienses under tlio neutrality act International Penitentiary Congress at Stockholm Awards under convention between the United States and Peru Awards under convention between the United States and Mexico Contingent and miscellaneous" Award to Great Britain by the Eisheries Commission 318,146 52 462,870 02 119, 681 51 42,174 01 3,106 55 8, 741 00 81, 390 19 37, 067 99 1, 000 00 . 13, 051 71 50, 027 31 13,123 81 669 65 2, 005 22 1, 025 06 150, 397 35 29, 358 23 5, 500, 000 00 Total foreign intercourse 6, 833,836 13 ' . MISCELLANEOUS. Mint Establishment 1,035,849 77 CoastSurvey 602,90115 Light-House Establishment 1,462,459 37 Building and repairs of light-houses 876, 975 22 Eefunding excess of deposits for unascertained duties I, 924, 246 31 Eevenue-cutter service 844, 527 25 Building revenue cutters 5,697 22 Life-saving service 501, 965 62 Custom-houses, court-houses, post-offices, &o 3,120, 000 50 Furniture, .fuel, &c., for public buildings under Treasury Department-. 580, 925 16 Eepairs and preservation of buildings under Treasury Department 183,478 49 Collecting customs revenue 5,485, 543 87 Debenture and drawbacks under customs laws 4, 931,133 23 Marine-Hospital Establishraent 374, 950 50 Compensation in lieu of moieties 42,109 51 Assessing and collecthag internal revenue 3, 528,118 31 Punishing violations of taternal-revenue laws 97,496 64 Internal-revenue stamps, papers, and dies 414, 252 12 Eefunding duties erroneously or illegally collected 242, 347 38 Internal-revenue allowances and drawbacks 57,487 04 Eedemption of internal-revenue stamps i ' 20, 674 99 Deficiencies of revenue of Post-Office Department 5, 281, 588 02 Eeturn of proceeds of captured and abandoned property 68,146 55 Expenses of national loan, salaries 197,'504 91 Expenses refunding national debt I, 915, 975 11 Exxienses national currency 130,769 16 Suppressing counterfeiting and fraud 98, 863 87 Contingent expenses Independent Treasury 45, 034 54 Public ouildings and grounds in Washington 345, 369 78 Annual repairs of the Capitol 68,500 00 Improving and lighting Capitol grounds 112, 249 69 State, War, and !N"avy Departments building 975,100 00 Columbian Institute for Deaf and Dumb 56, 000 00 G-overnment Hospital for the Insane .' 186, 500 00 Charitable institutions in Washington 45, 312 93 Support and treatment of transient paupers 15, 000 00 Survey of public lands 415,885 26 Eepayi.nent for lands, Erroneously sold 26, 621 si Eive per cent, funds, &c.,to States 45,300 02 Payments under relief acts •. 56,274 23 Southern Claims Commission 42,029 97 Eeissuing of national currency 261,193 92 Postage 384,084 22 Expenses of Districtof Columbia.' 3,254,801 68 Expenses of Bureau of Engraving and Printing 81, 595 56 Purchase and management of Louisville and Portland Canal. 23,970 00 REPORT OF THE SECRETARY OF THE TREASURY. 5 TABLE B.—Statement of thenet dishursements (hy warrants), ^c.—Continued. Vaults, safes, and locks for public buildings Smithsonian Institution Indemnity for swamp lands International exhibitionDepai'tment of Agriculture ' Propagation, &c., of food-fishes Collecting statistics relating to commerce Patent Office Oeolof^ical survey of Territories De]Dosits by individuals for surveys of public lands Defending suits and claims for seizure of contraband and abandoned property Sinking-fund of Pacific railroads • Completion of Washington Monument Education of the blind Purchase of i^lics of G-eorge Washington Purchase of Congressional G-lobe building Transportation of United States secuiities Iiational Board of Health Eedemption of District of Columbia securities : Legal representatives of Joseph Hem-y Eefunding taxes to Cumberland Valley Eailroad Company Expenses of eighth and tenth census Statistical map and atlas of the United States Improvement of Yellowstone IsTational Pai-k Miscellaneous Total miscellaneous-.. .• $29,016 12 68, 560 00 21, 091 59 3, 390 10 123,979 33 69,815 00 10, 840 52 101,765 59 104, 605 64 84,785 57 24, 524 24 328, 078 21 50, 983 07 250, 000 00 12, 000 00 100, 000 00 36,300 08 35, 961 50 342,714 73 11,000 00 35, 341 52 4, 036 46 13,400 00 10,000 00 128,722 04 ' $42,467, 722 ID INTERIOR DEPARTMENT. Indians Pensions (including $5,373,000 arrears of pensions) Total Interior Department $5,206,109 08 35,121,482 39 40, 327, 591 47 MILITARY ESTABLISHMENT. Pay Department Commissary Department Quartermaster's Department.! Medical Department Ordnance Department Militar.Y Academy Improving rivers and harbors ." Survey of Territories west of the one hundredth meridian Contingencies. Expenses of recruiting Signal Service Expenses of military convicts Eeimbui'sing States for raising volunteers Publishing the official records of the rebellion Support of Iiational Home for Disabled Volunteers Support of Soldiers' Home Horses and other property lost in service Pa;Yments under relief acts Claims for quartermasters' and commissary stores Construction of military posts Claims of loyal citizens Eortifications MisceUaneous Total military estabUshment 12,164, 797 23 1,962,844 98 12, 524,483 67 388,653 60 1,115,100 31 81, 658 50 8,241, 212 44 56, 000 00 47,609 27 66,177 19 360,219 80;. 13,174 19 198,889 36 • 45,998 98 880, 000 00 109, 853 56 112, 693 25 . 56, 534 47 . 279, 998 18 .*. -. 199, 998 50 720,998 32 290,529 75 508,235 18 ...-•. 40,425,660 73 NAVAL ESTABLISHMENT. Pay and contingencies of the Navy MarineCorps Navigation Ordnance Equipment and Eecruiting Yards and Docks Medicine and Surgery Provisions and Clothing Construction and Eepair Steam-Engineering MisceUaneous Less excess of repayments Total Naval Establishment Interest fin the pubUc debt Total net ordinary expenditures Balancee in Treasury June 30,1879 Total • 8, 029, 535 39 852,610 69 360,679 43 " 267,265 70 946, 617 94 827,795 49 141, 066 83 830,058 32 1,997,229 29 1,037,907 28 • 53,851 85 15, 344, 618 21 219,491 37 "... 15,125,126 105,327,949 266,947,883 358,730,943 625,678,827 84 00 53 74 27 6 REPORT OF THE SECRETARY OF THE TREASURY. TABLE C.—Stateinent of the issue and redem2Mon of loa/ns and Ti^easury notes (hy ivarrants) for the fiscal year ended June ^0, 1S79. Character of loans.. Treasury notes 1857, act of December 23, 1857 Loan of 1858, act of June 14, 1858 Seven-thirties of 1861, act of July 17, 18C1 Old demand notes, acts of July 17, and August 5, 1861, and July 12, 1862....•• Pive-twenties of 1862, act of Feb_ ruary 25, 1862 ijegal-tender notes, acts of February 25, 1862, July 11, 1862, and January • 7 and March 3, 18^3 : '.. Certificates of indebtedness, ac:s of March 1 and May 17, 1862, and March 3, 1803 .....' Fractional currency, acts of July 17, 1802, March 3," 1863, and June 30, 1864 Ono year notes of 18G3, act of March 3, 1863 TNV6 year notes of 1833, act of March 3, 1863 Coin certificates, act of March 3,1863 Oomnonnd interest notes, acts of March 3, 1863, and June 30, 1864 ... Ten-forties of 1864, act of March 3, J864 Seven-thirties of 1864 and 1865, acts of June 30, 1864, and March 3, 1865 Five-twen ties of June 1864, act of Juue 30, 1864 Five-twenties of 1865, act of March 3, 1865 .' Cousols of 1865, act of March 3,1865 . Consols of 1867, act of March 3, 1865 . Consols of 1868, act of March 3, 1865 . Certificates of deposit, act of June 8, 1872 Silver certificates, act of February . 28,1878 *.. Eetunding certificates, act of February 26, 1879 • -. Funded loan of 1891, acts of July 14, 1870, July 20, 1871, and January 14, 1875 ." -'-, Fuuded loan of 1907, acts of July 14, 1870, July 20, 1871, and January 14, 1875 .: '.. Total . Excess of issues Excess of redemptions. Net excess of issues charged in receipts and expenditures Issues. reEedemptions. Excessofissues. E xd ce emsps t i of ons. $100 00 . 220, 000 00 $100 00 220, 000 00 200 00 200 00 $64,107, 833 00 12,317,400 00 827 50 827 50 28, 300 00 28, 300 00 64,107,833 00 1, 000 00 1, 000 00 705, 158 66 705, 158 66 2, 850 00 2, 850 00 1, 450 00 41, 270, 700 00 1, 450 00 28, 953, 300 00 15, 590 00 15, 590 00 56,141, li50 00 56,141, 150 00 9, 600 00 9, 600 00 20, 500 00 26, 500 00 200, 550 109, 225, 400 269,391, 900 17, 361, 750 00 00 00 00 200, 550 00 109, 225, 400 00 269, 391, 900 00 17, 361, 750 00 89, 340, 000 00 105,725, 000 00 16, 385, 000 00 9,464,400 00 8,^460, 050 00 $1, 004, 350 00 39, 398,110 00 26, 549, 900 00 12, 848, 210 00 10,000,000 00 10, 000, 000 00 568,179, 900 00 792,807,643 00 568,179, 900 00 699, 445, 809 16 592, 032,460 00 592, 032, 460 00 498, 670, 626 16 93, 361, 833 84 498, 670, 026 16 REPORT OF THE SECRETARY OF THE TREASURY. 7 TABLE D.—Statement of the net recdpis and .dishursements (hy warrants) for ihe quarter ended Septemher 30,1879. RECEIPTS. Customs Sales of pubUc lands Internalrevenue ' Tax on circulation, deposits, &c., of national banks Eepayment of interest by Pacific EaUway Companies Customs fees, fines, penalties, and forfeitures Consular, letters-patent, homestead, and land fees. Proceeds of sales of govemment property . Profits on coinage MisceUaneous $44,083,497 93 117,383 61 29,409,691 81 3,360,569 60 252,427 46 239, 579 26 506, 864 29 55, 965 33 469,486 09 1,348,198 23 : .". Total net ordinary receipts 79,843,663 61 Balance in Treasury June 30,1879 358,730,943 74 Total 438,574,607 35 DISBURSEMENTS. Customs. Internal revenue Diplomatic service Judiciary Interior (civil) Treasury proper Quarterly salaries ..: : L 4,132,678 32 981, 682 54 314,335 22 560,003 10 1,154,687 39 6,064,480 25 121,626 17 Total civU and misceUaneous . . Indian's Pensions (including $16,374,249.60 arrears of pensions) MiUtary estabUshment Naval estabUshment Interest oh public debt 13,329,492 99 -2,048,748 02 27,266,991 66 12,104,897 38 4,196,569 59 32,736,685 46 1 Total net ordinary disbursements Eedemptions of the pubUc debt Balance in the Treasury September 30,1879 Total ,.... 91, 683,385 10 110, 087,432 52 236,803,789 73 ,.... 438,574,607 35 8 REPORT OF T H E SECRETARY OF T H E TREASURY. TABLE E.—Statement of outstanding principal of the puhlic deht of the United States'on the Isi of January of each year from 1791 to 1843, inclusive, and on ihe Isf of July of each year from 1844 io 1879, inclusive. Year. 1 1791 - ... ..... ....;..... 'l792 i 1793 1794 „ 1795 '. 1796 1797 1798 . ... 1799 1800 1801 1802... 1803 1804 1805 1806 . . . . 1807 1808 1809 1810 1811 1812 1813 1814 1815 1816 1817 1818 1819 1820 1821 1822 1823 1824 1825 1826 1827 1828 ' 1829 1830 .' 1 1831 1832..... 1833 1834 1835 „ 1836 1837 1838 1839 1840 1841 1842 1843 July 1,1843 '^ ^ 1844 .....;.... 1845 1846 1847 1848 1 1849 1850 1851 1852 1853 1854 1855 1856 1857 1858 1859 1860 1861 .. 1862 ^ 1863 1864. 1865 1866 1867 1868 : Amount. Jan i .. . .... , $75,463,476 52 77, 227, 924 66 80, 352, 634 04 78, 427, 404 77 80, 747, 587 39 83, 762,172 07 82, 064, 479 33 79, 228, 529 12 78 408 669 77 82, 976, 294 35 83, 038, 050 80 80,712,632 25 77,054,686 30 86, 427,120 88 82, 312,150 50 • 75, 723, 270 66 69, 218, 398 64 65 196,317 97 57, 023,192 09 53,173, 217 52 48, 005,-587 76 45, 209, 737 90 55, 962, 827 57 81,487, 846 24 99, 833, 660 15 127, 334, 933 74 123,491, 965 16 103,466, 633 83 95, 529, 648 28 91, 015, 566 15 89, 987, 427 66 • 93, 546, 676 98 90, 875, 877 28 90, 269,777 77 83,788, 432 71 81, 054, 059 99 73, 987, 357 2(> 67,475, 043 87 58, 421,413 67 48, 565, 406 50 39,123,191 68 24, 322, 235 18 7, 001, 698 83 4,760, 082 08 ' 37,733 05 37,513 05 336, 957 83 3, 308,124 07 10,434, 221 14 3, 573, 343 82 5, 250, 875 54 13, 594, 480 73 20, 601, 226 28 32,742,922 00 23, 461, 652 50 , 15,925, 303 01 15, 550, 202 97 38, 826, 534 77 47, 044, 862 23 63, 061, 858 69 63,452,773 55 68, 304, 796 02 66,199, 341 71 59, 803,117 70 42, 242, 222 42 : 35, 586, 956 56 31, 972, 537 90 2.3, 699, 831 85 44, 911, 881 03 ... .. 58,496,837 88 64, 842,. 287 88 90, 580, 873 72 524,176, 412 13 1,119,772,138 63 1, 815, 784, 370 57 2, 680, 647, 869 74 2,773, 230,173 69 2, 678,126,103 87 ;.'...'.'.!".!'. 2,611,687,851 19 REPORT OF THE SECRETARY OF THE TREASURY. 9 TABLE E.—Statement of outstanding principal of the puhlic deht, ^c.—Continued. Year. Julv 1 1869 1870 1871 1872 1873 1874 1875 1876 1877 1878 1879 Amount. i ; „ • . $2, 588,452, 213 94 .. .. 2,480, 072, 427 81 2, 353, 211, 332 32 2, 253, 251, 328 78 *2, 234, 482, 993 20 *2, 251, 690,468 43 *2, 232, 284, 531 95 *2,180, 395, 067 15 *2, 205, 301, 392 10 *2, 256, 205, 892 53 *2, 349, 567,482 04 * In the amount here stated as the outstanding principal of the public debt are included the certificates of deposit outstanding on the 30th of June, issued under act of June 8, 1872, amounting to $31,730,000, in 1873; $58,760,000, in 1874; $58,415,000, in 1875; $32,840,000, in 1876; $54,960,000, in 1877; $46,755,000, in 1878, and $30,370,000 in 1879, for which a like amount in United States notes was on special deposit in the Treasury for their redemption, and added to the cash balance in the Treasury. These certificates, as a matter of accounts, are treated as a part of the pubUc debt, but, being oifset by notes held on deposit for their redemption, should properly be deducted from the principal of the public debt in making comparison with former years. . Statement of the 2Jm'*^Gipa>l of the puhlic debit including accrued interest thereon, less cash in the Ti'easury, on the 1st day of July of each year, from July 1, 1869, to July 1, 1879, compiled from the published monthly debt-statements of those dates. Years. Julyl 1869 1870 1871 1872 1873 1874 1875 1876 1877 1878 1879 . . Outstanding prin- Accrued inter• cipal. est. Cash in the Debt less cash in Treasury. the Treasury. *$2, 597, 722, 983 37$47,447, 310 79 $156,167, 813 58 $2, 489, 002,480 58 *2, 601, 675,127 83 50, 607, 556 52 265, 924, 084 61 2, 380, 358, 599 74 2, 353, 211, 332 32 45, 036,766 23 106, 217, 263 65 2, 292, 030, 834 90 2, 253, 251, 328 78 41,705, 813 27 103, 470, 798 43 2,101,486, 843 62 2, 234, 482, 993 20 42, 356, 652 82 129, 020, 932 45 2,147, 818, 713 57 38, 939, 087 47 147, 541, 314 74 2,143, 088, 241 16 •.. 2,251,690,468 43 2, 232, 284, 531 95 38, 647, 556 19 142, 243, 361 82 2,128, 688,726 32 38, 514, 004 54 119,469,726 70 2, 099,439, 344 99 2,180, 395, 067 15 2, 205, 301, 392 10 40, 882,791 89 180, 025, 900 73 2, 060,158, 223 26 36,404, 551 37 250, 823, 612 08 2, 035,786, 831 82 2, 256, 205, 892 53 2 349, 567,482 04 30,792, 351 34 353,152, 577 01 2, 027,207, 256 37 * I t wiU be noticed that there is a difference in the amounts represented by these two statements as the principal of the debt July 1, 1869, and July 1, 1870. This difference is explained thus: In the principal of the debt as shown by the monthly debt-statements of those dates, the bonds purchased for the sinking-fund and paid for frbm money in the Treasury, were included as a part of the outstanding debt and were also treated in the cash as a cash item, or asset, for the reason that at that time there was no authority of law for deducting them from the outstanding debt. Congress, by the sixth section of the act of July 14, 1870, directed that these bonds should be canceled and destroyed and deducted from the amount oi each class of the outstandin"g debt to which they respectively belonged, and such deductions were accordingly made on the books of the department and in the table of the debt in the annual report. 10 REPORT OF THE SECRETARY OF THE TREASURY. TABLE F.—Statement of the receipts of the United States from March 4,1789, to June 30, Balance in the Treasury at i ^ ^ commencement of year. Customs. Internal revenue. Direct tax. PubUc lands. MisceUaneous. $10 478 10 $4,399,473 09 1791 9, 918 65 3, 443, 070 85 '"."$208,'942 si 1792 '""$973,'905'75* 337, 705 70 21,410 88 783, 444 51 . 4,255, 306 56 1793 53,277 97 274, 089 62 4, 801, 065 28 753, 661 69 1794 28,317 97 5,588,461 26 337,755 36 1 151 924 17 1795 $4,"836'i3' 1,169,415 98 6, 567, 987 94 475, 289 60 516, 442 61 1796 399,139 29 7,549,649 65 575,491 45 888 995 42 1797 83,540 60 644,357 95 58,192 81 11, 963 11 1, 021, 899 04 7,106, OGl 93 1798 86,187 56 779,136 44 617 451 43 6, 610, 449 31 1799 152,712 10 809, 396 55 '"$734," 223" 97' 9, 080, 932 73 2,161, 867 77 1800 10, 750, 778 93 1, 048, 033 43 534, 343 38 167,726 06 345, 049 15 2, 623, 311 99 1801 1802 3, 295, 391 00 12,438, 235 74 621, 898 89 206, 565 44 188, 628 02 1, 500, 505 86 5, 020, 697 64 10, 479, 417 61 215,179 69 71, 879 20 165, 675 69 131, 945 44 1803 4, 825, 811 60 11, 098, 565 33 50, 941 29 50,198 44 487, 526 .79 139, 075 53 1804 21, 747 15 21,882 91 540,193 80 40, 382 30 4,037,005 26 •12, 936, 487 04 1805 3, 999, 388 99 14, 667, 098 17 20,101 45 55, 763 86 765, 245 73 51,121 86 1806 4, 538,123 80 15, 845, 521 61 13, 051 40 34, 732 56 466,163 27 38, 550 42 1807 8,190 23 19,159 21 647, 939 06 21, 822 85 9, 643, 850 07 16, 363, 550 58 1808 1809 9, 941, 809 96 7, 257, 506 62 4, 034 29 7, 517 31 442, 252 33 62,162 57 3, 848, 056 78 . 8, 583, 309 31 7, 430 63 12, 448 68 696, 548 82 84,476 84 1810 2, 672, 276 57 13, 313, 222 73 2, 295 95 7, 666 66 1, 040, 237 53 59, 211 22 1811 1812 8, 502, 305 80 8, 958, 777 53 4, 903 06 859 22 710, 427 78 126,165 17 1813 3, 802, 217 41 13, 224, 623 25 4, 755 04 3, 805 52 835, 655 14 271, .571 00 164, 399 81 5,196, 542 00 5, 998, 772 08 1, 662, 984 82 2, 219, 497 36 1,135, 971 09 1814 1, 727, 848 63 7, 282, 942 22 4, 678, 059 07 2,162, 673 41 1, 287, 959 28 285, 282 84 1815 13,106, 592 88 36, 300, 874 88 5,124, 708 31 4, 253, 635 09 1, 717, 985 03 273, 782 35 1816 22, 033, 519 19 26, 283, 348 49 2, 678,100 77 1, 834,187 04 1, 991, 220 06 109, 761 08 1817 17,176, 385 00 955, 270 20 264, 333 36 2, 606, 564 77 57, 017 71 14, 989, 465 48 1818 1, 478, 526 74 20, 283, 608 76 229, 593 63 83, 650 78 3, 274,422 78 57, 098 42 1819 1820 2, 079, 992 38 15, 005, 612 15 100, 260 53 31, 586 82 1, 635, 871 61 61, 338 44 1821 1,198, 461 21 13, 004, 447 15 69, 027 63 29, 349 05 1, 212, 966 46 152, 589 43 1, 681, 592 24 17, 589, 761 94 67, 665 71 20, 901 56 1, 803, 581 54 452,957 19 1822 4,237,427 55 19, 088,433 44 34, 242 17 10, 337 71 916, 523 10 141,129 84 1823 17, 878, 325 71 34, 663 37 6, 201 96 984, 418 15 127, 603 60 1824 • 9, 463, 922 81 1, 946, 597 13 20, 098, 71b^ 45 25, 771 35 . 2, 330 85 1, 210, 090 56 130, 451 81 1825 1826 5, 201, 650 43 23, 341, 331 77 21, 589 93 6, 038 76 1, 393, 785 09 94, 588 66 1827 6, 358, 686 18 19, 712, 283 29 19, 885 68 2, 626 90 1; 495, 845' 26 1, 315, 722 83 • 6, 668, 286 10 23, 205, 523 64 17, 451 54 2, 218 81 1, 018, 308 75 65,126 49 1828 112, 648 55 1829 5, 972, 435 81 22, 681, 965 91 14, 502 74 11, 335 05 1,517,175 13 5, 755, 704 79 21, 922, 391 39 12,160 02 16, 980 59 2, 329, 356 14 70; 227 77 1830 6, 014, 539 75 24,224,44] 77 6, 933 51 10, 506 01 3, 210, 815 48 . 584,124 05 1831 1832 4, 502, 914 45 28, 465, 237 24 11, 630 65 6, 791 13 • 2, 623, 381 03 270,410 61 • 2, Oil, 777 55 29, 032, 508 91 2, 759 00 394 12 . 3, 907,.682 55 470, 096 67 1833 11, 702, 905 31 16, 214, 957 15 4,196 09 19 80 4, 857, 600 69 480, 812 32 1834 1835 8,892,858 42 19, 391, 310 59 10, 459 48 4,263 33 14, 757. 600 75 759, 972 13 1836 26, 749, 803 96 23, 409, 940 53 370 00 728 79 24, 877,179 86 2, 245, 902 23 1837 46, 708, 436 00 11,169, 290 39 5, 493 84 1, 687 70 6, 776, 236 52 7, 001,444 59 • 3, 730, 945 06 6, 410, 348 45 1838 37 327 252 69 • 16,158, 800 36 2,467 27 30, 891,196 94 2, 553 32 23,137, 924 81 755"22" 979, 939 86 1839 7, 361, 576 40 3, 411, 818 63 2, 567,112 28 1840 33,157, 503 68 13,499, 502 17 1,682 25 3, 261 36 29, 963,163 46 1, 365, 627 42 14,487, 216 74 1, 004, 054 75 1841 451 995 97 28, 685, 111 08 495 00 1842 18,187, 908 76 1, 335, 797 52 103 25 7, 046, 843 91 898,158 18 1843* 30, 521, 979 44 285', 895 92 1,777 34 26,183, 570 94 2, 059, 939 80 • 1, 075, 419 70 1844 • 39,186, 284 74 36, 742^ 829 62 27^,528,112 70 3, 517 12 2 077, 022 30 301,'453 68 1845 36,194, 274 81 26, 712, 667 87 2,897 26 289, 950 13 1846 2, 694, 452 48 375 00 38,261,959 65 ' 23, 747, 864 66 . 220,808 30 2 498 355 20 1847 33, 079, 276 43 375 00 31, 757, 070 96 3i 328, 642 56 612,610 69 1848 29,416, 612 45 28, 346, 738 82 685 379 13 1 688 959 55 1849 32, 827, 082 69 39, 668, 686 42 2, 064i 308 21 1, m , 894 25 1850 35, 871, 753 31 49, 017, 567 92 1,185,166 11 2, 352, 305 30 1851 40,158, 353 25 47, 339 326 62 464 249 40 2, 043, 239 58 1852 1, 667, 084 99 58, 931, 865 52 988, 081 17 1853 1 43,338,860 02 50, 261, 901 09 8, 470, 798 39 1,105, 3.52 74 64,224,190 27 1854 53 025 794 21 827 731 40 11 497 049 07 1855 % 48 591 073 41 8, 917i 644 93 1, n i 190 81 47, 777i 672 13 04, 022, 803 50 1856 3, 829, 486 64 1, 259, 920 88 1857 49,108, 229 80 03, 875, 905 05 1, 352, 029 13 46, 802, 855 00 41, 789; 620 90 3, 513, 715 87 1858 1, 454] 596 24 1859 3.5,113, 334 22 49, 565, 824 38 1,756, 687 30 53,187, 511 87 1, 088, 530 25 1860 33,193, 248 CO 1, 778, 557 71 39, 582,125 64 870, 658 54 1, 023, 515 31 1861 32,979,530 78 1862 30, 963, 857 83 49,056,307 62 i,795,33i 73 152,203 77 915 327 97 46, 965, 304 87 3, 741, 794 38 1863 69, 059, 642 40 "37,'640,"787"95' 1,485,103 61 167, 617 17 1864 36, 523, 046 13 102, 316,152 99 109, 741,134 10 475, 648 96 588, 333 29 30, 291, 701 86 1865 1 134,433,738 44 I 84,928,260 60 1209,464,215 25 I1,200,573 03 996,55^ 31 25,441, 556 00 ....,...._.... *For the half-year from J a n REPORT OF THE SECRETARY OF THE TREASURY. 11 1879, hy calendar years to 1843 and hy fiscal years (ended June 30) from that time. Di"vidends. Net ordinary receipts. Interest. Premiums. $4,409, 951 19 $8, 028 00 3, 669,960 31 38, 500 00 4, 652, 923 14 393, 472 00 5, 431, 904 87 160, 000 00 6,114, 534 59 $4, 800 00 160, 000 00 8, 377, 529 05 42, 800 00 80, 960 00 8, 688 780 99 79, 920 00 7, 9oo; 495 80 78, 675 00 71, 040 00 7, 546,813 31 71,040 00 10, 848, 749 10 88, 800 00 12, 935,330 95 'io,"i25"o6 39, 960 00 14, 995,793 95 11, 064, 097 63 11, 826,307 38 13, 560, 693 20 15, 559,931 07 16, 398, 019 26 17, 060, 661 93 7, 773, 473 12 9, 384,214 28 14,422, 634 09 9, 801, 132 76 14, 340, 409 95 300 00 11,181, 625 16 85 79 15, 696,916 82 11, 541 74 $32,107 64 47, 676,985 66 68, 665 16 686 09 049 74 33, 099, 267, 819 14 202, 426 30 412 62 525, 000 00 21, 585, 171 04 675, 000 00 24, 603,374 37 1, 000, 000 00 17, 840, 669 55 40, 000 00 105, 000 00 14, 573,379 72 297, 500 00 20, 232, 427 94 350, 000 00 20, 540, 666 26 350, 000 00 19, 381,212 79 367, 500 00 21, 840, 858 02 402, 500 00 25, 260, 434 21 420, 000 00 22, 966, 363 96 455, 000 00 24,763, 629 23 490," 000 00 24, 827, 627 38 490, 000 00 24, 844, 116 51 490, 000 00 28, 526,820 490, 000 00 31, 867, 450 66 474, 985 00 33, 948, 426 25 234, 349 50 21, 791, 935 55 506, 480 82 35,430, 087 10 292, 674 67 50, 826, 796 24, 954, 153 04 26, 302, 561 74 • 31, 482,749 61 19, 480, 115 33 16, 860, 160 27 19, 976,197 25 71, 700 83 8, 231, 001 26 666 60 29, 320, 707 78 29, 970, 105 80 29, 699,967 74 28, 365 91 26,467, 403 16 37, 080 00 35, 698, 699 21 487, 065 48 30,721, 077 50 10, 550 00 43, 592, 888 88 4, 264 92 52, 555, 039 33 49, 846, 815 60 61, 587, 031 68 22 50 73, 800, 341 40 65, 350, 574 68 74, 056, 699 24 68,965, 312 57 46, 655, 365 96 52, 777, 107 92 709, 357 72 56, 054, 599 83 10, 008 00 41,476, 299 49 33, 630 90 '. 68,400 00 51, 919, 261 09 602, 345 44 112, 094, 945 51 243,412,971 20 21,174,101 01 322, 031, 158 19 11,683,446 89 uary 1, 1843, to J u n e 30,' 1843. Eeceipts from lo.ans a n d Treasury notes. Gross receipts. $361, 391 34 5,102, 498 45 1,797, 272 01 4, 007, 950 78 3, 396, 424 00 320, 000 00 70, 000 00 200, 000 00 5, 000, 000 00 1, 565,229 24 2, 750, 000 00 12, 837, 900 00 20,184, 135 00 23, 377, 826 00 35, 220, 671 40 9, 425,084 91 466, 723 45 8, 353 00 2, 291 00 3, 000, 824 13 5, 000, 324 00 5, 000, 000 00 5, 000, 000 00 2, 992, 989 15 12, 716, 820 3, 857, 276 21 5, 589, 547 51 13, 659, 317 38 14, 808, 735 64 12,479, 708 36 1, 877,181 35 28, 872, 399 45 21, 256,700 00 28, 588, 750 00 4, 045, 950 00 203, 400 00 46, 300 00 16, 350 00 2, 001 67 800 00 200 00 900 00 23,717, 300 00 28, 287, 500 00 20,776, 800 00 41, 861, 709 74 529, 692, 460 50 776, 682, 861 57 128, 873, 945 36 472, 224, 740 85 $4,771,342 8, 772, 458 6, 450,195 9, 439, 855 9, 515, 758 8, 740, 329 8, 758, 780 8,179,170 12, 546, 813 12, 413, 978 12, 945,455 14, 995,793 11, 064, 097 11, 826, 307 13, 560, 693 15, 559, 931 16, 398, 019 17, 060, 661 7, 773, 473 12,134, 214 14, 422, 634 22, 639, 032 40, 524, 844 34, 559, 536 50, 961, 237 57,171, 421 33, 833, 592 21, 593, 936 24, 605, 665 20,881,493 39,573,703 20, 232, 427 20, 540, 666 24, 381, 212 26, 840, 858 25, 260, 434 22, 966, 363 24, 763, 62924, 827, 627 24, 844,116 •28, 526, 820 31, 867, 450 33, 948, 426 21, 791, 935 35,430,087 50, 826, 796 27, 947,142 39, 019, 382 35, 340, 025 25,069,662 30, 519, 477 34, 784, 932 20, 782, 410 31,198, 555 29, 970,105 29, 699, 967 55, 368,168 56, 992, 479 59, 796, 892 47, 649, 388 52,762, 704 49, 893,115 61, 603, 404. 73, 802, 343 65, 351, 374 74, 056, 899 68, 969, 212 70, 372, 665 81,773, 965 76, 841, 407 83, 371, 640 581, 680,121 889,379, 652 393,461, 017 805,939,345 Dnavailable. $1, 889 50 1, 458, 782 93 37, 469 25 28,251 90 '36,'6o6'oo 15,408 34 II, IIO 81 6, 001 01 9,210 40 6, 095 I I 12 REPORT OF THE SECRETARY OF THE TREASURY. TABLE F.—Statement of the receipts of the United States from 1 Balance in the Treasury at c o m m en cement of year. Customs. Internal revenue. Direct tax. 1866 $33, 933, 657 89 $179, 046, 651 58 $309, 226, 813 42$1, 974,754 12 266, 027, 537 43 4, 200,233 70 1867 160, 817, 099 73 176,417, 810 88 1868 1869 1870 1871 1872 1873 1874 1875 1876 1877 1878 1879 198, 076, 537 09 158, 936, 082 87 183, 781, 985 76 177, 604,116 51 138, 019,122 15 134, 666; 001 85 . 159, 293, 673 41 178, 833, 339 54 172, 804, 061 32 149, 909, 377 21 214, 887, 645 88 286, 591,453 88 164,464, 599 56 180, 048, 426 63 194, 538, 374 44 206, 270, 408 05 216, 370, 286 77 188, 089, 522 70 163,103, 833 69 157,167, 722- 35 148, 071, 984 61 130,956,493 07 130,170, 680 20 137, 250, 047 70 191, 087, 589 41 1, 788,145 85 158, 356,460 86 7G5, 685 61 184, 899, 756 49 229,102 88 143, 098,153 63 580,355 37 130, 642,177 72 113,729, 314 14 315, 254 51 102,409, 784 90 110, 007,493 58 H6, 700, 732 03 93, 798 80 118, 030, 407 83 110, 581, 624 74 113, 561, 610 58 PubUc lands. MisceUaneous.' $665, 031 03 $29, 036,314 23 1,103, 575 76 15,037, 522 15 1, 348, 715 41 17, 745,403 59 4, 020, 344 34 13,-997, 338 65 3, 350, 481 76 12, 942,118 30 2, 388, 646 68 22, 093, 541 21 2, 575, 714 19 15,106, 051 23 2, 882, 312 38 17,161, 270 05 1,852,428 93 32, 575, 043 32 1, 413, 640 17 15, 431, 915 31 1,129,466 95 24, 070, 602 31 976,'253 68 30,437, 487 42 1, 070, 743 37 15, 614,128 09 924,781 06 20, 585, 697 49 4,252,441, 361 80 2, 548,083,606 85 27, 648, 725 73204,547,812 81 .301.440.835 01 ' ' * Amounts heretofore credited to the Treasurer as una REPORT OF THE SECRETARY OF THE TREASURY. 13 March 4, 1789, to June 30, 1879, ^c—Contimied. Dividends. N"et o r d i n a r y receipts. Interest. Premiums. fS 1866 1867 $519, 949, 564 38 462, 846, 679 92 R e c e i p t s from loans and Treasury notes. G-ross r e c e i p t s . UnavaUable. $38, 083, 055 68 $712, 851, 553 05 $1, 270, 884,173 11 $172, 094 29 27,787, 330 35 640,426, 910 29 1,131, 060, 920 50 721,827 93 2, 675, 918 19 1868 1869 1870 1871 187"? 1873 1874 1875 1876 1877 1878 1879 ^ 376,434,453 357,188, 256 395, 959, 833 374, 431,104 364, 394, 229 322,177, 673 299, 941, 090 284, 020, 771 290, 066, 584 281, 000, 642 257, 446,776 272, 322,136 82 09 87 94 91 78 84 41 70 00 40 83 29,203, 629 50 13,755,491 12 15, 295, 643 76 . 8, 892, 839 95 9, 412, 637, 65 11, 560, 530 89 5, 037, 665 22 3, 979, 279 69 4, 029, 280 58 405,776 58 317,102 30 1, 505, 047 63 625, 111, 433 238, 678, 081 285, 474, 496 268, 768, 523 305, 047, 054 214, 931, 017 439, 272, 535 387, 971, 556 397,455. 808 348, 871, 749 404, 581, 201 792, 807, 643 20 1, 030, 749, 516 52 609, 621, 828 27 06 696,729, 973 63 00 652, 092, 468 36 47 679,153, 921 56 00 548, 669, 221 67 00 744, 251, 291 52 46 675, 971, 607 10 00 691, 551, 673 28 00 630, 278,167 58 00 662, 345, 079 70 00 00 1, 066, 634, 827 46 '•2, bio 73 *3, 396 *18, 228 *3, 047 12, 691 18 35 80 40 $9,720,136 29 7,433,891,478 49 485,224 45 204, 259,110 83 10,385,479,604 84 18, 024,115,418 61 2, 661, 866 53 vaUable, and since recovered and charged to his account. 14 REPORT OF THE SECRETARY OF THE TREASURY. TABLE G.—Statenient of the expenditures of the United States from Marcli 4, 1789, to Year. 1791 1792 1793 1794 .1795 1796 1797 1798 1799 1800 1801 1802 1803 1804 1805 1806 1807 1808 1809 1810 1811 1812 1813 1814 1815 1816 1817 1818 1819 1820 1821 1822 1823 1824 1825 1826 1827 1828 1829 1830 1831 1832 1833 1834 1835 1836 1837 1838 1839 1840 1841 1842 1843* 1844. 1845 1846 1847 1848 1849 1850 1851 1852 1853 1854 1855 1856 1857 1858 1859 1860 1861 1862 1863 1864 War. $632, 804 03 1,100, 702 09, 1,130, 249 08| 2, 639,097 59 2, 480,910 13 1, 260,263 84 1, 039,402 40, 2, 009,522 30| 2,466, 946 98 2, 560,878 77 1, 672,944 08 1,179, 148 25, 822, 055 85 875, 423 93 712, 781 28 1, 224,355 38 1, 288,685 91, 2, 900,834 401 3, 345,772 17 2, 294,323 94 2, 032,828 19 11, 817,798 24 19, 652,013 02, 20, 350,806 86| 14, 794,294 22 16, 012,096 80 8, 004,236 53 5, 622,715 10, •6, 500,300 37 • 2,630,392 31 4, 461,291 78 3, 111,981 48 3, 096,924 43 3, 340,939 85| 3, 659,914 18 3, 943,194 37 3, 948,977 4,145,544 56 4, 724,291 07 4, 767,128 88 4, 841,835 55 5,446, 034 88 6, 704,019 10 5, 696,189 38, 5, 759,156 89| 11, 747, 345 25 13, 682,730 80 12,897, 224 16 8, 916,995 80 " 7,095,207 23 8, 801,610 24 6, 610,438 02I 2, 908,671 95 5, 218,183 66, 5, 746,291 28| 10, 413, 370 58 . 85, 840,030 33 27, 688, 334 21 14, 558,473 20 9, 687,024 58, 12,161, 965 111 8, 521 506 19 9, 910,498 49 11, 722,282 87 14,048, 074 07, 16, 903,160 5l| 19,159, 150 87 25, 679,121 63 23,154, 720 53 16, 472,202 72 23, 001,530 67 389,173, 562 29 603, 314,411 82 690, 391,048 66 Navy. $61, 408 97 410, 562 03 274,•784 04 382, 631 89 1, 381,347 76 2, 858,081 84 3,448, 716 03 2, 111,424 00| 915, 501 87 1, 215,230 53 1,189, 832 75 1, 597,500 00 1, 649,041 44 1, 722,064 47 1, 884,067 80 2, 427,758 80 1, 654.244 20 1, 965'.566 39 3, 959:365 15 6,446, 600 10 7, 311,290 60 8, 660,.000 25 3, 908,278 30 3, 314,598 49 2, 953,695 00 3, 847,040 42 4, 387,990 00 3, 319,243 06 2, 224,458 98 2, 503,765 83 2, 904,581 56 3, 049,083 86 4, 218,902 45 4, 203,877 45 3, 918,786 44 3, 308,745 47 3, 239,428 63 3, 856,183 07 3, 956,370 29 3, 901,356 73, 956,260 42 3, 864,939 06 5, 807,718 23 0, 646,914 53 6,131,580 53 0,182,294 25 6,113,896 89 6, 001,076 97 8, 397,242 95 3, 727,711 53 6, 498,199 11 6, 297,177 89 6, 455,013 92 7, 900,635 76 9, 408,476 02 9, 780,705 92 7, 904,724 GO 8, 880,581 38 8, 918,842 10 11, 067.789 53 10, 790, 096 32 13, 327, 095 11 14, 074,834 64 12, 651,694 61 14, 053,264 64 14, 690,927 90 11, 514,049 83 12, 387,156 52 42, 640,353 09 63, 261i235 31 85,704, 963 74I Indians. $27, 000 00 13, 648 85 27, 282 83 13, 042 46 23,475 68, 113, 563 98 62, 396 58 16, 470 09 20, 302 19 31 22, 9, 000 00 94, 000 00 60, 000 00 116, 500 00 190, 500 00 234, 200 00 205, 425 00 213, 575 00 337, 503 84 177, 625 00 151, 875 OOl 277, 845 00 167, 358 28 167, 394 86 530, 750 00 274, 512 16 319, 463 71 505, 704 27 463,181 39 315,750 01 477, 005 44 575, 007 41 380, 781 82 429, 987 90 724,106 44, 743, 447 83| 750,6^4 ,, 705, 084 24 576, 344 74 622, 262 47 930, 738 04 1, 352, 419 75 1, 802, 980 93 1, 003, 953 20 1, 700, 444 48 5, 037, 022 88 4, 348, 030 19 5, 504,191 34 2, 528, 917 28 2, 331, 794 86 2, 514, 837 12 1,199, 099 68 578, 371 00 1, 256, 532 39 1, 539, 351 35, 1, 027, 693 64| 1,430, 411 30 1, 252, 296 81 1, 374,161 55 1, 663, 591 47 2, 829, 801 77 3, 043, 576 04 3, 880, 494 12 1,550, 339'55 2, 772, 990 78 2, 644, 263 97 4, 354, 418 87 4, 978, 266 18 3,490, 534 53 2, 991,121 54 2, 865, 481 17 2, 327, 948 37 3,152, 032 70 2, 029, 975 97 Pensions. MisceUaneous. $175, 813 88' 109, 243 15 80, 087 81' 81, 399 24 68,673 22 . 100, 843 7l| 92, 250 97 104, 845 33 95, 444 03 64,130 73 73, 533 37 85, 440 39 62, 902 10 80, 092 80 81, 854 59 81, 875 53| 70, 500 00 82, 576 04 87,833 54 83, 744 16 75, 043 88 91, 402 10 86, 989 91 90,164 36 69, 656 00 188, 804 15 297, 374 43 890,719 _ 2, 415, 939 85 3, 208, 376 31 242, 817 25 1, 948,199 1, 780, 588 52 1, 499, 326 59 1, 308, 810 57 1, 556, 593 83| 976,138 86 850, 573 57 949, 594 47 1, 363, 297 31 1,170, 665 14| 1,184, 422 40 4, 589,152 40 3, 364, 285 1, 954, 711 32 2, 882, 797 , 2, 672,162 45 2,156, 057 29 3,142, 750 51 2, 603, 562 17 2, 388,434 5l| 1, 378, 931 33 839, 041 12 2, 032, 008 99 2, 400, 788 11 1, 811, 097 56| 1, 744, 883 63 1, 227,496 48 1, 328, 867 64 1, 866, 886 02, 2, 293, 377 22 2, 401, 858 78 1, 756, 306 20 1, 232, 665 00 1, 477, 012 33 1, 296, 229 65 1, 310, 380 58 1, 219, 768 30 1, 222, 222 71 1,100, 802 32 1, 034, 599 73 852,170 47 1,078,513 36 4, 985,473 90 *For $1, 083, 971 61 4,672,664 38 511, 451 01 750, 350 74 1, 378, 920 66 • 801, 847 58 1, 259, 422 02 1,139, 524 94 1, 039, 391 08 1, 337, 613 22 1,114, 768 45 <, 1, 462, 929 40 1, 842, 635 76 2,191, 009 43 • 3, 768, 598 75 2,890,137 01 1, 697, 897 51 1, 423, 285 61 1, 215, 803 79 1,101,144 98 1, 367, 291 40. 1, 083, 088 21 1, 729, 435 61 2, 208, 029 70 •2,898,870 47 2, 989, 741 17 3, .518, 936 76 3,835,839 51 3, 007, 211 41 2, 592, 021 94 2, 223,121 54 1, 907, 996 24 2, 022, 093 99 7,155, 308 81 2, 748, 544 89 2, GOO, 177 79 2, 713, 476 58 3, 676, 052 64 3, 082, 234 65 3, 237, 416 04 3, 064, 646 10 4, 577,141 45 5, 716, 245 93 4, 404, 728 95 4, 229, G98 53 5, 393, 279 72 9, 893, 370 27 . 7,160, 664 76 5, 725, 990 89 5,995,398 96 6, 400, 881 45 6,775,624 61 3, 202, 713 00 5, 645,183 86 5, 911, 760 98 6, 711, 283 89 6, 885, 608 35 5, 650, 851.25 12, 885, 334 24 • 16, 043, 703 36 17, 888, 992 18 17, 504,171 45 .17,463,068 01 26, 672,144 68 24, 090, 425 43 31, 794, 038 87 28, 505, 498 77 26, 400, 016 42 23, 797, 544 40 27, 977, 978 30 23, 327, 287 69 21, 385, 862 59 23,198, 382 37 27, 572,216 87 the half y e a r from J a n REPORT OF THE SECRETARY OF THE TREASURY. 15 June 30,1879, hy calendar years to 1843 and hy fiscal years {ended June 30) from that time. lS[&t ordinary ex penditures. Premiums. $1, 919, 589 52 5, 896, 258 47 1, 749, 070 73 3, 545, 299 00 4, 302, 541 72 2, 551, 303 15 2, 836,110 52 4, 651, 710 42 6, 480,166 72 7, 411, 369 97i 4, 981, 669 901 3, 737, 079 91 4, 002, 824 241 4, 452, 858 91 6, 357, 234 62| 6, 080, 209 36 4, 984, 572 89 C, 504, 338 85 7, 414, 672 14 5, 311, 082 28 5, 592, 604 86 17, 829,498 70 28, 082, 396 92 30, 127, 686 38 26, 953, 571 00 23, 373, 432 58 15, 454,-609 02 13, 808, 673 78 16, 300, 273 441 13, 134, 530 57 10, 723,479 07 9, 827, 643 51 9, 784,154 591 15, 330,144 71 11, 490, 459 94 13, 062,316 27| 12, 653, 095 65 13, 296, 041 45 12, 641, 210 40 13, 229, 533 33 13, 864, 067 90i 16, 516, 388 77 22, 713, 755 11 18, 425,417-25 17, 514, 950 281 80,-808,164 04| 37, 243, 214 24 83, 849, 718 08| 20, 496, 948 73 24, 139,920 11 26, 196, 840 29| 24, 3G1, 336 59 11, 256, 508 60 20, 650,108.011 21, 895, 309 01 $18,231 43 26, 418, 459 59| 53, 801, 569 37 227, 454 77 45, 39, 933,542 61 82,865 81 37, 16.5, 990 09 44, 054,717 66 69, 713 19 389, 954 56 40, 170, 063 421 44, 078,156 35 420, 498 64 967, 528 42 51, 50, 316,197 72 2, 877, 818 69] 872, 047 39 772, 527 64 66, 385, 372 90 66,1, 041,143 70 303, 572 39 330,437 17 72, 574,443 08 66, 355, 950 07 056. 754 71 60, 62,l, GIG, 055 78 456, 379, 896 81' 694,:, 004, 575 561 811,, 283, 679 141 aary I, 1843, to J u n e 30, 1843. Interest. $1,177, 863 03 2, 373,611 28 2, 097,859 17 2,752, 523 04 2, 947,059 06 8,239, 347 68 3,172, 516" 73 2, 955,875 90 2, 815,651 41 3,402, 601 04 4,411, 830 06 4, 239,172 16 462 36 • 3, 949, 4,185, 048 74 2, e57,114 22 3, 368,968 26 3, 369,578 48 2, 557,074 23 2, 866,074 90 . 8,163,671 09 2, 585,435 57| 2,451, 272 571 3, 599,455 22 4, 593,239 04 5, 990,090 24 7, 822,923 34 4, 530,282 55 6, 209,954 03 5, 211,730 56 5,151,004 32 5,120,073 79 5,172,788 79 4, 922, 475 40 4, 943,557 93 4, 366, 757 40 3, 975,542 95 3, 486,071 5i 3, 098,800 60 2, 542,843 231 1, 912,574 93 .1, 373,748 74 772, 561 50 303. 796 871 202', 152 57, 863 081 P u b U c debt. 984 23 693, 050 25 2, 633,048 07 2, 743,771 13 2, 841,639 37 2> 577,126 01 2, 617,250 12 976, 032 09 1, 706,578 84 1,138, 503 11 2, 879,876 98 5, 294,235 24 3, 306,697 07 3, 977,206 07 4, 583,960 63 5, 572,018 64 2, 938,141 62 7, 701,288 96 3, 586,479 26 4, 835,241 121 5, 414,564 43 1, 998,349 88 7, 508,668 22 3, 307,304' 90| 6, 638,832 11 17, 048,139 59| 20, 886,753 57 15, 086,247 59 2, 492,195 73 3,477s 489 96 3, 241,019 83 2, 676,160 33 607, 541 01 11, 624,835 83 7, 728,587 38 7, 065,539 241 6, 517,596 9, 064,637 47 . 9,860,304 77 9, 443,173 29| 14, 800,629 48 17, 007,747 79 1, 239,.746 51 5,974, 412 21 328 20 21, 822 91 5, 590,723 79 14, 996 48 10, 718,153 53 399, 833 89 3, 912,015 621 174, 598 08 5, 315,712 19 284, 977 55 7, 801,990 09 773, 549 85 338, 012 64| 523, 583 91 1, 833,452 13 11,158, 450 71 7, 530,349 49| 1, 040,458 18 842, 723 27 371, 100 04 5, 600,067 65 1,119, 214 72 765 88 13, 036,922 54| 2, 390, 12, 804,478 54 3, 565,535 78 393 03 3, 656,335 14| 3, 782, 654, 912 71 3, 696,760 T)\ 297 80 293 051 2; 152, 4, 000, 6,412, 574 01 8, 665,832 74 926 69 896 95| 17, 556, 3,070, 6, 662,065 86 2, 314,464 99| 822 371 1,953, 8, 614,618 66 1, 593,265 23 3, 276,606 05 055 67 1, 652, 7, 505,250 82 2, 637,649 70 14, 085,043 15 3,144, 120 94 13, 854,250 00 4, 034,157 30 18, 737,100 00 844 84 96, 097,322 09 13,190, 24, 729,700 62 181, 081,635 07 421 691 . 53, 685, 430, 572,014 03! Gross expenditures. B a l a n c e in Treasury at the end of the year. $3, 797,436 78 905 75 783, 444 51 8, 962,920 00 753, 661 69 6,479, 977 97 9, 041,593 17 1,151,924 17 516, 442 61 10,151,240 15 888, 995 428, 307,776 84 8, 625,877 37 1, 021,899 04 617, 451 43 "8, 583,618 41 11, 002,896 97 2,161,807 77 11, 952,534 12 2, 623,311 99 12, 273,376 94 3, 295,391 00 13, 270,487 31 5, 020,G97 64. 11, 258,983 67 4, 825,811 60 12, 615,113 721 4, 037,005 26 13, 598,309 47 3,999, 388 99 15, 021,196 26| 4, 538,123 80 11,292, 292 99 9, 643,850 07 16, 762,702 04 9, 941,809 96 3, 848,05G 78 13, 867,226 13, 309,994 49| 2, 672,276 57 13, 592,604 86 3, 502,305 80 22, 279,121 15 3, 802,217 41 39,190, 520 36 5,196, 542 00 88, 028,230 32| 1, 727,848 63 39, 582,493 3 13,106, 592 88 48, 244,495 511 22, 033,519 19 40,877, 646 04 14, 989,465 48 35,104, 875 40 1,478, 520 74 24 004,199 73 2, 079,992 38 21, 763,024 85 1,198, 461 21 19, 090,572 69 1, 681,592 24 17, 676,592 63 4, 237,427 55 15, 314,171 00 9, 463,922 81 31, 898,538 47 1, 946,597 13 23,585, 804 72 .5, 201,650 43 24,103, 398 46 6, 358,686 18 22, 656,764 04 6, 668,286 10 25, 459,479 52 5, 972,435 81 25, 044,358 40 .5, 755,704 79 24, 585,281 6, 014,539 75 30,038, 446 12| . 4,502,914 45 34, 356,698 06 2, Oil,777 55 24, 257,298 49 11, 702,905 81 24, 601,982 44 8, 892,858 4217, 573,141 56 20, 749,803 96 30, 868,-164 04 46, 708,436 00 37, 265,037 15 37, 327,252 69 39, 455,438 35 30,-891, 196 94 37, 614,936 151 33.157, 503 68 28, 226,533 81 29, 963,163 46 31, 797,530 031 28, 685,111 08 32, 936,876 53 30, 521,979 44 • 12,118,105 151 39,180, 284 74 33, 642,010 8 36, 742,829 62 30,490, 408 71| 36,194, 274 81 27, 632,282 38, 261,959 65 60, 520,851 74| 33, 079,276 43 60, 655,143 19 29, 410,612 45 56, 380,422 74 32, 827,082 69 44, 604,718 26| 35, 871,753 31 48, 470,104 31 40.158, 353 25 46, 712,608 83 43, 338,860 02 54, 577,061 74 50, 261,901 09 75, 473,170 75 48, 591,073 41 66,164, 775 90 47, 777,672 13 72,726, 341 57 49,108, 229 80 71,274, 587 .37 40, 802,855 00 82, 062,186 74 35,113, 334 22 :, 642 92 33,193, 248 60 83, 678, ', 125 65 32, 979,530 78 77, 055, 85, 387,313 08 30, 963,857 83 •, 503 7446, 965,304 87 565, 667, 046 13 899,815, 911 25, 36, 523, , 114 861134, 433,738 44 1,295, 541, 16 REPORT OF THE SECRETARY OF THE TREASURY. TABLE G.—Statement of the expfenditures of the Uniied States Year. 1865 1866 1867 1868 1869 1870 1871 1872 1873 1874 1875 1876 1877 1878 1879 War. Navy. Indians. Pensions. MisceUaneous, $1, 030, 690, 400 06 283,154, 07G 06 $122, 617, 434 07 43, 285, 662 00 $5, 059, 360 71 3, 295, 729 32 $16,347, 621 34 15, 605, 549 88 $42, 989, 383 10 40, 613,114 17 3, 568, 638, 812 28 *3, 621, 780 07 717, 551, 816 39 *77, 992 17 103, 369, 211 42 *53, 286 61 119, 607, 656 01 *9, 737 87 643, 604, 554 33 *718, 769 52 3, 572, 260, 092 35 95, 224, 415 G3 123, 240, 648 62 78, 501, 990 61 57, 655, 675 40 . 35,799,991 82 35, 372,157 20 46, 323,138 31 42, 313, 927 22 41,120, 645 98 88, 070, 888 64 37, 082, 735 90 32,154,147 85 40,425, 660 73 717, 629, 808 56 31, 034, Oil 04 25, 775, 502 72 20, 000, 757 97 21, 780, 229 87 19,431, 027 21 21, 249, 809 99 23, 526, 256 79 30, 932, 587 42 21,497, 626 27 18, 963, 309 82 14, 959, 935 36 17, 365, 301 37 15,125,126 84 103,422,498 03 4, 642, 531 77 4,100, 682 32 7, 042, 923 06 8, 407, 938 15 7,420, 997 44 7, 061, 728 82 7, 951, 704 88 6, 692,462 09 8, 384, 056 82 5, 966, 558 17 5, 277, 007 22 4, 029, 280 28 5, 206,109 08 119, 017, 393 88 20, 936, 551 71 23, 782, 386 78 28, 476, 621 78 28, 340, 202 17 34,443, 894 88 28, 533,402 76 29, 359,426 86 29,038,414 66 29,456, 216 22 28,257, 395 69 27, 963, 752 27 27,137, 019 08 35,121,482 39 644,325,323 85 51,110, 223 72 53, 009, 867 67 56, 474, 061 53 53, 237, 461 56 60,481, 916 23 60, 984, 757 42 73, 328,110 06 85,141, 593 61 71,-070, 702 98 73, 599, 661 04 58, 926, 532 53 53,177, 703 57 65,741, 555.49 4,275, 552,116 26 999,271,291 23 181,213,078 13 490,.464,161 13 1,460, 607,471 26 * Outstanding NOTE.—This statement is made from warrants paid by the Treasurer up to June 30, 1866. The out i n t h e Treasury J u n e . 30, 1879, by this statement, is $386,832,588.65, from which should be deducted $358,730,943.74. REPORT O F THE SECRETARY OF THE TREASURY. 17 from March 4, 1789, to June 30, 1879, ^c.—Continuecl. Year. Net ordinary expenditures. 1865 1866 Premiums. Intereat. Public debt. Gross expenditures. B a l a n c e in Treasury at the end of the year. $1, 717, 900 11 $77, 395, 090 30$609, 616,141 68$1, 906, 423, 331 37 $1, 217, 704,199 28 $33, 933, 657 89 385, 954, 731 43 58,476 51 133, 007, 624 91 620, 263, 249 10 1,139, 344, 081 95 165, 301, 654 7G 5,152, 771, 550 437, 611, 003 56 502, 689, 519 272, 374, 677,103 12 8, 037, 749,176 88 *4, 481, 566 24 *4, 484, 555 03 *4,484, 555 03 *2, 888 48 .*100 .'Jl 1867 1868 1869 1870 1871 1872 1873 1874 1875 1876 1877 1878 1879 5,157, 253,116 677, Oil, 003 56 502, 692, 407 752, 374, 677, 203 43 8, 042, 233, 731 41 160, 817, 099 73 202, 947, 733 87 10, 813, 349 38 143, 781, 591 91 735, 530, 980^11 1, 093, 079, 655 27 198, 076, 537 09 229. 915, 088 11 7, 001,151 04 140, 424, 045 71 692, 549, 685 88 1, 069, 889, 970 74 158, 936, 082 87 190; 490, 354 95 1, 674, 680 05 130, 694, 242 80 261, 912, 718 31 584, 777, 996 11183, 781, 985 7G 164, 421, 507 15 15, 996, 555 60 129, 235, 498 00 393, 254, 282 13' 702, 907, 842 88 177, 604,116 51 157, 583, 827 589, 016, 794 74 125, 576,-565 93 899, 503, 670 65 691, 680, 858 901.38,019,122 15 153, 201, 856 19 6, 958, 266 76 117,357, 839 72 405, 007, 307 54 682, 525, 270 21 134, 666, 001 85 180, 488, 636 90 5,105, 919 99 104,750,688 44 233, 699, 352 58 524, 044, 597 91159, 293, 073 41 194,118, 985 001, 395, 073 55 107,119,815 21 422, 065, 060 23 724, 698, 933 99178, 833, 339 54 171, 529, 848 27 103, 093, 544 57 407, 377, 492 48 682, 000, 885 32 172, 804, 061 32 164, 857, 813 30 100, 243, 271 23 449, 345, 272 80 714, 446, 357 39 149, 909, 377 21 144, 209, 963 28 97,124, 511 58 823, 965, 424 05 565; 299, 898 91 214, 887, 645 88 102, 500, 874 65 353, 076, 944 90 590, 641, 271 70 286, 591, 453 88 . 134, 463, 452 15 105, 327, 949 00 699; 445, 809 16 386, 832, 588 65 161, 619, 934 53 966, 393, 692 69 2, 009, 922, 846 50:8.1.52. 017. 204 25 17, 634, 620, 963 43 7, 407,108,118 01 65, 572, 794 67 ' ' ' jtanding warrants are then added, and the statement is by warrants issued from that date. The balance bhe amount deposited with the States, $28,101,644.91,. leaving the net available balance June 30, 1879, . 2F TABLE H.-^Staietnent showmg the condition of the sinlcing-fund from its institution in May, 1869, to and including June 30, 1879. T H E SECRETARY OF T H E T R E A S U R Y I N ACCODNT W I T H SINKING-FUND. BR. July 1,1868 J u n e 30,1869 T o ^ of 1 p e r cent, on t h e p r i n c i p a l o f t h e p u b l i c debt, bei n g for t h e t h r e e m o n t h s from A p r U 1 t o J u n e 30,1868.. T o i n t e r e s t on $8,691,000, b e i n g a m o u n t of p r i n c i p a l of p u b l i c d e b t p u r c h a s e d d u r u i g fiscal y e a r 1869 on t h i s account Balance to new account $6, 529,219 63 -^ J u n e 30,1869 B y a m o u n t of p r i n c i p a l p u r c h a s e d , $8,691,000, i n c l u d i n g $1,000 donation, e s t i m a t e d in gold : B y a c c r u e d i n t e r e s t on t h e a m o u n t of p u r c h a s e s i n 1869.: OO CR. $7, 261, 437 30 130,392 56 196, 590 00 672, 020 23 0 7,397,829 86 7, 397, 829 86 •n 0 July 1,1869 J u n e 30,1870 T o 1 p e r cent, on t h e p r i n c i p a l of t h e p u b l i c d e b t on . J u n e 30,1869, $2,588,452,213.94 T o i n t e r e s t on $8,691,000, a m o u n t of r e d e m p t i o n i n 1869 . T o i n t e r e s t on $28,151,900, a m o u n t of p r i u c i p a l of p u b U c d e b t p u i c h a s e d d u i i n g fiscal y e a r 1870 on t h i s a c c o u n t . 25, 884, 522 14 521,460 00 J u l y 1,1869 J u n e 30,1870 1, 254, 897 00 B y b a l a n c e from l a s t y e a r i..... B y a m o u n t of p r i n c i p a l p u r c h a s e d , $28,151,900, e s t i m a t e d i n gold °. :". B y a c c r u e d i n t e r e s t p n a c c o u n t of p u r c h a s e s in 1870 . . . By balance to new a c c o u n t . . . . . . . . . . . . * . . . . . . 1,1870 J u n e 30,1«7I T o b a l a n c e from l a s t y e a r T o 1 p e r cent, on t h e p r i n c i p a l of t h e p u b U c d e b t on J u n e 30, 1870, $2,480,672,427.81 T o i n t e r e s t on r e d e m p t i o n of 1869, $8,691,000 T o i n t e r e s t on r e d e m p t i o n of 1870, $28,151,900 T o i n t e r e s t on $29,936,250, a m o u n t o f p r i n c i p a l of p u b l i c d e b t p u i c h a s e d d u r i n g fiscal y e a r l 8 7 1 on t h i s a c c o u n t 744, 711 80 24, 806, 724 28 521, 460 00 1, 689,114 00 J u n e 30,1871 B y a m b u n t of p r i n c i p a l p u r c h a s e d , $29,936,250, e s t i m a t ed in gold B y a c c r u e d i n t e r e s t on a c c o u n t of p u r c h a s e s in 1871 . . By balance to new account 1,1871 T o b a l a n c e from l a s t y e a r , T o 1 p e r cent, on t h e p r i n c i p a l of t h e p u b U c d e b t on J u n e 30,1871, $2,353,211,332.32 J u n e 30,1872 T o i n t e r e s t on r e d e m p t i o n of 1869, $8,691,000 T o i n t e r e s t on r e d e m p t i o n of 1870, $28,151,900 T o i n t e r e s t on r e d e m p t i o n of 1871, $29,936,250 T o i n t e r e s t on l e d e m p t i o n of $32,618,450, a m o u n t of p r i n c i p a l of p u b l i c d e b t p u r c h a s e d d u r i n g fiscal y e a r 1872 on t h i s a c c o u n t . . . : ' To balance to new account. 28, 694, 017 73 367, 782 53 257, 474 82 0 > 0 1, 557, 264 50 29, 319,274 58 29, 319, 274 58 July 25, 893,143 57 351, 003 54 • _ 744,711 80 27, 660, 879 14 27, 660, 879 14 July 672, 020 23 257,474 32 23, 532,113 521,460 1, 689,114 1, 796,175 32 00 00 00 J u n e 30,1872 B y a m o u n t of p r i n c i p a l p u r c h a s e d , $32,618,450, estimated i n gold : B y a c c r u e d i n t e r e s t on a c c o u n t of p u r c h a s e s in 1 8 7 2 . . . 32, 248, 645 22 430, 908 38 2, 059, 325 50 2, 823, 891 46 32, 679, 553 60 > Ul 1 .•32,079,553 60 r 'July 1,1872 J u n e 30,1873 To 1 percent, on the principal ofthe public debt on J u n e 30,1872, $2,253,251,328.78 '-. To interest on redemption of 1869, $8,691,000 To interest on redeinption of 1870, $28,151,900 To interest on redemption of 1871, $29,936,250 To interest on redemption of 1872, $32,618,450 . . . . . . . . . To interest on redemption of $28,678,000, ambunt of principal of public debt purchased during fiscal year 1873 on this a c c o u n t . . . . . . . . ^ . . . . . . . . : ...........1... To balJance to hew a c c o u n t . . . - - . . . . . . . . - . . . - 1 . .... J u l y 1,1872 By balance from last year -^ - - 22, 532, 513 29 J u n e 30,1873 By amount of principal purchased, $28,678,000, estima'521,460 00 ted in gold -. 1,689,114 00 By accrued iuterest on account of purchases in 1873.. -, 1,796/175 00 . 1, 957,107 00 ...2,823,891.46 28,^457, 562.'^3 392,385 45 1, .725, 881 50 1, 451,.5S8 95 .o 31,673,839 74 31,673,839 74 O w July 1,1873 J u n e 30,1874 To 1 per cent, on the principal of the public debt on J u n e 30,1873, $2,234,482,993.20.......:....-... To interest oh redem^ptibh of 1869, $8,691,000....: .., To interest on redemption of 1870, $28,151,900 . . . . . . . . . . To interest on redemption of 1871, $29,936,250 . . .... To interest on redemption of 1872; $32,618,450 . . . . 1. To interest on redemption of 1873, $28,678,000 . . . . . . . . . . To interest on redemption of $12,930,450, amount of principal of pubUc debt purchased during fiscal year 1874 on this account .... J u l y 1,1873 By balance from last year. ,. : 22,344,829 93 June 30,1874 By amount of principal purchased, $12,936,450,-estima521,460 00 ted in gold : 1, 689,114 00 By accrued interest on account of purchases in 1874. .^ 1, 796,175 00 By balance '. -, 1, 957,107 00 I, 720, 680 00 .1, 451, 588 95 m 12, 872, 850 74 .. W 222, 586 28 " o 16, 305, 421 96 • w : H • H ^ '> 823, 082 00 o •30, 852, 447 93 30, 852, 447 93 J u n e 30,1875. By amount of principal redeemed, estimated in gold . . 22, 516, 904 68 By accrued interest on account of redemption in 18751 . 521, 460 00 By balance '. 25,170,400 00 • H 353, 061 56 - w . 5, 996, 039 62 '^ July 1,1874 June 30,1875 To 1 per coit. on the principal ofthe public debt on June 30,1874,12,251,690,468.43 , To interest on redemption of 1869, $8,691,000 To interest on redemption of 1870, $28,151,900 . . . . . . - - . , To interest on redemption of 1871, $29,936,250 . . . . . . . . . To interest on' redemption of 1872, $32,618,450 . . . . . To interest on redemption of 1873, $28,678,000 To interest on redemption of 1874, $12,936,450 . : To-interest on redemption of $25,170,400, amount of principal bf inibUcdebt " p a i d " duriugfiscal year 1875on this account ..'.. .1., 1, 689,114 00 1, 790,175 00 ' 1,957,107 00 1, 720, 680 00 776,087 00 ; Ul • a 641, 973 50 31, .519, 5(31 18.. 31,519,501 18 CO TABLE H.—Statement shoiving the condition of the sinking-fu7id, tfc.—Continued. T H E SECRETARY OF T R E TREASURY I N ACCOUNT W I T H DR. July 1,1875 J u n e 30,1876 T o 1 p e r cent, ou t h e p r i n c i p a l of t h e p u b U c d e b t on J u u e 30,1875, $2.232,284,531.95 T o i n t e r e s t on r e d e m p t i o n of 1869, $8,691,000 T o i n t e r e s t on r e d e m p t i o n of 1870, $28,151,900 T o i u t e r e s t on r e d e m p t i o n of 1871, $29,936,250 •To i n t e r e s t on r e d e m p t i o n of 1872, $32,618,450 T o i n t e r e s t on r e d e m p t i o n of 1873, $28,678,000 T o i n t e r e s t ou re.demption of 1874, $12,936,450 T o . i n t e r e s t ou r e d e m p t i o n of 1875, $25,170,400 T o i n t e r e s t o n r e d e m p t i o n of $32,183,488.09, a m o u n t of p r i n c i p a l of p u b U c d e b t " p a i d " d u r i n g fiscal y e a r 1876 on t h i s a c c o u n t J u n e 80,1876 ^22, 322, 845 32 521, 460 00 1, 689,114 00 1, 796,175 00 1, 957,107 00 1, 720, 680 00 776, 087 00 1, 510, 224 00 By By By By By By SINKING-FUND. amount accrued amount amount amount balance of p r i n c i p a l redeemed, e s t i m a t e d in gold . i n t e r e s t on a c c o u n t of r e d e m p t i o n in 1876 of fractional c u r r e n c y r e d e e m e d ;... of l e g a l - t e n d e r s r e d e e m e d of certificates of i n d e b t e d n e s s r e d e e m e d . .' :... 1,1876 J u n e 30,1877 T o 1 p e r cent, on t h e p r i n c i p a l of t h e p u b U c d e b t on J u n e 30,1876, $2,180,395,007.15 T o i n t e r e s t on r e d e m p t i o n of 1869, $8,691,-000 T o i n t e r e s t on r e d e m p t i o n of 1870, $28,151,900 T o i n t e r e s t on r e d e m p t i o n of 1871, $29,936,250 T o i n t e r e s t on r e d e m p t i o n of 1872, $32,018,450 T o i n t e r e s t on r e d e m p t i o n of 1873, $28,G78,000 T o i n t e r e s t on r e d e m p t i o n of 1874, $12,936,450 T o i n t e r e s t on r e d e m p t i o n of 1875, $25,170,400 T o i n t e r e s t on r e d e m p t i o n of 1876, $32,183,488.09 T o i n t e r e s t ou r e d e m p t i o n of $24,498,910.05, a m o u n t of p r i n c i p a l of p u b l i c d e b t " p a i d " d u r i n g fiscal y e a r 1877 on t h i s a c c o u n t 1,1877 J u n e 30,1878 T o 1 iper cent, on t h e p r i n c i p a l of t h e p u b U c d e b t on J u n e 80,1877, $2,205,301,392.10 T o i u t e r e s t on r e d e m p t i o n of 1869, $8,691,000 T o i n t e r e s t on r e d e m p t i o n of 1870, $28,151,900 T o i n t e r e s t on r e d e m p t i o n of 1871, $29,936,250T o i n t e r e s t on r e d e m p t i o n of 1872, $32,618,450 T o i n t e r e s t on r e d e m p t i o n of 1873, $28,678,000 T o i n t e r e s t on r e d e m p t i o n of 1874, $12,936,450 T o i n t e r e s t on r e d e m p t i o n of 1875, $25,170,400 T o i n t e r e s t on r e d e m p t i o n of 1876, $32,183,488.09 T o i n t e r e s t on r e d e m p t i o n of 1877, $24,498,910.05 T o i n t e r e s t on r e d e m p t i o n of $17,012,634.57, a m o u n t of p r i n c i p a l of p u b l i c d e b t " p a i d " d u r i n g fiscal y e a r 1878 ou t h i s a c c o u n t o o 1, 291, 083 50 J u n e 30,1877 21,803,950 67' 521,460 00 1, 689,114 00 1,796,175 00 1, 957,107 00 1,720, 680 00 776,087 00 1,510,224 00 1,931, 009 28 By By By By By amount accrued amount amount balance of p r i n c i p a l r e d e e m e d , e s t i m a t e d in gold . i n t e r e s t on a c c o u n t of r e d e m p t i o n in 1877 of fractional c u r r e n c y r e d e e m e d of l e g a l - t e n d e r s r e d e e m e d 33, 584, 775 82 r3 447, 500 00 5,776 52 14, 043. 458 05 .10, 007, 952 00 9, 225,146 63 fej Ul M o W W H > W K o ^ 33, 729, 833 20 83, 729, 833 20 July $18, 444, 050 00 257, 517 91 7, 062,142 09 5, 999, 296 00 • 678, 000 00 1,143, 769 82 H O 33, 584, 775 82 July IN:) CR. J u n e 30,1878 22, 053, 013 92 521, 460 00 1, 689,114 00 1, 796,175 00 1, 957,107 00 1, 720, 680 00 776, 087 00 1,510,224 00 1, 931, 009 28 1,469, 934 GO 35, 429, 001 80 By By By By By a m o u n t of p r i n c i p a l redeemed, e s t i m a t e d in gold . a c c r u e d i n t e r e s t on a c c o u n t of r e d e m p t i o n in 1878 a m o u n t of fractional c u r r e n c y r e d e e m e d a m o u n t of. l e g a l - t e n d e r s r e d e e m e d balance 73, 950 00 809 92 3, 855, 368 57 13, 083, 316 00 . 18, 415, 557 31 35, 429, 001 80 H W t:^l To 1 per cent, on the principal of the public debt on June 30,1878, $2,256,205,892.53 To interest on redemption of 1809, $8,691,000 To iuterest on redemption of 1870, $28,151,900 To interest on redemption of 1871, $29,936,250 To interest on redemption of 1872, $32,618,450 To interest on redemption of 1873, $28,678,000 To interest on redemption of 1874, $12,936,450 To interest on redemption -of 1875, $25,170,400 To interest on redemption of 1876, $32,183,488.09 .., To interest on redemption of 1877, $24,498,910.05 To interest on redemption of 1878, $17,012,634.57 To interest on redemption of $723,662.99, amount of principal of public .debt " p a i d " during fiscal year 1879 on this account June 30,1879 22, 5G2, 058 93 521, 460 00 1, 689,114 00 1, 796,175 00 1, 957,107 00 1, 720, 680 00 776, 087 00 I, 510, 224 00 1, 931. 009 28 1, 469, 934 60 I, 020, 758 07. By By By By ainount of principal redeemed, estimated in gold . . accrued interest on account of redemption in 1879 . amount of fractional currency redeemed balance 18, 500 00 308 77 705,162 99 36, 231, 632 87 ./O H O 996 75 36, 955, 604 63 36,955,604 63 \^ Ul o >< O w td > Ul d Kj to TABLE 1.—Statemeni shoiving the purchase of honds on account of ihe sinhing-fund during each fiscal year from its institution in May, 1869, to and including June 30, 1879. Year ended— Principal reP r e m i u m paid. deemed. Net cost in cui-rency. st d u e Net cost esti- I n at et r eclose of mated in gold. fiscal y e a r . Accrued iuterest J) aid iu coin. to tN3 Balance of interest due at close of fiscal year. 1j O J U N E 30, Five-twenties Five-twenties Five-twenties Five-twenties Consols, 1865 Consols, 1867 Consols, 1868 of of of of 1869. 1862 M a r c h , 1864 J u n e , 1864 1865 $1,621, 000 70, 000 1, 051, 000 405, 000 461, 000 4, 718, 000 305, 000 00 00 00 00 00 00 00 8, 691, 000 00 Total $253, 822 84 11,725 00 161,946 45 74, 969 00 7.3,736 80 749, 208 08 49, 442 50 $1, 874, 822 84- $1, 849, 970 02 81, 725 00 57, 552 82 1,212, 946 45 873, 205 61 539, 969 00 387, 566 28 534, 736 80 887, 903 26 5,467, 208 08 3, 948, 586 11 354, 442 50 256, 653 20 1, 374, 850 67 10, 065, 850 67 7, 261, 437 30 $16,210 700 10, 510 4, 050 13, 8?0 141, 540 9,150 00 00 00 00 00 00 00 $7,384 60 218 63 1, 470 42 2, 683 54 429 04116, 032 35 8,173 98 $8, 825 40 •481 37 9, 009 58 1, 966 46 13,400 96 23, 507 66 976 02 198, 590 00 136, 392 56 60,197 44 of of of of 1862 M a r c h , 1864 J u n e , 1864 1865 160, 919 50 5, 3t)0 00 165, 8?4 00 105,257 50 495,421 50 302, 734 50 19, 380 00 45, 994 49 1, 080 90 49, 946 00 37,113 5Q 145, 518 29 66, 111 51 5, 238 73 114, 925 01 4, 269 01 115. 888 00 68,143 97 849, 903 21 236, 62*3 90 14,141 27 Total 1, 254, 897 00 351, 003 54 903, 893 46 td - 3, 542, 050 85, 000 3, 971, 400 2, 790, 250 11, 532,150 5, 882, 550 348, 500 00 00 00 00 00 00 00 493,479 42 15, 742 87 506,189 91 361, 735 43 1,454,778 37 861, 763 73 53,363 95 4, 035, 529 42 3, 263, 099 51 100, 742 87 75, 658 54 4,477, 589 91 3, 647, 628 29 3,151, 985 43 2, 606, 630 20 12, 986, 928 37 10, 681, 736 97 6, 744, 313 73 5, 309, 810 90 401, 863 95 308, 573 16 28,151, 900 00 3,747, 053 68 31, 898, 953 68 25, 893,143 57 J U N E 30,1871. F i v e - t w e n t i e s of F i v e - t w e n t i e s of F i v e - t w e n t i e s of F i v e - t w e n t i e s of Consols, 1865 Consols, 1867 Consols, 1 8 6 8 . . Total 1862 M a r c h , 1864 J i m e , 1864 1865 td cc td o JUNTL 30, 1870. Five-twenties Five-twenties Five-twenties Five-twenties Consols, 1865 Consols, 1867 Consols, 1868 W ' H O 2,792, 950 29, 500 3,967,350 6, 768, 600 10, 222, 200 6,103, 050 52, 600 00 00 00 00 00 00 00 29,936,250 00 227, 607 2, 277 340, 529 574, 923 850, 949 541, 559 4, 784 56 20 63 00 79 41 61 3, 020, 557 56 31.777 20 4, 307, 879 68 7, 343, 523 00 11, 073,149 79 6, 644, 609 41 57, 384 61 2, 542, 631 20 32,478, 881 20 2, 680, 209 05 28, 590 88 8, 847,182 42 6, 525, 231 42 9, 762, 387 78 5, 800, 618 37 49, 797 81 28,694,017 73 145, 975 00 1, 240 00 201, 375 00 331, 933 50 522,117 00 351, 528 00 3, 096 00 1, 557, 264 50 36, 657 80 S88 35 51,703 46 92, 259 58 109, 455 28 76, 745 93 572 13 367, 782 53 109, 317 20 851 05 149, 671 54 239, 673 92 412, 661 72 274,782 07 2. 523 87 1,189,481 97 KJ Q w td H cdUl d J U N E 80, 1872. Five-tweuties Five-twenties Five-twenties Five-twenties Cousols, 1865 Consols, 1867 Cousols, 1868 of of of of 1802 March, 1864 June, 1864 1865 '. 6,417,850 00 127,100 00 -3,604,650 00 3, 635, 200 00 11, 788, 900 00 6, 958, 900 00 . 85, 850 00 .^. - . . Total 764, 055 21 7,181, 905 21 14, 959 03 142, 059 03 438, 656 16 4, 043, 306 16 436, 838 70 4, 072, 038 70 1,436,989 46 13, 225, 889 46 833, 600 15 ' 7,792,500 15 9, 951 63 95, 801 63 1 32, 618. 450 00 . 3; 935, 050 34 36,553,500 34 .......: 6, 345, 391 98i 126,123 46 3, 573, 223 63 . 3, 594, 747 85 11,660,785 89 6, 863, 777 39 84, 595 02 • 32, 248, 645 22 427, 849 00 8, 894 00 246,001 50 246, 562 00 707, 334 00' 417, 534 005,151 00 2, 059. 325 50 75,179 43 1, 338 70 57, 449 80 87, 817 37 149, 248 21 108, 487 92 1, 386 95 430, 908 38 352, 669 57 7, 555 80 188, 551 70 208, 744 60 558,085 79 309, 046 08 3, 764 05 1,628,417 12 td O H J U N E 30,1873. Five-twenties Five-t wen ties Five-twenties Five-twenties Cousols, 1865 Consols, 1867 Consols, 1868 of of of of 1862 March, 1864 June, 1864 1865 O . .............;... Total,.. .....i.i...i. . 7,137,100 00 50, 000 00 3, 741,150 00 1, 959, 850 00 10, 768, 250 00 - 4, 402,100 00 619, 55.6 00 • 925, 783 87 7, 372 50 480, 684' 37 250, 635 93 1, 371,187 17 553,-610 89 81, 983 44 8,062,883 87 . 57, 372 50 4, 221, 834 37 2, 210, 485 93 12, lH9,-437 17 4, 955, 710 89 701, 533 44 7, 089, 542 58 49, 780 91 3, 715, 211 22 1, 943, 488 93 10, 668, 617 09 4, 373, 781 76 617,140 84 431,450 50 3, 500 00 223, 270 50 120, 266 50 646, 095 00 264,126 00 37,173 00 28,678,000 00 3, 671, 258 17 32, 349,-258 17 28, 457, 562 83 1, 725, 881 50 101, 960 57 813 70 42, 216 46 23, 744 47 145,069 34' 69, 632 51 8, 948 40 392, 385 45 329,489 93 2, 686 30 181, 054 04 96, 522 03 501, 025 66 194, 493 49 28, 224 60 1,333,496.05. W td QQ td o td J U N E .30, 1874, Five-twenties of 1862 Five-twenties of .lune, 1864 Five-twenties of 1865 Consols, 1865 Consols, 1867 .:.....•.•. Consols, 1868 .-, ....:. ..^ TotaL.............. 1,421, 700 00 2, 020, 550 00 1, 247, 250 00 3, 393, 650 00 4, 051, 000 00 802, 300 00 161, 219 79 218, 457 39 135, 577 95 360, 964 62432,348-18 86, 505 62 12, 936, 450 00 1, 395, 073 55 1, 582, 919 79 2, 239, 007 39 1, 382, 827 95 3,754,614 62 4, 483, 348 18 888, 805 62 14, 331,523 55 1,415,391 05 2, 012, 051 32 1, 241, 571 69 3,374,934 42 4, 029, 975 86 798, 926 40 99, 519 00 141, 438 50 87, 307 50 203,619 00 243, 060 00 48,138 00 31, 743 95 48, 013 46 • 29, 348 19 46,489 33 55, 976 97 11, 014 38 67, 775 05 93, 425 04 57, 95.9 _31 157,129 67 .187, 083 03 37,123 62 • 12, 872, 850 74 823, 0.82 00 222, 586 28 600, 495 72 25,17.0, 400 00 25,170, 400 00 541, 973 50 td . 353, 061 56 188,911 94 Total Ul d J U N E 30, 1876. Five-twenties of 1862 Five-twenties of J une, 1864. Five-twenties of 1865 td H J U N E 30, 1875. Five-twenties of 1862., Kl O Kj 5, 785,' 200 00 10, 869, 600 00 1, 789, 250 00 18,444,050 00 5, 785, 200 00 - 10, 869, 600 00 1, 789, 250 00 404, 964 00 760, 872 00 18 444 050 00 1 ^Qi OR.^ .^^n 1 19.^ 9.4-7 F^O _^^^^ . 54, 745 72' 171, 966 33 30,305 86 • 350, 218 28 588, 9a5 67 ' 94,. 441 G4 257,517 91 1, 033, 565 59 OO TABLE I.—Statenient shoiving the purchase of honds on account of ihe sinUng-fund, c^c.—Continued. Y e a r ended— Principal re- Preinium paid. deemed. N e t cost i n currency. N e t cost estim a t e d i n gold. Interest d u o a t close of fiscal y e a r . to A c c r u e d interest paid in coin. B a l a n c e of i n teiest due a t c l o s e o f fiscal year. td JUNE O 30,1877. F i v e - t w e n t i e s of 1862 F i v e - t w e n t i e s of J u n e , 1864 F i v e - t w e n t i e s of 1865 Consols 1865 Consols, 1867 $81,200 00 - 178, 900 00 180, 350 00 6, 050 00 1, 000 00 Total 447, 500 00 • $81,200 00 178, 900 00 180, 350 00 6, 050 00 1,000 00 $4, 352 9, 943 9, 519 181 30 25 50 00 50 00 447, 500 00 24, 026 25 H $1,181 67 1,323 60 8,141 08 108 97. 21 20 $3,170 56 8, 619 90 6,377 92 72 53 8 80 O 5,776 52 18, 249 73 w td J U N E 30, 1878. F i v e - t w e n t i e s of 1862 F i v e - t w e n t i e s of J u n e , 1864 F i v e - t w e n t i e s of 1865 Consols 1865 Consols' 1867 Consols, 1868 Total JUNE 17, 900 00 15, 900 00 2, 350 00 23,600 00 5, 700 00 8, 500 00 17,900 00 15, 900 00 2, 850 00 23,-600 00 5, 700 00 8, 500 00 966 834 129 1,410 342 510 73, 950 00 73, 950 00 4,197 00 809 92 165 94 85 102 543 6 40 35 18 53 41 22 41 49 166 62 56 2, 650 3,150 1, 850 1, 700 9, 050 100 00 00 00 00 00 00 2, 650 3,150 1, 850 1,700 9, 050 100 18, 500 00 Grrand t o t a l . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ^ . . . . 185,166,450 00 ' 00 00 00 00 00 00 192 78 40 273 134 89 65 41 92 35 76 83 773 755 88 1,142 207 420 85 59 08 65 24 17 3, 387 08 O td Kj O 30,1879. F i v e - t w e n t i e s of 1862 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . F i v e - t w e n t i e s of J u n e , 1864 F i v e - t w e n t i e s of 1865 Consols 1865 Consols, 1867 Consols 1868 Total Ul $16, 665, 917, 61° $157,677, 967 61 00 00 00 00 00 00 75 5050 00 00 00 18, 500 00 . 996 75 179, 582, 057 39 9,479, 317 50 125 75 44 60 376 5 40 97 28 51 38 44 w td H td > • - 308 77 687 98 Ul 2, 518, 533 42 6, 960,784^08 Kj , d TABLE K.—Statement of ihe outstanding principal of the puhlic deht of the United Staies, June 30, 1879. Length of When redeem- Kates of in- atPrice author- Amount issued. Amount outwhich Amount terest. able. loan. ized. standing. sold. td OLD DEBT. On demand . . . 5 and 6 per cent. Unclaimed dividends upon debt created prior to 1800, andthe principal and interest ofthe outstanding debt created during the war of 1812, and up to 1837. (For detailed information in regard to earUer loans see Finance Report for 1876.) . » $57, 665 00 H O • TREASURY NOTES PRIOR TO 1846. o >^ The acts of October 12,1837 (5 Statutes, 201); May 21,1838 (5 Statutes, l a n d 2 years. 1 and 2 years 1 mill to 6 Par per cent. 228); March 31,1840 (5 Statutes, 370); February 15,1841 (5 Statutes, fiom date. 411); Jauuary 31,1842 (5 Statutes, 469); August 31,1842 (5 Statutes, 581); and March 3,1843 (5 Statutes, 614), authorized the issue of Treasury notes in various amounts, and with interest at rates named therein,"from 1 miU to 6 per centum per annum. 82 525 36 td Ul td Q TREASURY NOTES Oi' 1846. The act of July 22,1846 (9 Statutes, 89), authorizerl "tlie issue of Treas- l y e a r . . . . . . . One year from 1 inill and P a r . . . . . $10,000,000 00 5§ percent ury notes in such sums as the exigencies of the govemment mightredate. quire, the amount outstanding at any one time not to exceed $10,000,000, to bear interest at not exceeding 6 per centum per annum, redeemable one year from date. These notes were receivable in payment of all debts due the United States, including customs-duties. $7,687,800 00 6,000 00 td > Kj O MEXICAN INDEMNITY A proviso in the civU and diplomatic appropriation act of August 10, 1846 (9 Statutes, 94), authorized the payment of the principal and interest ofthe fourth and fifth installments ofthe Mexican indemnities, due AprU and July, 1844, by the issue of stock, with interest at 5 per centum, payable in five years. ° 5 years April and July, 5 p e r c e n t . . . Par 1849. 350,000 00 303, 573 92 1,104 91 •• td > TREASURY NOTES OF 1847. The act of January 28, 1847 (9 Statutes, 118), authorized the issue of land 2 years. After 60 days' $23,000,000 Treas'ury notes, with interest at not exceeding 6 per centum notice. per annum, or the issue of stock for any portion of the amount, with interest at 6 per centum per annum. The Treasury notes under this act were redeemable at the expiration of one or two years; and the interest was to cease at the expiration of sixty days' notice. These notes were receivable in payment of aU debts'due tlie United States, including customs-duties. * Including reissues. td Ul 5 | and 6 per cent. Par 23, 000, 000 00 *26,122,100 00 950 00 d Kl TABLE K.—Stateinent of loans made hy the United States, ^c.—Continned. tO- Price Length of When redeem- Rates of inauthoroutat which Amount Amount issued, Amount loan. able. terest. ized. standing. sold. * LOAN OF 1847. The act of .January 28,1847 (9 Statutes, 118), authorized the issue of 20 years. $23,000,000 Treasury notes, with interest at not exceeding 6 per centum per annum, or the issue of stock for any portion of the amount, with interest at 6 per cent, per annum, reiinbursable after December 31,1867. Section 14, authorized the conversion of Treasury notes under this or any preceding act jnto like stock, which accounts for the apparent overissue. January 1,1868 6 per cent.. .0125 to $23,000, 000 00 *$28,207,000 00 .02 per cent, p remitim. td $1,250 00 o H O BOUNTY-LAND SCRIP. The 9th section of the act of February II, 1847 (9 Statutes, 125), au- Indefinite.. thorized the issue of land-warrants to soldiers of the Mexican war, or scrip, at the option of the soldier, to. bear 6 per centum interest per annum, redeemable at the pleasure of the government, by notice from the Treasury Department. Interest ceased July 1,1849. July 1,1849 . . 6 per cent.. Par. Indefinite. 233, 075 00 3, 300 00 Ul td o TEXAN INDEMNITY STOCK. The act of September 9,1850 (9 Statutes, 447), authorized the issue of $10,000,000 stock, with interest at 5 per centum per anniim, t o t h e State of Texas, in satisfaction of aU claims against the United States arising out of the annexation of the said State. The stock was to be redeemable at the end of fourteen years. 14 years. January 1,1865 5 per cent.. Par. 10, 000,000 00 5,000,000 00 21, 000 00 Federal Reserve Bank of St. Louis td - W K| TREASURY NOTES OF 1857. The act of December 23,1857 (11 Statutes, 257), authorized the issue of 1 year., $20,000,000 in Treasury notes, $0,000,000 with interest at not exceeding 6 per centum per annum, and the remainder with interest at the lowest rates-offered by bidders, but not exceeding 6 per centum per annum. These notes were redeemable atthe expiration of one year, and interest was to cease at the expiration of sixty days' notice after maturity. They worn receivable in payment of all debts due the United States, including customs-duties. LOAN OF 1858. . The act of June 14,1858 (11 Statutes, 365), authorized a loan of 15 years. $20,000,000, with interest at not exceeding 5 per centum per annum, and redeemable any time after January 1,1874. ', LOAN OF 1860. The act of June 22, 1860 (12 Statutes, 79), authorized a loan of 10 years .$21,000,000 (to be used in redemption of Treasury notes) with inter est at not exceeding 6 per centum per annum, redeemable in notless than ten nor more than twenty years. http://fraser.stlouisfed.org/ w 60 days'notice. 5 and 5-^ per P a r . cent. 20,000,000 00 20, 000, 000 00 I, 700 00 O w td H td : January 1,1874 5 per cent... .0205 to .0703 premium. 20, 000, 000 00 Par to .0145 premium. 21, 000, 000 00 January Ij 1871 5 per cent.. nx-A-rain-n n f TvpasmrTr n f t f AO 20, 000, 000 00 48, 000 00 ;> Ul d . Kj 7, 022, 000 00 10, 000 00 LOAN OP FEBRUARY, 1861 (1881 s). T h e a c t of F e b r u a r y 8, 1861 (12 S t a t u t e s , 129), a u t h o r i z e d a l o a n of 1.10 or 20 y ' r s . I J a n u a r y 1,1881 6 p e r c e n t . . . $25,000,000, w i t h i n t e r e s t a t n o t e x c e e d i n g 6 p e r c e n t u n i p e r a n n u m , r e i m b u r s a b l e i n n o t less t h a n t e n n o r m o r e t h a n t w e n t y y e a r s from t h e d a t e of t h e a c t . TREASURY NOTES OF 1861. T h e a c t of M a r c h 2, 1861, (12 " S t a t u t e s , 178), a n t h o r i z e d a l o a n of $10,000,000, w i t h i n t e r e s t a t n o t e x c e e d i n g 6 p e r c e n t u m p e r a n n u m , r e d e e m a b l e on t h r e e m o n t h s ' n o t i c e a f t e r J u l y 1, 1871, a n d p a y a b l e J u l y 1,1881. I f p r o p o s a l s for t h e l o a n w e r e n o t satisfactory, a u t h o r i t y w a s g i v e n t o i s s u e t h e w h o l e amp'unt i n T r e a s u r y n o t e s , w i t h I I 2 y e a r s . . - r . i 2 y e a r s after") interest a t not exceeding 6 p e r centum per annum. T h e same act > date. g a v e a u t h o r i t y t o s u b s t i t u t e T r e a s u r y n o t e s for t h e w h o l e or a n y 60 d a y s 60 d a y s after I i a r t of l o a n s a u t h o r i z e d a t t h e t i m e of t h e p a s s a g e of t h i s a c t . T h e s e | | | date, n o t e s w e r e t o b e r e c e i v e d i n p a y m e n t of all d e b t s d u e t h e U n i t e d States, including customs-duties, and were redeemable a t any time w i t h i n t w o y e a r s fi'om t h e d a t e of t h e a c t . OREGON WAR DEBT. T h e a c t of M a r c h 2, 1861 (12 S t a t u t e s , 198), a p p r o p r i a t e d $2,800,000 for I 20 y e a r s t h e p a y m e n t of e x p e n s e s i n c u r r e d b y t h e T e r r i t o r i e s of W a s h i n g t o n • a n d O r e g o n in t h e s u p p r e s s i o n of I n d i a n hostiUties i n t h e years"lS55 a n d 1856. Section 4 ot t h e a c t a u t h o r i z e d t h e p a y m e n t of t h e s e c l a i m s in bonds redeemable in t w e n t y years, with interest at 6 per centum per annum. LOAN OF JULY AND AUGUST, 1861 (1881s). T h e a c t of J u l y 17, I86I (12 S t a t u t e s , 259), a u t h o r i z e d t h e i s s u e of I 20 y e a r s $250,000,000 b o n d s , w i t h i n t e r e s t a t n o t e x c e e d i n g 7 p e r c e n t u m p e r ' a n n u m , r e d e e m a b l e a f t e r t w e n t y y e a r s . T h e a c t of A u g u s t 5,1861 (12 Statoites, 313), a u t h o r i z e d t h e i s s u e of b o n d s , w i t h i n t e r e s t a t 6 p e r c e n t u m p e r annum, payable after t w e n t y years fiom date, iu e x c h a n g e for 7.30 n o t e s i s s u e d u n d e r t h e a c t of J u l y 17,1861. N o n e of s u c h b o n d s w e r e t o b e i s s u e d for a s u m l e s s t h a n $500, a n d t h e w h o l e a m o u n t of t h e m w a s n o t t o e x c e e d t h e w h o l e a m o u n t of 7.30 n o t e s i s s u e d u n d e r t h e a b o v e a c t of J u l y 17. T h e a m o u n t i s s u e d i n - e x c h a n g e for 7.30s w a s $139,321,350. OLD DEMAND-NOTES. | J u l y 1, 1881 . 25, 000, 000 00 C22, 468,100 00 \ i ^ r OOA . r n nn 00 I ] 35, 364,450 00 6 per cent... il2, 896,350 18, 415, 000 00 3,000 00 O H O w 6 per cent.. Par. 2,800, 000 00 1, 090, 850 00 945, 000 00 td Ul o td H > I J u l y l , I88I.. ' • 6 per cent. Par*... 250,000,000 00 i 50,000, OCO do 139, 321, 350 00 Par. T h e a c t of J u l y 17, 1861 (12 S t a t u t e s , 259), a u t h o r i z e d t h e i s s u e of | | Ondemand ... None . 60, 000, 000 00 $50,000,000 T r e a s u r y n o t e s , n o t b e a r i n g i n t e r e s t , of a less d e n o m i n a t i o n t h a n fifty d o l l a r s a n d n o t less t h a n t e n dollars, a n d p a y a b l e on d e m a n d b y tiie a s s i s t a n t t r e a s u r e r s a t P h i l a d e l p h i a , N e w 'i'ork, or B o s t o n . T h e a c t of A u g u s t 5, 1861 (12 S t a t u t e s , 313), a u t h o r i z e d t h e i s s u e of t h e s e n o t e s i n d e n o m i n a t i o n of five d o U a r s ; i t also a d d e d t h e assistant treasurer at Saint Louis and t h e designated depositary at Cincinnati to t h e places where these notes were made payable. T h e a c t of F e b r u a r y 12, 1862 (12 S t a t u t e s , 338), i n c r e a s e d t h e a m o u n t of d e m a n d - n o t e s a u t h o r i z e d $10,000,000. * $50,000,000 6 p e r c e n t , s t o c k i s s u e d a t a d i s c o u n t of ?,768109, b e i n g e q u i v a l e n t t o 7 p e r c e n t . 18, 415, 000 00 • 189, 321, 350 00 Kl. O w td 60, 000, 000 00 61,470 00 t> Ul d Kj to • •v TABLE K.—Statement of loans made by the United Staies, ^x.—Continued. ' IN3 author- Amount issued., Amount outLength of When redeem- Bate of in- atPrice which Amount terest. ized. able. standing. loan. sold. td BEVEN-THIRTIES OF 1861. The act of July 17, 1861 (12 Statutes, 259), authorized a loan of $?50,000,000, part of which was to be in Treasury notes, with interest at 7x% per centum per annum, payable three years after date. 3 years August 19 and October 1, 18G4. 1^-u per cent P a r . . . . .$140,094,750 00 $140, 094,750 00 $16, 600 60. O ^ FIVE-TWENTIES OF 1862. The act bf Febmary 25, 1862 (12 Statutes, 345), authorized a loan of $500,000,000 for the purpose of funding the Treasury notes and floating debt of the United States, and the issue of bonds therefor. with interest at 6 per centum-per annum. These bonds were redeemable after five and payable twenty years from date. The act of March 8, 1864 (13 Statutes, 13), authorized an additional issue of $11,000,000 of bonds to persons who subscribed for the loan on or before January 21, 1864. The act of January 28, 1865 (13 Statutes, 425), authorized an additional issue of $4,000,0(J0 of these bonds and their sale in the United States or Europe. 5 or 20 years May 1, 1867 . . 6per cent... Par 515, 000,'000 00 514, 771, 600 00 402, 500 00 None The act of February 25,1862 (12 Statutes, 345), authorized the issue of $150,000,000 Unitea Statesnotes, notbearing interest, payable to bearer. at the Treasury of the United States, and of such denominations, not less than five doUars, as the Secretary of the Treasury might deem ex- P pedient, $50,000,000 to be in lieu of 'demand-notes authorized by the act of July 17,1861; these notes to be a legal tender. The act of July 11,1862 (12 Statutes, 532), authorized an additional issue of $150,000,000 United States Treasury notes, of such denominations as the Secretary of the Treasury might deem expedient, but no such note should be for a fractional part of a doUar, and not more than $35,000,000 of a lower denomination than five doUars; these notes to bo a legal tender. The act of March 3, 1863 (12 Statutes, 710), authorized an additional issue of $150,000,000 United States notes, payable to bearer, of such denominations, not less than one dollar, as the Secretary of the Treasury might prescribe;. which notes were made a legal tender. The sameact Umited the timeatwhich Treasury notes might be exchanged for United States bonds to July 1,1803. The amount of notes author ized by this act were to be in lieu of $100,000,000 authorized by the resolution of January 17, 1863 (12 Statutes, 822). http://fraser.stlouisfed.org/ ^ * Highest amount outstanding January 80,1864. a td Ul td o td H >- . LEGAL-TENDER NOTES. Federal Reserve Bank of St. Louis O ^ o Par 450, 000, 000 00 *449, 338, 902 10 846, 681,016 00 - ^ hq • td § > • Ul d td H< © /' TEMPORARY LOAN. The act of February 25, 1862 (12 Statutes, 346), authorized temporary--^ Not less than After ten days' 4, 5, and loan deposits of $25,000,000, for not less than thirty days, with interest per cent. notice. 30 days. at 5 per centum x)er annum, payable after ten days' notice. The act of March 17, 1862 (12 Statutes, 370), authorized the increase of temporary-loan deposits to $50,000,000. The act of July 11, 1862 (12 Statutes, 532), authorized a further increase of temporary-loan deposits to $100,000,000. The actof June 30, 1864 (13 Statutes, 218), authorized a further increase of temproary-loan deposits to not exceeding $150,000,000, and ah increase of the rate of interest to not exceeding 6 per centum per annum, or a decrease of the rate of interest on^ten days' notice, as the public interest might require. Par . 150, 000, 000 00 3,060 00 td O H O CERTIFICATES O F INDEBTEDNESS. The act of March 1, 1862 (12 Statutes, 352), authorized the issue of 1 year. certificates of indebtedness to public creditors who might elect to receive them, to bear interest at the rate of 6 per tffentum per annum, and payable one year from date, or earlier, at the option of tho government. The act of May 17, 1862 (12 Statutes, 370), authorized the issue of these certificates in payment of disbursing ofiicers' checks. The act of March 3, 1863 (12 Statutes, 710), made the interest payable in lawful money. I year after 6 per c e n t . . Par . date. No limit. 501,753, 241 65 4, 000 00 tn. td Ul -td o &d td H FRACTIONAL CURRENCY. The act of July 17, 1862 (12 Statutes, 592), authorized theuse of postal and other stamps as currency, and made them receivable in payment of all dues to the United States less than five dollars. The iburth section of the act of March 3, 1863 (12 Statutes, 711), authorized the issue of fractional notes in lieu of postal and other stamps and postal currency; made them exchangeable in sums not less than three dollars for United States notes, and receivable for postage and revenue stamps, and in payment of dues to the United States, except duties on imports, less than five doUars; and limited the amount to $50,000,000. The fifth section of the act of June 30,1864 (13 Statutes, 220), authorized an issue of $50,000,000 in fractioual currency, and provided that the whole araount of these notes outstanding at any one time should not exceed this sum. On presenta- None. tion. Par . 50, 000, 000 00 49,102, 660 27 15, 842, 605 78 > td K: o d td H td td LOAN OF 1863. The act of March 3, 1863 (12 Statutes, 709), authorized a loan of 17 years. $900,000,000, and tho issue of bonds, with interest at not exceeding G per centum per annum, and redeemable in not less than ten nor more than forty years, principal and interest payable in coin. The act of Juno 30, 1864 (13 Statutes, 219), repeals so inuch of the preceding act as limits the authority thereunder to. the current fiscal year," and al5o repeals the authority altogether except as relates to $75,000,000 of bonds already advertised for. >^ H Ul July 1, 1881 . 6 per c e n t . . . Average premium of 4.13. 75, 000,000 00 75, 000, 000 00 75, 000, 000 00 d to TABLE K.—Statement of loans made by the United States, ^c.—Continued. Length of lo'an. When redeemable. 05 O Price. Amount authorBate of in-, atwhich Amount outAmount issued. terest. ized. standing. sold. ONE-YEAR NOTES OF 1863. The act of March 3, 1863 (12 Statutes, 710), authorized the issue of 1 year. $400,000,000 Treasury notes, with interest at not exceeding 6'per centum per annum, redeemable in not more than three years, principal and interest payable in lawful money, to be a legal tender for their face value. 1 year date. after 5 per c e n t . . Par . $44, 520, 000 00 $48,685 00 400, 000, 000 00 166, 480,000 00 37,500 00 $400, 000, 000 00 td ^ O td H O ^^ TWO-YEAR NOTES OF 1863. The act of March 3, .1863 (12 Statutes, 710), authorized tho issue of 2 years. $400,000,000 Treasury notes, with interest at not exceeding 6 per centum per annum, redeemable in not more than three yeairs, principal and interest payable in lawful money, to be a legal tender for their face value. 2 years' after 5 per cent. date. Par. Ul COIN-CERTIFICATES. The fifth section of the act of March 3, 1863 (12 Statutes, 711), authorized the deposit of gold coin and buUion with the Treasurer or any assistant treasurer, iu sums not less than $20, and the issue of certificates therefor in denominations the same as United States notes; also authorized the issue of these certificates in payment of interest oh the public debt. I t Umits the amount of them to not more than 20 per centum of the amount of coin and buUion in the Treasury, and directs their receipt in payment for duties on imports. On demand None. Par . Indefinite- 57, 883,400 00 15,413,700 00 td o td fei • H t> td Kj .O ^^ H W COMPOUND-INTEREST NOTES. The act of March 3, 1863 (12 Statutes, 709), authorized the issue of 3 years. $400,000,000 Treasury notes, with interest at not exceeding 6 per centum per annura, in lawful money, payable not more than three ycars^ from_date, and to be a legal tender for their face value. The act of June 30, 1864 (13 Statutes, 218), authorized the issue of $200,000,000 Treasury notes, of any denominatioh not less than $10, payable not more than three years from date, or redeemable at any time after three years, with interest at not exceeding 7inj per centum, X)ayablo in lawful money at maturity, and made thera a legal tender for their face value to" the same extent as United States notes; $177,045,770 of the amount issued was in redemption of 5 per cent, notes. d td td Jime 10, 1867, 6 per cent, Par and May 15, comiiound. 1868. 400,000, 000 00 266,595,440 00 259, 090 00 H . td td > • Ul „d td TEN-FORTIES OF 1864. The act of March 3, 1864 (13 Statutes, 13), authorized the issue of lO.or 40 years. March 1,1374. ^ $200,000,000 bonds, at not exceeding 0 per centum per annum, redeemable after five and payable uot more than forty years froni date, in coin. 5 per ceht.. Par to 7 per c't prem. 200, 000,000 00 196,117, 300 00 400, 000, 000 00 125, 561, 300 00 188, 425,150 00 FIVE-TWENTIES OF JUN'E, 1864. The act of J u n e 30, 1864 (13 Statutes, 218), authorized a loan of $400,000,000, and the issue^therefor of bonds redeemable not less than five nor more than thirty (or forty, if deemed expedient) years from • date, with interest at not exceeding 6 per centum per annum, payable semi-annuaUy in coin. 5 or 20 years Nov. 1, 6 per cent... P a r . 71, 800 00 O SEVEN-THIRTIES OF 1864 AND 1865. The act of. J u n e 30, 1864 (13 Statutes, 218), authorized the issue of $200,000,000 Treasury notes, of not less thau $10 each, payable at not more than three years from date, or redeemable" at any time after three years,' with interest at not exceeding 7x% per centum per annum. The act of March 3, 1865 (13 Statutes, 468), authorized a loan of $600,000,000,' and the issue therefor of bonds or Treasury notes; the notes to be of denominations of not less than $50, with interest in lawful money at not more than 71% per centum per anniun. See, also, act Janiiary 28, 1865 (13 Statutes, 425). Aug. 15,1867) 3 y e a r s . . . . < June 15,1868 } 7i^c per cent. P a r . July 15,1868) 830, 000,000 00 § 830,000, 000 00 147,550 00 w td Ul td o NAVY-PENSION FUND. •> The act of J u l y l , 1864 (13 Statutes, 414), authorized the ^ c r e t a r y of Indefinite. the Navy to invest in registered securities of the United States so much of.the Navy pension-fund in the Treasury January 1 and July 1 in each year as would not be required for the payment of naval pensions.' Section 2 of the act of July 23, 1868 (15 Statutes, 170), makes the interest on this fund 3 per centum per annum in lawful money, and confines its use to the payment of naval pensions exclusively. "* 3 per cent... P a r . Indefinite. 14, 000, 000 00 14, 000,000 00 O e. FIVE-TWENTIES OF 1865. The act of March 3, 1865 (18 Statutes, 468), authorized the issue of $600,000,000 of bonds or Treasury notes, in addition to amounts previously authorized; the bonds to be for not less than $50, payable not more than forty years from date of issue, or after any period not . less than five years; interest payable semi-annuaUy, atnotexceed' ing 6 per centum per annum when in coin, or 71^^ per centum per annum when in currency. In addition to the amount of bonds authorized by this act, authority was also given to convert Treasury notes or other interest-bearing obligations into bonds authorized byit. The act of April 12, 1866 (14 Stcatutes, 31), construed the above act to aiithorize the Secretary of the Treasury to receive any obUgations of the United States, whether bearing iuterest or not, in exchange for any bonds authorized by it, or to sell any of such bonds, provided the pubUc debt is not increased thereby. 5 or 20 years Nov. 1, 1870. 6 per cent. Par. 203, 327, 250 00 203,327,250 00 145, 650 00 H td td CO CO TABLE K.—Statement of loans made by the United States, 4'C.—Continued. Length of loan. When redeemable. Eate of in- atPrice authorAmount outwhich Amount Amount issued. - ized. terest. standing. sold. td CONSOLS OF 1865. The act of March 3, 1865 (13 Statutes, 468), authorized the issue of 5 or 20 years. July 1, 1870 $600,000,000 of bouds or Treasury notes, in addition to amounts previously authorized; the bonds tb be for not less than $50, payable not more than forty years from date of issue or after any period not less than five years, interest payable semi-annually, atnot exceeding Oper centum per annum, wheu in coin, or 7^% per centum per annum when in currency. I n addition to the amount of bonds authorized by this act, authority was also given to convert Treasury notes or other interest-bearing obli.gati6ns inta bonds authorized by it. The act of ApiU 12, 1866 (14 Statutes, 31), construed the above act to authorize the Secretary of the Treasury to receive any obligations of the United States, whether bearing interest or not, in exchange for any bonds authorized by it, or to sell any of such bonds, provided the pubUc debt is not increased thereby. 6per cent... P a r . $1, 600, 900 00 td TJ O td H O ^=j H d td Ul td' o CONSOLS OP 1867. The act of March 3, 1865 (13 Statutes, 468), authorized the issue of 5 or 20 years. July 1, 1872. 6 per cent. .$600,000,000 of bonds or Treasury notes,, in addition to amouuts previously authorized; the bonds to be for not less than $50, payable not more than forty years from date of issue or after any period not less than five years; interest payable semi-annually, at not exceeding 6 per centum per annum when in coin, or 7i% per centum per annum when in currency. I n addition to the ainount of bonds authorized by this act, authority was also given to convert Treasury notes or other interest-bearing obligations into bonds authorized byit. The act pf AprU 12, 1866 (14 Statutes, 31), construed the above act to authorize the Secretary of the Treasury to receive any obliga- tions of the United States, whether bearing interest or not, in ex- change for any bonds authorized by it, or to seU any of such bonds, provided the piibUc "debt is not increased-thereby. CONSOLS OF 1868. The act of March 3, 1865 (13 Statutes, 468), authorized the issue of 5 or 20 years, July 1, 1873 6 per cent. $600,000,000 of bonds or Treasury notes, in addition to amounts pre-, viously authorized; the bonds to be for not less than $50, payable • not more than forty years from the date of issue or affcer any period not less than five years; interest payable semi-annually, at not exceeding 6 per centum per annum when in coin, or l^jj per centum per annum when in currency. I n addition to the amount of bonds authorized by this act, authority was also given to convert Treasury Digitized for«FRASER notes or other interest-bearing obligations into bonds authoiized by ' it. The act of AprU 12, 1866 (14 Statutes, 31), construed the above http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis $332, 998, 950 00 $332, 998, 950 00 Par. 379, 618, 000 00 379, 618,000 00 41,224,400 00 td td td Kj o w td H td td 42, 539, 350 00 • 42, 539, 350 00 20,103,550 00 '> Ul d td Kl act to authorize the Secretarypf the Treasury to receive any obUgations of the United States, whether bearing interest or not, in exchange for any bonds authorized by it, or to seU any such bonds, provided the pubUc debt is not increased thereby. CO THREE-PEE-CENT. CBRTn^lCATES. The act of March 3, 18G7 (14 Statutes, 558), a,uthorized the issue of $50,000,000 in temj)orary-loaii certificates of deposit, with interest at 3 per centum per annum, payable in la^syful money, on demand, to be used in redeinption of compo and-interest notes. The act of July 25, 1868 (15 Statutes, 183), authorized $25,000,000 additional of these certificates, for the sole i)uri)ose of redeeming compounid-interest notes. FIVE-PER-CENT. FUNDED LOAN OF 1881. (REFUNDING). 85,155, 000 00 5,000 00 td td. O td O 10 y e a r s — May 1,1881 . 5 per cent... Par 486, 043, 000 00 w td Ul td o td te) 490,446,200 00 > td Ki O d 13, 957, 000 00 td Htd td (REFUNDING.) The act. of July 14, 1870 (16 Statutes, 272), authorizes the issue of $300,000,000 at 4 | p e r centum, payable in coin of the present standard value, at the pleasure ^f the United States Government, after fifteen years; these bonds to be exempt from the payment of all taxes or duties of the United States, as weU as fi'om -taxation in any form by or under State, municipal, or local authority. Bonds and. coupons payable at theTreasury of the United States. This act not . to authorize an increase of the bonded debt of the United States. Bonds to be sold at not less than par in coin, and tjie proceeds to be , appUed to the redemption- of outstanding 5-20s, or to be exchanged for said 5-20s, paa* for par. Payment of these bonds, when due, to 85,155, 000 00 ,. The act of July 14, 1870 (16 Statutes, 272), authorizes thq issue of $200,000,000 at 5 per centum, priucixjal and interest payable in coin of the present standard value, at the pleasui-e of the United States Government, after ten years; these bonds to be exempt from the payment of aU taxes or duties of the United States, as well as from taxation in any form by or under State, municipal, or local authority. Bonds and coupons payable allthe Treasury of the United States.. This act not to authorize an increase of the bonded debt of the United Spates. Bonds to be sold at not less than par in coiu, and the proceeds to be ai)plied to the redemption of outstandiug 5-20s, or to be exchanged for said 5-20s, par for par. Payment of these bonds, when due, to be made iu order of dates and numbers, beginning with each class last dated and niuubered. Interest to cease at the end of three montlis fiom notice of intention to redeem. The act of January 20, 1871 (16 Statutes, 399), increases the amount of 5 per. cents to $500,000,000, provided the total amount of bonds issued shall not exceed the amount originaUy autliorized, and authorizes the interest on any of these bonds to be paid quarterly. The act of December 17,1873 (18 Statutes, 1), authorized the issue of an equal amount of bonds of the loan of 1858, which the holders thereof may, on or before February 1, 1874, elect to exchange for the bonds of this loan. FOUR-AND-ONE-HALF-PER-CENT. FUNDED LOAN OF 1891. Indefinite... On demand . 3 per cent... Par 15 years Sept. 1,1891. 4^ per cent.. Par 18c, 000, 000 00 185,000, 000 00 > Ul d 1,500,000, 000 00 03 05 TABLE K.—Statement of loans made hy the United States, ^'c.—Continned. Length of loan. When redeem-1 Bate of interest. able. Price authorAraouut outat which Amount Amount issued. ized. standing. sold. td td TJ be made in order of dates and numbers, beginniug with each class last dated and numbered. Interest to cease at the end of three months from notice of intention to redeem. Under the act of January 20,1871 (16 Statutes, 399), which authorized the increase of 5 per cent, bonds to $500,000,000, the amount of the 4^ per cents were reduced to $200,000,000. FOUR-PER-CENT. FUNDED LOAN OF 1907. td y^ O TJ (REFUNDING.) The act of July 14, 1870 (16 Statutes, 272), authorizes the issue of $1,000,000,000 at 4 per centum, payable in coin of the present standard value, a t the pleasure of the United States Government, after thirty years; these bonds to be exempt from tho iiayment of aU taxes or duties, of the Uni-feed States, as weU as from -taxation in any form by or under State, municipal, or local authority. Bonds and coupons payableat the Treasury of the United States. This act not to authorize an increase of the bonded debt of the United States. Bonds to be sold at not less than par in coin, and tho proceeds tp be appUed to the redemption of outstanding 5-20s, or to be exchanged for said 5-20S, par for par. Payment of these bonds, when due, to be raade in order of dates and number% beginning ^vlth each class last dated and numbered. Interest to cease at tlio end of three months from notice of intention to redeem. FIVE-PER-CENT. -LOAN OF 1881. o 30 years. $636, 529,900 00 $636, 529,900 00 4 per cent... P a r t o one-half percent, premium. d td Ul td o td td H > td Kj (FOR SILVER.) The act of January 14,1875 (18 Statutes, 296), authorizes the Secretary 10 years. . pf the Treasury to use any surplus revenues from time to time in the Treasury not othermso appropriated, and to issue, sell, disi^ose of, at n o t l e s s t h a n par, in coin, either of t h e description of bonds of the United States described in the act of July 14,1870 (16 Statutes, 272), to the extent necessary for the redemptiou of fractional cuirency in silver coins of the denominations of ten, twenty-five, and fifty cents of standard value. FOUR-AND-ONE-HALF-PER-CENT. LOAN OF 1891. May 1,1881 ... 5 per cent. Indefinite. 17,494,150 00 17,494,150 00 15 years. O TJ w td td td (EESUSIPTION.) The act of January 14,1875 (18 Statutes, 296), a,uthorizes the Secretary of the Treasury to use any surplus revenues from time to tijne in the Treasury not otherwise appropriated, and to issue, sell, dispose .of, at not less than par, in coin, either of the descrii^tion of bonds of the United States described in the act of July 14,1870 (16 Statutes, 272), for the purpose of redeeming, on aud alter January 1,1879, in coin, at the ofiice of the assistant i^reasurer of the United Sta,tes in New York, tho outstanding United States legal-tender notes when presented in sums of not less than fifty doUars. Sept. 1,1907 - Sept. 1,1891. 4^ per cent.. P a r toi Indefinite. one audi one-half percent.! premi-j um. 65,000,000 00. 65, 000 000 00 ;> CO d td Kj FOUR-PER-CENT. LOAN OF 1907. (RESOTIPTION.) The .act of January 14,1875 (18 Statutes, 296), authorizes the Secretary of the Treasury to use any surjjlus revenues from time to timo in the Treasury not otherwise appropriated, and to issue, sell, dispose of, at not less than par, in coin, either of the description of bonds of the United States described iu the act of J u l y 14, 1870 .(16 Statutes, 272), fbr the ];)urpose of redeeming, on and after January 1, 1879, iu coiu, at the otiice of tho assistant treasurer of the United States in New Yoi'k, tlie outstanding United States legal-tender notes when presented in.sums o/not less than fifty doUars. FIVE-PER-CENT. LOAN OF 1881. 30 years . Sept. 1,1907... 4 per cent. Par. Indefinite. 50,500, 000 00 30, 500, 000 00 td td T^ o td (TO PAY J. 13. EADS.) The act of March 3,1875 (18 Statutes, 466), directs the Secretary of tho 10 years. Treasui-y to issue bonds of the character and description set out in tho actof July 14,1870 (IG Statutes, 272), to James B. Eads or his legal representatives in payment at par of tlio warrants of tho Secretary of War fbr the construction of jetties and auxiliary works to maintain a wide and deep chamiel between the South Pass of the Mississippi Kiver and the Gulf of Mexico, unless Congi'ess shall have previously pi-o vided for the papneut o.l; the same by tJio necess.ai'y .appi'opriation of inoney. Ma,y 1,1881 . 5 per cent... P a r . Indefinite- 500, 000 00 500, 000 00 TJ H w . td CERTIFICATES OF DEPOSIT. zn The act of J u n e 8, 1872 (17 Statutes, 336), authorizes the deposit of Indefinite. United States notes without interest by banking associations in sums not less than $10,000, and the issue of certificates therefor.in denominations of not loss than $5,000; Avliich certificates shall be payable on demand in United States notes at the place where tho deposits were made. I t provides that the notes so deposited in the Treasury shaU not be counted as a part of the legal reserve, but that the certificates issued therefor may bo held and counted by the national banks as ]3art of their legal reserve, and may be accepted in the settlement of clearing-house balances at the places where the deposits therefor were made, and that the United States notes for which such certificates were issued, or otlier United States notes of lUce amount, shall be held as special deposits in the Treasuiy, and used only for tho redemi)tion of sucli certificates. On demand . None . Par. No liinit. 64, 780, 000 00 30, 370, 000 00 o td td td Kl O TJ -H d td , H td td > SILVER CERTIFICATES. The act of February 28, 1878 (20 Statutes, 26, sec. 3), provides that any holder of the coin authorized by this act raay deposit the same with the Treasurer or any assistant treasurer of the United States, in sums not less than ten doUars, and receive therefor certificates of not less than ten doUars each, corresponding m t h the denominations of the United States notes. "" " • .^ certificates shaU be same on demand. Said taxes, and aU pubUc dues, and, when so received, may be reissued. o Indefinite... On demand . None . Par. No Umit. 2,466,950 00 Ul d Kj CO cn TABLE K.—Statenient of loans made hy the United States, ^"c—Contmued. . . 1 Length of loan. When redeemable. Bate of interest. OS 03 Piice author- Amount issued. Amount outat which Amount •. ized. standing. sold. td td REFTOfDING CERTIFICATES. Tj Theact of February 26, 1879 (20 Statutes, 321), authorizes the Secre- •Indefiniiio... CoiiA^ertible in- 4per cont... Piu tary ofthe Treasury to issue, in exchange for lawful money of the to 4 per cent, United States, certincates of deposit, of the denomination of ten dolbonds. •lars, bearing interest at the ra,te of four i)er centum ]Der annum, and convertible at any time, "with accrued interest, into tho four per centum bonds described in the refunding act; the money so received to be applied only to the payment of the bonds bearing interest at a rate not less than five per centum, in the mode prescribed by said act. No Umit $39, 398,110 00 $12, 848,210 00 o td' •^ O TJ d td 2, 349, 567,482 04 Ul td td td H o Ki o Tl H d. td •>^: td 'td- > •Ul d td TABLE L.—Statement of ZO-year 6 per cent, bonds (interest payahle January and July) issued to the several Pacific railway companies under the acts of July , . l,lS62{12Siatutes, A^2), and July 2, 1^64.(1'^ Statutes, ob9). P.g <a C) <i> t^p^$, E a U w a y companies. $25, 885,120 6, 303, 000 27, 236, 512 1, 600, 000 1, 970, 500 1,628,320 On J a n u a r y 1,1877: C e n t r a l Pacific K a n s a s Pacific — U n i o n Pacific C e n t r a l B r a n c h U n i o n Pacific W e s t e m Pacific S i o u x C i t y a n d Pacific :... b o ^"^ ° © S K^ iiii "" "^^ to CO o 00 00 00 00 00 00 $13, 027, 697 3,103, 893 11, 884, 324 781, 808 722, 380 682, 703 67 09 65 26 14 89 $776, 553 189, 090 817, 095 48, 000 59,116 48, 849 6() CO 36 00 80 60 28, 202, 807 70 1, 938, 705 36 00 00 00 00 00 00 11, 804, 251 27 3, 292, 983 09 12, 701, 420 01 829, 808 26 781, 496 94 731, 553 49 776, 553 189,090 817, 095 48, 000 59,116 48, 849 64,623,512 00 30,141, 513 06 1, 938, 705 36 25, 885,120 6, 303, 000 •27,236,512 1, 600, 000 „ 1, 970, 560 1, 628, 320 CO . .u O O QJ O -tn -2 o •td td ort 2rt •«} o^ij? TJ O td H CO Illli '^ u'xiczi Q ia O o-rt ." •^43 4s O P< O TJ H 64, 623, 512 00 On J u l y 1,1876: C e n t r a l Pacific K a n s a s Pacific U n i o n Pacific Central B r a n c h Union Pacific. W e s t e r n Pacific S i o u x C i t y a n d Pacific o P^^ r i O O <i> r Gn J a n u a r y 1,1876: C e n t r a l Pacific K a n s a s Pacific U n i o n Pacific •Central B r a n c h U n i o n Pacific W e s t e r n Pacific S i o u x C i t y a n d Pacific . 60 00 36 00 80 60 $11, 804, 251 8, 292, 983 12,701, 420 829, 808 781,496 731, 553 27 09 01 26 94 49 $1,191,765 1,440, 664 3, 943, 715 44, 408 9, 367 39, 005 86 84 65 05 00 96 $10, 612,485 1, 852, 318 8, 757, 704 785, 400. , 772,129 692, 547 41 25 36 21 94 53 30,141; 513 06 6, 688, 927 36 23, 472, 585 70 12, 580, 804 •3, 482,073 •13,518,515 877, 808 840,613 780,403 1, 231, 213 1, 448, 327 4, 079, 704 44, 408 9, 367 39, 470 11, 349, 591 2, 033, 745 9, 438, 810 833,400 831, 246 740, 932 87 09 37 26 74 09 76 39 77 05 00 28 11 70 60 21 74 81 25, 227, 727 17 $2,712, 527 455, 846 2,170,415 230,955 163, 069 174, 873 92 99 23 19 89 65 ,907, 688 87 3,112, 076 525, 021 2, 496,152 261, 445 191,125 200, 893 38 79 67 84 89 52 $13, 825, 013 2, 308,165 10, 928,119 1, 016, 355 935,199 867,421 33 24 59 40 S3 18 29, 380, 274 57 .14,461,667 2, 558, 767 11,934,963 1, 094, 846 1, 022, 372 941, 826 49 49 27 05 03 33 32, 080, 218 42 6, 852,491 25 13, 357, 358 47 3, 671,163 09 14, 335, 610 73 925, 808 26 899, 730 54 829, 252 69 1, 268, 672 12 12, 088, 686 35 8, 544, 981 77 15, 633, 668 12 1, 515, 718 49 2,155, 444 60 601, 026 62 2,756,471 22 -4,126, 871 52 10, 208, 739 21- .2, 853, 345 13 -13,062,084 34 881, 400 21 44,408 05 294, 291 22 1,175, 691 43 890,363 54 9, 367 00. 221, 797 08 1,112,160 62 789, 782 41 39,440 28 229,148 30 1,018,930 71 '6,786,716 09 32, 014, 443 26 »^ d td QQ td o td td H p> td •>< o TJ d td 25, 885,120 00 12, 580, 804 87 6, 303, 000 00 3, 482, 073 09 27, 236, 512 00 13, 518, 515 37 877, 808 26 1, 600, 000 00 840,613 74 1, 970, 560 00 780,403 09 1,628.320 00 64,623,512 00 32, 080,218 42 776, 553 60 189,090 00 817, 095 36 48, 000 00 59, Il6v80 48, 849 60 1, 938, 705 36 34,. 018, 923 78 7, 004, 507 46 27, 014, 416 32 7, 744, 590 12 34,759,006 44 H td td > Ul d td OS 03 TABLE L.—Statement of SO-year 6 per cent, honds, ^c.—Continned. O n J u l y l , 1878: C e n t r a l Pacific K a n s a s Paci.fic U n i o n Pacific C e n t r a l B r a n c h U n i o n Pacific W e s t e r n Pacific S i o u x C i t y a n d Pacific On J a n u a r y 1, 1879: C e n t r a l Pacific .K a n s a s Pacific U n o i n Pacific C e n t r a l B r a n c h U n i o n Pacific 00 00 00 00 CO 00 $13, 357, 358 3, 671,1G3 14, 335, 010 925, 808 899, 730 829, 2-52 47 09 73 26 54 69 64, 623, 512 00 34, 018, 923 78 25, 6, 27, 1, 1, 1, 14,133, 912 07 3, SOO, 253 09 15,152, 706 09 973,808 26 958, 847 34 878,102 29 885,120 303, 000 236, 512 600, 000 970, 560 628, 320 00 00 00 00 00 00 64, 623, 512 00 35, 957, 029 14 25, 885,120 00 6,303,000 00 27, 2-36, 512 00 1, 600, 000 00 1, 970, 560 00 1, 628, 320 00 14, 910, 465 67 4, 049, 343 09 15, 969, 801 45 1, 021, .808 26 1, 017, 964 14 926, 951 89 $776, 553 189, 090 817, 095 48, 000 59,116 48, 849 jates al in ill o^ & .2 o §^S.g-?:3 P^ "Or^i^ §§"• -^' a rt o $25,885,120 6,303,000 27, 236, 512 1, 000, 000 1, 970, 560 1, 628, 320 <o t>i -R '=) . O r~X^ . On J a n u a r y 1, 1878: C e u t r a l Pacific Ka,nsas Pacific , U n i o n Pacific C e n t r a l B r a n c h U n i o n Pacific. W e s t e r n Pacific S i o u x C i t y a n d Pacific rt © CD liii" On J u l y 1, 1877,: C e n t r a l Pacific K a n s a s Pacific U n i o n Pacific C e n t r a l B r a n c h U n i o n Pacific AYestem Pacific S i o u x C i t y a n d Pacific of inte ranspo maU c. g'Eb •r-l g >—!^ t,_, c2 <n (rf EaUway companies. t:4 p!. ro- 'S'S 03 5 ^'"^ ^ rt ^ K rt rt $ fcb H oo 'S 2 p^ . .Sgiffe>" ©rrt O+J •g^a3g <o O © o <T) © ® © S K. 5 rc5 03+3 . CO CD O O O^ td td TJ O td rt © 03 t - «2 <^ 0-+3 -+3 O O o © O M 4 J f-l rj ©.rH © CM o rt ©r:^ |^.gll O-R4S O P* H O 00 00 36 00 80 00 1, 938, 705 36 776, 553 60 .189, 090 00 817, 095 36 48, 000 00 59,116 80 48, 849 60 1, 938, 705 36 776, 553 60 189, 090 00 817, 095 36 48, 000 00 ' 59, n o 80 48,-849 60 64, 623, 512 00 37, 896, 334 50 1, 938, 705 -SO 25, 885,120 00 6, 303, 000 00 27, 236, 512 00 1, 600, 000 00 15,087,019 27 4, 238, 433 09 16, 786, 896 81 1,069,808 26 776, 553 60 189, 090 00 817, 095 36 • 48, 000 00 $4, 004, 003 683, 507 3, 237, 456 329, 369 255,161 259, 414 32 94 77 47 91 61 $16, 072, 591 3, 012, 080 13, 603,121 1, 244, 679 1,204,642 1, 074, 938 38 97 19 38 25 10 Ul 36, 212, 053 27 o 07 09 09 26 34 29 $2, 065, 324 01 1, 531, 080 06 4, 787, 041 67 58, 498 35 9, 367 00 62, 578 80 $12, 068, 588 06 2, 328, 573 03 10, 365, 664 42 915, 309 91 949,480 34 815, 523 49 35, 957, 629 14 8, 514, 489 89 27,443,139 25 14, 910,465 67 4, 049, 343 09 15, 969, 801 45 1, 021, 80S 26 1, 017, 964 14 926, 951 89 2,198, 960 71 1, 532, 350 07 5,134,103 84 62, 998 35 9, 367 00 68, 409 65 12, 711, 504 06 2, 516, 993 02 10, 835, 697 61 958, 809 91 1, 008, 597 14 858, 542 34 4, 484,140 29 773, 860 85 3, 641, 300 88 366, 641 04 291, 301 17 291,575 23 17,195, 645 3, 290, 859 14,476, 998 1, 32.5, 450 1, 299, 898 1,150,117 37, 896, 334 50 9, 006,189 62 28, 890,144 88 9, 848, 825 46 38,738, 970 34 15, 687, 019 27 4, 238, 433 09 16,786, 896 81 1, 069, 808 26 1, 077, 080 94 975, 801 49 2, 343, 659 54 13, 343, 359 73 1, 532, 530 42 2, 705, 902 67 5, 852, 870 95 10, 934, 025 86 67, 498 35 1, 002, 309 91 9, 367 00 1, 067, 713 94 75, 517 99 900, 283 50 4, 998, 311 56 872,589 09 4, 072, 654 57 406, 347 61 330, 298 11 326, 013 09 18, 341, 071 29 3, 578, 491 76 15, 000, 680 43 1, 408, 657 52 1, 398, 012 05 1, 226, 296 59 $14,133, 912 3, 860, 253 15,152, 706 973, 808 958, 847 878,102 39, 835, 039 J 9, 881,444 25 29, 953, 595 61 lO; 463, 572 4, 427, 523 17, 603, 992 1,117, 808 2, 516, 742 86 1, 744, 683 89 6,145, 214 86 71, 445 54 13, 946, 830 2, 682, 839 11, 458, 777 1, 046, 362 !, 768, 914 02 25 87 49 95 31 47 .11, 006, 214 03 40, 959, 809 64 4,998,311 56 872, 589 09 4, 072, 654 57 406, 347 61 18, 945,141 57 3, 555, 428 29 15, 531,431 88 1, 452, 713 33 d td td td td H > td Kl O Tl H d td td td > Ul d td Kj 87 09 17 26 01 20 31 72 W e s t e r n Pacific ... Simix CAty nrt(\ Pacifio. On J u l y l , 1879: C e n t r a l Pacific K a n s a s Pacific U n i o n Pacific C e n t r a l B r a n c h U n i o n Pacific W e s t e r n Pacifi c S i o u x C i t y a n d Pacific : : 1, 970, 560 00 1, 628, 320 00 1, Oil, 080 94 975, 801 49 59,116 80 48,849 00 1,136,197 74 1, 024, 651 09 9, 367 00 83, 648 56 1,126, 830 74 941, 002 53 330, 298 11 326, 013 09 1,457,128 85 1, 267, 015 62 64, 623, 512 00 39, 835, 039 86 1, 938,705 36 41,773,745 22 10, 571,102 71 31, 202, 642 .51 11, 006, 214 03 42, 208, 856 54 2.5, 885 120 6, 303, 000 27, 233, 512 1, 600, 000 1, 970, 560 1, 028, 320 00 00 00 00 00 00 :;64, 623, 512 00 16, 463, 572 4,427,523 17, 603, 992 1,117, 808 ^ 1,136,197 1, 024, 651 87 09 17 26 74 09 41, 773, 745 22 776, 553 189, 090 817, 095 48, 000 59,116 48, 849 60 00 36 00 80 60 1, 938,705 36 47 09 53 26 54 69 2, 771, 419 23 2, 324, 910 55 7, 325, 466 49 73,142 73 9, 367 00 91, 747 39 43, 712,450 58 12, 596, 053 39 17, 240,126 4, 616, 613 IS, 421, 087 1,165, 808 1,195, 314 1, 073, 500 14, 468, 707 2, 291, 702 11, 095, 621 1, 092, 665 ]., 185, 947 981, 753 24 54 04 53 54 30 31,116, 397 ;9_ 4, 998, 311 872, 589 4, 072, 654 .406, 347 330, 298 326, 013 56 09 57 61 11 09 11, 006, 214 03 19, 467, 018 3,164, 291 15,168, 275 1, 499, 013 1,516,245 1, 307, 766 80 63 61 14 65 > 39 42,122, 611 22 td td •-d td H O TJ d td QC .o td td H O TJ H d td H td Ul d tdo Kl CO 40 REPORT OF THE SECRETARY OF THE TREASURY. TABLE M.—Eeturns, by judgment, of the United States Court of Claims, and appropriation hy Congress of proceeds of property seised as captured or ahandoned, under the act of March 12, 1863, paid from July^ 1, 1878, to June 30,^ 1879. To whom paid. Date. Amount. Elizabeth A. Meriwether Peter Burke James Levy Eagle Manufacturing Company .'... William H. Toung Walter Pugh Josiah Winchester, executor of John C. Jenkins. Angust 2, 1878 August 17, 1878.... September 18, 1878. 'MarchS, 1879 MarchS, 1879...... May 2, 1879 June 2, 1879 Total. $3,496 26 • 8, 050 00 1, 042 64 9,722 '61 16. 866 01 4, 362 23 , 25,106 80 68,146 55 TABLE N.—Judgments of the Umted States Court of Claims for proceeds- of property seized as captured or ahandoned, under the act of March 12, 1863, rendered hut not paid dunng the fiscal year ended June 30, 1879. D ate of judgment. January 20, 1879. Febmary 17, 1879 April 14, 1879.... M:ay 5, 1879 May 5, 1879 May 26, 1879 June 9,1879 • June 9,1879...... June 16,1879..... Amount awarded. Name of claimant. Eobert M. and Stephen A. Douglass John C. Calhoun, administrator of A. P . Calhoun Calhoun Fluker, administrator of IsabeUa Ann Fluker . Thomas C. Payan , W. Gr. Daniels, administrator of Mica)ah Johnson... Frederick L. Meyer, administrator of Henry Jager C. Boyle, Administrator of John Murphy Benjamin B. G-oodman Benjamin F. Grafton, administrator of John C. Murphy. Total $58, 419 20 1, 528 89 8, 650 00 487 22 2, 698 94 2, 881 33 2, 501 86 2, 902 50 1,473 16 81, 543 16 TABLE 0.—Beceipts and disbursements of United States assistant treasurers, and designated depositary at Tucson, Arizona, during the fiscal year ended June 30, 1879. BALTIMOPvE. Balance June 30,1878 L.'. ;3, 547, 047 13 EECEIPTS. On account of customs On account of internal revenue On account of currency redemption On account of currency withheld in lieu of standard sUver doUars On account of refunding certificates On account of certificates, act June 8,1872 On account of Post-Ofiice Department On account of transfers '. On account of patent fees On account of.disbursing officers On account of 4 per cent, consols On account of semi-annual d u t y . . . . . . • On account of interest in coin On account of interest in currency...' On account of miscellaneous .' $1, 958, 379 30 215, 320 28 266,477 30 58, 514 00 1, 618, 843 26 6,150, 000 00 177, 269 53 5, 328, 851 75 656 00 2,132, 631 51 92, 500 17 100,052 61 464,129 75 142, 320 00 107,137 03 18, 813, 082 49 22, 360,129 62 DISBUESEIIENTS. On account of Treasury drafts On account of Post-Oflace drafts On account of disbursing accounts On account of standard silver dollars in lieu of currency . . . , On account of currency redemption On account of interest in coin On account of interest in currency On account .'of transfers On account of certificates of deposit, act June 8,1872 $G, 040, 584 25 158, 350 09 2,313, 837 62 58, 514 00 247, 771 41 907, 618 11 676, 527 71 3,758, 935 00 6, 560,^ 000 00 17, 722,188 19 Balance June 30,1879 , , 4,637,991 43 EEPOBT OF THE SECEETARY OF THE TEEASUE-y. 41 TABLE O.^Eeceipts and disbursements, ^"C.—Continned. BOSTON. Balance June 30, 1878 r---,-t;v- r---- • - $9,928,407 34 RECEn'TS. On accountof customs .o On account of semi-annual duty Onaccountof certificates, act June 8,1872 Onaccount of Post-OfficeDepartment On account of transfers On account of patent fees On account of disbursing oflBcers On account of interest in coin and currency On account of misceUaneous $14,358,743 96 794, 394 75 9,010, 0()0 00 678,247 81 24, 508,464 26 8, 417 50 36, 833, 664 93 8,7l7, 490 99 5,168, 091 84 100, 077,516 04 110, 005, 923 38 DISBURSEMENTS. On account On account On account On account On account On account On account On account of Treasury drafts ' of Post-Office drafts of disbursing accounts of interest in coin and currency of transfers '. of certificates of deposit, act June 8,1872 of fractional currency and minor coins redeemed of miscellaneous - Balance June 80,1879 — 18,614,529 09 633, 626 19 36,770,108 04 12, 963, 212 36 21, 939, 367 27 11,120, 000 00 125, 092 21 335,181 71 ....„ 102,501,116 87 7,504,806 51 CHICAGO. Balance June 30,1878 „ .^ $5,637,625 47 RECEIPTS. On accountof customs, currency On account of customs, coin On accountof internalrevenue '. Onaccountof saleof lands On account of gold sales On accouut of 4 per cent.loan On account of certificates, act June 8, 18.72 On accountof Post-Office D.epartment On account of transfers, cuiTency On account of transfers, coin On account of patent fees ': On account of disbursing officers, currency On account of disbursing officers, coin On account of 4 per cent, refunding certificates On account of interest in coin On accountof currency, misceUaneous On account of miscellaneous, coin '. • '. 1! $953,786 19 • - 884, 599 58 2,294,644 36 16,302 23 599,772 21 2,762, 981 86 2,285, 000 00 897,147 01 13, 386; 877 79 " 472, 618 75 8, 921 95' 10, 688, 556 26 2, 278 78 695,167 81 130,286 75 209,407 37 2,243 68 36,290,592 58 41,928,218 05 DISBURSEMENTS. On account of Treasury drafts, currency On account of Treasury drafts, coin On account of Post-Ofl&ce drafts On account of disbursing accounts, currency On account of disbursing accounts, coin On account of gold sales : On account of interest in coin Ou account of interest in coin, not reimbursed On account of interest in currency On account of interest in cuixency, not reimbursed .'.. On account of transfers, currency On account of transfers, coin -• On account of certificates of deposit, act June 8,1872. Canceled 4 per cent, consols Balance June 30,1879 , 10, 552, 620 91 126,176 32 957, 032 22 10,201, 544 77 13,903 88 597,132 59 81, 276 25 42,776 00 20, 598 25 3, 000 00 6, 896, 567 85 2, 539,417 99 3, 545, 000 00 6, 519 90 35,583,566 43 6, 844,651 62 42 REPORT OF THE SECRETARY OF THE TREASURY. TABU!!. 0.--Eecei2)ts and dishursement8y4l<>'-'^oii-tmvLQd. • CINCIN"NATL -..,.-•; Balance June 30, 1878' $2,038,277 23 RECEIPTS. On account of customs On account of internal revenue On account of 4 per cent, consols On account of certiflcates, act June 8,1872 On account of Post-Office Department On account of transfers On account of patent fees On account of disbursing officers On account of interest, in coin On account of interest, in-ourrency On accountof misceUaneous T.. $518, 559 41 384,939 59 1,190,118 13 2,675, 000 00 303,408 29 7, 346, 810 17 4,613 65 1,478,448 35 1, 584,429 85 600 00 181,567 58 15, 618,495 02 17, 656,772 25 ^ DISBURSEMENTS. Onaccountof Treasury drafts Onaccountof Post-Office drafts On account of disbursiug accounts On account of interest, in coin On account of interest, in currency On account of transfers On account of certificates of deposit, act June 8,1872 On account of fractional currency redeemed ' 2,849,668 27 279,703 75 1,457,995 15 1, 580, 537 35 600 00 6,140, 531 53 2, 335, 000 00 22, 000 02 Balance June 30, 1879 14, 666,036 07 2,990,736 18 N E W OELEANS. Balance June 30,1878 $4,633,262 19 RECEIPTS.' On account of customs On account of internal revenue On account of sale of lands On accoimt of Post-Office Department Onaccountof translers On account of patent fees On account of disbursing officers On account of interest, in coin On account of inteiest, in currency On account of misceUaneous $1, 515, 647 86 777, 066 94 4, 808 80 540, 090 34 3,377,490 48 1,439 50 5,476, 278 87 8, 569 00 2,420 00 831,460 42 12, 535,272 21 17,168, 534 40 DISBURBESIENTS. On account of Treasury drafts On account of Post-Ofiice drafts On account of disbursing accounts On account of interest, in coin On account of interest, in currency On account of transfers On account of fractional currency redeemed Balance June 30,1879 „ 4,740,144 20 499, 014 74 5,897, 349 27 8, 569 00 2,420 00 1, 331, 000 00 10,000 00 „ 12,488,497 21 4,680,037 19 , 0 • REPORT OF THE SECRETARY OF THE TREASURY. 43 TABLE 0.—Eeceipts and disbursements, cfc.—Continned. N E W TOEK. BalanceJuueSO, 1878..;..V....... , ' .....J." RECEIPTS. Onaccountof customs Onaccountof internal revenue Onaccountof goldnotes On account of certificates of deposit, act June 8,1872 On account of Post-Office Department On account of transfers Onaccountof patent fees On account of misceUaneous On account of disbursing officers ". On account of superintendent assay office. New York On account of interest, in coin and currency $171,130,252-99 T $100,004,805 ^5 1,943,430 39 ^ 1-2,317,400 00 55, 740, 000 00 7,629,517 05 262, 585, 393 71 7,623 36 15,408, 020 94 285,152,239 55 10,263,589 89 68,216,224 51 819, 268,245 05 J • •. .: 990, 398,498 04 DISBURSEMENTS. •0 On account of Treasury drafts Onaccount of Post-Ofiice drafts On account of disbursing accounts On account of superintendent assay office. New York On account of certificates of deposit, act June 8,1872, redeemed On account of gold notes redeemed On account of silver notes redeemed. ,. On account of fractional currency redeemed in sUver and notes On account of fractional sUver coin redeemed, act June 9,1879 On account of interest in coin and currency Balance-June 30,1879 371, 632,647 77 7,211,282 57 274, 650, 809 94 11, 890,425 46 68,105, 000 00 28,119, 300 00 66, 280 00 213, 000 00 628, 643.00 : 68,206,422 76 _ 830, 723, 811 50 ^ 159,674,686 54 PHILADELPHIA. Balance June 30,1878 -. On account of customs On account of internal revenue On account of gold notes On account of certificates, act June 8,1872 „ On account of Post-Ofiice Departraent On account of transfers On account of patent fees On account of disbursing officers On account of interest, in coin On account of interest, in currency On account of misceUaneous On accoimt of fractional cuiTency On accountof fractional sUver coin :... : '. ^ $8,764,626 24 478, 516 00 800, 000 00 13, 845, 000 00 707, 221 16 27,481, 080 48 5, 213 60 16,492, 309 02. 1,100, 811 25 1, 067, 264 75 3,453, 608 00 42, 216 70 779, 560 00 $9,345,283 10 74, 517, 427 20 83, 862,710 30 DISBURSEMENTS. On account of Treasury drafts... On account of Post-Office drafts On account of disbursing accounts On accountof interest, in coin On account of interest, iu currency On account of transfers On account of certificates of deposit, act June 8,1872 On accoimt of fractional currency redeemed On account of fractional sUver coin Balance J u n e 30,1879 19,989,451 67 664,632 21 16, 231, 979 46 2,947,851 23 3,118, 620 45 11, 540,165 00 12, 905, 000 00 43, 065 70 399, 760 00 67, 840, 525 72 10,022,184 58 44 REPORT OP THE SECRETARY OF ^THE TREASURY. TABLE 0.—Eeceipts and dishursements, cfc.—Continned. SAN FEANCISCO. Balance June 30,1878 *$12,964,223 70 RECEIPTS. Onaccountof customs On account of internal revenue On account of sale of lands On account of standard doUars received for sUver certificates On account of refunding certificates • On account of Post-Office Department On account of transfers ..: :.' On account of'patent fees '........ On account of disbursing officers On account of 4 per cent, loan, 1907 On account of coin withheld in Ueu of United States notes disbursed .. On account of miscellaneous $6,484,118 58 2, 548, 606 00 203, 719 53 8,207, 290 00 105, Opi 58 600, 580 54 18, 672, 372 61 13, 642 20 19, 824, 762 82 8,102, 535 84 535, 090 00 1, 520,103 93 66; 907, 883 63 79, 872,107 33 DISBURSEMENTS. 0 On account of Treasury drafts ". On account of Post-Offiice drafts On account of disbursing accounts On account of bulUon account On account of interest, in coin On account of interest, in currency : On account of transfers : ". On account of United States notes disbursed in lieu of gold coin • ' — 7,386,893 14 453, 094 89 19,405, 951 52 9,750, 000 00 181, 320 79 15, 360 00 18,750,000 00 535, 090 00 B.alance June 30,1879 56,477,710 34 23,394,396 99 SAINT LOUIS. Balance June 30, 1878 $3, 643, 986 65 RECEIPTS. On account of customs On account of internal revenue On account of sale of lands Onaccountof gold On account of certificates, act June 8,1872 On account of Post-Office Department On account of transfers — , •On account of patent fees On account of disbursing'officers On account of 4 per cent, loan • On account of coin sales On account of 5 per cent, redemption fund •On account of'miscellaneous .• '.. '. $1,172, 900 48 692, 444 71 9, 386 37 3,810 00 560, 000 00 1, 098, 228 00 9, 638, 667 56 3, 892 75 5,720,236 04 830,447 41 7.54,465 12 277, 807 29 200, 624 43 i 20, 962, 910 7.6 24, 606, 897 41 DISBURSEMENTS. •On account of Treasury drafts .Onaccountof Post-Office drafts...., *0n account of disbursing accounts •On account of coin sales -On account of Treasurer's transfer accoimt 'On account of interest, in coin On account of interest, in currency On account of transfers, inclusive of standard dollars On account of certificates of deposit, act June 8, 1872 On account of fractional currency redeemed " . ' • .^ .' 7,337,608 36 1,1.51,447 23 5, 676, 375 70 762, 098 41 26, 533 45 4:73, 396 43 6, 690 00 4,439,455 83 910, 000 00 5, 845 00 Balance June 30, 1879 * The reserve fund, amounting to $2,240,000, is included in this amount. 20,789,4.50 41 3,817,447 00 REPORT OF THE SECRETARY OF THE TREASURY, 45. TABLE O.—Eeceipts and disbursements, Sfc.—Continned. TUCSON. Balance June 30,1878 • ., '..» . . $400,328 40 RECEIPTS. Onaccountof On account of Onaccountof On account of Onaccountof On account of On account of customs internal revenue saleof lands Post-OfficeDepartment transfers disbursing officers misceUaneous - i 1,600 98 23,474 53 6, 500 00 93, 955 00 1,173,221 91 42,990 31 33,120 22 _• 1, 374, 862 95 1,775,191 85 DISBURSEMENTS. * On account of Treasury drafts Onaccountof disbursing accounts Oa account of transfers Balance June 30,1879 , 21,554 50 540,654 36 923,220 91 .,......,. 1,485,429 77 289,761 6S REPORT OF COMMISSIONER OF INTERNAL REYENUE. REPORT OF THE COMMISSIONER OF INTERNAL REVENUE. TREASURY DEPARTMENT, O F F I C E OF INTERNAL K E V E N U E , Washington, N'ovemher 24-., 1879. SIR : I have the honor to submit the report of the Bureau of Internal Eevenue, for the fiscal year endeci June 30, 1879, accoinpanied by additional facts and figures bringing down the operations of this branch of the pablic service as nearl}^ as possible to the iiresent date. It affords me great pleasure to be able to report an improved condition of the internal-revenue service: first, in regard to the receipt.s ; second, ill respect to the character and efficiency of the officers einployed; third, in respect to the disposition of tax-payers to observe the laws;. and, fourth, in regard to public opinion in reference to the enforcement of the laws. The marked improvement in the receipts during the past four months in the face of the great reduction of the tax on tobacco, gives promise that the receipts irom internal-revenue taxes will, during the present fiscal year, reach the suni of $115,000,000. The one hundred and twenty-six collectors and their subordinates, as a body of officers to whom is intrusted the duty of collecting nearly $115,000,000 of revenue, are entitled to the respect and commendation of the people and the government for their capacit^', integrity, and fidelity to duty. The great majority of the tax-payers have observed the laws, and faithfully paid their taxes, and it is believed that in. the greater portion of tlie country violations of the internal revenue laws are as infrequent as can reasonably be expected. And in those districts where the laws, liave been for years openly violated, and the officers set at defiance, there is a returning sense in the minds of a majority of the people of the duty of the tax-payers to observe the laws and of the officers of the government to enforce them. R E S I S T A N C E TO E N F O R C E M E N T O F THE LAWS. It will be seen from the table on page 14, that during the last three years and four months 3,117 illicit distilleries have been seized, 6,431 persons arrested for illicit distilling, and 26 officers and employes killed and 47 Avounded while engaged in enforcing the internal-revenue laws. These facts clearly show the dangerous and difficult character of the work that < has been performed by our officers in the enforcement of the laws; and,; the fact that during the past sixteen months 1,395 illicit distilleries have ] been seized, 3,281 illicit distillers arrested, 4 officers and employes killed,: and 22 wounded while enforcing the laws, and the further fact that i nearly all of these seizures, arrests, and resistance of authority are con4 F 50 REPORT ON THE FINANCES. fined to the districts long infested with these troubles, indicates unmistakably that much remains to be done'to place the service upon a satisla^ctory footing. This can only be done by constant, vigorous, and courageous efforts of repression with such a force of deputies, armed when necessary, as will demonstrate the ability and determination ofthe government to collect its revenues and enforce its laws. And I deem it my duty to again call your attention to the fact that the appropriations have been, and now are, inadequate to the proper enforcement of the laws. It is well known that the manufacture of whisky with small stills has been long practiced by many persons in a number of States. A ta-x of 90 cents a gallon on this product is a great temptation to fraud. It has been found that in many portions of the country, especially in mountainous regions, distillers will league together for the purpose of avoiding the i)ayiTient of the tax and resisting the officers of the United States engaged in the enforcement of the laws. , In maldng the distribution of the appropriation to collectors and their subordinates for the collection of the revenue and for policing all the .States and Territories of tlie Union for the purpose of preventing and detecting frauds, it is found necessary, as a rule, to assign large areas .of territorj^ to each dexiuty collector, the size of the divisi(m being mainly determined by the number of manufacturers and dealers engaged in the production and sale of taxable articles. In the great majority of these divisions the deputy collectors perform their duties without molestation or resistance, so that in numerous cases as many as Uve or ten counties are assigned to a single deputy collector. In those collection•districts where illicit distilling is rife, experience has shown thatthe combinations of these violators of the law have for years been such as to set the ordinary force of officers at defiance, so that three years ago many experienced and intelligent officers had come to the conclusion that the fraud of illicit distilbug was an evil too firmly established to be uprooted, and that it must be endured. The efforts of the past three years, although begun and continued with insufficient appropriations, have given such results as to show conclusively that, with a proper appropriation for this service, tliese frauds can be eradicated and resistance to the laws (Overborne. The appropriations being insufficient to employ permanently the proper puinber of deputies for operations against illicit distillers, I have from time to time authorized collectors to employ a temporary force to aid the regular deputies in policing their divisions and seizing illicit distilleries, and it has been found necessary to provide many collectors with guns from the Ordnance Department of the government to enable them to arm their deputies for self-defense. It has been through the organization of these parties that collectors have been enabled to seize so many illicit distilleries, and to overcome the resistance which has on so inany occasions been offered by combinations of illicit distillers. It is in the interest of the go^^ernment, Avhose laws are violated and whose revenues are withheld ; it is in the interest of the public, whose peace is disturbed and whose morals are debauched; and it is in the interest of the officers of internal revenue, whose lives are endangered while enforcing the laws, that sufficient appropriations should be made to provide an ample force to suppress illicit distilling wherever found, and to police the infected country so as to prevent a recurrence of these demoralizing frauds, and I therefore have the honor to recommend the appropriation of $100,000 as a deficiency, for the present fiscal year for this service. COMMISSIONER OF INTERNAL REVENUE. 51 . I have directed the collectors in these infected districts to encourage the establishment of legal distilleries as an additional means of eradicating the evil of illicit distilling. This ha^s been found to work well, 255 distilleries having been established in illicit distilling districts during the past fiscal year. This course has worked a material change with the public at large and with persons in the habit of distilling fi:ivorable to the observance of law, and if suitable axipropriations are made to allow the emplo^anent of a sufficient number of deputy collectors to make thorough and frequent canvass of the districts, I am satisfied that within a 3^ear or two frauds against the revenue will be to a great extent broken up, and an orderly and peaceable administration of the laws established. Tiie increase in the number of legal distilleries will materially augment the expense for storekeepers and gaugers, and will make it necessary that a deficiency appropriation be made for the present fiscal year of two hundred thousand dollars. LEGISLATION FOR PROTECTION OF REVENUE OFFICERS. I again call attention to the fact that in very few cases have the State courts taken cognizance of the murders arad assaults committed upon the persons of the officers and employes of the government. The penalties provided by law for murder and assault to murder are intended, amongst other things, for the protection of the citizen in life and limb. When, iu a particular class of cases, the Liws are rarely entbrced, it is evident that they fall short of accomplishing, one of their im])ortant puri)oses. This is obviously the case in respect to officers of the United States engaged in the enforcement of the internal-revenue laws. It is clear to my mind that in some ijortions of the country, for a considerable time to come, reliance cannot be placed upon the State courts for punishing citizens who commit murder or assaults to murder upon our officers while engaged in the x)erformance of their duties. It seems to me of the utmost importance that the United States should, under its own law^s and through its own courts, undertake the trial and punishment of persons who are guilty of murder and assault to murder of officers while engaged in or on account of the performance of their official duties, and I have the honor of renewing the recommendation made in my last annual report for the passage of such a law by Congress. TAX UPON CIRCULATING NOTES OF CORPORATIONS AND INDIVIDUAlLS. During the past two years assessments am'ounting to $193,743.53 have been made against various corporations and individuals upon circulating notes issued in derogation of sections 3412 and 3413 U. S. Eevised Statutes, and sections 19 and 20 of the act of February 8,1875. There seems " to be a growing disposition in many jjarts of the country upon the part of individuals and corporations to issue notes to be used as a local circulation, payable either in money or trade. Experience has shown that such issue^t are a "delusive and pernicious substitute for cash.'^ The laws in question seem to be the only protection the people have against a fiood of these insecure and dangerous notes, and in my oi)inion they should not be repealed. PUBLICATIONS. Since my last, annual report I have caused to be prepared and printed a compilat^iou of the internal-revenue laws and other statutes connected 52 REPORT ON THE FINANCES. therewith, whicli has been distributed for the use of United States judges, district attorneys, marshals, and officers of internal revenue. It is believed to be an accurate reproduction of the living law up to and including the acts of the last session of Congress, and I have no doubt Avill be of great public value. I am indebted mainly to the services of W. H. Armstrong, esq., and C. W. Eldridge, of the internal-revenue service, for the production of this work. I have also caused to be prepared and printed since my last annual report a revision of the Eevenue Agents^ Manual, Avhich has been considerably enlarged. The former volume was so Avell received by the service that this volume has been printed in sufficient quantities to supply all the officers of internal revenue, and has been entitled the Internal Eevenue Manual. I am indebted to Eevenue Agent F. D. Sewall and C. W. Eldridge, esq., mainly for the preparation of this Avork. DEFICIENCY TAXES UPON SPIRITS AA^THDRAWN FOR EXPORTATION. Under the existing law spirits intended for exportation are gauged before their Avithdrawal from the bonded warehouse, and are again gauged at the port of export when they are about to be laden upon a foreign-bound A^essel, and the distiller or exporter is required to pay ii tax of 90 cents per gallon upon any defi^ciency that may be found between the first and second gauges. These taxes are greatly complained of by the distillers and others engaged in the export trade. This law was undoubtedly designed for, and has had the eff'ect of, preventing frauds in connection Avith the exportation of distilled spirits, i t is, however, well known that it is next to impossible to so prepare Avooden packa.ges as to i)reA^ent a certain amount of evaporation in the course of transi3ortatioii over a long line, especially in hot Aveather, and I full3^ recognize the hardship of requiring the distiller to pay tax upon spirits which IiaA^e been lost by CA^aporation in the course of transportation. The intent of the internal-revenue laws is to levy a tax of 90 cents a gallon upon spirits Avliich are manufactured for and actually go into consuraption in. this country, and the tax in question is evidently not intended for rcA^enue, but as a restrictive measure to prevent fraud. These taxes haA^e in many instances amounted to a reasonable profit on the sale of the spirits, and liaA^e therefore been felt as a great burden by the distillers. Where the spirits are withdrawn in good faith for exportatioii, and due diligence is exercised in their transportation, and losses occur by evaporation or accident in transportation without fraud or negligence on the part of the distiller, owner, or transportation company, or their agents, in my judgment no tax should be levied for any such loss. Such a tax necessarily discourages the exportation of American distilled spirits, and would seem to be contrary to sound public policy; and I have the honor to recommend that existing laws be so amended as to provide that taxes shall not be assessed for deficiencies occurring under the circumstances named. I would also recommend that provision of law be made for the exportation of alcohol in metallic cans of ten gallons and upwards. BONDED AVAREHOUSES, FOR PEACH AND APPLE BRANDY. Distillers of brandy from grapes w^ere, by the act of March 3, 1877, allowed to store their product for three years in bonded warehouse before payment of tax thereon; and I suggest for the consideration of Congress the expediency of according the saaie pri\ilege to distillers of brandy from apples and peaches. COMMISSIONER OF INTERNAL REVENUE. 53 The latter is now the only class of distillers not having the option of three years' storage of their product before payment of tax, and the reasons for granting them the privilege are the same which induced its extension in the case of grain and grape-brandy distillers, and.are such, as operate with especial force in the case of all distillers of fruit. The necessity for time to ripen the spirits sufficiently to giA^e them a A-alue remunerative to the producer, and for opportunity to obtain a favorable market is really more urgent than with grain distillers. Under authority of the statute in that respect, I have already enlarged the time for the collection of this tax, in default of payment, to four months from the date Avhen the same is payable; but I have not deemed it best to gi ve further credit Avithout the custody of the spirits as securitj'. The extension of the Avarehouse system to tliis class of distillers would occasion a considerable increase in the annual appropriation for pay of storekeepers; but some compensation for this outla}^ may? perhaps, be found in an increase iii ijroduction Avhen production no longer requires an immediate raising of money to meet the tax or else a sale of the product at unsatisfactory prices. RECEIPTS FOR FIRST FOUR MONTHS OF PRESENT FISCAL YEAR. The following table shows the receipts from the several sources of rcA^enue for the first four months of the current fiscal year. The receipts for the corresponding period in the last fiscal year and a comparison of the receipts for the two periods are also given: Sources of revenue. Brandy distilled from apples, peacbes, or grapes Spirii s distilled frora materials otber tban apples, peacbes, or grapes Wine made in imitation of cbampagne, &c Kectiflers (special tax) i)ealei-s, retail liquor (special tax) X)ealeis, wbolesale liquor (special tax) .. Manufactuiers of stills, and stills or worms maiuifactured (special tax) . . . Stamps for distilled spirits intended for export .Stamps—warebouse, rectifiers', and dealei-s' : Interest on tax upon spirits Total Heceipts from July 1,1878, to October 31,1878. $257, 034 56 15, 621,150 41 Receipts from July 1, 1879, to October 31,1879. $269, 975 05 Increase. $12, 940 49 18, 242, 981 09 2, 621, 830 68 15, 950 OS 345, 582 50 36, 330 92 12,012 53 343, 021 18 27, 720 58 1, 050 43 1, 235 02 184 59 3, 815 90 3, 942 20 126 30 84,184 30 12, 485 70 IOO,792 30 51, 721 54 16, 377, 584 80 Decrease. 19,053,401 49 $3, 937 55 2. 561 32 8, 610 34 16, 608 00 39, 235 84 2, 675, 816 69 TOBACCO. .Cigars, clieroots, and cigarettes ]Manufacturers of cigars (special t a x ) . . . Snutt' Tobacco of all descriptions Stamps for tobacco or snuff intended foi' , expoit Dealers in leaf tobacco (special tax) Ketail dealers in leaf tobacco (special tax) Dealers in manufactured tobacco (special tax) ' .Manufacturers of tobacco (special tax) . Peddlers of tobacco (special tax) Total 4, 482, 744 67 9, 956 57 391, 771 04 10, 002, 970 71 2, 932 30 4, 984, 850 65 7, 854 24 235, 307 26 7, 822, 835 09 502,105 98 2,102 33 156,403 78 2,180,135 62 851 00 2, 482 48 ^ 2,081 30 5, 346 96 7, 829 44 482 77 1, 003 60 152, 617 68 700 88 4, 663 24 15, 057,190 13 166, 388 52 704 63 4,114 34 13, 230, 003 82 13, 770 84 3 75 548 90 1, 827,186 31 54 REPORT ON THE FINANCES. Sources of r e v e n u e . R e c e i p t s from J u l y 1,1878, to October 31,1878. R e c e i p t s from J u l y 1, 1879, to October . 31, 1879. $3,952,225 93 7, 847 54 39, 282 24 $4, 477, 362 67 7, 208 36 42, 912 66 $525,136 74 3, 999, 355 71 4,527, 483 69 528,127 98. 468, 820 93 120, 058 04 256,139 OU 10,145 26 536, 774 30, 868 218,903 25, 743 67, 953 37 8.55,163 83 812, 289 83 2, 281, 843 11 105, 270 37 2, 361, 273 11 60, 776 89 134, 647 32 44, 378 77 90, 268 55 2,521,760 80 2, 466, 428 77 55, 332 03 38; 811, 055 27 40, 089, 607 60 Increase. Decrease. FERMENTED LIQUORS. P e r m e n t e d liquors, t a x of $1 p e r b a r r e l o n . •Brewers (special tax) D e a l e r s in m a l t l i q u o r s (special t a x ) Total ... $639 18 3, 630 42 BANKS AND BANKEKS. Bani?! deposits B a u k d e p o s i t s s a v i n g s &c Banlv Capital B a n k circulation Total 30 25 34 94 89,189 79 37, 236 26 15, 598 68 42,874 00 MISCELLANEOUS. Adhe.sive s t a m p s ' Penalties . A r t i c l e s a n d o c c u p a t i o n s formerly t a x e d b u t now exempt Total Ag^T'Cgate r e c e i p t s 79, 430 00 44,493 48 1, 278, 552 33 REDUCTION OF TOBACCO TAX. During the discussion of the question of the reduction of the tax on manufactured tobacco, I A^entured to suggest that the loss to the revenue would be at least $9,000,000 per annuin, and that no pecuniary benefit would result to consuiiiers by a reduction of the retail price of tobacco. During four months of the present fiscal year the decrease in the receipts from tobacco and snuff, as compared with the corresponding period of last year, AA^as $2,336,599; these figures indicate a reduction for the year in receipts from this source of over $7,000,000. The increasing prosperity of the country which has given so favorable an impulse to all business has largely benefitted the tobacco trade, and the leceipts have in consequence not sufiered so lieaAuly as Avas anticipated. Experience has shown that no material advantage has inured to consumers in a reduction of the price by reason of the reduction of the tax. EXAMINATION OF COLLECTORS' OFFICES. I again call your attention to the system of quarterly exarainations of the offices and accounts of collectors by skilled accountants. Under this system a more uniform method of conducting the business of collectors' otfices has been established, a marked improA^ement has been efiected in the style of the Avork in the offices, and ttie almost universal Avriting up of the books to date. These examinations enable this ofiice, at short stated periods, to be definitely advised of the fact that the public funds are faithfully accounted for. Eecent reports show that of the one hundred and tAA^enty-six collectors' ofiices, n iiety-eight are first class, according to the ofiicial standard, and the others are in a fiiir way to reach the highest grade. COMMISSIONER OF INTERNAL 55 REVENUE. INSPECTION OF OFFICERS. The system of inspecting officers provided for more than two j'ears ago has had an admirable efiect upon the service. These inspections have been in the nature of a school of the ofiicer. .. The inspections are conducted by rcA^enue agents under careful instructions from this office, and I am satisfied that by this means the knowledge of the officers in. respect to law and regulations has been greatly enlarged, and their diligence and faithfulness in the performance of official duty greatly improved. The reports of the examination of collectors' offices and of the inspection of officers constitute a fund of information in this office in respect to the personnel of the entire service which enables the Commissioner to form a just estimate of the character, capacity, and fidelity of all the officers in the service. AMOUNTS COLLECTED AND ACCOUNTED FOR BY DISTRICTS. At the close of the fiscal year whicli ended June 30, 1879, I caused a careful examination to be made of the records and accounts of each col-; lector of internal revenue throughout the United States, with a view of ascertaining if the public moneys collected had been propeii}^ accounted for, and had the gratification of ascertaining that during the year $113,449,621.38 of internal-revenue taxes had been collected, and that every dollar had been promi^tly x^aid into the Treasury. During the past three fiscalyears the total amountof internal-revenue taxes collected and paid intp the Treasury has been $343,098,969. The only amounts collected, and not paid into the Treasury d.uring the same period were $2,786.13, Avhich remain in the hands of two collectors who have been retired from the piiblic service. Their accounts liaA^e been, reported to the First Comptroller of the Treasury for suit, and the amounts due from them will be collected. The average cost of collection during the. same period has been less than 3f per cent., Including the salaries and expenses of this bureau. Subjoined is a statement of the collections made by districts during the past fiscal year, Avitli the name of each collector and the amount collected and accounted for by him: Statement showing the aggregate collections made and reported to ihe Commissioner of Internal Revenue hy collectors of the several collection districts during the fiscal year ended Jnne 30, 1879. Collection d i s t r i c t s . Pirst Alabama Second A l a b a m a Do Arizona Arkansas F i i s t Califoruia F o u r t h California.. Colorado Do Fir.st C o n n e c t i c u t . . Second C o n n e c t i c u t Dakota Do Delaware Florida .. Second Georgia N a r a e s of collectors. L. H. M a y e r D . B . B o o t h (late) J a m e s T . R a p i e r (preseut) . . . T h o m a s Cordis E d wai'd AVheeler William Higby A . L. F r o s t J . C. AA^ilson (late) J a m e s S. Wolf (present) J o s e p h Selden D. F. H o l l i s t e r .. AVilliam K . H o l l e n b e e k (late) J . L. P e n n i n g t o n (present) . . . J a m e s M c l n t i r e ...% A. A. K n i g h t A.Clark A g g r e g a t e col-: lections. 084 5, 343 66, 805 24, 470 115, 219 1, 911, 385 306, 113 40, 170 74, 765 2.51, 313 271, 945 6, 609 27, 083 378, 684 200, 424 214, 714 72 95 71 87 57 48 21 74 6.5. 2i 46: .502% 3973' m 5G REPORT ON THE FINANCES. Statement showing the aggregate collections, &c,—Continued. Collection districts. Third Georgia Idaho First Illiuois . Secoud Illinois Third Illinois Fourth Illinois Fifth lllmois Seventh Illinois Eighth llhnois Thu-tecnth Illiuois I'ii'st Indiana Fonrth Indiana ^'Sixth Indiana Seventh Indiana Do. Tenth Indiana ElcA'enth Indiana Second Iowa Third Iowa Fourth Iowa Fifth Iowa Kansas •Second Kentucky ; Fifth Kentucky.' Sixth Kentucky .Seventh Kentucky Eigbth Kentucky" •. Ninth Kentucky Louisiana Maine Third Maryland Fourth Miiryland Third Massachusetts Fifth Massachustitts Tenth Massachusetts First Micliigan Third Michigan Fourth Michigan Sixth Michigan First Minruisota Second Minnesota ijMissis.sippi Do First Missouri Second Missouri Fourth Missouri I'ifth Missouri. Sixth Missouri Montana Nebraska Do Do Nevada New Hamp.shire • ' Fuvst New Jcnsey Third New Jeisey Fifth Now Jei'sey New Mexico First New York Second New York Third New Yoik Eleventh New York Twelfth New York Fourteenth New York .Fifteenth New Voik Do •Twenty-first New York ' Twenty-fourth New York .Twenty-sixtli Is'c-w York Twenty-eighth New York Thii-tieth New York • Second North Carolina Fourth North Carolina .Fifth North Caroliua Si.\'th Noith Carolina FirstOhio Third Ohio Fourth Ohio .Sixth Ohio Names of collectors. E. C. Wade A. Savage J. D. Harvey WilliamB.'Allen . A. Nase. John Tillson H. Knowles J. AV. Hill...-• J. Merriam J. (J. AVillis J.C.Veatch AVill Cumback F.Ba,ggs Frank White (late) D. AV. Minshall (present) George Moon J. F. Wildman S. S. Farwell J. E. Simpson John Council L. P. Sherman J. C. Carpenter AVilliam A.Stuart Jaraes F. Buckner W.S. Holden A. M. Swope AV. J. .Landram John E. Biaine Morris Marks F.J.Rollins R.M. Proud. Daniel i). Bruoo . : Charles AV. Slack C.C.Dame '. E. R. Tinker L.S.Trowbridge H. B. Rowlson S.S.Bailey C. V. DeLand A. C. Smilh , AAailiam Bickel R. C. Powers (late) James Hill (present) I. H. Sturgeon A. B. Carroll A. C. Stewart D.H. Budlong R.T. Van Horn T. P. Fuller H. A. Newman (late) F. W. Robb (late) Lorenzo Crounse (present)... F. C. Lord A. H. Young AVilliam P. Tatem C. Barcalow : . . R.B. Hathorn G.A.Smith James Freeland M.B.Blake Max AVeber M. D. Stivers J. M. Johnson R. P. Lathrop J. T Masters (late) Thonias Stevenson (present) . J. C. P. Kincaid J.B.-Strong Benjamin Devoe Burt Van Horn F.Buell Thomas Powers L J . Young....: AVilliam PI. AVheeler J.J.Mott Amos Smith, .ir Robert AVilliams, j r R.P.Kennedy James Pursell COMMISSIONER OF INTERNAL REVENUE. 57 Statement shoioing the aggregate collections, &c.—Continued. Names of collectors. Collection districts. Seventh Ohio Tenth Ohio Eleventh Ohio Fifteeuth Ohio Eighteenth Ohio Oregon • First Pennsylvania Eighth .Pennsylvania Ninth Pennsylvania Twelfth Pennsylvania Fourteenth Pennsylvania Sixteenth Pennsylvania Nineteenth Pennsylvania Twentieth Pennsylvania Twenty-second Pennsylvania Twenty-third Penusyivania... Rhode Island South Carolina. Second Tennessee" Fifth Tennessee Eight' I Tennessee First Te.xas Third Texas Do Fonrth Texas Htah Vermont Second A''irgiuia Third Virginia. Fourth A''irgiuia Fifth Virginia Sixth Virginia .• AVashington First West Virginia . . . Second AVest Virgiuia . First Wisconsin Second AVisconsin Third AVisconsin ., Sixth AViscon.sin AVyoming - C. C. Walcutt . . . . C. AVaggoner B. F.(;oates Jewett P a l m e r — C. B. Pettengill . . J. C. Cartwright . James Ashworth . J.T.Valentine.... T.A. AViley E.H.Chase C. J. Bin Edward Scull C: M. Lynch James C. Brown Thomas AV. Davis Jolm M. Sullivan E.H.Rhodes E. M. Brayton J. A. Cooper AV. M. AVoodcock R. F. Patterson AV. H. Sinclair M. N. Brewster (late) Benjamin C. Ludlow (present) . A. (^.Malloy 0. J. Hollister. C.S.Dana James D. Brady Otis H. RusseU AVilliam L. Fernald J . H . Rives B. B. Botts James R. Hayden , L H . Duval..' George W. Brown 1. M. Bean H. Harnden A. K. Osborn H.E.Kelley E. P. Snow Aggregate collections. $296, 834 34 985, 137 32 781, 031 89 169, 956 83 773, 324 27 68, 471 12 2, 262,216 01 447, 771 52 870. 264 95 30.3, 693 99 102, 113 64 172, 136 87 101, 391 50 88, 298 56 1, 002,727 66 536, 167 66 230, 583 17 105, 233 91 101, 469 88 702, 687 72 104, 766 84 104, 650 46 4, 020 12 83, 421 58 58, 970 16 47, 413 02 50, 159 59 1,1.57, 687 75 2,144, 170 65 1, 378,594 91 1, .566,900.17 201, 193 40 30, 277 11 276, 753 41 46, 222 44 128 58 2, 200,408 145, 022.47 73 192, 982 42 89, 197 44 14, Total from collectors Cash deposited for purchase of adhesive stamps . 107, 212. 082 81 6,'. 37, "^38 57 Total receipts from all sources 113, 449, 621 38 COST OF COLLECTION. The total cost of collecting internal rcA^enue in the United States for the fiscal year ended June 30, 1879, was as folloAvs: For salaries and expenses of collectors, inclucling pay of depnty collectors, clerks, &c . ^^1, 822, 000 00 For salaries and expenses of revenne agents, surveyors of distilleries, gaugers, storekeepers, andmiscellaneousexpens.es -. 1,650,000 00 For dieSj paper, and stanips 375,000 00 For alteration of stamps 6,411 33 . For expenses of detecting and punishing violations of internal-revenne laws \ 98,890 85 For salaries of officers, clerks, and employes in the office of Commissioner of Internal Revenne 253.330 00 Total Being 3 j ^ per cent, upon the amount collected. 4,205,632 18 58 REPORT ON THE FINANCES. ESTIMATED EXPENSES FOR NEXT FISCAL YEAR. I estimate the expenses of the Internal Eevenue Service for the fiscal year ending June 30, 1881, as follows: For salaries and expenses of collectors $1,900,000 For salaries and expeuses of thixty-hve revenue agents, for surveyors, for fees and expenses of gaugers, for salaries of storekeepers, and for miscellaneous expenses , -.. 1,700, 000 For dies, paper, and staraps 375,000 For detecting and bridging to trial and punishment persons guilty of violating the internal-revenue laws, includiug iiayment for information and detection 100,000 For salaries of officers, clerks, and employees in the office of the Commissioner of Internal Revenue 253,330 Total - 4,328,330 DISTRICT A T T O R N E Y S ' AND MARSHALS' F E E S . The intimate relation existing between this office and the offices of the several district attorneys and marshals throughout the United States has caused me to give considerable attention to the subject of their compensation, and I haA^e reached the conclusion that there are A^ery few subjects of legislation that so well merit the attention of Congress. In my opinion, the s.ystem which requii^es these ofiicers to rely upon fees as a means of compensation is a vicious one, tending to demoralize the service, and I think should be abolished. If authority Avas conferred upon the Attorney-General to fix the salaries of the district attorneys as he now has of their assistants, and also to fix the salaries of the marshals and their deputies, with such alloAvance for traveling expenses as would be just, the whole to be paid out of the Treasury; or if these salaries Avere fixed by law, 1 A^enture to say that the service would be greatly improved. REVENUE AGENTS. During the fiscal year ended June 30, 1879, thirty-fiA^e rcA^enue agents Avere employed. Aggregate salary of agents Aggregate amoant for traveliug expeuses Stationery furnished agents Total amount of expenses of revenue agents for fiscal year $80,183 00 45,604 21 183 84 125,971 05 EcA^enue agents haA^e been employed as follows: •As chief of division in this oflice Assigned to divisions . . . , Employed cxamiDing collectors' accounts Assistants to agents in charge of divisions Special duty 1 24 4 5 1 AVOKK OF REA-ENUE A G E N T S . Number of persons arrested for violating internal-revenue laws on infor- * mation of revenue agents 934 Number of violations of law reported by revenne agents 1, 105 Yalue of property seized on information of revenue agents .T $280,944 12 Amonnt of uncollected taxes and penalties rej)orted to collectors by revenue agents ' 880,635 31 COMMISSIONER OF INTERNAL 59: REVENUE. STATISTICS OF OPERATIONS AGAINST ILLICIT DISTILLERS. The following table shows the nuinber of illicit stills seized, persons arrested, and casualties to officers and employes during the last fiscal year, and from July 1st to October 31st, inclusive: o fl Districts. <D fl 71 11 2 . . . . ITirst California Dakota 184 32 4 1 3 1 1 "Third Greoiafa T h i r t e e n t h Illinois F'irst I n d i a n a i 2 1 21 6 i 4' Second I o w a 1 28 23 48 G 1 Second Kentncl<y Pifth K e n t u c k y ' Eighth Kentucky Ninth Kentucky liOuisiRna Third Maryland I'^irst jSIissonri Second M i s s o u r i 12 • 1 3 2 1 1 2 1 .. Pifth M i s s o u r i . . : P i r s t Michigan P o u i t h Michi f^ an P i r s t N e w fJersey Pifth N e w J e i s e y Pirst N e w l ork Second N e w Yoi'k Third New York Twenty-first N e w Y o r k Second Nortli Carolina, Ton r t h N o r t h Carolina P i f t h Nortli Carolina S i x t h N o r t h Caroliua S i x t h Ohio r i f t e e n t h Ohio T w e l f t h Ipennsylvania rourteenih Pennsylvania Twenty-second Peunsylvania Second TVnuessee Pifth Tennessee Eiiihth Tennessee Eii'St T e x a s Tliird Texa.s Pourth Texas Vennont T h i r d A^'irjrinia Pourth Viroinia P i f t h A^irginia ' S i x t h Virjiinia P i i s t AVest V i r g i n i a Second AVest V i r g i n i a P i r s t Wisconsin 1 9 1 6 1 3 65 136 274 1 3 1 3 66 83 151 io' 1 20 3 1 • 1. i 2 io' 2 19 2 1 i7' 3 22 1 2 •. Total 3 1 3 13 45 2 8 8 3 4' 1,319 176 2 1 i' B fl cZ 83 11 2 1 2 1 205 38 4 1 4 1 1 4 1 38 24 68 9 2 1 1 3 5 1 . 1 2 1 1 1 9 1 8 1 3 75 138 293 1 3 3 1 3 83 86 173 310 40 15 ""hid 1 2 3 3 ". 4 13 49 2 8 9 3 1,495 3 2 3 64 52 7 3 3 1 i 14 39 10 46 4 3 1 1 is' 7 1 7 1 9 13 7" i' 2 1 1 2 4' 2 2 141 ' ' " " 9 ' 64 343 95" 2 i" 117 375 579 5 2 3 "'4' 27 157 11 15 2 2,924 310 40 15 3 2 3 577 52 7 3 3 1 4 1 14 46 10 61 4' 3 1 2" 87 ie 1 3 I is i' 357 . fl 0 H CO i^ ^^0 . "p 30 Second A l a h a m a Artaiisas -- Officers a n d g u i d e s kille d a n d wounded. Persons arrested. Stills seized. 3 1 1 1 2 7 1 6 2 2 150 64 438 5 1 1 119 375 666 5 1 1 5 1 I I 1 2 1 1 1 5 2 3 4 22 16 4 3 5 27 172 11 16 2 3,281 60 REPORT ON THE FINANCES. The folloAving table shows the number of illicit stills seized, persons arrested operating the same, and casualties to officers and employes in the suppression of illicit distillation, during the last three fiscal years, and from eTune 30 to November 1, 1879 : ^ stills seized Persons arrested Oilicers and employ<^s killed Olliceis and employes wounded 1877. 1878. 1879. 598 1,174 12 8 1,024 1,976 10 17 1,319 2, 924 4 22 June 30,1879 to Novem- Total. ber 1,1879. 176 3.57 3,117 6,431 26 47 PROSECUTIONS OF REVENUE OFFICERS IN STATE COURTS. Nnmber of officers and employes of the government who ha,re heen proceeded against in State courts for acts committed while in discharge of their official duties during the fiscal year. Second district of Kentucky 5 Fifth district of Kentucky ^ 4 Fourth district of North Carolina 1 Fifth district of North Carolina 4 District bf South Carolina : 4 Fifth district of Virginia 8 Fifr.h district of Tennessee .^....: -. 8 Second district of Georgia 10 Third district of Georgia 6 District of Arkansas 6 Number of prosecutions of officers previously reported, during the past three fiscal years 109 Total. 165 My information is, and I am of the opinion that, A^ery nearly, if not quite all, of these prosecutions are Avithout probable cause, and are instituted as a means of obstructing the enforcement of the laws, and these facts afibrd additional evidence of the difiiculties in the way of collecting the internal rcA^enue. I deem it proper to state, and I take pleasure in so doing, that,in the States .where so much opposition is met in the enforcement ofthe laws, there are many honest and honorable manufacturers and dealers who not only pjay their taxes, bat condemn the frauds and lawlessness of others. EXPENDITURES FOR THE DISCOVERY OF AND PUNISHIMENT FRAUDS UPON THE INTERNAL REVENUE. FOR In accordance Avith the proA^isions of the act of Congress approved June 19, 1878, thefollowing detailed statement of expenditures fromthe appropriation for detecting and bringing to trial and punishment persons guilty of violating the internal-revenue laws is subinitted. Amount expended through collectors of internal rcYenue for information leading to the discovery of frauds and punisliment of guilty persons, as follows: James Ashworth, first Pennsylvauia E. M. Brayton, district Soutli Carolina George W. Brown, second West Virginia J. F. Buckner, fifth Kentucky B. B. Botts, sixth A^rginia J. E. Blaine, sixth Kentucky Audrew Clark, second Georgia $209 75 2; 722 33 403 95 1, 789 00 91 69 232 53 3, 370 70 COMMISSIONER OF INTERNAL REVENUE. J. A. Cooper, second Tennessee A. B. Carroll, second Missouri I. H.Duvall, first West A^^irginia W. L. Fernald, fourth Virgi nia J. D. Harvey, first Illinois W. J. Landram, eighth Kentucky B.C. Ludlow, third Texas J. J. Mott, sixth North Carolina M. Marks, district of Lonisiana Thomas Powers, second North Carolina R.M. Proud, third Maryland R. F. Patterson, eighth Tennessee J. T. Rapier, second Alabama O.H. Russell, third Virginia J. H. Rives, fifth Virginia I. H. Sturgeon, first Missouri Charles W. Slack, third Massachusetts Joseph Selden,'firsfc Connecticut W.A.Stuart, second Kentucky E.Wheeler, district of Arkansas E. C. Wade, third Georgia W. M. AVoodcock, fifth Tennessee W. H. AVheeler, fifth North Carolina I. J. Young, fourth North Carolina 61 $4,364 53 142 55 1,503 80 527 50 8 70 2,426 78 167 50 2,162 92 50 00 75 00 8 00 113 00 1,120 00 73 20 3,287 16 625 83 500 GO 151 60 : . . . . 1,741 50 945 00 2,124 75 9,915 40 965 50 1, 055 40 , Total disbursed by collectors 42,875 57 Amount expended through internal reA-enue a.gents for the discovery of Adolations of the internal-revenue law, and the punishment of guilty persons, as lollows: George W. Atkinson A.H.Brooks A.M.Crane W. H. Chapman T. J. Grimeson W. A. Gavett H. P. Hurst T. J. Kinney Horace Kellogg E. Latham Ferd. Meyer. ..' John Mitchell EdAvard McLeer Jasper Packard F . D . Sewall J . L . T r u m b u l l .: J.H.Tompkins. James C.Wheeler Jacob AVagner S.A.Whitfield E.D.Webster Charles P. Brown William Somerville '. '. •. -... " : .. ...' - Total disbursed by revenue agents $96 2, 482 1,077 911 9^7 528 344 25 664 660 2,528 1, 576 744 1, 060 507 1,009 169 280 557 4,595 4,383 60 116 00 79 75 00 60 00 30 00 50 59 47 85 15 20 43 15 70 40 45 21 91 00 00 25, 306 45 For information leading to the discovery of unpaid taxes and penalties under Circular 99 : ': |22, 223 90 For rewards for illicit distilleries nnder circular of March 10, 1875 750 00 Paid for arms and ordnance stores for xirotection of officers while enforcing the internal -revenue law 842 36 Amount paid for extra work in the examination of abstracts ofthe books of leaf-tobacco dealers for the discovery of violations of law by manufacturers ."-.. 6,093 11 Miscellaueous .expenditures (tran.sportation of arms, of books, packages, &c., to be used as evidence, and extraordinary expenses for obtaining evidence iu cases on trial) 799 46 Total .- 1 98,890 85 62 REPORT ON THE FINANCES. The accounts for expenditures under this appropriation are rendered monthly, Avith an itemized stateinent, and in all cases supported by subvouchers duly sworn to. These accounts pass through all the accounting ofiicers of the Treasury Department, and are filed in the Eegister's Oifice. SALARIES. I have the honor to recommend that Congress appropriate for the fiscal year ending June 30, 1881, the sum of $253,330 as salaries for the following number of ofiicers, clerks, and emijloyes in this bureau: One Commissioner, at Oue deputy commissioner, at Two heads of division, ac .. Five heads of division, at • One stenographer, at Twenty-three clerks, class four, at Twenty-six clerks, class three, at Thirty-six clerks, class two, at Twenty-one clerks, class one, at Thirteen clerks, at Fitty clerks, at Four assistant messengers, at Ten laborers, at - » $5, 000 3,200 2,500 2,250 1,800 1,800 1, 600 1, 400 1,200 1,000 900 720 • 660 • An aggregate of one hundred and ninety-three persons. In making this recommendation, I Avould state that it is thesame amount that Congress appropriated for the fiscal year ending June 30, 1880; and 1 find that it will be wholly impracticable to reduce the force in any particular without material injuiy to the ijublic service. OFFICIAL FORCE FOR FISCAL YEAR 1880. The force connected with this bureau in the various districts throughout the United States is as follows: One hundred and twenty-six collectors, who receive salaries as folloAVS; Twenty-seven Three Three Five One Three Two Five One Three Seven Eleven Nine Twelve Five Fourteen Six Three..: Three : $4,500 4,375 4,250 4,125 3,875 3,750 3,625 3,500 3,375 3,250 3,125 3, OOQ 2,875 2,750 2,625 2,500 2,375 2,250 2,125 There are also employed eight hundred and sixty deputy collectors, who receive salaries as follows: Thirteen Sixteen Twenty-five One Thirty-three Twelve , : -. ' $1,900 1,800 1,700 1,650 1,600 1,550 COMMISSIONER OF INTERNAL REVENUE. One Forty-five Four Five 1 Onehundred Two hundred and thirty-nine One.... Eighteen Forty-nine Three Thirty-two Six Eighty-four Sixteen... One Fourteen .' Six Ten Two Thirty-three One Oue Thirteen Nine Five One Sixteen .• Five. Two Nineteen Four : One .• Eleven Two 63 : ^ „ • '. : ". $1,525 1,500 1,475 1,450 1,400 1, 350 1,325 1,300 1,250 1,225 1,200 1,175 1,150 : . . . 1,100 1,075 1,000 975 950 925 900 875 o 850 800 • 700 650 640 6,00 500 400 300 250 240 200 100 Also one hundred and seventy-nine clerks, messengers, and janitors, who receive salaries as follows : Six clerks One clerk Two clerks. Eleven clerks ' One clerk. One clerk Four clerks Fifteen clerks One clerk Twenty-three clerks Oue clerk Twenty-five clerks Twenty-seven clerks One clerk.Eleven clerks Eight clerks Three clerks Twenty clerks Three clerks Six clerks. One messenger Three messengers Three janitors One janitor Six janitors ^ '. : :. •...' • $1,500 1,450 1,400 1,350 1,300 1,250 . . . . 1,200 1,150 1,100 . 1, 050 1,000 950 900 850 800 700 650 600 500 400 400 300 3C0 200 100 There are also emploj^ed 693 gaugers, who receive fees not to exceed $5 per diem; 829 storekeepers and gaugers, Avho receive not to exceed $4 per diem; 474 storekeepers, Avho receive not to exceed $4 per diem (all of the foregoing officers are paid only when actually employed) -, and 51 tobacco inspectors who receive fees to be paid by the manufacturers. 64 REPORT ON THE FINANCES. ALLOAVANCES EOR EISCAL YEAR 1880. Allowances to districts for salaries, rents, fuel, and lights, not including express cbarges, stationery, telegraphing, &c. . First Alabama Second Alabama Arizona Arkansas First (-aii forui a Fourth California Coloiado First Connecticut Second Connecticut Dakota '. Del a VN'are ... Florida Second Georgia Third Georgia Idaho -First Illinois '. Second Illiiiois Third Illinois . . Fourth Illiuois Fifthlllinois SeA-enth lUinois Eighth Illinois . Thirteenth Illinois First Indiana Fourth Indiana Sixth Indiana SeA-enth Indiana Tenth Indiana .. EloA^'euth Indiana Second Io wa Third Iowa Fourth loAva Fifth Iowa Kansas Second Kentucky Fifth Kentucky Sixth Kentucky Seventh Kentucky Eighth Kentucky Ninth Kentucky Lo uisi au a . . . . Maine Third M.aryland Fourth Maryland . Third Massachusetts : Fifth Massachnsetts Tenth Massachusetts Fii'st Michigan Third Michi<^an Fourth Michigan Sixth Michigan First Miunesota Second Minuesota Mis.sissi pxn First Missouri Second Missouri Fourth Missouri Fifth Missouri Sixth Missouri Montana Nebraska Nevada New Hampshire Total $10,325 00 14,350 00 5,050 00 14,285 00 38,450 00 20,850 00 11,080 00 10,275 00 11,3-^5 00 7,200 00 11 595 00 10,185 00 27,520 00 21,870 00 5,605 00 27,020 00 7,475 00 9,175 00 16,075 00 17,400 00 5,020 00 14,250 00 16,100 00 9,500 00 11,790 00 8 500 00 13,325 00 8 745 00 6 375 00 7,125 GO 11,775 00 10,775 00 8,300 00 11,925 00 14,575 00^ 22,200 00 16,014 13 13,500 00 10,125 00 8,515 00 25,675 00 8,325 00 35,543 72 . 7,725 00 21,042 00 17,550 00 11,0.30 00 15,625 00 9,225 00 6,100 00 8,200 00 8,100 00 9,170 00 18,945 00 27,150 00 7,655 00 9,375 00 9,4-^5 00 10,250 00 8/225 00 11 996 75 7,600 00 8, 855 00 First New Jersey 10,500 00 Third New Jersey . 10,430 00 Filth New Jersey 24,100 00 New Mexico 6,670 00 First New York 33,750 00 Secoud New York 33, 025 00 Third New Ycn^k 38, 600 00Eleventh New York 9,150 00 Twelfth New York 14, 425 00 Fourteenth New York 12,750 00 Fifteenth New York . 7, 800 00 Twenty-first New York . . . . 9, 925 00 Twentv-lourth NCAV York .. 11, 280 00 Twenty-sixth NCAV York . . . 8, 900 00 Twiiu ty-eighth New York .. 16,275 00 Thirtieth NCAV York 18,125 00 Second North Carolina 14, 080 00 Fourth North Caroliua 29, 128 23 Fifth North Caroliua 21,975 00 Sixth North Carolina 29, 683 12 First Ohio 29, 300 00 Third Ohio 16,025 00 Fourth Ohio 8,790 00 Sixth Ohio 8,390 00 Seventh Ohio 11,250 00 Tenth Ohio " 13,765 00 Eleventh Ohio 10,937 36 Fifteenth Ohio 8, 070 00 Eighteenth Ohio 19, 524 05 Oregou 7,500 00 First Pennsylvania 40, 050 00 Eighth Pennsylvania 13, 350 00 Niuth Peunsvlvania 16,172 55 Twelfth Pennsylvania 13,787 00 Fourteenth Pennsylvania .. 9,800 00 Sixteenth P e n n s y l v a n i a . . . 9,675 00 Nineteenth Pennsylvania .. 6,150 00 Tvventieth PennsylA-ania . . . 7,625 00 Twenty-second Penna .. 21, 275 00 Twenty-third Pennsylvania 12,975 00 Rli odo' Isl and 8, 975 00> South Carolina 20, 425 00 Second 1'ennessee 11, 800 00 Fifhh Teunessee 22, 303 79 Eighth Tennessee 8,860 00 First Texas 16,125 00 Th ird T«xas 11,600 00 Fourth Texas 9,800 00 Utah 5,985 00 Vermont . 5,725 00 Second Virginia 22, 425 00 Third Virgiuia 19,150 00 Fourth Virginia 18, 450 00' Fift h A^irginia 21,600 00 Sixth A^irgiuia 13,800 00 AVashington Territory 5,650 00 First AVest Virginia.'. 12,725 00 Seconil AVest V i r g i n i a . . . . . . 6,725 00 First Wisconsin 13, 850 00 Second V^^isconsin 7,900 00 , Third Wisconsin 10,525 00 Sixth Wisconsin 7, 4.25 00 AVyoming ; 5,175 00 ,. 1,758,332 70 COMMISSIONER OF INTERNAL 65 REVENUE. SALARIES OF COLLECTORS. The recommendations made for the salaries of collectors for the fiscal year ending June 30, 1880, are based upon an estimate of their probable collections according to the folioAving scale, with the qualification that if the actual collections should vary from the amounts estimated, the salaries would be readjusted at the end of the fiscal year: For collection ot— $25, 000 or less 25, 000 to $37, 500—$12,500 37,500to 50,000— 12,500 50, 000 to 75,000— 25,000 75, 000 to 100,000— 25,000 100, 000 to 125,000— 25,000 125, 000 to 175,000— 50,000 175,000to 225,000— 50,000---225, 000 to 275,000— 50,000 275,000 to 325,000— 50,000 325, 000 to 375,000— 50,000 375, 000 to 425,000—'50,000 425, 000 to 475,000— 50,000... 475,000to 550,000— 75,000 550, oooto 625,000— 75,000 625, OOQ to 700,000— 75,000 700, 000 to 775,000— 75,000 775, 000 to 850,000— 75,000 850,000to 925,000— 75,000 925, 000 to 1, 000, 000— 75,000 1,000, 000 and npAvard:, : , • '. • , $2,000 2,125 2,250 2,375 2,500 2,625 2,'750 2,875 3,000 3,125 3,350 3,375 3,500 3,625 3,750 3,875 4,000 4,125 4,250 4,375 4,500 RECEIPTS FROM DISTILLED SPIRITS. The following statement shows the receipts from the scA^eral articles or occupations relating to distilled spirits subject to tax under internalrcA^enue laws now in force, for the fiscal years ended June 30, 1878 and 1879, together with the increase or decrease on each article or occupation : Eeceipts for fiscal year ended June 30— Articles or occupations. Increase. Decrease. 1879. Spirits distilled from apples, peaclies, or grapes -• Spirits distilled from materials otlier than apples, peaches, or grapes AVine made in imitation of champagne... Kectifiers (special tax) Ketail liquor dealers (special tax) AVholesale liquor dealers (special tax) Manufacturers of stills (special tax) Stills or Avormsmanufactui-ed (special tax) Stamps for distilled spirits intended for export Stamps, distillery Avarehouse •. Stamps for rectilied spirits Stamps, AVholesale liquor dealers' Stamps, special bonded Avarehouse Stamps, special bonded Avarehouse (reAvarehoustng) Stamps for iniported spirits Interest on tax upon spiiits Total. 5F $992, 634 58 $919, 099 74 , 534 84 44, 633, 898 48 46, 790, 364 50 $2,156,466.02 210, 068 70 3, 875, 973 26 434, 708 35 1, 068 77 1, 980 00 6, 890 50 101,494 90 120, 469 00 41, 021 90 294 10 313 26 50, 420, 815 80 160,123 21 3, 903, 036 24 409,115 56 1, 315 86 2, 210 00 17, 120, 122, 43, 212 20 374 50 503 20 804 90 225 30 74,899 48 52, 570, 284 49, 945 49 27, 062 ! 25, 592 79 247 09 230 00 10, 321 70 24, 879 60 2, 034 20 2,783 00 68 80 74, 586 22 2,149,468 89. 66 REPORT ON T H E FINANCES. PRODUCTION OF SPIRITS DURING THE YEAR. The;quantity of spirits, 71,892,621 gallons, produced and deposited in distillery Avarehouses during the fiscal year ended June 30, 1879, Avas. greater than the quantity produced during any other year. The closest approximation to this product was that of the year ended June 30,1870, •which was 71,337,099 gallons. The production of the fiscal year 1870 was obviously excessive, as it fell to 54,576,446 gallons in 1871, and it might be apprehended that the product of the year 1880 would fall below that of 1879. But when it is considered that 14,837,581 gallons of spirits were exported during the year 1879, and that the foreign demand is unabated, it seems probable that the large product for the early portion of this year will be continued during the year. As compared with the fiscal year 1878, the increased production of the fiscal year 1879 is 15,789,568 gallons. This increase is distributed amongst the difierent varieties known to the trade, except ^^ highwines,''(as follows:. Increased production of— GrallonSc Bonrbon AVhisky •Rye whisky Alcohol Rum Q'm Pure, neutral, or cologne spirits Miscellaneous Totalincrease Decrease in higliAvines 2,181,561 1,166,929 9,316,558 640,079 7,8ia 2, 351, 463 1,504,498"17,168,901 1,379,333. ° Netincrease 15,789,568- PRODUCTION AND MOVEMENT OF SPIRITS DURING THE FIRST FOUR MONTHS OF THE PRESENT FISCAL YEAR. The following table shows the production and movement of distilled spirits during four months of the present fiscal year. It shows that the foreign demand of last year is steadily maintained, Avhile the production is 2,749,148 gallons greater than for the corresponding period last year^ and the withdrawals 2,958,950 gallons greater than for the same period last year. If the business of these four months is maintained during the balance of the fiscal year, the production will be OA^er eighty-two millions of gallons, and the ainount of tax received will be OA^er fifty-four and three-quarters millions of dollars. , •Months. Produced. WithdraAvn W i t h d r a w n tax- A m o u n t of t a x for e x p o r t . paid. paid. J u l y , 1879 •August, 1879 . . . S e p t e m b e r , 1879 October, 1879 . . . Gallons. 4, 506,116 4, 750, 549 5, 783, 380 6, 755, 703 Gallons. 583, 578 675. 589 934, 624 1, 015, 353 Gallons. 4, 223, 587 4, 593,105 5, 503, 630 5, 966, 837 Total 21, 795, 748 3, 209,144 20, 287,159 I n c r e a s e over 1878. In In In In $3, 801, 228 4,133, 794 4, 953, 267 5, 370,153 30 50 00 30 18, 258, 443 10 Production. Withdra^vn tax-paid. July August... September October... Gallons. 114, 610 775, 312 1, 044, 342 814, 884 Gallons. 505, 040 641,423 1,142,877 669, 61U Total.. 2, 749,148 2, £58, 9.50 COMMISSIONER OF INTERNAL 67 REVENUE. DISTILLERIES REGISTERED AND OPERATED. The folloioing statement shotos the numher of distilleries registered cmd operated during the fiscal year ended June 30, 1879: Grain. Molasses. Fruit. §S s t a t e s and Territories. Alabama Arkansas California Colorado Connecticut. DelaAvare Florida Georgia , Idaho Illinois Indiana Iowa Kausas Kentucky Louisiana Maryland Massachusetts... Mississipiii Missouri 1»J e b r a s k a JNTeAV H a m p s h i r e . ]!?^eAv J e r s e y NeAV M e x i c o IlfeAV Y o r k USTorth C a r o l i n a . . Ohio Oregoii Pennsylvania — South Caroliua... Tennessee Texas Verraont .! Virginia AVest V i r g i n i a . . . Wisconsin Total. 25 1 29 18 3 1 •204 1 14 2 280 177 28 217 171 27 217 116 . 71 111 71 587 1 181 1 14 ^2 6 274 36 47 88 15 4 423 3 12 26 ° 12 91 47 408 3 12 26 12 88 107 4 82 996 56 8 18 89 382 27 4 739 132 1 107 4 79 987 56 4,566 4; 502 376 25 4 737 130 1 179 41 221 2 119 71 1 616 1 76 106 18 5 627 4 26 34 12 113 2 1 108 4 88 1,276 92 8 92 109 439 32 4 780 134 8' 173 39 221 2 114 71 1 ^611 I 75 104 18 5 • 589 4 26 34 12 108 2 1 • 108 4 • 85 1,261 92 8 87 106 • 433 29 4 778 1328 I^OTE.—Many tabular statements are omitted for want of space, but they can all be found in t h e bound volumes of the Commissioner's report. 68 REPORT ON THE FINANCES. SPIRITS AND TOBACCO REMOVED IN BOND FOR EXPORT. The folloAving statement shows the quantity and percentage of production of distilled spirits and manufactured tobacco (including snuff) removed in bond for export during each fiscal year since the passage of t h e a c t o f June 6, 1872: Manufactured tobacco. Distilled spirits. Year. 1873 1874 1875 1876 1877 1878 1879 ^ . . Year. P o u n d s of tob a c c o exported. 10.110, 045 10, 800, 927 9,179, 316 9, 434, 485 11, 335, 046 10,581,744 11, 034, 951 1873 1874 1875 3876 1877 1878 1879 3.45+ 5.90+ 0.96+ 2.25-14.22-19.80+ 20. 6 3 + 2,358,630 4,060,160 587, 413 1, 308, 900 • 2, 529, 528 5, 499, 252 14, 837, 581 . Total . Percenta g e of production. T a x a b l e (proof) g a l l o n s oxported. Total 31,181, 464 Percenta g e of production. • 8. 59-19.11-17.134 7.874 &884 8.894 8. 62-1- 72, 476, 514 SPIRITS WITHDRAAVN FOR EXPORT DURING FIRST FOUR MONTHS 0 1 PRESENT FISCAL YEAR. Statement, hy districts, of the quantity in taxahle gallons, and different hindi of spirits, loithdr axon for export during the four months ended Novemhei 1/1879. Districts. 1 Hlinois 3. I l l i u o i s 5 Illinois -. 8 Illinois 1 Indiana 7 Indiana 3 Massachusetts 5 Massachusetts ISTebraska 1 Ohio 1 AVisconsin .^. Total Alcohol. Gallons. 513, 097 128, 505 1, 436, 534 214,380 25, 913 394, 839 ; Bum. Gallons. 84,06 369, 84 ; - - - -- - - - 20,134 17,436 4,404 2, 755, 242 453, 90 COMMISSIONER OF INTERNAL REVENUE. 69 SriRITS WITHDRAWN FOR EXPORT DURING FIRST FOUR MONTHS OF LAST THREE FISCAL YEARS. Statement, by districts, of the quantity, in taxable gallons, of spirits withdrawn for export during the four months ended November 1, 1877, November 1, 1878, and November 1, 1879. 1877. Districts. 1 3 5 8 1 4 7 5 6 7 8 3 3 5 1 1 1 6 1 Gallons. 165, 376 43, 088 218, 411 Illinois Illinois Illinois Illinois Indiana Indiana Indiana Kentucky Kentucky Kentucky Kentucky Maryland Massachusetts . Massachusetts . Missouri Nebraska New York Ohio Ohio Wisconsin 1878. 1879. Gallons. 1, 043, 680 98, 711 1, 334, 489 Gallons. 513, 097 128, 505 1, 436, 534 214, 380 25, 913 52, 352 7, 687 26, 233 289, 365 5, 986 .| j 21, 497 2,479 787, 471 Total.- 1, 2, 1, 1, 394, 839 064 493 096 053 147, 642 357,900 200,494 I 84, 062 369, 840 7, 886 I 53, 906 j 20,134 17," 436 4, 404 3, 302, 766 I 3, 209,144 EXPORTATION OF DISTILLED SPIRITS. The following; figures show the increase or decrease as to the various kinds of spirits exported in the year 1879 as compared with the year 1878: Gallons, Increase Increase Increase Increase Increase in in in in in alcoliol rum Bourbon whisky pure, neutral, or cologne spirits miscellaneous Total Decrease in Decrease in Decrease in increase rye whisky corn whisky high wines Total decrease Net increase 8, 879, 350 430,490 6,235 37,685 1,229 - 9,787 1,125 5,748 9, 354,989 16,660 9,338,329 The bulk of the spirits exported in both fiscal years (1878 and 1879) was alcohol produced in the northern part of Illinois, shipped on foreignbound vessels at New York, and consigned to Marseilles, France. In the fiscal year 1878 alcohol was exported to nineteen ports other than Marseilles, and in the fiscal year 1879 to forty-three other ports. The bulk of the New England rum exported was consigned, as heretofore, to ports in Africa. The total number of ports to which spirits of all kinds were exported during the fiscal year 1878 was thirty-three, and during the fiscal year 1879 the number was increased to sixty-four, located, respectively, in North America, South America, Europe, Asia, Africa, Australia, and the islands of the Atlantic, Pacific, anil Indian Oscans. 70 REPORT ON THE FINANCES. The exportation of spirits having nearly trebled in amount (luring tlie year 1879 as compared with the year 1878, it is apparent that the increase in such exportations has kept pace with that of other American products. As the principal increased demand for American spirits has been in those foreign ports in which they are best known, and as they have, during the years 1878 and 1879, become known in all parts of the world, it is anticipated that the exportations of such spirits during the current fiscal year will be still greater than those made during the fiscal year ended June 30, 1879. During the year 1878, 5,748 gallons of high wines were withdrawn for exportation; iii 1879 none were withdrawn for this purpose. In 1878 no pure, neutral, or cologne spirits were withdrawn for exportation, while in 1879 the quantity of such spirits withdrawn for such purpose was 37,085 gallons. Almost the entire increase, 9,354,989 gallons, in the quantity of spirits exported in 1879 consisted of those varieties which had been subjected to the several processes of distilling, redistilling, purifying, and refining before being deposited in the distillery warehouse. (See preceding tabular statement, showing the different kinds of spirits as known to the trade produced, withdrawn for various purposes during the year, and in warehouse at the beginning and close of the year.) Additional facilities for maintaining and perfecting the security afforded by the lien on the spirits and by the warehousing bonds have also been provided by legislation during the year. Upon the recommendation of this office the following provisions were inserted in the internal-revenue act of March 1, 1879: A new "bond shall be required in case of tlie death, insolvency, or removal of either of the sureties, and may be required in any other contingency affecting its validity or impairing its efficiency, at the discretion of the Commissioner of Internal Revenue. And in case the distiller or owner fails or refuses to give the bond hereinbefore required, or to renew the same, or neglects to immediately withdraw the spirits and pay the tax thereon, or if he neglects to withdraw any bonded spirits and pay the tax thereon before the expiration of the time limited in the bond, the collector shall proceed to collect the tax by distraint, issuing his warrant of distraint for the amount of tax found to be due, as ascertained by him from the report of the gauger if no bond was given, or from the terms of the bond if a bond was given. But this provision shall not exclude any other remedy or proceeding j)rovided by law. If it shall appear at any time that there has been a loss of distilled spirits from any cask or other package hereafter deposited in a distillery warehouse, other than the loss provided for in section three thousand two hundred and twenty-one of the Revised Statutes of the United States, which, in the opinion of the Commissioner of Internal Revenue, is excessive, he may instruct the collector of the district in which the loss has occurred, to require the withdrawal from warehouse of such spirits, and to collect the tax accrued upon the original quantity of distilled spirits entered into the warehouse in such cask or package, together with the interest accrued thereon, if any, notwithstanding that the time specified in any bond given for the withdrawal of the spirits entered into warehouse in such cask or package has not expired. If the said tax and interest are not paid on demand, the collector shall report the amount due upon his next monthly list, and it shall be assessed and collected as other taxes are assessed and collected. SPIRITS WITHDRAWN FROM DISTILLERY WAREHOUSES ON PAYMENT OF THE TAX. Gallons. In 1878 In 1879 Increase 49,571,128 51,885,939 2, 314,811 COMMISSIONER OF INTERNAL 71 REVENUE, Tills increase is distributed among tlie several kinds as known to tlie trade, excejit tlie kinds known as u higliwines" and "gin," as follows: Gallons. Bourbon wliisky Eye whisky Alcohol Rum Pure, neutral, or cologne spirits Miscellaneous 800, 500 130, 798 380,749 76,813 2,152,130 1,291,858 Total increase 4, 832, 848 Decrease in withdrawals of— Gin 6,139 Highwines 2,511,898 Total decrease 2,518,037 Net increase in withdrawals tax-paid 2,314,811 The amount of interest-tax collected during the year under the provisions of the joint resolution of Congress extending the warehousing period to three years was $74,899.48. As this act was approved March 28, 1878, the year ended June 30, 1879, is the first full fiscal year during which the act has been in operation. The collections for the year indicate that a revenue of about seventy-five thousand dollars per annum will be derived from this source. It should be borne in mind, however, as indicating that the annual interest-tax hereafter collected may be greater, that no three-year-old spirits have yet been withdrawn, the oldest spirits at any time in warehouse during the year being the product of the month of March, 1877. Also that, although the stock of old spirits in warehouse July 1, 1878, wras greatly lessened during the year following, the quantity of spirits more than one year old in warehouse July 1, 1879, exceeded the quantity of spirits of that age in warehouse July 1,1878, very nearly two million gallons, the quantity of such spirits in warehouse July 1, 1878, being 3,797,325 gallons, and July 1, 1879, 5,717,916 gallons. The quantity of each month's product in warehouse July 1, 1878, which was withdrawn during the year ended June 30, 1879, is shown in. the following tabular statement: Product of the montli o f - March April May June July August September October November December January February March April May J une 1877. 1878. Total In warehouse July 1, 1878. Withdrawn during year ended June 30,1879. Remaining in warehouse June 30,1879. Gallons. 799, 370 1, 095, 605 1,154, 669 747, 681 274. 386 127, 868 135, 821 142, 015 314, 646 697, 779 Gallons. 536.187 695, 613 714.188 396, 833 177, 936 96, 935 92,115 107, 702 232, 580 526, 617 Gallons. 263,183 399, 992 440 481 350 848 96, 450 30, 933 43, 706 34, 313 82, 066 171,162 1, 230, 504 1,114,173 1, 546, 787 1, 704, 435 1, 652, 970 1, 350, 064 14,088,773 I 829, 615, 897, 816, 806, 828, 025 761 745 056 626 938 8,370,857 ! 401, 479 498, 412 649, 042 888, 379 846, 344 521,126 5, 717, 916 n 72 REPORT ON T H E FINANCES. " TRANSFERS OF SPIRITS TO MANUFACTURING AVAREHOUSES. Section 20 of the internal revenue act of March 1, 1879, provides ^'that uiider such regulations and requirements as to stamps, bonds^ and other security as shall be prescribed by the Commissioner of Internal EcA^enue, any manufacturer of perfumery, medicines, or preparations for export, manufacturing the same in a duly constituted manufacturing warehouse, shall be authorized to withdraw, in original packages from any distillery warehouse, so much alcohol as he may require for the said purpose, without the payment of the iiiternal-revenue tax thereon." The manufacturing warehouses to which alcohol may be transferred under the provision of the above-quoted section are tliose established under authority conferred by section 3433 of the Eevised Statutes for the manufacture of perfumery, medicines, or preparations for export free of tax or duty. The quantity of alcohol removed after the passage of the act and before the end of the fiscal year 1879 Avas 13,213 gallons. SeveraLlarge lotshaA^e already been transferred to these warehouses during the current year, and it is evident that hereafter the alcohol used in such warehouses will be of American manufacture, and not, as heretofore, of foreign production. If the law were .so amended as to allow the withdrawal without the payment of tax of all kinds of spirits to be used in such manufacturing warehouses for all purposes authorized bylaw, a large export demand would spring up for cordials and other mixed liquors produced in such manufacturing warehouses. The quantity of alcohol transferred to manufacturing warehouse during four months ended NoA^ember 1, 1879, was as follows: Gallons. From 5 Illinois. ......' Frbm I M i s s o u r i . . . . . . . Total. :...., :... ....' „ 69,938 . 4,286 74,224 SPIRITS WITHDRAAVN FROM AyAREHOUSE FOR SCIENTIFIC PURPOSES^ AND FOR T H E U S E OF THE UNITED STATES. The quantity of alcohol withdrawn free of tax from distillery warehouses for the use of colleges and other institutions of learning in the preservation of specimens of natural history in their several museums, or for use in their chemical laboratories, and of spirits of various kinds for the use of the TJnited States, amounted duringthe year to 17,686 gallons. The spirits withdraAvn for the use of the United States were mainly upon requisitions made'by the Surgeon-General o f t h e Army and by the Secretary of the Anierican Eish Commission. SPIRITS LOST BY CASUALTY DURING T H E YEAR. Thg quantity of spirits in distillery warehouses at the beginning of the year was 14,088,773 gallons, and the quantity deposited during the year was 71,892,621 gallons, making a total of 85,981,394 gallons which was on deposit therein during the year. Of this quantity, 14,505 gallons— less than one-fiftieth of 1 per cent'!—was lost by casualty; that is to say, only one gallon of each 5,928 gallons was so lost. The credit of having preserved this immense quantity of highly inflammable property almost intact, is due alike to the distiller and to the internal-revenue storekeeper, as the distillery warehouses in which it is stored are in their joint custody. i COMMISSIONER OF INTERNAL REVENUE. 73 During the early part of the calendar year 1877 a special examination of all distillery warehouses was made, and such examinations have been made during the years 1878 and 1879. I t is noted in this connection, that the annual losses by casualty haA^e been much less than during the years immediately preceding. These losses during the years 1875-76*'77-'78-'79, are shown in the following table: Gallons, 1875 1876 1877 1878 1879 • , : 156,877 100,855 2,984 7,307 14,505 The quantity of spirits lost by casualty on whi.ch the tax was abated during the year under the provisions of sections 3221, 3222, -and 32^3 of the Kevised Statutes was 7,374 gallons. These sections of the law were amended by sections 3 and 6 of the act of March 1, 1879, section 3221 being amended so as to extend its provisions to spirits thereafter destroyed by accidental fire or other casualty, without any fraud, collusion, or negligence of the owner thereof after the, time Avhen the. spirits should have been, drawn off by the gauger and placed in the distiUery warehouse; and section 3223 being amended so as to provide that when the OAvners bf distilled spirits, in the cases proAdded for by sections 3221 and 3222, may be indemnified against the tax by a A^'alid claim of insurance for a sum greater than the actual value of the spirits before and without the tax being paid, the tax shall not be remitted to the extent of such insurance. SPIRITS REMAINING IN AVAREHOUSE AT THE CLOSE OF THE YEAR. The quantity—19,212,470 gallons—of spirits remaining in distillery warehouses June 30, 1879, was greater than the quantity in warehouse June 30, 1878, by 5,123,697 gallons, and, in fact, exceeded the quantity in warehouse at the close of any preceding fiscal year, the quantity so remaining at the close of each year during which spirits have been stored in such warehouses being as follows: GaUons. Quantity remaining Quantity remaining Quantity remaining Quantityremaining Quantity remaining Quantity remaining Quantity remaining Quantityremaining Quantity remaining Quantity remaining Quantity remaining . . June June June June June June June June June June June 30, 1869 30, 1870 30, 1871 30, 1872, 30, 1873 30, 1874 30, 1875 30, 1876 30, 1877 30, 1878 30, 1879 16,685,166 11,671,886 6,744,360 10,103,392. 14, 650,148 15,575,224 13,179, ^96 12,595,850 13,091,773 14,088,773 19,212,470 t Certain facts operating as causes of this great increase, and indicating a growing ability on the part of distillers to discharge their obligations to the government, are (1) the great increase in number of legally authorized distilleries in sections of the country very recently infested by illicit distillers, (2) the building of large and expensive distilleries in other sections^ (3) the increased production of the finer grades of goods involving the introduction into the distilleries of expensive machinery for redistilling, purifying, and refining the products formerly deposited in • 74, REPORT ON TIIE FINANCES. the Avarehouse in the crude state, (4) the increased foreign demand, and (5) the returning prosperity of the country. As illustrations, the folloAving facts are cited: In the sixtb district of Forth Carolina the numberof distillery Avarehouses increased from 53 July 1, 1878, to 184 June 30, 1879. In the fifth district of Illinois the largest distillery in the United States (probably in the world) was built during the year and put in operation July 21, 1879. During the fiscal year 1879, as compared Avith the year 1878, there was a faihng off in the production and withdraAvals of high wines, and an increase in production and withdraAval of certain other spirits involving greater expense in production as follows: A decrease in the production of high wines of 1,379,333 gallons and an increase in the production of all other A^arieties amounting in the aggregate to 17,168,901 gaUons, a decrease of 2,511,898 gallons in the withdrawals of high wines on payment of tax, and an increase of 2,152,130 gallons in the withdrawals of pure neutral or cologne spirits on payment ofthe tax. More than four-fifths of the spirits remaining in warehouse June 30, 1879 (16,080,757 gallons out of 19,212,470 gallons), were Bourbon and rye whiskies, and the increase in the quantity in Avarehouse on that day OA^er that in. warehouse June 30,1878, was mainly due to the increase in these two varieties. There was an increase, hoAVCA^er, in all the different kinds of spirits except gin, as follows : GaUons. Increased Increased Increased Increased Increased Increased Increased quantity quantity quantity quantity quantity quantity quantity of bourbon A\diisky in Avarehouse of rye Avhisky in Avarehouse of alcohol in Avarehouse of rum in Avarehouse of high Avines in Avarehouse of pure, neutral, or cologne spirits in AA^arehouse of miscellaneous Av^hisky in Avarehouse, Totalincrease Decreased quantity of gin in Avarehouse....' „.... 2,549,803 1,904,061 60,756 53,284 88,617 84,883 397, 087 5,138,491 14,794 Net increase of spirits in Avarehouse 5,123, 697 FERMENTED LIQUORS. The receipts from fermented liquors for the fiscal years ended June 30, 1878 and 1879, are shoAvn in the following statement: Eeceipts for iiscal year ended June.30— Sources. Increase. 1878. Permented liquors, tax of $1 -pav barrel on IBrewers' special tax T)p,fl,lp.rfl in iiin.lf"! linnnr.t;' Rpo.r.i.il tfix Total 1879. $9, 473, 360 70 $10, 270, 352 83 $796, 992 13 202, 779 61 212, 802 77 256,187 64 250, 888 31 5, 299 33 9, 937, 051 78 Decrease. 10, 729, 320 08 792, 268 30 $10, 023 16 COMMISSIONER OF INTERNAL REVENUE. 75 ^Tbe tax of $1 per barrel on fermented liquors is paid by stamps. A deduction of 7J per cent, being allowed by law on all sales of such stamps, the quantities of fermented liquors on which tax was paid for the two years were, therefore, as follows : In 1878, 10,241,471 barrels; in 1879, 11,103,084 barrels; there being an increase of 861,613 barrels, or 8 per cent. I t wUl be observed that there is a steady increase in the consumption of malt liquors in this country. It is an interesting fact that the foreign demand for American malt liquors is rapidly increasing. Applications for* drawbacks haA^e been applied. for upon exports made to the following-named foreign ports during the fiscal year 1878-'79, viz: St. John (Porto Eico), Halifax, La. Guayra, Yera Cruz, Callao, St. Thomas,' Honolulu, Maranham (Brazil), Valparaiso, Hayti, Havana, Montevideo, Trinidad, Santos (Brazil), Port Spain (Trinidad), Aspinwall, Aux Cayes (Hayti). The exportation of fermented liquors is now made with benefit of a drawback. In my opinion it would be proper to make proAdsion of law for the exportatioii of this article in bond. TOBACCO. The total amount of collections from tobacco in all its forms, including the internal-revenue tax upon imported tobacco, snuff, and cigars, and the special taxes paid by manufacturers of and dealers in leaf and manufactured tobacco, for the fiscal year ended June 30,1879, was forty million onehundred and thk'ty-fivethousand and two dollars and sixty-fiA^e cents ($40,135,002.65). As compared with the total receipts from the same source for the preceding fiscal year, this shows an increase of forty-three thousand two hundred and forty-seven dollars and ninety-eight cents ($43,247.98). Considering the disturbed condition of the trade for a considerable portion of the year consequent upon the discussion of the tax question by Congress, and the reduced rate of the tax on manufactured tobacco and snuff provided by the act of March 1, 1879, which went into operation on the 1st day of May following, this result is highly satisfactory. Statements showing the increase and decrease of revenue from each particular source of the tobacco tax for the last fiscal year, as compared with the same source for the preceding year, are given beloAv. It wUl be seen from this comparison that the loss in revenue from manufactured tobacco, including snuff*, resulting from the causes aboA^e stated, was made up by the increased collections from cigars, Avhich is found to be nearl}^ 7 per cent. TOBACCO A N D S N U F F . Manufactured tobacco, at 24 cents a pound Manufactured tobacco, aij 20 cents a xDOund Manufactured tobacco, at 16 cents a pound Snuff, taxed at 32 ceiits a pound — Snuff, taxed at 16 cents a pound ;. Total for the year ended June 30, 1879 Total for the year ended June 30, 1878 ^.. §17,963,510 99 11 40 6,740, 352 51 708,835 56 193,299 79 25, 606, 010 25 26, 383,872 30 Decrease of collections on tobacco and snuff 777, 862 05 Of this decrease $616,233.18 Avas on chcAying and smoking tobacco, and $161,578.87 on snuff. 76 REPORT ON THE FINANCES. CIGARS A N D C I G A R E T T E S . Cigars, taxed at $6 per thousand Cigars, taxed at $5 per thousand Cigarettes, taxed at $1.75 per thousand '. ' J i.... $12,115,406 82 61 47 416,984 43 Total collections for the year ended June 30, 1879 12, 532,452 72 Total collections for the year ended June 30, 1878 11,719,226.39 Increase in collections from cigars and cigarettes 813,226 33 . O T H E R COLLECTIONS. oExport.stamps, year ended June 30, 1879 $7, 863 90 Export stamps, year ended June 30, 1878 7, 002 60 lacrease in sale of export stamps -. ^ 861 30 Dealers in manufactured tobacco, year ended June 30, 1879 1,705,720 20 Dealers in manufactured tobacco, year end'ed June 30, 1878 1, 679, 617 60 Increase in collections from dealers in manufactured tobacco. 26,102 60 Special taxes, manufacturers of tobacco and cigars in 1879 161,435 23 Special taxes, manufacturers of tobacco and cigars in 187d 168, 493 23 Decreased collections, manufactured tobacco and cigars 7,058 00 Special taxes, peddlers of tobacco, year ended June 30, 1879 Special taxes, jDcddlers of tobacco, year ended June 30, 1878 31,247 63 ; 32,899 30 Decrease in collections from x^eddlers of' tobacco 1, 651 67 Dealers in leaf tobacco, year ended June 30, 1879 Dealers in leaf tobacco, year ended June 30, 1878 Decrease in collections from dealers in leaf tobacco 90,272 72 100,643 25 10, 370 53 PRODUCTION OF MANUFACTURED TOBACCO, CiaARS, ETC.- Adding to the. scA^eral quantities of tobacco, snuff, and cigars remoA^ed for consumption during the fiscal year ended June 30,1879, as computed from the amount of revenue deriA^ed therefrom, the quantities remoA^ed in bond for export, we have the following results, which show the entire production for the last fiscal year: Pounds. Tobacco, taxed at 24 cents per pound Tobacco, taxed at 20 cents i)er pound Tobacco, taxed at 1(5 cents j)er.pound .' Total quantity removed for consumi^tion Tobacco remoA^ed in bond for export, at 24 eents Tobacco removed in bond for exiDort, at 16 cents 74,847, 963 57 42,127,203 116,975,223 9,221,921 • 1,792,177 Total product of tobacco 127,989,321 Snuif, taxed at 32 cents a pound Snuff", taxed at 16 cents apound 2,215,111 1,208,124 .,.• Snuff removed for consumption Snuff removed in bond for export, at 32 cents 3,423,235 20,853 ..." Total product of snuif .-... 3,444,088 Total production of tobacco and snuff for the year ended June 30, 1879.. 131,433,409 Total production for year ended June 30,1878 119,406, 588 Increase of production • - 12, 023,821 . COMMISSIONER OF INTERNAL REVENUE. 77 Had the same quantity of manufactured tobacco, removed for consumpton^ to wit, 116,975,223 pounds, paid the uniform tax of 24 cents a pound, the revenue derived' therefrom would have been $28,074,053.52, or $3,370,178.71 more than was actuaUy received under the reduced rate; and the receipts from snuff, at the uniform rate of 32 cents a pound, would haA^e been $1,095,435.20, or $193,299.85 more than was receiA^ed, making a total difference of $3,563,478.56. PRODUCTION OF CIG-ARS AND CIGARETTES. Cigars, cheroots, &c., taxed at $6 per thousand Cigars, cheroots, &c., taxed at | 5 per thousand Cigarettes, taxed at $1.75 per thousand Cigars exported Cigarettes'exported .*. Numbers. 2, 019,234,470 12,294 238,276,817 3, 031, 500 15,979,000 • Total product for iiscal vear 1879 Total product for Iiscal year 1878 2,276,534,081 2,082,356,362 Increase during^iiscal year 1879 of 194,177,719 IMPORTED CIGARS. The cigars imported during the fiscal year ended June 30, 1879, as given by the.Bureau of Statistics— , Aggregated in Aveight Of this quantity there Avere exported •. Leaving to be AAdthdraAvn for consumption Pounds. 619,280 70,282 548, 998 AlloAving 13^ pounds to the thousand as the Aveight of imiDorted cigars, the number of imported cigars included in the above table A\^ould b e . . . *40, 666, 518 Number withdrawn in 1878 Avas 42,001,000 Decrease during year 1879 was i... 1, 334,482 LEAF TOBACCO. Assuming that for every one hundred pounds of leaf tobacco used in the manufacture of tobacco and snuff', eighty-five pounds of manufactured products have resulted; and that for every one thousand cigars manufactured, twenty-five pounds of leaf tobacco were used; and that for every thousand cigarettes made, five pounds of leaf tobacco were required; the leaf tobacco used during the fiscal year ended June 30, 1879, for manufacturing tobacco, snuff*, and cigars, aggregated in pounds as follows: For manufacturing tobacco and snuff For manufacturing cigars and cigarettes 1 154, 627, 540 51,828,236 Total leaf manufactured Deduct imported leaf used Total domestic leaf used Leaf exported during fiscal year 1879 Total leaf accounted for 206,455,776 6,221,862 '. . 200,233,914 , 322,279,540 522,513,454 78 ^ REPORT ON T H E FINANCES. ' . ' EXPORTATION OF MANUFACTURED TOBACCO AND SNUFF IN BOND. The subjoined table shows, as removed and unaccounted for July 1, 1878, and July 1,1879, the quantity, in pounds, of manufactured tobacco and snuff' which had been removed for exportation in bond, and concerning Avhich the proofs of landing at a foreign port had not been furnished prior to the dates named. 1. Eemoved and unaccounted fpr July 1, 1878. Pounds. Tobacco, at 20 cents t a x Bonds remaining in hands of district attorneys. Tobacco, at 24 cents, removed under exportation bonds . Tobacco, at 24 cents„reDioved under transportation bonds. Snuff', at 32 cents, removed.under exportation bonds Pounds.. 85,911. 50 17, 094. 00 4, 448, 373.75 534,290. 50 5,576. 00 5,091,245.75. 2. Eemoved during the year ended June 30, 1879. Tobacco, at Tobacco, at Tobacco, at Snuff, at 32 24 cents t a x . . . . 24 cents tax (excess) 16 cents tax cents tax 9,215,572.25 6, 349. 00 • 1,792,177. 50 20,852.75 11,034,951.50 16,126,197.25 3. Exxiorted and during the year accounted for. Tobacco, at 20 cents t a x : Tobacco, at 24 cents tax Tobacco, at 24 cents tax, paid on deficiencies Tobacco, at 16 cents t a x Snuff, at 32 cents t a x 46, 336. 50 10,681,376.50 1,610. 00 13,527.00 24,702. 75 10,767,552.75 4. Eemaining unaccounted for June ZO, 1^19. Tobacco, at 20 cents t a x 39,575.00 Bonds remaining in hands of district attorneys • 17, 094. 00 Tobacco, at 24 cents, removed under exportation bonds.. 3, 047,262.50 Tobacco, at 24 cents, removed under transportation bonds. 474, 336.50 Tobacco, at 16 cents, removed under exportation bonds.. 1, 673,.900. 00 Tobacco, at 16 cents, removed under transportation bonds. 104,750. 50 Snuff, at 32 cents, removed under exportation bonds 1, 642. 00 Snuff, at 32 cents, removed under transportation bonds.. 84. 00 5,358,644.50 16,126,197.25 The quantity removed from manufactories for exportation during the fiscal year ended June 30, 1879, is 453,207.13 pounds more than that removed during the fiscal year ended June 30, 1878. EXPORTATION OF CIGARS AND CIGARETTES IN BOND. ^ 1. Eemoved and unaccounted for July 1, 1878. IsTumbers. Cigars, at $6 per M t a x Oigarettes, at $1.75 per M t a x iJ^uinbers. 1, 041, 050 2,485,500' 3,526,550 COMMISSIONER OF INTERNAL 79 REVENUE. 2. Eemoved during the year ended June 30, 1879. ^^Tunibers. Cigars, at $6 per M t a x . . . Cigarettes, at $1.75.per M t a x 3,031,500 15,979,000 •' ISTumbers. 19,010,500 22,537, 050 3. Exported and accounted for during the year ended'June 30, 1879. Cigars, at $6 per M tax Tax paid on deficiencies, at $6 per M tax Cigarettes, at $1.75per M t a x , 3,050,675 2,500 11,280, 000 14, 333,175 • 4. Eemaining unaccounted for June 30, 1879, Cigars, at $6 per M t a x Cigarettes, at $1.75 per M t a x 1,019,375 7,184,500 8,203, 875 22, 537, 050 DATE OF BONDS REMAINING UNACCOUNTED FOR. The years in which the bonds were given for the exportation of the tobacco, snuff, cigars, and cigarettes remaining unaccounted for by evidence of landing, June 30, 1879, are as follows: =j Year. Tobacco. Snuff. Cigars. Cigarettes. Pounds. 17„094 Pounds. Numbers. Numbers. • 1872 1873 1874 1875 1876 1877 1878 1879 ." . Total : .. ... , .• : 36, 075 68, 259 190, 661 170, 474 1, 254, 841A 3, 619, 514" 466 1, 260 2,000 270, 050 747,325 6,77 i, ooa 5, 356, 918^ 1,726 1, 019, 375 7,184, 50a 10, ooa 20, 000 380, 50O THE EXPORTATION OF PROPRIETARY ARTICLES IN BOND. Under the proAasions of section 19 of the internal-reA^enue act of March 1,1879, the privilege enjoyed by manufacturers of fmction-matches, cigarlights, and wax-tapers of exporting their products in bond free of tax was extended to.the manufacturers of all other articles as enumerated and mentioned in Schedule A, following section 3437 of the Eevised Statutes. The tax on the articles so withdrawn, including friction-matches, amounted to $288,209.56. The tax on the same accounted for as exported during the year was $278,063.32, leaAdng a balance unaccounted for by landing certificates July i; 1879, of $10,146.24o 80 REPORT ON THE OPERATIONS AT SPECIAL FINANCES. BONDED AVAREHOUSES FOR GRAPE BRANDY. STORAGE OF The following statement shows the quantity of grape brandy placed in special bonded warehouses, Avithdrawn therefrom', and remainihg therein at the beginning and close of the fiscal year ended June 30,1879, in taxable gallons: Gallons. Remaining in warehouse J'uly 1, 1878: Pirst district of California ITo iirtb district of California . .. ..... 86, 819 48, 806 Removed for exportation and ^unaccounted for Jul.y 1,1878: !First district of California .. .. GaUons. 135, 625 383 Produced and bouded during tlie year: Produced and warelioused in iirst district of California Produced aud warelioused in fourth district of California Produced in fourth district and warehoused in first district 40, 352 8,898 GaU(>ns 136, 008 20, 090 49, 250 ^ 69 340 205, 348 Exported and accounted for during the year: Pirst district of California EemoA^ed tax-paid during the year: Pirst district of California Pirst district of California (deficiencies). Fourth district of California 994 .... 48, 233 16 47, 047 Eemoved for export and unaccounted for June 30, 1879: Pirst district of California Pemaining in wareliouses June 30, 1879: Pirst district of Calitbrnia Pourth district of California 95, 296 1,974 . . 72. 561 34; 523 107, 084 96, 290 109,058 205, 348 Of the quantity in Avarehouse June 30,1879, 72,561 gallons were in the following-named warehouses located in the first district of California, viz: JNo. 1, Bode and Danforth,'43,574 gallons; ISTo. 2, Juan Bernard, 19,772 gallons; No. 3, George 0. Caiion, 9,215 gallons; and 34,523 gallons Avere in the following-named warehouses in the fourth district of California, Adz: ISTo. 1, George Lichthart, 16,941 gallons; ISTo. 2, John F. Boyce, 4,070 gallons; l^o, 3, Eoyal A. Haskins, 8,563 gallons; Ko. 4, John Tivnen 4,949 gallons. DRAWBACKS. Statementof drawbaclc of internal-revenue taxes alloiued during thefisoal year 1879 on exported merchandise. ' Port of export. ]N"o. of Proprietary claims. articles."- Distilled spirits. Tobacco. Albany 1:5 cl Iti more Boston !New Yoi'lc Philadelphia Eochester . . . . . . . . . . . . . San Prancisco Saint LouLs Suspension Bridge Tioy Total 2 Ol 75 584 37 1 22 12 1 3 $108 30 119 23 8,120 57 30,814 61 3, 219 78 15 55 712 80 744 43,184 71 1,426 92 12,113 86 Allowed, 1878 562 33, 820 54 718 90 2, 537 98 Cigars. Permented liquors. $1, 271 16 $60 00 271 08 6, 057 84 79 20 774 12 $1, 426 92 3, 739 66 111 00 15 55 5.8 32 250 20 $263 62 270 07 533 69 Total. $108 30 1, 450 39 8, 391 65 37, 215 27 3 993 90 15 55 5, 990 38 270 07 15 55 58 32 57, 509 38 46 25 .37,123 67 COMMISSIONER OF INTERNAL 81 REVENUE. DRAAVBACK ON WORMS. In connection with the foregoing statement, attention is called to the. fact that while a tax of twenty dollars is iinposed by section 3244, Eevised Statutes, upon each still or worm manufactured, the law (sectioii 16 ofthe act of March 1, 1879) provides only for a drawback of the tax paid on stills when manufactured for export and actually exported. As there appears to be no good reason why the tax should not be refunded on worms as well as stills when exported, I AVoiild recommend such an amendment to section 3244, Eevised Statutes, as will provide for the allowance of drawback on the worms of stills when exported. NUMBER OF SPECIAL-TAX PAYERS. On pages 204 and 205 of the tables accompanying this report AVUI be found a statement of the amount of special taxes paid in each State and Territory during the special-tax year ended April 30,1879. The following table shows the number of persons who paid those taxes. P s t a t e s and Territories. 0 1 o Alabama Arizona Arkansas California Colorado Connecticut Dakota Delaware 4 ] -90 :. 14 2 Plorida Georgia Illinois Indiana' Iowa . . . . . . Kansas Kentucky Louisiana Maine Maryland Massachusetts Michigan Minnesota . Missouri INTevada New Hampshire ... ISTew J e r s e y N e w Mexico New York N o r t h Carolina Ohio Oreo'on Pennsylvania Ehode Islaud South Carolina Tennessee Texas Utah Vermont Virginia Washington W e s t A^irginia Wisconsin AVy omin f . 02 S •a 12 1 65 20 7 3 36 28 69 28 6 9 57 2 1 1 •"•7 211 3 103 2 198 5 25 5 2 16 3 23 1, 782 430 1,483 8,787 1, 286 2,372 607 624 519 2,617 161 9,806 4,419 3,465 1,650 3,801 3,559 694 4,695 6,333 4,171 2,099 1,392 5,952 531 960 947 826 5,666 397 23, 448 1,759 14, 758 799 15,122 1, 275 1,272 2,981 3,382 307 440 2,401 233 663 4,746 233 0 i 44 21 32 262 62 47 24 7. • """i" ' i. 6 2 68 9 4 217 2 74 1 48 40 212 1 2 165 6 176 215 50 37 41 214 42 19 32 6 37 16 717 • " " ' 2 " 30 • " " ' 2 " 408 16 401 35 36 116 107 10 1 51 7 14 69 5 T o t a l . . . . . . . . 1,053 155, 850 1,252 ...... "i" '""'i' 20 ll r • ft 32 2 5 9 ^ 41 312 23 . 2 116 320 2 1 45 2 55 . 47 5 1 85 819 64 377 3 248 80 227 i,"687" 148 30 53 1 682 127 514 60 419 15 1 95 3 493 153 47 12 706 1 400 3,692 126 18 354 1,513 10 3,377 • 257 3 77•18 1 33 258 67 48 1 1 17 119 466 2 122 31 348 20 15, 226 3, 776 2 2 4, 216 495 3,536 10,637 2,305 4, 852 ],102 2, 664 S f. •Si gl •i' 1 i-x PH..-. 6 1 4 6 " ' 3 ' 27 7 "2 15 3 1 20839 19 22 2 6 • 1,447 8 5 7,455 1 212 90 22, 900 " " 4 7 ' 10 22 12, 582 4 23 10, 556 2 3 5,682 18 6,644 • 58 37 4, 614 81 47 4,584 18 8, 929 119 10 13, 476 73 8 11,416 6 5,020 4,391 12,151 18 98 ' 641 2,753 1 1,085 2,463 22 76 11, 717 13 476 1 390 1 45, 820 " " 7 3 ' 5, 291 259 186 27, 205 59 194 1 1 1,537 30 208 1 36, 400 2,892 . 17 4,530 5, 583 44 16 ""2 8,662 11 5 688 .21 1,945 5,223 " 2 2 2 6 633 10 2,615 9,096 ""2 5 '"64" 356 1 8 133 71 137 41 38 12 1 72 39 143 106 i ...... '"is" ""i" p 'ii '"'i' 89 25 26 32 6 .• 77 4 389 2 200 37 336 • 7 2 3 40 18 1 3 30 11 263 11 13 3 11 228 65 246 19 1513; . 61 359' 151. 389' 89^ 157 27' 92.: 118594 538 126. 61, 161, 10.) 37 18; 226560. . T 4,12513. 402' 44i . 742 180^ 15. 60 255. 17 105. 21 3934 1891* 1, 12 339, 477 1,094 1,747 2,719 10, 636 * Since October 2, 1876, part of the third district of Marylandv 6 F 4^ 6 0 .1.1 ^ i 1 1 ST. CD ^ ^ 1, i-x 82 REPORT ON THE FINANCES. AVERAGE CAPITAL AND DEPOSITS IN 1 8 7 8 . Statement of the average capital and deposits of hanlcs and hanlcers for the tioelve months ended May 31, 1878. A v e r a g e c a p i t a l a n d d e p o s i t s of b a n k s a n d b a n k e r s . — P o r m 67. Average d e p o s i t s of savings-banks having n o c a p i t a l stock.— P o r m 106a. s t a t e s a n d TeiTitories. Average cax)ital. Alabama . Arizona Arkansas California Colorado •Connecticut .Dakota IDelaware /Plorida •Georgia .Idaho 'Illinois • Intliana Iowa '.Kansas Kentucky .Louisiana .Maine. Maryland ;Massachusetts ... -Michigan '.. Minnesota 'Mississippi .Missouri . Montana -Nebraska -Nevada New Hampshire . '.New J e r s e y New. Mexico New York , North Carolina... •Ohio 'Oregon... .Pennsylvania — ^Rhode I s l a n d ^South C a r o l i n a . . "Tennessee Texas Utah Vermont Virginia , Washington W e s t Virginia .. Wisconsin 'Wyoming Total 059, 591 72,136 234,854 137, 876 528, 907 725, 649 73,153 711, 219 96, 575 305, 539 60, 461 545, 822 174, 031 183,148 596, 960 718,146 955, 699 132, 360 919, Oil 800, 304 543,477 354, 421 161, 315 665, 888 131,144 486,179 410, 971 61, 000 892, 413 5,000 062,116 534,108 920, 383 632, 2.54 647,150 886, 829 924, 958 605, 326 554, 552 190, 000 340, 833 118, 029 214, 036 391, 762 059, 956 72,191 , Average taxable capital. Average deposits. Average deposits. Average taxable deposits. $1, 001, 591 $1, 689, 975 72,136 21, 489 217,191 291, 881 27, 692, 336 45, 310, .549 $29, 606, 676 528, 907 924, 032 2,196,187 4, 321, 569 75,170, 748 73,153 261, 669 688, 542 820, 250 "i,'oio,'036' 230, 280 91, 575 254, 862 4, 287, 746 3, 214, 771 60, 461 24, 254 368, 706 6, 823, 425 22, 763, 931 1, 367,121 4, 952, 560 8, 709, 538 . 5, 095, 591 8, 345, 834 1, 476, 954 2, 961, 855 13, 348, 212 11, 942, 373 2, 037, 536 3, 772, 699 5, 095, 547 113, 743 102, 710 29, 404, 966 3, 917, 372 7, 884, 371 20, 442, 574 1, 395, 649 9, 202, 910 1219, 988, 883 3, 335, 636 9, 542,184 1, 310, 007 56,113 3, 060, 284 1, 016, 513 1, 468, 823 9, 807, 035 28, 421, 919 131,144 119, 352 433, 556 1,186, 990 410,971 1, 886, 690 61, 000 134,167 28, 081, 461 1, 542, 609 3, 492, 379 27, 628, 721 5,000 51, 395 33, 403, 926 167, 025, 594 1295, 709, 295 534,108 899, 059 9,'037,'838' 7, 339, 663 27, 958, 462 610,530 1, 458, 099 16,488, 507 67, 543, Oil 21, !}90, 459 3, 310, 613 3, 846, 064 47, 526, 376 43, 634 924, 958 930, 068 1, 587, 807 2, 429, 799 3, 397, 096 4, 511, 588 190, 000 684, 680 305, 053 6, 739, 467 1, 530, 344 2, 915, 642 6, 469, 252 214, 036 469, 802 4, 431, 995 1, 358, 625 9, 613, 762 1, 913, 223 140, 982 72,191 206, 897, 732 170, 425, 479 483, 426, 532 815,765,472 65,950,852 COMMISSIONER OF INTERNAL REVENUE. 83 AVERAGE CAPITAL AND DEPOSITS IN 1 8 7 8 . .Statement of the average capital and deposits of hanlcs and hanlcers for the twelve months ended May 31,1878—Continued. A v e r a g e c a p i t a l a m d ' d e p o s i t s of s a v i n g s - b a n k s h a v i n g a c a p i t a l s t o c k . — F o r m 106&. s t a t e s and Territories. A v e r a g e capital. Arkansas ........ Colorado Connecticut .. . . . . . . Dakota Delaware D i s t r i c t of Columbia* Plorida Idaho Ulinois Indiana Kansas Kentucky ... . A v e r a g e t a x a - A v e r a g e depos- A v e r a g e t a x a b l e capital. its. ble deposits. .... $1,870, 888 00 $1, 851,416 00 1, 250, 000 00 $22, 382,108 00 $12, 097, 047 00 1, 250, 000 00 392, 778 00 389, 230 00 530, 454 00 343, 904 00 213,376 00 76, 938 00 20, 000 00 20, 000 00 30, 055 00 .500, 000 00 500, 000 00 413, 224 00 244,191 00 530, 454 00 136, 800 00 125, 000 00 343, 904 00 136, 800 00 2, 642 00 213, 376 00 2, 431,134 00 331, 086 00 76, 938 00 2, 431,134 00 331, 086 00 10, 000 00 4, 000 00 207, 600 00 34, 459 00 86, 666 00 29, 736 00 137 4.50 00 25,' 224 00 22, 736 00 124, 950 00 279, 545 00 34, 502 00 263, 379 00 87, 686 00 4, 850 00 242,140 00, 381, 882 00 38l,882 66 459, 285 00 128, 273- 00' 5, 609, 330 00 5, 007, 458 00 . .. ... ... Maine Maryland Massachusetts Michi c a n Minnesota Mississippi Missouri . -. -. . Nebraska Nevada--«..«o«B« .... New H a m p s h i r e . . . . . New Jersey New Mexico N'ew Y o r k tsTorth Carolina Ohio Oregon Pennsylvania Rhode I s l a n d South C a r o l i n a lennessee lexas ... Crtah Vermont Virginia Washington West V i r g i n i a isconsin yoming .. ... Total 27, 651, 448 00 . " Since October 2, 1876, part of the third district ot Maryland. 16,143, 972 00 84 REPORT ON THE FINANCES. • AVERAGE CAPITAL AND DEPOSITS IN 1878, Statement of the average capital and deposits of hanlcs and hanlcers for the tioelve months ended May 31,1878—Oontinued. Total average and taxable average of capital and deposits.—Forms 67 and 106a and 106&. states and Territories. Average cap- Average tax- Average de- Average taxable capital. posits. able deposits. itS.. Alabama Arizona Arkansas California.. Colorado Connecticut Dakota Delaware Plorida Georgia Idaho Illinois Indiana . . . . . Iowa Kansas Kentucky Louisiana Maine Maryland Massachusetts.. Michigan Minnesota Mississippi Missouri Montana Nebraska Nevada New Hampshire NewJersey New Mexico New York North CaroMna.. Ohio Oregon Pennsylvania... Ehode Island . . . South Carolina.. Tennessee Texas mah Veiniont Virginia Washington West Virginia .. Wisconsin Wyoming Total $1, 059, 72, 234, 33, 008, 528, 2, 725, 73, 711, 96, 5, 555, 60, 9, 076, 5,174, 5, 203, 1, 596, 13, 718, 4, 455, 132, 5, 449, 3, 937, 3, 668, 1, 354, 1,161, 10, 665, 131, 486, 410, 61, 1, 902, 5, 54, 062, 534, 9, 007, 661, 17, 784, 3, 886, 924, 1, 605, 3, 554, 190, 340, 3, 499, 214, 1,391, 2, 059, 72, 212, 507, 062 $1, 001, 591 $1, 689,975 21, 489 72,136 291, 881 217,191 29, 543, 752 97, 299, 333 924, 032 528, 907 79, 492, 317 2,196,187 261, 669 73,153 688, 542 1, 830, 286 91, 575 230,280 3, 862, 411 5, 537, 746 24, 254 60, 461 23,346,013 7,167, 329 4, 952, 560 10, 076, 659 5,115, 591 8, 375, 889 1, 476, 954 2,961,855 13, 348, 212 11, 942, 373 4, 272, 699 7, 546, 307 29, 507, 676 113, 743 4, 261, 276 28, 540, 321 1, 532, 449 231, 622, 927 9, 873, 270 3, 338, 278 3,116, 397 1, 310, 007 1, 468, 823 1, 016, 513 9, 807, 035 28,421, 919 119, 352 131,144 1,186, 990 433, 556 1, 886, 690 410,971 61, 000 28, 215, 628 1, 546, 609 31, 328, 700 5, 000 51, 395 33, 403, 926 462, 734, 889 899, 059 534,108 7, 364, 887 37, 275, 845 1, 492, 601 633, 266 89, 096, 849 16,613,457 3, 310, 613 51, 372, 440 973, 702 924, 958 1, 587, 807 • 2, 429, 799 4, 511, 588 3,397,096 684, 680 190, 000 8, 269, 811 30.5, 053 6, 928, 537 3, 297, 524 469, 802 214, 036 4, 431, 995 1, 358, 625 9, 613, 762 1, 913, 223 140, 982 72,191 175,432, 937 1, 326, 843,452 $1, 689, 975 21,489 291, 881 68, 751, 662 924, 032 13, 479, 865 261,669 851,440 230,280 3, 629, 503 24, 254 22, 863, 207 8, 921, 604 8,345, 834 2, 961, 855 11,942,373 5, 660,107 717, 382 9, 646, 754 12, 036, 672 9, 873, 270 3, 065, 562 1,468,823 28, 421, 919 119, 352 1,186, 990 1, 886, 690 1, 889, 929 7, 773, 647 51, 395 186,128, 514 899, 059 30, 685, 880 1, 462, 949 69,154, 434 16, 608,123 973, 702 2, 429, 799 4, 511, 588 684, 680 1, 739,147 6, 597, 525 469, 802 4,431, 995 9, 613, 762 140, 982 565, 521, 356 COMMISSIONER OF INTERNAL 85 REVENUE. .AVERAGE CAPITAL AND DEPOSITS IN 1879. Statement of the average capital and deposits of hanlcs and hanlcers for the twelve months ended May 31, 1879. A v e r a g e c a p i t a l a n d d e p o s i t s of b a n k s a n d b a n k e r s . — F o r m 67. A v e r a g e d e p o s i t s of savings-banks having no capital stock.—Form 106 a. States and Territories. Average capital. A.labama A.rizona Arkansas CaliforniaColorado Connecticut.... Dakota Delaware ... Florida Greorgia [daho [llinois [ndiana [owa Kansas Blentucky Louisiana Vlaine Maryland Massachusetts.. \/tichigan....... ^[innesota . . . - . Mississippi Missouri Montana sTebraska . . STevada !Tew H a m p s h i r e STew J e r s e y sTew M e x i c o sTew Y o r k sTorth C a r o l i n a . )hio...-.'. )regon Pennsylvania Ihode Island South C a r o l i a a . Tennessee .^exas Jtah i^ermont Virginia Vashington Vest Virginia... Visconsin Vyoming Total. Average taxable capital. Average deposits. 055, 694 $1, 042, 506 $1, 822, 241 67, 935 67, 935 58, 000 213,167 144,112 307, 518 729,123 24, 243, 462 45, 029, 068 588; 722 588, 722 1, 441, 934 405, 319 2, 057, 886 3, 809, 968 87, 239 86, 854 225, 850 640,161 614, 623 688, 594 83, 616 195, 688 83, 616 023, 097 3, 973, 278 3, 429, 248 32,166 39, 226 32,166 596, 927 4, 905, 934 19, 044, 662 796, 732 4, 375, 042 8, 968, 654 053, 772 4, 853, 598 8, 758, 374 377, 219 1, 294,104 3, 020, 982 083, 297 11, 370, 222 11, 529, 840 551, 301 3,142, 218 5, 078, 398 113, 460 43, 258 28, 258 874, 312 3, 674, 588 6, 701, 244 048, 421 1, 896, 658 9, 222,188 400, 568 2, 972, 574 10, 352, 708 638, 575 1, 600, 310 3, 451, 530 232, 892 1, 029, 436 1, 518, 956 361, 779 8, 594,178 26,171, 462 147, 690 147, 690 264, 500 428, 579 417, 092 1, 233, 374 396, 491 396, 491 1, 780, 520 159, 432 61, 000 61, 000 592, 218 1,196, 542 2, 895,124 5,000 5,000 ° 79. 682 469,184 31,328,590 114, 064; 142 443, 766 779, 214 443, 766 437, 985 6, 700, 784 24, 765,154 938, 455 895, 206 1, 232, 028 147, 819 14,139, 482 55, 327,194 382, .116 3, Oil, 003 3, 442, 656 772, 969 712, 218 817, 912 734, 752 2, 732, 084 1, 512, 592 530, 639 3, 326, 810 4, 984, 792 230, 625 786, 898 230, 625 348, 700 1, 341, 626 308, 686 806, 219 2,142, 692 6, 313, 004 206, 500 206, 500 363, 658 475, 532 1, 349, 036 3, 800, 344 138,105 1, 962,170 9, 338, 320 101, 583 179, 628 101, 583 Ayerage deposits. $20, 995, 639 Average taxable deposits. $7, 544, 266 71, 372, 222 5, 913,150 'i," 656," 842 ""is," 546 557, 571 310, 562 349,152 1,162, 479 13, 776 119, 224 1, 469, 651 23, 396, 349 20, 566, 976 251, 865, 389 252, 434 224, 618 1,154, 036 207, 912 74, 279 9,746 26, 623, 751 18,126, 986 999,116 2,114, 816 288, 339,187 8,'687," 065 . 9, 049, 476 "i,'798,'408 23, 864, 661 40,113, 530 826, 420 7, 987, 616 6, 586, 078 69, 436 153, 267, 838 407, 661, 079 804, 607, 807 38, 610, 558 86 REPORT ON TIIE FINANCES. AVERAGE CAPITAL AND DEPOSITS IN 1879. . Statement of the average capital and deposits of hanlcs and hanlcers for the twelve months ended May 31, 1879—Continued. Average capital and deposits of savings-banks having a capital stock.—Form 106 h. states and Territories. Average capi- Average taxa- Average depos- Average taxa-^ ble capital. its. ble deposits. Alabama Arkansas California Colorado Connecticut Dakota Delaware Floiida Georgia Idaho Illinois.: Indiana Iowa .. Kansas Kentucky Louisiana Maine ... $2,152, 068 $1, 998, 038 $22, 111, 205 $13,744, 560 , ' Ma.ryla.iid - - _. Massachusetts Michigan Minnesota Mississippi . . 65, 760 65, 451 235,142 44,426 20, 750 15, 000 51,175 8,262 566,666 500, 000 304, 238 293, 931 16, 458 16, 458 15, 367 37, 566 8,643 37, 500 6,144 372, 324 72, 401 Mnnt.a.nfl, Nebraska Nevada New Hampshire New Jersey. ... Niew Mexico New York North Carolina .. Ohio Oregon Pennsylvania Phode Island South Carolina Tennessee Texas Utah Vermont Virginia AVa shin ""ton West Virginia Wisconsin AVvomin"" Total- 9,924 5, 818 1 20, 000 5, 250 368, 629 48, 430 68, 916 41, 741 304,150 8,428 36, 240 272, 976 223, 858 59, 738 1, 202, 820 . 62,192 4,194 465, 096 361, 466 361,466 287,474 122,198 3, 597, 392 3, 322, 951 25, 304, 371 14, 809, 031 COMMISSIONER OF INTERNAL 87 REVENUE. AVERAGE CAPITAL AND DEPOSITS IN 1879. Statement of the average capital and deposits of hanlcs and hanlcers for the twelve months ended May 31, 1879—Oontinued. Total average and taxable average of capital and deposits> • Forms 67 and 106. states and Territories. Average capi- Average taxa- Average deposits. Average taxable capital. tal. ble deposits. Alabama Arizona Arkansas California Connecticut Colorado Dakota Delaware Florida Georgia Idaho Illinois Indiana Iowa Kansas Kentucky Louisiana Maine *. Maryland Massachusetts.. Michigan Minnesota Mississippi Missouri Montana Nebraska NcA^ada New Hampshire New Jersey New Mexico New York North Carolina . Ohio Oregon Pennsylvania . . . Rhode Island . . . South Carolina.. Tennessee Texas Utah Vermont Virginia Wasiiinj^on West Virginia .. Wisconsin Wyoming Total $1, 055, 67, 213, 28, 881, 2, 405, 588, 87, 640, 83, 4, 023, 32, 7, 662, 4, 796, 5, 074, 1, 377, 12, 083, 4, 051, 43! 4, 890; 4,048, 3, 438, • 1, 647, 1, 232; 10 361, 147, 428; 396, 61 1, 612, 5, 52, 469, 443, 8, 500, 980 16, 451 3, 382, 772, 1 734, 3, 530, 2S0, 348, • 3,167, 206, 1, 475, 2,138, 101 197, 378, 611 $1, 042, 506 67, 935 144,112 26, 241, 500 2, 0.57, 886 588, 722 86, 854 614, 623 83, 616 3, 973, 278 32,166 4, 971, 385 4, 375, 042 4, 868, 598 1, 294,104 11, 370, 222 3, 642, 218 28, 258 3, 691, 046 1, 896, 658 3, 010, 074 1, 606,454 1, 029, 436 8, 594,178 147, 690 417,092 396, 491 61, 000 1, 201, 792 5,.000 31, 328, 590 443, 766 6, 709, 212 931, 446 14, 412, 458 3, Oil, 003 712,218 1, 512, 592 3, 326, 810 230, 625 308, 686 2, 504,158 206, 500 1, 349, 036 1, 962,170 101, 583 $1, 822, 241 58, 000 . 307,518 88,135, 912 75,182,190 1, 441, 934 225, 850 1, 745, 436 195, 688 3, 986, 819 39, 226 19, 628, 956 10,131,133 8, 809, 549 3, 020, 982 11, 529, 840 6, 852, 287 23, 509, 809 27, 283, .587 261, 087, .577 10, 725, 032 3, 598, 210 1, 518, 956 26,171, 462 264, 500 1, 233, 374 1, 780, 520 26, 783,183 21, 390, 739 79, 682 402, 403, 329 779, 214 33, 076, 077 1, 291, 766 80,394,675 43, 556,186 817, 912 2, 732, 084 4, 984, 792 786, 898 7,927,704 6, 600, 478 . 363,658 3, 800, 344 9, 338, 320 179, 628 156, 590, 789 1, 237, 573, 257 $1, 822, 241 58, 000 307, 518 66, 317, 894 9, 723, 118 1, 441, 934 225, 850 704, 140 195, 088 3, 739, 810 39, 226 19,102, 864, 9, 087, 878 8, 766, 636 3, 020, 982 11, 529, 840 .5, 624 763 338; 078 7, 855, 280 9, 430, 100 10, 362, 632 3, 467, 094 1, 51 956 26,17i; 462 264 500 1, 233, 374 1, 780, 520 1,158, 548 5, 058, 370 79, 682 123,113, 618 779, 214 26, 625, 754 1, 236, 222 56, 618, 710 "ll, 430, 272 817, 912 2, 732, 084 792 898 1, 411, 062 202 6, 435, 658 363, 344 3, 800, 320 9, 338, 628 179, 461, C 88 REPORT ON T H E FINANCES. COLLECTIONS ON CAPITAL AND DEPOSITS IN 1 8 7 8 . Statement of the amount of taxes collected on the capital and deposits of hanlcs and hanlcers during the fiscal year ended June 30,1878. From the annexed statement it-will be seen that a total amount of $3,490,913.13 Avas realized by the tax on the capital and deposits of banks and bankers during the fiscal year ended June 30, 1878. C a p i t a l of— D e p o s i t s of— s t a t e s and Territories. Savingsbanks. Alabama Arizona Arkansas California Colorado Connecticut Dakota Delaware Florida Georgia Idaho i Illinois Indiana loAva Kansas Kentucky Louisiana Maiue Marylaud Massachusetts... Michigan Minnesota Mississipjji Missouri Montana Nebraska Nevada New Hampshire. N e w Jers(3y N e w Mexico New York North Carolina.. Ohio Oregon Pennsylvania Rhode Island South Carolina... Tennessee Texas Utah Vermont Virginia Wasbington W e s t Virginia .. Wisconsin Wyoming Total. $12, 827 60 1,041 32 "16992 2, 629 00 356 99 940 56 16 20 60 41 124 24 . 12 48 877 86 53 20 19, 049 78 Other banks and bankers. $4, 976 110 1,193 168, 450 3,073 10, 821 264 3, 362 447 27, 812 271 44, 776 24, 780 27, 371 8, 850 63, 516 18, 403 543 17.492 8, 465 16,191 6,155 4, 363 48, 261 579 2, 300 1, 506 9. 002 26 148, 337 2, 754 37,160 3,108 86, 908 16,126 6, 582 6, 907 12, 657 923 779 . 13, 248 1,191 7, 991 9, 764 360 Savingsbanks. 34 68 03 02 $143, 822 27 85 81 "53,'050 36' 72 83 82 89 82 32 3, 398 24 07 96 862 62 18 1, 241 44 46 196 56 28 04 02 2, 780 75 3, 022 40 72 88 10,134 75 14,195 67 13 10 1, 566 51 18 31 43 90 30 131 65 78 05 71 914 18 12, 264 88 21, 239 01' 06 67 79 \ 277 41 45 13, 470 42 55 85 93 71 9, 067 60 82 21 64, 943 73 20 6 06 25 88 81 786 87 69 1, 781 00 98 92 68 13 94 878,176 06 448, 362 41 Other banks and bankers. $7, 964 01 43 11 1, 758 43 207, 736 73 5, 360 -58 23, 485 82 951 43 3, 931 52 1,152 67 21, 362 93 120 79 129, 669 16 43, 542 75 46, 978 82 12, 470 78 63, 938 71 27,114 80 393 40 35, 411 63 34, 263 07 45, 428 97 14, 613 25 6, 518 03 146, 716 08 609 16 6, 697 51 7, 693 97 279 24 19, 423 45 194 89 576,321 77 3, 842 46 142, 888 57 6, 935 97 342, 396 10 22, 889 31 3, 954 36 12, 566 29 17, 261 61 3,106 71 4, 594 35 21,104 04 1, 713 67 20. 339 10 48, 879 87 704 91 2,145, 324 i COMMISSIONER OF INTERNAL 89 REVENUE. COLLECTIONS ON CAPITAL AND DEPOSITS IN 1879. Statement of the amount of taxes collected on the capital and deposits of hanlcs and hanlcers during the fiscal year ended June 30,1879. From the annexed statement it will be seen that a total amount of $3,184,980.30 has been realized by the tax on the capital and deposits of banks and bankers during the last fiscal year. Capital of— Deposits of— states and Territories. Savingsbanks. Alabama Arizona Arkansas California— Colorado Connecticut. Dakota Delaware.... Florida Georgia Idaho Illinois Indiana Iowa Kentucky . . , Louisiana Maine Maryland... Massachusetts... Michigan Minnesota Mississippi Missouri Montana Nebraska Nevada New Hampshire. New Jersey ...:.., New Mexico New York North Carolina . . Ohio . Oregon Pennsylvania Rhode Island South Carolina .. Tennessee Texas Utah Vermont Vk'ginia . Washington West Virginia... Wisconsin Wyoming Total $10, 363 73 416 79 "79" 77" 1, 556 73 """"86'69 208 47 40 08 28 53 49 51 136 19 1, 436 83 2, 268 05 16,671 37 Other banks and bankers. Savings- banks. $5, 542 91 523 44^ 1, 099 24 125, 747 45 $113, 088 04 2 04 3, 426 63 10, 585 58 32, 944 12 370 39 45 65 3, 334 78 394 74 874 04 18, 207 09 30 20 280 63 209 20 31, 240 81 836 72 24, 007 42 75 52 25, 812 58 6,177 18 400 71 71, 344 10 792 99 9, 783 17 891 39 100 77 5, 716 92 19, 357 10 1,186 17 9, 686 41 1, 466 91 16, 525 59 27 72 10, 440 64 4, 555 07 42, 312 55 686 48 2, 331 19 2, 259 99 305 00 6,213 14 6, 503 83 18, 516 51 25 00 159, 798 54 56, 753 91 2, 631 43 5, 852 27 39, 362 25 86 85 3, 364 22 3, 595 60 74, 425 12 16, 810 47 53,404 98 3, 490 82 8,155 40 18, 218 41 . 1, 053 12 2, 044 81 13, 444 53 1,035 00 7, 543 59 8, 543 80 507 92 813, 397 19 Other banks and bankers. $9,213 78 255.86 2,206 05 242, 390 55 6, 590 92 19, 981 65 1, 358 68 3, 869 20 971 23 16,196 35 161 53 86,184 87 45, 432 90 40, 087 96 17, 521 27 60, 986 08 14, 832 63 291 68 35, 754 11 35,114 65 48,126 91 22, 785 26 7, 766 08 130, 093 26 1, 084 45 5, 748 53 9; 588 72 1, 846 57 14, 016 05 335 74 562, 579 40 4, 662 42 133, 918 21 6, 497 57 294, 556 99 17, 546 63 4, 067 56 14, 533 13 20, 826 57 3, 576 05 9, 260 40 35,128 59 2, 317 39 19, 096 27 41,119 40 898 14 303, 533 50 2, 051, 378 24 1 90 REPORT ON THE FINANCES. AVERAGE CAPITAL AND DEPOSITS FOR LAST FOUR FISCAL YEARS. 1.—Statement of the gross amount of average capital and deposits 0/ savings-hanhs, hanlcs and hanlcers, other than national hanlcs, for the years ended May 31, 1876,^1877, 1878, and 1879. Capital of savings-banks Capital of banks and bankers Deposits of savings-banks having capital Deposits of savings-banks having no capital . Deposits of banks and bankers 1876. 1877. 1878. 1879. $5, 016, 659 211, 634, 586 38, 207, 891 845,100, 217 483, 458, 242 $4, 965, 500 217, 215, 388 38, 055, 540 855, 057, 027 475,790, 064 .$5, 609, 330 206, 897, 732 27, 651, 448 815, 765, 472 483, 426, 532 $3, 597, 392 193, 781, 219 25, 304, 371 804, 607, 807 407, 661, 079 1, 583, 417, 595 1, 591, 083, 519 1, 539, 350, 514 1, 434, 951, 868 TAXABLE CAPITAL AND DEPOSITS AND TAXES PAID THEREON FOR 1878 AND 1879. 2.—Statement of the taxahle capital and deposits of savings-hanlcs, hanlcs and hanlcers, other than national hanlcs, and the taxes accrued and paid thereon for the years ended May 31, 1878 and 1879. 1878. 1879. A m o u n t taxT a x collected. A m o u n t t a x - T a x collected. able. able. C a p i t a l of s a v i n g s - b a n k s C a p i t a l of b a n k s a n d b a n k e r s D e p o s i t s of s a v i n g s - b a n k s haAdng c a p i t a l D e p o s i t s of s a v i n g s - b a n k s h a v i n g n o c a p i t a l . D e p o s i t s of b a n k s a n d b a n k e r s $5, 007,458 170, 425,479 16,143, 972 65, 950, 852 483, 426, 532 $19, 050 878,170 74, 410 373, 952 2,145. 325 $3, 322, 951 153, 267, 838 14, 809, 031 38, 610, 558 407, 661, 079 $17, 614 812, 454 84,146 219, 387 2, 051, 378 740, 954, 293 3, 490, 913 617 671,457 3,184, 979 AVERAGE CAPITAL AND DEPOSITS OF SAVINGS-BANKS AND CAPITAL OF BANKS INVESTED IN UNITED STATES BONDS FOR LAST T H R E E YEARS. 3.—Statement of average capital and deposits of savings-hanlcs, and the capital of hanlcs and hanlcers, other than national hanlcs, invested in TJnited States honds, compiled from returns of said hanlcs and hanlcers for the years ended May 1877, 1878, and 1879. 1877. Capital of savings-banks . Capital of banks and bankers Deposits of savings-banks Total 1878. $362, 095 33, 027, 436 102, 859, 674 $601, 872 36, 425, 306 121, 855, 622 $429, 791 40, 013, 376 154, 847, 346 136, 249, 205 158,.882, 800 195,290,513 ABSTRACT OF SEIZURES. Seizures of property for Adolation of internal-revenue laws during the fiscal year ended June 30, 1879, were as follows: 80,502 gallons of distilled spirits, valued at 210,341 pounds of tobacco, valued at ,1,543,145 cigars, valued at Miscellaneous property, valued a t . . - - . . . . Total value of seizures : .,... $60, 362 26,936 16,968 419,877 68 49 84 86 524,145 87 COMMISSIONER OF INTERNAL REVENUE. 91 ABSTRACT OF REPORTS OF DISTRICT ATTORNEYS. The following is an abstract of reports of district attorneys, for the fiscal year 1879, of internal-revenue suits commenced, pending, and disposed of: Sidls pending July 1, 1878. Number of criminal actions Number of civil actions in personam Number of actions in rem : ->...--, ......_. Wbole number of suits pending July 1, 1878 5,376 1,436 429 7,241 Suits commenced during fiscal year 1879. Number of criminal actions Number of civil actions in personam Number of actions in rem 6,761 441 177 Whole number commenced 7,379 Suits decided against the United States. Number of criminal actions Number of civil actions inpersonam Number of actions m rem '. 510 35 17 •. Whole number of suits decided against tbe United States . _ - -. 562 Suits dismissed. Number of criminal actions Number of civil actions in personam Number of actions in rem 1,207 300 71 '. Whole number of suits dismissed 1,578 Suits settled. Number of criminal actions Number of civil actions in personam , - 443 . 95 ' Number of actions in rem 19 Whole number of suits settled 557 Suits pending July 1, 1879. Number of criminal actions Number of civil actions in personam Number of actions in rem 9,977 1,447 500 11,924 Suits wherein se^itence is suspended and included in suits xiending July 1, 1879. Number of criminal actions 1,153 Number of civil actions in personam 1 Number of actions in rem 2 1,156 Whole number of suits pending July 1, 1879 10,768 Suits decided in favor of the United States. Number of criminal actions ". Number of civil actions in personam Number of actions in rem Whole number of suits decided in favor of the United States »... 2,385 319 99 2,803 92 REPORT ON T H E FINANCES. Principal Costs Amount of judgments recovered by the United States in criminal actions. |258,360 58 63,606 77 Total.... 321,967 35 Amount of jiidgments recovered by the United States in civil actions in personam. Principal $255,260 23 Costs 9,568 79 Total 264,829 02 Amount of judgments recovered by the United States in actions in rem. Principal $44,083 72 Costs 1,938 47 Total - 46,022 19 Amount collected on judgments and paid into court in criminal actions. Principal Costs $50,384 51 29,781 72 Total... 80,166 23 Amount collected on jiidgments and paid into court in actions in personam. $91,227 90 Principal Costs 5,672 49 Total : 96,900 39 Amount collected on judgmmits and paid into court in actions in rem or proceeds of forfeiture. Principal $34,216 13 Costs 1,264 54 Total 35,480 67 COMPROMISES RECEIVED AND ACCEPTED. ° The following table shoAvs the number of offers in compromise received and accepted, with amounts accepted for each month of the last fiscal year: Number- Amount of Month. ta^L. Received. 1878. July ..... August September. October November . December. 1879. January . Pebruary . March AprU May June 94 100 125 105 82 95 1,102 Accepted. Assessed penalty. Amount of specific penalty. 64 9 38 125 92 55 $1, 784 30 17, 961 98 14,144 34 5, 794 84 2, 324 15 45 273 99 30 83 12i 31 40 $4, 091 06 860 43 1, 979 45 6, 387 58 2, 785 26 10, 420 39 136 54 84 84" 87 16, 334 5, 510 2, 015 22, 008 9, 437 5, 534 58 30 12 32 100 369 33 00 50 50 00 17 10, 862 09 27, 254 45 3, 346 82 . 8, 887 03 3, 793 85 5, 821 81 14, 678 02 36, 718 52 3, 323 13 12, 861 10 3,125 67 9, 029 52 03 21 46 00 97 68 916 102, 849 96 $175 00 $6, 050 36 860 43 19, 987 26 20, 805 04J 8, 679 41 12, 774 94 1, 226 16^ 65, 653 75 169, 729 8 7 | Whole number of offers received Whole number of offers accepted Amount of t a x accepted Amount of assessed penalty fixed by law Amount of specific penalty, in heu of fines, forfeiture, and penalties... Total Total. 1,102 916 $102,849 96 1,226 16^ 65,653 75 169,729 87^ COMMISSIONER OF INTERNAL REVENUE. 93 COLLECTIONS UNDER REPEALJiD LAWS. The amount of taxes collected on legacies and successions, railroad companies, &c., during the last four fiscal years is as follows: In In In In 1876 1877 1878 1879 : : $509,631 238,261 429,659 299,094 REWARDS UNDER CIRCULAR 99. Statement.of the amounts paid for rewards under circular 99 during the following fiscal years: 1877 • 1878 , 1879-., Months of July, August, September, and October, 1879 $49,524 32,765 • 27,167 4,857 84 28 26 48 SUITS AGAINST EX-COLLECTORS. Subjoined is a list of suits against late collectors of internal revenue in which judgments have been rendered during the fiscal year ended June 30, 1879, furnished by the courtesy of the Solicitor of the Treasury. Mississixipi, southern district—United States v. Fidelio S. Hunt, late collector of internar revenue for the second collection district of Mississippi, and sureties. May term, 1879, circuit court, judgment rendered in favor of the defendants and appeal taken to Supreme Court. Tennessee, eastern district.—United States v, P. A. Wilkinson, late collector of internal revenue for the third collection district of Tennessee, and sureties ^ 1878, July term, circuit court, judgment for $2,663.07. Tennessee, middle district,—United States v, J. Mullins, late collector of internal rcA^enue for the fourth collection districtof Tennessee, and sureties, 1878, l^^ovember term, circuit court, judgment rendered for $4,857. Execution stayed by order of court. Texas, western district—United States v. Eobert H. Lane, late collector of internal revenue for the second collection district of Texas, and sureties, 1878, June term, circuit court, judgment for $6,728.78. West Virginia.—United States v, J. H. Oley, late collector of internalrevenue and disbursing agent for the third collection-district of West Yirginia, 1879, May term, district court, judgment for $220.50. COMPROMISES AFTER JUDGMENT. The records of the Solicitor of the Treasury also show that for the fiscal year ended June 30, 1879, 28 internal-reA^enue cases were compromised after judgment, the amount accepted being $50,190.95. Twenty-four offers of compromise after judgment were rejected, the amount involved being $32,080.62. TwelA^e offers in compromise were pending July 1, 1879, the amount involved being $4,422. MANUFACTURE OF P A P E R . During the fiscal year all paper for internal-revenue stamps has been made by Messrs. S. D. Warren & Co., of Boston, under the contract entered into with said fiLrm, which Avas referred to in my last annual re 94 ' REPORT ON T H E FINANCES. port. On "the 30th of Jiine, 1879, an advertisement for proposals for furnishing stamp-paper Avas issued, and a number of bids was received from manufacturers, which were duly considered, and the contract was again aAvarded to Messrs. S. D. Warren & Co., of Boston, Mass. The prices paid under this contract are, for vegetable-sized paper, 9 | cents per pound, and for animal-sized paper, 1 0 | cents per pound, as against 10J cents and 11J cents paid under the prcAdous contract. I am indebted to Hon. O. H. Irish, Chief of the Bureau of Engraving and Printing, and John E. Offley, Esq., of the Government Printing-Office, for their aid in making the aAvard of the contract. Paper is now being manufactured under the contract above referred to. The paper furnished has been satisfactory as to quality, and all orders under the contract have been executed, with commendable promptness. PRINTING OF STAMPS. ISTo change in any arrangement for printing has been made during the year, all stamps for distilled spirits, tobacco, cigars, snuff", fermented liquors, and special taxes being printed by the Bureau of Engraving and Printing of the Treasury Department; stamps upon bank-checks by the Graphic Company, of Kew York; stamps upon foil wrappers for tobacco by Mr. John J. Crooke, of NCAV York, and all documentary and proprietary stamps by the American Bank NTote Company, of INew York (the National Bank INote Company haAang been consolidated Avith the American). The work of all these parties has been satisfactorily performed. NUMBER AND VALUE OF STAMPS ISSUED. During the fiscal year stamps were received by the stamp division of this office from the printers named, and issued to collectors, agents, and purchasers, as follows. Adz: . Kind. Stamps for distilled spirits Stamps for tobacco and snuff Stamxis for cigars and cigarettes Stamps for ferraented liquors and brewers' permits . Stamps for special taxes Stamps for documents and proprietary articles Total : Nuniber. Value. 4, 381, 750 223, Oil, 237 33, 842,179 38, 602,100 644, 210 508, 732, 953 $53, 932, 375 00 . 35, 701, 216 89 12, 762,189 10 11, 351, 995 00 8, 973, 800 00 6, 834, 058 80 809, 814, 429 129, 555, 634 79 These stamps were, on their receipt, counted, and their issae involved the preparation of about 23,000 packages. ISTearly all of these packages were transmitted to their destinations by registered mail, and it gives me pleasure to be able to report that this large business was conducted without the^ loss of a stamp, either while in the hands of the printers, while in the custody of this office, or while in the course of transmission by registered mail. This, it may be remarked, is an interesting fact that illustrates the thorough efficiency of the registered-mail department of our postal system. The fact that more than twenty thousand packages, containing stamps aggregating in value over one hundred and fifty million dollars, were transported to important points all OA^er the United States, including the Pacific coast and Territories, without the loss of a package, constitutes a record of which the Post-Office Department may well be proud. COMMISSIONER OF INTERNAL REVENUE. 95 ALTERATION OF TOBACCO STAMPS. By the act of March 1, 1879, the tax upon manufactured tobacco was reduced to 16 cents per pound. This change necessitated the calling in of all tobacco stamps in the hands of collectors of internal revenue and their subordinates, and imprinting OA^er the face of each stamp proper words and figures indicating the change, and also the changing of all plates from which such stamps are printed. Of the appropriation of $15,000, made for the purpose of defraying the expense of the change, $6,411.33 was expended, leaAdng a balance of $8,588.67 unexpended, which amount will be coA^^ered into the Treasury. RECOIMMENDATION. By the act of March 1, 1879, a limitation upon allowances of claims on account of stamps, arising under section 3426 Eevised Statutes, Avas imposed, and it has been found necessary to reject claims for the exchange or redemption of stamps Avhenever it could not be shown that the stamps Avere purchased from the government or a government agent for the sale of stamps witliin three years prior to their presentation at this office. I t is found that in many cases the operation of this provision of law works great hardship, and this is particularly the case where a ^person or firm have had a stock of checks prepared and have paid to the government the value of the stamps and had the same imprinted upon the face of each check in anticipation of its use. AYhen a person purchases stamps in anticipation of their use and in anticipation of the payment of a tax Avlien the same"^shall accrue, he has A^oluntarily paid into the Treasury of the United States an amount of money which he is equitably entitled to have returned, if from some cause unforeseen at the time of the purchase he finds that such stamps are not required for use. There Avould therefore seem to be no good reason why some way should not be provided for the speedy return of the money on the surrender of the stamps. I would therefore recommend the repeal of that portion of section 17 of the act of March 1,1879, which prohibits the redemption of stamps unless the same are presented Avithin three years after the purchase of the same from the gOA^ernment or a goA^ernment agent for the sale of stamps. STAMPS REDEEMED AND EXCHANGED. Number Amount Number Amount of claims of claims of claims of claims for for for for redemption of stamps allowed redemption of stamps alloAved exchange of stamps allowed exchange of stamps allowed 647 $23, 310 73 698 $70,978 73 MATCH STAMPS SOLD. Amount of stamps sold to match manufacturers during the following fiscal years: Commissions not deducted. 1876 1877.... 1878 1879 • » : $2,849,524 2,982,275 3,064,574 3,357,251 96 REPORT ON THE FINANCES. A Hmited number of general proprietary stamps have no doubt been purchased by match manufacturers, and not included in the above statement. NTearly all the stamps sold to match manufacturers are sold on sixty days^ credit under the provisions of section 3425, United States Eevised Statutes. There are now pending fourteen suits upon match manufacturers' bonds for the recovery of $160,276.26, due on the sale of stamps during the past four years, and it is believed that fifty thousand dollars of the above sum will be collected. There are also a number of persons under indictment in the United States Court at Chicago for conspiracy to defraud the United States in the execution of match manufacturers' bonds. ASSESSMENTS. The following table shows the assessments made by the Commissioner of Internal Revenue during the fiscal years ended June 30, 1878, and June 30, 1879, respectively, and the increase or decrease on each article or occupation: Amount assessed during Piscal year euded June 30, 1879. fiscal year ended— Article or occupation. Increase June 30,1878. June 30,1879. over 1878. Tax on deficiencies in production of spirits $75, 583 21 $63, 574 50 Tax on excess of materials used in tbe production of spirits 18, 050 73 5, 050 27 Tax on deposits, capital, and circulation of bauks and bankers 3, 489, 694 20 3,152, 545 26 Tax on distilled spiiits seized or fraudulently removed 207, 416 14 126, 002 14 Tax on fermented liquors removed from brcAvery unstamped 2, 608 41 6,144 33 Tax on tobacco, snuff, and cigars removed from factory unstamj^ed 130, 431 60 61, 917 45 Tax on prox^rietary articles removed unstamped.. 4, 349 12 2, 614 95 Assessed penalties 128,405 70 102, 285 72 Legacies and successions 127,189 94 182, 036 71 Uuassessed and unassessable peualties, interest, taxes previou.sly abated, conscience money, and deficieiicies in bonded accounts wliicli bave been collected; also fines, penalties, and forfeitures paid to collectors by order of court or by order of Secretaiy, and amo\iiit of penalties and interest received for validating unstamped instruments (Form 58) 401, 978 22 370,133 88 Special taxes (liceuses) 97, 068 91 128,716 83 Tax on incomes and dividends 34, 539 54 123, 928 54 Total 4,806,508 30 4, 235, 758 00 Decrease from 1878. $12, 008 71 13, 000 46 337,148 94 81, 414 00 $3, 535 92 68, 514 15 1, 734 17 26,119 98 54, 846 77 31, 844 34 31,647 92 89, 389 00 570,750 30 The foregoing statement shows a decrease in the assessments for the year ended June 30, 1879, as compared Avith the previous year, of $570,750.30. The decrease occurred in taxes on deficiencies in the production of distilled spirits, on excess of materials used in the production of distilled spirits, on distilled spirits seized or fraudulently removed, on tobacco, snuff, and cigars r'emoA^ed unstamped, on proprietary articles removed unstamped, on assessed penalties, on occupations (special taxes), on incomes and dividends, and on deposits, capital, and circulation of banks and bankers. COMMISSIONER OF INTERNAL REVENUE. 97 The decrease in assessments of taxes on deficiencies in. the production of distilled spirits and on excess of materials used in the production of spirits indicates a closer observance of the law and regulations in the management of their business by licensed distillers. These assessments, however, have been materially reduced by the amendment to section 3309 Eevised Statutes by the act of March 1,1879, in reference to unavoidable accidents, and the decision of the Supreme Court of the United States in the case of Stoll v. Pepper, fixing the rule by which deficiencies are to be measured. The decrease in the assessihents on spirits, tobacco, snuff,, cigars, and proprietaiy articles removed from the place of manufacture Avithout payment of the tax by stamps indicates a better observance of the la\y. In respect to illicit distilling, it is proper to state that, OAviug to the great extent of territory assigned to single officers, and to other circumstances over Avhicli this office has had no control, the legal evidence necessary to identify the distiller and fix the amount of spirits produced has not always been obtainable. The decrease in the assessments of speeial taxes and penalties indicates that these taxes are more promptly returned and paid than here-tofore. • Thedecrease in assessments of taxes on incomes and dividends results fiom the large decrease of taxes of that character remaining uncollected, and to some extent from the unwillingness of taxpayers to Avaive the statute of limitations. The decrease in assessments of taxes on capital, deposits, and circulation of banks and bankers is due to a variety of causes. The three priucipal causes are: First. The large increase, $32,991,724, ofthe capital of banks and bankers and of the deposits of saAings-banks iuA'csted in United States securities. This accounts for $164,958.62 of the amount. Second. The withdrawal of large amounts of deposits during the year, such withdrawals haAdng been madethrough the first half of the year xirobably through lack of confidence in the banks, and during the latter half of the year, i. e., since the resumption of specie payments, through the revival of trade and the consequent reopening pf manufacturing and mining establishments. The withdrawals from the latter cause will naturally eventuate in an increase in the amount of deposits held by the banks, the deposits so withdrawn being returned with the accrued profitsthereon. Third. The third cause of such decrease, to \vhich attention is called, is the internal-revenue act of March 1, 1879, which extends the exemptions from tax on deposits of savings-banks to certain savings-banks not theretofore entitled to exemption, increases the exemptions accorded to all savings-banks entitled to any exemption, and: prohibits the assessment of such taxes against any bank which had ceased to do business by reason of insolvency or bankruptcy, which assessment should diminish the assets thereof necessary for the full payment of all its depositors. The increased assessments on legacies and successions is due to indi-. vidual effbrt, through Avhich this office has received information that these taxes due under repealed laws had not theretofore been assessed: and paid. The assessments on Form 58 include the interest taxes paid on distilled spirits during the year under the joint resolution of Congress approA^ed March 28, 1878. 7 F • • . 98 REPORT ON THE FINANCES. REPORT OF WORK PERFORMED DURING THE FISCAL YEAR ENDED JUNE 30, 1879. Division of laiv. Offers in compromise received and briefed Opinions prepared Offers iu compromise acted upon Reward claims receivecl and acted upon Railroad cases adjusted Orders fbr abatemcnt of taxes issued Claims for abatement of taxes disposed of Amount of abatement claims allowed (uncollectible) Amount of abatement claims allowed (erroneous assessment) Amount of abatement claims rejected (uncollectible) Amount of abatement claims rejected (assessment claimed to be erroneous) Claims for refunding of taxes disposed of Amount of refunding claims allowed i Amount of refunding claims rejected . 1,102 1, 081 1,042 610 34 654 5,198 $377,759 79 |280,324 33 $80,446 56 1382,274 08 372 |217,398 07 $128,394 98 Bimsion of distilled spirits. Returns and reports relating to distilled spirits received, examined, and disposed of Returns and reports relating to fermeilted liquors received, examined, and disposed of Computations of capacities of distilleries made and data for assessment furnisbed Locks examined and issued Hydrometer sets, stems, and cups tested and issued Gauging-rods examined and issued 197,866 32,644 14,573 3,030 1,391 246 Division of tobacco. Reports relating to tobacco received, examined, and disposed of Reports relating to'cigars received, examined, and disposed of Abatement and refunding claims audited 2,568 18,688 282 Division of stamps. Value of stamps received and counted 1 $142, 300, 449 30 Value of stamps counted and issued to collectors $120,903, 368 22 Value of stamp's counted and transmitted to tbe Secretary of tlie Treasury for destruction $1,977,691 83 Stubs examined 8,906,160 Stamps and coupons receiA^ed for credit and counted 32, 395,956 Reports received, examined,>nd disposed of . 1 156,657 Division of assessments. Reports relatiug to assessments received, examined, and disposed of.. Reports relating to bonded accounts received, examined, and disposed of Reports and voucbers covering exportations received, examined, and ' disposed of Claims for drawback disposed of „.....-..• 61,691 207,283 390,000 683 Division of accoimts. Accounts, reports, and returns received, examiued, and disposed of.. Certiiicates of deposit received and recorded 28,273 31,854 COMMISSIONER OF INTERNAL REVENUE. 99 Division of revenue-agents. Reports of revenue-agents received and disposed of Reports of collectors relative to illicit distilleries received and dis* posed of .° Accounts of revenue-agents received and exami ned Miscellaneous expense accounts received and examined Railroad and income cases examined and reported on Transcripts of books of leaf-tobacco dealers examined and abstracted. 2^ 540 529 878 351 54 3^ 719 Division of appointments, records, and files. Commissions of storekeepers, storekeepers and gaugers, gaugers and tobacco-inspectors prepared and bonds examined Collectors' bonds recorded • Re]ports of inspecting-otficers as to condition of collection-districts received, examined, and acted upon (since February 8, 1879) Reports of examining-officers as to condition of collectors' offices re* ceived, examined, and acted upon (since February 8, 1879) Pages of letters recorded ' ^ Press-copies of letters briefed, registered, and arranged for referencePages of miscellaneous copying Letters for tbe entire bureau received and registered Letters indorsed, briefed, and filed Aggregate number of letters mailed by tbe bureau 722 27 118 122 18,338 58,734 25,418 48,056 31,70.8 63,256 , THANKS TO OFFICERS. I desire to express my satisfaction at the support I have received from the heads of the scA^eral diAdsions, the employes of the bureau, and to the corps of rcA^enue agents in every effbrt to inforce the laws and to improve the public service. TABULAR STATEJMENTS.'^ I api3end tabular statements to accompany the bound volume, as follows: Table A, showing the receipts from each specific source of revenue, and the amounts refunded in each collection-district. State, and Territory of the United States, for the fiscal year ended June 30, 1879. Table B, showing the number and value of internal-reA^enue stamps ordered monthly by the Commissioner and from the ofi&ce of the Commissioner; thereceipts from the saleof stamps and the commissions allowed thereon; also the number and A-alue of stamps for special taxes, tobacco, cigars, cigarettes, snuff*, distilled spirits, and fermented liquors, issued monthly to collectors during the fiscal year ended June 30, 1879. Table C, showing the percentages of receipts from the several general sources of revenue in each State and Territory of the United States to the aggregate receipts from the same sources, by fiscal years, from July 1, 1863, to June 30, 1879. • Table D, showing the aggregate receipts from' all sources in each collection-district, State, and Territory of the United States, by fiscal years^ from September 1, 1862, to June 30, 1879. Table E, showing the receipts in the United States from each specific source of revenue, by fiscal years, from Sept. 1, 1862, to June 30, 1879. Table F, showing the ratio of receipts in the United States from specific sources of revenue to the aggregate receipts from all sources^ by fiscal years, from July 1, 1863, to June 30, 1879. * These tabular statements are omitted for want of space, but tbey are jDiinted in tbe bound volumes of tbe Commissioner's report. 100 REPORT ON THE FINANCES. Table G, showing the returns of manufactured tobacco, snuff, cigars, and cigarettes, under the several acts of legislation and by fiscal years, from. September 1,1862, to June 30, 1879. Table H, showing the receipts from special taxes in»each collection-district. State, and Territory, for the special-tax year ended April 30,1879. Table I. Abstract of reports of district attorneys concerning suits and prosecutions under, the internal-revenue laAvs during the fiscal year ended June 30, 1879. . Table K. Abstract of seizures of property for Adolation of internalrevenue laws during the fiscal year ended June 30, 1879. I have the honor to be, very respectfully, your obedient serA'ant, GEEEIN B. EAUM, Hon. J O H N SHERMAN, Gommissioner, Secretary of the Treasury, REPORT OF THE COMPTROLLER OF THE CURREICY. EEPOET THE COMPTROLLER OF THE CURRENCY. TREASURY DEPARTMENT, O F F I C E OF THE COMPTROLLER OF THE CURRENCY, Washington, Novemher 26, 1879.. I have the honor to submit for the consideration of Congress, tlie SeA^enteenth Annual Eeport of the Comptroller of the Currency, in couipliance with section three hundred and thirty-three of the Eevised Statutes of the United States. . The total number of national banks organized, from the establishment of the national-banking system, February 25, 1863, to KoA^ember 1 of the present year, is 2,438. Of these, 307 have gone into A^oluntary liquidation by the vote of shareholders owning two-thirds of their respective capitals, and 81 have been placed in the hands of receivers for the purpose of closing up their aff'airs, leaAdng 2,050 in operation at the date last named. Included in the aggregate number organized are ten national gold banks, seven of which, still in operation, are located in the State of California. These banks redeem their circulating-notes in gold coin in the city of San Francisco and at their own counters. They liaA^e an aggregate capital of $4,000,000, and a total circulation of $1,534,000, but are entitled to receive circulating-notes in amount equal to 80 per cent, of their capital, upon the deposit with the United States Treasurer of the requisite amount of bonds as security therefor. Within the past year one of this class of banks has gone into voluntary liquidation aiicj reorganized as an ordinary national bank, rpceiAdng circulating-notes at the rate of 90 per cent, of its capital, and redeeming them at the Treasury Department ahd at its OAVU counter; and it is probable that the others, will also reorga.nize so soon as the necessary legislative authority shall be obtained to enable them to do so without first going into liquidation. A bill passed the House of Eepresentatives during a previous session, amending thepresent law, and authorizing the national gold banks to receive circulating notes in amount equal to 90 per cent, of their capital; and also requiring such banks to keep on deposit, in gold, coin, with the Assistant Treasurer of the United ^States in San Francisco, an amount equal to 5 per cent, of their circulation, instead of keeping 25 per cent, of the same on hand, as is UOAV requirecl by laAv. The passage 104 REPORT ON THE FINANCES. of an act similar in terms, and also of one authorizing the conversion of national gold banks into currency banks, is recommended. Since my last annualreport thirty-eight banks have been organized with an aggregate authorized capitalof $3,595,000, to which $2,390,440 in circulating-notes haA^e been issued. Thirty-eight banks, with an aggregate capitalof $4,450,000, have voluntarily discontinued business within the same period, and eight banks, having a total capital of $1,030,000, haA^e failed. The insolvent banks include tAvo, with a capital of $700,000, Avhich failed after having prexaously gone into voluntary liquidation., ° The following table exhibits the resources and liabilities of the banks on the 2(1 clay of October, 1879, the returns from ISTew York City, from Boston, Philadelphia, and Baltimore, from ihe other reserve cities, and from the remaining banks of the country being tabulated separately: DSTew Y o r k City. 47 b a n k s . Bo.ston, P b i l a - * O t b e r redelpbia, and s e r v e cities. Baltimore. 99 b a n k s . 82 b a n k s . $8, 286, 525 $2, 017, 226 $4, 360, 523 78, 062, 085 22, 605,-795 11, 445, 079 22,491,926 87, Oil, .366 12r3, 07:J 25,7^5, .500 4, 071, 050 10,140, 900 8, 843, 712 13,136, 9.11 118, 267,128 86, 341 53,147, 300 550, 000 9, 066, 250 3, 704, 614 19,190, 543 10,012,482 7,150, 239 65, 023, 494 349, 810 2.5, 650, 800 3, 404, 500 5, 953, 000 2,634,916 16, 530,117 6, 284, 310 Country banks*. Aggregate. 1,820 b a n k s . 2,048 b a n k s . KESOURCES. L o a n s and cliscoimts On U . S. b o n d s on d e m a n d . . . On o t b e r s t o c k s , bonds, &c., on deinand On singL'.-name p a p e r "witho u t otlier s e c u r i t y ° A l l o t b e r loans ' Overdrafts B o n d s for c i r c u l a t i o n B o n d s foi' deposits U . S. bonds on. b a n d O t b e r s t o c k s and b o n d s ' .i)ue from i-eserve a g e n t s D u e from o t b e r n a t i o n a l b a n k s D u e from o t b e r b a u k s a n d bankei'S E e a l e s t a t e , f u r n i t u r e a n d fixtures C u r r e n t exx:)enses Premiums C b e c k s aud o t b e r c a s b i t e m s . . E.Kcbaugf s for c l e a r i n g - b o u s e . . 33ills of otlier n a t i o n a l b a n k s . . . Practional currency Specie '.. .• Legal-tender notes TJ. S. certificates of d e p o s i t P i v e p e r ceut. r e d e r a p t i o n fund D u e fi'om U . S. T r e a s u r e r . . Totals. 'io," 957," 673" $435,154, 810 $875, 013,107 2, 928, 766 252, 769, 700 9, 578, 500 27, 800, 450 24,464,174 71, 302, 887 19, 438, 520 3, 489, 990 357,313,300 18, 204, 650 52, 966, 600 39,647,416 107, 023, 547 46, 692, 994 2, 245,184 992, 478 3, 339,131 7, 053, 979 13, 630, 772 9, 883, 679 953, 465 827, 972 1, 9U9, 660 93, 487, 352 1, 467, 887 55, 672 19, 349, 868 19, 738, 584 12, 900, 000 1,131, 721 492, 650 7, 005, 672 732, 041 683,149 972, 523 14, 781, 348 2, 524,131" 35, 023 6, 979, 727 8, 293, 515 9, 560, 000 2, 371,148 • 81,501 4, 559, 515 714,102 • 334,362 888, 807 4, 696, 265 1, 84.5, 771 , 53,965 4, 369,176 11, 526. 789 3, 575, 000 1, 095, 277 88, 256 26, 368, 304 3,711,648 2, 486, 937 7, 475,143 10, 869, 761 2,51,405 11, 474, 961 •29,637,808 735,000 11,184, .569 583, 963 47. 817,170 6, 111, 256 4, 332,420 11, 306,133 112, 964, 965 16, 707, 550 396, 065 42,173, 732 69,196, 696 26, 770, 000 15, 782, 715 1, 246, 370 185, 873, 204 955, 277, 294 i8, 787, 448 37, 795, 500 10, 461, 775 3, 715, 637 287, 965, 605 68, 449, 256 24, 403, 030 454, 067, 365 114,786,529 41, 300, 942 22, 017, 051 223,157, 273 196, 566 1, 532, 916 316, 228, 005 5, 004, 246 313, 786, 362 316, 861 2, 667, 430 719, 737, 569 11, 018, 863 420, 840,104 306, 796,1 LIABILITIES. Capital stock S u r p l u s fund TJndivid ed profits ISTational-bank n o t e s o u t s t a n d State bank notes outstanding.. .Dividends u n p a i d Individual deposits. TJ. S. d e p o s i t s D e p o s i t s of TJ. S. d i s b u r s i n g officers Diu^ to n a t i o n a l b a n k s D u e to o t b e r l)anks and b a n k e r s !Notes a n d bills re-discouuted Bills p a y a b l e Totals. 50, 750, 000 16, 006, 435 9,096,919 22, 328, 624 53, 251 202,727 213, 354, 222 3, o77,135 77, .5.56, 260 19, 869, 063 4, 085, 356 46, 283, 67. 778, 117, 446, 340, 414 044 241 336 613 153, 546 72, 709, 006 I, 796, 869 157,193 81, 915, 319 23, 098, 279 6,746 32, 048, 687 6, 891, 020 182, 766 1, 241, 300 949, 796 21, 240, 841 13, 734,193 266, 680 1, 032, 310 420, 840,104 306, 796, 846 185, 873, 204 2, 13; 8, 1, 1, 355, 865 995, 410 298, 961 755, 569 934, 592 3,469, 600 149, 200, 257 52, 022, 453. 2, 205, 015 4, 208, 202 955, 277, 294 1, 868, 877, 448 * T b e r e s e r v e cities, in a d d i t i o n to N e w Y o r k , Boston, P h i l a d e l p b i a , a n d Baltimore, a r e A l b a n y , P i t t s b u r g b , W a s b i n g t o n , ISTew Orleans, Louisville, Cincinuati, Cleveland, Cbicago, D e t r o i t , M i l w a u k e e , S a i n t L o u i s , a n d San P r a n c i s c o . 105 COMPTROLLER OF THE CURRENCY. The following table exhibits the resources and liabilities of the national banks during the last nine years, at nearly corresponding dates for each year: • ^ Oct. 2, Oct. 3, Sept. 12, Oct. 2, Oct. 1, Oct. 2, Oct. 1, 1874. 1871. 1872. 1873. 1875. 1876. 1877. Oct. 1, Oct. 2, 1879. 1878. 1,767 banks. 1,919 banks. 1,976 banks. 2,053 banks. Millions. Millions. Sll. 2 Millions. Millions: Millions. 2,004 banks. 2,087 bauks. 2,089 banks. 2,080 banks. 2,048 banks. RESOURCES. Loans B o n d s for c i r c u l a t i o n o t b e r U. S. b o n d s O t h e r stocks, bonds, &;c . . . D u e from o t b e r b a n k s Peal estate Specie L e g a l t e n d e r notes ISTational-bank n o t e s Clearingdionse excbanges . , .TJ. S. certificate.<^ of depo.sit D u e fiom TJ. S. T r e a s u r e r .. Other resources 831. 6 364.5 45.8 24.5 143.2 30.1 13. 2 107.0 14.3 115.2 41.2 382. 0 27.6 23.5 128. 2 32.3 10. 2 102.1 15.8 125. 0 6.7 944.2 388.3 23.6 23.7 149. 5 34.7 19.9 92.4 16. L 100.3 20.6 25.2 17.3 954.4 383.3 28.0 27.8 134. 8 38.1 21.2 80.0 18.5 109. 7 42.8 20.3 18.3 984.7 370.3 28.1 33.5 144.7 42.4 8.1 76.5 18.5 87.9 48.8 19.6 19.1 Million s. Millions, Millions. Millions. 931. 3 337."2 47.8 34.4 146.9 43.1 21.4 84.2 15.9 100.0 29.2 16.7 19.1 891. 9 336. 8 45.0 34.5 129.9 45.2 22.7 66.9 15.6 74.5 33.4 16.0 28.7 834. 0 347.6 94.7 36.9 138.9 46.7 • 30.7 64.4 16.9 82. 4 32.7 '16.5 24.9 878. 5 357.3 71.2 39.7 167.3 47.8 42. 2 69.2 16.7 113. 0 26.8 17.0 22.1 1, 7.55. 8 1, 830. 6 1, 877. 2 1, 882. 2 1, 827. 2 I, 741.1 1,767.3 Totals LIABILITIES. Capitalstock Surj)lus fund P n divided p r o f i t s . . . Circulation D u e to d e p o s i t o r s . . . D u e to o t h e r b a u k s . O t h e r liabilities 458.3 101.1 42.'0 317.4 631. 4 171.9 8.5 Totals. 479.6 110.3 46.6 335.1 628. 9 143.8 11.5 491.0 120. 3 54.5 340.3 640. 0 173.0 11.5 493.8 129.0 51.5 334. 2 683. 8 175.8 9.1 504.8 134.4 53.0 319.1 679.4 179.7 11.8 1, 730. 6 1, 755. 8 1, 830. 6 1, 877. 2 499.8 132.2 46.4 292. 2 666.2 179.8 10.6 479.5 122. 8 44.5 291.9 630.4 161.6 10.4 466.2 116.9 40.9 301.9 668.4 165.1 7.9 454.1 114.8 41.3 313.8 736.9 201.2 6.7 1, 827. 2 1, 741.1 1, 767. 3 Section 333 of the Eevised Statutes of the United States requires the Comptroller to present annually to Congress a statement of the condition of the banks and savings-banks organized under State laws. Eeturns of capital and deposits are made by these institutions and by private bankers, semi-annually, to the Commissioner of Internal Eevenue for purposes of taxation. From these returns the following table has been compiled in this Office, exhibiting, in concise form, by geographical divisions, the total average capital and cleposits of all the State and savings banks and private bankers of the country, for the six months ending May 31, 1879: G-eograpbical divis- State banks and trust companies. N o . C a p i t a l . Deposits. Private bankers. No. Millions. Millions. ]^ew EiT^land S t a t e s Middle States Soutber-n S t a t e s W e s t e r n States and Territories 40 239 . 251 7. JO 40.72 27.43 14. 39 124.64 32.60 S a v i n g s - b a n k s w i t b b aSavingsn k s withcapital. out capital. DeposC a p i t a l . Depos- N o . C a p i t a l . DeposNo. its. its. its. Millions. Millions. Millions. 70 853 237 3. 72 34. .54 5.64 Millions. - 3.32 54.53 11.89 6 3 0.51 0.86 426 2; 44 182 0.83 3 Millions. 366. 46 350.95 1.69 475 52.02 85. 44 1,474 25. 85 70.18 20 '2.85 32.80- ^3 27.96 U n i t e d S t a t e s . . . . 1,005 127. 27 257. 07 2,634 69. 75. 139. 92 29 4.22 36. 07 644 747. 06 The capital of the 2,048 national banks in operation on June 14, 1879, as wiU be seen by a subsequent table, was $455,244,415—not including surplus, Avhich amounted at t h a t d a t e to more than $114,000,000—while 106 REPORT ON THE FINANCES. the average capital of all the State banks, private bankers, and savingsbanks, for the six months ending May 31 previous, Avas but $201,241,484, which amount is considerably less than one half that of tho national banks. The net deposits of the national banks were $713,403,639, and the average deposits of all other banks, including saAdngs-banks, were $1,180,122,835. The aA^erage deposits for the sameperiod of the 644 savings-banks having no capital stock, which are included in the aboA^e aggregate, were $747,062,057. The table below exhibits the aggregate aA^erage capital and deposits for the six months ending May 31, 1879, of all classes of banks other than national, and the capital and deposits of the national banks on June 14, following: State banks, savingsbanks, private bankers, &c. G e o g r a p b i c a l divisions. No. Capital. Deposits. No. Millions. 536 N e w England States 1,280 Middle States 494 Soutbern States W e s t e r u S t a t e s a n d TeiTi2,002 tories 10. 83 75.77 33.92 4, 312 201. 24 IJnited States National banks. 80.72 Capital. D e p o s i t s . N o . Millions. Millions. 384.17 • 532. 56 47. 02 544 640 J 76 216. 37 Total. Capital. D e p o s i t s . Millions. Miliions. Millions. 164. 43 170. 21 30.40 126. 72 1,080 393.12 1, 920 37.93 670 175. 26 245. 98 G4. 32 688 90.20 155. 63 2,690 170. 92 372. 00 1,180.12 2, 048 455. 24 713. 40 |6, 360 656.48 1, 893. 52 510. 89 925. 68 84. 95 Erom this table it will be seen that the total number of banks and bankers in the country at the daties named Avas 6,360, with a total banking capital of $656,485,899, and total deposits of $1,893,526,474. In the appendix will be found tables showing by geographical divisions the number, aA^erage capital, and deposits, of State and savings-banks, and private bankers, for A^arious periods from 1875 to 1878, and there will also be found other tables giAdng the assets and liabilities of State institutions during the past year, so far as they could be obtained from the official reports of the scA^eral State officers. A table arranged by States and principal cities, giAdng the number, capital ancl cleposits, and the tax thereon, of all banking institutions other than national, for the six months ending May 31, 1879, will be found on a subsequent page. Similar tables for prcAdous years will be found in the appendix. The following table exhibits, for corresponding dates in each of the last four 3^ears, the aggregate amouuts of the capital and deposits of each of the classes ot banks gwen in the foregoing tables: National banks. Years .No. 1876 J877 1878 1879 2,091 2,078 2,056 2,048 C a p i t a l . Deposits. Millions. 500.4 481.0 470.4 455.3 Millions. 713.5 768.2 677.2 713.4 S t a t e b a n k s , p r i v a t e S a v i n g s - b a n k s b aSaA^ingsn k s witbwitb'cai^ital. b a n k e r s , &c. o u t capital. No. 3,803 3,799 3,709 3,639 Capi- DeposCapNo. i t a l . De- N o . Depostal. its. its. p'sits. Millions. 214.0 218.6 202.2 197.0 Millions. 480.0 470.5 413.3 397.0 26 26 23 29 Mill- Millions. ions. 5.0 37.2 691 4.9 38 2 676 3.2 26.2 668 4.2 36.1 644 Mill- • ions. • 844.6 843.2 803.3 747.1 Total. No. 6,611 6. .579 6,4.56 6,360 CapitaL MiUions. 719.4 704.5 675.8 •656.5 Deposits. Millions. 2,07.5.3 2,120.1 1,920.01,893.5 ^COMPTROLLER OF THE CURRENCY. 107 The aggregate capital of the A^arious classes of banks shown by the foregoing table has diminished from $719,400,000 in 1876 to $656,500,000 in 1879, and the aggregate deposits have fallen off from $2,075,300,000 in 1876, to $1,893,500,000 in 1879--a reduction of $62,900,000 in capital and $181,800,000 in deposits during the last four years. The national banking capital has diminished $45,100,000, but the deposits of the national banks ^are almost precisely the same that they were in 1876. Savings-banks with capital show a reduction of about one million in capital and the same amount in deposits. The capital and deposits of State banks and private bankers are less by scA^enteen millions and eighty-three millions, respectively. The greatest reduction, however, is in the deposits of savings-banks without capital, which have diminished $97,500,000. THE NATIONAL BANKS AND THE REFUNDINa OF THE PUBLIC DEBT. The great war debt of the United States was contracted in less than four and a half years. In 1835 the country was entirely out of debt, and on January 1, 1861, the whole debt of the Union auiounted to but $66,243,721. During the next six months it increased at the rate of about four millions a month, being, on the first day of July, 1861, $90,580,873. During the next year it increased at the rate of more than thirty-six millions per month, and at the close of the fiscal year ending June 30, 1862, it had reached $524,176,412. At the end of the succeeding year it was considerably more than twice that amount, being on July 1,1863, $1,119,772,138. During the following year it increased nearly seven hunclred millions, reaching on July 1, 1864, the sum of $1,815,784,370. During the next nine months, to the close of the war, April 1, 1865, the debt increased at the rate of aibout tAvo millions a day, or sixty millions a month, and for the five months next thereafter, at the rate of about three millions a day, or ninety millions a month, reaching its maximum on August 31,1865^''=, at which date it amounted to $2,845,907,626,1 and was composed of the following items: Funded debt t Matured debt^ Temporary loans. Certificates of indebtedness Five -per cent, legal-tender notes ComxDound interest legal-tender notes Seven-thirty notes United States notes (legal tenders) Fractional cnrrency Suspended requisitions uncalled for Total $1,109,568,191 80 1,503,020 09 107,148,713 16 85,093,000 00 33,954,230 00 217,024,160 00 830, 000,000 00 433,160,569 00 -26,344,742 51 -2, 111, 000 00 ,.. - 2,845,907,626 56 This table shows an aggregate of more than one thousand two hundred ancl seventy-five miliions of temporary obligations of the govern*Re]Dort of Secretary McCullocli, 1867, p. i v ; 1868, p. xli. t Less cash in the Treasury, ^88,218,055. t This item includes $1,'258,000 of bonds issued to Pacific railrcads. 108 " REPORT ON THE FINANCES. ment, of which eight hundred and thirty millions bore interest at 7.30 per cent, annually.* This immense amount of temporary obligations was funded within the three years which followed the close of the Avaf; and the skill and good judgment displayed in so doing can only be fully appreciated by those w^ho are familiar with the difficulties and delicate conditions under Avhich the Avork was accomplished. The temporary loans, certificates of indebtedness, seven-thirty notes, and all the other items of the debt—except the legal-tender uotes ancl fractional curreucy, which haA^e been largely reduced—have either been paid, have matured and ceased to bear interest, or have been funded into tiA^e-twentj^ six per cents, of which more than one thousand six hundred millions ($1,602,698,950) Avere issued. The acts of July 14, 1870, and January 20, 1871, authorized the issue ot bonds for the purpose of refunding the five-twenty six per cents. The former act authorized the issue of fifteen hundrecl millions in bonds, two hunclred inillions of which Avere to be ^ve per cents payable ten years after date, at the pleasure of the United States, three hundred millions of four and a half per cents payable in fifteen years, and one thousand millions payable in thirty years from the date of their issue, and bearing interest at the rate of four per cent, per annum. The act provided that these bonds should not be sold for less than their par A^-alue in coin, and that the proceeds should be applied to the redemption of the five-twenty bonds. The latter act increased the amount of the •five per cent, bonds to fiA^e hundred millions, but provideci that the whole amount of bonds issued should not exceed the amount originally authorized ; and the subsequent act of January 25, 1879, authorized the refunding or exchanging of any other of thetiA^eor six per cent, bonds which Avere redeemable at the pleasure of the government. The AAdiole amount of the fundecl debt on the first of January, 1871, Avas $1,935,342,700, of which $1,437,097,300 consisted of fiA^e-twenty six per cent, bonds, and $194,567,300 of ten-fortyfiA^eper cent, bonds. On the first day of August, 1871, nearly sixty-six millions ($65,775,550) of UCAV fi\"e per cent, bonds had been subscribed for, chiefly by the national banks. During the same month an agreement Avas entered into by the Secretary Avith Jay Cooke & Co.t for the sale of the remaining two hundred millions of said bonds, ancl in the month of January, 1873, similar arrangements Avere made for the sale of alarge additional amount.| The remainder of thefiA^e hundred millions ($178,548,300)Was sold duringthe next three yea.rs, the Secretary of the Treasury stating in his report of December 6,1875,§ that he had '' the pleasure of announcing to Congress that the funding of five hundred millions six per cent, bonds into those bearing five per cent, interest has been accompbshed.'' On August 24, 1876, a new contract was made by the Secretary Avith A. Belmont & Co. and associates, 11 for the sale of the three hundrecl millions of four and a half per cent, bonds authorized. In this contract the Secretary reserved the right to terminate it by giving ten days' notice to the contractors, and under the contract calls Avere made prior to March 4, 1877, for the redemption of t)ne hundred millions of six per cents. In May, 1877, the present Secretary, availing himself of the privilege secured in the contract, gave notice that he would limit the sale of four * At t h a t date one thousand seven hundred and twenty-five millions of the public debt bore an average interest of 6.62 per cent. Finance Report, 1865, p. 23. t Secretary Bout well's report, lrt71, p. xvii. § Secretary Bristow's report, 1875, p. xii t Secretary Richardson's report, 1873, p. ix. || Secretary Morrill's report, 1876, p. xi.. COMPTROLLER. OF THE CURRENCY. 109 and a half per cents to two hundred millions; and additional subscriptions Avere rapidly made until that amount Avas taken. The aA^ails of one hundred and eighty-five millions of these bonds were applied to the redemxition of five-twenties, the remaining fifteen millions being held for resumption purposes. On the Oth of June, 1877, a contract was made with a syndicate for the sale, at par, in coin, of the four iier cent, bonds authorized to be issued by the refunding act, Avith the right to terminate the contract at any time after December 31, 1877, by giving ten days' notice to the contracting parties.* In 1877 scA^ent^'-fiA^e millions of the four per cents were sold, and in 1878 more than one hundred and tAventy. eight millions ($128,685,450). During the first four inonths of 1879 $497,247,750 additional foui:'s Avere disposed of, of Avhich more than one hundred ancl forty-nine millions were sold at a premium of oue-half of one per cent. Of this amount, one hundred and twenty-one millions were taken by the First National Bank of Kew York and associates, and the remainder by other national banks. These, Avith the sales of forty millions cf refunding certificates, completed the refunding of all the bonds of the United States Avhich were redeemable. The sales of United States bonds since 1871, under the refunding acts, haA^e been iive hundrecl millions of fives, one hundred and eighty-fiA^e millions of four-and-a-halfs, ancl $710,345,950 of four per cents; in all, more than one thousand three hundred and ninety-fiA^e millions of dollars. There haA^e also been sold for resumption purposes, since March 1, 1877, under the authority of the resumption act of January 14, 1875, twenty-five millions of fours, and sixty-five millions of four and a half per cents; fifty millions of the latter being at a premium of one and a half per cent. The reduction on the interest-bearing debt of the United States, from its highest point, on August 31,1865, to NoA^ember 1,1879, is $583,886,594, of Avhich amount $105,160,900 has been effected since the refunding operations were corniiiencecl on May 1, 1871. A t its highest point the annual interest on the debt was $150,977,697, while it is now $83,773,778 only. There has, therefore, been a total reduction in this charge of $67,203,919 annually. The total annual reduction of interest under these refunding operations, accomplished since March 1, 1877, lis $14,290,416, while the saAdng on this account growing out of the operations of the present year alone, is nearly nine millions ($8,803,707), and the total annual saAdng in all the refunding operations of the government since 1871 is nearly twenty millions ($19,900,846). These funding transactions are believed to be Avithout parallel in financial history. The jDublic debt of England in January, 1793, amounted to $1,191,145,000. At that date began the great expenditures caused by the wars of the French revolutiou and of Napoleon,'extending from 1793 to 1816. Between these dates stock and annuities to the amount of $3,881,000,000 were placed on the market at rates of interest varying from 3 to 5 per cent. The av^erage rate of discount at which the stock was sold was 33 per cent., and the average rate of interest paid on the money actually raised by the sale was 5.15 per cent. After a long interval, of peace, the Irish famine in 1847, and the Crimean war and Indian mutiny, from 1854 to 1856, caused other additions to the public debt. In the years 1847, 1855, and 1850, three per cent, interest-bearing stock, to the amount of one hundred and seventy * Secretary Sherman^s report for 1877, p. viii. ^ 110 REPORT ON THE FINANCES. millions of dollars, Avas issued, and sold at a discount of 10.94 per cent., while the average rate of interest paid on the money raised by" the sale was 3.4 per cent.* The three great Fench loans in 1870,1871 and 1872, of nearly fifteen hundred and ninety-two miUions of dollars, realized twelve hundred and seventy-three millions of dollars only. The first loan was at the rate of 3 per cent., and reahzed to investors nearly 5 per. cent., while the two *The figures given in the following table, relative to the loans of 1793-1817, inclnsive, are based upon information derived from a somewhat similar table originally published in McCulloch's ''Treatise on Taxes and theFimding System,*' London, 1852, and republished in the appendix to an essay of WiUiam Newmarch, on the '' Loans ' raised by Jsir. Pitt," which essay appeared in the London Statistical Journal for September, 1855. Ttie figui^es relatiug to the loans of 1847-1856 are derived from Sir Stafford Northcote's ''Twenty Years of Fina.ncial Policy," pp. 94, 265, 278, 288. Tear. Money 'raised on S t o c k issued s t o c k issued ( £ = $5). ( £ = $5). A n n u a l int e r e s t on stock ( £ = $5). Average. discount on sale of stock. P r . ct. 28 17.6 4.22 4.65 24.2 24.9 5.06 5.31 49.6 6.36 49.5 6.11 42.8 36.3 38.5 24.2 5.20 4.70 5.14 3.96 37.5 44.5 45.6 39.8 33.6 12.3 11.9 17.7 17.9 5.10 5.40 5.30 4.94 4.75 4.92 4.86 4.66 4.96 7, 400, 000 31.6 5.31 16,150, 000 37.3 5.50 25.1 36.3 4.59 5.72 1793 1794 $31, 250, 000 78, 350, OUO $22, 500, 000. 64, 550, 000 $950, 000 3, 000, 000 1795 1796 277, 700, 000 284, 700, 000 210, 450, 000 213, 800, 000 10, 650, 000 1797... 145,100, 000 73,100, 000 1798 178,100, 000 90, 000, 000 1799 1800 1801 1802 109, 145, 279, 151, 000 000 000 000 62,500,000 92, .500, 000 172, 050, 000 115, 000, 000 .5, 500, 000 3,250,000 4, 350, 000 8, 850, 000 4, 550, 000 1803 1804 1805 . . 1806 .•..: 1807 1808 1809 1810 1811 .. .. 80, 000, 000 90,100, 000 197, 700, 000 149, 400, 000 91,8.50,000 68, 450, 000 110, 8.50, 000 99, 050, 000 146, 200, OUO 50, 000, 000 50, 000, OUO 107, 600, OUO 90, 000, 000 61, 000, 000 60; 000, 000 97, 650, OUO 81, 550, OUU 120, 000, 000 2, 550, 2, 700, 5, 700, 4, 450, 2, 900, 2, 950, 4, 750, 3, 800, 5, 950, 1812 203, 700, 000 139, 350, 000 1813 468, 650, 000 293, 800, 000 1814 1815 123, 450, 000 354, 450, 000 92, .500, 000 225, 650, 000 4, 250, 000 12, 900, OOU 1816 15, 000. 000 15, 000, 000 450,000 T o t a l s - - 3, 881, 000, 000 2, 600, 550, 000 40, 000, 000 35, 800, UOO P e b ' v , 1847.. 80, OOU, 000 70,100, 000 A p r i l , 1855.. . 25, 000, 000 22, 500, 000 P e b ' y , 1856.. 25, 000, 000 23,177, 5UU M a y , 1856 . . . 134, 000. 000 1, 200, 000 2, 400, 000 750, 000 750, 000 33 10.5 12.4 10 7.3 139,100, 000 32.1 350, 200, 750, 750, • T o t a l s . . 4, 051, 000, 000 2, 752,127, 5U0 Average interest realized by investers. 11, 350, 000 4, 650, 000 000 OUO 000 UUO 000 OUO 000 000 000 0 K i n d of s t o c k s . 3 p e r cent, consols. 3 p e r cent, consols ; 4 p e r cent. Avitblong a n n u i t y . Do 3 p e r cent, c o n s o l s ; 5 p e r cent., w i t b loug a n n u i t y . 3 p e r cent, c o n s o l s ; 4 p e r cent., w i t b long a u n u i t y . 3 p e r cent, c o n s o l s ; l o u g annuity. 3 p e r cent, consols. Do. Do. 3 p e r cent, consols, w i t h long a n n u i t y . Do. 3 p e r cent, consols. Do. Do. Do. 4 per cents. 3 p e r cent, consols, w i t h long a n n u i t y . 3 p e r cent, c o n s o l s ; 5 p e r cents. 3 p e r cent, consols, w i t h long .imnuity. 3 p e r cent, consols; 4 p e r cents. 3 5.15 3.35 3.42. 3 p e r c e n t s . 3.33 Do. 3.24 Do. Do 5.05 In 1793 the total funded and floating debt of Great Britain was $1,239,372,170, the interest on which, at the several rates of 3, 3^, 4, and 5 per cent., amounted annually to 1)48,556,190. In 1817 the total debt, including exchequer bills, had reached the sum of 14,196,910,725, carrying an annual interest of $157,959,635. In 1857 theamouut ofthe funded debt, exchequer bills and exchequer bonds, was $4,040,543,610, the anhual interest npon Avhich was $142,750,195. The total debt had diminished in 1875 io $3,876,741,930, with an annual charge for interest and cost of management of $135,472,400; while in 1878 there appeared a slight increase, the amount of the debt being then $3,888,907,980, with interest and cost of management equaling $142^063,756. COMPTROLLER OF THE CURRENCY. Ill subsequent and larger loans were sold at 82.5 and 84.5 percent., Avhich was about equivalent to 6 per cent, bonds at par.* The following table exhibits the classification of the unmatured, interest-bearing bonded debt of the United States on August 31, 1865, when it reached its maximum, and on the first day of July annuall}^ I t appears from ofiicial documents t h a t the national debt of Great Britain, with its interest and cost of management, stood, at the dates named below, as follows: Principal. Year. 1775 . 1783 1793 1818 1857 . . . . 1861 1875 1878 I n t e r e s t and cost of raanagement. ^ £126, 842, 811 231, 843, 631 247, 874, 434 84(1, 582, 664 808,108,722 805, 664, 387 775, 348, 386 777, 781, 596 £ 4 , 703, 519 9, 065, 585 9, 711, 238 31, 485, 753 28, 550, (139 26,142, 606 27, 094, 480 28, 412,750 .Authorities. H o u s e of Commons d o c u m e n t , 1858. Do. Do. Do. Do. S t a t i s t i c a l a b s t r a c t , 1861. S t a t i s t i c a l a b s t r a c t 1875. AVbitaker's A l m a n a c k , 1879. Many of the loans which the debt comprised were what are known as perpetual loans aud annuities, some of which, as well as previous loaus, which then bore interest at the rates of 5 aud 4 per cent., were, during the twenty-three years from 1822 to 1844, inclusive, refunded from time to time into stocks bearing interest at the rate of •4, 3i, 3^, and 3 per cent. Duriug this period the principal of the debt was reduced ^5,251,900 only, but the annual saving to the government through refunding at lower rates of interest was $15,259,000. The refunding oi:)erations were contiuued subsequent to 1844, until in 1854 there remained no stocks bearing a greater interest than 3 per cent., except the new 3 | per cents, which were in 1855 also reduced to threes. In this process nothing was added to the principal of the debt. This inlormation is obtained from the standard authorities above referred to. ' It is here worthy of remark that the consols, standing in 1853 at £500,000,000, constituted at t h a t time 65 per cent, of the entire national debt. This 3 per cent, stock cannot under the conditions of its issue be redeemed by the governmeut without giving to its holders a full year's notice of payment. It is well understood, however, t h a t the government cannot with prudence or safety venture npon the bold policy to which the giving of such a notice would commit it, thereby assuming all the risks incident to a change of clrcumsfcances in the interval between notice aud time of payment. See Sir Stafford Northcote's " Twenty Years of Financial Policy," p. 222. The reserved option of redemption in the terms of the great war-loans ofthe United States is of much greater value to our governmeut thau is the virtual perpetuity of the British consols to the governmentof GreatBritain; for through this option the Treasury has been enabled to refund the outstanding bouds of the United States at the present IOAV current rate of iuterest. and this on notice so brief that no risk whatever was incurred thereby, while the British exchequer is in effect prevented from availing itself of any decline in the rates of interest, but must continue to pay 3 per cent, upon its enorinous amount of debt, though it might otherwise refund or borrow money for its redemxition. at a greatly reduced rate. The resulting savings arising out of that provision in our loans which authorizes the auticipation of th(3 time of their redemption may eventually wholly offset the excess in the rate of interest paid upon them over t h a t paid on the Briti.sh consols, Avhich excess is now, as to the greater part of our loaas, but 1 per cent, annually. *The following table in reference to the French loans' of 1870-'71-'72 has been compiled from data given in the May, 1.877, number ofthe Bulletin De Statistique et De Legislation Compar4e: D a t e of loans. A u g u s t 12,1870 J u n e 20,1871 J u l y 15 1872 K a t e of in- A m o u n t of loans ( l f r . = 19.3cts.) terest. 3 5 5 Total $256, 241, 635 536, 444, 639 799,121. 557 1,591,807,831 K a t e of inAraount received T o t a l amount t e r e s t rer e c e i v e d from for e a c b 100 alized t o loans. dollars of loan. investors. (lfr.=19.3cts.) $60. 60 82.50 84.50 $155, 282, 431 442, 56(5, 827 .675,2.57,715 1, 273,106, 973 P e r bent. 4.95 • 6.06 5.92 112 REPORT ON THE FINANCES. thereafter, ,together with the amount outstanding on ISTovember 1 of the present year: Date. Aug. July July July July Julv July July July July July JulV July July July !Nov. ,1865. 1866 ., 1867 . 1868 . 1869 . 1870 . 1871. . 1872 .. 1873 ., 1874 .. 1875 .. 1876-.. 1877 .. 1878 .. 1879 .. 1879 . 6 p e r cent, bonds. 5 p e r cent, bonds. 518, 091 1, 008,388, 469 1, 421,110,719 1, 841,.521,800 1,886, 341, 300 1, 764,932, 300 1, 613,897, 300 1,374, 883, 800 1, 281,238, 650 1,213, 624, 700 1,100, 86.1, 550 984, 999, 650 854, 621, 850 738, 619, 000 310, 932, 500 283, 681, 350 $199, 792,100 198, 528, 435 198. 533, 435 221, 588. 400 221, 589, 300 221, .589, 300 274, 236, 450 414, 567,300 414, 5(57, 300 .510, 628, 050 607, 132,750 711, 68f), 80.0 703, 266, 6.i0 703, .26(), 650 646, 905, 500 508, 440, 350 4^ p e r cent, bonds. 4 p e r cent, bonds. Total. $1,108, 310,191 1, 206,916, 904 1, 619,644,1.54 2, 063,110, 200 2,107, 930, 600 1, 986,52 , 600 1,888, 133,750 1, 789,451,100 1, 695,805, 950 1, 724,2.52, 750 1, 707,998, 300 1, 696,685, 450 1, 697'888; 500 m O , 000, 000 1, 780,735, 650 240, 000, 000 $98, 850, 000 1, 887,716, U O 2b0, 000, 000 679,878,110 967, 650 1, 782, 250, 000, 000 740, 845, 950 The refanding ofthe national debt commenced in 1871, at which time the national banks held nearly four hundred millions ofthe five and six per cent, bonds; and from that date to the present time they have held more than one-fifth of the interest-bearing debt of the United States. A large portion of the bonds held by them in 1871 bore interest at the rate of (i per cent, t h i s class of bonds has since been greatly reduced, and is now less than one-sixth of allthe bonds pledged for circulation, w^hile more than one-third of the amount consists of bonds beaiing interest at 4 per cent. This will be seen from the following table, which exhibits the amounts and classes of bonds owned by the banks, including those pledged as security for circalation and for public deposits, on the first day of July of eacli year since 18G5, and upon November 1 of the present year: U . S. b o n d s b e l d as secui-ity for c i r c u l a t i o n . Date. 6 p e r cent, bouds. J u l y l , 1865 J u l y l , 1806 J u l y 1, 1867 J u l y 1, 1868 . . . . . J u l V 1,1869 . . . . . J u l y l , 1870 J u l y l , 1871 . J u l y 1,1872 J u l y 1, 1873 J u l y l , 1874 J u l y 1, 1875 J u l y l , 1876 J u l y l , 1877...... J u l y l , 1878 J u l y l , 1879. l^ov. 1, 1879 $170, 382, 500 241,083,500 251, 430, 400 2.50, 726, 9.50 255,190, 350 247, 355, 350 220, 497, 750 173, 251, 450 160, 923, 500 154, 370,700 136.9.55,100 109, 313, 450 87, 690, 300 82, 421, 200 56, 042, 800 59, 315, 450 5 p e r cent, bonds. 4h p e r ceut. bouds. 4 p e r cent, bonds. Total. U. S. b o n d s beld for 0tberi)urposes at neares t date. Grnnd total. $65, 576, 600 $235, 959,100 $155, 785, 750 $391, 744, 850 86, 226, 850 327,31.0,3.50 121,152, 950 448. 463, 300 89,177f 100 340, 607, 500 84, 002, 650 424,610,150 90, 768, 950 341,49.5,900 80, 922, 500 422,.418, 400 87, 661, 250 342, 851, 600 55,102,000 397, 953, 600 94, 923, 200 342, 278, 550 43, 980, 600 386, 2.59,105 359, 885, 550 39, 450, 800 399 336,350 139,387,800 380, 440, 700 31, 868, 200 412; 308, 900 207,189, 250 390, 410, 550 25, 724, 400 416,134,950 229, 487, 050 391,171, 200 25, 347,100 416, 518, 300 236, 800, 500 376, 314, 500 26, 900, 200 403 214, 700 239, 359, 400 232, 081, 300 341, 394, 750 45,170, 300 386, 565, 050 206.651,0.50 $44,'372,'250 338, 713, 600 47, 315, 050 386, 028, 650 199, 514, 550 48,44S,sH50 $i9,'162,000 349, 546, 400 68, 850, 900 418, 397, 300 144.61(5,300 35, 056. 5.50 118, 538, 950 354, 254, 600 76, 603,'520 430,858,120 131, 301, 600 34, 866, 950 138, 318, 400 363, 802, 400 71,181, 250 434,983,650 i t is certain that if the national banking system had not existed, and United States notes had alone been issued, the refunding operations here described and the consequent hirge reduction of interest upon the public debt would not have been possible. The Secretary ofthe Treasiiry, in his report for 1862, said that among the advantages which would arise from the establishment ofa national banking system would be the fact that the bonds of the government would be required for banking purposes; a steady market would be, COMPTROLLER OF THE CURRENCY. / ' 113 • established, and their negotiation greatly faci^ Nted -, a uniformity of price for the bonds would be maintained at a i 6 above that of funds of equal credit, but not available as security foi-x .'rculation. ^' I t is not. easy to appreciate the full benefits of such conditions to a government obliged to borrow;" it will ^'reconcile, as far as practicable, the interests of existing institutions with those of the whole people;'' and will suj)ply " a firm anchorage to the union of the States.^' There is no doubt that these expectations have been more than realized, and that the credit of the United States and its ability to borrow money at low rates of interest have been greatly enhanced by placing its bonds in large amounts in the possession of the leading monetary institutions of nearly every city and village in the Union. The wisdom of Secretary Oha;se, and of others who, in 1862, advocated the establishment of a national banking system, was long since recognized by those who understood the principles which should govern a sound system of currency and banking; but, in the light of the extraordinary financial operations of the government during the present year, the wdsdom and the economy of the system, both for the government and the people, are now more apparent than ever. The governinent has still outstanding $273,631,350 in six per cents, and $508,440,350 in five per cents, aU of which will mature in 1881. The refunding of these bonds into four per cents will save $10,558,030 in interest annually. The credit of the government is now such that it is not improbable that long before the maturity of the fours the present debt may be refunded into three and a half per cent, bonds, which is one-half of one per cent, more than the rate of the English consols, thereby saving a large additional amount of interest. RESUMPTION OF COIN PAYMENTS. The act of January 14, 1875, required the Secretary of the Treasury, on and after January 1, 1879, to redeem " in coin the United States legal-tender notes then outstanding, on their presentation for redemption at the office of the assistant treasurer of the United States in the city of New York, in sums of not less than fifty dollars.'' At the time of the passage of this act the leading industries and general business of the country were greatly depressed. The agricultural classes were largely in debt, and the failures of mercantile establishments and manufacturing corporations in the three years previous represented more than $500,000,000. During the succeeding years an era of economy supervened, agricultural products greatly increased,^ and the balanceof trade was turned largely in our favor—the excess of exports over imports for the fiscal year 1876 being more than seventy-nine milUons, in 1877 more than one hundred and fifty one millions, in 1878 exceeding two hundred and fifty-seven millions, and for the year ending September 30 last more than two hundred and ninety-four millions. For 1878 the ^excess was, it will be seen, more than three times as great as that of 1876, and more than two-thirds greater than that of 1877. t * The Department of Agriculture estimates the product of corn in 1878 at 1,338 millions bushels; wheat, 420 millions; oats, 414 millions; barley, 42 millions; rye, 26 millions; cotton, 2,347 millions pouuds; tobacco, 393 millions pounds. Theestimates for 1879 a r e : Corn, 1,601 millions bushels; wheat, 449 millions; oats, 364 millious ; barley, 40 inillions; rye, 24 millions; cotton, 2,217 millions pounds; tobacco,384 millions pounds.. ^ tExcess of exports in fiscal year 1876, |79,643,481; in 1877, $151,152,094; in 1878, $257,814,234; during the calendar year 1878, $305,279,590; and during the fiscal year 1879, $264,661,666. 8 F 114 REPORT ON THE FINANCES. The resumption act not only fixed the day of resumption, but autho ized the Secretary, in order to prepare and provide therefor, to use ^n surplus revenues not otherwise appropriated, and to issue, sell, and di pose of, at not less than par in coin, any of the bonds of the Unite States described in the act of July 14, 1870. Under this act, the Seer tary in 1877 sold at par in coin fifteen millions of four-and-a-half an twenty-five millions of fours; and in April, 1878, he sold fifty millions four and a half per cents at a premium of one and a half per cent. The co in the Treasury continually increased, so that on the day of resump tio the Secretary held one hundred and thirty-five millions ($135,382,639) of gold coin and bullion, and, in addition, over thirty-two millions ($32,476,095) in silver coin and bullion, the gold coin alone being near y| equal to forty per cent, of the United States notes then outstanding. The banks in the cities of IsTew York and Boston strengthened thei hands of the government by their action in October, 1878, an account| of which will be found in my report for that year. The assistant treasurer of the United States at 'New York became a member of the clearing-house, thus facilitating the business of the banks with the government, and the banks agreed to receive United States notes, not only fori their ordinary balances, but in payment of the interest upon the piibl c debt and of other coin obligations of the government. The banks of| the country at the date of resumption held more than one-third of the outstanding Treasury notes; but they had so much confidence in the ability of the Secretary to maintain resumi)tion that none were presented by them for redemption. The people also, Avho held more than three hundred millions of the issues of the national banks, which issues were based upon the bonds of the nation, preferred such notes to coin itself. There Avas, therefore, ho demand for payment of the notes of the government, and the gold coin in the Treasury, which amounted to one hundred and thirty-five millions on the day.of resumption, increased more than thirty-six millions in the next ten months, the amount held on the first day of November, 1879, exceeding one hundred and seventyone milhons. The Comptroller has for a series of years presented in his reports the following table, showing the amount of Treasury notes and of nationalbank notes outstanding at the dates named therein, with the currency price of gold and the gold price of currency at the same dates: U n i t e d S t a t e s issues. Date. L e g a l tender notes. A u g u s t 31, 1 8 6 5 . . . J a n i i a r y 1, 1866... J a n u a r y 1, 1867... J a n u a r y 1, 1868... J a n u a r y 1, 1869... J a n u a r y 1, 1870... J a n u a r y 1, 1 8 7 1 . . . J a n u a r y 1, 1872... J a n u a r y 1, 1873... J a n u a r y 1, 1874... J a n u a r y 1, 1875... J a n u a r y 1, 1876... J a n u a r y 1, 1 8 7 7 . . . J a n u a r y 1, 1878... J a n u a r y 1, 1879... N o v e m b e r 1,1879. $432, 757, 425,839, 380, 276, 356, 000, 355, 892, 356, 000, 356, 000, 357, 500, 358, 557, 378, 401, 382, 000, 371, 827, 366, 055, 349, 943, 346, 681, 346, 681, Old demand uotes. Practional curreucy. jSTotes of nat i o n a l banlcs I includiug gold n o t e s . $402, 965 $26, 344, 742 $176, 213, 955 $635, 719, 266 392. 070 26, 000, 420 298, 588, 419 750, 820, 228 221 632 28, 732, 812 299, 846, 206 709, 076, 860 31, 597, 583 299, 747, 569 687, 504, 279 159,127 128, 098 34, 215, 715 299, 629, 322 689, 866,110 113, 098 39, 762, 664 299, 904, 029 695, 779, 791 101, 086 39, 995, 089 306, 307, 672 702, 403, 847 92, 801 40, 767, 877 328, 465, 431 726, 826,109 84, 387 45, 722, 061 344, 582, 812 748, 947,167 79, 637 '48, .544, 792 350, 848, 236 777, 874, 367 72, 317 46, 390, 598 354,128, 250 782, 591,165 69, 642 44,147, 072 346, 479, 756 762, 523, 690 65, 462 26, 348, 206 321, 595, 606 714, 064, 358 63, 532 17, 764,109 321, 672, .505 689, 443, 922 62, 035 16,108,159 323, 791, 674 686, 642, 884 61, 365 15,710,960 337,181, 418 699, 634, 759 Currency G-old p r i c e price oi of $100 $100 gold. c u r r e n c y $144 25 144 50 133 00 133 25 135 00 120 00 110 75 109 50 112 00 110 25 112 50 112 75 107 00 102 87 400 00 • 100 00 $69 69 75 75 74 83 32 20 18 04 07 33 90 2S 9 1 32 89 2i 90 7C 8 8 8£ 88.6£ 9 3 4f 97 21 1 0 0 OC 100 (Dc 115 COMPTROLLER OF THE CURRENCY. On July 1,1864, one hundred dollars in gold was worth $250 in Treasury notes; on August 31, 1865, the day when the public debt was at its maximum, it was worth more than $144; and on January 1,1870, $120; since which time the Treasury notes and the national-bank notes have gradually increased in value, until the beginning of the present year, Avhen they each reached the same purchasing power as gold coin. This m2ij be seen by the following table, which gives the average value of the standard gold dollar, in legal-tender paper dollars, during the month of July in each year, from 1864 to 1878, and also on January 1 ofthe present year: -^ 1864. 1865. 1866. 1867. 1 1868. 1869. 1870. 1871. 1872. 1873. 1874. 1875. 1876. 1877. 1878. 1879. Cts. Cts. Cts. Cts. 1 Cts. Cts. Cts. Cts. Cts. Cts. Cts. Cts. Cts. Cts. Cts. Cis. 258.1 142.1 151.6 139. 4 ! 142. 7136.1 116.8 112.4 IU. 3 115. 7 110.0 114. 8 112.1 105.8 100.6 100. 0 • During the last teu years the average amount of coiu held in the Treasury has been about ninety millions, while the average amount held in the reserves of the banks, which was largely composed of special deposits and subject to special check of the depositor, was about twentyfive millions. During this whole period gold coin has been used by the banks as a reserve in comparatively small amounts, and by the people only in the payment of customs duties and in the purchase of foreign exchange. If it was used for other home purposes, it was first converted into paper money; but since the day of resumption the Treasury note and the national-bank note have been generally preferred in business transactions to coin itself. The old forms of tables, giving the amount and kinds of currency in circulation, are now obsolete, and must be superseded b^^ new ones, which shall include not only the paper currency but also the coin of the country. The total amount of-the circulating medium cannot, for this reason, be hereafter accurately given, such total being afiected by estimates of the amount of coin in the countr}^. The latter amount is estimated by the Director of the Mint to have been four hundred and twenty-seven millions on the first daj^of iTovember in this year, of Avhich amount one hundred and twenty-one millions v^as in silver coin. If this estimate is correct, the circulating medium on that date was composed as follows: Treasury notes outstanding JSTational bank notes outstanding Gold in the Treasury, less certificates held by the banks.. Silver in the Treasury Coin in the banks (October 2) Estimated amount of coin held by the people Total. $346, 681, 016 337,181, 418 157, 960,193 50, 078, 620 42,173, 731 231,478,515 1,165,553,493 The estimated total currency of the country on ISTovember 1 thus appears to have been more than elcA^en hundred and sixty-five miJlions, which amount is at least three hundred and eighty millions in excess 116 REPORT ON THE FINANCES. of the highest point reached between the suspension and the resumption of specie payment. . ' It Avas generally supposed that upon the day of resumption the amount of available currency Avould be immediately increased by the addition to its volume of the coin of the country; but it is now e^ddent that this expectation has not been realized. The Treasury owns nearly one hundred and fifty-eight millions of gold coin and bullion, a large portion of Avliich is a basis for the redemption of the Treasury notes outstanding, and fifty millions of standard silver dollars and subsidiary c8inage, none of which can properly be included in the aggregate cuxulation. The average gold coin held by the national banks as a reserve during the three years ending January 1, 1879, was about thkty millions. The^coin upon the Pacific coast, in the State of Texas, and in the mountain^ districts of the country, amounting to say forty milhons, as well as the subsidiary silver coin outstanding, amounting to thirty millions, had been continually in circulation previous to the present yeap. Deducting these amounts from the total, there would remain but about one hundred and twenty miUions of currency in excess of prcAdous years. Of this excess a large amount has probably been for many years hoarded by the people^now estimated to number forty-nine millions—and, if so, does not enter into circulation in any greater degree than before resumption. The hoarders of coin and of small saAdngs are a timid class, who do not easily part with their treasure. The amount of coin and currencj^ in actual circulation at the present time may not therefore be greatly in excess of the average amount during the last five years. I t is probable that at no time since the date of suspension has so large -an amount of currency been needed for the legitimate purposes of business as during the present year. The harvests have been unprecedentedly large, while the value of agricultural products, owing to the short crops of other nations and the consequent demand for our products abroad, has greatly increased. There has also been a rise in wages, in the A-alue of manufactured goods, in provisions, and ih the prices of iron and*other commodities. If this statement is correct, it will explain the scarcity of currency in the city of ISTew York during the last three months, and the consequent demand for additional issues; the amount of national-bank notes issued from September 1 to INovember" 26, being nine millions, which is more than the increase for the ten months preceding. It will also explain why the banks in ISTeAV York City have grudgingly presented for payment their legal-tender certificates, and have been obliged^ to designate one of thek number as a depository for gold, on which Clearing-House certificates are issued and used in settling their exchanges, -N'otwithstanding the large increase of specie in the country during the past year, the amount held by the banks has by no means increased in proportion. The amount held on October 1, 1878, was $30,688,606; on the 1st day of January, 1879, $41,499,757; and on the 2d of October last, $42,173,732—showing an increase on that day of less than scA^en hundred thousand dollars since the date of resumption. The more recent returns, however, of the national banks in the city of 'New York to the clearing-house, show a further increase of $27,633,032 of specie, and a loss in legal-tender notes of $16,578,284, for the week ending ISTovember 22. The amount of cash reserve now required to be held by all of the baiuks is less than ninety-four millions, as will be seen by the following table, Avhich gives the amount held and required for the banks in the city 117 COMPTROLLER OF THE CURRENCY. of ISTew York, in the reserA^e cities, and for the other banks, separately, at the dates named: IS'EW TOPK CITY. O c t o b e r 1, 1878. Snecie .. Illegal-tender notes IJnited States certiiicates of deposit j^mount beld Amount required • J a n u a r y 1, 1879.' . O c t o b e r 2, 1879. $13, 294, 602 14, 893, 468 21, 660, 000 $18,161, 093 16, 351, 562 18, ^95, 000 $19, 349, 868 19, 738, 584 ^ 2 , 900, 000 49, 848, 070 46, 374, 285 .53, 207, 655 46, Oil, 118 51, 988, 452 51, 408, 068 9, 405, 014 19, 413, 438 10, 035, 000 11, 760, 521 21, 811, 373 9,185, 000 „ 11,348,903 19, 819, 282 13,135, 000 38, 853, 452 23, 492, 748 42, 756, 894 23, 496, 840 44, 303,185 26, 952, 810 OTHER RESERVE CITIES. " Specie Legal-tender notes TJnited States certificates of deposit Aniount beld. .• Amountreciuired - - ........... ' .. STATES A:^rD TERRITORIES. Specie .. •Eegal-tender notes U n i t e d S t a t e s certificates of d e p o s i t •> Amount beld. UNITED Specie Pegal-tender notes . . . . . United S t a t e s certificates of d e p o s i t A m o u n t beld Amount required . 7, 988, 990 30, 064, 665 995, 000 11,578,143 32,374,428 1, 035, 000 11 474 961 29, 628, 096 735, 000 39, 048, 655 13, 738, 718 44, 987, 571 13, 807, 826 41, 838, 057 15, 419, 246 30, 688, 606 64, 371, 571 32, 690, 000 41, 499, 757 70, 537, 363 28, 915, 000 42,173, 732 69,185, 962 26, 770, 000 127, 750,177 83, 605, 751 140, 9.52,120 83, 315, 784 138,129, 694 93, 780,124 S T A T E S. . ' . . : ....... From this statement it will be seen that the banks outside of the large cities held, on October 2, $11,474,961 of specie, which nearly equals three-fourths of the full amount of cash reserve which they are required to hold, while the banks in New York and in the other principal cities held in specie considerably less than one-half of their legal cash reserve. The Comptroller urgently recommends that all the national banks shall take advantage of the present influx of gold to accumulate in their vaults an amount equal to the total cash reserve required by law. He indulges the hope that the.reports of a.nother year may show them to be possessed of at least $100,000,000 of gold coin. If this coin, which is still flowing into the Treasury, shall also be largely accumulated by the banks, it will be more- likely'to become diffused among the people. This would certainly be the case if the smaller denominations of notes Avere withdrawn from circulation, which might perhaps be done without inconvenience if^ postal-orders were issued in small amounts and a t a minimum cost at every post-office. The addition of coin to the circulation should have the effect to reduce the amount of paper money if in excess of the wants of business, and to send homeward for redemption the legal-tender and nationalbank notes. If the legal-tender notes accumulate in the Treasurs^-,, they cannot again be issued except upon requisitions of the gOA^ern 11& REPORT ON THE FINANCES. « ment; and the accumulation of such notes has a tendency to induce extravagant appropriations and expenditures by Congress. The law, as it hOAv stands, requires that the Secretary shall keep in circulation the legal-tender notes, which is not practicable; and their accumulation by him will lead to constant agitation of the subject in Congress and among the people, which discussions will encourage speculation and disturb the current of legitimate business. With the influx of specie it is important that such a paper currency shall be in circulation as can be easily retired, if in excess. A currency is needed Avhich will act automatically and as a regulator, like the governor in machinery or. the balance-wheel in the chronometer. The best currency is that which will most readily adapt itself to the needs of business, and its relative cost should not be taken into consideration; for the best money is always the cheapest in the end. This principle was recognized by those Avho reluctantly^ recommended and voted tor the legislation Avhich authorized the issue of Treasury notes as a temporary measure; and a revicAv of the debates in Congress, Avhile that measure Avas pending before it, will show that the principal objection to the bill was acknowledged, both by those who faA^ored and those who opposed its passage, to be that the gOA^ernment circulating note did not haA^e the chief attributes of a perfect currency, and that its issue would tend to disturb A^alues, and thus derange the commerce and business of the countrj^ ^' The Treasury note represents no business capital, and its volume is controlled, not by the demand|j of business and the Avants of the country, but by the views and action of political parties, and of Congress. The national-bank note, on the other hand, is based upon eight hundred and thirty millions of bills receivable, and an equally large amount of other assets, a large proportion of which is readily couA^ertible into money. The deposits and balances of the banks amount to more than six hundred niillions, and their circulating notes are promptly redeemed, Avith but little expense to the holders, through the use of their assets, Avhich represent their capital, surxilus, and deposits. If more notes are issued to the banks than are necessary for the requirements of business, they can be easily retired. If a larger amount is desired, they can be readily obtained upon application in the manner proAdded by law.'^* The Comptroller cannot too urgently ask the attention of Congress to the folloAving AdcAvs of Secretary Chase, as submitted by him in his annual report for 1862, just previous to the passage of the national-bank act: ^^The recommendations, now submitted, of the limited issue of United States notes as a wise expedient for the present time, and as an occasional expedient in future times, and of the organization of banking associations to supply circulation secured by national bonds and convertible always into United States notes, and, after resumption of specie payments, into coin, are prompted by no faA^or to excessive issues of any description of credit moneys. " O n the contrary, it is the Secretary's firm belief that by no other path can the resumption of specie payments be so surely reached and so certainly maintained. United States notes, receivable for bonds bearing a secure specie interest, are next best to notes convertible into coin. The circulation of banking associations organized under a general act of Congress, secured by such bonds, can be most suiely and safely maintained at the point of. certain convertibility into coin. If temporarily these associations redeem their issues with United States * Comptroller's report for 1878, p. 22. COMPTROLLER OF THE CURRENCY. 119 notes, resumption of specie payments will not thereby be delayed or endangered, but hastened and secured; for just as soon as Adctory shall restore peace, the ample re Avenue, already secured by wise legislation, will enable the gOA^ernment, through adA^antageous purchases of specie, to replace at once large ainounts, and, at no distant day, the whole of this ckculation, by coin, Avithout detriment to any interest, but, on the contrary, with great and manifest benefit to all interests. " The Secretary recommends, therefore, no mere paper-money scheme, but, on the contrary, a series of measures, looldng to a safe and gradual return to gold and silver as the only permanent hasis, standard., and measure of values recognized hy the Gonstitution, "Ko country possesses the true elements of a higher credit; no country, in ordinary times, can maintain a higher standard of currency and payment than the United States." Eesumption has made the dollar of the same value at home and abroad. The refunding of the debt has placed idle funds in the hands of such holders as haA^e declined to reinvest in the four per cents. The good harA^estSj the shipment of produce, the large annual production of gold and silver from the mines, and the importation of gold, which still continues, will certainly make money abundant, and have already stimulated speculation to an unhealthy degree, and will be likely to do so in the future. ISTot long hence the specie Avhich has so long been hoarded, or which has hitherto been used only in payment to the government of duties on imports or in the purchase of foreign exchange, wiU be brought' into general use. The efiect of the present increasing and prospective redundancy ofthe currency* is manifest in the transactions ofthe stock-' board during the last three months, which are said to be the largest on record, one-fourth of which are estimated to haA^e been based upon stocks which pay no diAddends. Theincrease in the market value of many classes of bonds Avhich haA^e heretofore been considered almost worthless has brought upon the inarket a flood of shares of mining and other corporations, inany of them fictitious. The necessaries of life, as well as articles of luxury, have sympathized in the upward moveinent, and their prices, if not already too high, are likely soon to rise beyond a reasonable limit. The influx and accumulation of a large amount of specie may thus result in injury instead of benefit. The payment by the French nation to Germany of five thousand inillions of francs brought about an unhealthy rise of prices and deranged the business of the Oerman Empire, Avhile France, notwithstanding the prompt liquidation of its enormous obligation, speedily recovered its wonted prosperity. In England, also, immediately after resumption, a similar financial rcAailsion was experienced. Leone Levi, in a late address,t refers to this subject as follOAVs: "Soon after the war ended, the Bank of England was ready to resume cash payments, and, Avith an increasing demand for produce and manufactures, conimerce immediately rcAdved. For a time the alternation of revival and depression continued; but from 1820 to 1824 trade was in a prosperous condition; the crops were abundant, and with an ad-dition in the amount of bullion in the Bank of England, from £1,746,000 *.The total amouut of specie imported from Jauuary 1, 1879, to November 15, is :$75,512,392j of wMcli $65,124,200 lias • arrived siuce August 1. Tke production of precious metals for the fiscal year 1879 is estimated by the Director of the Mint a t $79,711,990, of Avhich $38,899,858 is gold aud $40,812,132 is silver. t Lecture ou Commercial Crises, delivered at Kiug's College, London, by Professor Leone Levi, Bankers' Magazine, New York, vol. xiii, i^. 43. 120 REPORT ON THE FINANCES. in February, in 1820, to £6,092,000 in February, 1824, and a large addition to its deposits of from £5,000,000 in 1820, to £11,000,000 in 1824, speculation began to set in in earnest. Other circumstances contributed to this end. Government came forward in 1823 with a measure for the reduction of the rate of interest from five to four per cent, upon consols to the amount of £135,000,000, and in 1824 for the reduction of four to three per cent, on £80,000,000. The acknowledgment of the South American Eepublic introduced a UCAV kind of commerce in loans and mining in foreign countries. A large nuinber of companies were started for railroads, mining, canals, insurance, banking, gas, &c., six hundred and tAventy-four in number, requiring a nominal capital of £372,000,000, for which, however, no more than £17,600,000 were actually advanced; and prices of all commodities, and of securities of aii kinds, rose enormously, but the fall was as precipitous as the rise was unjustified, and to unbounded credit and confidence there soon succeeded a general distrust, during which the best securities could not be converted and- goods Avere rendered unsalable." History repeats itself; and the experience of England, and of Germany, and our OAVU experience in former days, seem not unlikely again to be repeated in this country. A currency Avhich will adapt itself to the existing circumstances is particularly needed at the present time, and it Avill be the proAdnce of Oongress to watch carefully the indications of an excess of paper money, and fo prevent by proper legislation the mischief and danger of a redundant and non-elastic currency. PROPOSED SUBSTITUTION OF TREASURY-NOTES FOR NOTES. \ .?, %. '^1 H; •^ NATIONAL-BANK In order to saA^e the net amount of about tweh^e millions of interest now paid by the government upon the bonds deposited by the banks to secure their circulating notes, it is proposed to abolish the national• banking system, and to substitute additional Treasury-notes for the notes now issued by the banks. Such a measure, if adopted, Avill not result in profit to the government, because nearly the amount 'UOAV paid in interest to the banks, as has already been seen, can be saved to the gOA^ernment by refunding the bonds bearing a higher rate of interest into those bearing interest at four per cent., while a further issue of Treasury-notes must necessarily arrest the operation of refunding the debt. The ainount of annual loss, if refunding cease, will be $10,558,030; but if refunding continue and the Avhole debt shall be eventually funded into three and one-half per cent, bonds, there wiU be an additional saAdng of nearly ten millions. Moreover, if, as is proposed in this measure, the government should issue all the circulation of the country in the form of Treasiiry-notes, it must keep onhand at all times, to protect this circulation, a large amount of reserve, the interest on which would "amount to nearly as much as the net interest now received by the national banks. The abolition of the national banking system would be immediately followed by the repeal of section 3412 of the Eevised Statutes, imposing a tax of 10 per cent, upon State bank notes, thus reviving the diverse banking systems of forty different States, and with them the former rates of exchange between the commercial centers of the country and other points. The banks now organized under the national system would reorganize under the laws of the scA^eral States in which they '" •"^S>y-^»'; COMPTROLLER OF THE CURRENCY. 121 are located; and under those laws they Avould be enabled to realize much greater profits than they now receive, not alone from circulation, but, in addition, from the sale, at high rates, of sight bills of exchange, rendered necessary to internal commerce by the inequality in A-alue, in different localities, of circulating notes issued under widely differing State systems. On the other hand, the people would be subject to losses, both on circulation and exchange, exactly corresponding to the gains of the banks. In further support of these propositions, the Comptroller ventures to repeat what has been previously stated by him: " The gOA^ernment, unhke the banks, does not receive deposits nor loan money, and it must therefore provide for the redemption of its notes from its OAVU resources.- If it issues a small amount of currency, the amount of reserA^e required and the expense of redemption will be sm'aU;. but if it issues the whole paper currency of the country, it must, when specie payments are reached, maintain a ratio of reserve equal to that of the Bank of England or the Bank of France, which is not less in either case than one-third of the amount of its issues. If the amount of gOA'ernment issues should reach 668 millions, which is the present volume of the currency, a reserve of 223 millions in Coin must be kept on hand. The interest upon this amount of reserve, at the lowest government rate (4 per cent.), would be $8,920,000. The expense of issuing the notes and the cost of redemption Avould also be large, and the total cost to the gOA^ernment, including the hazard attending the issue of so large an amount of money, would not probably be less than 10 millions of dollars annually. This amount is but three millions less than that of the net annual interest received by the national banks upon their bonds, and is much greater than the profits derived by them from their entire circulation. « " If the amount of Treasury notes should be largely increased, and be subject, as it will, to additional increase by each successive Congress, the ability of the government to redeem its issues will in time be questioned^. . and the amount and proportion of reserA^e required will need to be increased, thus padding materially to the expense attending such issues, meaiiAvhile saAdng the gOA^ernment but little, if anything, by the transaction. • o " I t is belicA^ed by the Comptroller that this proposed substitution is impracticable, and that the repeal of the national-bank act will result, not in an additional issue of Treasury notes, but in the repeal of section 3412 °of the EcAdsed Statutes, consisting of four lines in the Statute Book, which is as follows: " ^ SEC. 3412. Every National banking association. State bank, or State banking association, shall pay a tax of ten per centuin on the amount of notes of any person, or of any State bank or State banking association, used for circulation and paid out by them.' "The South desires the repeal of this section, because it belicA^es that such repeal will be followed by the organization of numerous banks of circulation under State charters, which will, for the time being, at least, stimulate the business of that section of the countiy. " The East and the North, and a portion of the West, in the event of the repeal of. the National Banking System, Avill join with the South in the repeal of this section, but for a different reason, namely, hs> prevent the increase of the issue of GoA^ernment notes, because the^^ believe that a system of State bank notes, at the worst, can only injure the credit of individuals, Avhile the unrestricted issue of United States notes Avill be likely to produce a new suspension of specie payments, and thereby in- 122 REPORT ON THE FINANCES. jure, not only CA'ery kind of private business, but also the credit of the nation. Those persons in the West who haA^e been erroneously led to believe that the downfall of the National Banking System will be followed by an additional issue of greenbacks, will certainly find upon investigation that State Bank notes, not United States notes, will be almost immediately substituted for the present uniform National currency, accompanied Avith an increase in the cost of exchange, losses to the bill holders, and other evils which are inseparable from such issues. " I n New York and Massachusetts, Wisconsin, Minnesota, foAva, and other States, proAdsions either of law or of the constitution now exist, which, prohibit the issue of circulating notes unless secured in a manner similar to those issued under the provisions ofthe national banking system. • As a consequence of these laws and constitutional provisions, the bonds noAv held in the Treasury at Washington will be largely transferred to the capitals of many of the States, the result being that while, cohtrary to the expectation of many, no great saAdng of interest to the gOA^ernment will ensue, the circulating notes of State associations, secured and unsecured, will soon fill the places now occupied by the uniform circulation of the national banks. But CA^^en if this circulation shall all be well secured, it Avill be impossible, under the A^arying legislation of different States, to secure ihe issue of a homogeneous currency of equal value throughout the country. Many useful restrictions may be adopted, but it woulcl be hopeless to expect all the States to agree upon a central point of redemption outside of their own respective boundaries, or upon a uniform s^^stem of cash reserA^e, or upon similarity in form of public statements. State lines, as formerly, will bound the field of circulation of many of the Southern and Western issues, while the notes of New York and NCAV England will not only monopolize the field within their OAvn boundaries, but will successfully contest the privilege of circulation in those States remote from the commercial centers, which have no Eastern agency for the redemption of their notes. Eastern communities will suffer comparatively little from the unsound issues of other States, but those Avhich are less favored Avith capital will, as of old, be the dhosen field for the establishment of illegitimate corporations. * The. cost of exchange, which under^the present s^^stem has, during the last fifteen years, nearly disappeared, Avill be again revived. The rate will not, perhaps, be so large as in former times, but yet large enough to be a grievous burden upon the business of the country. " Fewpersons have a just conception of the many advantages posse'ssed by a homogeneous currency, fully secured, the issue of a single system, redeemable at a common point, and exempt from the discount occasioned by an irregularity of value in different localities. Great pains have been taken to obtain an estimate of the amount of exchange issued annually upon New York by the Western and Southern States. The amount drawn upon New Ygrk alone is estimated at nearly three thousand millions of dollars annually; and it will not probably be an exaggeration to say that not less than four thousand millions of dollars are annually drawn ill exchange by the West and South upon the East. The amounts drawn upon each other by the banks in the commercial cities and States of the East is also great.* In 1859 the average cost of Southern and Western exchange upon New York was not less than from 1 to 1^ per cent. If this latter rate should be restored, the cost of exchange alone would be sixty millions annually; while if the rate were but one-half of one per cent., which was the current rate in the State of NewYork in the year 1860, a loss in exchange of twenty millions annually would en- COMPTROLLER OF THE CURRENCY, . 123 sue, to say nothing of the loss incident to the issues of banks not propeii}' organized. "The overthroAv of the present well-established system, Avith its abundant capital and reserve, its large surplus, and its Avise proAdsions, will be succeeded, either by two kinds of government notes, one or both at a discount for gold and of unequal current value, or by circulating notes issued under State aulhority. Either system will be bad. The one will be subject to the changing opinion of each successive Congress, and the other to the independent caprice of the legislatures of forty States. "The proposition is to save money to the gOA^ernment, by placing the principal existing monetary institutions of the country in liquidation at a time when specie payment is assured, and the nation has just entered upon a new career of prosperity. There Avill be no saAdng to the goA^ernment, but a loss of millions of dollars annually to the people, which loss will increase yearly with the growth of business and commerce between the different States." THE VALUE OF CIRCULATION TO THE NATIONAL BANKS. The Comptroller has, in prcAdous reports, given tables showing the profit upon national-bank circulation. The refunding operations of the gOA^ernment and the consequent redaction in the rate of interest upon the bonds held by the banks as security for theh* circulating notes having diminished this profit, and the expectation that the further refunding of the public debt Avill dinunish it 3^et more, render it necessary to again refer to the subject. The total amount of interest annually received by national banks upon the bonds deposited for the security of their circulation on November 1, ultimo, Avas $17,152,396.75, as will be seen by reference to a table on page 27. If from this amount be deducted the interest upon that portion of these bonds on which the banks receive no circulation, namely, 10 per cent ($1,715,239.67), and the tax upon circulation of one per cent. ($3,274,221), there wiU remain $12,162,936, which was the net amount of interest receiA^ed by the banks on that portion of the bonds deposited, equal to 90 per centum of the whole, Avhich' represents the entire amount on Avhich the banks receive any additional income through the issue of circulation. The banks now hold $7,227,700 of called bonds, Uve and six per cents, upon which interest has ceased, Avhich are classified as four per cents in the above calculation. The^ otherfiA^eand six per cent, bonds held by the banks, with the exception of the Pacific Eailroad bonds, amount ing to $4,465,000 only, known as currency sixes, will be payable by the government in a little more than a year, and will then be converted into bonds bearing a loAver rate of interest. If all are converted into four per cent, bonds, the net amount of interest received by the banks, after making the same deductions as before, will be $9,822,666. If the present capital of the national banks invested in bonds were loaned directly upon commercial paper, or upon bonds and mortgages, at eight per cent, it would yield annually $29,722,656. The net interest to be deriA^ed from four i^er cent, bonds amounts, as has been seen, to $9,822,666, and the interest upon the circulation issued upon these bonds when loaned^ at eight per cent, amounts to $24,884,084, the interest on the bonds and the income on circulation making a total net income of $34,706,750. The amount by which this latter sum exceeds that Avhich the banks ma^^ deriA^e from loaning their capital directly on commercial paper, or on bonds and mortgages, is $4,984,094, and represents the profit oh circulation. It is equal to 1.3 per cent, on the capital invested in bonds. The folio AV 124 REPORT ON THE FINANCES. ing statement presents in one group the figures by which these results are obtained: The interest at 8 per ceut. per annum on the loanable amouut of circulationis ' $24,884,084 The interest ou the bonds deposited to secure the circulation when fuuded into 4 j)er cents, is 14,552,096 Gross amouut received by the banks from bonds and loanable circuiatiou. From which dednct one per cent, ofthe issuable amount of circulation as the tax thereon and the interest. on the margin in bonds deposited 39,436,180 4,729,430 Net income upon the capital employed .• -. The capital necessary to j)urchase the bouds pledged by the banks loaned at 8 per cent, i^er annum would xDroduce 29,722,656 34,706,750 Diiference, representing the profit ou circulation if the whole amount available for use be loaned continually throughout the year 4,934, 094 If the rate of interest on loans be taken at six per cent., instead of eight per cent, as above, a like computation shows that the profit on circulation does not exceed 1.7 per cent, on the capital iuA^ested. That the advantage to be deriA^ed from receiving and issuing circulating notes is not great, is evident from the fact to AA'-hich the Comptroller has repeatedly called attention that there are in this country 1,005 State banks and 2,634 private bankers Avho decline to reorganize under the national system. Additional proof is also found in the fact that the amount of existing national-bank circulation is much less than that Avhich under the law these banks might obtain upon their present capital by the deposit of addition^!! bonds. This is shoAvn in the following table: Geograpliical iliA'isidHS. Eastern States Middle States Soutlierii S t a t e s Westerii States Pacific S t a t e s a n d T e r r i t o r i e s Totals Capital. A u t h o r i z e d cir- C i r c u l a t i o n actually issued culation. to the banks. $165, 086, 920 169, 700, 095 30, 428, 700 82, 751, 650 6,100, 000 $140, 418, 781 142, 024, 725 27,150, 830 73, 226, 485 5,190, 000 $118, 742, 578 115, 701, 970 24, 028, 460 . 57, 878, 997 3, 306,480 454, 067, 365 388, 010, 821 319 658 485 P e m a i n i n g circulation uot called for b y tbe banks. $21, 676, 203 26, 322, 755 3,122, 370 15, 347, 488 1, 883, 520 fifi .3.'S5 .33fi The total amount of circulation which by law might haA^e been obtained by banks in operation, upon their paid-in capital stock, was on October 2, $388,010,8*21, while the amount actually receiA^ed by them at that date was $319,658,485; shoAAdng t'aat the banks already organized and in operation are entitled to receive $68,352,336 additional circulation as soon as they see fit to deposit United States bonds to secure it. In other words, these banks already in operation can at any time, if any profit can be made by an additional issue, increase their circulation by more than one-fifth. Bonds can now be purchased in the market at a small premium, and it is reasonable to suppose that if there AA^ere a profit on circulation, the banks now in successful operation, An.th a capital stock fully paid in, would at once aA^ail themseh^es of the priAdlege of receiving and issuing the full proportionate amount allowed by laAv. COMPTROLLER OF THE CURRENCY. ILLEGAL CERTIFICATION OF CHECKS. 125 , On Eebruary 19 and March 3, 1869, two extraordinary acts in reference to the business of banking Avere passed by the Eortieth Congress, which enactments were subsequently embodied in sections 5207 and 5208 of the Eevised Statutes. The first of these sections prohibits the loaning of money upon United States or national-bank notes as collateral security, Avith the purpose of withdrawing such notes from use, and the latter section prohibits the.cer tification of checks drawn upon any national bank, unless the drawer has the money actually on deposit in such bank. The violation of the first-named section is made a misdemeanor, and punished h j a fine not exceeding one thousand dollars, and a further penalty equal to one-third of the money loaned. The officer or oflicers of the bank Avho shall make such a loan are also liable for a further penalty, equal to one-fourth of the money loaned. The penalty for the Adolation of the last-named section is forfeiture of the charter of the bank and the appointment of a receiver to close its affairs. It,seems scarcely credible that it should have been found necessary to prohibit by positive legislation the practice b}^ national banks, located in the principal commercial city of the country, of methods, of business so inconsistent with the principles of good banking. But it was soon found that even this legislatiA^e prohibition was not sufhcient in times of extraordinary activity in the stock-board to entirely prcA^ent the illegal certification of checks. A few months later, therefore, the Committee on Banking and Currency of the House of Eepresentatives, after an investigation w^hicli occupied some weeks,^* Avas instructed to inquire if any further legislation was necessary to prcA^ent the improper certification of checks by the national banks, and to report by bill or other^vise. In compliance with these instructions a bill was reported, which on June 19, 1870, passed the House, and Avhich proAdded that any officer,. clerk or agent of any national banking association who should violate the provisions of the act of March 3, 1869, relating to certified checks, should be deemed guilty of a misdemeanor, and be fined not more than five thousand dollars, or imprisoned not more thanfiA^eyears, or both, in the discretion of the court. This bill, like similar acts which preceded it, passed the House almost unanimously and with but little discussion. A Eepresentative from New York City, who was also a member of the Committee on Banking and Currency, seemed to reflect the sentiment of the House and also of his constituents when he said: ^^I concur with my colleagues in regard to reporting this bill, after careful examination of the facts ascertained by the gold iuA^estigating committee and of the statements made by the substantial merchants of NCAV York—not the speculators, either in produce or gold, but the men of solid parts, the men who look to the substantial inte.r<5sts of the people outside as well as inside their city, men of character and propriety.^^ The House bill of June 19, 1870, failed to pass the Senate, but the action of the House had the effect to largely diminish, although it did not entirely put an end to, this illegal practice.t ' • No complaints of its renewal reached the Comptroller until recently, * ^'Reportsof Committees, H. R., Forty-first Congress, Second Session"—Gold panic Investigation, page 23. t Tlie clearing-house association of the city of New York, which is comi:»osed of forty-five national, together Avith thirteen State banks, to which latter associatious the legislatiou named did not apply, took actiou on this subject in November, 1873, by the appointment of a committee to consider and report upon ^'reforms in the banking "business." • .' The. committee i n t h e i r report referred to this subject as follows: ^'Every b a n k i n 126 REPORT ON THE FINANCES. when his attention was called to the large increase of certified checks among the clearing-house exchanges, their amount having risen from 31 millions on April 4, to 44 milhons on June 14, to 60 millions on October 2, and finally to more than 90 millions on October 30 last. He Avas also advised of an informal conference of the presidents of some of the prominent banks, Avith the object of dcAdsing some plan to avoid the risk and loss of such OA^ercertifications. It had also, about the same time, been brought to the knowledge of the Comptroller that certified checks, draAAm upon an institution which Avas known to be largei}^ addicted to this practice, had been refused by banks in good standing; whereupon he considered it his duty to exercise AvhatCA^er power belonged to his office for the arrest and prcA^ention of the custom complained of. He therefore, on the 29th ultimo, directed the nationalbank examiner for the city of New York to examine such banks as were believed to be certifying checks illegally, and to report the facts to this Office; and a separate letter was transmitted to him on the same day requesting him to consult with the clearing-house committee, and to take its advice in reference to the best course to be pursued. The examiner soon after reported that nine of the city banks had at A^arious times certified checks contrary to the provisions of the laAA^, but that only five of them Avere largely given to the practice -, and he added his opinion that the amount of such illegal certifications had been A^ery much OA'erstated by the public press. A subsequent investigation was made on NoA^ember 6,'AA^hich Avas conducted in such manner as to avoid publicity; and the Comptroller was then advised that the certifications complained of had been A^ery largely reduced in number and amount, and, in the cases of some bankSj entirely discontinued, and that it was belicA^ed that in a short space of time all the banks Avould conform fully to the provisions of the statute. Section 5239 of the Eevised Statutes provides that every director of a national bank Avho participates in or assents to Adolation of laAv '' shall be held liable in his personal and indiAddual capacity for all damages Avhich the association, its shareholders, or any other person shall have the associatiou is directly involved in the risks attending this practice. It multiplies excessively the sums which sach iustitutions pass through the clearing-hoase, and the consequent balances ofthe exchanges ^^dth their associates, which the capital of such banks cau. never adequately guarantee. ' ' T h e most striking commentary upon the da.ugers of this practice was afforded during the late panic by the dealer of a bank who had largely received such favors, and who, seeing by its application to others t h a t his own checks were in peril, declined, under advice o.f counsel, to cover them by a deposit, until otherwise assured that the bank could respond .to these very obligations. - "No sufficient reasoij, in the opiuion of your committee, can be given Avhy a corporation should iplace itself without compensation aud special security between two parties dealing with each other, and become the guarantor of either, in transactions entirely personal to themselves, simi^ly because one or the otjier is a depositor iu the institution. AVe have already stated t h a t the safe custody of money payable ' on deinand ^ is full compensation for its legitimate use, and the risks attending such a business are all t h a t properly appertain t o t h e profession of a banker. And if the rule be invariably observed of .certifying checks only when the drawer has the full amount at his credit in the baulv,uo one cau be injured or offended Avhen he is treated in all respects like every other of his fellow-dealers. The restriction suggested Avill Avork favorably to every interest—to the banks, the shareholders, and their associates— by dimiuishing the risks now so Avidely incurred, and it also conforms to and confirms the law Avhich Congress has established upon this subject ih respect,to natioual bauks. Your committee, therefore, recommend t h a t iu uo case shall a check or other obligation, be certihed by a bank unless the amount of it is first found regnlarly entered to the credit of the .dealer upon, the books of the institution."* '^ The report of the committee, it is said, failed of unanimous ado];)tion by four votes only. 127 COMPTROLLER OF THE CURRENCY. sustained in consequence of such violation." If a loss result from such certifications or OA^erdrafts, there Avould seem to be no doubt that consequential damages may be collected from those directors who knowingly permitted them. The bank examiner has been instructed to report to this Office CA^ery instance of OA^ercertification which may come to his knowledge, whereupon the Comptroller Avill not hesitate to enforce the proAdsions of law in reference thereto; and in the event of the appointment of a receiver, he will endeaA^or to haA^e determined in the courts the question of the several liabilities of the directors for violation of the laAv mentioned. In the mean time those banks which consider the laAv inimical to their interests have the option either to .conform to its proAdsions or to conduct their business under some banking .system in which the restrictions that to them are so objectionable do not exist. The Comptroller is glad to be able to state that he has no reason to suppose any national bank has been guilty of AvithdraAving chculating notes for illegitimate purposes, but the exaininer has been directed to report any Adolations of section 5207, if such shall occur; and upon the receipt of such report the Comptroller Avill immediately transmit the same to the laAv officer of the department for his action. SECURITY OF CIRCULATING NOTES. The following table exhibits the classes and amounts of United States bonds held by the Treasurer on the i s t day of November, 1879, to secure the redemption of the circulating notes of the national banks: Autborizing act. Class of bonds. Loan of Pebruary, 1861 (81s) Loan of July and August, 1861 (81s) Loan of 1863 (81s) Consols of 1867 Consols of 1868 Ten-fo]ties of 1864 . . ... Funded loan of 1881 Funded loan of 1891 Funded loan of 1907 Pacific PaUway bonds ••- Total Pebruary 8,1861 July 17 and August 5,1861.. Mai-cb 3, 1863 Marcli 3, 1865 do Marcb 3, 1864 July 14, 1870, and January 20,1871. . . . . .do do July 1,1862, and July 2,1864. Pate of interest. Amount'. 6 per cent do do .; ....do do 5 per cent do 4^ per cent 4 per cent 6 per cent :. $2, 221, 000 33, 971, 750 18,549,500 33 200 75, 000 7,119,500 124,182,100 , 34,866,950 138, 318, 400 4, 465, 000 ^ 363,802,400 On October 1, 1865, the total amount of bonds held for this purpose was $276,250,550, of which $199,397,950 was in six per cents, and $76,852,600 infiA^eper cents. On October 1, 1870, the banks held $246,891,300 of six per cents and $95,942,550 of five per cents. Since that time there has been, to NoA^ember 1, 1879, a decrease of $187,575,850 in six per cent, bonds and an increase of $35,359,050 in five per cents. During the year ending January 1, 1879, there was a decrease of $12,677,600 in six per cents and of $6,357,800 in five per cents. Since September 1, 1876, $34,866,950 of four and one-half per cents, and since July 1,1877, $138, 318,400 of four per cents, have been deposited. Since the 1st day of January, 1879, there has been a decrease of $12,652,650 in six per' cents, $63,415,600 in five per cents, and $12,138,800 in four and one-half per cents, Avhile during the same period $102,941,450 of four per cents have been deposited. The banks still hold $108,200 of six per cent. fiA^e-twenty bonds and $7,119,500 offiA^eper cent, ten-forty bonds, upon which interest has ceased. . 128 REPORT ON THE FINANCES. THE COUNTRY—SPECIE IN THE BANK OF ENG-LAND AND IN THE BANK OF FRANCE. The table beloAv exhibits the amount of specie held by the national 'banks at the dates of their reports for the last eleven years 5 the coin, -coin-certificates, and checks payable in coin held by the New York City banks being stated separately. H e l d b y n a t i o n a l b a n k s in Isfew Y o r k C i t y . Dates. Coin. P . ' S . coin- Cliecks p a y a certificates . ble in coin. Oet. 5,1868.- n , 698, 623 24 $6, 390,140 J a n . 4,1869,. 1, 902, 769 48 18, 038, 520 A p r . 17,1869:. I, -652; 575 21 '3,72*0,040 J u n e 12,1869-'. 2,.54'2, .533 .96' 11, 9.53, 680 O c t . 9,1869.. 1, 7.92, 740 73 16, 897, 900 • J a n . 22,1870.. 6,196, 036 2'9 28, 501, 460 M a r . 24,1870.- 2; 647, 908 39 21, 872, 480 - J u n e 9,1870-- 2, 942i 4,60 24 18, 660, 920 Oct. 8,1870.- 1, 607: 742 91' 7, 533, 900 Dec. 28,1870.. 2, 268, .581 96 14, 063, 540 M a r . 18,1871.. 2, 982, 155 61 13, 099, 720 9, 845, 080 A p r . 29,1871.. 2, 047, 930 71 9,161,160 - J u n e 10,1871.. 2, 249, 408 06 7, 590, 260 O c t . 2,1871-. 1,121, 869 40 Dec. 16,1871-. 1, 454. 930 73 17, 354, 740 P e b . 27,1872.. 1, 490. 417 70 12, 341, 060 659 74 10,102,400 A p r . 19,1872'.. l,.l J u n e 10,1872.. 3, 782; 909 64 11,411,160 920, 767 37 5, 4.54, 580 O c t . 3,1872.. Dec. 27,1872-. 1, 306; 091 05 12, 471, 940 P e b . 28,1873.- 1, 958, 769^86 * 11, 539, 780 A p r . 2 5 , 1 8 7 3 - - 1, 344, 950 93 11, 743, 320 • J u n e l 3 , 1 8 7 3 - - 1,442; 097 71 22,139, 080 : S e p t . 12,1873-- 1, 063, 2.10 55 13, 522, 600' D e c . 26,1873-- 1, 376, 170 50 18, 325, 760 P e b . 27,1874-- 1,167, 820 09 23, 518, 640 •jMay 1,1874.- 1; 530, 282 10 23, 454, 660 June26,1874... 1, 842, 525 00- 13, 671, 660 O c t . 2,1874-. 1,- 291i 786 56 13,114, 480 D e c . 31,1874-- 1, 443i 215 42 14, 410, 940 M a r . 1,1875-- 1,084, 555 54 10, 622,160 930, 105 76 5, 7.53, 220 M a y 1,1875.J u n e 3 0 , 1 8 7 5 - - 1, 023, 015 86 12, 642,180 753, 904 90 4, 201, 720 Oct. 1,1875.. 869, 436 72 12, 532, 810 Dec. 17,1875.. 131 363, 261, 19, 086, 920 M a r . 10,1876.. 832, 313 70 15,183,760 M a y 12,1876.. - J u n e 3 0 , 1 8 7 6 . . 1, 214, 522 92 16, 872, 780 • Oct. 2,1876.. 1,129, 814 34 13, 446, 760 Dec. 22.1870-- 1, 434, 701 83 21, 602, 900 - J a n . 20,1877-- 1, 669, 284 94 33, 629, 660 A p r . 14,1877-. 1, 930, 725 59 13, 899,180 - J u n e 22,1877-- 1, 423, 258 17 10, 324, 320 Oct. 1,1877-. 1, 538; 486 47 11, 409, 920 D e c . 28,1877.. 1, 955, 746 20 19,119, 080 M a r . 15,1878.. 2, 428, 797 44 35, 003, 220 M a y 1,1878.. 092 06 25, 397, 640 • J u n e 29,1878.. 1, 905, 705 22 11, 954; 500 • Oct. 1,1878.. 1, 779, 792 43 11, 514, 810 Dec. 6,1878-- 4, 009, 299 01 12, 277,180 J a u . 1,1879.- 5, 421, 552 49 12, 739, 544 A p r . 4,1879.. 5, 312; 966 90 12, 220, 940 - J u n e 14,1879.- 6, 058, 472 34 12, 291, 270 O c t . 2,1879.. 7, 218, 967 69 12,130, 900 $1, 536,353 2, 348,140 1, 469,826 975, 015 1, 013,948 2,190, 644 1, 069,094 1,163, 905 3, 994,006 3, 748,126 3, 829,881 4, 382,107 3, 680,854 1,163, 628 4, 255,631 3,117,100 4, 715,364 4, 219,419 66 49 64 82 72 74 30 88 ^2 87 64 24 92 44 39 90 25 52 Total. $9, 625,116 90 22, 289,429 97 6, 842,441 85 15, 471,229 78 19, 704,589 45 36, 888,•141 03 25, 589,482 69 22, 767,226 12 13,135, 649 33 20, 080,248 83 19, 911,757 25 16, 275,117 95 15, 091,422 98 9, 875,757 84 23, 065,302 12 16, 948,578 60 16,646, 423 99 19, 414,489 16 6, 375,347 37 13, 778,031 05 13, 498,549 86 13, 088,250 93 23, 581,177 71 14, 585,810 55 19, 701,930 50 h , 686, 460 09 24, 984,942 10 15, 514,185 00 14, 406,266 56 15, 854,155 42 11. 706,715 54 6, 683,325 76 13, 665,195 86 4, 955,624 90 13, 402,246 72 22, 348,051 3616, 016,073 70 18, 087,302 92 14, 576,574 34 23, 037,601 83 35, 298,944 94 15, 829,905 59 11, 747,578 17 12, 948,406 47 21, 074,826 20 37, 432,017 44 28, 085,732 06 13, 860,205 22 13, 294,602 43 16, 286,479 01 IS, 161,092 49 17, 533,906 90 18, 349,742 34 19, 349, H e l d b y otb er n ational banks. 378, 596 49 337, 320 29 102, 090 30 983, 860 70 297, 816 37 457, 242 69 507, 060 75 332, 211 66 324, 362 14 227, 002 76 857, 409 39 456, 909 07 833, 532 18 377, 240 33 529, 997 44 559, 246 72 787, 475 47 842, 154 98 854, 409 42 269, 305 40 279, 123 67 780, 557 81 368, 909 01 282, 658 90 205, 107 08 679, 403 49 585, 027 16 812, 022 27 834, 678 67 582, 605 62 960, 390 63 937, 035 88 294, 386 44 094, 704 83 668, 659 18 729, 294 49 698, 520 66 131, 167 00. 785, 079 69 962, 046 06 410, 322 61 240, 132 19 588, 417 89 710, 413 84 832, 924 50 290, 040 58 938, 024 00 391, 264 55 004 16 771 35 664 83 656 51 545 10 873 54 Aggregate. $13, 003,713 39 29, 626,750 26 9, 944,532 15 18, 455,090 48 23, 002,405 83 48, 345,383 72 37, 096,543 44 31, 099,437 78 18, 460,-Oil 47 26, 307,251 59 25,'769, 166 64 22, 732,027 02 19, 924,955 16 13, 252,998 17 29, 595,299 56 25, 507,825 32 24, 433,899 46 24, 256,644 14 10, 229,756 79 19, 047,336 45 17, 777,673 53 16,868, 808 74 27, 950,086 72 19, 868,469 45 26, 907,037 58 33, 365,863 58 32, 569,969 26 22, 326,207 27 21, 240,945 23 22, 436,761 04 16, 667,106 17 10, 620,361 64 18, 959,582 30 8, 050,329 73 17, 070,905 90 29, 077,345 S5 21, 714,594 36 469 92 25, 218,654 03 21, 361,647 89 32, 999,267 55 49, 709,037 78 27, 070,996 06 21, 335,820 31 22, 658,750 70 32, 907,058 02 54, 722, 46, 023,756 06 29, 251,469 77 30, 688,606 59 34, 355,250 36 41, 499,757 32 41,148, 563 41 42, 333,287 44 42,173, 731 23 . The amount of siWer coin held by the national banks on October 1,1877, -was $3,700,703, and on October 1, 1878, $5,387,738. The amount held on October 2, 1879, was $4,986,493. The aggregate amount of specie held by the State bauks in New England, New York, New Jersey, Pennsylvania, Maryland, Louisiana, Kentucky, Ohio, Iowa and Wisconsin, as shown by their official reports for 1879, was $1,971,362, of which the banks in New York City held $1,389,551. In the returns from California the amount of coin is not given separatel}^ 129 COMPTROLLER OF THE CURRENCY, The amount of gold and silver in the Treasury of ihe United States on Novemberl, 1879, Avas,ingold, $171,517,713; silver coin, $50,078,620; total, $221,596,333; of this amount $14,591,000 in gold and $6,135,850 in silver is represented by coin-certificates. The Director of the Mint in his report for this year estimates that the .amount of coin in the country on June 30, 1878, Avas $327,781,898, of which $247,429,570 Avas gold and $80,352,328 Avas silver. His estimates for the fiscal year ending June 30, 1879, are as follows: Estimated amount of cdin in the couutry June 30, 1878 Net gold coinage for the year Net .silver coinag-e for the year Importation of silver for the year $'S27,781,898 39, 290, 00926,518, 642 5,180,0l5 Total • Deduct net exportation of gold for the year :... Total estimated amount of coin in the country June 30, 1879 398,770,564 228,881 398,541,683 Of this amount it is estimated that $286,490,698 consists of gold coin, and $112,050,985 of sih^er coin. The Director estimates that from the close of the fiscal jrear to November 1 there has been added to the coin $19,259,799 of gold and $9,405,370 of silver, making the stock of coin in the couutry at the latter -date $427,206,852, consisting of $305,750,497 of gold coin and $121,456,355 of sih^er coin. The amount of bullion in the mints and New York assay office on November 1st is stated to haA^e been $49,931,035 of gold and $4,553,182 of silver, making in all $54,484,217, Avhich, added to the estimated amoimt of coin stated above, gives, as the total estimated amount of coin and bullion in the country on NoA^ember 1st, $481,691,069, of which $355,681,532 was gold and $126,009,537 was sih-er. The following table shows the amount of bullion held by the Bank of England in each year from 1870 to 1879 :.* (£ = 5doUars.) $103,900,000 117,-950,000 1870 1871 1872 1873 1874 112,900,000 113,500,000 111,450,000 •..-. (£ = 5 dollars.)^ 1875 1876 1877 1878 18791 1119,600,000 ..... 143,500,000 126,850,000 .....: 119,200,000 150,942,980 The amount of coin held by the Bank of France on December 31 of each year from 1870 to 1878, and also on October 30, 1879, is shown by the following table: | • Date. Dec. Dec. Dec. Dec. Dec. Dec. Dec. Dec. Dec. Oct. 31, 31, 31, 31, 31, 31, 31, 31, 31, 30, 1870 1871 1872 1873 1874 1875 1876 1877 1878 1879 Gold^inand bullion. (5fr. = $L) $85, 110, 131, 122, 204, 234, 306, 235, 196, 169, 740, 680, 740, 260, 220, 860, 080, 420, 720, 000, 000 000 000 000 000 000 000 000 000 000 Silver coinand bullion. (5fr. =$1.) $13,700, 16, 240, 26, 520, 31, 260, 62, 640, 101, 000, 127, 720, 173, 080, 211, 620, 241, 800, Total. 440, 000 920, 000 260, 000 520, 000 860, 000 860, 000 800,000 500, 000 340, 000 800, 000 " Page 412, Journal of the Statistical Society, June, 1879. t London Economist, NoA^ember 8,. 1879. t F r o m the Bulletin de Statistique, as quoted in the Bankers'Magazine, New Y^ork, vol. xiii, page 740, except the item for the present year, which was obtained from the Financial Chronicle of New Y^ork, of November 15, 1879. 9 F 130 REPORT ON TflE FINANCES, LOANS AND RATE OF INTEREST OF NEAV YORK CITY BANKS. The following table contains a classification of the loans of the national banks in 'New York City for the last fiA'e years: 1 O c t o b e r 1, 1875. October 2, 1876. October 1, 1877. i October 1, ; 1878. i October 2, 1879. 48 b a n k s . 47 b a n k s . 47 b a n k s . 47 b a n k s . 47 b a n k s . On endorsed p a p e r $120,189, 537 18, 55.5,100 On sino"le-narae p a p e r 4, 934, 674 On TJ. S. b o n d s on d e m a n d 50,179, 384 On o t b e r stock, &c.', o n d e m a n d . 868.160 On r e a l - e s t a t e s e c u r i t y 3, 454, 276. P a y a b l e i n gold 3, 908, 602 A l l o t b e r loans $95, 510, 311 16, 634, 532 6, 277, 492 58,749, 574 536, 802 4, 681, 570 1, 852, 944 .$92, 618, 776 15, 800, 540 4, 763, 448 48, 376, 633 497, 524 4, 319, 014 2, 786, 456 $83, 924, 333 17, 297, 475 7, 003, 085 51,152, 021 786, 514 6, 752,181 2,670,371 $81, 520,129 22, 491, 92& 8, 286, 525 78, 062, 085 670, 021 202, 089, 733 184, 243, 225 169,162,391 j 169,585,980 195, 851, 902 .Loans a n d d i s c o u n t s . Totals 4,821,216 The aA^erage rate of interest in Kew York City for each of thefisoal years from 1874 to 1879, as ascertained from data deriA^ed from the Journal of Commerce and Financial Chronicle, Avas as follows: 1874, 1875, 1876, 1877, 1878, 1879, call call call call call call loans, loaus, loans, loans, loans, loans, 3.8 per 3.0 jjer 3.3 per 3.0 per 4.4 per 4.4 j)er cent.; cent.; cent.; ceut.; ceut.; cent.; commercial i^aper, commercial paper, commercial paper, commercial paper, commercial paper, commercial paper, 6.4 per 5.6 per 5.3 per 5.2 x)er 5.1 per 4.4 per cent, cent, cent, cent.' cent, cent. The aA^erage rate of discount of the Bank of England for the same years was as folloA\^s: ' During During During During During During the the the the the the calendar year ending December 31, 1874, calendar year ending December 31, 1875, calendar year ending December 31, 1876, calendar year ending December 31, 1877, calendar year ending December 31, 1878, fiscal year ending J u n e 30, 1879, 3.87 per 3.69 per 3.23 per 2.61 per 2.91 per 3.78 per cent. cent. cent. ceut. cent. cent. The rate of interest in the city of Kew York on NoA^ember 25, of the present^ year, as quoted in the Daily Bulletin, was, on call loans, from 5 to 7 per cent, j and on commercial paper of the best grade, from 5J to 7 per cent. The rate of interest of the Bank of England on INovember 29, 1877, was four" per cent. On January 30, 1878, it A\^as two per cent., from Avhich date to October 14, 1878, there were scA^en changes, and, with a single exception, on May 29, a gradual increase. The rate was fixed at the date last named at six per cent., and reduced on ISTovember 21,1878, to five per cent.; since which time there have been changes in the rate as folloAvs: On January 15,1879, four per cent.; on the 29th of the same month, three per cent.; on March 12 it Avas reduced to 2J per cent., and again on April 9 to tA^o per cent., at which rate it remained until INoA^ember 7, Avhen it was increased to three per cent., which was also at that time the rate of the Bank of France. TRANSACTIONS OF THE NEAV YORK CLEARING HOUSE. The New York Clearing House Association is composed of forty-five national a-nd thirteen State banks, and the assistant treasurer of the United States at New York. The exclianges atthe Clearing House for COMPTROLLER OF THE CUREENCY. 131 the year ending October 1, 1879, obtained through the courtesy of W. A. Camp, its manager, were more than twenty-four thousand millions, and the balances paid in money Avere more than thirteen hundred miUions. The aA'erage dail}^ exchanges Avere nearly eighty millions, and the aA^erage daily balances paid in money Avere but about four and threetenths millions, or onlyfiA^eand four-tenths per cent, of the amount of the settlements. . The i^TcAV York Clearing House Avas organized in 1853, and the following table exhibits its transactions and the amount and ratio of currency required for the payment of daily balauces, yearly, for the last twentj^-six years: Years. 1854 1855 1856 1857 1858 1859 1860 1861 1862 1863 1864 1865 1866 1867 1868 1869 1870 1871 1872 1873 1874 1875 1876 1877 1878 1879 N o . of banks. *Capital. Excbanges. 50 48 • 50 50 4647 50 50 50 50 49 55 58 58 59 59 61 62 61 59 59 59 59 58 57 59 $47, 044, 900 48, 884,180 52, 883, 700 64, 420, 200 67,146, 018 67, 921, 714 69, 907, 435 68, 900, 605 68, 375, 820 68, 972, 508 68, 586, 763 80, 363, 013 82, 370, 200 81, 770, 200 82, 270, 200 82, 720, 200 83, 620, 200 84, 420, 200 84 420 '-^OO 83, 370, 200 81,63.5,200 80, 435, 200 81, 731, 200 71, 085, 200 63, 611, 500 60, 800, 200 $5, 750, 455, 987 5, 362, 912, 098 6, 906, 213, 328 8, 333, 226, 718 4,756,664,386 6, 448, 005, 956 7, 231,143, 057 5, 915, 742, 7.58 6, 871, 443, 591 14, 867, 597, 849 24, 097,196, 656 26, 032, 384, 342 28, 717,146, 914 28, 675,159, 472 28, 484, 288, 637 37, 407, 028, 987 27, 804, 539, 406 29, 300, 986, 682 32, 636, 997, 404 33, 972, 773, 943 20, 850, 681, 963 23, 042, 276, 858 19,874,815,-361 20, 876, 555, 937 19, 922, 733, 947 24, 553,196, 689 Averase Balances paid A v e r a g e dailj daily bfilin raoney. excbanges. ances paid in m o n e y . $297, 411, 494 289, 694,137 334, 714, 489 365, 313, 902 314, 238, 911 363, 984, 683 380, 693, 438 353, 383, 944 415, 530, 331 677, 626, 483 885, 719, 205 1, 035, 765,108 1,066,135,106 1,144, 963, 451 1,125, 45.5, 237 1,120, 318, 308 1, 036, 484, 822 1, 209, 721, 029 1, 213, 293, 827 1,152, 372,108 971, 231, 281 1,104, 346, 845 1, 009, 532, 037 1, 015, 256, 483 9.51, 970, 454 1, 321,119, 298 172, 217, 969 +498, 692,168, 926 |21,156, 276, 411 $19,104, 505 $988, 078 17, 412, 052 940, 565 22, 278,108 1, 079, 724 26, 968, 371 1,182, 246 15, .393, 736 1, 016, 954 •20,867,333 1,177,944 23, 401, 7.57 1, 232, 018 19, 269, 520 1,151, 088 22, 237, 682 1, 344, 758 48, 428, 658 • 2.207,2.52 77, 984, 455 2, 866, 405 84, 796, 040 3, 373, 828 93, 541,195 3, 472, 753 93,101,167 3,717.414 92,182,164 3, 642,-250 121, 4.51, 393 3, 637, 397 90, 274, 479 3,365,2109.5,133, 074 3, 927, 666 105, 964, 277 3, 939, 266 111, 022,137 3, 765, 922 68,139, 484 3,173, 958 75, 301, 558 3, 608, 977 64, 738, 812 3, 288, 381 .68, 447, 724 3, 328, 710 65,106, 974 3, 111, 015 79, 977, 839 4, 303, 320 Patios. Pr. ct. 5.2 5.4 4.8 4.4 6.6 5.6 5.3 6.0 6.0 4.6 3.7 4.0 3.7 4.0 4.0 3.0 3.7 4.1 37 3.4 4.7 4.8 5.1 4.9 4.8 5.4 t62, 408, 634 +2, 647, 811'. 4.2 *Tbe capital stock is stated at various dates, tbe amonnt <at a uniform date in eacb year not being obtainable, t Yearly averages for twenty-six years. ; Totals for twenty-six years. The Clearing House transactions, of the assistant treasurer o f t h e United States at ISTew York, from the 25th of Ii^ovember, 1878, when he became a member of the Clearing House Association, to November 1, 1879, were as follows: ° Exchanges received from Clearing House |374, 503, 874 Exchanges delivered to Cleaning House 105,551,028 Balances paid to Clearing House 275,295,908 Balances received from Clearing House 6, 343, 062 Showing t h a t t h e amount paid by t h e assistant treasurer to t h e Clearing * House was in excess of t h e amount received by him 268,952,846 During the month of October last the exchanges made at the Clearing House amounted to $3,539,807,083, Avhich included the business of the assistant treasurer, amounting to $44,323,506. The balances paid during that month amounted to $130,138,117, including $27,037,192.paid by the assistant treasurer, of which $13,475,000 Avas paid in gold, while the 132 REPORT ON THE FINANCES. banks paid $28,180,000 in gold, making the total gold payments for the month $41,655,000, or a dady aA^erage of $1,581,000—$1,080,000 by the banks, and $501,000 by. the assistant treasurer. A table compded, for purposes of comparison, from returns made to the IsTew York Clearing House, Avill be found in the appendix, giving the clearings and balances Aveekly, for the months of September, October and KoA^ember of A^arious years, from 1869 to 1879. NATIONAL-BANK AND LEGAL-TENDER NOTES BY DENOMINATIONS. CIRCULATINO-NOTES OF THE BANK OF FRANCE AND IMPERIAL BANK OF G-ERMANY BY DENOMINATIONS. The folloAving table exhibits, by denominations, the amount of nationalbank aud legal-tender notes outstanding on ISToA^ember 1, 1879: 1879. Denominations. A m o n n t of n a t i on alb a n k notes. Onds Twos Pives -Tens Twenties — Pifties One-bundreds • Pive-bundreds One-tbonsands Pive-tbousands — Ten-tbousands • • A d d for fractions of n o t e s n o t p r e s e n t e d or d e s t r o y e d $3, 2, 97, 109, 72, 21, 26, Totals D e d n c t for legal-tender n o t e s des t r o y e d i n Cbicago lire Totals. 567, 200 092, 498 911, 820 736, 240 652,160 324, 900 911, 600 641, 500 283, 000 Amountof legal-tender notes. 1877. Aggregate. Aggregate. Aggregate. $19, 320, 302 18, 938, 365 61, 611, 033 7.1, 711,* 318 68, 793,'773 24, 853, 045 31, 428,180 22, 446, 500 22, 828, 500 3, 250, 000 2, 500, 000 $22, 887, 502 21, 030, 863 159, 522, 853 181, 447, 558 141, 445, 933 46,177, 945 58, 339, 780 23, 088, 000 23,111,500 3, 2-50, 000 2, 500, 000 13, 5,86 11, 561 10, 800 335,134, 504 347, 681, 016 682, 815, 520 667, 333,137 671, 372, 882 1, 000, 000 1, 000, 000 1, 000, 000 335,134, 504 ' 346, 681, 016 681, 815, 520 13, 586 $24, 652, 22, 915, 148,116, 168, 908, 131, 785, 47, 658, 58, 331, 31,159, 33, 794, 750 066 015 071 709 995 470 000 500 $28, 26, 146, 161, 126, 52, 58, 35, 34, 606, 915 883, 428 444, 048 459, 711 290, 995 363, 815 976, 670 956, 000 380, 500 '1,000,000 670, 372, 882 Section 5175 ofthe Eevised Statutes provides that ^^ after specie payments are resumed no association shall be furnished with notes of a less denomination thanfiA^edollars.'' Accordingly no notes of the denominations of one and tAvo dollars have been issued since the first day of January last. The amount of these«notes outstanding on the 1st of IS^A-emiDer, 1878, was $4,284,219 in ones, and $2,582,146 in twos. The Avhole amount of one and two dollar notes outstanding on the 1st of INoA^ember, 1879, Avas $5,659,698, AA'hich shoAvs a reduction during the past year of $1,206,667. The amount of legal-tender notes of these denominations outstanding on the 1st of l^OA'Cmber, 1878, vvas $40,701,451, and the total reduction of ones and twos during the year has been $2,442,784. Of the entire amount of national-bank and legal-tender notes UOAV outstanding, six per cent, consists of one and two dollar notes j thirty per cent, of ones, twos, and fiA^es; and fifty-six per cent, is in notes of a less denomination than twenty dollars. Of their entire issue, less than twen ty-two per cent, in amount is of the denomination of fifty dollars and upwards. 133 COMPTROLLER OF THE CURRENCY. The following table* exhibits by denominations the circulation of the Imperial Bank of Germany on January 1, 1879, in thalers and marks, Avhich haA^e been coiwerted into our currency: . Tbalers. Marks. N u m b e r Denomina- V a l u e ofeach p i e c e i n dolof pieces. tions. lars. 194 2,517 1, i m 9,194 9, 311* 22, 962 500 t b a l e r s . 100 t b a l e r s . 50 t b a l e r s . 25 t b a l e r s . 10 t b a l e r s . A m o u n t in d o l l a r s . jSTnmber of (Tbaler= pieces. 75 c e n t s . . 375.00 75.00 37.50 18. 75 7.50 72, 750 188, 775 6.5, 456 172, 388 69,836 569, 205 218, 444 207, 018 3, 395, 059^ . Denomiuations. Value ofeach A m o u n t in dollars. piece i n dol(Mark = lars. 25 cents.) 1,000 m a r k s . 500 m a r k s . 100 m a r k s . 250 125 • 25 54, 611, 000 25, 877, 250 84, 876, 487 •> 3, 820, 521^ 165, 364, 737 The following table* gives the circulation of the Bank of France and its branches, Avith the number of pieces, and the denominations in francs and in dollars, on January 30,1879: N u m b e r of pieces. Denominations. 5. 1, 382, 379 753, 599 3,087 .5, 046, 031 316,166 29, .525 426, 537 206, 653 • 1,245 5, 000 francs. 1, 000 francs. 500 francs. 200 francs. 100 francs. 50 francs. 25 francs. 20 francs. 5 francs. Pormsoutofdate. 8,165,227 V a l u e o f eacb piece i n dollars. 1,000 • 200 100 40 20 10 5 4 1 , " A i n o u n t i n francs. A m o n n t i n dollars. (Pr. = 20 cents.) 25, 000 1, 382, 379, 000 376, 799, 500 617, 400 504, 603,100 15, 808, 300 738,125 8, 530, 740 1, 033. 265 436, 400 5,000 276, 475, 800 75, 359, 900 123, 480 100, 920, 620 3,161, 660 • 147, 625 1, 706,148 206, 653 87, 280 2, 290, 970, 830 458,194,166 The amount of chculation of the Bank of France on December 31, 1877, Avas 2,547,044,000 fi-ancs, or say $509,408,800, showing a reduction between that time and January 30,1879, the date of the foregoing table, of 256,073,170 francs, or $51,214,634. ', I t Avill be seen that the Imperial Bank of Germany issues no notes of a less denomination than $7.50, and that the Bank of France issu.es but about two millions of dollars m notes of a less denomination than five dollars. The Bank of England issues no notes of less than twenty-five dollars, and the Banks of Ireland and Scotland none less than Aye dollars. The amount of paper circulation in this country in denominations of less than ten dollars was $203,441,218 on I^^ovember 1, 1879. In the foreign countries named a large amount of sih^er and gold coin of the lower denominations enters into general circulation. If the people of the United States continue to prefer a paper circulation of small notes, and the laws of the country authorize it, it will be impossible to keep in circulation any large amount of silver dolhirs, or of the smaller denominations of gold coins. Section 5182 of the Eevised Statutes requires that the circulating notes of the national banks shall be signed by the president or vice'"^See pages 788 and 79:-) nf London Bankers' Magazine for Septeniber, 1879. 134 REPORT ON THE FINANCES. president and the cashier of the association issuing the same. The Avritten signature of at least one bank officer is necessary as a check between this office and the issuing banks; for if an illegal issue should occur the signature of such officer Avouldbe a meansof determining the genuineness of the note. The written signatures of the officers of the banks are also necessary as an additional precaution against counterfeiting. A number of the banks, hoAvever, issue their notes Avith printed signatures, and in some cases with badly-executed lithographic ones. Bills haA^e been introduced in Congress imposing a fine of twenty dollars for CA^ery circulating note issued by any national bank Avithout the written signature thereon of at least one of its officers; and the Comptroller respectfullj^ repeats his previous recommendation for the passage of such an act, which act shall also impose a fine upon any engraA^er or lithographer who shall print the signatures of bank officers upon such circulating notes. LIQUIDATION OF INSOLA^ENT BANKS. Since the establishment of the national banking system eighty-one national banks haA^e become insoh^ent and been placed in the hands of receiA^ers. The following table giA^es for each State and Territory the number of national banks which haA^e failed since the commencement of the system, a period of sixteen years, with their capital, the amount and percentage of diAddends paid to creditors, and the estimated losses. In the States and Territories Avhich do not appear in this table no national banks haA^e failed. state. N o . of banks. Claims proved. $100, 000 $81, 665 60, 000 97, 541 4,176,100 5, 896, 653 1, 449, 500 2,108, 522 830, 000 2,123, 303 900, 000 1, 447, 673 100, 000 291, 308 50, 000 33, 632 1, 600, 000 2, 981, 554 • 50,000 74, 406 50, 000 15,142 100, 000 376, 932 3, 250, 000 2, 786, 850 250, 000 382,137 332, 000 525, 785 2, 750, 000 3, 828, 368 50, 000 134, 445 180, 000 311,190 200, 000 318, 048 200, 000 169, 458 225, 000 389, 997 150,000 89, 200 250, 000 170, 012 150, 000 • 225,651 Vermont Connecticnt New York . . . . Pennsylvania D i s t . of C o l u m b i a . Viroinia Alabama Missis-sippi Louisiana Texas Arkansas Tennessee Missonri '... Obio Indiana Ulinois Wisconsin Iowa Minnesota Kansas Colorado Utab Nevada Montana Total. Capital. 81 17,452,600 24, 859, 472 Dividends l)aid. $20, 378 82, 910 5, 298, 997 1, 069, 539 1, 501, 998 677, 940 122, 349 11, 771 1, 989, 837 7,307 15,142 65, 335 1, 831, 681 215, 446 277, 966 1, 972, 498 47, 055 182,311 216, 275 80, 888 52, 816 21, 7.56 153, 012 60,116 15, 975, 223 Estimated dividends y e t to b e paid. $57, 287 4,631 325, 025 517,183 196, 635 66,159 68, 817 7,099 620,169 13, 635 86, 819 358, 672 17, 390 33, 881 52, 773 18,169 169,181 30, 535 2, 644, 060 Estimated losses. Percentage of claims paid. $4,000 10, 000 272, 631 521, 800 424, 670 703, 574 168, 959 21, 861 922, 900 60, 000 311, 597 335, 000 153, 056 161, 070 ., 497,198 70, 000 94, 998 49, 000 70,401 I 168, 000 , 67,444 I 17, 000 i 135, 000 i :, 240,189 25 85 89.86 50.72 70.74 46.83 42 35 66.74 10 100 17.33 65.73 56.38 52. 87 57. 50 35 58.3 13. 54 24.40 90 ' 26. 64 64.3 There is no means of definitely determining the amount of losses sustained through the failures of banks operating under systems in A^ogue during the earlier periods of the history of this country. The losses under those systems, both to the note holders, to AA^hom there can be no loss under the national system, and to their general creditors and shareholders, are known to liaA^e been large. The loss to noteholders alone is estimated to haA^e been 5 per cent, annuallj^ upon the total amount of circulation outstanding. In EUiot's Funding System, on page 1176, it COMPTROLLER OF THE CURRENCY. 135 is stated that fifty-five banks with an aggregate capital of $67,036,265, and circulation of $23,577,752, failed in 1841. The total bank capital of that year is stated h j the same authority to have been $317,642,692, and the circulation at $121,665,198; and it is also stated in the same connection that in nearly every instance the entire capital of the banks Avhich failed was lost. Numerous failures of priA^ate banking firms haA^e occurred in this country within the last six years, and the losses consequent upon three or four of them are equal to the total losses which haA^e occurred under the national system. For the purpose of comparing the losses to creditors of insolvent national banks with those sustained by the creditors of insolA^ent banks other than national, much pains haA^^ been taken by the Comptroller to obtain as reliable and complete statistics as possible relating to the failures of State and saAdngs-banks and private bankers in the difierent States during the three 3^ears ending Januaiy 1, 1879. The results of his labors in this direction are to be found in the following table: state. Maine -. New Hamx)sbire Massacbusetts.. Boston Pbode Island . . . Connecticnt New York New York City. Pennsylvania... New Orleans Kentucky Obio....". .Indiana Illinois Micbigan Iowa Minnesota Missouri Kansas Nebraska Colorado Cahfornia Dakota Total No. of banks. Claims. A m o u n t paid a n d to b e i:)aid. $5,127, 995 - 4, 864, 216 $4, 370, 524 3, 622, 804 4, 436, 457 2, 670,158 3, 989, 799 5, 551,186 10, 746, 554 12, 601, 826 2, 066, 805 3, 960, 821 332, 081 1, 236, 567 27, 978, 699 22,185, 547 819, 000 1, 386, 083 277, 638 1, 597, 393 161, 690 325, 380 3, 054,135 ' 1,138, 085 281, 778 466, 233 3, 915,169 10, 038, 221 135, 372 637, 407 85, 266 730, 786 • . 45,708 78, 000 Not given... Not given... 97, 875 337, 082 24, 000 110, 000 31, 500 90, 000 3, 786, 541 1,137, 783 18, 000 45, 000 88, 440, 028 58,152, 638 Losses. $757,471 1, 241, 412 1, 766, 299 1, 561, 387 1, 855, 270 1, 894, 016 904, 486 5, 793,152 567, 083 1,319,755 164,190 1, 916, 050 184,455 6,123, 052 502, 035 645, 520 32, 292 2, 200, 000 271, 207 183, 271 58, 500 2, 648, 758 27, 000 32, 616, 661 The amount of claims of five banks in Missouri, one in Kansas, and two in ISTebraska could not be obtained. In the foregoing table it has been found impossible to give the capital, or the exact amount of diAddends paid to creditors, the liabihties and the losses only haAdng been ascertained with any degree of accuracy. The differences betA^^^een the tAvo items last named represent the amount which it is assumed will eventuallj^ be paid to creditors. The aA^erage annual loss sustained by creditors during the past sixteen years b y t h e insolvencj^ of national banks throughout the IJnited States, has been $390,012, and that occasioned by the failures of banks other than national, as shown by the incomplete data obtained by the Comptroller, has for. the last three years been not less than $10,872,220. In the States of Ohio and Illinois' alone the losses during the last three years, through the failure of State, saAdngs, and private banks and bankers, aggregated $8,039,102, of AA^hich $1,916,050 were in Ohio, and $6,123,052 in Illinois. The total loss in these two States is greater by $1,798,913 than the total loss to creditors by all the national bank failures Avhich haA^e CA^er occurred. 136 REPORT ON THE FINANCES. In the next table the losses to creditors through the failures of national banks in the cities of ]STew York and Brooklyn, since the establishment of the sj^stem, are contrasted with those sustained through the insolvency of savings-banks in the same cities during the last eight years alone, with the names of the banks and the dates of the appointment of receivers: NATIONAL BANKS. N a m e of b a n k . Ocpa.n N a t i o n a l B a n k Eigbtb National Bank Atlantic National Bank D a t e of appointment o i receiver. Sept Oct. Dec. Dec. Dec. Apr. Sept. T o t a l s for n a t i o n a l b a n k s . -Liabilities, Dividends paid. 6 1867 i??i 181 107 164, 834 1,1867 1, 282, 254 .13,1871 1.57,120 15,1871 263, 541 15,1871 574, 512 28,1873 776, 798 22,1873 $1,138, 732 145, 878 1, 282, 2.54 157,120 263,541 524,116 776, 778 4, 400, 256 Estimated f u t u r e div- E s t i m a t e d losses. idends. $42,465 18, 956 $20, 396. 30, 000 4, 289, 439 20, 396 91, 421 $25, 930 881, 334 180, 005 $10, 560 128, 489 16, 971 29,190 56, 945 529,157 533, 569 617, 740 371, 398 1, 032, 281 253, 747 391, 830 • 54,683 86, 792 223, 082 1,158, 965 440, 500 209, 471 11, 867 125, 279 4,300 28, 082 $51, 507 275, 071 334, 295 102, 545 21, 723 40, 888 45,556 355, 631 18, 000 239, 738 605, 966 348, 940 161 876 120,162 72, 911 113,497 156, 615 267, 762 44, 050 1, 047, 054 67, 247 2, 027 7, 076, 267 1, 401, 720 4, 475, 061, SAVINGS-BANKS. Abingdon Square Savings B a n k B o n d S t r e e t S a v i n g s Ba.nk B o w l i n g G-reen S a v i n g s B a n k Clairmont Savings B a n k Clinton Savings B a n k ' Central P a r k Savings B a n k G-erman S a v i n g s B a n k of M o r r i s a n i a . . G-erman U p t o w n S a v i n g s B a n k Gruardian S a v i n g s B a n k L o n g I s l a n d S a v i n g s B a n k of B r o o k l y n Mailcet Savings B a n k Mecbknics' and Traders' Savings B a n k M u t u a l Benefit S a v i n g s B a n k N e w A m s t e r d a m Savings B a n k O r i e n t a l S a v i n g s B a n k . .. P e o p l e ' s Savinf^s B a n k Security Savings B a n k Six P e n n y S a v i n g s B a n k Teutonia'Savings Bank Tbird A v e n u e Savings B a n k Traders' Savings B a n k Yorkville Savings Bank T o t a l s for s a v i n g s - b a n k s Aug. Sepl. Nov. Sept. Julv Nov. July Dec. Nov. Sept. Jan. July Nov. Sept. Dec. Nov. June Mar. Apr. Oct. Nov. June 28,1876 $87, 997 26,1876 1, 284, 894 20,1876 .514, 299 —, 1877 102, 545 .17,1877 67, 885 30,1875 40, 888 15,1877 227, 779 7,1875 889, 088 17,1871 561, 652 14,1877 857,478 20,1872 977. 364 13,1876 . 1, 4.53, 916 28,1875 437, 496 29,1876 511, 992 .19,1877 182, 278 30,1875 200, 288 28,1876 395, 518 29,1878 1, 783, 408 26,1878 881, 000 —,1875 1, 396,138 —, 1876 79,114 24,1877 20, 027 12, 953, 048 72, 696 21, 874 54, 683 15, 356, 396, 139, 821 682 450 614 The total losses by saAdngs-banks in JNew^ York City for eight years, as shown by the aboA^e table, the data for Avhich, in reference to saAdngS: banks, AA^ere obtained from the report for 1879 of the superintendent oi the banking depa,.rtment of the State of IS^ew York, have been $4,475,061, and those by national banks in the same citj^ for sixteen years, $91,000.* Some inquiiy has been made in reference to ihe expense of liquidating the affairs of national banks through the agency of receiA^ers, an impression haAdng prevailed that these expenses usually exhaust a large proportion of the assets. The folloAving table has therefore been prepared, AYhich show^s by States and Territories the cost of the receiverships of insolvent national banks up to jSloA^ember 1 ofthe present year, ^Data supplied by Dun. Barlow & Co., Avitli reference to the failure.s in Ne^y York City of trust companies, State and savings-banks, pri^^ate banking firras, and stock and money brokers, show failures since September, 1873, numbering 191. The aggregate liabilities reporfced in these cases were $74,704,478, and the aggregate assets $49,974,054, the excess of liabilities over assets bein^' $.24,730,424. 137 COMPTEOLLER OF THE CURRENCY in the form of percentages of the total expenses to the amount of money collected: s t a t e s a n d T e r r i - N o . of Capital. banks. tories. A'^ermont Connecticut ..-.•... New York ... . NewYork City.... Pennsylvania D i s t . of C o l u m b i a . . Virginia Alabama Mississippi Louisiana Texas Arkansas Tennessee Obio Indiana Ulinois Cbicago Wisconsin MinuPS'^ta . . . . f.. loAva Missouri Saint Louis Kansas Colorado Utah . Nevada Montana -Totals Total net casb collected. $100, 000 $126, 430 60, 000 115, 832 1, 476,100 3, 727, 957 2, 700, 000 5, 585, 049 1, 449, 500 1, 447, 659 830, 000 2, 243, 066 900, 000 1, 404,186 100, 000 249, 952 50, 000 47, 061 1, 600, 000 3, 358, 869 50, 000 54, 986 50, 000 66, 742 • 100, 000 158,182 401, 974 250, 000 545, 927 332, 000 234, 608 100, 000 2, 650, 000 2, 911, 583 50, 000 109, 874 200, 000 401, 029 180, 000 380, 794 750, 000 .559,792 2, 500, 000 1, 660, 678 200, 000 204, 448 225, 000 218, 820 150, 000 7.5, 332 250, 000 347, 982 150, 000 186, 650 Eeceiver's salary. Legal Otber expenses. expenses. $722 00 52 26 26, 456 45 101, .550 73 15, 548 17 7,547 53 21, 695 67 22, 083 14 2, 797 95 79, 068 2, 023 54 224 67 00 30 98 32 06 91 56 22 66 89 00 76 15 11 00 10 20 85 13 70 25 90 50 10 25 41 48 27 82 30 77 05 74 88 01 83 95 28 98 Total expenses. 97 00 22 46 29 34 16 23 86 62 53 54 96 59 79 64 96 40 47 78 21 18 36 62 94 13 23 1.5 5.8 - 7.8 7.7 4.9 4.2 4.7 13.9 18.8 8.2 8.1 12.4 L8 6.86.2 8.5 5.3 8.4 5.8 9.8 5.2 4.1 10.4 12,9 15.0 15.0 3.7 81 17, 452, 600 26, 825, 477 76 848, 644 70 521, 074 44 418, 658 34 1, 788, 377 48 6.7 1 1 11 6 10 3 4 1 1 3 1 1 1 3 5 2 7 1 2 3 4 1 3 2 1 1 2 27 $1, 201 30 82 4, 075 00 $2, 000 89 148, 075 66 84, 227 67 189, 729 03 140, 721 95 41, 676 24 14, 074 82 60, 595 11 25, 201 49 36, 424 72 8, 734 95 1, 600 00 11, 049 51 4, 545 50 1, 506 62 97, 777 01 98,861 36 2, 416 64 02 1, 650 00 6, 372 82 2, 847 96 45 17, 383 42 1, 201 80 19,136 16 7, 262 04 8, .333 26 7, 668 85 • 57, 701 14 52, 567 52 5,125 00 1, 951 84 9, 606 50 8, 204 54 26, 740 88 7, 014 83 12, 505 34 6, 073 54 32, 096 60 9, 882 96 12, 236 10 8,130 10 . 12, 074 89 8, 072 57 6, 337 49 1,165 08 31, 253 75 9, 091 45 5, 500 00 40 9,116 7, 446 3, 847 43, 922 2,127 5, 571 3, 647 10, 774 25, 714 996 8,105 3, 826 12, 315 1, 474 $1, 923 6,127 258, 759 432, 001 71, 299 93, 343 66, 855 34, 733 8, 848 275, 707 4, 440 8, 246 2, 847 27, 701 33, 844 19, 848 154,190 9, 203 23, 382 37, 402 29, 353 67, 694 21, 362 28, 253 11, 329 52, 660 7, 015 Per cent, of totalex;^enses to net casb. Jf that portion of the amount realized from the sale of United States bonds which was necessary to redeem the circulation be omitted from the item of cash collected, the total expense of the liquidation of insolA^ent banks would be at the rate of 9.73 per cent. A great many off'sets are allowed by the receiA^ers, in cases where parties haAdng credits on the books of the bank are also indebted to it. Bad and doubtful assets are frequently compounded, or are exchanged for proved claims against the bank, under order of the court as provided by law. The cost of these operations is included in expenses in the foregoing table, but the sums thus liquidated do not appear in the amount of net cash collectedo Below is giA^en a table showing the expense of Uquidating the affairs^ of each insoh^ent national bank in the city of Kew York: i N a m e of b a n k . I Total net Eeceiv- Legal C a p i t a l . ' c a s b col- e r ' s sal- expen: lected. ary. ses. Otber expenses. Total exj) enses. '. P e r cent, Per of t o t a l cent, expenses paid to to total credic a s b col- t o r s . lected. $200, 000 ' $374, 009 $22, 500 $17, 242 $8, 368 $48,109 Croton National Bank 1, 000, 000 ;2, 341, 819 85, 730 72, 837 35. 320 193, 888 Ocean N a t i o n a l B a n k 4,831 1 580 15,410 P n i o n S q u a r e N a t i o n a l B a n k . 200,000.1 242,544 10, 000 9,435 1 9,236 39, 208 Eigbtb National Bank 250, 000 546,142 20, 536 22, 739 27, 250 67,135 17,146 300,000 782,992 Atlantic National Bank N a t i o n a l B a n k of Common13,637 j 20,797 68, 251 33, 817 wealtb 750, 000 |1, 297, 543 12.8 8.3 6.3 •7.2 8.5 5.3 100 2,700, 000 :5, 585, 049 !l89, 729 140, 721 101, 551 432, 001 7.6 98 • 88. 5 100 100 100 90- 138 REPORT ON THE FINANCES. A large portion of the expense incident to the receiA'Crships of insolvent banks usually arises from htigation. Many persons Avho punctually pay their obligations to a bank which is in operation, do so only at the end of a lawsuit when the same bank has been placed in the hands of a receiver. Complicated questions arise in the enforced settlement of a bant's affairs, AAdiich are frequently carried up to the court of last resort before they are finally determined. The time necessary to the final closing of an insolvent bank beiug thus extended, the expenses of the receiA'erships are increased. In the case of national banks, howcA^er, these expenses are reduced as much as possible, by decreasing the salaries of the receiA^ers and their assistants as the busiuess of settlement of their affairs diminishes. Although the expense attendant upon the liquidation of the affairs of insolA^ent national banks appears, in some instances, to be large, yet it is believed that the cost of receiversliips under the national system is very much less than that usuallj^ incurred in the liquidation of insolvent estates and corporations under the laws of the different States. NATIONAL BANK FAILURES. Since KoA7;ember 1, 1878, receivers have been appointed for banks in operation at that date as fOUOAVS : CaiDital. First National Bank, AVarrensburg, Mo German-American National Banlv, Washington, D.C Commercial National Bank, Saratoga Springs, N. Y National Bank, Poultney,A7't First National Bank, Monticello, Ind First National Bank, Butler, Pa $100, 000 130, 000 100, 000 100,000 50,000 50,000 530,000 Eeceivers have also been appointed for the German ISTational Bank oi Ohicago, 111., and for the Second ISTational Bank of Scranton, Pa., both oi which banks had prcA^iously gone into volunfcary liquidation. This action was rendered necessary by complaints received that the affairs of these associations were not being properly managed by the officers or agents having them in charge, and the appointments were made under authority of the act of June 30, 1876. Dividends haA^e been paid to the creditors of six of the banks which have failed since I^ToA^ember 1, 1878, as follows: First National Bank of AA^arrensburg, Mo German-American National Bank, Washingtou, D. C German National Bank, Chicago, 111 Commercial National Bank, Saratoga Springs, N. Y National Bank of Poultjiey, Vt First National Bank of Butler,Pa 10 per cent, 10 per cent. 25 per cent. 60 -pev cent. 25 i^er cent. *. . . . . . . 15 per cent. T]ie aggregate ainount of these diAddends is $187,752.83, and their aA^erage per cent, to claims proA^ed is 22.66. I* Dividends have also been paid to the creditors of banks which had failed prior to E'oA^ember 1, 1878, as follows: First National Bank, New Orleans, La •Ocean National Bank, New York City ~ €rescen.t City National Bank, NCAY Orleans, La Atlantic National Bank, New York City. 5 per cent.; total, 70 jDer 5 per cent.; total, 100 per 5 per cent.; total, 80 per 5 peixceut.: total, 90 per cent. cenfc. cent. cent. COMPTROLLER OF THE CURRENCY. 139 Firsfc National Bank Utah, Salt Lake City, Utah 9.4 per cent.; total, 24.4 per cent. First National Bank, Tiffin, Ohio 19 per cent.; total, 66 per cent. Charlottesville National Bank, Charlottesville, Va 10 per cent.; total, 40 i^er cent. City National Baaik, Chicago, 111 25 per cent.; total, 70 per cent. Natioual Bank, Fishkill, N. Y . : ..10 per cent. -, total, 55 i3er cent. First National Bank, Franklin, Ind 20 per ceut.; total, 65 per cent. Northumberland CountyNational Bank, Shamokin, P a . l 2 ^ percent.; total, 62|^ per cent. First National Bank, AA^inChester, 111 10 per cent.; total, 60 per cent. National Exchange Bank, Minneapolis, Minn. 10 per cent.; total, 75 per ceut. National Bank State Missouri, Saint Louis, Mo 35 per cent.; total, 70 per cent. First National Bank, Delj^hi, Ind 10 per cent.; total, 60 per cent. First National Bank, GecrgetoAA^n, Colo 12^ per ceut.; total, 12| per cent. Lock Haven National Bank, Lock Haven, Pa 30 per cent.; total, 60 per cent. Third National Bank, Chicago, 111 .20 per cent.; total, 90 per ceut. Central National Bank, Chicago, 111 15 per cent.; tofcal, 55 per cent. First National Bank, Ashland, Pa , 100 per cent.; total, 100 per cent. First National Bank, Tarrytown, N. Y 10 ]3er cent.; total, 80 per cent. First National Bank, Allentown, Pa 50 per cent.; total, 50 per cent. First National Bank, AA^aynesburg,. Pa 40 per cent.; total, 40 iDcr cent. Washington County National Bank, Greenwich, N. Y..50-pev cenfc.; total, 100 per cent.' First National Bank, Dallas, Tex 10 per ceut.; total, 10 per cent. People's National Bank, Helena, Mont 15 per cent.; total, 15 i^er cent. First National Bank, Bozeman, Mont 40 per cent.; total, 40 per cent. Merchants' National Bank, Fort Scott, Kans 15 per cent.; total, 15 }3er cent. Farmers' National Bank, Platte City, Mo 100 per cent.; total, 100 per ceut. The total amount of dividends paid by the Comptroller to creditors of insol.A^ent national banks during the year ending ISToA^ember 1, 1879, Avas $1,909,.595. The total dividends paid since the organization of the system is $15,919,908, upon proA^ed claims amounting to $24,913,496. The dividends paid equal 64.16 per cent, ofthe amount ofthe claims. Assessments amounting to $6,320,250 have been made upon the shareholders of insolAT-ent banks, for the purpose of enforcing their individual dability, of which amount $1,816,007.82 has been collected in all, and b357,173.82 of it duiing the past year. A table shoAving the national banks which liaA^e been placed in the hands of receivers, the amount of their ca^pital and of claims proved, and the rates of diAddends paid, and also one shoAving the amount of circulation of such banks, issued, redeemed,.and outstanding, will be found in the appendix. THE LOSSES OF THE BANKS. It is the practice of this office, under the laAV proAdding that reports shall be made by the uational banks and published b^^ them in such form as the Comptroller may require, to insist that all the assets of these associations shall appear in such reports at their real A-alue, as nearly as such A-alue can be determined, hi order that the general public may not be deceiA'cd thereby. To show the real state of facts in this respect, it is necessary that all losses and depreciations in A^alues shall, as often at least as once in each six months, be charged to the profits of the bank. Where this rule is strictly followed, and dividends are determined in all cases by the remaining profits only, there is little danger of insolvency; since in most cases which have heretofore occurred the causes of insoh^ency can be traced to the accumulated losses of a long series of years, and the continuance of diAddends regardless of such losses. The losses charged off semi-annually by national banks in the years 1876, 1877 and 1878, haA^e been given, hy States and reserve cities, in prcAdous reports. The foi- 140 REPORT ON THE FINANCES. loAving table, similarly arranged, shows the number of banks which ha\^e charged off losses, and the amountof losses charged off' by them, in each ofthe two periods of six months ending on March 1 and September 1, 1879, together with the total amount for the year; to Avhich havebeen added the amounts charged off in each of the three preceding years: March 1,1879. states and Territories. Maine New Hainnsliire Vermont . Massachusetts Boston Pliode Island Connecticnt Ne'w Yorlc ]N"ew York City Albany New Jersev Pennsylvania Pliiladelpliia Pittsbnro'h Delaware Mai'yland Baltimore District of Colnmbia Wasliino'ton Virginia....° West Virginia Noftli Carolina South Carolina Greorgia Plorida Alabama New Orleans Texas Arkansas Ken tucky J.-onisville Tennessee Ohio Cincinnati Cleveland Indiana .... niinois Cliicago Michi "'an Detroit Wisconsin Milwankee Iowa Minnesotn, .. Missouri , . . . - Saiut Lonis Kansas Nebra.ska Colorado Oregon California San Prancisco New Mexico Utah Montana Wyoniin£ Dakota..". Washiugton T o t a l losses. No. of banks. 43' ... -.. .' ' ' .. ... •'. .... . Totals for 1879 '. Add for 1878 Add for 1877 Add for 1876 Agc'regate losses for fonr years.. . S e p t e m b e r 1,1879. N o . of banks. Losses. • 27 28 134 50 39 58 145 41 6 55 140 26 18 5 6 • 12 1 4 15 7 8 8 7 1 7 7 7 2 30 8 18 101 3 5 57 79 8 •57 4 12 3 43 24 11 3 10 10 10 1 5 2 2 1 3 1 2 1 $154, 523 16 . 52, 749 90 . 159, 439 95 1,155, 600 64 1, 284, 879 30 351, 752 05 453,183 19 • 677, 589 82' 1,148, 856 67 115, 338 99 383,108 89 579,140 70 183,1-74 86 179, 258 88 4,211 79 31, 006 79 265, 236 89 749 76 25, 276 11 43, 8.52 73 36, 228 42 14, 980 74 50, 477 56 23, 595 05 10 43 26, 404 19 . 150, 923 53 7, 232 98 15, 297 04 231, 871 47 57.120 44 38, 651 S3 490, 395 44 50, 869 56 68, 418 54 295,417 17 466, 286 05 153, 296 24 175, 849 41 83, 908 36 20, 723 59 38, 508 11 ' 125, 870 78 . 99, 821 96 32, 261 99 12, 346 11 29, 302 49 33.121 63 41, 785 62 12,130 64 10, 517 S3 70, 250 91 5, SOS 61 5, 023 00 5, 251 93 2, 843 72 * 5, 721 73 868 81 1,421 1, 304 980 806 10, 238, 324 10, 903,145 8,175, 950 6,501,169 98 04 56 82 35, 818, 600 40 42 28 35 .141 45 32 61 150 40 7 50 142 25 19 6 9 10 0 5 16 5 9 10 dO 1 9 7 11 2 32 8 19 97 4 6 59 79 8 52 4 16 3 45 23 10 •5 10 9 8 1 5. 2 • 2 0 2 2 3 1 1,442 1,430 1,108 1,034 Losses. $137, 930 103, 734 144, 053 972, 937 1, 370. 511 .171; 501 487, 725 821. 412 1, 986', 700 116,831 307, 204 563, 256 308, 383 153, 764 8,981 35, 946 29, 270 13 00 70 .54. 28 46 94 49 70 57 83 39 50 11 .52 95 11 28, 687 116, 071 14,109 62, 636 260, 719 65, 764 530 36, 396 121, 966 136, 785 4, 409 145, 860 184, 594 85, 939 430, 594 45, 297 85, 689 534, 523 .257, 646 140,165 245, 081 14, 832 50, 801 25, 744 116, 743 96, 341 30,311 146, 611 58, 215 25, 454 58,182 4, 881 29,155 39, 543 19, 596 32 48 20 . 18 11 66 68 85 34 73 07 62 91 52 57 04 36 79 75 23 99 27 50 91 20 75 86 30 78 00 43 41 79 30 26 5, 340 16 37, 690 38 3, 975 36 291 89 11, 487, 330 13, 563, 6.54 11, 757,627 13,217,856 17 85 43 60 j 50,026,469 05 .$292, 453 29 156,483 90 303, 493 65 2,128, 538 18 2, 655, 390 58 523,253 51 940, 909 13 1, 499, 002 31 3,135, 557 37 232,170 56 690.313 72 1,142, 397 09 491, 558 36 333, 022 99 13,193 31 66, 953 74 294, .507 00 749 70 53, 963 43 159, 924 21 50, 337 62 77,616 92 311,196 67 89, 3.59 71 541 11 62, 801 01 2'72, 889 8/ 144.018 71 19,706 11 377, 732 u J 241,715 -dl 124, 591 IL 920, 990 01 96,166 60 1.54,107 90 829, 940 96 723, 932 SO 293, 461 47 420, 931 40 98,740 63 71, 525 09 64, 253 02 242, 613 98 196,163 71 62. .573 85 1.58, 957 41 87, 518 27 58, 575 63 99, 968 05 17, 012 05 39,673 62 109, 794 21 25, 404 87 5, 023 00 10,592 09 40, 534 10 9, 697 09 1,160 70 21, 725, 655 . 24, 466, 799 19, 933, 587 19, 719, 026 15 89 99 42 85, 845, 069 45 141 COMPTROLLER OF THE CURRENCY. In the following table the total losses charged off in each geographical diAdsion of the country during the last four years are shown, with the namber of banks reporting the losses: New England States. Middle S t a t e s . No. No. Soutliern States. Westeru States and Territories. IJnited States. No. No. S i x u i o n t h s ending— Amouut. Amount. M a r c h 1,1876 201 $1, 485, 532 S e p t e m b e r 1,1876 . . 282 3, 074,128 268 $3, 553,129 344 7,156, 349 4, 559, 660 10.709.478. Total, 1876 289 M a r c h 1,1877 S e p t e m b e r 1,1877 . . 312 Total, 1877 3, 344, 012 4, 016, 814 417 449 3, 462, 684 3, 945, 806 67 90 Amount. see' $6, 501,170 $308, 861 • 270 $1,153, 648 896, 891. 318 2, 090,489 1,034 13, 217, 857 1, 205, 752 80 86 Amount. 478, 252 511, 841 7, 408, 490 990, 093 4, 506, 813 5, 502, 770 124 672, 032 140 1, 225, 602 3, 244,137 297 357 19,719,027 980 8,175, 961 1, 769, 697 2, 474, 940 1,108 11,757,627 4, 244, 637 19, 933, 588 436 442 2, 380, 288 1,304 10, 903,145 2, 818, 469 1,430 13, 563, 655 458 456 2, 336, 600 1, 421 10, 238, 324 2, 502, 712 1,442 11, 487, 330 10, 009, 583 1, 897, 634 3, 592, 950 4. 360, 440 125 696, 646 139 1, 235, 784 7, 000, .522 7, 953, 390 1, 932, 430 1 4,839,312 21, 725, 654 26, 211, 376 36, 080, 941 6, 025, 909 17, 526, 843 85, 845, 069 7, 360, 826 T o t a l , 1878 M a r c h 1,1879 379 S e p t e m b e r 1,1879 . . 384 T o t a l for 4 y e a r s 314 353 7, 290, 368 327 M a r c h 1,1878 S e p t e m b e r 1,1878 . . 399 Total, 1879 2, 465, 328 4, 825, 040 No. Amount. 3, 612,128 3, 388, 394 459 463 24, 466, 800 5,198,757 It Avill be seen from the foregoing table that the total losses charged off'by the banks during the current vear were $21,725,654, that in 187S they amounted to $24,466,800, in 1877 to $19,933,588, and in 1876 to $19,719,027; making a grand aggregate of $85,845,069 of losses Avhich the banks have sustained during the four years named. Of the $57,950,081 of losses charged off within the last two and a half years, $8,639,407 was on account of depreciation in the premium on the United States bonds held by the banks. The total losses thus charged off during the last four years are more than 19 per cent, of the entire capita of the banks. The amount of losses sustained in the several principal cities of the United States is shoA^^n in the following table: Cities. New York Boston Philadelphia Pittsburg Baltimore N e w Orleans 1876. $6, 873, 759 1, 598, 722 152, 976 333, 851 876, 207 519, 701 1877. 97 68 14 56 32 41 $4, 247, 941 66 2, .192, 053 81 333,248 47 289, 466 59 200, 597 74 286, 259 47 IS78. $5,147, 319 2, 490,197 561, 676 419, 036 368, 915 338,496 1879. 98 46 30 51 99 90" $3,135, 557 2, 655, 390 491, 558 333,022 294, 507 272,889 Total. 37 $19, 404, 578 98 58 8, 936, 364 53 36 1, 539, 459 27 1 ^7r, .^77 C^^ 99 00 ii 740! 228 05 871 1.417. .347 fin These losses have, to a considerable extent, been charged to the current profits of the banks—that is, to the profits of the semi-annual periods in which the losses occurred. In some cases, hocwever, where the losses were large, they haA^e been parity met from the accumulated profits ot the banks, including the legal surplus; and in extreme cases they have been met, either by assessment upon the shareholders, or by a reduction ofthe capital stock under section 5143 ofthe Eevised Statutes. It wiU be seen from the above that the national banks haA^e not escaped the effects of the general depression which, since 1873, has affected all branches of trade and industry in the country, and this will still more plainly appear in the paragraphs and tables Avhich follow, relating to surplus and diAddends. 142 "^ REPORT ON THE FINANCES. SURPLUS. In addition to the paid-up capital which each national bank must have, and which must be kept always unimpaired, there is also the surplus fund, which the law proAddes shall be accumulated by setting aside, before the usual semi-annual diAddend is declared, one-tenth part of the semi-annual net profits of the bank. In course of time this legal surplus becomes working capital, in the case of many banks largely exceeding their nominal capital. The ca.pital and surplus together form the working fund of a bank, each contrilDuting pro rata to its ultimate profits; and the banks which make large diAddends in proportion to their capital are those Avhicli haA^e accumulated a large surplus, such dividends being really earned by their combined capital and surplus. The folloAving table shoAvs the growth of suiplus from the commencement of the system to the present time, as nearly as possible by semiannual periods, with the increase or decrease for each period : Surplns. Dates. Amount. Snrplus. Semi-annual i n c r e a s e or decrease. Dates. Amount. Increase. J u l y 4,1864 J a n n a r y 2,1865 J n l y 3, 1865 J a n n a r y 1,1866 J u l y 2 1866 J a n u a r y 7,1867 J u l y 1,1867 J a n i i a r y 6,1868 J u l y 6 1868 . ... J a n u a r y 4,1869 J u n e 12,1869 J a n n a i - y 22,1870 J u n e 9 1870 D e c e m b e r 28,1870 . . . . J n n e 10,1871^ D e c e m b e r 10,1871 . . . . $1,129, 910 8, 663, 311 31, 303, 566 •43,000,371 50,151, 992 59, 092, 875 63, 232, 811 70, 586,126 75, 840,119 81,169, 937 82, 218, 576 90,174, 281 91, 689, 834 94, 705, 740 98, 322, 204 101, 573,154 $7, 533, 401 22, 640, 255 • 11, 696, 805 7,151, 621 9, 840, 883 • 3, 239, 936 7, 253, 315 5, 253, 993 5, 329, 818 1, 048, 039 7, 955, 705 1, 515, 553 3, 015, 906 . 3,616,464 3, 250, 950 i J u n e 10,1872 $105,181, 943 1 D e c e m b e r 27,1872 . . . 111, 410, 249 ' J n n e 13,1873 116, 847, 455 1 D e c e n i b e r 26,1873 . . . 120, 961, 268 ! J u n e 26,1874 ,126, 239, 308 D e c e m b e r 31,1874 . . . 130, 485, 641 J u n e 30,1875 133,169, 095 D e c e m b e r 17,1875 . . . J u n e 30,1876 1 D e c e m b e r 22,1870 .. i J u n e 22,1877 . . ^ 1 D e c e m b e r 28,1877 . . . 1 J u n e 29,1878 1 J a n n a r y 1,1879 i J u n e 14,1879 . 133, 085, 422 131, 897,197 131, 390, 665 124, 714, 073 121, 568, 455 118,178, 531 116, 200, 864 114,321,376 Semi-annual i n c r e a s e or ^ decrease. Increase. $3, 608, 789 6, 228, 306 5, 437, 206 4,113, 813 5, 278, 040 4, 246, 333 2, 683, 454 Decrease. $83, 673 1,188, 225 506, 532 6, 676, 592 3,145, 618 3, 389, 924 1, 977, 667 1, 879, 488 The total surplus fund, Avhich up to June, 1875, had from, the beginning shown a constant increase, during the six months next following first began to show a decrease; while each semi-annual period since the latter date has exhibited a still diminishing surplus, thus in some measure indicating how severely the national banks-haA^e felt the business inactivity aud depression of the past six years. DIVIDENDS. Since the year 1869 the banks have been required to make semi-annual rei)orts of their dividends and earnings. From these reports tables have been prepared showing the profits and dividends of all the national banks. The latter must, to afford a fair view of the subject, be considered in tlieir relation, not alone to capital, but to capital and surplus combined; since, in reality, the latter contributes proportionately as much to the semi-annual profits from which the dividends are derived as does the former. In ihe appendix is. given a table Avliich shows in a concise form the ratio of dividends to capital, and of dividends to the united capital and surplus, and also the ratio of the total net earnings to capital and surplus, of the national banks in each State and principal city in the Union, for each half-year from March 1, 1875, to September 1, 1879. 143 COMPTROLLER OF THE CURRENCY. The following table shows the capital, surplus, diAddends, and total earnings of all the national banks, for each half-year from March 1,1869^ to September 1, 1879, together with the ratio of diAddends and earnings to capital, and to combined capital and surplus: KATIOS. P e r i o d of six N o . of m o n t h s endbanks. ing- Sept. Mar. Sept. Mar. Sept. Mar. Sept. Mar. Sept. Mar. Sept. Mar. Sept. Mar. Sept. Mar. Sept. Mar. Sept. Mar. Sept. 1,1869 1,1870 1,1870 1,1871 1,1871 1,1872 1,1872 1,1873 1,1873 1,1874 1,1874 1,1875 1,1875 1,1876 1,1876 1,1877 1,1877 1,1878 1,1S7S 1,1879 1,1879 Capital. T o t a l dividends. Snrplus. 1,481 $401, 650 802 $82,105, 848 1, 571 416, 366, 991 86,118, 210 1,601 425, 317,104 91, 630, 620 1,605 428,'699.165 94, 672, 401 1,693 445, 999, 264 98, 286, 591 1,750 450, 693, 70699, 431, 243 1,852 465, 676, 023 105,181, 942 1,912 475, 918, 683 114, 257, 288 1, 955 488,100, 951 118,113, 848 1,967 489, 510, 323 123, 469, 859 1, 971 489, 938, 284 128, 364, 039 2,007 493, 568, 831 131, 560, 637 2, 047 497, 864, 833 : 134,123, 649 2, 076 504, 209, 491 i 134, 467, .595 2,081 500, 482, 271 ' 132, 251, 078 2,080 496, 651,.580 , 130,872,165 2, 072 486, 324, 860 | 124, 349, 254 2, 074 475, 609, 751 122, 373, 561 2,047 470, 231, 896 : 118, 687,134 2, 043 464, 413, 996 • 116, 744,135 2, 045 455,132, 056 115,149, 351 Total net earnings. Dividends to capital. Dividends to capital a n d snrplus. P e r cent. P e r 5.42 5.16 4.96 5.18 4.96 5.07 5.12 5.22 5.09 4.81 5.09 5.01 4.88 4.92 4. .50 4.39 4.54 3.99 3.81 3.78 3.82 • $21, 767, 831 $29, 221,184 21, 479, 095 28, 996, 934 21, 080, 343 26,813,885 22, 205,150 27, 243,162 22,125, 279 627, 315, 311 22, 859, 826 27, 502, 539 23, 827, 289 30, 572, SGI 24, 826, 061 31,926,478 24, 823, 029 33,122, 000 23, 529, 998 29, 544,120 24, 929, 307 30, 036, 811 24, 750, 816 29,136. 007 24, 317, 785 28,800,217 24, 811, 581 23, 097, 921 22, 563, 829 20, .540, 231 21, 803, 969 19, 592, 962 22,117,116 15, 274, 028 18,982,390 16, 946, 696 17, 959, 223 13, 658, 893 17, 541, 054 14, 678, 660 17, 401, 867 16, 873, 200 cent. 4.50 4.27 4.08 4.24 •4. 07 4.16 4.17 4.21 4.09 3.84 4.03 3.96 3.85 3.88 3.57 3.47 3. 62 3.17 3.04 3.02 3.05 Earnings to c a p i t a l a n d surplns. P e r cent. 6.04 5.77 5.19 5.21 5.02 .5.00 5.36 5.41 5.4-6 4.82 4.86 4.66 4.56 3.62 3.25 3.12 2.50 2.83 2.31 2.53 2.96 This table shows that there has been a stead^^ falling off* in the rate of earnings since 1870. In that year the ratio of diAddends to capital was 10.12 per cent, while this year it is but 7.60 per cent. In the former year the ratio of dividends to capital and surplus was 8.35 per cent, while now it is 6.07 per heui. only -, and since the date mentioned the ratio of earnings to capital and surplus has fallen from 10,96 per cent, to 5.49 per cent. This marked decline is directly attributable to the losses sustained by the banks, in conseciuence of which many of them have declared no diAddends at all, Avliile others, though declaring diAddends, have reduced them to a rate far below the aA^erage legal rates of interest. The following tabular statement shows by geographical diAdsions the number of national banks, Avith their capital, which haA^e paid no dividends to their stockholders during the semi-annual periods of 1878 and 1879 respectiA^ely, together with the totals of each semi-annual period for the three preceding years: Six m o n t h s ending— A v e r a g e for year. G e o g r a p h i c a l divisions. M a r c h 1,1879. N o . of banks. N e w England States Middle States Southern States. • W e s t e r n States and T e r r i t o r i e s . . Totals Totals Totals Totals for for for for 1879 1878 1877 1876 A v e r a g e for four y e a r s Capital. the S e p t e m b e r 1,1879. ^ L t ^ capital. ^-o^. 46 99 32 132 516,135, 700 17, 804, 000 5, 751, 000 14,153, 000 42 $15,020,000 91 12, 920, 300 41 5, 254, 000 125 11, 382, 000 44 95 37 128 309 328 245 235 53, 843, 700 48, 797, 900 40, 452, 000 34, 290, 320 299 357 288 273 44, 576, 300 58, 736, 950 41,166, 200 44, 057, 725 304 343 266 254 279 44, 345, 980 304 47,134, 294 Capital. $15, 15, 5, 12, 577, 850 362,150 502, 500 767, 500 49, 210, 000 53, 767, 425 40, 809,100 39,174, 022 45, 740,137 144 REPORT ON T H E FINANCES, The number of banks passing dividends in the first dividend period of 1879 was 309, Avith a total capital of $53,843,700; in the second period the number was 299, Avith a capital of $44,576,300; while during the last four 3^ears the aA^erage number of banks semi-annually passing dividends on account of losses has been 292. The average amount of capital upon which no dividends have been paid during that time is $45^740,137; from Avhich it folloAvs that for a continuous period of four j^ears about one-seA^enth of the whole number of banks in operation haA^e paid no diAddends, and that more than one-tenth of the total capital has been uiiremitnerative. The percentage to capital of dividends paid, and of dividends and earnings to combined capital and surplus, is giA^en by similar diAdsions in the following table, for the years 1877, 1878, and 1879: 1877. Geographical divisions. New England .. States Middle States.. Sonthern States Western States and Territories UnitedStates.. • 1878. 1879. DiviDiviDivi- Earnings Earnings Divi- dends Divi- dends to to Divi- dends to Earnings capital dends capiital dends to capitalto to cai^ital to dends to capital toand caintal snr- capital. and sur- and sur- capital. and sur- and surcapital. and surplus. plus. plus. plus. plus. plus. Per ct. Per ct. Per ct. 6.0 6.6 7.1 4.7 5.4 7.1 12.2 9.6 8.9 7.1 7.6 8.5 8.3 Per ct. Per ct. 6.9 7.9 7.3 5.5 6.1 6.2 7.2 9.6 7.8 5. 6 7.8 1 6.2 Per ct. 4.3 4.9 5. 7 Per ct. Per ct. Per ct. 6.4 7.9 7.0 5.2 6.1 6.0 4.2 5.8 5.4 6.9 9.4 7.5 7.1 5.1 7.6 6.1 5.5 The tiiree subjects of losses, surplus, and diAddends are, it will be perceived,' intimately connected one with another. The large losses, the depleted surplus, and the diminished diAddends of the national banks all point to the conclusion that these institutions cannot longer continue to pay the heaA^y rates of taxation imposed upon them alike h j the States and by the General Government, and at the same time adequately remunerate their shareholders for the use of their capitM. TAXATION. The Gomptroller respectfullj^^ calls the attention of Congress to the subject of taxation of the circulation, capital and deposits of the national banks, and again recommends the repeal of the tax upon their capital and deposits. The reasons Avhich induce this recommendation are gix^en at length in his report for' 1877. It is important to be considered that this tax originated as a Avar measure. At the time it A^as imposed it was deemed expedient, in order to meet an extraordinary emergency, to lay CA^en the necessaries of life under contribution to sustain the government. All taxes thus imposed upon these necessaries have since then been repealed, and the internal rcA^enue of the government, Avith the exception of that arising from the tax on banking capital and deposits, is IIOAV derived from imposts on spirits, tobacco, matches, patent medicines and fermented liquors. Even the tax on tea and coffee, which are admitted luxuries, has been removed. Banking capital, one of the necessities of trade and commerce, is^thus put on a footing with what are generally considered the least indispensable luxuries. 145 COMPTROLLER OF THE CURRENCY. The taxes imposed by the general gpvernment are not the only ones to which the national banks are now compelled to subniit. As has b'een shown in previous reports, a large proportion of the taxes of the banks are those imposed under State laws. The repeal of thelaw of the United States which taxes banking capital and deposits w^ould not, therefore, reinove the heaviest burden to which the banks are subject. It would, however, hghten the Av^eight which now rests upon them, and Avhich amounts to nearly seventeen inillions annually, or more than 4 per cent, upon the total amountof national-baiik circulation outstanding; and such action on the part of Congress AA^ould set an example, the wisdom of which might perhaps" be recognized and copied by State legi.^llatures. In order to show how the taxes paid by national banks under State laws coin]iare AAdth those paid by the same banks under the laws of th^ United States, the Comptroller presents with this report tables for the years 1867 and 1869, and for the years from 1874 to 1878, inclusive, show^ ing the total taxes paid in each State and reserA^e city, with the capifal of the banks, and the percentage of tax to capital in each case. Th^. tables for the years named, AAdth the exception of that for 1878, will fe found in the appendix. The table for the latter year is given below^ and shows, by geographical divisions, the amounts of taxes paid an,d their percentage to capital: .ii Patios to capital. A m o u n t of taxes. s t a t e s a n d TeiTitories." Maine New Hampshire. A^'ermont Massachusetts .. Bo-ston Ehode Island Connecticut N e w England States New York New York City... Albany N e w Jt'.rsey . Pennsylvania Pbiladelphia Pittsburgh Delaware Maryland l3altimore ' D i s t i i c t of C o l n m b i a . AVashington Middle States . Virginia ' We.st Virginia North Carolina... S o n t h Carolina . . . • Georgia Plorida Alabama N e w Orleans . Texas •Arkansas Kentucky Lcmisville Tennessee Southern States . Capital.* United States. State. $10, 760, 000 5, 740, 000 8, 544, 285 44, 260,128 51, 927, 865 . 20,031,112 25; 474, 204 $114, 880 64, 849 88,157 499, 959 672, 766 191, 4.10 268, 714 $231,6.55 101, 484 158, 588 760,115 702, 834 2.57, 6,54 380, 713 $346, 535 166, 333 246, 745 1, 260, 074 1, 375, 600 449,004 649, 427 166, 737, 594 1,900,735 2, 593, 043 4, 493, 778 Ll 1.6 2..T; 33, 541, 481 55,150, 348 2, 000, 000 14,101, 926 28.549,169 16, 843. 000 10, 350, 000 1,738,-294 2, 264, 510 10, 762, 648 252, 000 1, 215, 023 499,197 I, 226, 933 55, 609 203, 567 395, 089 333,161 134, 072 24, 451 31, 847 129, .571 4, 392 16,687 700, 786 1, 606, 049 56, 440 2.57, 276 187, 709 114,235 54, 068 6,980 29, 903 197,716 255 6, 068 1,199, 983 2, 832, 982 112, 049 • 460,843 582, 798 447,396 188,140 31, 431 61, 750 327, 287 4,647 22, 755 1.5 2.2 2.8 1.4 1.4 2.0 1.3 1.4 1.4 1.2 1.7 1.4 2.1 2.9 2.8 1.8 0.7 0.7 0.5 0.4 3.5 5.1 > 5.6 176, 768, 399 3,054,576 3, 217, 485 6, 272, 061 66, 607 27,196 31, 982 59, 010 37, 667 851 22, 404 28. 332 15,104 2,705 39, 830 16, 469 57, 919 11.5, 396 48, 607 62, 477 88, 525 63, 436 1, 630 42, 230 74, 400 29,967 5,948 117, 876 57, 210 108, 213 1.5 1.2 1.2 1.0 1.2 1.6 1.2 1.5 1.4 1.6 1.1 1.4 1.6' 2.2 1..6. 1.3. 2'1 1.8 1.7 1.3 1.0 1.7 1.3 0.6 0..5 2.1 406, 076 815, 915 3, 221, 202 1,714,179 2, 553, 083 2, 853,154 2, 083, 322 50, 000 1, 668, 000 3, 040, 538 1, 072, 099 205, 000 7, 030, 396 3, 012, 075 3, (*80, 300 31,583,348 48, 789 21, 411 30, 495 29r515 25, 769 779 19, 826 46, 068 14, ri63 3, 243 78, 046 40,741 50,294 409, 839 Total. U. S. State. P e r bt. P e r bt. 1.1 2.2 1.1 1.8 1.0 1.9 1.1 1.7 .1.3 1.3 0.9 1:3 1.0 1.5 r.3 1.8 0.1 0.6 Total. P e r fit. 3.3 2.9 2.9; 2.9 2.6 . 2i1 ' 2.5 2.. I 2.7 1.81..8 2'.T 3.0, l.,8; 2.0! 3.5 3^•7 2.'8.r 2. 5i 3.1i 3.0i . 3. 3.. 2.5-; 2. 5v 3.-1; 1.7 1.9 •%:• 6 •*The c a p i t a l of t h e b a n k s t h a t r e p o r t e d S t a t e , c o u n t y , a u d m u n i c i p a l t a x e s on s t o c k a n d r e a l estjvte i8.$463,983,724. ... , , „ IOF 146 REPORT ON THE FINANCES. Table of Taxes, cfc,—Continued. A i n o u n t of t a x e s . Ohio • . Cincinnati , Cleveland Indiana Illinois Chica.go Michijiau ^ ; Detroit Wiaccinsin ' Milwaukee I<)wa Minnesota Missouri Saiut Louis Kan.sas vNebraska Colorado Oregon California* San E r a n c i s c o * N e w Mexico Ujt«h : I d a h o '. .Montana AVyoming Dakota ..; AVashington...: ;. AVestern S t a t e s a n d ! Territories - . Tottds E a t i o s t o capital. Capital. States and Territories. :. United States. State. Total. U . S. $18, 903, 637 4, 333, 333 4, 289,130 15,381,544 11, 31.9, 200 4, 770,166 7, 561, 740 2,100, 000 2, 690, 000 650, 000 6, 048, 704 4, 793,131 1, 725, 817 2, 653, 750 952, 320 950, 000 1, 003, 750 250, 000 1, 550. 000 2,750,000 300, 000 200, 000 100, 000 332, 880 125, 000 129,124 111, 671 $254, 030 65, 684 46, 252 194,104 157. 543 118, 637 90, 915 35,165 40, 748 15, 556 81, 949 62, 850 24, 512 44, 014 15,238 21,090 24,-002 7,710 18, 547 22, 570 4, 280 2, 803 1,396 6, 637 2,188 2, 363 699 $390. 062 120,832 86, 779 316, 918 210, 986 106,1.57 113,231 31, 099 49, 903 17,144 115, 594 92, 720 31, 987 62, 748 21,131 23, 706 23,106 2, 925 3', 696 169 5,243 2, 7.50 3,147 4,588 2, 636 672 $644, 092 186, 516 133, 031 511, 022 368, 529 224, 794 204,146 66, 264 90, 651 32, 700 197, 543^ 155, 570 56, 499 106, 762 36, 369 45, 396 47,108 10,635 22, 243 22, 739 9, 523 5,553 4, 543 11, 225 4,824 3,035 699 P e r ct. P e r ct. 1.3 2.1 1.5 2.7 1.1 2.0 1.3 2.1 1.4 2.0 2.5 2.6 1.2 1.5 1.7 1.5 1.5 2.0 2 4 2.6 1.4 2.1 1.3 2.0 1.4 2.5 1.6 2.4 1.6 2.6 2.3 2.6 2.4 2.4 3.1 1.2 1.2 0.3 0.8 0.0 1.4 1.8 1.4 1.4 1.4 3.2 2.0 3.1 1.8 2.1 1. 8 1.3 0.6 0.0 95, 974, 897 1, 362, 082 1, 839, 929 3,202,011 2.0 471, 064, 238 6, 727, 232 8, 056, 533 14, 783, 765 1.7 State. Total. P e r ct. ,3.4 4.2 3.1 3.4 3.4 5.1 2.7 • 3.2 3.5 5.0 3.5 3. 3 . 3.9 4.0 4.24.9 4.8 4.3 1.5 0.8 3.2 2.8 4.6 5.1 3.9 3.1 0.6 3.1 *California b a n k s p a y n o S t a t e t a x e s on capital, e x c e p t s u c h as is i n v e s t e d in r e a l e s t a t e . !; I t is to be regretted that it has not been possible to obtain the data from which to prepare a table similar to the above, showing the United .States and State taxes paid by banks other than national, with their capital and ihe percentage of tax to capital. In thefollowing table, hoAvevex., the taxes ^paid annualy to the Commissioner of Internal Eevenue by banks other than national, on circulation, oil deposits, and on capital, are given from 1864 to 1879: Years. 1864... 1865 1866 1867 1868... i'mo 1870' i>r7i... 1872... iH73 •1'874. 1675 1876 1877 1878... iB79 -. '• •• Aggregates O n circulation. 996 30 661 84 278 11 298 75 669 88 .565 05 419 94 •781 92 919 82 778 (r2 738 26 746 27 947 67 430 16 118 72 903 29 O n deposits. 723 52 2, 043,841 08 2, 099,635 83 1,3.55, 395 98 1, 438,512 77 1,734, 41.7 63 2,177, 576 46 2, 702,196 84 3, 643,251 71 3, 009,302 79 2, 453,544 26 2, 972,260 27 2, 999,530 75 2, 896,637 93 2, 593,687 29 2, 354,911 74 5, 450, 254 60 37, 255, 426 85 On c a p i t a l . $903, 367 98 374, 074 11 476,867 73 399,562 90 445,071 49 827,087 21 919,262 77 976,057 61 736. 950 05 916, 878 15 1,102,241 58 989,219 61 927,661 24 897, 225 84 • 830,068 56 Totals. $2, 837,719 82 4, 940,870 90 3, 463,988 05 2, 046,562 46 1, 866,745 55 2,196, 054 17 3, 020,083 61 3, 644,241 53 4, 628,229 14 3, 771,031 46 3, 387,160 67 4, 097,248 .12 4, 006,698 03 3, 829,729 33 3, 492,031 85 3,198, 883 59 11, 721, 596.83 54, 427, 278 28 . .The rate of taxation imposed on the deposits and capital of State banks and private bankers is precisely the same as that imposed upqii national banks. The tax u])on their circulation consists chietly of penilties imposed for its unauthorized issue. ^ 147 COMPTROLLER OF THE CURRENCY. In comparison with the foregoing is placed the following table, showing the taxes paid to the United States by the national banks during the same years: „ G n circulation. Years. 1864 1865 1866 ': 1867 1868 1869 1870 1871 1872 1873 1874 1875 1876 1877. 1878 1879 ! • • •. '. _^Orjr]"fi<T{^-|;0S $53,193 32 733, 247 59 2,106,785 30 2, 868, 636 78 2, 946, 343 07 .. • 2,9.57,416 73 2, 949, 744 13 2, 987, 021 69 3,193, 570 03 3,353,186 13 3,404,483 11 3, 283, 450 89 3,091,795 76 2, 900, 957 53 2, 948, 047 08 3.009,647 16 42, 787, 526 30 . O n deposits. O n capital. $95, 911 87 1, 087, 530 86 2,63.3,102 77 2,650,180 09 2,564,143 44 2, 6.1.4, 553 58 2, 614, 767 61 2, 802, 840 i'5 3,120, 984 37 • 3,196,569 29 3, 209; 967 72 3,514, 265 39 3,50.5,129' 64 3, 451, 965 38 3, 273,111 74 3, 309, 668 90 $18,432 07 133, 251 15 406, 947 74 321, 881 36 306, 781 67 3.12, 918 68 375, 962 26 385, 292 13 389, 356 27 454, 891 51 469, 048 02 .507, 417 76 632, 296 16 660, 784 90 560, 296 S3 401,920 61 Totals. $167 537 26 1, 954, 029 60 5,146,835-81 5 840 698 23 .^ 817, 268 18 .5, 884,888 99 5, 940, 474 00 6,175,154 67 6, 703, 910 67 7 004, 646 93 7,083, 49H 85 7, 305,134 04 7, 229, 221 5(> 7, 013, 707 81 6, 781, 455 65 6, 721, 236 67 43, 644, 693 50 6, 337, 479 12 92, 769, 698 92 The taxes abOA^e shown are those paid under the laws now in force, requiring the national banks to. pay semi annually to the Treasurer of the United States a duty of one-half of one per cent, on the average amount of their circulating-notes outstanding, oiie-quarter of one per cent, upon the aA^erage amount of their deposits, and a like duty upon their capital in excess, of the ainount iuvested in United States bonds. It will be seen that the national banks have contributed more than tAvo-thirds of the Avhole amount of the taxes paid by the banks and bankers of the country, while the cost to the government of the national system since its inauguration in 1863, including the engraving of plates and the printing of circalating-notes, has been but $4,732,731. From tables similar to the one first given herein for 1878, showing the amounts ofnational and State taxes paid by the national banks, the following condensed table has been prepared, AAdiich shows the taxes, national and State, paid by the national banks during each 5^ear froni 1866 to 1878 inclusive. The taxes shown for 1866, 1867, and 1869, and for the years 1874 to 1878, inclusive, are from complete data obtained by this Office, while those given for the year 1868, and from 1870 to 1873, inclasive, are estimated. In the returns of theUnited States taxes paid prior to 1872, the special or license tax of two dollars on each one thousand dollars of capital, and the income tax on net earnings, are included: • Ratio of tax to capital. A m o u n t of taxes. Tears. Capital stock. IJnited States. 1866 1867 1868 1869 1870 1871 1872 1873 1874 1875 1876 1877 1878 $410, 593, 435 422, 804, 666 420,143, 491 419, 619, 860 429,314,041 451, 994,133 • 472, 956, 958 • 488, 778, 418 493, 751, 679 503, 687, 911 501, 788, 079 485.250,694 471, 064, 238 State. $7, 949. 451 $8,069,938 • 8, 813,127 9, 52.5, 607 8, 7.57, 656 9,465,652 7, 297, 096 10,081,244 7, 465, 675 10,190, 682 7,860 078 10, 649, 895 8, 343, 772 6, 703, 910 8, 499, 748 7, 004, 646 9, 620, 326 7, 256, 083 7, 317, .531 . 10, 058,122 7, 076. 087 * 9, 701, 732 8, 829, 304 6, 902, 573 8, 056; 533 6,727, 2.32 Total. United State. States. Total. Per ct. Per ct. Per ct: $16,019,389 1.9 2.0 3. 9 18, 338, 734 2.2 2.1 4.3 18, 223, 308 • 2.2 , 2.1 4.3 17, 378, 340 2.4 1.7 4.1 17, 656, 3.57 2.4 1.7 4.1 18, 509, 973 2.4 . 1.7 4.1 1.5,047,682 . 1.4 1.8 3.2 15, 504, 394 1.4 1.8 3.2 16, 876, 409 1.5 2.0 3.5 17, 375, 653 1.5 2.0 3.5 16,777,819 1.4 2.0 3.4 15, 731, 877 1.4 1.9 3.3 14, 783, 765 1.4 1.7 3.1 148 REPORT ON THE FINANCES, In order that it may be seen how unequally these United States and State taxes bear on the national banks in different sections of the country, the following tables have been prepared, giving, for the years from 1874 td 1878 inclusive, the capital stock iiiA'ested, and the percentage thereon of taxes paid,° in each of the four geographical divisions of the country: 1874. A m o u n t of t a x e s . •Eatios t o capital. Caxntal.* G e o g r a p h i c a l divisions. U.S. State. Total. $160,517,266 N e w E n gland S t a t e s 190, 162,129 Middle States 33, •.5.58. 483 Southern States W e s t e r n S t a t e s and T e r r ' s . 109, 513, 801 $1, 896, 533 3, 325, 425 436, 540 1, 597, 585 $2, 980, 484 3,911,371 517, 792 2,210,679 $4, 877, 017 7, 236, 796 9.54, 332 3, 808, 264 493, 751, 679 7, 256, 083 9, 620, 326 16, 876,409 1.5- 2.0 3.5 $3, 016, 537 4, 062, 459 476, 236 2, 502, 890 $4, 953, 553 7, 362, 957 921, 284 4,137, 859 1.2 1.7 1.3 1.5 1.8 2.1 1.4 2:4 3.0 3.8 2.7 3.9 10, 058,122 1 17, 375, 653 1.5 2.0 3.5 $2, 914, 808 4,025,316 431, 164 2, 330, 444 $4, 862, 778 7, 21.5, 563 854, 045 - 3, 844, 533- 1.2 1.7 1.3 1.4 1.7 2.2 1.3 2.3 2.8 3.9 2.6 3.7 9, 701,' 732 16,777, 819 1.4 2.0 3.4 IJnited States ,. U.S. State. P e r ct. P e r bt. 1.2 1.8 1.7 2.1 1.3 1.5 1.5 2.0 Total. P e r ct. 3.0 3.8 . 2. 8 3.5 1875. $164,316,333 N e w Enirland States 193,585.507 Middle States : 34, 48.5,-4K3 Southern States W e s t e r n S t a t e s a n d T e r r ' s . ILL, 300, 588 $1, 937, 016 3, 300, 498 44.5, 048 1, 634, 969 503, 687, 911 7, 317, 531 $168, 068, 379 oSTew E n g l a n d S t a t e s 192,163,773 Middle States 33,439,193 Southern States W e s t e r n S t a t e s a n d T e r r ' s ; 108,116; 734 $1, 947, 970 3,190,247 423, m 1, 514, 089 UnitedStates UnitedStates 501, 788, 079 7, 076, 087 • 1877. $167, 788, 475 N e w England States 182, 885, 562 Middle States 32,212,288 Southern States W e s t e r n S t a t e s a n d T e r r ' s . 102, 364, 369 $1,907,776 3, 129, 990 411,486 1, 453, 321 $2, 864,119 3, 544. 862 429, 149 1, 991,174 $4,771,895 6, 674, 852 840, 635 3, 444, 495 1.1 1.7 1.3 1.4 1.7 1.9 1..4 2.1 2.8 3.6 2.7 3.5 485, 250, 694 6, 902, 573 8, 829, 304 15, 731, 877 1.4 1.9 3.3 United States 1878. \ $166,737, 594 New E n c k m d States 170, 708, 399 Middle States 31,583,348 Sonthern States W e s t e r n S t a t e s a n d T e r r ' s . '95,974,897 $1,900,735 3, 0.54, 576 409, 839 1, 362, 082 $2. 593, 043 3,217,485 406, 176 1, 839, 929 $4, 493, 778 6, 272, 061 815, 915 3, 202, Oil 471, 064, 238 6, 727, 232 8, 056, 533 14, 783, 765 IJnited States . 1.1 1.7 1.3 1.4 1.6 1.8 1.3 2.0 2.7 3.5 2.6 3.4 1-4 1.7 3.1 *The cnpital of the hnnks which reported State taxes in 1874 was $476,836,031; in 1875, $493,738,408 iii 1876, $488,272,782;'in 1877, $474,667,771, and in 1878, $463,983 724. 149 COMPTROLLER OF THE CURRENCY. This table shows that the heaAdest taxes are paid in the Western and Middle States, and the lightest in the Southern and Eastern. The' table below shows for three different years the great inequality in the rates of State taxation paid in the principal cities of the country : ijy H a t e s of t a x a t i o n . Cities. 1877. IJnited States. State. P e r bent P e r 1.4 1.9 3.2 2.1 1.4 1.2 1.2 1.6 1.4 1.7 1. I 2.2 1.6 2.2 • 1.3 1.2 Boston New York... j^lbany Philadelphia Pittsbui-rjli.. Baltimore .. . W a s h i nekton N e w Orleans Louisville . . Cincinnati... Cleveland... Chica.so Detroit Milwaukee. . Saint Louis.. Saint P a u l .. TotaL United States. bent P e r bent P e r 1.6 3.0 3.5 5.4 3.4 .6.6 0.7 2.8 0.5 L9 2.0 3:2 1.1 2 3 0.2 L8 0. 5 L9 2.9 4.6 2.5 3.6 3.0 5.2 1.5 3.1 2 9 5.1 2.6 3.9 1.8 3.0 State. Total. bent Par bent P e r 1.6 L3 2.9 2.1 3.2 3.0 0.7 2.1 0.5 L4 L 9 L2 0.7 L3 0.9 L5 0.5 L4 2.9 1.7 2.2 Ll . 2 .9 2.2 1.7 L6 2.6 2.4 2.5 L4 L7 L3 United States. State. Total. bent P e r bent P e r eent P e r 2.9 L3 L3 5.0 2.2 2.9 6,2 2.8 2.8 2.8 2.0 0.7 L9 L3 0.5 3.L L2 • L8 2.0 ' L4 0.6 2.4 L5 LO 1.9 L4 0.5 4.6 L5 2.7 3.3 Ll 2.0 5.8 2.5 2.6 3.3 L7 L5 5.0 2.4 2.6 3.9 L6 2.4 3.0 1.3 L5 bent 2.6 5.1 5.6 2.7 L8 3.0 2.0 2.5 L9 4.2 3.1 5.1 3.2 5.0 4.0 2.8 The States in which the rates of State taxation were most excessive during the years 1§76, 1877, and 1878 are shown in the table below: 1877. 1876. 1878. states. U.S. New York New Jersey Ohio ." Indiana Ulinois AVisconsin Nebraska . , South Caiolina Tennessee State. P e r bent P e r L8 L4 L3 L2 1.8 L7 L5 2.2 ,..•.... LO L4 ,.. Total. bent P e r 3.1 2.1 2.7 2.5 2.4 2.1 3.0 2.5 . 2.7 2.1 U.S. bent P e r 4.9 3.5 4.0 3.7 4.2 3.8 4.5 4.7 3.7 3.5 State. TotaL bent P e r bent P e r L9 • 2 . 7 L4 La L4 2.4 L2 2.3 L7 '2.2 L7 2.1 1.7 2.6 2.3 2.3 LO 2.6 L6 2.2 U.S. bent P e r 4.6 3.3 3.8 3.5 3.9 3.8 4.3 4.6 3.6 3.8 State. bent P e r 2.0 L4 L3 L3 L7 L7 L6 2.3 1.0 L6 Total. . bent P e r 2.6 1.8 2.2 2.1 2.1 2.2 2 6 2.6 . 2.1 "> 2.1 be7it 4.6 3.2 3.5 3.4 3.8 3.9 4 2 4.9 3.1 3.7 In the foregoing tables there appears to be an inequality in national as well as State taxation; but this inequality is seeming only, and arises from the fact that while the rate of tax imposed on circulation, deposits, and capital is uniform as to all banks and in all sections of the country, yet in the tables there is given the percentage of the total tax to the capital only. Therefore, in those States where the deposits and circulation are large in proportion to capital, the per(ientage appears greater. In States where the deposits and circulation are proportionately smaller, the percentage appears less. But in the case of State taxation the iur equality is a real one, as the whole taxes^are laid directly on the shares of capital stock alone. These heaA^y impost rates of necessity compel national and other banks and bankers to raise their rates of discount, ih order to be able both to pay the tax and to make a reasonable return to their stockholders for the use of their capital f and this increased rate 150 REPORT ON THE FINANCES. of discount must be and is largely paid by the producers and actiA^e business men of the country, AYho are the customers of the banks. For the past twelve years, upon an average combined capital and sur-; plus of. $588,5'54,173, the average annual net earnings of the national banks, including the amount paid in taxes, have been $68,078,144. Of this latter sum $16,053,578, or about one quarter, have been annually I)aid in taxes, national and State, and about $45,443,564 have been annually paid in dividends. Of the $16,953,578 paid annually in taxes of all kinds, $3,239,909 haA-e been paid to the United States under the law taxing deposits and capital, the repeal of which the Gomptroller earnestly recommends. These taxes amount to nearly one per cent, of the average capital, and its repeal Avould undoubtedly, in the case of the country banks at least, have an appreciable eftect in lowering the rate, bf discount. RESERVE. ' The following table exhibits the amount of net deposits, and the resei'A'e required thereon by the act of June 20, 1874, together with the" amount and classification of reserve held by the national banks in 'New York City, in the other reserve cities, and by the remaining banks, at the date of their reports in October of each year froni 1875 to 1879: N E W YORK CITY. Nuraber of N e t de- R e s e r v e banks posits. required. MiUions. O c t o h e r 1 1875 O c t o h e r 2,1876. O c t o b e r ] 1877 Octol)er 1,1878 O c t o b e r 2,1879 48 47 47 . 47 47 202. 3 197.9 174.9 189.8 210.2 Millions. .50.6 49. 5 43. 7 47.4 52.6 Classification of r e s e r v e . R e s e r v e held. O t h e r law- D u e from R e d e m p Specie. ful m o n e y . a g e n t s . tion fund. Amount. R a t i o to deposits. Millions. Per. cent. Millions. 29.9 30.7 27.5 26.8 25.3 5.0 14.6 13.0 13.3 19.4 60.5 60.7 48.1 50.9 53.1 Millions. MiUions. 54.4 4.5.3 34.3 36.5 32.6 Millions^ LI 0.8 0.8 1.1 LI OTHER RESERVE CITIES. October October October October Octob/j.' 1,1875 2,1876 1,1877 1,1878 2,1879 188 189 188 18^. 181 223.9 217. 0 204.;. 199 9 228.8 56.0 54.2 51. 0 50.0 57.2 74.5 76.1 67. J; 7L1 83.5 33.3 3.5.1 33.0 35.6 36.5 L5 4.0 5.6' 37..1 37.1 34. Ji 29.4 33.0 32.3 32. 0 24.'t 2a 1 35.7 . 3.6 3.0 3.0 3.2 3.5 1.6 2.7 4.2 8.0 11. 5 33.7 3L0 3L6 3L1 30.3 .53. S 5.5.4 48.9 56.0 71. 3 1L5 10.8 10.7 ILO IL 2 8.1 21.3 22.8 30.7 42.2 125.2 113.4 100.2 97.0 95.9 85.6 87.4 73.3 85.] 107.0 16.2 14.6 14.5 15.3 15.8 9.^r 1L3 STATES AND TERRITORIES. October October October October October 1,1875 2,1876 1,1877 1,1878 2,1879 1,851 1, 853 1, 845 1,822 1, 820 307.9 291. 7 290.1 28a 1 32a 9 46.3 43.8 43. 6 43. ^ 4a 5 loai 9a 9 95.4 • ,106.:. 124.3 32.5 34.3 32. 9 36. 7 37.7 SUMMARY. O c t o b e r 1,1875 O c t o b e r 2,1876 O c t o b e r 1,1877 O c t o b e r l , 878. O c t o b e r 2,1879. 2,087 2, 089 2,080 2, 053 2, 048 734.1 706.6 66a 1. 678. 8 • 768.9 152.2 147.5 138. 3 . 140.8 15a 3 235.1 236.7 210 8. 228.1 260. 9, 32.0 33.5 31.5 33.6 33.9 It will be seen from the above table that the reserA^e held by the banks in the city of New York on October ,2 last was much less in proportion 151 COMPTROLLER OF THE CURRENCY. to their liabilities than it had been at a corresponding date in any of the four preceding years. . The following table, compiled from returns made to the Clearing House by the national banks in N^ew York City,.exhibits the movements of their lavA-fiil-mouey reserve, weekly, during the month of October, tor. the last seven years: R a t i o of r e s e r v e t o W e e k ending— October 4, 1873 O c t o b e r 11, 1873 O c t o b e r 18, 1873 O c t o b e r 25, 1873 October 3, 1874 October 10, 1874 O c t o b e r .17, 1874 O c t o b e r 24, 1874 O c t o b e r 31, 1874 October 2, 1875 O c t o b e r 9, 1875. O c t o b e r 16,'1875 October 23. 1875 October 30, 1875 O c t o b e r ,7, 1876 O c t o b e r 14, 1876 O c t o b e r 21, 1876 O c t o b e r 28, 1876 October 6, 1877 October 13, 1877 O c t o b e r 20, 1877 O c t o b e r 27, 1877, October 5, 1878 O c t o b e r 12, 1878, O c t o b e r 19, 1878 O c t o b e r 26, 1878 O c t o b e r 4, 1879 O c t o b e r 11, 1879 O c t o b e r 18, 1879 October 25, 1879 Specie. $ a 240, 300 10, .506,-900 I L 6.50,100 ll,433^500 15, .373, 400 14,517,700 12,691,400 11, 4.57, 900 10, 324, 900 5, 438, 900 5,716,200 5, 528, 500 5, 735, 000 8, 975. 600 17, 682, 600 16, 233, 600 15,577,500 14,011,600 14, 665, 600 14, 726, 500 14, 087, 400 1.5, 20a 000 14, 995, 800 12,184, 600 13, 531, 400 17, 384, 200 18, 979, 600 20, 901, 800 24, 686, 500 25, 636, 000 Legal-tenders. Total. .$9, 251, 900 $18, 492, 200 8, 049, 300 18, 556, 200 5,17a 8C0 16, 829, 900 7,187, 300 18, 620, 800 53, 297, 600 68, 671, 000 52,152, 000 66, 66a 700 51, 8.55,100 64, 546, 500 61,35L800 49, 893, 900 61, 097, 900 50, 773, 000 61, 620, 400 .56,181, 500 57, 0.58, 500 51, 342,. 300 48, 582, 700 • 54, i l l , 200 47, 300, 900 53, 035, 900 4.5, 762, 800 54, 738, 400 45, 535, 600 63, 218, 200 43, 004, 600 ' 5 a 238, 200 41,42L700 56, 999, 200 41, 645, 600 55, 657, 200 36,168, 300 50, 833, 900 35,178, 900 49, 905, 400 35,101, 700 4 a 18a 100 4 a 5 7 6 , StiO 34, 367, 800 53, 300, 700 38, 304, 900 49, 869, 700 37, 68.5,100 50,107,400 36, 576, 000 53, 074, 700 35, 690, 500 53, 347, 600 34, 368, 000 53, 722,100 32. 820, 300 .53, 991, 700 29, 305, 200 52, 349, 900 26, 713, 900 Circulation a n d D e p o s i t s , deposits. P e r bent. 1L6 11.6 10.7 12.2 3a 0 2a 6 2a 0 28.8 27.9 28.1 26. 5 25.4 25. 3 26 5 30. 5 28.8 27.8 28.0 27.0 26.7 26. 5 26.8 25.7 24. 4 24.7 25:8 23. 3 23.4 23.5 23. 0 P e r bent 14.0 14.1 . 1.3., 0 14.8 33. .9 33.3 32.7 3L7 3L6 30.6 * 28.<9 27.7 ' 27.7 29.6 32.4 3Li 3a 0 3a 3 2a 5 29. 2 2a'o 29:-4 28:4 27.6 27.3 .28. 5 2.5.>H 25.9 • 26.1 25.5 From the aboA^e. table it appears that while the national banks, in October last, held the amount of reserve required by law, the propdrT tion of their reserve to their liabilities was much less during that montli than it has been at any time since 1873. , The returns of the ba.nks to the Clearing House for the week ending October 25 last, showed that the reserve of a considerable number of them was below the requirements of the law. Letters were at once addressed to these banks, directing them to increase their reserve"to the necessary amount. Replies were receiA^ed showing that the deficiency of reserA^e was in many cases but temporary. Otlier banks still showed a defi-. ciency during the week folloAving. These delinquent banks were again notified, and the returns for the week ended NoA^ember 22, show that the specie had increased $27,633,032 since October 2, Avhich, notwithstanding the fact that the legal-tender notes had decreased in the same time $ 16,578,284, made a net increase of $ 11,054,748 in the reserve funds. A table showing the average weekly deposits, circulation and reserve of the national banks in NTew York City, for the months of September and October since 1872, will be found in the appendix. Tables Avill also be found in the appendix exhibiting the state of the lawful-money reserve of the national banks, as shown by tlieir reports from September 12,1873, to October 2,1879, together with a table show.iug the reserves by States and principal cities for October 2,1879. 152 REPORT ON T H E NATIONAL-BANK FINANCES. CIRCULATION. '•''l^ table exhibiting by States and geographical divisions the number di banks organized and ih operation, Avith their capital, bonds on deposit,^ and circulation issued, redeemed,, and outstanding, on November 1,' 1879, will be found hi the appendix. -' The act of February 25,1863, and the subsequent act of June 3,1864,. authorized the issue of 300 milhons of dollars of national-bank circulation, which was increased by the act of July 12, 1870, to 354 millions. The act of June 20,1874, authorized any national bank desiring to withdraw its circulating notes, in whole or in part, to deposit lawful money AAdth the Treasurer of the United States in sums of not less than nine thousand dollars, and to.withdraAv a proportionate amount of bonds hehl as secuiity for such notes; and.the act of June 14, 1875, repealed! all previous provisions restricting the aggregate amount of national-; bank circulation, and reqnired the Secretary of the Treasury to retire: legal-tender notes to an amount equal to eighty per cent, of the nationalbank notes thereafter issued, until the amount of such legal-tender notes outstanding should be 300 millions and no more. That provision of the' act Avhich required a.reduction of tJnited States legal-tender notes was,; however, repealed by the act of May 31, 1878. Subsequent to the pas-! igage of the act of June 20, 1874, and that of January 14, 1875, which latter act authorized the retirement and reissue of national-bank notes at the pleasure of the banks, the circulation steadily decreased in volume; liiitil the year 1877, the total decrease in this interval being $30,869,655. "During the year ending November 1, 1878, there was an increase of $4,216,684, and during the year ending November 1, 1879, a further increase of $14,742,503, as Avill be seen from the following table, Avhich Exhibits the total outstanding circulation, not including mutilated noteS; tn transit, on the 1st day of November ofeach year forthe last thirteenyears, and also upon the dates of the acts above named: November 1, 1867 November 1, 1868 November 1, 1869 November 1, 1870 Novemberl, 1871 is'ovember 1, 1872 November 1, 1873 June 2a 1874 ^•m, 1.53, 296 300, 002, 234 29a 910, 419 302, 607, 942 324, 810, fi56 34L512,772 348, 382, 046 6 4 a 894,182 Noveraber 1, 1874 Januaty 14, 1875 . November 1, 1875 November 1, 1876 November 1, 1877 Mav 31, 1878 November L, 1878 Noveinber 1, 1879 $351, 927, 24G 351,861,4.50 345, .586, 902 321,1.5a 718 316,775,111 321,232,099 320, 991, 795 • 335,134; 504 .; Since the passage of the act of June 20, 1874, $90,229,886 of legallender notes have been deposited in the Treasury by the national banks, for thei)urpose of reducing their circulation, and $81,136,362 of banknotes have.been redeemed, destroyed, and retired. ] From the date of the passage of the act of January 14, 1875, to that of, the act of May 31, 1878, Avhich prohibited the further cancellation of legal-tender notes, $44,148,730 of additional circulation was issued, and legal-tender notes equal to eighty per cent, thereof, or $35,318,984, was retired, leaAdng the amount authorized $346,681,016, which is the amount of legal-tender notes UOAV outstanding. The amount of additional circnlation issued for the year ending November 1, 1879, was $22,933,490, of which $7,494,170 was issued during the months of September and, October. The amount issued to banks organized during the year was $2,615,440; the ainount retired was $8,190,987 ; the actual increase for the year being $14,742,503. Duringthe year ending November 1, 1879, lawful money to the. amount of 153^ COMPTROLLER OF THE CURRENCY. $10,319,398 was deposited with the Treasurer to retire circulation, of which amount $2,936,063 was deposited by banks in liquidation. The amount previously deposited under the act of JuViQ 20, 1874, Avas $65,164,523, and by banks in liquidation $14,745,965, to which is to be added a balance of $3,813,675 remaining from dei)Osits made by liquidating banks prior to the passage of that act. Deducting from the total, $94,043,561, the amouut of circulating notes redeeined and destroyed without reissue ($81,136,362), there remained in the hands of the^ Treasurer on NOA'ember 1, 1879, $12,907,199 of lawful money for the redemption and retirement of bank circulation. Thefollowing table exhibits by States the issue and retirement of circulation during the year emling NoA^ember 1,,1879, and the total amount issued and retired since June 20, 1874: Circulation retired. s t a t e s ancl T e r r i t o r i e s . Circnlation issued. U n d e r a c t of Of l i q u i d a t i n g J u n e 2 a 1874. banks. Total. M a i n e '. New Hampshire : Vermont . . . . . . . . Massach usetts ' lihode Island • Connecticnt New York ". New Jersev Pennsvlvania Delawaie ... .. Maryhind D i s t r i c t of C o l u m b i a Virginia ..•....!.. .'.... .... W e s t Virginia N o r t h Cai'ol ina S o u t h Cai'olina Georgia Ploiida Alabama Mi.«?si.s.s!ippi ... . ; . . . . . ' Louisiana Texas .. Arkansas I v e n t u c k y •. Tennessee .. . M issouri Ohio Indiana Illinois Michigan AVisconsin '. I o w a . .J Minnesota .• Kansas Nebraska Nevada Oregon Colorado : Utah Idaho . Montana N e w Mexico Dakota . . . . . . . Washinficton . . °. California S u r r e n d e r e d to t h i e office a n d r e t i r e d ' $81,500 6,100 132,740 4, 895, 850 822,200 716, 890 5, 503,120 287, 000 2, 327, 730 . 18,000 574, 950 1, 600 311,400 18,000 458, 100 13, .500 • 117,920 $16,340 42,131 75, 294 4 i a 377 56, 743 23, 580 L4Sa814 28.5,170 378, 460 • $74, 433 9, 907 2.5, K'O 31, 275 5, 745 4, 987 288, 518 28, 547 114, 326 $90, 773 53, 038 100, 394 45a 652' 62, 488 28, 567 1, 778, 332 313, 717 492,786 • 228, 689 24, 965 44, 2.50 2.5, 370 136, 784 24,020 14, 038 5,090 28. 020 56, 500 25, 308 16, 010 233, 779 9, 000 860 351,480 146, 490 , 9, 000 967, 690 104, 700 360,210 1, 041, 340 544, 900 647, 240 884, 600 421,560 262, 600 276, 400 109, 300 22,500 19, 986 110, 768 31, 745 112, 0.53 379, 893 611, 426 266, 523 134, 505 • '53, 524 33,810 38, 871 .5, 913 26, 329 15 140 16, 485. 4,560 185 46, 637 18,081 134, 197 162,192 118, 549 206, 807 47, 740 57,195 75,178 38,312 67.870 3,840 240 875 140 162, 975 4, 560 20,171 157, 405 4 a 826 246. 250 542i 085. 729,- 975 473, 330 182, 245 l i a 719 108, 988 77,183 73, 783 30,169 240 16, 403 '6, 884 16, 532 6,884 27, 540 27,540 T o t a l .1 T o t a l s from J u n e 20,1874, to October 31,1878. S u i T e n d e r e d to t h i s office b e t w e e n s a m e d a t e s 22, 933, 490 55, 412, 570 5,258,850 61, 002, 608 L78L547' 13, 093, 357 78, 346, 060 66, 261, 458 14, 874, 904 T o t a l issued a n d r e t i r e d from J u n e 20, 1874, to O c t o b e r 31, 1879 129 63, 000 89, 900 22, 500 27, 000 4.5, (100 9 a 000 297, 000 52, ass 100, 50, 152, 24, 32, 18,73i' 750 678 794 020 769 1,150, 590 • . 8,190, 987 74, 095, 965 10,218,992 92, 505, 944- 154 REPORT ON THE FINANCES. The following table exhibits the monthly issue and retirement of national-bank notes for the year ending November 1, 1879: N a t i o n a l - b a n k circulation. Legal-tender notes. Months. Issued. Retired. Deposited. Eetireil, November . December.. $1, 219, 720 801, 830 $189, 219 270, 633 $494, 519 908, 900 $189, 219 270, 633 Jariuary ... February .. March . . . . . April May Juiie July August Sept(Mnber. October 1, 075, 510, 2,078,190 2, 003, 460 2, 9.57, 650 1, 290, 920 1, 428, 480 955, 430 L 628,130 3,912,120 3, 582, 050 287, 475 424, 428 91 a 814 478,746 893, 239 1,147, 294 674, 991 732, 819 427, 017 594, 722 1, 387, 950 1, 065, 000 1,407, 700 1, 034, 287 500,142 319, 8.50 1, 844, 650 464, 500 573, 300 318, 600 287,475 424, 428 9ia814 478, 740 893, 239 1,147,294. 674, 991 732, 81 a 427, 017 594, 722 22, 933, 490 7, 040, 397 10, 319, 398 7, 040, 397 N a t i o n a l - b a n k n o t e s s u r r e n d e r e d t o t h i s office a n d retired 1,150, 590 Total. 8,190, 987 7, 040, 397 A table will be found in the appendix which shows, to November 1, 1878, the monthly issue and retirement of national-bank notes, and the increase or decrease in their amount, under the act of January 14,1875. The following table shows concisely the operations of the acts of June 20, 1874, and of January 14,1875, from the dates of their passage to November 1, 1879: NATIONAL-BANK NOTES. Amount Qiitstancliiig June 20, 13^4 Amount outstanding January 14, 1875 Amount outstanding May 31, 1878 Amount outstandmg at date ^ Increase during the last month. Increase since January 1, 1879 . . . 1 Increase since No v^ember 1,1878 : $349,894,182 351,861,450 32'^,555,965 335,734,298 2,909.178 13,411,'444 14,742,503 LEGAL-TENDER NOTES. Amount outstanding Juue 20, 1874 $382,000, 000 Amount outstanding January 14, 1875 •... ZS2, 000, 000 Amount retired under act of January 14, 1875, to May 31, 1878 35, 318, 984 Amount outstanding on aud since May 31, 1878 • 34o, 661, 016 Amount on dexiosit with the Treasuj-er Uuited States to redeem notes of insolvent and liquidating bauks, and bauks retiring circulation under • act of June 20, 1«74 ., 12,907,199 Decrease in deposit duriug tlie last month 276,122 Increase in deposit since January 1, 1879 .-. , 9,335,434 Increase iu deposit since November 1, 1878 3,279,001 The notes of the eight national gold banks located in the State of California, which have an aggregate capital of $4,000,000, and a circulation of $1,447,120, are not included in the above table. * Circulation ofnational gold banks not included in the above, $1,447,120, 155 COMPTROLLER OF THE CURRENCY. REDEMPTION. Section 3 of the act of J u n e 20,1874, provides that every national bank "shall, at all times, keep and have on deposit in the Treasury of the United States, in lawful money of the United States, a sum equal to five per centum of its circulation, to be held and used for the redeinption of such circulation." Since the passage of this act the banks have, as a rule, maintained their redemption fund, and their circulating notes have been promptly redeemed at the Treasury without expense to the government. Thefollowing table exhibits the amount of national-bank notes received for redemption monthly by the Gomptroller of the Currency, for the year ending November 1, 1879, and the araount received for the same jieriod at the redemption agenc}^ of the Treasury, together with the total ambunt received since the passage of the act of June 20, 1874: Eeceived by Comptroller. Months. F r o m nati(mal banksi F r o m re- N o t e s of na- U n d e r a c t for r e i s s u e d e m p t i o n I t i o n a l b a n k s of J u n e 20, or s u r r e n - agen(;y for in liquida1874. tion. reissue. der. $14,190 . 2 a 200 November . December. $2, 39.5, 400 2, 697, 400 $116,716 124, 861 3,017,100 2, 898, 800 3, 004, 400 2, 973, 000 4, 437, 000 4, 542, 500 3, 047, 900 2, 704, 000 2, 014,100 1, 638,20a 131 .585 159, 476 217, 988 l i a 280 197, 060 354, 871 43, 780 17a 480 64, 030 81,420 Total. $156,909 $2,683,215 179, 886 3, 022, 347 Eeceived a t redeinption agency. $8, 936, 806 8, 431, 074 187a Jannary .. February . March April May June....... July.. Aufru'st . . . September. October.... Total.... E e c e i v e d from J u n e 20,1874, , t o N o v e m b e r 1, 1878 Grand total. 21, 71., 78, 23, 77, 25, 82, la 6, 13, 7( 453,180 35, 9,800 1, 781, 547 34a 530 555, 792 558. 090 410, 334 889, 817 848, 740 282, 425 414, 938 409,808 267, 386 3, .5ia 225 3, 685, 628 3, 859, 218 3,516,714 5,601,277 5,771.211 3, 456, 485 3,317,618 2, 494, 538 2, 000, 706 12,16a 897 13, 08.3, 822 11, 86a 175 10, 346, 522 1.5, 660, 085 13, 398, 800 9,123, 425 6. 314, 586 4, 508, 041 3, 349, 766 5, 314, 655 42, 919,182 117,191, 999 11, 970, 045 321, 520, 055 12, 968, 365 61, 021, 768 1407, 480. 233 867, 294, 293 12, 423, 225 356, 889, 855 14, 749, 912 66, 336, 423 During the year ending November 1, 1879, there was received at the redemption agency ofthe Treasury $117,199,999 of nationaibank notes, of which amount $43,966,000, or about 3^ per cent., was receivedfrom the banks in New York City, and $42,757,()00, or about 37 per cent., from Boston. The amount received from Philadelphia was $5,041,000; from Baltimore, $402,000; Pittsburgh, $.")45,000; Cincinnati, $1,153,000; Chicago, $1,610,000; Saint Louis, ^1,441,000; Providence,* $2,785,000. The amount of circulating-notes fit for circulation, returned by the agency to the banks of issue during the year, was $75,284,500. The total amount received by the Comptroller for destruction, from the redemption agency and from the national banks direct, was $41,101,830. Of this amount, $3,762,953 were issues of banks in the city of New York; $3,745,699 of Boston; $1,445,400 of Philadelphia; $1,425,423 of Providence; $743,816 of Baltimore; $631,370 of Pittsburgh; and of each of the other principal cities, less than $500,000. 156 REPORT ON T H E FINANCES. The following table exhibits the number and amountof national-bank notes of each denomination which have been issued and redeemed since the orgiuiization of the s^^stem, smd the number and amount outstanding on November 1, 1879: Number. Amount. Denominations. Eedeemed. Issued. Ones Twos Fives Tens Twenties . . . . . . . , Fifties One hundreds... Five hundreds .. Thousands . . . . . Total 23,167, 677 7, 747,-519 65, 578, ,440 25, 904, 223 7, 869, 951 1, 211, 761 850, 720 • 2 a 570 6, 340 132, 357, 201 la 6, 45, 14, 4, Outstanding. 600, 477 701, 270 996, 076 930, 599 237, 343 785, 263 581,604 19, 287 6,057 3, 567, 200 1, 046, 249 , 19,.582,3J4 10, 973, 624 3,632,608 426, 498 269,116 1, 283 283 92, 857, 976 39, 499, 225 Issued. $23,167, 15, 495, 327, 892, 25a 042, 157, 399, 60, 588, 85, 072, 10, 285, 6, 340, Eedeemed. Outstanding. 677 $ i a o o a 4 7 7 $3,567,20a . 2, 092, 498 038 • 13,402,540 200 229, 980, 380 97,911,820 230 14a 305, 990 • lOa 736, 240 72,652,160 020 84, 746, 860 21, 324, 900 39, 263,150 050 26,911,600 000 58,160; 400 641, 5oa 000 a643,50a 6, 057, 000 283,000 000 • * - 1 3 , 586 *+13, 586 945,281,215 610,146, 711 335,134, 504' * P o r t i o n s of n o t e s l o s t o r d e s t r o y e d . A table showing the number and denominations of the national-bank notes issued and redeemed, and the num.ber of. each denomination, outstanding on November 1, for the last twelve years, wdl be found in the appendix. . '. The following table shows the amountof national-bank notes received at this office and destroyed yearly, since the establishment of the system : P r i o r t o N o v e m b e r 1,1865 D u r i n g tlie y e a r e n d i n g October D u r i n g t h e y e a r e n d i n g Octobe.r D u r i n g t h e y e a r endiiig O c t o b e r D u r i n g t h e y e a r e n d i n g October Dtii-ing t h e y e a r e n d i u g O c t o b e r D u r i n g t h e year euding October D u r i n g t h e year ending October D u r i n g t h e y e a r e n d i n g October P u r i n g t h e yeai- e n d i n g October D u r i n g t h e y e a r eud ing October D u r i n g t h e y e a r e n d i u g October D u r i n g t h e y e a r einliug October D u r i n g t h e yeai- e n d i n g O c t o b e r Durinfj t h e y e a r 'ending October A d d i t i o n a l a m o u n t d e s t r o y e d of 31,1866 31,1867 31,1868 31,1869 , 31,1870 31,1871 31,1872 31,1873 31,1874 ; 31,1875 1 '. 31,1876 31,1877 ' 31,1878 31,1879 n o t e s of b a n k s i n l i q u i d a t i o n Total $175, 490 1, 050, 382 3, 401, 423 4, 602, 825 8, 603, 729 14, 305, 689 24, 344, 047 3a211,72.a . 36, 433,171 49, 939, 741 137, 697. 696 98, 672, 716 76,918,963 57, 381, 249 41,101, 830 25, 324, 699 610,165, 370 STATE AND SAVINGS BANKS. Section 333 ofthe Revised Statutes requires the Comptroller to report to CongresS' '' a statement exhibiting under appropriate heads the resources and liabilities and condition of the banks, banking companies, and savings-banks organized under the laws of the several States and Territories, such information to be obtained from the reports made by such banks, banking companies and savings-banks to the legislatures, or officers of the diiferent States and Territories, and where such reports cannot be obtained, the deficiency to be supplied from such other authentic sources as may be available.'' ' The laws of the United States require returns of capital and deposit to COMPTROLLER OF THE CURRENCY. be made to the Commissioner of Internal Revenue, for purposes of taxation, by all State banks, savings-banks, and private bankers. The data for the following table were obtained from the Commissioner, and compiled in this Office. This table exhibits, by geographical divisions, the number of State banks and trust companies, private bankers, and savings-baiiks, and their average capital and deposits for the six months endingMay 31, 1878: STATE BANKS AND TEUST ^COMPANIES. N u m b e r of banks. Greographical d i v i s i o n s . N e w E n ""land S t a t e s Middle States . . . : . Sonthern States . . . Western States Pacific S t a t e s a n d T e r r i t o r i e s . . . ^ IJnited States Deposits. $7,10a8.52 40, "J 20, 772 27, 426, 169 24,146. 207 27, 874, 655 $14, 393, 516 124, 639, 510 32,601,4.56 58 191,153 27, 243, 830 1, 005 127, 268, 655 257, 069, 465 70 853 237 1, 351 123 3, 72.5, 930 34. 542, 494 5, 638, 564 . 21, 6:!a462 4, 215, 951 3,316,206 54, 534, 763 11,891,105 58, 520, 816 • 11,654,663 2, 634 69,753,401 139, 917, 553 6' 3 9 11 508,108 856, 673 261, 870 2, 592, 777 2, 43a 807 83'->, 046 1,427,418 31 374 489 29 4, 219, 428 36, 073, 760 40 239 251. . 384. 91 „ Caj)ital. P E I V A T E BANKEES. N e w En""Innd S t a t e s Middle States Southern States Vi^cstern S t a t e s Pacific S t a t e s a n d T e r r i t o r i e s TJnited S t a t e s SAVINGS-BANKS W I T H CAPITAL. N e w England States Middle States .©. Southern States Western States Pacific S t a t e s a n d T e r r i t o r i e s - United States SAVINGS-BANKS WITHOUT CAPITAL. N e w E n ""land S t a t e s Middle States ; Southern States Western States Pacific S t a t e s a n d T e r r i t o r i e s United States . . . ... .. 426 182 . . . . . 6 366,461,816 35a 946, 471 1,69.5,377 10,363,073 17, 595, 320 644 747, 062, 057 SUMMAEY. New England States Middle States Southern States Western States •.. Pacitic States and TeiTitories United States 536 1, 280 494 I, 771 231 G 10, 826, 782 75, 771, 374 3;j, 921, 406 46, 038, 539 34, 683, 383 4,312 201, 241, 484 384,171, 538 532, 560, 551 47,019,984 128, 502, 460 87,868,302 1, ISa 122, 835 158 REPORT ON THE FINANCES. The following table exhibits by States, cities, and geographical divisions the average capital and deposits of the same banks and bankers, and taxes thereon, for the same period : . states and Territories. Capital. Deposits. $41, 209 O 61,000 351, 200 8 i a UOO 3,357.412 3, 565, 961 2, 640, 000 • $22, 801, 402 26, 766, 055 7, 890,150 148,78.5,115 . 61,086,908 42,614,408 74, 227, 500 10, 826, 782 384,171,538 9, 339, 629 43, 027, 777 641,000 1, 5.54, 540 a 328,171 •1,9,52,718 4, 466. 965 64a 412 570, 723 3, 87],S8a : 377,550 142, 418, 399 250, 534,151 12,744,636 18, 073, 791 23, 888, 582 43, 417, 806 12, 644, 729 1,74.5,570 630, 081 23, 891,161 2, 571, 645 75, 771, 374 3, 226, 654 1, 478, 045 442, 377 720, 633 3, 9.57, 486 81,783 1, 060, 999 1, 226, 268 111,4.50 3, 988, 198 3, 620, 868 207, 903 6,454,1.56 5, 58.5, 957 1,758,029 On capital. On deposits. Maine N e w Hampshir© Vernnmt Massachusetts Boston E h o d e Island Connecticut , N e w E n g l a n d Statea . . . , N e w Torlc • New York City ';. A l b a n y New Jersey , P e n n s y l v a n ia Philadelphia Pittsburgh Delaware Marvland Baltimore Washiugton :.. 1,280 M i d d l e Sta t e s •Virginia .: W e s t Virginia • N o r t h Caroliua South Carolina '• G e o r g i a Fhnida Alabama Mississippi Louisiana N e w Orleans Texas Arkansas Ken tucky Louisville 'Tennessee J.. : ,.. 1 .. Southern States.; "Ohio Cincinnati Clevelaud Indiana Illiuois Chicago Micliigan Detioit Wisconsin Milwaukee Iowa Minnesota Missouri SaintLouis Kansas Nebraska ,.. '.. ... , W e s t e r n States Oregon California. San F r a n c i s c o . , Coloiado Nevada Utah N e w Mexico Wyoming Idaho Dakota Montana Washington Arizona" ^ , Pacific S t a t e s a n d Territories Totals Total. $645 16 2,041 34 3, 436 90 5,149 48 17, 432 42 23, 961 69 19, 758 .50 $710 68 2,193 84 4, 256 10 6, 508 18 21, 006 35 31, 021 02 24,621 33 17, 892 01 72,425 49 90,317 50 532, 560, 551 125, 022 55 467, 567 J 592,590,44 6, 769, 857 3, 797, 525 833. 385 806, .592 4, 545, 928 21.5, 970 1, 908, 807 1,682, 166 5 a 575 6, 316, .557 5, 503, 345 336, 328 6,134, 643 5.271,471 2; 837, 835 7, 258 98 3, 291 90 1,105 95 1, 497 83 9, 644 67 204 45 2, 586 65 2, 375 15 166 12 8, 037 57 8,215 82 352 60 1.5, 010 92 12, 706 05 3, 365 55 33; 921, 406 47, 019, 984 75, 820 21 5,968,718 1, 707,174 962,317 4, 836, 292 4, 034, 349 3, 984, 828 2, 327, 238 1, l i a 775 1, 405, 619 743,541 5, 084, 219 1, 67U, 319 4, 053, 300 6, 335, 969 1, 369, 532 444, 349 1.5, 602, 726 4,591,510 12, 663, 332 l a .541, 861 12, 394, 243 7, 836; 766 5,183, 535 .5, 848, 086 3, 649, 814 5, 765.170 9,291,284 3, .526, 090 10, 637, 9.55 16, 543, 846 3,175, 805 1, 250, 437 12, 562 33 2, 777 02 1, 439 88 la 777 33 8, er^o 23 4, 045 84 5,511 93 1, 869 26 3,1.52 14 1, 772 20 11, 920 27 4, 077 73 8, 988 61 12, 324 13 3,1«3 11 1, 053 30 46, 038, 539 128, 502, 460 94,110 31 296,011 87 390,122 18 1. 078, 739 l a 337, 967 21, 369,142 63.5, 180 36S, 737 230, 000 .5, 000 106, 411 6, (183 103, 093 154, 204 207, 000 81, 827 1, 353.172 16, 707, 656 64,312,295 1, 724, 854 1, 68X, 318 857, 933 86, 251 191. 290 4.5, 304 200, 995 284,136 33a 991 76,107 2, 573 01 25, 482 40 40, 606 29 1, 587 84 921 83 575 00 12 50 266 03 15 20 2.54 81 385 51 517- 50 204 56 3, 254 83 36. 277 48 110, 794 98 4, 312 04 4, 220 76 2,144 79 215 62 478 22 113 25 ..502 46 710 31 849 96 190 24 5, 827 84 61, 759 88 151,401.27 5, 899 88 5,142 59 2, 719 79 228.12 744 25 128 45 757 27 I, 095 82 1,367 46 394 80 34, 683, 383 87, 868, 302 73, 402 48 164, 064 94 237, 467 42 ,312 201,241,484 1,180,122, 835 $65 .52 1.52 50 819 20 1, 3.58 70 3, 573 93 7, 059 33 4,862 83 23, 3.57 1 6 12,785' 66 3,189 38 3, 514 26 19, 959 84 744 37 • 7, 358 57 6, 580 40 315 05 21, 640 51 21, 974 14 1.193 42 30, 347 29 25,884 69 ia460 03 113, 484 56 37, 890 15 11,478 76 1.5,102 .54 23, 132 38 2a 216 94 ia574 49 12, 9.-.8 57 12, 808 17 a 124 45 14, 412 91 23, 0.55 51 8,237 51 26, 594 39 41,3.59 89 7, 939 29 3,125 92 ISa 3.04 77 50, 452 48 14, 255 78 16, .542 42 33, 909 71 37, 872 17 23, 620 33 18, 470 50 14, 677 43 12, 276 59 16,185 11 34, 975 78 12, 315 24 35, 583 00 53, 684 02 11,122 40 4,179 22 38(5, 247 56 1,113, 554 75 1,499,802 31 COMPTROLLER OF THE CURRENCY. 159 Similar tables for previous semi-annual periods will be found in the appendix. Froin the State authorities reports of State and savings-banks and trust and loan companies have been obtained in the case of twenty-one States and the District of Columbia. Reports of State banks have been received from twenty States, of savings-banks from fourteen States, and of trust and loau companies from six States. From seventeen States no reports have been received. In the appendix may be found statements of the returns received from the various States, and a summary of the whole*. This summary, as may b'e seen from the number of States from which no returns have been received, and from the incompleteness of some which have been received, does not present a satisfactory exhibit of the resources and liabilities of the State and savings-banks of the United States, and it will be impossible to obtain such an exhibit until laws are enacted by the legislatures of all the States which shall require these banks to make uniform reports to the proper officers. In the Comi^troller's report fbr 1877 the form of a bill.was presented, substantially the same as one passed by the legislature of Ohio in 1876, which, should it become a law in each of the States, w^ould obviate the difficulty now experienced in obtaining full and accurate statistics in regaird to banks doing business under State laws. SYNOPSIS OF DECISIONS OF THE SUPREME AND CIRCUIT COURTS 0°F THE UNITED STATES, AND OF STATE COURTS OF LAST RESORT, UPON QUESTIONS ARISINQ UNDER THE NATIONAL-BANK ACT, AND UPON COCrNATE POINTS OF INTEREST TO BANKS AND TO PARTIES HAVING- DEALINGS WITH THEM.* ABATEMENT. I. An action brouglit by a creditor of a national bank is abated by a decree of a district or circuit court dissolving the corporation and forfeiting its franchises. {First JSatioval Bank of Selma vs. Colby, 21 Pl'allace, p , 609.) II. Suit by the receiver o|'lhe Aew Orleans Js-a tional Ban kin (/ Jssociaiion (formerly a State organization called the Bank of New Orleans) against a shareholder'to enforce his personal liability. Plea in abatement t h a t *^at the date of the appointment of said receiver there was not, nor has there since been, nor is there now, any snch corporation as said New Orleans National Association, because said bank of New Orleans had no power by its charter,^nor authority otherwise from the State of Louisiana, to change its organization to t h a t of a national association under the laAvs ofthe United States." On general demurrer this plea was held bad, because no°authority from t h e State was necessary to enable the bank to make such change. The option to do so was given by the forty-fourth section of the banking act of i ongress, 13 Statutes, 112. *'The power there conferred was ample, and its validity cannot be doubted." (Cast'.y, receivei^, ^"c-., YS..Galli, 4 Otto, p . 673.) This plea was also held bad ujDon the additional ground t h a t ^'where a shareholder of a corporation is called upon to respond to a liability as such, and where a party has contracted with a corporation, and is sued On his contract, neither is permitted to deny the existence and legal validity of such corporation." {Ibid.) " To hold otherwise," says Mr. Justice Swayne (p. 680), " would be contrary to the plainest jirinciples of reason and good faith, and involve a mockery of justice. Parties must take the consequences of the positions they assume." ^' Thej^ are estopped to deny the reality of the state of thiuos which they have made to appear to exist, and upon which others have been led to rely. "Sound ethics require t h a t the apparent, in its effects and consequences, should be as . it" it were real, and the law properly so regards it." * Many of the decisions cited in this synopsis are to be found in ^'THOMPSON^S NATIONAL-BANK CASKS," Albany, 1878, but it was deemed best to give the original report, thus generally indicating the tribunal by which the point was decided. 160 REPORT ON T H E FINANCES. ACCOMMODATION, ACCEPTANCES, INDORSEMENTS, AND NOTES. •- I. Where bills, indorsed by a national bank for accommodation only, had been negotiated by the bank through its usual channels of communication with its correspondents as its own bill's, and the proceeds thereof have been placed to the credit of the biank, which thereupon gave the same credit to the parties for whom it had thus indorsed, and received no benefit therefrom—^ • Hddy That although an accommodation indorsement by a national bank, in such cases, was void in the hands of holders agaiust whom notice ofthe character of the indorsement could be concluded, yet t h a t the bank was liable for the same to holders, for value, without notice. {Blair vs. First Naiional Bank, ManHfield, Ohio. Uniied States circuit court for Ohio, at Cleveland, Novemher ternij 1875, Bmmons,J. Beported in Bankers' Magazine for March, 187H, pp. 721-5.) Query, whether, under the provisions of section 5202 ofthe Revised Statutes of t h e U n i t e d States, any indorsement by a national bank is not ultra vires. {Johnston.) II. I t is no defense to a suit agaiust the acceptor of a dra.ft which has been discounted, and upon AAdiich money hasbeen advanced by plaintiff, that the draft was accepted for the accommodation of the draAver. {Davis v. liandall, 115 ' Mass., p . 547.) III. A national bank discounted a note made by the defendant for the benefit ofthe j)ayee, and which the payee agreed to take care of at maturity: Beld, tha,t the bank could recoA'-er the note although it had, Avlien it took the note, full notice of the circumstances uuder Avhich it Avas given. (Thatcher vs. West Eiver Naiional Bank, 19 Mich.., p. 196.) See, also, Title''EADDENCE." IV. That the accominodation acceptance, indorsement, bill, or note o f a corporation is ultra vires. (See Bank of Genesee YS. PaicJnn Bank, 13 N. Y., p. 309, and 19 N. Y., p. 312; Bank of Ani) uru YS. Putnam, jr., 1 .Abb. App. Decisions, p. 80; Monfords vs. Farmei'S' cf Me-ch. Bank, 26 Barb., p . 563; Farmers' ^•' Mech. Bank YS.- Troy City Bank, 1 Doug. {Mich.), p.. A'o.) [NOTE.—In the United States circuit court, western district Virginia, Judge Bond has recently decided the cases of Selif/man ^^ Co. A^S.'TheCharloitesviUe National Bank, 2ind Joh7iston Brothers i^"-Co. SigSiinst the siimehiiu}^. The first was an action of covenant uipon a letter of credit for £5,000, issued under t h e seal of the bank, pursuant to a resolution of the board of directors, guaranteeing the drafts of Flannagan & Son to the amount of said letter. The latter was assumpsit upon liA^e bills of exchange for $5,000 each, dated April 16, 1875, each draAvn by said Charlottesville Bauk upon t h e Citizens' National Bank oi • Baltimore, payable to the order of Flannagan & Son, acceptance Avaived, maturing upon days '^ fixed" Avithin five days ofeach other, the first, November 20, and t,he last, December 10 of same year. Said bills Avere not drawn against funds due or to become due from the said Citizens' to said Charlottesville Bank, but were a mere loan of the credit of the latter bank (it being Avithout funds) to the said Flannagan & Son, and drawn to be used by the latter, as they were used, as collateral security in part for a loan of $25,000, made, by sa>id Johnsion Broihers cf Co. to said Flannagan & Son. Said plaintiffs took said bills as such collateral security, and with full notice of all the facts aforesairl. Beld, 1. That said letter of credit and said bills of exchange Avere only t h e accommodation paper of said Charlottesville National Bank, and, as such,.void i u t h e hands of the plaintiffs, holding Avith full notice of their cliaracter. II. That the incidental powers conferred upon national banks are not snch as are conferred upon banks generally, but only such as are necessary to carry o n t h e specitic bauking business prescribed by the national-bank act. Hence, though such banks may borrow money for certain purposes, they have no power to loan-their credit to customers. These cases Avill be reported in the Bankers' Magazine for December, 1879. ] ACTIONS. I. A national bank m a y b e sued in the proper State court. {Bank of Bethel YS' Pahquioque Banlc, 14 Wall., 383, p . 395.) II. Such banks may sue in Federal courts. The word ' ' by '^ was omitted in section 57 of act of 1864 by mistake. {Kennedy vs. Gibson. 8 Wall., pp. 506-7.) Receivers may also sue in United States courts. {Ibid.) III. When the full personal liability of shareholders isto be enforced t h e action must be a t law. {Kennedy YS.. Gibson, 8 H'all., p . 505; see also, Casey cfc, A^S. Galli, supra.) IV. But if contribution only is sought, the proceedings may be in equity, joining all the shareholders Avithin the jurisdiction of the court. {Ibid., pp. 505-6.)' See, also, title ' ' SHAUEHOLDERS, INDIVIDUAL LIABILITIES O F , " VI, pod. • COMPTROLLER OF THE CURRENCY. 161 ACTIONS—Continued. y . A national bank located in one State may bring an action in the circuit court of United States sitting Avithin another State, against a citizen thereof. {Manufacturers^ National Bank YS. Baack, ^ Biatch., 1^1.) VI. In such action it Avill be presumed, so far as the question of jurisdiction is concerned, that the stockholders of siich bank are citizens of theState where the bank is located. {Ibid.) But in case of Commercial Bank of Cleveland vs. Simmons, dQcided in United States circuit court northern district of Ohio, it was held t h a t a national bank does not sue iii the Federal court by virtue of any right conferred by the judiciary act of 1789, but by virtue of the right conferred by its charter, the national-bank act, and this would seem to be the - true doctrine. (See Thomp. National Bank Cases, 295.) Also First National Bank^ of Omaha vs. County of Douglas, 3 Dillon, p . 298, decided by Mr. Justice Miller of theUnited States Supreuie Court. VII. National banks can be sued only in the courts designated iu the national-bank act. Therefore a State-court of New York has no jurisdiction of an action . a g a i n s t a national bank located in Alabama. {Cadle vs. Tracy, 11 Biatch. p. 101.) T o ' t h e contrary of this, see Cooke vs. State Nationai'Bank, o2 N. F., p. 96. * See, also, Title ".JURISDICTION," ijost ATTACHMENT OF ASSETS. I. When a creditor attaches the property of an insolvent national bank, he cannot hold such property against the claim of a receiA^er appointed after the attachment suit was commenced. Such creditor must share p7^o rata with all others. '{First Naiional Ba7ik of Selma YS. Colby, 21 Wall., j)- 609:) See, also, title " JURISDICTION," Iljj^ost II. Section 5242 Revised Statutes United States prohibits the .issuing of an attachment against a national bank by any State, county, or municipal court, before final judgment. (See Central National Bank vs. Richland Natimal Bank. b2JBowanxl,N.Y.,p.Vi6.) ATTORNEYS. I. Section 56 of currency act is directory only, and it cannot be objected by defense that a suit is brought by priA^ate attorney instead ofthe United States district attorney. {Kennedy vs. Gibson, 8 Wall., p . 504.) BY-LAWS. I. A national bank cannot by its by-laws create a lieu on the shares of a stockholder who is a debtor of the association. {Bullard A^S. National Bank, cfc, 18 Wall.,p. 589.) : - ^, See, also, case of Banlc vs. Lanier, I I Wall.) x?. 369, cited under ' ' L O A N S ON S H A R E S , " j^9ost , [NOTE.—In Young vs. Vaugh, 23 N. J. Equity B., p. 3'-^5, it Avas held t h a t a national bank could by its by-laws prohibit tlie transfer of sliares by a shareholder Avhile indebted to the bank and t h a t transfers in violation of such bylaAvs Avere void. As it is held by the Supreme Court of the United States t h a t such by-laws can create no lien for indebtedness, it would seem that a regulation prohibiting such transfers can be of little practical use, even if the power exist. ] CHECKS. • . • < I. The holder of a check on a national bank cannot sue the bank for refusing, payment, in the absence of proof that it was accepted by the bank. {National Bank of the Republic YS. Millard, 10 Wall., jp. 152.) II. The relation, of banker and customer is t h a t of'^debtor and creditor. Receiving deposits is an important part of the business of banking, but the moment they are received they become the moneys of the bank, may be loaned as a part of its general fund, a,nd• the check of the depositor gives no" lien upon them. {Ibid., per Bavis, J., p . I'o^.) IIL Perhaps, on proof t h a t check-had been charged to the draAver,.and t h a t the bank had settled Avith him on t h a t basis, the holder or" payee could recover on a count for ^^money had and received.'^ {Ibid., pp. 155-6.) IV. The facts t h a t the bauk was a United States depository and the check was drawn by a United States officer to a United States creditor do not vary the rule. {Ibid., p}). lbb-6.) y . Where a bank pays a check draAvn on it in faA^or of a party whose indorsement • thereon is forged, and the same has passed through several hands,, only reasonable diligence is required to. be exercised in giving notice to prior holders of the forgery, ' after its discovery, in order to hold them liable. {Schroeder vs. Harvey, 75 III., p . 638) 11 F 162 REPORT ON T H E FINANCES. , CHECKS—Continned. / VI. A clerk of plaiiitiffs' received from their debtors checks, payable to their (plaint. iffs') order, in iiayment' of sums due. The clerk, wrongfully and without authority, indorsed the names of the plaintiffs on these checks and transferred them to other persons, apropriatng the proceeds to his OAVU use. Subsequently these checks were dexiosited with a bank, Avhich in good faith collected them and paid OA^er the proceeds to the depositors. In a suit by plaintiffs against the bank, to recover the amounts so collected by i t : Held^ t h a t the bank Avas liable. {Johnson A^S. First National Bank, 13 N. Y. Sup. C.) VII. Bankers are presumed to knoAV the signatures of their customers, and pay checks purporting to be draAvn by them at their peril. (Weisser A^S. Dennison, 10 N. Y., p . 68; National Bank ofthe Commomvealth A^S. Grocers^ National Bank, ^^Soivard,N. F., P?\,J:>. 412.) Thislastcaseholds t h a t if t h e b a n k , T3h.e drawee, pays the forged check to the holder, it cannot recover back the money so paid. The same doctrine was held in case of First National Bank of Quincy A^S. Ricken', 71 III., p . 439; but qualified by holding t h a t it applied only AA^here the presumed 0 negligence was all on the side of the bank, and Avhere the holder or payee had been guilty of no fraud or act to throAv the bank off its guard. VIII. CERTIFYING.—National banks have the power to certify checks ; and this power may be exercised by the cashier Avithout any special authorization. The di- . rectors can limit this poAver, but such limitation Avill be no defense as to parties having no notice. {Merchants'' Nat. Bank A^S. State Nat. Bank, 10 Wall.^ p . 604.) ^ IX. A certificate of a bank t h a t a check is good is equiA'alent to an acceptance, im- • plying that the bank has the funds to pay it, and t h a t they are set apart for t h a t purpose. (Ibid.) X. A nationarbank is liable on a check certified by its cashier to the holder ih good faith, although the drawer had no funds in the bank whe;n it was certified. (Cooke vs. State Nat.. Bank, 52 N. Y., p . 96.) XI. The act of Congress of March 3, 1869,- making it unlawful for a national bank to certify checks unless the draAver has at the time funds on deposit to an amount equal to the amount specified in the check, does not invalidate a conditional acceptance of a check by such bank, haAnng no funds of the drawer in its hands at the time, but engaging to pay the same A\dien a draft left witli it for collection by the drawer shall have been paid. {National Bank vs. National Bank, 7 West Va. St., p . 544.) CITIZENSHIP. 1. National banks are citizens of the State in which they are organized and located^ and when sued by national banks.of other States haA^e a right to demand a remoA^al ofthe suit from a State to t h e proper Federal court. ^ {Chatham National Bank YS. Merchants' National Bank. 4 Thomp. cf C. {Thompson cf Cook), N. Y. Sup. C.,p. 196, and 1 Hunter, N. Y., p . 702. See also title \'ACTIONS" V and FI, supra; Davis YS. Cook, 9 Nevada, p . 134.) II. A national bank, being a citizen ofthe State in which it is located, may be reqnired to give security for costs Avhen suing in a,nother State; and in the State . of NCAV York such security may be required, because the bauk is regarded as a corporation created by a foreign State. {National Park Bank vs. Gunst, 1 Abbott's New Cases, 292.) •. COLLECTIONS, I. A bank receiving paper for collection undertakes to use due diligence in making demand at maturity, and giving the proper notices of non-payment. An unreasonable delay will charge the bank Avith liability for the amount; and proof t h a t the paper would not haA^e been paid, if presented, will constitute no defense. {Bank of Washington vs. Triplett, L Peters, p. 2^; Bank of Neiv Hanover- vs. Kenner, 76 N. C , p . 340; Steele YS. Russell, 5 Nebr., p . 211; Capital State Banlc vs. Lane, 52 Miss., p. 617; Fabens vs. Mercantile Bank, 2'i Pick., Mass., jp.320.) II. And if the bank receiA^ing paper for collection, upon a sufficient consideration, transmits it to auother bank to be collected, the receiving bank Avill be liable for the misconduct of such other bank, unless there is some agreement to the contrary. (Montgomery County BanhYS. Albany City Bank, 7 N. Y., p . 459 ; Commercial Bank A^S. Union Banlc, U N . Y.,p.20'd', Kent A^S. Dawson, 13 Blatchf, p . 237; First Naiional Bank vs. First Natiohal Bank of Denver, 4 Dill.,,p. 290.) I I I . A bank received a check upon itself for collection, being at the same time a large creditor of the drawer, and failed, without excuse, to notify the depositor of the non-payment ofthe check: Held, t h a t the bank was chargeable for the negligence. {Bank of New Hanover vs. Kennei^, supra.) i COMPTROLLER OF THE CURRENCY. 163 COLLECTIONS—Continued. • IV. A bank holding a check for collection, and accepting the certification of the bank upon which it is drawn, in lieu of payment, assumes the risk and thereby becomes liable to the owner for the amount, with interest from date of certification. {Essex County National Bank YS. Bank, of Moiitreal, 7 Bissell, i;.193.) V. The Corn Exchange National Bank of Chicago sent defendant, the Dawson Bank at Wilmington, N. C , a draft drawn npon one Wiswall, living at Washington, N. C , for collection. Defendant by letter aeknpAvledged the receipt of the draft, stating t h a t it had been credited to the Corn Exchange Bank, and entered for collection. Thereupon defendant sent draft to Burbank & Gallagher, bankers at Washington, N. C , for collection. The latter house collected the draft, bnt failed and passed into bankruptcy before remitting. In a suit brought by the assignee of the Corn Exchange National Bank against the DaAvson Bank to recoA^er the proceeds of the draft: Held, per Wallace, J., t h a t the latter bank was liable for the amount.^ {Kent, assignee, ^"C,YS. The Daivson Bank, 13 Blatchf, 2). 237.) [NOTE.—The court concedes t h a t the. authorities are conflicting upon the point iiiA^olved in this case. In Neiv York, Ohio, and in England, the decisions sustain the conclusion of Judge Wallace, Avhile in Connecticut, Massachusetts, Illinois, and Pennsylvania precisely the contrary rule prevails. The point was made in this case t h a t the law of Illinois should control the rights of parties, but it was held otherAvise. ] VI. In an action by G against a bank it a]3peared that a note Avas made to O's order, indorsed by him, and sent through tlie house of B, a banker, for collection, and by B indorsed to the defendant bank, ^'for collection and credit": Held, , t h a t B, by the indorsement, did not become the oAvner of the note, and had . no right to pledge It, or direct its x>roceeds to be credited to him in paj'^ment of his indebtedness to the defendant bank. {Pirst National Bank YS. Gh^egg, 79 Pa. St., p . 384.) VII. In such case, if the defendant bank had made advances, or given new credit to B on the faith of the note, it would haA^e been entitled to retain the amount o out of the proceeds. {Ibid.) VIIL A bank holding a customer's demand note has a lien upon the proceeds of drafts delivered to it for collection, after the giving of the note, though collected after.the filing of a'petition in bankruptcy, and can apply such proceeds npon the notes. {Be Farnsworth, 6 Biss., p . 223.) IX. A collection agent who receiA^es from his principal a bill of lading of merchandise, deliverable to order, and attached to it a time draft, may, in the absence of special instructions, deliver the bill of lading to the drawee of the draft, npon the latter's acceptance of the draft. It is not the duty of the agent to hold the bill after such acceptance. {National Bank of Commerce vs. Merchants' National Bank, 1 Otto, 2>'^2-) X. Woolen <f Co., bankers .at Indianapolis, sent to defendant, a bank at Buffalo, a draft on one Bugbee; also bills of lading for sundry car-loads of lumber. The remittance Avas by letter, Avhich merely stated that the draft and bills Avere sent to defendant for collection and remittance of proceeds to plaintiffs, Woolen cf Co. The draft was drawn by, ahd to the order of. Coder <f Co., indorsed by them, by Mayhew, and the plaintiffs. By the terms of draft the draAA^er, indorsers, and acceptor waived presentment for payment and notice of protest and non-payment. It was payable fifteen days after its date, and ^ it Avas admitted that by ordinary course of transit the lumber AA^ould reach its destination eight days prior to the maturity of the draft. There had been no business transactions betAveen plaintiffs and defendants, save one collection similar to this. Defendants presented the. draft to Bugbee for acceptance, and, upon such acceptance, delivered to him the bills of lading. Bugbee failed before the draft matured, and plaintiffs sued defendants for delivering the bills of lading to Bugbee before payment of the draft. I t was conceded t h a t the draft was drawn for the price or A-alue of the lumber: Held, per Wallace, J., that, the draft being on time, it must be presumed t h a t it Avas the IUT tent of parties t h a t Bugbee .should realize from sale of the lumber the funds to meet the draft at maturity. Therefore, npon his acceptance of the draft, he was entitled to the bills of lading, and defendants were not liable for thus delivering them, but if the draft had not been upon time, a different rule might have "prevailed. {Woolen ^ Webb vs. N. Y. and Erie Bank, 12 Blatchf, p . 3b9:) 164 , REPORT ON T H E FINANCES. COMPROMISES. I. In adjusting and compromising contested claims against it, growing out of a . legitimate banking transaction, a national bank may pay a larger sum than would have been exacted is satisfaction of them, so as to thereby obtain a transfer of stocks,of railroad and other corporations, i n t h e honest belief that, by turning them into money under more favorable circumstances than then existed, a loss Avhich it Avould otherAvise suffer from the transaction might be averted or diminished. {First National Bank vs. National Exchange Bank, 2 Otto, p . 122.) II. So, also,, it may accept stocks in satisfaction of a doubtful debt, Avith a vicAV to their subsequent conversion into money, in order to make good or reduce an anticipated loss. (Ibid.) See, also. Title ^'ESTATE, REAL," I, j^ost COMPTROLLER. I. The Comptroller appoints the receiver, and can therefore remoA':e him. {Kennedy . vs. Gibson, 8 Wall, p . 498.) II. The Conaptroiler's certificate, reciting the existence of t h e facts of AA^hich he is required to be satisfied, to justify t h e appointment of a receiA^er, under section 50 of the national-bank act, is sufficient evidence of the A^alidity of such appointment, in an action brought 'by such receiver. {Piatt A^S. Bebee, 57 N. Y.,p. 339.) • ^ , III. The Comptroller must authorize auy increase of the capital stock of a national b a n k ; and such increase must be certified by him as prescribed by section 13 of. t h e a c t of Congress proAiding for the organization ofnational banks./ (R. S., sec. 5142. Charleston YS. People's National Ba,n.k, ^ S. C , p . 103.) IV. The Comptroller cannot subject the United States Government to the jurisdiction''of a court, though.he appears and ansAvers to t h e suit. {Case A'-S. Terrill, 11 Wall., p . 199.) See, also, Title ' ' S H A R E H O L D E R S , INDIVIDUAL LIABILITY O^,^'post. CONVERSION. I. The couA^ersion of a State into a national bank AA'^orks no dissolution, only a change ofthe original corporation; nor does'the latter thereby escape any of its liabilities. {Ma/yna.rd A^S. Banlc, 1 Brewster, Pa., p. 483; Kelsey A^S. National Bank of Craivford, 69 Pa. St., p. 426; Co fey vs. National Bank of .-Missouri, 46 Mo., .p. 140.) , . • ^ , CURRENCY ACT. I. The purpose of t h e currency act Avas, in part, to proAade a currency for the whole country, and, in part, to create a market for the 'government loans. {Per Strong, J., in Tiffany A^S. Missouri, 18 Wall., p. 413.) II. National banks organized nnder tlie act of Congress of June 3, 1864, are the instruments designed to be used to aid the government in t h e administration of an important branch of t h e public service; and Congress, which is t h e sole judge of t h e necessity for thc^ir creation, having brought them into existence, the States can exercise no control over them, nor in any wise affect their operation, except so far as Congress may see proper to permit. {Per Sivayne, J., in Farmers and Mechanics' National Bank vs. Dearing, 1st Otto, p . 29.) III. The constitutionality of the act of June 3, 1864, is unquestioned. I t rests on . the same principle as the act creating t h e second Bank of the United States. The reasoning of Secretary Hamilton, andof this court in McCulloch YS. Maryland, 4 Wlieat., p . 316, and in Osborne YS. Bank U. S.,7 Wheat., p . 708, therefore applies. « IV. The power to create carries AAith it the i^OAver to preserve. The latter is a corollary of the former. {Ibid., per Sivayne, J., pp. 33-3^.) DEBTORS OF NATIONAL BANKS. I. Debtors of an insolvent national bank, AA^hen sued by t h e receiver, cannot object t h a t pleadings do not shoAV a compliance Avith all t h e steps prescribed by statutes as preliminary to the appointment of such receiA^er. {Cadle, Re- ' cdver, ^ c , vs. Baker cf Co., 20 Wall, p . 650.) IL Snch ordinary debtors may be sued l)y receiver without previous order of t h e Comptroller. {Bank YS. Kennedy, 17 Wall, p . 19.) DEPOSITS, GENERAL. . I. The relation between a bank a,nd its depositors is t h a t of .debtor and creditor only, and is hot fiduciary. Thus, a note deposited for collection, if passed to t h e credit of the depositor in his general account, then OA^erdrawn, becomes t h e property of the bank, A\^hich becomes indebted to him for the proceeds. Upon the bankruptcy of the bank, t h e proceeds are assets available to the gene,ral creditors. And the fact t h a t the account was made good by other deposits before collection of the note makes no difference. {In re Bank of Madison, 5 Bissell, p . 515.) COMPTROLLER OF THE CURRENCY. 165 DEPOSITS, GENERAL—Continued. II. A dei^osit is general, unless the dex^ositor makes it sxiecial, or deposits it exxiressly in some particular capacity. And in case of a general deposit of money with ^ a banker, a prcAdous demand b y t h e depositor, or some other person by his order, is indispensable to the maintenance of an action for the deposit, nnless circumstances are shoAvn Avhich amount to a legal excuse. {Brahm vs. Adkins, 77 I I I , p . 263.) III. A nationaibank having become insolvent, a depositor therein assigned his deposit to a debtor of the bank! Held, that the latter could not offset snch deposit against his debt, in an action thereon. ( Venango Nat. Bank A^S. Taylor, ^6 Pa. St., p . U . ) . IV. A dex')ositor was also indebted to the bank,on bond and mortgage. Held t h a t he could offset his dex:)osit against said indebtedness, the bank being in the hands of a receiA^er. {Matter of New Amsterdam >Sav. Bank vs. Tartler, 54 How. ^{N.Y.Pr.), p . 38^.) . V. The claims of dex^ositors in a suspended national bank are, Avhen proA^ed to the satisfa,ction of the ComxDtroller of the Currency, on the same footing as if they were reduced to judgments, and from date of such proof bear interest. {Nat. Bank ofthe Commonwealth vs. Mich. Nat. Bank, 94 U. S. (4 Otto), p . 437.) D E P O S I T S , CERTIFICATES OF. I. A certificate of deposit Avas is.sned by a bank for a certain sum, subject to the order of the depositor at a certain elate, xiayable on the return of the certificate : ' Held, in an action on said certificate against the bank, brought by an assignee, t h a t there could .be no recoA^ery without x^roof of an actual demand and refusal of xiayment. {Broivn YS. McElroy, 62 Ind.. p . AOi.) . IL In a suit against the bank, nx^on a stolen certincate of dex30sit given by the defendant to the xilaintiff", reciting t h a t he had deposited in the bank a certain number of dollars, xiayable to his order in current funds,- on the return of the certificate xiroperly indorsed: • Held, first, that tHe instrument should be regarded as the promissory note of the bank, assignable under the statute (of Indiana), but t h a t it was not negotiable as an inland bill of exchange, being made payable, not in money, bnt ' ' i n current funds"; second, t h a t the payee could recover on said stolen certificate without giving-a bond against a subsequent claim thereunder by another Xierson. {National State Bank vs. Ringel, 51 Ind., p . 393.) III. Where a bank issues a certificate of deposit, payable on its return properly indorsed, it is liable thereon to a bona-fide holder, to Avhom a t was transferred seven years after it Avas issued, notAvithstanding the payment thereof to the original holder. Such certificate is not dishonored until xiresented. {National Bank Fort Edward vs. Washington Co. National Bank, 5 Hun., N. Y. Sup. Court, p . 605.) IV. Under a statute x^rohibiting the circulation of bills or notes not xiayable on demand, banks have no power to issue time certificates of deposit; and such certificates, if issued, are void. They are equivalent to post notes. {Bankof Peru vs. F'arnesivorth, 18 I I I , p . 563; Bank of Orleans vs. Merrill, 2d Hill {N. Y.), p . 295; Leviatt A^S. Palmer, 3 N. Y. {Comst), p. 19.) DEPOSITS, SPECIAL. 1 . ., I. The taking of sxiecial deposits to keexi, merely for the accommodation of the depositor, is not within the authorized business of national banks; and the cashiers of such banks haA^e no pOAver to bind them on any express contract accomxianying, or any implied contract arising ont of, such taking. (Wiley vs. First National Bank, 47 Vt:, p . 546.) IL If a banking association, nnder the national-currency act, has'xiower to assume the duties and obligations of a naked bailee of xiroperty, either gratuitously or for hire (as to which point the court does not decide, though apparently inclined to deny such power), it is clearly outside its ordinary business; and it is not within the scope of the general poAvers or general authority of its executiA^e or ministerial offices to bind such corporation by a contract for such bailment. Therefore, in the absence of proof of special authority for t h a t purXiose, delegated by the board of directors, or evidence t h a t such xiowers have lieen exercised by their knowledge and sanction, or t h a t such has been the habit and custom of, the bank, it is not responsible for, property thus received by its cashier. {First National Bank Lyons vs. Ocean National Bank, 60 N. Y., p . 278.) III. A circular issned by such corporation, inviting the correspondence of othea* banks, and offering to buy and sell securities for them,-is no evidence of a consent, on its part, to become a general bailee and denositorv of such secnritiea for its corresxiondents. {Ibid.) 166 REPORT ON THE FINANCES. DEPOSITS, ^ SPECIAL—Continued. • IV. The corporations formed under the national-currency act are banks of deposit, as well as circulation. They are authorized to issue their own notes, and receive fi-om others their money and circulate it. Money so received is termed a deposit, although it has none of the qualifications of a bailment, thus named. - ' There is no trust or promise to redeliver t h e same money. By the deposit the money becomes the xiroperty of the bank, and only t h e relation of debtor and creditor is created. {Ibid., per Allen, J., p . 288.) [NOTE 1.—In the last^cited case the cashier of the Ocean National Bank , had, at sundry times, received United States bonds belonging to the Lyons bank. Some of these bonds had been xmrchased by said cashier and the assistajit cashier for the Lyons bank. Two or three times, by the order of the latter bank, the couxions of these bonds had been cut off by said cashier and proceeds credited to the Lyons bank. But there was no xiroof that these, transactions Avere done, or tliat said bonds Avere kept in the vault of said Ocean Bank, Avith the knoAvledge of the directors. While said bonds AV ere thus kept, burglars broke in * and stole them. The court held, and the' opinion was unanimous, t h a t there was no difference underthe currency act between such a deposit of United States bonds and a dexiosit o.f other A-aluable xiroperty, such as plate, diamonds, or jewelry, for safe-keeping, gratuitously. I t was a naked bailment of dexiosit, Avithout re AAvard, and such an act o f t h e cashier as . did not bind the bank. ] For definition of the bailment called ''deposit," and the liabilities of such , a bailee, see Story on Bailments, section 4, and sections 61 to 135. As to sxiecial dexiosits of money with a bank, see Story on Bailments, section 88; also Smith vs. First Naiional Bank, 99 Mass., p . 605. In this last case . there had been a special dexiosit of gold coin, to be returned when "called for. The cashier embezzled the funds: Held, t h a t the bank was not liable, aSv there Avas no gross negligence oh the xiart of the corxioration. ' .[NOTE 2.—The cases of Wiley A^S. First Naiional Bank and First Naiional Bank of Lyons vs. Ocean National Bank, as aboA^e cited, are referred to AA^th decided axixiroval in Weckler A^S. First National Bank of Hagerstown, 42 Md., p . 581. I t is Xiroper to sfcate, hoAvcA^er, t h a t the cases of Scott A'^S. National Bank of Chester Valley, 72 Pa. St., p . 471; First National Bank of Carlisle YS. Graham, 79 Pa. St., p. 106, and Chatiahoochee National Ba/nk vs. Scliley, 58 Ga.,p. 369, hold directly t h e contrary doctrine, although in the last-named case the xioint Avas not really in dispute. The rulings in NeAV Y^ork and Vermont Avould seem, to the Avriter, sound; b u t the custom of receiving special deposits for safe-keexiing, and without reAvard, has been so general with banks t h a t it may control, in giving ^construction to the national-bank act.] DIRECTORS OF NATIQNAL BANKS. I. Directors of a national bank may remoA^e the xiresident, both under the law of Congress and the articles of association, AA^here the latter so X->i'ovide. The power exists if the bank has adopted no by-laws. {Taylor vs. Hutton, 43 Barb., N. Y. Sup. Court, p . 196; S. C, 18 Abb. Pr. R . , p . 16.) II. In all cases Avhere an act is to be done by a corxiorate body, a majority of t h e whole nuniber of directors is necessary to constitute a A^alid meeting; but at ^ a meeting Avhen a quorum is jiresent, the majority of those xiresent may act. A by-law adoxited Avhen less than a majority are xiresent is void. {Lockwood vs. American National Bank, 9 Rhode Island, p. 308. See Title " OFFICERS," post.) EMBEZZLEMENT. I. When the xiresident of a national bank, haAdng charge of its funds, couA^erts them to his own use, he embezzles and abstracts them within section 55 (R. S., sec. 5209) of the national-bank act, unless he shoAvs authority for thus . using them. {In ilie matter of Van Campen, 2 Benedict,p. 419, per Blatchford, J.) II. Although false entries in regard to such embezzlement are made on the books of such bank by the clerk, but by the order of the xiresident, the latter is chargeable as princixial; and the'intent to defraud the bank is to be inferred • from the.fact of such embezzlement. {Ibid.) IIL The cashier of a national bank Avas inclicted under said section 55 for embezzling and Avillfully misapxilying the moneys of the bank with intent to defraud, &c. On trial it Avas xiroved t h a t defendant took the moneys of the bank and . used them in stock speculations, carried oii in his own name, by dexiositing the same with a stock broker as " m a r g i n s " for stocks bought ou his OAvn account. . Held, t h a t the intent to injure or defraud Avas conclusiA^ely |iresumed uxion proof of the act charged; and, therefore, eAddence Avas not admissible to xirove t h a t the cashier nsed the funds with the knoAvledge and consent of COMPTROLLER'OF THE CURRENCY. 167 EMBEZZLEMENT—Continued. the president, and some of the directors of the bank, and on account of and . for the benefit of the bank. ( United States vs. Taintor, 11 Blatchf, p. .374.) [NOTE.—This last case was decided in the United States circuit court, sonthern district of New York, Woodruff, Blatchford, and Benedict, J. J., all concurring in the decision.] i v . A State court has no jurisdiction of the crime of embezzlement by an officer of a national bank situated within the State. (Commonwealth vs. Felton, 101 Mass., p . 204; Stale A^S. Tuller, 34 Conn., p . SO.) But in this latter case it Avas also held c t h a t AAdiile a teller of such bank could not be xmnished for embezzling the funds'of the bank, he could be couA^icted, under the statute ofthe State, for purloining property dexiosited Avith such bank for safe-keexiing; and m Commonivealth A^s. Barry, 116 Mass., p . 1, it was decided t h a t though an officer of a national bank, Avho has stolen its proxierty, may be subject to xmnishment for embezzlement under the national law, he may also be punished for the same act, as a larceny, nnder the statute of the State. ESTATE, REAL. I. The Avant of xiower of a bank, or of its trustee (receiver) in insolvency, to pur- ^ chase and hold real estafce, does not render void an arrangement whereby land subject to a lien in favor of the bank, and to other liens, is discharged of those other liens by funds fi'om the assets of the bank, the land being then sold, and' the entire xiroceeds of such sale realized to the bank assets, xiro Added the title does not xiass through the bank or its trustee. {Zantzingers vs. Gunton, 19 Wall, p ; 32.) , See, also. Title ' ' L O A N S ON R E A L E S T A T E , " ^ o s i . ) ESTOPPEL. I. A shareholder in a national bank, who has xiarticixiated in its transactions as such, and receiA^ed dividends, is estopxied from denying the legality of its incorporation. The same rule axixilies to one accustomed to deal with*^a national bank as such, as by givuig his promissory note to; such bank. ( Wheelock vs. Kost, 77 I I I , p . 296; National Bank A^S. Phoenix Warehousing Company, 6 Hun. {N. Y.), p . 71; Casey vs. Galli, 94 U. S., p . 673, ahd numerous cases therein cited.) EVIDENCE. I. Even if it is Avithin the authority of the xiresident of a national bank to bind the bank by an agreement AAdth the accexitor of a draft, Avhich is discounted by the bank, not to enforce the draft against him, yet oral evidence of such an agreement is not comxietent in defense of a suit by the bank against t h e acceptor. {Davis YS. Randall, 116 Mass., p . 6^7.) II. The certificate ofthe Coinxitroller ofthe organization of a national bank is conclusive CAddence as to the comxileteness of such organization, in a suit against one of its shareholders. {Casey vs. Galli, ante; Thatcher YS. West River National Bank, 19 Mich., p . 196.) . I I I . In ordering an assessment for the xiayment of the debts of an insolvent bank, the stock certificates and stock ledger of the bank must be taken by the Comptroller of the Currency, in the absence of fraud or mistake, as showing who the stockholders were at the time of the failure. {Davis A^S. Essex Baptist Society, 44 Conn., jy- 582.) INTEREST. _ * . I. Under section 30, act of 1864, a national bank in any State may take as high rate of interest as by the laAvs of such State a natural person may stipulate for, although Sfcate banks of issue are restricted t o a less rate. ^ {Tiffany vs. National Bank of Missouri, -18 Wall, j)- 409.) [ N O T E . — I n Missoiiri, natural xiersons may take ten xier cent., b u t State banks are restricted to eight xier cent. In this case the national bank had taken nine xier cent.: Held, legal.] II. Held, also, t h a t as the action was Adrtually brought to recoA^er the penalty for usury, the statute (section 30) must receiA^e a strict construction. {Ibid., p . 409.) III. In a suit by a national bank upon a bill of exchange discounted by it, the acceptor cannot set uxi by Avay of counter-claim, or set-off', t h a t t h e bank in discounting a series of bills of said accexitor, the proceeds of which it used to Xia;y other bills, knoAvingly took, and was xiaid, a greater rate of interest t h a n t h a t allowed by law. {Barnett YS. National Bank, 98 U. S., 8, Otto, p . 555.), 168 REPORT ON T H E FINANCES. ' INTEREST—Continued. IV. The acfc of June^3, 1864 (R. S., sec. 5198), ha\dng xirescribed that, as a penalty for such taking, the xierson paying such unlawful interest, or his legal repre"sentative, may in an action of debt against the b'ank recover back twice t h e aniount so paid, lie can resort to no other mode or form of procedure. {Ibid., Broivn vs. Second National Bank of Erie, 72 Pa. St., .p. 209.) [NOTE.—The aboA^e case in 98 U. S. OA"^errules scA^eral State decisions on the same point.*] See also Title " USURY,''jiosit. INTEREST ON CLAIMS OF CREDITORS. I. Where a national bank is put in charge of a receiA^er, under section 50 of t h e original currency act (R. S., sec. 5234), and a sufficient sum is realized from its assets to x^ay all clainis against it and leaA^e a surplus, the Comptroller ought to allow interest on the clainis during the period of administration before apxiropriating the surplus to the stockholders of the bank. An action of assumxisit by the holder of such a claim Avill not lie against 'the Comptroller, nor against the receiA^er, but Avill lie against the bank. {Chemical Naiional Bank YS. Bailey, 12 Blatchf., p . ^80.) II. In such action interest is recoverable on all demands originating in contract conditioned for the xiayment of interest, and on a,ll demands for nioney due and unxiaid, by AA^ay of damages for non-xiayment after such deniands became due. And interest is recoverable on a bala.nce due a depositor in such bank, although he has made no formal demand of payment. {Ibid.) But, as to thislast xioint, see the ruling of the Supreme Court. III. In the" case oi National Bank of the Commomvealth vs Mechanics' National Bank, 4 Oito, p . 437, the Suxireme Court United States decided t h a t a depositor in a national bank, AA^lien it susxiends paynient and a receiA^er is appointed, is entitled from the date of his.deniand to interest nxion the dexiosit; t h a t the claiius of dexiositors in such bank at date of suspension for the aniount of their deposits are, Avhen proA^ed to the satisfaction of the Comiitroller of the Currency, placed upon the same footing as if reduced to judgments; t h a t is t o say, they draw interest frOni the time of such xiroof and allowance. I t Avas also decided that, such interest being a liqilidated sum at the time of the payment o f t h e deposit, an action lies to recover it, and interest thereon. IV. When the Conixitroller assesses shareholders to pay the debts of ari insolvent national bank, such assessment bears interest from the date ofthe Comptroller's order. -,(Casey vs. Galli, ante.) JUDGMENTS. I. A judgment against a national bank in the hands of a receiA^er, uxion a claim^ only establishes the A^alidity of such claim ; the xilaintiff can have no execution on such judgment, but must aAvait j;ro rata distribution. '{Bank of Bethel vs. Pahquioque Bank, 14:' Wall, 2^- 383. Clifford, J., p . 402.) JURISDICTION. I. A,United States district conrt has jurisdiction to authorize a receiver of an in. solA^ent natiohal bank to comxiromise a debt. (Matter of Piatt, 1 Ben., p . 534.) II. A resident (citizen) of Kentucky AA^as a creditor of a national bank located in Alabama, and commenced a suit on his claim against said bank in the supreme court of the State of NCAV Y^ork, at the same time attaching certain moneys belonging to said bank, i n t h e hands of the National Park Bank, in New York. Subsequently the receiA^er of the Alabama bank (wliich had failed) \A^as, on his own niotioh, made xiarty defendant to the action xiending in the New York supreme court, and pleaded ^^ want of jurisdiction," and other defenses. The supreme court overruled his plea to the jurisdiction, rendered judgment against the receiA^er on tlie merits, and ordered satisfaction to be made trom the moneys attached. Thereupon the receiA^er filed his bill in Gh^iTiCQTj ux tlxQ United Staies circuit court for the xiroper circuit, praying, an injunction to restrain the collection of the judgment rendered by said supreme • court, and t h a t the moneys attached be paid to him as receiver. Held, tl\at, by the provisions of the currency act, the State court was dexirived of jurisdiction of the attachment proceedings; t h a t the receiver was n o t estopxied by the xiroceedings in said State court from asserting his rights in said circuit court, and t h a t he was entitled to the relief xirayed for in his bill. {Cadle, receive}', cfc, A'-s. Tracy, 11 Blaichf., p . 101.) See also T i t l e " RECEIVERSJ" VII, post. I I I . State courts haA^e no jurisdiction of actions to recoA^er penalties imxiosed by t h e national-bank act. {Newell A^S. NationalBank of Somerset, 12 Bush., Ky., p . 57^ (See also Title " EIS'IBEZZLEMENT," IV, ante.) COMPTROLLER OF THE CURRENCY. 169 JURISDICTION—Continned. r v . The United States circuit court has no jurisdiction of a suit by a private person to restrain or interfere with the Treasurer of the United States or the Comptroller of the Currency in the discharge of their duties in respect t o bonds deposited to secure the redemption of circulating notes of a national bank. {Van Antiverp vs. Hulburd, 7 Blatchf, p . 426.) V. An action Avill not lie against the Comptroller nor the receiver, upon a claim against an insolvent national bank, but will lie against such bank. {Chemical National Bank vs. Bailey, ante. See also Bank of Bethel vs. Pahquioque Bank, ante.) VI. A national bank cannot be sued i n t h e United States district courts outside of the district where it is located. {Main vs. Second Nat. Bank of Chicago, 6 Bissell, p . 26.) Nor can such action be brought against a nationaibank in a State conrt, save in the connty or city w^here it is located. (Crocker vs. Marine National, 101 Mass., p. 240. See also Title " A C T I O N , " VII, ante; also " EBIBEZZLEMENT," IV, ante.) LOANS I N EXCESS. I. A loan by a national bank in excess of the restriction of section 29 of the act of 1864 (Revised Statutes, section 5200), which xirovides t h a t the total liabilities of any person (borrower) shall not exceed ten per centum of the capital stocky &c., is not void on t h a t account. The loan may be enforcedj though t h e b a n k may be liable to xiroceedings for forfeiture of its xirivileges, &c., for making it. {Steivart YS. National Union Bank of Maryland, 2 Abb., United States, p>' 424. See also 0'Hare YS. Second National Bank, 77 Pa. St., p . 96.) In Samuel M. Shoemaker A^S. The National Mechanics' Bank, and The Same vs. The National Union Bank, application for injunction, &c.. United States circuit court, Baltimore, Md., Judge Giles held * * * " A s to the tirst charge in this bill against the defendant, in reference to the amount loaned to Bayne & Co., in Adolation of the twenty-ninth.section of the act of June 3, 1864, I Avould only say that the loan made under such circumstances is not void; it can be enforced as any other loan made by the bank." Vide 31 Md., p. 396. The validity of a loan in excess of the above-named statutory restriction was established and set at rest by the decision of the Supreme Court United States, in the case of Gold Mining Company A'^S. Rocky Mountain National Bank, 96 U S., {6 Otto), p . 6i0. LOANS ON.- REAL ESTATE. . A executed.a note to B, and, to secure payment thereof, also executed a deed of trust on lands, Avhich was in effect a mortgage, with a power of sale thereto . annexed. A national bank, on the security of the note and deed, loaned money to B, who thereuxion assigned them to the bank. The note not being paid at maturity, the trustee was xiroceeding to sell.the lands pursuant to the power, Avhen A filed a bill in chancery to enjoin the sale upon the ground that bysections 5136-37, R. S., the deed d i d n o t inure as a security for a loan made by the bank at the time of the assignment of said note and deed. Held, that the bank Avas entitled to enforce collection of the note by a sale of the lands pnrsiiant to the xiower in this deed of trust.. - Union National Bank of St. Louia vs. Matthews, 98 U. S. {8 Otto), p . 621. Mr. Justice Miller dissented, holding the note A^alid, but t h a t the deed wasinoxierative as security to the bank. • . "LOANS ON SHARES. I. National banks are gOA^erned by the act of 1864, AA^hich repealed the act of 1863,. and cannot, therefore, make loans on the security of their own shares, unless to secure a pre-existing debt, contracted in good faith {Bank, ^-c, vs. Lanier^ 11 Wall, 2^.369.) II. The xilacing of funds by one bank on xiermanent deposit with another bank isa loan withiii the spirit of section 35 of act of 1864. {Ibid., p . 369.) IIL Loans by such banks to their shaTcholders do not,create a lien on the shares of such borrowers. {Ibid., |i. 369. See Sblso Bullard vs. Bank, 18 Wall', p. 580; and " B Y - L A W S , " sup7'a. IV. But a national bank has the right to make loans on negotiable notes secured by the stock of another corporation, of marketable A^alues. {Shoemaker vs. Na-. tional Mechanics^ Bank, 1 Hugh. ,p. 101.) The same doctrine was also held in case of Germania National Bank et d l vs. F. F. Case, receiver, ^ c , decided by t h e Supreme Court U. S. at its last term. I t will be reported in 99 U. S., C. C.) 170 REPORT ON THE FINANCES. LOCATION. I. Under sections 6, 8, 10, 15, 18, and 44 of the original currency act (13 Stat, at Large, 101), resxiecting the location of banking associations, a national bank is to be regarded as located at the xilace sxiecified in its organization certificate. If such place is in a State, the association is loca.ted in that State. {Manufacturers' Naiional Bank A^S. Baack, 8 Blatchf., p>- 137.) OFFICERS. . . I. CASHIER. The cashier is the general executiA^e officer of a bank, liaA^ing charge of its funds, notes, bills, and other choses in action. Either directly or through his subordinates he receiA^es all nioneys and notes of the bank, delivers UXI discounted paxier when xiaid, draws checks to withdraw funds of the bank when dexiosited, and generally, as such executiA^e officer, transacts most of the bank business. ( Uniied States A^S. City Bank of Columbus, 21 How.,p. 356, and numerous later decisions.) II. But the cashier can make no declaration binding the bank not Avithin the scope of his general powers. {Bank of Metro2)olis vs. Jones, 8 P e l , p. 12: S. P . , 3 Watts 4" S., Pa., p . 317; 3 Gill, Md., p . 96.) III. A cashier, Avho has made sale of corporate xiroperty, and holds a balance in his hands, is the agent of the board of directors, and not of the respectiA^e stockholders, and cannot be charged by an individual stockholder as holding snch balance for his benefit. {Brown A^S. Adams, 5 Biss., j»i. 181.) , IV. A cashier, Avithout special authority, cannot bind his bank by an official indorsement of his individnal note, and the onus is on the xiayee to shoAv such authority. > ( West Saint Louis Savings Bank A^S. Shaivnee Co. Bank, 3 Dill, p . 403.) V. Although the cashier of a bank may, in the ordinary course of bnsiness, withont the action of the directors, dispose of the negotiable securities of the bank, he has not the xiOAver to xiledge its assets for the xiayment of an antecedent debt. {State of Tennessee vs. Davis, 50 Hoiv. {N. F.'), 2>- 447.) VI. DIRECTORS. It is the duty of directors of a bank to use ordinary diligence in acquiring knoAAdedge of its business. They cannot be heard, Avhen sued, to say . that they were not axixirised of facts the existence of which is shown by the books, accounts, and correspondence of the bank. They should control the subordinate officers of the bank in all imxiortant transactions. Therefore, nnder the circumstances proA^ed in this xiarticular case, they Avere held liable for the abstraction and sale of sxiecial dex)osits by the latter; ( United Society, 4"C.,YS. Underivood, 9 Bush, Ky.,p. 609; German Bank YS. Wulfekuhl&r, 19 Kansas, p . 60.) VII.v<The cashier of a national bank, Avho had executed no bond, eniliezzled its funds, . '" discovery AA^hereof niight have been effected by use of slight diligence on the part of the directory. They, howcA^er, published, according to law, a statement of the condition of the bank, which showed t h a t its affairs were being - prudentl.3^ and honestly administered, and from which the xmblic had a right to belicA^e t h a t he Avas trustAvorthy. AfterAvard, persons who had seen this rexiort became sureties on t h e official"bond of the cashier, and for his subsequent embezzlements were sought to be held liable thereon: Held, That such sureties, being misled by the statenient, were released. They had a right to belicA^e t h a t the directors, before x^uhlishing it, iuA^estigated the condition of the bank. (^Graves A^S. .Lebanon National Bank, 10 Bush, Ky., p . 23.) VIIL PRESIDENT. A guaranty against loss for signing as sureties, given by a bank Xiresident Avithout authority from the directors, to those Avhom he had solicited thus to sign a note, giA^en to the bank to retire a prior note held by it against their principal, is held to be the individual contract of the president, and not bind ing uxion the ba.nk. {First Natidnal Bank A^S. Bennett, 33 Mich., ji. 520.) IX. A xiresident of a bank, who, Avith the cashier, had the general charge of its business, xiermitted and directed the draAving of moneys from the bank by one irresponsible, Avithout security, and for a business in which the president was interested with the x^arfcy drawing the funds. He requested the ca.shier not * to say anything of it to the directors: Held, That the xiresident was personally responsible for the moneys thus drawn. (First Natidnal Bank of Sturgis vs. Reed, 36 Mich., p . 263.) [ Quwre: Wonld not an indictment for embezzlement lie under the national-bank act?] X. The president o f a bank, as such, has no authbrity to release the claim's ofthe bank against- any one. Such authority must come from the directors, by vote or implication. {Olney vs. Chadsey, 7 R. I , p . 224.) POST-NOTES. I. Certificates of deposit, payable at a fixed future day, held to be equivalent to post notes, and therefore void, as prohibited by a State law. (See ante Title, " D E P O S I T S , CERTIFICATES OF," IV, and cases there cited.) COMPTROLLER OF T H E CURRENCY. 171 RECEIVERS. I. The receiver of a national bank is the instrument of the Comxitroller, and may be remoA^ed by him. {Kennedy YS. Gibson, 8 Wall, 2^-606.) • 11. Snch receiver is the statutory assignee of the assets of the bank, and may sue to collect the same in his OAVU name, or in the name of the bank for his use. {Ibid., p . 606.) • ' ' III. In such suit it is not necessary to make the bank or creditors parties. {Ibid., p. 506.) . • IV. The receiA^er of a national bank represents such bank and its creditors, but he in no sense represents the Uuited Staies Government, and cannot subject the government to the jurisdiction of any court. {Case A^S. Terrill, 11 Wall, p . 199.) V. The decision of a receiA^er, rejecting a claim against his bank, is not final. Claimant may still sue. {Bank of Bethel YS. Pahquioque Bank, 14 Wall, jji. 383.) VL The clause of section 50, act of 1864, which xirescribes t h a t the receiA^er shall be ^^ lender the direction of the Coinxitroller," means only t h a t he shall be sicbject to his direction, not t h a t he shall not act without orders. He may and must collect the assets. That is Avliat he is appointed for. {Bradley, J., in Bank vs. Kennedy, 17 Wall,p)p. 22-3.) VII. Receivers ofnational banks are officers o f t h e United States, within the meaning of the act of Congress of March 3, 1815, giving United States courts jurisdiction of actions by United States officers, and may sue in such courts. {Piatt, receiver, cfc., vs. Beach, 2 Ben., p . 303.) [NOTE.—The judge places stress upon the proAdsion of section 31 ofthe act of 1864, which requires (in t h a t particular instance) t h a t the Secretary of the Treasury shall concur in the appointment ofthe receiver.] VIIL Receiver not Uable to be sued on a claim against the bank. (See Title, ' ' J U R I S DICTION," V, aw/e.)<SET-OFF. I. In an. action brought to enforce the individual liability of a shareholder of an insolA^ent bank, such shareholder cannot set off against such liability the aniount due to him as a creditor of the bank. {Garrison A^S. Howe, 17 N. Y., p . 458; In re Empire City Bank, 18 N. F., j?. 199.) [NOTE.—Though these cases Avere decided by a State tribunal (NCAV York court-of axixieals), and the rulings AA^ere based uxion xirovisions of a State constitution and a State statute, yet the principle they enunciate is recognized and fully affirmed in Sawyet^ A^S. Hoag, 17 Wall, j^i. 610, and Scammon vs. Kimball, 2 Otto, p. 362; vide also, Venango National Bank YS. Taylor, 66 Pa. S t , p . 14.] II. As to when a depositor m a y set off his deposit against a debt due by him to an insolvent national bank, see ante Title DEPOSITS GENERAL, I V ; also, Piatt, receiver, A^S. Bentley, 11 Am. Laiv Register, 2^-171. IIL Usurious interest paid cannot be set off. (See Title " I N T E R E S T , " I I I and IV, ante.) SHAREHOLDER, W H O IS PRESUMED TO BE. ' I. A person is xiresumed to be the owner of stock when his name apxiears on the books of a comxiany as a stockholder; and when he is sued as such, the burden of disxiroving such xiresumxition is cast upon him. {Turnbull Y. Payson, 95 U. S. (5 Otto), p . 418.) • • SHAREHOLDERS, INDIVIDUAL LIAJ3ILITY OF. I. Comiitroller must decide when and for what amount the personal liability of the ' shareholders of an insolA^ent national bank shall be enforced. {Kennedy vs. Gibson, 8 Wall, 2?. 505.) IL His decision as to this is conclusiA^e. Shareholders cannot controA^ert it. {Ibid., p . 505; Casey YS. Galli, 94: U. S. (4 Otto), ji. 673; Germania Bank et a l A^S. Case, receiver, U. S. Supreine Court, jiot j e t reported.) [NOTE.—These cases are decisiA^e against the ruling in Bowden YS. Morris, 1 Hugh., p . 378, C. C ] III, I n any suit brought to enforce such xiersonal liability, such decision of t h e Coinxitroller must be aA^erred by the xilaintiff', and, if xmt in issue, must be XiroA^ed. {Kennedy v. Gibson, su2^ra.) IV. The liability of shareholders is scA^eral, and not joint. {Ibid., p . 505.) V. The limit of such liabilities is the xiar A-alue of the stock held by each one. {Ibid., p . 606.) VI. Where the AA^hole amount is sought to be recovered, the xiroceeding must be at l a w ; where less is required, the xiroceeding may be in equity, and in such case an interlocutory decree may be taken for contribution, and the case may . stand over for the further action of the court, if such action should subse• quently xiroA^e to be necessary, until the full amount of the liability is exhausted. {Ibid., p . 505.) 172 REPORT ON T H E FINANCES. SHAREHOLDERS, INDIVIDUAL LIABILITY OF—Continued. But in Bailey, receiver, cfc, vs. First National Bank Duluth, U. S. circuit court for Minnesota, Nelson, J., held t h a t even Avhere less than the x^ar value was assessed the suit might be at laAv; and this would seem to be the true theory. Vide Banker's' Magazine, A2^ril, 1877, 2?- 793. VIL In such equity suit, all shareholders Avithin the jurisdiction of the court should be made xiarties defendant; b u t i t i s no defense that those not AAdthin the jurisdiction are not joined. {Kennedy YS. Gil)son,_ su2ora.) • VIII. Suits to enforce personal liability of-shareholders may xiroperly be brought before other assets are exhausted. {Ibid., pp. 505-6.) IX. Where, before the failure of a bank, stock Avas transferred on its books to t h e , name of aii irresxionsible xierson, for t h e xmrxiose of escaping liability, and so stood at t h e time of the axipointment of a receiA-er: Held, That the receiver could shoAv Avho the real OA\aier Avas, and t h a t the latter was liable for the assessment. {Davis, Receiver of Ocean Naiional Bank, A^S. Stevens, U. S. Cir. Ct., southern district N Y., October, 1879. Waite, Chief Justice.) SHAREHOLDER, L I A B I L I T Y OF TRANSFEREE. I. The transferee of shares, Avhen such transfer is absolute on the books of t h e bank, is liable to creditors to the aniount of such shares, although in fact he holds theni as collateral security for a loan to the shareholder Avho transferred them. {Hale YS. Walker, 31 Iowa, 2y- 344; Adderley vs. Stprm, 6 Hill, p . 624 ; Van Biker's case, 20 Wend., p . 614; Bowden, receiver, A^S. Santos et a l , 1 Hugh., p . 158; Marcy A^S. Clark, 17 Mass.,^ p. 330.) • [In the Bankers' Magazine for January, 1875, is a notice of the case of Mann, receiver, A^S. Dr. Cheeseman, decided by Bla.tchford, J., in the United States circuit court, in NCAV York, iiiAA^hich the judge held t h a t until there was a transfer of shares on the books of the bank the shareholder whose name there apxieared Avas liable for the debts of the bank; t h a t an actual sale and the signing t h e ordinary xiOAA^er of attorney on t h e back of the certificate AAdll not relieve the seller. ] To t h e foregoing rulings of State and other subordinate tribunals may now be added the decision of t h e Suxireme Court United States in Germania Bank et a l vs. Case, receiver, already cited. The Germania National Bank of New Orleans discounted a note ibr the firm of Phelxis, McCullough & Co. for $14,000, at ninety days, taldng as xiart security therefor the xiledge of 100 shares o f t h e Crescent City National Bank stock, Avith xiower of attorney to the Germania cashier to transfer, seU, &c., on default in xiayment of the note. Phelps, McCullough & Co. failed, and the note Avas protested at maturity. Prior to t h e maturity of the note, the Crescent City Bank sustained such heavy losses t h a t it Avas notoriously in bad repute in. New Orleans; and yet,. Avhen the note fell, due, the cashier of the Germania immediately transferred to his own bank, uxion the books of the Crescent City Bank, the 100 shares so pledged. Afterwards, on the same day, he transferred 76 of these shares to one Waldo, a clerk of t h e Germania Bank; and on the day following transferred the remainder to said Waldo. I t .was proved t h a t Waldo paid nothing, Avas t h e mere agent of the Germania Bank, Avhich still OAvned the 100 shares as security for tl^e paynient of said note, and t h a t one of the xirincixial reasons for the-transfers t o Waldo was the possible liability of the shareholders of the Crescent Bank for its debfcs in case of insoh^ency! Soon after, the Crescent City Bank failed. Held, pefT Strong, J., t h a t the trausfers^ to said Waldo AV ere void as against said receiA^er, and that although the Germania Bank only held said shares as collateral security for t h e xiayment of said discount, it was still liable as owner for the assessment in this case ordered by the Comptroller. The opinion is able and fortified by numerous authorities. [NOTE.—In this same case, at a former term, upon a motion to dismiss t h e appeals of certain of the axipellants, t h e Suxireme Court recognized the right of t h e Comptroller to make a.n additional assessment, if deemed necessary;, and for this reason sustained the apxieals, holding t h a t the matter in dispute Avas, or might be, OA^er $5,000, although the decrees axipealed from were severally less than t h a t amount. The assessment AA^as for 70 per cent. C. C."| See also Pullman A^S. Upton', 96 U. S., 6 Otto, p . 328, as to liability of transferee. SHAREHOLDER, LIABILITY OF EXECUTOR, ADMINISTRATOR AND HEIRS O F . I. Where stockholder died before failure of bank, stock not haA^ing transferred t o . name of administrator: Held, t h a t the stock is not to berega.rded as having been at the time ofthe failure the proxierty of the administrator, in such a sense as to constitute him a "shareholder Avithin the meaning of sec. 5152, U. S. RCA^ Stat., so as to limit liability ofthe estate to funds actually in t h e hands of administrator. COMPTROLLER OF THE CURRENCY. 173 SHAREHOLDER, LIABILITY O F EXECUTOR OF, &C.—Continued. Held, also, that t h e provision of the act exempting executors and administratorsand trustees from xiersonal liability was not intended to affect the liability to assessment pf estates in xirocess of settlement, b u t only to prevent a personal liability from running against xiersons acting in a trust caxiacity, who had received the stock for the benetit of trust estates. Davis vs. Pf^eed, 44 Conn.y p . 669. II. The liability of a stockholder is in the nature of a contract, and as such was a xiersonal liability, for which his estate Avas holden at his death. {Davis vs. Weed, supra-, citing Hawthorne A^S. Calefy 2 Wall,p. 22; Loiory A^S. Jamen, 46 N. Y., p . 1 1 9 ; Bailey YS. Hollister, 26 N. Y., p.112.) SHAREHOLDER, LIABILITY OF TRUSTEE OF. , I. To xirotect trustee of stock from xiersonal liability it must appear upon the books t h a t he held as such trustee. {Davis vs. Essex Bapftisi Society, 44 Conn., p . 582.) II. Creditors have a right to know wh o have pledged their personal liability. {Ibid.) I I I . ' If a trustee Avishes to disclose his trusteeshixi there is no difficulty in giving notice uxion the books ofthe bank. If he does not do so he is guilty of laches, for which others should not suffer. {Ibid.) IV. The settlement of the aff'airs of an insolvent bank would be rendered a matter , . of great labor, exxiense, and delay, if xiersons Avho axixieared upon the books of the bank as individual stockholders Avere permitted to relicA^e themselves by proof aliunde t h a t they held t h e stock as executors, guardians, or trustees. {Ibid.) [NOTE. This last-cited case, and Davis vs. Weed, su2^ra, although reported in the Connecticut Reports, Avere decided by the United States district court. ] SHARES, TAXATION OF. I. The act of 1864, rightly construed, subjects the shares of the association in t h e hands of shareholders to taxation by the States, under certain'limitations set forth in sectipn 41, Avithout regard to t h e fact that part or the whole of the capital of such association is invested in national securities which are declared by laAV exempt from State taxation, {Van Allen vs. Assessors, 3 Wall, 573.) (Chase, C. J., and other judges dissented.) I I . Act thus construed is constitutional. {Ibid., 2)• 673.) „ ^ ^III..^Ajcertaiu sfcatute of New York, which taxed shares of national-bank stock, declared A^oid, because shares of State banks were not taxed, although their capital was; the act of Congress xirescribing that shares of national banks shall be taxed only as shares of State banks are. {Ibid., xj. 573.) The ruling as to taxing shares of stock reaffirmed in Bradley vs. People, 4 Wall, 459; National Bank YS. Commonwealth, 9 Wall, p . 353. In lasfc case, held, t h a t a State laVv requiring the cashier to pay the t a x was valid. Held, also, that a certain State t a x laAV virtually taxed ^^shares oi moneyed corporations," &c. {Ibid., p . 363.) . IV. Shares of stock in national banks are personal proxierty, and though in one sense incorporeal, the law w^hich created them could separate them from t h e Xierson of their owner, for taxation, and give them a situs of their own. {Tappan, collector, YS. Bank, 19 Wall, p.A90.) V. Sec. 41 did thus separate them and give them a situs of their own. {Ibid., p . 490.) VI. This provision of the national-currency act became a law of the property (in shares), and every State in which a bank was located acquired jurisdiction, for taxation, of ail the shares, whether owned, by residents or non-residents, andxiOAver to legislate accordingly. {Ibid., p . 490.) VII. Under the act of Congress of February 10, 1868, enacting that each State legislature may direct the manner of taxing all shares of stock of national banks located within the State, subject to the restriction ijhat the taxation shall not be greater t h a n t h e rate assessed U27on other moneyed ca2ntal in t h e hands of individual citizens of such State, and of a certain act of the legislature of Pennsylvania Avhich provided that such shares shall be assessed for school, municipal, and local purposes at the same rate as is now or may hereafter be , assessed and imposed, iqion other moneyed caxiital in the hands of individual citizens of the 'State; held, t h a t shares of national-bank stock may be valued for taxation for county, school, mnnicixial, and local x^urposes, at an amount above their par value. {He2)burn A^S. School Directors of the borough of Carlisle, 23 Wall, p . 480.) [ N O T E . — I n this case i t axixieared that Hepburn OAved several thousand dollars of national-bank stock, t h e x^ar value of which was $100 per share, and that it was valued for taxation, for a school-tax, at $150. per share. This asesssment Avas held valid, notAvithstanding t h a t by a certain act of the State 174 REPORT ON T H E FINANCES. SHARES, TAXATION OF—Continued. legislature, axiiilicajble to t h e county of Cumberland, in which the borough of Carlisle AA^as situated, certain specified kinds of moneyed obligations were exenipt from taxation except for State xmrxioses.] VIIL The rate of taxation of shares of a national bank by a State should be t h e same as, or not greater than, upon the moneyed caxiital of the indiAddual citizen which is liable to taxation ; t h a t is, no greater in proportion, or percentage of tax on the A^alnation of shares should be IcAded, than upon other moneyed taxable capital in the hands of the citizen. {People vs. The Commissioners, <fc.. 4 Wall, p . 266.) IX. The act of Congress axiproA^ed June 3, 1864 (R. S., sec. 5219), was not intended to curtail the poAver of the States on the subject of taxation, or to prohibit the exemxition. of xiarticular kinds of xiroxierty, b u t to xirotect t h e corporations tbrmed under its authority fi'om unfriendly discrimination b y t h e States in the exercise of their taxing xiower. {Adams vs. Nashville, 95 U. S., 6 Otto, p . 19.) See also SaintLouis National Bank, NationalBank of Missouri, Thii'd National Bank, Valley National Bank, and Merchants' National Bank of St. Louis A^S. Papin, in United States circuit court, eastern district of Missonri, Septeniber term, 1876. Also, Gallatin National Bank of Neiv York YS. Commissioners of Taxes, suxireme court of NCAA^ Y''ork, first department, general term, NoA^ember, 1876. These latter cases are xiublished in the Bankers' Magazine for December, 1876. SHARES O F STOCK. I. A national bank Avhose certificates of sfcock specify t h a t t h e shares are transferable on t h e books of the bank on surrender of the certificates, and not otherwise, and which suffers a shareholder to transfer Avithout such surrender, is liable to a bona fide transferee, for A-alue of same stock, Avho x>roduces snch ^ certificate with usual xioAver of attorney to transfer; and this is so though rio notice had been given to the bank ofthe transfer. {Bank YS. Lanier, 11 Wall, \2i.369.) II. Shares g2msi negotiable. {Ibid., p . 369.) SURPLUS FUND. I. Where t h e shares of a national bank are assessed for taxation at their p a r value, the surplus fund of such bank in excess of the amonnt reqnired by laAV to be kexit on hand is taxable. {First Nat. Bank YS. Petenlm^ough, 66 N . H , 2^' 38.) But when such shares are assessed at their market value^^nd'^ijhe^^ amount of such surplus is taken into account in estimating such market A-alue, it is not taxable. {State A^S. City of Newark, 10 Vroom, N. J.,'p- 380.) II. Neither a dividend which has been declared, nor a portion of capital of a national bank reniaining after a reduction has been made, can be retained by the directors to constitute a surxilus fund. {Seely vs. N. Y. Nat. Exchange Bank, 4 Abb., N. Y. cases, p . 61. * ^ TAXATION BY LICENSE. I. The District of Columbia imxiosed a license tax on all the national banks in t h e . District, the rate being 50 cents annually on each $1,000 of the caxiital invested. The Citizens' National Bank refused to xiay this assessment, and a test case was made in the District criminal court, Mr. Justice MacArtlmir presiding. This conrt, after full argument, held the t a x illegal and void, as being contrary to the mode of taxation xirescribed by Congress, which mode Avas held to be exclusive. TAXATION OF INTEREST AND DIVIDENDS. I. Under the internal-rcA^enue act of July, 1870, interest paid and dividends declared during the last five nionths of 1870 are taxable, as AA^ell^as those declared during the year 1871. {Blake vs. National Banks, 23 Wall, p. 307.) TRANSFERS OF ASSISTS. L A preference of one creditor to another, Avithin the meaning of section 5242, Revised Statutes, is a xireference given by the bank to secure or pay a preexisting debt. Where a person, knowing t h a t a national bank is embarrassed, makes to it a loan, taking as security therefor apledgeof p ar t o f the assets of the bank, this transfer does not give him the xireference xirohibited by the • statute. {Casey YS. Le Societe de CrMitMobilier, 2 Woods, p . 77.) II. When not binding. Under said section 5242, which declares void transfers of its proxierty by a national bank, made in contemplation of insolvency, and Avith a vicAv to giA^e a preference to one creditor over another, or Avith a view to xirevent the apxilication of the assets of the bank in the maimer prescribed by laAV, such a transfer is A^oid if the insoh^ency is in the contemxilation of t h e COMPTROLLER OF , THE CURRENCY. 175 TRANSFER OF ASSETS—Continued. b a n k making the transfer, although the party to whom it is made does not knOAv or contemxilate t h e insoh'^ency of the bank. (Case, receiver, A^S. Citizens' Bank, 2 Woods, p . 23.) As to Avhen Si2)ledge of assets, even when intended as security for a loan to a national bank, AAdll be held iuA^alid, as against gOneral creditors, see the cases of Casey, receiver, A^S. Le Soci4tie de Credit Mobilier; Same, vs. National Park Bank; and Same A-S. Schuchardt, 96 U.S., 6 Otto, pp. 467, 492, 494. ULTRA VIRES. I. W H A T IS.—National banks cannot sell raikoad bonds for third parties on commission, or engage in business of t h a t character.. {Susan B'elcker vs. Fii^st National Bank of Hagerstown, Court of Apxieals of Maryland, 43 Md., jfi. 581. II. In an action' of deceit against a nationaibank, for alleged false rexiresentafcions of its teller in the sale to xilaintiff' of certain railroad bonds: Held, That the selling of such bonds on commission Avas not Avithin the authorized business of a national bank, and being thus beyond the scoxie of its corXiorate xiOAvers, the defense of ultra vires Avas oxien to it, and it Avas not respon- . sible for the deceit of its teller. {Ibid.) IV. W H A T IS NOT.—A uational bank took a lien uxion real estate to secure a xireexisting debt. AfterAvard, the bank paid $500 to discharge a prior lien upon the land, taking a note and.mortgageonland in Kansas to secure this advance. Lien and mortgage held valid and warranted by law. {Orum vs. National Bank, 16 Kans., p . 341.) V. A chattel mortgage taken by a national bank to secnre a pre-exisiing debt is valid, and Avill be enforced. {S20off'ord A-S. First Nationaal Bank, 37 Iowa, p. 181.) VI. A national bank has corporate xiower to enter into an agreement with a customer to exchange for liim non-registered for registered United States bonds; and ifc is bound by an agreement to t h a t eff'ect, made for a sufficient consideration by its cashier. {Yerkes vs. Nat. Bank, 69 N. Y., p . 382.) (See also Title " D E P O S I T S , SPECIAL," ante.) USURY. I. State laAVS relative to usury do not axixily to national banks. {Farmers and Mechanics' National Bank vs. Dearing, 1 Otto, p . 29.) . IL The only forfeiture declared by the 30th section of the act of J u n e 3, 1864 (ReAdsed Statutes, section 5198), is ofthe entire interest Avhich the note or bill carries with it, or AA-hich has been agreed to be xiaid thereon, when the fate knowingly received, reserved, or charged by a national bank is in excess of t h a t alloAved by t h a t section; a n d n o loss o f t h e entire debt is incurred by such bank, as a penalty or otherwise, by reason of the provision of the usury laAV of a State. {Ibid.) » . To same effect are National Exehange Bank vs. Moore 2 Bond, p. 170, and seA-eral State decisions. (The New York court of a2)2^eals had decided the other way.) See also Titles " I N T E R E S T " and " SET-OFF," ante. APPENTDIX. On the following page will be found an index to the principal subjects of the report. A list of all the tables in both the report and the appendix appears at the close of the ax3X3endix; * and at the end^ of the full volume is an alphabetical list of the cities, and villages in which are located the national banks whose detailed rexiorts are therein printed. In concluding this report, tbe Coinxitroller gratefully acknowledges the ability and devotion to the public service ofthe officers and clerks associated with him in the performance of official duties. JOHN J A Y KNOX, Comptroller of the Currency. Hon. SAMUEL J. EANDALL, '^ . . . . Spealcer of tlie House of Rej^resentatives, * The appendix, which is omitted for want of sxiace, may be found in the bound volume of the Comptroller's rexiort. EEPOET OF THE DIEECTOE OF THE MINT. 12 -p EEPORT D I E E C T O E OF T H E M I N T , TREASURY D E P A R T M E N T , O F F I C E D I R E C T O R OF THE MINT, Novemher 11, 1879. S I R : I have the honor to submit the following report of the operations of the mints and assay-offices of the United States during the fiscal year ended June 30, 1879. The nine institutions subordinate to this bureau comprise the four coinage mints at Philadelphia, San Francisco, Carson, and New Oiieans, the mint at Denver operated as an assay-office, and the assay-officces at New York, Bois6 City, Helena, and Charlotte. The operations authorized by law to be carried on at the mints and assay-offices may be briefiy enumerated: 1. The receiving, melting, and assaying of gold and silver deposits, and paying from Treasury funds in gold coin or bars for gold deposits, and in silver bars for silver deposits, at all the mints and assay-offices. 2o The parting and refining of gold and silver bullion and manufacture of fine bars at the coinage mints and the assay-office at New Y'ork. 3. The coinage of gold and silver bullion at the inints at Philadelphia, San Francisco, Carson, and New Oiieans. 4. The coinage of minor coins at the mint at Philadelphia. 5. The manufacture of medals and proof coin, and the execution of coinage-dies for all the mints, at the mint at Philadelphia. DEPOSITS AND PURCHASES. During the fiscal year the total deposits of gold and silver—including silver purchases—amounted to $71,179,654.65, of which $42,254,156.80 were gold, and $28,925,497.85 were silver. Of the above amounts $38,549,705.89 of gold and $26,934,728.56 of silver were of domestic production ^ $198,083.17 of gold and $10,607.79 of silver were United States coin; $1,069,796.89 of gold and $1,072,919.29 of silver were of foreign bullion 5 $1,498,819.71 of gold and $698,632.49 of silver were, foreign coin; and $937,751.14 of gold and $208,609.72 of silver were of plate and other manufactured articles. The deposits and purchases of gold and silver bullion, including redeposits, were as follows: Mint or assay-office. Mint at Philadelphia Mint at San Erancisco Mint at Carson ivlint at Denver Mint at ISTew Oiieans Assay-office at I^Tew York Assa.y-office at Bois6 Assay-office at Helena Assay-office at Charlotte . Total Gold deposits. $9, 662,082 29, 440,456 318, 852 410, 889 67, 413 11, 345,502 67, 266 405, 471 53, 947 22 04 71 33 67 98 17 16 83 SilA-^er deposits and purchases. Total. $9, 678, 094 23 $19, 340,176 45 13, 889, 428 81 43, 329, 884 85 1, 020, 660 24 1> 33.9, 512 95 6,120 46 417, 009 79 1, 195, 607 73 1,128,194 06 7, 019, 698 35 18, 365, 261 33 4, 218 19 71, 484 36 324, 707 17 730, .178 33 397 21 54, 345 04 51, 771, 942 11 33, 071, 518 72 84, 843, 460 83 180 REPORT ON THE FINANCES. A number of the deposits made at the assay-offices found their way to the coinage mints or to different assay-offices in the form of bars and were redeposited, and, although not augmenting the net receipts, increased the amount of bullion operated upon, either in the conversion of unparted into fine bars or in coinage, and this to the extent oi $13,663,806.18, of which $9,517,785.31 were gold and $4,146,020.87 were silver. PARTING AND REFINING. The amounts of gold and silver separated in the refineries of the coinage mints and the assay-office at New York were $20,759,549.97 of gold and $10,687,526.97 of silver, a total of $31,447,076.94, and were in detail as follows: G-old. Mint. P i n e ounces Mint at Philadelphia Mint at San Francisco Mint at Carson Assay-office at IsTew York. ' Value. 46, 822. 657 517, 608.154 14,134. 950 425, 677. 468 -- Total. $967, 910 10, 69'9,910 292,195 8, 799, 534 1, 004, 243. 229 24 16 34 23 20, 759, 549 97 Silver. Mint. P i n e ounces Mint at Philadelphia Mint at Snai !Francisco Mint at Carson .... Assay-office at Jfew York .. ... . Value. $415 557 5, 804, 764 365,290 4,101, 913 321, 408. 01 4, 489, 622. 87 282, 529. 46 3,172, 573. 80 ... Total . 83 93 61 60 10, 687, 526 97 8,266,134.14 Total. Mint. P i n e ounces. Mint at Philadelphia Mint at San Prancisco Mint at Carson Assay-office at New York ' --- . .. •- - - Total .. ... 368, 230. 5, 007, 231. 296, 664. 3, 598, 251. 667 024 410 268 9, 270, 377. 369 . _ ,. ,£) ., . Value. $1, 383, 468 16, 504, 675 657,485 12,901,447 07 09 95 83 31, 447, 076 94 . COINAGE. The coinage during the year amounted to $68,312,592.60, and consisted of 2,759,421 pieces of gold, of the valueof $40,986,912 5 27,228,850 pieces of silver, of the value of $27,227,882.50; and of minor coins 9,620,200 pieces, of the nominal value of $97,798. The coinage at tbe different mints was as follows: Mint. Mint at Philadelphia: Gold coinage Silver coinage (standard dollars) Sih-er coinage (fractional coins). Minor coinage Total Pieces. Value. 936, 564 12,124, 500 1,350 9, 620, 200 $11,329, 352 00 12,124, 500 CO 382 50 97, 798 00 22, 682, 614 23, 5.52, 032 50 181 DIRECTOR OF THE MINT. Coinage—Continued. Mint. M i n t at San Prancisco : Grold coinage ... .... Silver coinage ( s t a n d a r d dollars) Total . Pieces. .. . . ' . . . -•. . Value. • 1, 798, 500 • 12, 722, 000 $29, 329, 250 00 12, 722, 000 00 14, 520, 500 42, 051, 250 00 24, 357 1, 644, 000 . 328, 310 00 1, 644, 000 00 1, 668, 357 1, 972, 310 00 . 0 Mint at Carson: Grold coinage . Silver coinage ( s t a n d a r d dollars) ' . . • - *.. Total M i n t a t ^N^ew O r l e a n s : Silver coinage ( s t a n d a r d dollars) T o t a l coinage 737, 000 737, 000 00 39, 608, 471 68, 312, 592 50 The actual use of gold as part of the circulation, consequent upon the convertibility of United States notes into coin, it was anticipated would create a demand for the smaller denominations of gold coin, and during the last fiscal year there has been a larger coinage of eagles, half-eagles, and quarter-eagles than in any preceding year during a period of sixteen years. The coinage of eagles and half-eagles will be continued until the demand is satisfied; but because the cost to coin a given value of bullion is multiplied by every subdivision, and on account of greater loss by abrasion and inconvenience in use in large transactions, it is not considered desirable to coin a greater proportion of such denominations than actually needed by the public. The silver coinage has been almost exclusively of standard silver dollars, of which.$27,227,500 were coined during the year, and the total coinage to November 1, 1879, has been $45,206,200. There was no coinage of trade-dollars or subsidiary coins except the striking of specimen pieces or proof-sets at the Philadelphia Mint. The total amount of subsidiary coin issued since the passage of the resumption act has been $42,974,931. The full amount coined was $43,994,931, but $1,020,000 in dimes was recoined into pieces of larger denomination, at the mint at San Francisco. BARS. The. bars manufactured—fine and unparted—amounted to $22,022,614.79, of which $12,976,812.68 were gold and $9,045,802.11 were silver. They were made at the mints and assay-offices as follows: M i n t or assay-office. Mint at Philadelphia , M i n t a t San Prancisco M i n t at Carson M i n t a t N e w Orleans M i n t a t .Denver Assay-office a t N e w Y o r k . Assay-office a t Boise Assay-office a t H e l e n a Assay-office a t C h a r l o t t e . . Total . P i n e gold. ^ -gold. P-*^^ M i n t gold. $89, 997 82 $89,997 82 1, 798 29 $1, 798 29 $5,309,001 n 6, 639, 213 41 64, 280 00 405, 471 16 53,947 83 6, 729, 211 23 I 938, 600 34 T o t a l gold. 5, 309, 001 11 413,103 11, 948, 214 64, 280 405, 471 53, 947 06 52 00 16 83 12, 970, 812 68 182 REPORT ON T H E FINANCES. Bars—Continued. Mint or assay-office. Pine silver. Unparted silTotal silver. ver. $125, 614 22 1, 555,184 63 Mint at Philadelphia Mint fit Sa.n Prancisco Mint at Carson Mint at New Orleans Mint at Denver . Assay-office at New York . Assay-office at Poise Assay-office at Helena Assay-office at Charlotte .. $24, 012 75 6, 891 65 324, 707 17 397 21 2,165 50 7, 006, 828 98 6, 891 65 324,707 17 •397 21 358,174 28 9, 045, 802 11 2,165 50 7, 006, 828 98 Total ;, 687, 627 83 $125, 614 22 1, 579,197 38 Fine gold bars were manufactured and issued onlj at the mint at Philadelphia and the assay-office at New York. Ofthe total amount of gold bars, $12,976,812.68,\he assay office at New York made $11,948,214.52, of which amount $8,754,734.26 were redeposited at the mint at Philadelphia, and $2,901,844 w'ere delivered to depositors for use in the arts and manufactures. The total amountof silver bars was $9,045,802.11, of which $1,555,184.63 in fine bars, made at the mint at San Francisco, were probably exported ; a.nd of $7,006,828.98, made at the assay-office at New York, $4,482,975 w^ere delivered for manufacturing purposes, and the balance received at the Philadelphia mint for coinage. EIEDALS AND DIES. During the year there were struck at the mint at Philadelphia 114 medals of gold, 1,037 of silver, and 770 of bronze, the profits on which amounted to $2,493.36 5 544 proof-sets of United States coins were also made, and 905 coinage and medal dies executed. Full detailed statements of the foregoing operations will be found ih the appendix. APPROPRIATIONS, EARNINGS, AND EXPENDITURES, The amount of the specific appropriations made by Congress for the support of the several mints and assay-offices of the United States for the fiscal year ended June 30, 1879, wa's $1,243,640, of which the sum of $1,175,249.50 was expended. The appropriatious and expenditures were as follows: A2:)2)ro2maiions. Pl M i n t or assay-office. CQ •g C5 3 Philadelx>hia San Piancisco Carson . . . N e w Orleans Denver •.-. Assay-office, N o w Y o r k As.'saV-office; H e l e n a Assav-oitice, lioise C i t y Assay-office, C h a r l o t t e Total $34, 850 24, 900 23, 550 21, 40( 7, 950 33,150 5, 700 3,000 2, 500 157,000 cc 1 fl 30 g 0 H $285, 000 $82, 500 275, 000 87, 500 80, 000 42, 500 """$8," 500" 57, 000 30, 000 75, OUO 8,300 3,700 22, 500 9,000 7,000 • 8,5]5 4,000 625 734, 800 268, 340 83, 500 $402, 350 QC7 400 . 154,550 183, 400 19 950 64, 650 21 "^IS 7 000 3 J "^5 1, 243, 640 DIRECTOR OF THE 183 MINT. Expenditures.' M i n t or assay-office. Salaries. Philadelphia San Prancisco Carson N e w Orleans Denver Assay-office, N e w Y o r k Assay-office H e l e n a Assay-office, Boise C i t y Assay-office, C h a r l o t t e Total Wages. Contingent expenses. $34,850 00 24, 900 00 23, 549 90 18,133 48 7, 950 00 32,150 00 5, 677 14 3, 000 00 2, 500 00. $284, 764 10 260, 990 84 79, 999 38 56, 298 91 8, 300 00 20, 843 50 5,104 26 $82, 495 73 75, 864 63 21, 059 15 24, 902 68 3, 345 41 7, 705 63 7, 821 12 2, 890 21 624 91 152, 710 52 716, 300 99 226, 709 47 N e w machine r y a n d repairs. $8, 500 00 71, 257 88 79, 757 88 Total. $402,109 83 361, 755 47 138,108 43 170, 592 95 19 595 41 . 60, 699 13 18, 602 52 5, 890 21 3,124 91 1,175, 478 86 The payment of the expenses of parting and refining a t t h e coinage mints and the United States assay-office. New York, is provided for by a general appropriation of the charges for these operations collected of depositors. The total amount received on account of parting and refining bullion during the fiscal year ended June 30, 1879, was $254,253.33. Included in this amount is the sum of $18,706.40 surplus bullion returned by the inciter and refiners of the mint at San Francisco and assay-office at New York, at the annual settlement of their accounts, and which surplus arose principally from gold contained in silver deposits in quantities too minute to make any allowance to depositors individually, but which, when the deposits came to be operated upon in the aggregate,. were recovered. The following statement shows the amount of charges and expenditures including gold wastage of the melter and refiners on account of parting and refining bullion atthe mints atPhiladelphia, SanFrancisco, Carson, and the assay-office .at New York, during the fiscal year ended: June 30,1879: Charges collected. Mint. Philadelphia San Prancisco Carson NewYork - $5,556 81 148,126 17 5, 310 30 95, 260 05 •. Expenses. $3, 560 71 112, 953 17 5, 809 72 75, 788 76 The gain, arising under section 3526 Eevised Statutes on the coinage of silver during the fiscal year ended June 30, 1879, was $3,287,446.09,. from which $17,439.48 was paid for wastage, $93,474.32 for expenses of distribution, and Of the remainder, the sum of $2,954,454.69 was paid into the Treasury. The profits on the minor coinage from July 1, 1878, to June 30, 1879,. were $31,292.33, from which $.1,299.97 were paid for transportation, and $775 for wastage. PURCHASES OF SILVER BULLION. Silver bullion has been purchased, during the year, at the coinage mints and at the. assay-office at New York, for the coinage of standard silver dollars. Authority was given to the sai)erintendents of the mintsat Philadelphia, San Francisco, Carson City, and New Orleans to pur 184 REPORT ON THE FINANCES. chase in lots of less than ten'thousand ounces. During the year about 1,000,000 standard ounces were thus purchased by them. Purchases in' lots of ten thousand ounces and over are made by the Director of the Mint, with the approval of the Secretary of the Treasury, upon the recommendation of a commission designated March 9,1878, consisting of the Director, of the Mint, Hon. H. F. French, Assistant Secretary of the Treasury, and James Gilfillan, Treasurer of the United States, Avho examine and consider all offers that may be received. The Director of the Mint and the Assistant Secretary of the Treasury are each required to keep a detailed record of all offers, and the action taken thereon. Prior to October 17, 1878, offers were received at any time. On that date, notice was given that offers for the sale of silver bullion, in lots of not less than ten thousand ounces, would be received and considered on Wednesday of each week. Owing to the large amount of silver bullion which had accumulated at the Philadelphia mint, it Avas deemed advisable to cease purchasing for delivery at that point, and bullion dealers were notified February 6, 1879, that, until further notice, offers for the sale of silver would be.considered for delivery at the mints at San Francisco and New Orleans only, and purchases, except by.the superiutendent, were suspended during the remainder of the fiscal year. » . Notwithstanding the fact that the mint at Carson City is located but a short distance from the productive mines of the Comstock Lode, higher • prices were demanded for bullion deliverable at Carson than at San Francisco, and, in addition, the rates charged b y t h e express company for transportation of silver dollars were higher from Carson than from San Francisco. For these reasons, it was decided, with the approval of the Secretary of the Treasury, to suspend the coinage of the standard silver dollar at . the Carsbn mint, and instructions were given February 26, 1879, to the superintendent thereof to coin up as closely as practicable the bullion then on hand, and to cease purchasing uiider the authority previously ^iven him to purchase lots of less than ten thousand ounces, and to retain only such number of workmen and adjusters as might be necessary to manipulate such gold bullion as should be deposited for conversion into coin or fine bars, and the silver bullion deposited for returns in fine bars. > About the time instructions discontinuing the coinage of silver dollars at Carson were given a slight demand arose at San Francisco for silver for export, Avhich, with the falling off* in the production, enabled bullion dealers in many instances to dispose of their bullion at higher prices than that which the department regarded as the full market price; hence the purchases at that point have for several months past been comparatively light, and at the close of the fiscal year the stock of silver bullion at the San Francisco mint was reduced to merely a nominal amount. The purchases of silver bullion for the New Orleans mint have, with the exception of some four hundred thousand ounces, been in lots less than ten thousand ounces, and consisted principally of Mexican dollars and old plate. When this mint was reopeued for coinage itwas expected that a considerable amount of silver bullion would be supplied from Mexico, but these expectations have not thus far been realized. Notwithstanding the fact that the department has off'ered to paj^ the bankers and bullion dealers in New Oiieans the highest market price for silver, deliverable at the mint in that city, only two or three offers for the sale of silver have been made to the department by them, and in each case at DIRECTOR OF THE MINT. 185 a price above the market rate. In some instances offers have been received from New York to deliver silver at New Orleans, but at prices above the market rate, and the offers, with few exceptions, were declined. At the date of the passage bf the specie-resumption act, January 14, 1875, the amount of silver bullion belonging to the government in the mints at Philadelphia, San Francisco, Carson City, and the assay-office at New York, approximated 1,750,000 standard ounces. This and the silver subsequently purchased for the fractional coinage and for the standard dollar on hand and uncoined June 30, 1878, amounted to 7,111,059.07 standard ounces. From July 1, 1878, to June 30, 1879, the purchases, including silver parted from gold, were 21,334,245.96 standard ounces. The amount consumed during the fiscal year in the coinage of 27,227,500 standard silver dollars and $382.50 in fractional silver coin, including wastage (14,987.05 ounces), was 23,403,928.07 standard ounces, leaving a balance on hand June 30, 1879, of 5,031,376.96 standard ounces. The average London price of silver bullion from July 1, 1878, to June 30, 1879, was 50||- pence British standard, 925 fine, equivalent at average rate of exehange, 488.04, to 1.00534-4- per ounce United States standard, 900 fine. The average price of silver bullion purchased during the year was 100.96 + cents per ounce standard. The amount of silver bullion purchased, including silver parted from gold deposits, from March 1,1878, to September 30,1879, was 37,364,918.08 standard ounces, at a cost of $38,594,435.89, being an average monthly purchase of $2,031,286.10 worth of bullion. The coinage of silver dollars for the same period was 42,634,100, an average of 2,243,900 per month. The following statement exhibits the amount of silver bullion purchased and parted from gold deposits at the respective coinage mints and the assay-office at New York, from July 1, 1878, to June 30, 1879: . Mint at Philadelphia. standard onnces. .Purcliased Parted 7,441,391.02 12,949.63 $7,480,395 30 13,146 42 7,454,340.85 7,493,541 72 10,831,730.83 75,438.76 10,924,846 72 77,007 36" 10,907,169.59 11,001,854 08 986,547.82 12,006 11 1,008,472 90 12,187 34 998,553.93 1,020,660 24 635,548.69 292.48 632,583 14 292 48 635,841.17 632,875 62 Total Mint at San Francisco. Purcliased Parted Total......... •Mint at Carson City. Piirckased. Parted • Total Mint at New Orleans. Purchased Parted . Total 186 REPORT ON THE FINANCES. Assay-Office at New York. Standard ounces. Purchased Parted - ....-' Total 1,251,572.71 86,767.71 $1,300,044 73 91,715 33 1,338,340.42 1,391,759 06 21,146,791. 07 21, 346,342 79 Reca2niulation. Total amount iiurchased Total ainount parted 187,454.89 Total 21,334,245.96 . 194,348 91 21,540,691 70 ANNUAL ASSAY. The commission appointed under the provisions of section 3547 of the Eevised Statutes, assembled at the mint at Philadelphia and tested in the presence of the Director of the Mint the weight and fineness of the coins reserved from every delivery of coin made by the coiner to the superintendent at each of the coinage mints. The examination of the coins showed, and the commission reported, that in all cases, both in weighing of mass and single pieces, the weights were well within the legal tolerance, and the fineness of the coins, both melted in mass and individual pieces, exhibited a satisfactory conformity with the law. In accordance with the provisions of section 3549 of the Revised St^atutes, the commission verified the standard ounce weights with the standard troy pound of the mint of the United States, and upon comparing the weights used in the daily transaction of business with the standards they were found to be exact. FACILITES FOR ASSAYING-. Specimens of gold and silver bearing ores, as well as other minerals, are frequently received by this office, for assay, from members of Congress and individuals in various sections of the country. Under existing arrangements they are forwarded to the mints or assay-offices to be assayed, thereby causing delay in returns and interference to some extent with the regular business of those institutions. It is, therefore, desirable that the mint bureau should have proper facilities extended to it for assaying ores and specimens of foreign coins, and also for the purpose of making the monthly tests of weight and fineness of the coins issued from the various United States mints. At present these tests are made by sending specimens of the coinage of each mint to one of the other mints or to the assay-office at NCAV York, and the reports thereon are transmitted to this office j but it is desirable that this operation should be performed under the immediate supervision of the Director of the Mint. The necessity of having proper facilities for testing the weight and fineness of our coins, as well as to discriminate between genuine coin and well-executed counterfeits was apparent to my predecessor in office and upon his recommendation an. appropriation of $500 w^s made at the second session of the Forty-fourth Congress for ^^ fitting up an assay laboratory in the office of the Director of the Mint," but owing to a lack of room in the Treasury Building, no suitable place could be obtained, and the appropriation remained unexpended excepting the sum of $19.50 paid for weights. DIRECTOR OF THE MINT. 187 The removal of the Bureau of Engraving and Printing to the new building now in course of construction for its accommodation, will no doubt leave an available room in the Treasury building which could be utilized for the desired purpose. I therefore respectfully recommend that suitable legislation be requested at the ensuing session of Congress to provide means for establishing an assay laboratory in the office of the Director of the Mint. COINAGE OF MINOR COINS. Owing to the general increased business activity in the country an unusually heavy demand has been created for the minor coins, and the mint at Philadelphia has been called upon to furnish one-cent pieces in excess of its capacity for striking this denomination of coin, and at the same time execute the quota of standard silver dollars required by law. Of the minor coins, a sufficient number of 5-cent nickel pieces are held by the mint and Treasury to supply the present demand, and the same may be said of the 3-cent nickel piece, which, however, has never been a popular denomination of coin. ^ The three-cent piece (silver) was authorized by the act of March 3, 1851, entitled ^^An act to reduce and modify the rates of postage in the United States and for other purposes," and wa.s intended to fulfill a special purpose—the purchasing of the 3-cent postage-stamp. That it was not contemplated that they would be extensively employed for general trade purposes is evident from the fact that the act authorizing their coinage made them a limited tender in payment of sums of thirty cents and under. From the small diameter and thickness of the coin it Avas found to be exceedingly inconvenient, and the actof March 3,1865, authorized the coinage of the 3-cent nickel piece. By the provisions of the coinage act of 1873 the coinage ofthe 3-cent silver piece and 2-cent bronze coin was discontinued, the 3-cent nickel piece being retained. In determining what denominations of coins will best meet the requirements of the community for change purposes, the demands of the people and the experience of other and older countries are safe guides. Tlie history of the minor coinage since the date above mentioned, 1865, shows the nominal value ofthe 5-cent nickel pieces coined has amounted to $5,774,3455 of the 3-cent nickel pieces, to $750,192j andof 1-cent bronze pieces, to $1,259,625. The demand for the 3-cent nickel piece and its coinage for th^ last few years has been merely noininak The coinage of the 2-cent bronze pieces, during the eight years their issue was authorized, amounted to $912,020, and was not much less than the value of the, 1-cent pieces during the same .period, and largely exceeded that of the 3-cent nickel pieces for the fourteen years since their issue was authorized. In the coinage changes made by European nations that have adopted the decimal systein of coinage, such as the States of the Latin Union, France, Belgium, Italy, Switzerland, and Greece, together with Germany, Spain, Sweden, Norway, and Denmark, the minor coin divisions of 5, 2, and 1 were considered best adapted for general change purposes. A disturbance of the coinage of a country, either in the fineness, weight, or denominations, is a subject of grave importance, and should not be undertaken without careful consideration. In case any change should be contemplated in the coinage laws, I respectfully suggest for your consideration the propriety of recommending the discontinuance of the 3-cent nickel piece and the reauthorization of the issue of the 2-cent bronze coin, and for the following reasons: 188 REPORT ON THE FINANCES. 1st. That there has never been a demand to any considerable extent for the 3-cent nickel piece, the total coinage of which has amounted to only $856,122. 2d. The existing denominations of United States notes less than ten dollars are 5, 2, and 1, and have satisfactorily met the reciuirements of trade. No necessity for denominations less than ten dollars other than those seems to have arisen, and the same subdivisions for coins, less than the dime, would be equally serviceable. 3d. The amount of 1-cent pieces in circulation being already large, and the demand on the mint for a further coinage increasing, the issue of a 2-cent piece would probably enable the mint to meet the requirements ofthe people, and dijninish the coinage of 1-cent pieces, the demand for which can be more easil}^ relieved if the issue and free delivery of the 2-cent piece is authorized. EXAMINATION OF THE MINTS AND ASSAY-OFFICES AND ANNUAL SET• TLEMENT. In order to make myself acquainted with the condition of the mints and assay-offices as required by section 345 of the Revised Statutes, I visited all the institutions under the control of this bureau, except the assay-offices at Boise City and Helena. Section 3541 of the Revised Statutes requires that ^^ at least once in every year, and at such time as the Director of the Mint shall appoint, there shall be an accurate and full statement of the accounts of the coiner and the melter and refiner, at which time those officers shall deliver up to the superintendent all the coins, clippings, and other bullion in their possession, accompanied by statements of all the bullion delivered to them since the last annual settlement, and all the bullion returned to them during the same period, including the amount returned for the purpose of settlement." The annual settlement required by this section has been made at the close of each fiscal year. Just before the close of the last fiscal year I visited the mint at Denver, and weighed and counted the bullion and moneys at that institution, and made an examination of their books. I then proceeded to the Carson mint, and on the 30th of June arrived at San Francisco. I personally superintended the annua] settlements at the mints at Carson Cityoand San Francisco, and all the bullion and coin was weighed and counted in m j presence and the balances shown by the books verified. Eepresentatives from this bureau were present and superintended the annual settlements at the mints at Philadelphia and New Oiieans and the assay-office at New York, and .rendered reports to me in writing of the same. The annual settlements at the mints and at the New York assay-office were highly satisfactory, and the wastage of the operative officers during the year was found to be far within the legal allowance. PRESENT CONDITION OF THE MINTS AND ASSAY-OFFICES. The mint at PMladelphia.—This mint has been actively engaged during the year in coining the standard silver dollar, in addition to the ordinary coinage of gold and minor coins. Difficulty has been experienced in procuring silver bullion for the coinage of the dollar a t the other mints, and for several months past the capacity of this mint has been DIRECTOR OF THE MINT. 189 taxed to its" utmost in manufacturing the amount of dollars required by law. The coinage of silver ever since the passage of the resumption act has been continuously and unusually heavy, and but little time could be spared to repair and refit the machinery, the strain upon which has been exceptionally great in striking pieces of the size of the silver' dollar. The superintendency of the mint was continued under the charge of James Pollock until March last, when he was succeeded by A. Loudon Snowden, under whose management the efficiency of the mint in every department has been fully maintained, and alterations, repairs, and other improvements made which have increased its capacity. New machinery has been added to the machine or repair shop, which will enable most of the refitting to be done without removing the machinery from the building. The engines have been overhauled and placed in as good condition as the limited time would permit, andthe general condition of the buildingc, machinery, and working force is such as will enable it to meet the unusual demand for coinage of gold now on hand in the Treasury, in addition to the ordinary coinage of silver. Mint at San Francisoo.—Tliis institution is provided with every facility for executing a large amount of work, and is in a thoroughly efficient condition. Under the able and economical management of the present superintendent, the interests of both the government and depositors have been carefully protected. The coinage of gold has been fully kept up and prompt settlement made for deposits. The coinage of standard silver dollars was larger than at any other mint, and could have beeii readily increased if sufficient silver bullion had been offered to the government at market rates. Mint at Carson.—This mint accomplished but little coinage during the year, and for several months was comparatively idle. The receipts of gold have at no time been great and almost entirely of the production of the State of Nevada. The records show that of all gold deposited at this mint during the last seven years, less than $100,000 was produced by other States and Territories, Although situated in close proximity to a large silver-producing section of country, owners of silver bullion have been demanding a higher price for delivery at Carson than silver could be procured for at Philadelphia or San Francisco. At the second session of the Forty-fifth Congress an appropriation of $8,500 was made for the purpose of replacing the boilers and rebuilding the boiler-house. This work has not yet been finished, and I respectfully recommend that additional provision be made, not only to complete the edifice as originally planned, but to add a second floor to connect with and enlarge the refinery, the present capacity of which is limited by contracted room. Mint at New Orleans.—At the second session of the Forty-fifth Congress provision was made for reopening this mint for coinage purposes. The refitting and furnishing of the machinery was delayed by the yellow fever epidemic, but as soon as it was safe to do so experienced mechanics and others from the mints were sent to superintend the repair-ing of old and erection of new machinery, which had been procured. The superintendency was assumed by Henry S. Foote in December^ 1878, and coinage operations commenced February 20, 1879. The mint has not been worked to its full capacity, for the reason that like difficulty has been experienced as at San Francisco and Carson in procuring supplies of silver bullion. 190 REPORT ON THE FINANCES. Assay-Office at Neio Yorlc.—This institution is in as effective condition as the limited facilities of the building will permit. The present receipts of gold of foreign importation are greater than for any previous corresponding period of time, but notwithstanding the large amount of work performed, all demands for coin or fine bars in payment for deposits are promptly met. When the importance of this office is considered, situated as it is in the great mercantile and money center of the country, it is to be regretted that better facihties are not at its command for rapid prosecution of business. Mint at Benver ; Assay-Offices at Boise, Helena, and Charlotte.—The operations of these institutions are limited by law to melting and assaying gold and silver bullion, and paying for the same from Treasury funds. They are, as thus operated, chiefly of local benefit to the mining sections by enabling the miner to convert his bullion immediately into coin. They are all in a satisfactory condition of efficiency as far as their management is concerned. The mint building at Denver, which I personally inspected during a rescent visit to the Western mints, is in an unsuitable condition for minting purposes. The irregular and unequal settling of the foundations has caused the walls to crack to such an extent as to render the edifice unsafe for the employes and the government property contained therein. Provision should be made, not only to restore the building, but to provide additional facilities for manipulating the precious metals. This mint is located in the midst of a prosperous and rapidly growing community. Being at the railroad center of connecting lines from the principal mining sections of the State, as well as from New Mexico, the wealth of precious metals pouring in should be treated there, and settlement made with depositors. I estimate the production of Colorado alone to be at the rate of at least $15,000,000 of gold and silver per annum, and the present facilities at the Denver mint for operating upon this amount of bullion are totally inadequate. In closing a review of the history of the Mint service during the year it would be incomplete without j)roper mention of the lamentable death on the 27th of January of my predecessor, Dr. H. E. Linderman, who lor more than twenty-five years had been connected Avith the mints, and, as Director, had been at the head' of the Mint Bureau since its creation in 1873. Monetary questions and the principles and practical details of coinage had for many years received his earnest and special consideration, and his careful researches had acquired for him a wide reputation, not only in this country but on the continent of Europe, where his reports and conclusions are quoted as authoritative by writers and statisticians. Mr. C. W. Fremantle, deputy master of the Mint of England, in his last annual report of the Royal Mint, says: In Dr. Linderman the American Government has lost a valuable ofBcer, who lias since 1873 exercised with great ability tlie supreme control over all the mints and assay offices of the United States, and has largely contributed, both by his writings and by ofiicial reports, to a more extended knowledge of the principles upon whicli coinage and currency should be based. REDEMPTION OF UNITED STATES NOTES AND SUBSIDIARY COIN. The'principal events relating to monetary affairs in the United States that have occurred during the last fiscal year, as the result of legislation, have been— DIRECTOR OF THE MINT. 191 First. The resumption of specie payments through the coin redemption of United States notes upon presentation to the Assistant Treasurer at New York; and. Second. Provision for the exchange of subsidiary silver coinage for full legal-tender money. The resumption of specie payments after a suspension is always an epoch in the monetary history of a country. The necessity of a temporary resort to irredeemable paper currency has been the experience of almost every commercial nation, and its return to a stable measure of value is a matter of rejoicing. Our own return has been accomplished in a manner exceedingly gratifying, without disaster, and accompanied by no financial shock or crisis. The powers conferred upon the Secretary of the Treasury to prepare for resumption were ample, although it was declared by many to be impossible to accumulate in the country the necessary reserve of coin, without contracting the volume of the paper circulation. On the first of January, 1879, the mints had added within two years $90,000,000 in gold and $50,000,000 in silver to the stock of coin, with comparatively but a slight reduction in the paper circulation, and since the first of January last, instead of there appearing to be a redundancy of paper circulation, tending to drive the specie abroad, the stock of coin and bulhon in the country has increased during the calendar year to the present time nearly or quite one hundred millions of dollars, with an actual increase instead of a diminution of the coin in the Treasury. Our experience in returning to specie jpayment without material reduction of the paper circulation seems to indicate that the depreciation of United States notes for the last eight years has not been due to their excess, but to their inconvertibility, and that resumption not only became possible, but assured, as soon as the accumulation of a sufficient coin reserve in the Treasury was determined upon, and measures adopted for carrying that policy into effect. EXCHANGE OF SUBSIDIARY COINS. Attention was called in the last annual report of the Secretary of the Treasury to the accumulation of fractional coin in certain localities and scarcity in others, and the recommendation made that their redemption in United States notes be authorized. It was there saia: The only way by which moneys of different kinds and intrinsic values can be maintained in circulation at par with each other is by the ability, when one kind is in excess, to readily exchange it for the other. This principle is applicable to coin as weU as to paper 'money. Action was taken upon this recommendation, and at the last session of Congress, by the act of June 9,1879, subsidiary silver coins were made interchangeable with full legal-tender money in sums or multiples of twenty dollars at the United States Treasury, and their legal-tender quahty increased from five to ten dollars. These coins were then received with reluctance by bankers and business men, notably on the Pacific coast, where they were rated 8 per cent, below full legal-tender money. The effect of the law has been to bring these coins to par. Since the passage of the act, and up to November i, there have been $12,172,601.70 presented for exchange for other money. But for the retarn of the old coinage from foreign countries the demand upon the Treasury for subsidiary coins for circulation would equal the current deposits for exchange. 192 REPORT ON THE FINANCES. The principle that a nation should receive for public dues, and in exchange at its Treasury for its legal-tender money, all subsidiary or token coins that it has issued, was discussed and approved by the delegates of the States composing the Latin Union at their late monetary conference, and unanimously agreed to. INTERNATIONAL MONETARY CONFERENCE. It is to be regretted that the efforts of our government to adopt by international agreement a comnaon ratio between gold and silver, and establish the use of bi-metallic money, failed in its object. The commissioners appointed by tlae United States and the principal European nations met at Paris in August, 1878, and the subject presented received the attention its importance demanded, and was.fully and abty discussed. . From the report of the proceedings of the Conference it appears that an opinion was generally prevalent in Europe that the change in legislative action and public sentiment in this country resulted from a selfish; interest in maintaining the price of silver, from its having become an important element of production, and it was not realized that a continued decline in the value of silver would result more disastrously to the wealth of Europe than to the United States; that Europe could not so well bear a loss in the money supply as the United States with its iinmense undeveloped resources. Although our delegates failed to secure any Tecommendation to the respective governments represented at the Conference, for the use of gold and silver at a common relative value, their efforts were not without practical and beneficial results. The discussions awakened and the information presented seem to have created a much more favorable tendency toward the use of silver as full legal-tender inoney, not only in the opinions of representatives at the Conference, but among leading financial writers. They are now beginning to realize that this subject is viewed in this country rather from its effect upon general business than its relations to the product of an export insignificant in value compared with the staple products of the country; that the changed pubhc opinion results from " arguments showing that the dangerous effect upon industry by dropping one of the precious metals from the standard of value, outweigh all theoretical objections to the bi-metalhc system; and that if it were possible for the leading commercial nations to fix by agreement an arbitrary relation between silver and gold, even though the market value might vary somewhat from time to time, it would he a measure of the greatest good to all nations." Prior to the meeting of the Conference it was confidently predicted by advocates of universal mono-metallism that— If the Conference meet at all its proceedings will amount to no more than a regulated coiiv« rsation, which can be useful only so far as it may tend to dispel, more efficaciously than other methods, illusions and fallacies which have already been refuted over and over again. The facts and arguments presented by our commissioners tended to dispel illusions and fallacies directly the opposite of these suppositions. Apparently as the result of the discussion a great change has occurred and is progressing in public opinion and in the expressed views of public men more favorable to bi-metallism. Particularly is this the case in the two leading nations favoring the single standard, Germany and England. DIRECTOR OF THE MINT. ol93 Germany has suspended the further sale of silver, and some of her statesmen question the wisdom of demonetization. In less than a year after the meeting of the Conference (the following May), Mr. Henry Hucks Gibbs, late governor of the Bank of England, and one of the representatives of the English Government to the Conference, wrote to that distinguished advocate of bi-metallism, Mr. Henri Cerniischi-^ 1 am gone ovtr lo the enemy and am going to attack, with you, the solid ramparts of mono-metallism. These words are indicative of the revolution in public sentiment, and are especially significant coming from one who refused to concur in the views of our representatives. Subsequently he publicly announced his change of opinion upon mature examination, and, at the close of a pamphlet lately published by hira, says: I have expressed in it conclusions which differ very widely from the siiirit of the report ofthe proceedings ofthe Paris Conference presented to the government by my colleagues and myself. I fnlly concurred in that report; but the more I have, since then, tliouglit over the subject ofthe Conference the more I have been led to^ distrust some p.art of our reasoning, and to doubfc in part the Avisdom of the conclusion to Avliich we came. In no case was it to be expected t h a t the Conference would have simply affirmed the original resolutions of tlie connnissioners of the United States. Indeed, the evil from which we suffer had not at that time pressed so strongly upon the minds of Englishmen as it has since done, and iiublic opinion was less prepared than I think it now is^f o look with favor on any change which might promise to alleviate it. MONETARY STATISTICS. In addition to procuring and presenting the usual statistics of the production and circulation of the precious metals in. the United States, the inquiry has been widened and pains have been taken to obtain similar information in regard to the production, coinage, and consumption of foreign countries. Possessing richer and more extensive mines of gold and silver, and appropriating a larger amount for coinage and manufactures than any other country, the yield of the American mines and the disposition of their product is of great interest to our people, and closely Avatched in. otlier parts of the world. THE PRODUCTION OF THE PRECIOUS METALS IN THE UNITED STATES., As will be seen, the production of 1879 is considerably less than that of the preceding year. It has resulted from the diminished yield of themines of the Comstock Lode. A depth has been reached 1,000 feet below the bed ofthe Carson River, and impediments are encountered from accumulations of water and from the oppressive temperature, which discourage and have retarded vertical exploration. This has caused, a falling off in the total yield of the State, from the production of the preceding year, which, as officially reported, in 1878, was $47,076,863 of both gold and silver, but whii.'h for 1879, J. F. Hollock, the State controller, reports to be only $ 19,305,473.97. The hope of finding similar deposits or a continuation of the large ore-body of the ^'bonanza inines" in the lower levels of contiguous mines has not as yet been realized. Although the production of Nevada will be large and continuous for many years, it does not appear probable that the mines of that Sta.te will make such enormous contributions to the mineral wealth of tke c o u n t r / a s they have ih previous years. 13 F 194/ REPORT ON THE FINANCES. This decrease has been in part compensated by the results of the more thorough exploration of the mining regions ofthe Rocky Mountains, especially in Central and Southern Colorado. The production of that State was at least six millions greater in the last than in the preceding year, and will probably furnish an undiminished, if not increased, amount of silver in the future. While in Colorado inspecting the Denver Mint, I took occasion to visit the mining region in the vicinity of LeadviUe, and to obtain information bearing upon the question of its present and future production. There is no doubt of mineral deposits of great richness existing in that portion ofthe State, Avhich are easily mined, and from which the ore is extracted at comparatively little expense. The deposits extend over a very large area. The smelters at and in the vicinity of Leadville have reported to this oflice the production of about 4J milhon dollars from the commencement of smelting in the latter part of 1878 to August, 1879,-and it is estimated that in addition to this product upwards of 5J million dollars' wortli of high-grade pre have been shipped to other works for treatment, making a total production for the Leadville district of about 9 | million dollars since the discoveiy of the carbonates, about two years ago. The rate of the out-turn of the inines is not only likely to continue for some time, but to increase as the mines are further developed, additional smelting-works put in operation, and increased facilities i^r shipping extended to that section. After careful inquiry and consideration of the yield of different localities and mines in the United States, I have estimated the total production of the precious metals in the country for the fiscal year 1879 at $79,712,000, of vvhich $38,900,000 was gold and $40,812,000 silver. As nearly as can be ascertained from official reports and other reliable sources, the production was derived from the mines of the States and Territories as follows: s t a t e or T e r r i t o r y . Californica i Nevfidci Colorado . . Montana Idabo Utah Arizona N e w Mexico •Ore*^'on Washington •. Dakota Micliignn ( L a k e Superior) Nortli Carolina Oeorgia Other sources Total Gold. " . $17, 9, 3, 2, 1, 600, 000 000, 000 225, 000 500, 000 200, 000 575, 000 800,000 125, OCO. 1,150,000 75, 000 2, 420, 000 Silver. $2, 400. 000 12, 560, 000 11, 700, 000 2, 225, 000 050,000 6, 250, 000 3, 550, 000 600,000 20, 000 20. 000 10, 000 780, 000 Total. 90, 000 90, 000 50, 000 47, 000 $20, 000, 00021,560,000 14, 925, 000 4,725,000 1, 850, 000 6, 82.5, 000 4, 350, 000 725, 000 1,170, 000 95, 000 2, 430, 000 780, 000 90, 000 90, 000 97, 000 38, 900, 000 40, 812, 000 79, 712, 000 In the report of the Director of the Mint for 1874, a table was published which had been prepared by R. W. Raymond, United States Commissioner of Mining Statistics, showing the production of gold and silver in this country from 1848 to 1873. I am unable at present to.re> view the data from which this table was prepared or to vouch for its accuracy, but it seems to be desirable that these estimates should be brought up to date. The following is an approximate estimate of the domestic production for the last six years, i t is condensed from a table appended to this 195 DIRECTOR OF THE MINT. report, and embraces the entire product of each year, unless a larger amount has been used in the arts or bullion has been clandestinely exported, of which there is no proof or reasonable suspicion: Domestic production of gold and silver, 1874 to 1879. P i s c a l y e a r e n d i n g J u n e 30. 1874 1875 1876 1877 1878 1879 Gold. . . . .. ... - -- --- - • Silver. Total. $33, 490, 902 33, 467, 856 39, 929,166 46, 897, 390 ' 51, 206, 360 38, 899, 858 $37, 324, 594 31, 727, 560 38, 783, 016 39, 793, 573 45, 281, 385 40, 812,132 $70, 815,496 65,195, 416 78 712 182 86, 690, 963 96, 487, 745 79, 711, 990 243, 891, 532 233, 722, 260 477, 613, 792 These amounts were 'ascertained by adding to the amount of domestic bullion purchased or deposited for coinage during the year the amount of domestic bullion exported, consumed in the arts and manufactures, and stock of bullion remaining in the country. The value of the gold and silver contained in argentiferous ores exported in the last six years has not been included in this estimate. Their total gross value for the whole period Avas little more than a million dollars, and it is impossible to ascertain how much of this valuation was goldj silver, lead, or copper; and shipments have gradually decreased until, during the fiscal year ended June 30,1879, they amounted only to $148,195. The statistics of the production of G-ermany, France, and England include these ores in the reports of the value of gold and silver produced in those countries from Spanish and American ores. DISPOSITION OF DOMESTIC PRODUCTION. A reliable test of the accuracy of estimates of total production is their agreement with the statistics which show the disposition annually made ofthe precious metals. Nearly all of the gold and a large portion of the silver produced in the United States during the last ye^r was coined at the mints or used in domestic manufactures, arts, and ornamentation. The surplus was exported to non-producing countries. The amount annually used for coinage and exported is readily ascertained. The Mint records show the one and the customs returns the other. Foreign coin and bullion are now reported separately from domestic. But to obtain accurate statistics of the amount annually consumed by abrasion or loss of coin, and used in the arts, manufactures, and ornamentation is a very diihcult task. The annual consumption or appropriation of the precious metals for the latter purpose was placed bv Humboldt, in 1803, at $6,000,000 for France and $23,000,000 for Europe.. Mr. William Jacob, in 1831, from a careful review of the various occupations using gold and silver in manufactures and ornamentation, made the annual consumption in the British Kingdom, for other purposes than coin, to be gold of the value of $8,183,000, and silver $4,100,000. His. conclusions for Europe, then, were that gold and silver were thus annually used to the value of, in— GreatBritain France » Switzerland The remaining countries 1 ..>. ,..--,. $12,285,000 6,000,000^ 1,750,000 8,025,000 28,060,000 196 REPORT ON THE FINANCES. He estimated that the United States consumed one-twentieth part as much as Europe. He placed the consumption for these purposes in both Europe and America, at $29,466,250, leaving for coinage as money but lOJ millions annually of the 40 millions then regarded as the world's annual production. ' ' ' The estiinates of the amount of gold and silver annually consumed in the United States in the manufactures, the arts, and ornamentation at the present time widely vary. In computations heretofore made by this office it has been placed at $5,000,000, and at the highest $6,000,000, while in the report of the Silver Commission it was given as a conjecture that the annual consumption of silver was $10,000,000 in the United States for the arts and manufacturing purposes and $50,000,000 in all countries outside of Asia. In order to arrive at an approximate estimate of the consumption of gold and silver in the United States, I directed an exainination to be made at the mints and assay-offices manufacturing fine bars, of their books for the last six years, and a report to be made of the amount of fine bars of gold and silver prepared and issued for manufacturing purposes. The reports show that during the above period of time there were issued for manufacturing purposes $21,879,040 of gold, and $22,250,283 of silver, being an annual average consumption of gold bullion obtained from the New York assay-office alone of $3,646,506, and $3,708,380 of silver bullion. The ainount paid out at that office for these purposes during the last year was $2,901,844 of gold, and $4,482,975 of silver. .Fully one-half of the total bullion product of the country is parted and refined by private enterprise, and a considerable portion of the gold and silver used by manufacturers comes from such refineries. I have . assumed that one-fourth of the total consumption for this purpose is of bullion other than New York assay-office bars. This is a moderate estimate for the additional amount, including, as it does, all supplies from private sources and refineries and bars issued by the coinage mints and by the other assay-offices. . I have attempted to secure further statistics of the consumption in the United States by addressing circular-letters to all manufacturers whose addresses I could obtain, who consume gold or silver in the preparation of chemicals and ih the manufacture of jewelry, watch-cases, and other solid or plated wares. The circular referred to requested that they would specify the various forms of the metals used, whether United States coin, foreign coin, and old manufactured articles reworked or -bullion. The replies that have been received, while incomplete as to the total consumption, are valuable in exhibiting the proportion of the different specified forms used, and also show that the gross amount .would be in excess of estimates previously made. The total consumption reported is as follows: •i a . s 1-9 a • -g 0 ;^ cj.S • o- cs 02 PI £-S ' • i • 'cS Gold Silver . Total . .... 9^ w o H $1 473,259 179, 905 $380, ICG 144, 239 $3; 989, 081 2, 288, 588 • $5, 848, 500 2, 612, 733 1, 653,164 530, 399 6, 277, 669 8, 461, 233 197 DIRECTOR OF THE MINT. Out of 3,506 addressed j 1,401 replies were received; and of the latter, 448 were manufacturing and consuming gold and silver, and reported the above amounts; leaving 2,105 not heard from. It is obvious that the estimates of this office are not in excess of what probably would have been reported as the actual amount of the precious metals used, had complete and full returns been made. From, all the information obtained, it may be safely assumed that the annual consumption in the United States of precious metals in all forms now averages seven million dollars of gold and five million dollars of silver, making a total of twelve million dollars; and fuller statistics may show a greater amount thus used. In estimating the amount of domestic production appropriated annuaily for this use, I have added one-third to the value of suich bars furnished from the New York assayoffice, which gives the following consumption for the last fiscal year: Gold, $3,869,125, and silver, $5,977,300; and an average annual consumption, for the last six years, of gold, $4,458,104, and silver, $4,854,527. The annual coinage export and consumption of bullion xiroduced in the United States (not including old plate and coin) for the last and five preceding years, appears, from data received, to be as follows: Fiscal years. 1874 1875 1876 1877 1878 1879 .'. , Fiscal years. 1874 1875 1876 1877 1878 1879 U s e d in a r t s and manufactures. E x p o r t e d (reported b y JBureau of statistics). $25, 034, 031 25, 851, 983 33, 887, 086 42,125, 662 45, 922, 340 35,005,959 $4, 578, 328 5, 382, 098 4,153,184 3, 087,192 5, 078, 701 . 3,869,125 $3,878,543 2, 233, 775 1, 888, 896 1, 084, 536 205, 319 24, 774 Coinage. U s e d in a r t s and manufactures. E x p o r t e d (reported by B u r e a u of Statistics.) Coinage. ' 0 : ; $5, 10, 19, 24, 25, 22, 764, 538 291, 805 730, 654 543, 939 036,188 951, 768 $4, 406, 500 4, 237, 841 3, 812, 018 3, 774, 240 5,210,1.52 5, 977, 300 • $27,153,490 17,197,914 15, 240, 344 11, 475, 394 . 15, 035, 045 11,883,064 Total. $33, 490, 902 •33, 467, 856 39, 929,166 46, 897, 390 51,206,360 38, 899, 858 Total. $37, 31, 38, 39, 45, 40, 324, 594 727, 560 783, 016 793, 573 281, 385 812,132 COIN CIRCULATION OF THH UNITED STATES. In preparing estimates of the amount of coin in the country, we have official records of the coinage and of the iinports and exports of coin; we also have approximate returns of the amount of coin melted for manufacturing purposes. To complete the inquiry as to the coin circulation of the country, it is necessary to consider what amount of coin, foreign and domestic, may have been personally brought by immigrants, and, therefore, not reported by the Custom House. The secretaiy to the Commissioners of Emigration for the State of New York, H. J. Jackson, esq., states that 79,801 immigrants during the year 1878 landed at Castle Garden, and exchanged there $520,000 of foreign coin. The average 198 REPORT ON THE FINANCES. would be $6.50 per indiyidual, or $32.50 per family. Assuming that an equally large amount of American coin, obtained by exchange at home, would be brought by immigrants, and also that a small amount of foreign coin not exchanged at New York would be taken by them to their place of destination, fifteen dollars may be estimated as the average sum brought by each immigrant and not reported in the custom-house returns. The larger estimates heretofore made do not seem to distinguish between cash represented by dralts and bank bills, or even personal assets, all of Avhich must be disregarded in statistics of coin importation; an official statement ofthe average " cash means" is too indefinite. From the foregoing data I estimated in 1874 (Congressional Eecord, vol. 2, p. 2746) that the amount of coin in the country at the commencement of the calendar year 1873 Avas reduced to $132,000,000,^ and stood at its close at $143,000,000. This nearly coincides with the estimates of several statisticians made for the same period. The Director of the Mint in his first annual Keport stated the coin tlien in the country (November 1,1873,) to be about $140,000,000, of which $5,000,000 was silver. The difference between my estimate and that made by the Director of the Mint is comparatively slight and may be accounted for by the difference in dates. I have thought it proper to take the latter as the basis for continuing the estimates, year by year, to the present time. fZ.3 •§-§ o 1873 1874 1875 1876 1877 1878 1879 $34, 853, 441 30, 727, 862 35, 649, 931 41, 699, 696 51 181 497 39, 290, 009 : • | 2 bo H s^ ^1 o^ t^1 ^ ^ $7, 620, 695 52, 628, 351 22,161,121 1, 312, 268 +2, 367, 267 228, 881 5 'S Ci3 *$27, 232, 746 121,900,489 *13,16.1,121 *40, 387, 428 *53, 548, 764 *39, 061,128 • bSj O t^ li F i s c a l y e a r e n d i n g J u n e 30— fa.g oS a <D o ¥ o 1873 1874 1875 1876 1877 1878 1879 • : *Grain. $5, 9, 18, 27, 27, 26. tLoss. 713, 334 895, 476 980, 405 275, 958 941,127 518, 642 oa>,^ So^o ted a old c coun 3lose r i s c a l y e a r e n d i n g J u n e 30— g $1, 950,117 2, 033, 246 3,187,118 7, 857,186 1573,695 + 5,180, 015 *$3, 763, 217 *1, 862, 230 *15, 793, 287 *19, 418, 772 *28, 514, 822 *31, 698, 657 •-f o:5:St>v H $135,000,000 162, 232, 746 140, 332, 257 •153, 493, 378 193, 880, 806 247, 429, 570 286,. 490, 698 Estimated ainount of silver coin in the country at the close oi" the year. 9 r^ $5, 000, 000 8, 763, 217 16, 625, 447 32, 418, 734 51, 837, 506 80, 352, 328 112, 050, 985 I'NQt import. The number of immigrants during the six j^ears exceeded the emigrants by 761,803, ahd at $15 per capita brought upon their persons $11,500,000 of coin, but doubtless the loss from abrasion, use in manu DIRECTOR OF THE MINT. 199 facture and the arts, has equaled the gain from this source, for there has been reported to this office froni manufacturers a consumption of about $1,600,000 of American coin per annum, the coin nsed by others not reporting would probably swell this amount to $2,000,000, or a total for the six years of $12,000,000; the one has, therefore, been taken as an offset to the other, and neither taken into consideration in preparing the foregoing estimates. It appears that during the last six years there was an increase of gold coin in the country of $151,490,698, and of silver coin $107,050,985, of which $35,801,000 are standard silver dollars, $8,500,000 trade-dollars, and $62,749,985 subsidiary coin. The amount of subsidiary coin exceeds the increase by coinage during the period referred to, and is accounted for from the fact that large sums have returned to us from abroad. From an examination of the customs records it appears that there has been an importation since July 1, 1877, of about ten millions United States silver coin, of which about 6,500,000 was subsidiary and over 3,000,000 trade-dollars. The countries from which this coin was received and the respective amoants are given in a table accompanying this report. The total amount of gold and silver coin in the country on the 30th cf June last was, by the above computation : Gold Silver : .• $-286,490,698 112,050,985 Total -. 398,541,683 Since the close of the last fiscal year and up to November 1, the imports of gold at the port.of New York alone.have been: United States coin Foreign coin Bullion, &c Total ^. [ : $7,141,164 32,110,756 12,895,254 52,147,174 Daring the same period there have been coined of domestic bullion $12,118,635 in gold and $9,405,370 in silver, which, added to the $7,141,164 of United States gold coin imported, inakes a total increase to the coin of the country since July 1 of $28,665,169. This, added to the stock of coin in the country at the end of the fiscal year, gives $305,750,497 of gold and $121,456,355 of silver, a total of $427,206,852, being aboat $9 per capita of coin. This exceeds by $86,206,852 the coin in the country at any other period, the highest previously having been in 1863, $341,000,000, and next to that in 1857, $315,000,000. In addition to the stock of gold and silver coin there was, oii October 31, in the mints and the New York assay-office, bullion awaiting coinage to the amount, of $49,931,035 of gold and $4,553,182 of silver, which, added to the coin, would 2.1 ve as the amoant of coin and bullion in the country October 31, 1879, $355,681,532 of gokl and $126,009,537 of silver, a total of $481,691,069. Should the unprecedented flow of gold continue from foreign countries, unchecked by its reaction upon prices here and abroad, the metallic circulation of the country at the end of this fiscal year will have swollen to over $600,000,000. Such result, however, is not to be anticipated, nor, so long as our own mines supply in abundance the precious metals, is it desirable that the needful amount of metallic circulation should be obtained by the depletion of European reserves, to replenish which, at the first opportunity,,. 200 REPORT ON THE FINANCES. the gold will be withdrawn as rapidly as it has been furnished, thus causing violent disturbance of monetary values, and uncertainty and embarrassment in commercial transactions. Of the specie circulation on the 1st of November, the Comptroller of the Carrency and the United States Treasurer report that $198,859,332.16 were held by the national banJ^s and the Treasury, leaving $162,200,108.60 of ,gold and $66,147,411.24 of silver in use by individuals, (corporations, and private or State banking and other institutions. The gold and silver was held and used as follows: Silver. Total. Cold. Legal teuder. Treasury ISTational b a u k s O t h e r cii'culation Total Subsidiary. $32, 532, 702 00 $119, 920, 670 40 23, 629, 718 00 162, 200, 108 60 " " ' l 2 , 673,"498 00 $17, 856, 898 76 M, 919, 343 00 153, 473, 913 24 $170, 310, 271 16 28, 549, 061 00 228, 347, 519 84 45, 206, 200 00 ^76, 250,3 55 00 427, 206, 852 00 305,750,497 00 * Includiug standard dollars^ tIncluding trade dollais. MONETARY STATISTICS OF FOREIGN COUN'J RIES. Eeplies have been received from a number of foreign countries to which inciuiries were addressed respecting their coin and paper circulation, production of precious metals, coinage, movements of gold and sih^er, and amounts consumed in the arts and manufactures. The documents containing these statistics will be found in the appendix. * Much of the information communicated is very valuable, and the representatives of the United States abroad and government officials of those nations from which replies were received are entitled ,to thankful acknowledgments for their promptness in responding to the inquiries. A brief review and abstract of the interesting and useful facts elicited may be of advantage, and are here presented in connection with reliable data gathered from other authorities. Great Britain.—The coinage of Great Britain during the calendar year 1878 Avas as follows.: ^ Gold.... ^Silver £2,132, 245 ^ $10/376, 571 614,426== 2,990,104 And for the last ten years (1869 to 1878 inclusive): Gold Silver £47,899,263==$233,101, 763 6,182,1.54= 30,085,452 The annual average coinage for the last ten years has been about $23,000,000 of gold and $3,000,000 of silver. In the gold coinage for the years 1877 and 1878 of £3,230,986 nearly one-half^ £1,557,500, was light gold coin sent from tlie Bank of England for recoinage. Of silver coined at the mint during the year 1878 only £215,500 went to the Bank of. England—the remainder going to Scotland, Ireland, and the colonies. The amount of silver coin issued by the Bank of England to the public during the same year was £187,000, while the amount of worn silver coin withdrawn by the banlc was £220,000. The withdrawals of Avorn silver coin by the Bank of England for recoinage during the last three years exceeded the value of the issues of silver coin to the public by that bank by £350,000, so that the silver coin in circulation in *Tlie docunients here referred to axe omitted for want of space, but they are printed /in tlie pamphlet copies of tke Director's report. DIRECTOR OF THE MINT. 201 England and Wales alone was less by £350,000 ($1,703,275) at the end of 1878 than at the beginning of 1876. Accounts kept of the waste on £8,186,451 of gold coinage, completed in 1878, showed, a loss of £543.6 per million, or .005436 per cent.] of which coinage £4,073,756, pr 65 per cent., was light gold coin. An examination of the last and preceding reports made by C. W. Fremantle, deputy master of the mint, shows that since 1860 silver has been coined of the nominal value of £9,140,094, and that during that period £2,951,120 of worn silver coin had been withdrawn and recoined, making a net increase in the silver coinage of £6,188,974, and a recoinage of 32.3 per cent, of the silver coined during that period. The total amount of silver coined at the British mint from 1816 to 1879 was £26,469,248, of which £13,573^900 was coined prior to 1848, since which the total amount of worn silver coin withdrawn was ^£3,983,338=$19,384,914. The gold coinage since 1816 has been £241,936,664=$1,177,375,042. Assuming the specie circulation of Great Britain to have been, as estimated by Mr. Fremantle, December 31, 1875, £118,560,000 of gold and £19,000,000 of silver, adding the coinage for the fiscal years 1876, 1877, and 1878 of gold £7,943,185, silver £1,257,300, deducting light coin Avithdrawn and recoined for the same period, gold £2,196,075, silver £884,915, and adding the net excess of the imports of British gold coin over the exports for the same years, £2,810,951, and deducting the net excess of exports of silver coin OA^er imports, £184,844, Avould make the circulation of specie on the first of the present year, gold $618,620,043, silver $93,376,169. Total, $711,996,212. Germany.—The adoption by the German Empire of gold as its monetary standard, in lieu of silver previously recognized and coined by the individual States, and the AvithdraAval and sale of the existing silver coinage, inaugurated a financial revolution which has attracted the general attention of all civilized nations, and unsettled values in almost every habitable part of the globe. This action was apparently the primal cause of the recent unusual fluctuations in the relative A^alues of gold and silver, and of the coinparatiA^e depreciation of the latter, which has driven other European nations to close their mints against silver, and alarmed every country having a bimetallic system. Nor could it have been otherAvise, for within the last six years the new German coinage has draAvn from other nations and absorbed gold to the extent of $382,411,368. Germany has not only ceased to be a customer for silver, but during the same period upon a market already fully supplied by increasing production, has thrown of her own stock of silver, at Available times and in A^ariable quantities, a total ainount up to May last of $149,702,000, Avhile there remain about $113,288,000 of the old silA^er coinage not yet withdrawn, the fear of which still depresses the silA^er market. The people of Germany have been suflerers ih common with other nations from this general unsettling of values. The state itself in the change of its monetary standard, as yet but partially efi'ected, has met a direct and considerable loss in the sale of the silver depreciated, by its action. The government sales of silver were suspended on May 19 last, and from late dispatches received from Mr. White, United States minister to Germany (in full in appendix), it appears that grave doubts exist in the Eeichstag as to the wisdom and policy of thecchanges already made and of the withdrawal and sale of silvev thalers remaining in circulation. 202 REPORT ON T H E FINANCES. Herr Yon Drehend, president of the Eeichsbank, stated in debate in last June, that the loss from the withdrawal and sale of sih^er coin had already amounted to $17,136,000, and that a further loss of from 19 to 23 million dohars would proba-bly ensue by continuing the withdrawal and sale. He further said, in substance, that while being used to formidable calcalations, and understanding well that reforms cannot be made in coinage without heaA^y sacrifices, he Avas startled b}^ these figures, and believed there were but few present who did not share his feelings in that respect, ahd that he considered it to be his duty to strongly recommend to the imperial chancellor a suspension of the sale of sih^er, and that a real service Avould be done to the country and the whole Avorld if no more silver was allowed to be sold and the silver market permanently saved from the fears of German silver. From the report made to the United States minister on the 30th of August, 1879, it appears that the total gold coinage of Germany froni; 1871 to June 1,1879, amounted to $404,057,106, and subsidiary silver to $101,651,957, and that for 1878 the gold coinage had been $29,742,879, and the nominal value of the silver coinage was $1,562,463. The specie circulation at the close of the year 1878 amounted to $328,168,462 of gold and (1^214,939,957 of silver, of which $113,288,000 were in pieces of the old coinage, making a total specie circulation of $543,108,419. At the end of May, 1879, the banks held in specie $147,902,482. The paper circulation of Germany ainounts to $229,596,234, of Avhich $38,817,300 were of government issue and $190,778,934 bank circulation. The production of the mines since 1875 has been as folloAvs: Gold. 1876 1877 1878 281 Kilo. 308 '' 308 " SilN^er. 139,778 Kilo. 147,612 " 166,911 '' The Scandinavian countries.—The Scandinavian states—Norway, SAveden, and Denmark—have entered into a union similar to the Latin Union, gold lieing the standard and silver subsidiary. Since this union Avas efiected under the treaty of October 18, 1872, these countries haA^e been engaged in changing their metallic currency from the single silver to the single gold standard. The coinage of the countries named in pursuance of the Scandinavian monetary treaty amounted on July 1,1878, to— Gold. Silver. Total. Countries. Crowns. Sweden ^Norway ' Total Dollars. Crowns. Dollars. Crowns. Dollars. 34. 754, 640 9. 314, 233 31, 086, 910, 8, 331, 290 9, 436, 650 • 2, 529, 022 18,148, 229 11,643,553 4, 520, 000 4, 863, 724 3,120, 471 1, 211, 360 52, 902, 869 42, 730, 463 13, 956, 650 14,177, 957 11,451,761 3, 740, 382 75, 278, 200 34, 311, 782 9,195, 555 109, 589, 982 29, 370,100 20,174, 545 The net imports of gold into Denmark from 1871 to 1875 amounted to $11,879,515, while the net exports of silver for the sameperiod amounted to $2,823,547. Denmark sold, during the three years ended June 30, 1876, silver amounting to $4,117,552. In changing from the silver to the gold standard Denmark has absorbed in five j^ears gold to the value of $11,879,515 and has disposed of, by export, silver ofthe value of $2,823,547. DIRECTOR OF THE MINT. 203 The circulation of the Scandinavian states has been estimated to be as folloAvs: . Denmark. Paper circnlation Gold, circnlation, including reserve in banks Sih^er circulation, subsidiary •... $X8,900, 000 20, 000,000 4,863,000 Total 43,763,000 Norway. Paper circnlation Gold circnlation, including reserve in banks Silver circulation, subsidiary 10, 300,000 10,000, 000 1,200,000 .' Total 21,500,000 Sweden. Paper circulation Gold circulation,- including reserve in banks Silver circulation, subsidiary :... , -• Total.- 11,680,000 15,000,000 3,120,000 29,800,000 The Netherlands,—Holland, like the Scandinavian countries, has been changing from the single silver to the single gold* standard. The change began on the 1st of July, 1875. The imports of gold during the six years 1873 to 1878 exceeded the exports by $20,282,911 and the imports of silver exceeded the exports by $8,160,808. The coinage of gold for the two years 1873 and 1874, prior to the change of standard, amounted to only $195,400, while the coinage of silver during the same period amounted to $1,913,722. The coinage of gold during the four years 1875 to 1878, since the change of standard, amounted to $23,666,601, Avhile the coinage of silver during the same years amounted to only $180,209. During the year 1878 no standard gold coins were struck at the mint, but the coinage of gold consisted of the commercial pieces (ducats) of the value of $199,250. The circulation of Holland is estimated to be as folloAvs: Paper circulation Gold circulation, including bank reserve Silver circulation Silver circulation, subsidiarj^ Total |73,230,000 20, 000, OOD 57,600,000 380, 000 •..,.. •. 151,210,000 Of the specie circulation nearly fifty millions is held by banks. The circulation of France and the Latin TJnion.—An examination ordered in France and Belgium to ascertain the character, date of coinage, number and A-alue of coin in circulation in those countries near the close of the year 1878, disclosed that 19,511 public offices in France held 1,009,559 pieces of gold coins valued at $3,257,596 and 1,213,406 silVer five-franc pieces of an approximate value of $1,213,000. In Belgium similar inquiries were made in regard to coins received in payment at the National Bank, its agencies, the state treasurer's at Brussels, and at all of the public offices of account. From an analysis of the results of these examinations, it was estimated in the annex to the report made by the French commissioners to the Chamber of Deputies, that the number of five-franc pieces in circulation in the states of the Latin Union maintaining specie payments was as follows: France Belgium Switzerland Total - , 380,000,000 55,000,000 .30,000,000 465,000,000 204 REPORT ON THE FINANCES. The French commissioners in conclusion say: Sucli are tlie results reached by a careful examination. By these data the general, circulation would be 5-franc silver pieces in circulation in the throe states of the Union, 2,325 millions of francs. Divisionary silver with the afflux of Italian coins, 375 millions of francs. Gold coins, double of 5-franc pieces, 4,650 millions of francs ; total, 7,350 millions of francs. - I t seems to have been assumed that the gold circulation of France and the other States of the Union was double that of silver, and the amount of gold coin, $3,257,596, found in the public offices in France, compared with the A-alue of thefiA^e-francpieces found in the same offices, if a proper basis for estimating the total circulation, would indicate a proportion of gold more than double that of silver. But.the proportion of gold and sih'er coins in circulation may be very difierent from the proportion of those coins in the Treasury. There were in the Bank of France October 5, 1878, $226,700,000 of gold, and $202,500,000 of silver, which would indicate not much more gold than silver in circulation. An actiA^e circulation may consist of silver rather than gold. The Belgium investigation Avhich was based upon the character and number of coins used in inaking payments showed a much larger proportion of silver than of gold. An examination of coins received in payment, instead of coins found in reserves and public offices, might have given difierent results in France. While doubting the accuracy of the exhibit, in default of better data, the estiinates given are accepted, and the circulation of France placed, as folio AVS: Prancs. Paper Gold Silver, unlimited tender Silver, limited tender Total 2,418,419,689 3,800,000,000 1,900, 000. 000 306,450,000 1 Dollars. 466,755,000 733,400,000 366,700,000 59,144,850 8,424,869,689^:^1,625,999,850 . The estimate of the specie in circulation in Switzerland furnished by the Yice-Chancellor is given at $20,000,000, AA-liich, in addition to that in banks, $ 12,000,000, Avould make the total specie circulation but $32,000,000. This estimate is probably much too low, while that previously given submitted in the annex to the French report appears excessive, yet, as the latter was the basis for official action for the respective governments, if rejected for one country it should be for all. I have, therefore, in compiling the table of circulation given in the appendix, used the calculation of the report to the French chamber of Deputies. The remaining states of the Latin Union, Greece and Italy, have a forced paper circulation. In Greece the paper circulation amounts to $12,890,000, issued by the national and Ionian banks, Avhile the reserve of specie held by these banks amounts to $4,500,000. There is no mint in Greece, and its minor and subsidiary coins are supplied by the other states of the Latin Union. The i^aper circulation of Italy amounts to $135,000,000, while, the specie reserve in banks is only $17,000,000. Austria.—The dispatches received from Minister Kasson are of great value, as they show that eflbrts are being made by this empire to return to a specie basis and maintain the integrity of its paper circulation, while preserving, as far as possible, a coinage and circulation of gold and silver. The coinage during the year amounted to $2,600,563 of gold, and $13,906,258 of silver. DIRECTOR OF THE 205 MINT. The paper circulation was $322,938,854. During the year the mines of Austro-Hungary produced 543^ ounces of gold, and 935,243^ ounces of sih^er. Russia.—The information received through the Legation of the United States at St. Petersburg shows that the authorized paper circulation of the Bank of Eussia and its branches amounted in January last to $587,907,562, which has hot materially changed to the present time. The specie reserve held by the banks amounted on the 12th of June last to $110,500,000, all of which, with the exception of about three millions of dollars, was in gold. There are no official data in relation to the amount of gold and silver in circulation. There was produced fi'om the mines of Russia in 1877: gold, 2,515 poods; silver, 1,202 poods; total, 3,717 poods; equal in .Aveight to about 134,225 United States pounds. Austria, Russia, Italy, and Greece, although their banks hold consideraible specie, use for circulation depreciated bank-notes, and to resume specie payment would require large increase of gold or sih^er. Their respective circulations, as far as attainable, are presented with those of other countries in a table accompanying this report. Upon the estimate of 30 per cent, of coin reserA^e to paper issued, the amount required to resume and maintain specie payments over and above the present coin reserA^e of the banks, and not estimating the additional amount needed for general circulation, Avould be as follows: Paper circulaRequired bank Bank reserve. tion. reserve. Austria Russia. Italy.:. Greece . $322, 587, 135, 12, 938, 907, 000, 890, 854 562 000 000 $70, 560, 000 110, 500, 000 17, 000, 000 4, 500, 000 $96, 881, 656 176,372,268 40, 500, 000 •3, 867, 000 Deficiency. $26,321,656 65, 872, 268 23, 500, 000 No returns have been received from Spain, Portugal, and Turkey. . Portugal adopted the gold standard in 1851, while Spain has practically conformed her monetary systeni to that of the Latin Union. The vala^. of the gold coined in Spain from 1861 to 1875, inclasive, was $140,291,716, and the value of the silver, $48,425,615. The value of the gold coined in Portugal from 1855 .to 1874, inclusive, was $5,116,470, and of the silA^er, $8,748,471. The circulation of Spain and Portugal has been estimated to be as follows: . Specie, including bank reserves. $33,795,000 $200,000,000 29,529,000 85,000,000 Paper. Spain Portugal Turkey has a greatly depreciated paper circulation, estimated at about $100,000,000. Africa.—^But little information has been received from African countries. Two of them, West Africaland Algiers, conform their standards and circulations to the European nations of which they are dependencies. Great Britain and France. There has been considerable gold imported into West Africa, the aA^erage ainount during the last three years annually exceeding the exports $1,250,000. The imports of gold in fifty-four years were $38,727,620, and the exports $10,309,425. The imports of ^silver for the same time were $2,683,200 and the exports $819,120. . 206 REPORT ON THE FINANCES. Algiers has a bank circulation reported in July to be $8,350,000, with bank reserves of $3,270,000 iu gold, and 2,623,000 in silver, making a total of $5,893,000. The amount of coin in circulation was $9,000,000. In Morocco, no gold coins haA^e been struck for 20 years. The export of gold dust from 1871 to 1875 was $8,900, and $12,500 in silA^er coin have been exported annually. Canada,—All of the colonies and dependencies of the British Empire, except the Asiatic, are supplied with sih^er coin by England. Canada has no mint, but silver coins of the denominations of twenty-five, ten, and ^Ne cents are provided by the liome government. The gold coins, in circalation consist principally of British coins. Notes similar to United States notes are issued by the Dominion, the total amount of which in circulation, on the 30 th of April last was $10,674,850.14. In addition to Dominion notes, the banks issue notes which amounted at the same date to $18,372,892.45, while the total specie held by the banks amounted to $6,291,2^5.48. Mexico.—The circulation of this country consists principally of silver, bank notes being issued but by a single institution, and too inconsiderable to be noticed. ' Both gold and silver are coined and exported in coin and bullion, although charged with an export duty of 5 per cent. The coinage for the year 1878 was— Of gold Ofsilver. $689,688 22,112,680 and for 9^ years has been $8,456,601 gold and $193,966,699 silver, averaging annually a coinage of nearly $1,000,000 of the former and $20,000,000 of the latter. Probably the average production has been about the same amount. The exports for three years ending 1878 were gold $6,388,535, silver "3,373,039; indicating at this time a greater export of gold than the probable annual production, as estimated from the coinage. Central and South America.—The information receiA^ed in relation to the States of Central and South America is very meager, with the exception of Colombia. In regard to the latter, Mr. Ernest Dichman, the United States minister resident, has famished very complete information and tables of coinage and of imports and exports. pgThe bank-note circalation of Colombia at the close of the year 1878 amounted to $1,895,343, of which the banks held $362,047, togther with specie reserves of about $200,000 in gold and $1,500,000 in silver. The total specie circulation of the country is reported as $4,700,000, of which about $4,000,000 is silAW. The production ofthe mines of Colombia is about $1,000,000 a year in silver and varies between 3 and 5 millions a year in gold. The coinage of the mints for the ten years ended August 31, 1878, AA-as, gold, $3,026,499; sih-er, $2,195,591. The exports of gold and silver during the same period amounted to $19,775,210, while the imports of the same are reported as 79,780^^* kilograms; but as the gold and silver are not separated, the value cannot be ascertained. The circulation of Yenezuela consists principally of foreign coin, and in Peru paper has driven specie out of circulation. Its paper soles Avere quoted last July at 53 per cent, discount. The paper circulation is estimated at $13,098,820. No report has been received from Brazil, the only, one of the South DIRECTOR OF THE MINT. 207 American States which adheres to the gold standard. Its paper circulation is estimated at $91,000,000. The Hawaiian Islands.—The amount of specie in circulation in the SandAvich Islands is reported by Mr. Morton, the charg6 d'aflaires ad interim at Honolulu, at $800,000'in gold and $500,000 in silver. There is no paper currency, but certificates of deposit are issued by the treasury for coin deposited. Australia.—As Australia is second only to the United States, of all the countries on the globe, in the production of gold, its monetary statistics are of great interest. Mr. O. M. Spencer, the United States consul-general at Melbourne, has communicated information of importance in relation, to the production of the precious metals and the circulation of the banks of Australia later than any officially published in this country. The gold mines of Australia, like those of the United States, are yielding a diminished annual supply, the amount for 1877 being only about two-thirds of the.production of 1873, and a still further reduction is reported in the yield for 1878. The production for 1877 compares Avith the production for 1873 as folloAvs: Ounces. 1873 1877 * Value. • 2,243,372 1,519,548 $42,779,908 29,018,223 Decrease 723,824 13,761,685 The net exports of gold, although diminished, have not lessened in a corresponding ratio, OAving probably to the large stock of gold in the . country. The circulation of bank notes for 2J millions of people amounts to $21,604,936, for Avhich the bauks hold a specie reserve of $40,765,131. Japan.—The Jabpanese Government, after some years' eflbrts to maintain a gold standard, on the 25th of May, 1878, made the silver trade dollar of 420 grains of their currency a legal tender in payment of all public and private debts. Being four grains heaA^ier than the Mexican dollar, it was supposed, as was at one time belicA-ed in this country concerning our trade dollar of the same Aveight exported to China, that it would drive the Mexican dollar out of circulation. The experience in regard to both the American and Japanese trade dollars has been the same. Their bullion value being greater than that of the coin they Avere intended to supplant, instead of circulating to any considerable extent, they Avere melted and disposed of as bullion at their higher value. In November the coinage of the Japanese trade dollar was suspended, and in its stead the coinage of the silver yen of 416 grains Avas commenced and has been since continued. The coinage during the vear ending June 30, 1878, was yen of gold 357,578. and of silver 4,310,345. The total coinage of the mint at Osaca up to the 30th of June, 1878, is yen 82,785,397.63. The exportation of coin and bullion from Japan from 1871 to 1878 has exceeded the importation by $40,000,000, so that the country has comparatiA-ely but little coin in circulation; its paper having fallen from 8 per cent discount against gold in 1877 to 13 per cent discount against silver in October, 1878. The paper circulation amounts to about $143,000,000. Asia.—Nothing has been received from the commercial agents or 208 REPORT ON THE FINANCES. representatives ol our goA-ernment in India, and nothing of iinportance from any other Asiatic country. The absorption by those countries of the precious metals has been large and uninterrupted, and as the iinmense resources of India are further dcA-eloped the influx and absorption of treasure must continue. Eecent statistics of the import of treasure to Eastern nations, and especially to India, are presented in the appendix. From 1866 to 1878 the value of the merchandise exports of India w a s . . $2,963,199,854 Merchandise imports . . . 1,803,536, 003 Excess of nierchandise exports OA^eFimports Excesss of treasure imjiorts over exports , $1,159,663,851 453,249,202 LeaA^ing a balance of exports over imports of 707, 414,649 Thus it appears that for the last twelve years the average annual import of treasure into India was $45,500,000, and the average export for the same period $7,700,000, making the average yearly gain of treasure $38,000,000, by far the larger portion of which Avas in silA-er. From July 1,1873, to September 30, 1879, the exports of silver from the United States to China amounted to $59,361,557, and duringthe same period about $41,000,000 Avas exported from Europe to that country. Asia, Avith nearly double the population of Europe and America combined, depends ahnost exclusiAT^ely upon the Western Continent for its supply of the precious metals. The annual import into Asia and Egypt of silver for the last thirty years has averaged $40,000,000. At the beginning of the century, according to Humboldt, they/took twenty-fiA-e out of forty-three millions of sih-er annually produced, and the remaining stock was insufficient to sui:)ply the requirements of sih-er for manufactures and change money. England in 1816, and the United States in 1853, depreciated their subsidiary silver coins, not on account * of the excess, but from scarcity of sih-er and impossibility otherwise to retain their sih-er coins from export to the East. There is no reason to apprehend that the demand of India and China for sih-er Avill decline. During the last tAventy-five years India has taken an average of $38,000,000, and China $9,000,000, making the average yearly absorption of silver by those nations $47,000,000. It is not unreasonable to expect that their future requirements will fully equal that amount. The silver coinage of India from 1835 to 1876 was equivalent to $958,769,275, an annual aA-erage appropriation of sih-er for coinage during forty-two years of $22,827,839, leaving $15,000,000 of the total average import for ornamentation and other purposes. SUMIMARY OF THE STATISTICAL INFORMATION. It seemed desirable to group and tabulate the recent and valuable information forwarded by our legations from foreign countries, although incomplete, and to indicate the present and probable future production, consumption in coinage ""and the arts, the demand and the supply of gold and silver in those countries. . The eflbrt has been not to duplicate information already published and in the possession of the public, through the reports presented to Congress, and it is only reproduced when necessary to complete a summary of the statistics embracing the field of examination. In some cases the figures are based upon estimates, but unless so indicated, they are taken from official dispatches and publications, or recognized authorities. The exhaustive examination made by Dr. Soetbeer, published in the present year, shows the total production of the precious metals in all 209 DIRECTOR OF THE MINT. countries since the discovery of America, the comparative values of gold. and silver during that period, and their coinage since the year 1850. What is presented here will merely supplement the information contained in that publication, and that presented in the report of the Silver Commission of 1876, and of the International Convention, lately published by Congress. The statistics contained in those reports, as far as used, have, when practicable, been compared Avith the official reports, with the dispatches and later information presented in the Appendix, and with the official publications at the command of this office. W O R L D ' S PRODUCTION OF GOLD AND SILVER. The information in relation to the production of the precious metals contained m the dispatches received is so meagre that no correct estimate of the Avorld's production can be based upon it for the last or preceding year. The annual supply of gold, which reached its height in the year 1856, has very largely declined within the last few years, as willbe seen from the folloAving table of the production of gold in the three countries which produce about four-fifths of the world's supply: GOLD. Year. 1853 1856 1861 1870 1876 1877 1878 1879 ... IJnited States. .... : Erussia. $65, 000, 000 $16, 000, 000 18, 000, 000 55, 000, 000 15, 500, 000 43, 000, 000 23, 400, 000 50, 000, 000 22, 300, 000 39, 929,166 27, 000, 000 46, 897, 390 51, 206, 360.- *25, 000, 000 38, 899, 858 *25, 000, 000 Austraha. Total, $50, 600, 000 $131, 600, 000 61,000,000 134, 000, 000 53, 000, 000 111, 500, 000 • 40, 000, 000 113,400, 000 28,000, 000 90, 229,166 24, 000. 000 97, 897,390 23, 000, 000 99, 206,360 86, 899,858 *23, 000, 000 * Estimated. A table is presented in the Appendix, taken from the publication of Dr. Soetbeer, the eminent German statistician, shoAving the estiinated annual production of gold and silver for a series of years. This estimate is higher than many of those heretofore published. It is safe to say that the production of gold during the last year was less and the production of silver considerably greater than the annual average given by Dr. Soetbeer for 1871-1875, viz: Gold Silver $113,432,300 81,849,300 Total 195,281,600 THE W O R L D ' S C O N S U M P T I O N IN ARTS, MANUFACTURES, ^? AND ORNAMENTATION. The official dispatches contain but little additional information on tbis subject, except in continuation of statistics heretofore pubhshed. Articles containing or composed of gold or silver are required in France to be examined and marked by a bureau of guarantee, and the quantityof gold or silver contained is registered. In the last twentyfour years, the value of gold in the articles thus registered was $222,140,729, 14 F 2i0 . REPORT ON THE FINANCES. •^iid of silver $81,423,938, being an annual aA-erage of $9,255,863 of gold^ and $3,392,664.01 silver. An exaniination of the laAv shows that the articles are permitted to b6 6f thriee standards of fineness for gold, namely, 920,840, and 750 thmi^aiidths, a meah fineness of 837 thousandths, and of tAA-o standards f6r silver, 950 and 800, making the mean fineness of the latter 875. t h e Statement of the value of the gold and silver thus used in France would ifiiaye to be correspondingly diminished Avere it not that much gold and siiVer used ahd dissolved for chendcal and electro-plating purposes, ahd probably that made into gold or silver leaf, are not stamped or recorded; and the annual consumptio'n probably fully equals the figures giA-en for the last year. Gold Silver $10,817,006 3,250,046 Total.. 14,067,052 Upon these data, an approximate estimate can be* made of the consumption of precious metals in countries similarly situated, especially on the continent of Europe. Other data of the excess of imj)orts over exports of precious metals into countries not using them for coinage, as, for instance, India, Avhere the imports of gold in forty years have exceeded the exports by more than $400,000,000, of Avhich only $8,000,000 have been coined as money, are thought to indicate a large annual ab. sorption and consumption of the precious metals in every country. From the data thus furnished and from inability to account for the •disappearance of a large excess in imports over exports of the precious m<etals in other countries, except that they had been used in manufactures and arts, computations liaA-e been made of the amount convsunied fbir these purposes in such countries and in the Avorld. If, jioweve'r, "all ciA-ilized countries used as large an amount proportioned to their population as France and the United States, the world's aniiual supply would not suffice, and nothing would be left for ncAv coinage. I t is a very moderate estimate that the remaining countries of Europe and America, containing fourfold the population and including nations wealthy, poAverful, and f^r adA-anced in manufactures and the ^rts, consume tAvice as much as France and the United States, and to place the total consumption of Eui*ope and America for these purposes at from 45 to 55 millions of gold and from 25 to 35 millions of silver. The use of sih-er would be proportionall}- greater and of gold less in other countries thaii the proportionate consumption of those metals in France and the United States. STATISTICS OF COINAGE. The future use or annual appropriation of silver and gold is so uncertain that opinions and.conjectures are of little value. i4ie coinage of .gold is open for depositors at the mints in almost CA-er}country of the Western World, Avhile silver has, with fcAv exceptions, been excluded, except on gOA-ernment account. A table is presented in the Appendix shoAving the A-alue in United States monej- of the coinages of the various countries of the Avoiid, as far as they (3ould be ascertained, fqr the last four years, separatelj-. While this table is Valuable as shoAving the Avork performed by the mints of the countries issuing metallic nioney, it does not accurately show the amount each country has added to its stock of coined money, for a considerable portion consists of recoinage of existing coins. DIRECTOR OF THE MINT. 211 Where official records of specie imports and exports fail to distinguish coin from bullion, the coinage statistics of a country furnish imperfect and insufficient data for estimating its metallic circulation, except for short periods after a change in its coinage and the demonetization of pre-existing coins. It is evident that the aggregate coinage of all the countries fijr a single year or given period must far exceed the actual addition to the world's stock of coined money for the same time; for the coinage in CA-ery (Country is largely manufactured from iiCAvly-coined money imported and withdraAvn from the circulation of other countries. In ascertaining the A-alue of sih-er both in this and the other tables presented in the appendix, the coiuage rate of the standard silver dollar has been taken as the basis of the computations. As shown by the table of coinages, the total coinage of several of the principal countries of the World for the last few years has been: No. of couutries. Gold. I 20 16 12 13 1875. 1870. 1877. 1878. i Silver. I Total. I ; $19.5, 987, 428 ' $119, 915, 467 $315, 902, 895 ; 213.119, 278 : 126, 577,164 339, 096, 442 ' 173, 675, 555 [ 78, 402, 648 252, 078, 203 i 161,605, .522 73,6.13,342 235, 218, 864 The closure of European mints to the free coinage of silver has lessened the amount of that metal coined, and its coinage Avill be comparatiA-ely light, unless nations now under suspension of specie payments undertake to resume and use sih-er more freely for that purpose. The annual cousumption by Great Britain for fractional coinage indicates that only about fifteen millions Avoiild be required by Europe for coinage should "gold becomethe single standard of that continent, and five millions would suffice to rencAV the subsidiaiy coinage of America should sih-er be demonetized in this continent also. STATISTICS OF CIRCULATION. The paper circulation of commercial countries is ascertained without much difficult^-, as the issues of gOA-ernments and banl<:s are generally given in official reports. The specie in circulation in. the Avorld at any given year or period, or even in a particular country, cannot be accurately ascertained, and must in part be estimated. Approximate figures may be giA-en, but no statistician. Avill claim exactness. • ' . . The opinions of the bes'i3 and latest authorities attainable have been collated, and are presented hi a table Avith late official statements of paper circulation or approximate estimates. The aggregate circulation of tAvent3--four States, with a population of 446,699,890, is as thus reported and estimated: Paper Gold Silver (full legal tender) Sih-^er (.limited tender) Total $3,306,480,151 2,685,691,372 813, 912,303' 310,247,960 : 7,116,331,786' Avhich shoAvs a per .capita circulation of $15.93, of Avhich $7.40 is paper, and $8.53 metallic. The per capita circulation of gold is $6.02, of full egal-tender sih-er $1.82, and of limited, tender silver $0.69. 212 E E P O R T ON T H E F m A N C E S . In nine of these countries, having a paper circulation of $1,407,335,236, specie payments have been suspended, and soine of them use largely base metals for fractional currency, of Avhich no account has been taken. COURSE OF PRICES. $1 00 1 04. 7 1 04. 8 ' 1 06. 5 1 09 • 1 00. 2 92.4 . 94 .88.7,.. . •86 Tl g79, • 1873 ~ • -.]'874 1875 1876 .• . .1877 1878 1879 , -. -. - Comijarative purchasing, value of gold with its like value in 1869-'70, as measured by the prices i of United States exports. $1 00 95.6 95.3 98. 7 99.1 91.9 85.5 82.5 73.9 67.7 - • l.g70 1_g7i Comparative purchasing value ol IJnited States notes with their like value in 1869-'70, as measured by the prices of IJnited States exports. Comparative gold ijrices of exports witli their like price in .1869-'70. F i s c a l years ending— . Comparative currency 1 prices of exports 1 with their like price in 1869-70. ' The discovery of the gold mines of California and Australia, and outpouring of their ininerarwealth to that of the Old World, excited an apprehension in Europe lest^ an oversupply of silver and gold inight diminish the purchasing poAver of money, disturb values, and inflate prices. The large i3roduction of the precious metals in the last fcAV years has heen measurably absorbed by increasing wealth, AA-ider cominerce, and the more frequent interchange of commodities. ^ l^otwithstanding the large additions to the monetary supply by the Comstock Lode, the prices of commodities measured in silver as wellas gold haA-e lowered. This may in part be accounted for b^- the change in several European countries from the silver to the gold standard. The Director of the Mint, in his report for 1873, predicted t h a t ' ' the gradual adoption of the gold standard and consequent demonetization of silver Avill, of course, be followed by an increase in the value of gold, or, what is the same thing, a decrease in the price of articles measured by it.'^^ Sufiicient time has elapsed since 1873 to verify this prediction and to permit an examination of the course of prices which it may be profitable to trace through the last six years. The prices of the exports of a country are usually regulated by the prices in the markets of the world, are least disturbed by local influences and best suited for such comparisons. The exports of this country for the last ten years, dividing A-alue by quantity of each article, give the yearly average export price. ' Eejecting a few articles of wliich the small quantity exported or variable quality afford no fair criterion, there remain eighty articles comprising 84 per cent, of the value of the merchandise exports of last year. The results of a comparison of the price of eacii article in subsequent years with its price in 1870, added and averaged for each year, afibrd an indication of the general rise or fall of prices; that is, the purchasing power of money in this country for each of the ten years. Such examination shows a rise in gold prices from 1870 to 1874 and subsequent dedine, the ratio of prices in each year to the prices of 1870 being iii United Btates notes and in gold as follows: •tl • 1 % fl CD . $1 1 1 I I 1 1 I 1 1 00 04. 6 04. 9 01.3 00. 9 08. 8 16. 9 21.2 35. 3 47. 7 $1 00 95.7 96.15 92.8 89.1 94.8 98.2 95.7 1 00. 0 97. 9 $1 00 95.5 95. 4 93.8 91.7 99.8 1 08. 2 1 06.3 1 12.7 1 16.2 . : 213 DIKECTOR OF THE MINT. The xirices of the year 1869-'70 are nearly the aA-erage prices for the closing years of the fiA-e-decades preceding the year 1879, namely, 1829, 1839, 1849, 1859, and 1869. Examination has not'been made, and it may be impossible to ascertain, Avhether the prices of the fiscal year 1869-'70 are aA-erage prices in this country for the last fiftj- years or during the century 5 but the prices of that year as given in English statistical authorities are about the same as for the closing year offiA-epreceding decades, except 1849. Similar tables of prices in Europe, combined with those of American exports aboA-e stated, show the following comiDarative prices of commodities and respect!A-e purchasing poAver of gold and sih-er for the last ten years: P r i c e s of comiuodities i n - Gold. 187" . . . . 1871 1872 1873 1874 1875 1876 1877 1878 3879 : : ... $100 102. 2 104.8 106. 4 104. 6 98. 3 96.3 95. a 91. 6 86.7 P urch a s i n g v a l u e (mea.< • u r e d b y commodities) of— Silver.$100 101.1 105 107.7 107.7 103. 3 106.1 • 107. 6 103. 2 103 G-old. $100 97.9 95.4 94 95. 6 101.8 103.8 104.3 109. 2 315 3 • 1 1 ' ! . ! ! Silver. $100 98 & 9.5.3 92 9 92. 9 96.8 94.2 93 96. 9. 97 1 The prices given are the aA-erage prices taken from statistical authorities for the fiscal years named of American exiDorts and leading Enghsh commodities, and except for the last two years of Erench imports and exports, and indicate as to those, countries the comparative average purchasing power of gold and sih-er respectively during the ten years. Tnesc comparisons indicate a rise in the A-alue of money measured in commodities in Europe, and especially during the last year in thiscountry, Erom the movement of the precious metals to this country at this time, a further decline in prices may be expected on. the Continent,, and an advance in the United States. PRESENT MONETARY SITUATION. In conclusion this maybe asserted Avith reasonable confidence and. fairly stated as the present monetar}^ situation. As general x)rices have not adA-anced above those of fifty years agothe annual supply of the precious metals, although increased fivefold,. is not excessiA-e nor more than sufficient to satisfy the AvorkVs present needs for coinage and manufactures. The larger production has been absorbed and required by the growing Avealth, commerce, and population of ciA-ilized nations, and has not inflated prices b^- depreciating the value of money. Probably one-half of the gold and one-third of the silver annually obtained from the mines are consumed in manufactures and the artS; and from one-thh'd to one-half of the sih-er and the remainder of the gold are appropriated, and under present legislation Avill be required, for coinage in Europe and America, Avhile the vast populations of India and China Avill continue to absorb the surplus of silver as heretofore during the century in varying amounts from 20 to 40 millions of dollars. 214 REPORT ON THE FINANCES. Should the free coinage of silver at a fixed valuation Avith gold be established by international agreement and suitable legislation, no excess of silver above the needs for coinage, manufacture and Eastern export may be feared, and silver from such uniA-ersal legal power equally Avitli gold to discharge indebtedness, and the necessity for its use for the smaller denominations could not materially fall bel0|W the comparative A-aluatioi\that may be agreed upon. Should the $650,000,000 of silver coins noAV permitted to circulate as full legal tender in Europe be demonetized consequences will follow more disastrous to the stability of silver and all monetary A-alues than have attended its partial exclusion from European circulation, and its immediate further depreciation would pour the whole supply upon nations wilhng to receive and use it as monej^ Silver Avould become almost their exclusive circulation. The United States could not single-handed among commercial nations, with no European co-operation or allies, sustain the value ofsilver from the inevitable fall. If Euroi^ean nations continue to decline overtures for an international agreement in regard to the coinage of silv-er, the expediency of opening our mints to the free coinage of their present stock ofsilver and inv i ting its speedy demonetization or export here is questionable. The true policy of this country is sucli conservative action as will tend to bring the A-alues of gold and sih-er to their former relations, UXDholding the one and preventing the appreciation of the other until it can be determined whether commercial nations are willing that both metals should be yoked for equal monetary service. But in case the use of silver as money must be abandoned, it is gratifying to belicA-e that the A-ast resources, the agricultural and mineral wealth, the present development of mining and manufacturing interests and facilities for inland commerce, the comparatiA-e lightness of taxation and relief from heav^- foreign indebtedness, and, aboA-e all, the productive genius, industry, inventive skill, and capacity of the people of the United States will enable them to retain, or as now, draw from abroad the gold needed for their monetary use, and that the commercial disasters and depression threatened or feared as the result of restricting the commercial world to one metal are more likely to fall upon the nations that initiated, and are responsible for, the movement. I am, A^ery respectfully, HOEATIO C. BUECHAED, Birector of the Mint. Hon. J O H N SHERMAN, Secretary qf the Treasury. APPENDIX. L- —State'ment of earnings and ex'penditures of the mints and assay offices of the United States for the jiscal year ^nded June 30, 1879. Mints. Assay-offices. Total. •Philadelphia Earnings: P a r t i n g , refining, &c S e i g n i o r a g e on coijiage of s t a n d a r d s i l v e r dollai'S S w e e p s , g r a i n s , a n d flux b a r s Ironi d e p o s i t uicltiu"' $5, 556 81 • $148,126 17 $5, 310 30 1, 648, 599 10 182 671 ns 553 55 P r o c e e d s of sale of old m a t e r i a l A s s a y of ores, &.c M e l t i u g , a s s a y i u g , a n d sfcaiuping b a r s Siiii>lus'«''old bulliou TOtiiviied b y coiuer Carsou. 1, 382, 032 68 31, 292 33 2, 493 36 469 28 216 50 Gaiu on uiaiuiia(;ttire of n i i n o r coius San E r a n c i s c o . .1, 599 21 i 2, 865 20 ; i 1,078.48 108 00 253.65 Boise. Charlotte. Helena. ^$95, 260 05 ?$254, 770 64 74,162 67 3, 287, 466 09 ^^4-(\ 9,1 60 01 N e w York. 12 54 ; 557 35 12 00 900 on 466 66 2, 729 89 1,136 55 $82 80 $1,173 14 23 84 340 00 $15 76 81 00 193 25 290 01 390 18 3, 000 00 2,500 00 2, 890 21 624 91 165 17 142 21 300 00 868 69 7234' Expeuditnres: Salaries 1, 422, 614 51 34,850 284, 764 82, 495 3, .560 176 775 Incidental aud contingent expenses PartiiT^'' a n d refiuin*^'' e x p e n s e s • E x p e n s e of d i s t r i b u t i n g s i l v e r coiu M i n o r coinage . w a s t a g e 00 1.0 73 17 61 00 1, 802, 448 56 24; 900 260,990 75, 864 128, 474 76, 844 00 84 63 58 41 188, 295 54 75, 261 87 1 1, 712 87 99, 490 33 23, 549 90 79,999.38 21, 059 15 5, 809 72 16, 320 20 18,133 48 7, 950 00 56,298 91 : 8, 300 00 24,902.08 ^ 3,345 41 i 133 10 32,150 20, 843 7;705 75, 788 00 50 63 76 5, 677 14 5,104 26 7,821 12 . 71,257.88 '• 1,299-.97' 7, 265 01 9, 910 13 424,096 7-2 5, 664 79 8, 550 34 2, 096 36 :581,.289.59 157,334-71 • 4; 423 89 1, 825 48 172, 551 53 19,595 41 140, 911 78 5j 890-21 6, 484 80 4, 074 30 • 31 292 33 2, 493 36 2 398 36 2,122 67 1, 670 81 72 34 o H O o 2, 341 83 3, 592, 845 70 8, 500 00 •Repairs a n d i i e w m a c h i n e r y $517 31 . I • TJOSS o n s a l e o f s w e e p s N e w Orlean s. ^ D euvei'. 152, 710 716, 300 226,709 213,633 93,474 775 8, 500 71, 257 1, 299 •17,353 22, 382 52 99 47 23 32 00 00 88 97 69 31 .3,124 91 18, 602 52 1,524, 397 38 0 1—1 II.—Deposits midpvjrchases of gold and siher hullion dwring tlie fiscal year ended June 30, 1879. b5 I—^ Assay-oflaces. Mints. Total. Description. Philadelphia. San Erancisco. Carson. Denver. N e w Orleans. New York. •. C Einfi h a r s I J n i t e d S t a t e s b u l l i o n (domestic production) I J n i t e d S t a t e s coin E o r e i g n bulliou - -E o r e i g n coin J e w e l e r s ' b a r s , old i^late, &c T o t a l gold $8, 754, 734 26 272, 696 68 188, 091 71, 525 31, 698 . 2,147 341,188 69 37 14 26 82 9, 662, 082,22 $20, 904. 60 28, 907, 727 100 357, Oil 154, 712 03 00 48 93 29,440, 456 04 :::::::::::::::::::::::::::::::::::::: 1 117 19 T o t a l sQver (jold a n d s i l v e r r e c e i v e d a n d operated upon Less redeposits: Gold . . . . Silver Total redeposits T o t a l d e p o s i t s a n d xDiu'chases. 1 1 318, 852 71 1 410, 889 33 $51, 284 59 413, 603 44 92 80 59 do 64 $67, 266 17 67, 413 67 11, 345, 562 98 67, 266 17 $318, 735 52 $410, 889 33 Charlotte. $204 83 51, 788 33 15, 420 51 8, 203, 577 126,457 680, 306 1, 290, 054 580, 278 $133 04 $4,428 70 404,762 27 48, 655 96 575 85 $8, 806, 018 85 711, 766 46 38, 549, 705 198, 083 1, 069, 796 1,498, 819 863 17 937,751 89 17 89 71 14 405, 471 16 53, 947 83 51, 771, 942 11 5 82 34 76 3, 868, 258 12 277, 762 75 324, 697 03 333 24 i SILVER. E e d e p o s i t s | Unparted bars'.. . .. U n i t e d S t a t e s b u l l i o n (domestic production) I J n i t e d S t a t e s coin Eoreign bullion E o r e i g n coin J e w e l e r s ' b a r s , old p l a t e , &c Helena. • GOLD. -.1 1 Boise. 3, 868, 258 12 277, 722 17 5, 457,142 56 10, 2.57 45 50 34 84 13 1, 020, 660 13 9, 678, 094 23 13, 889, 428 81 1, 020, 660 24 6,120 46 19, 340,176 45 43, 329, 884 85 1, 339, 512 95 417, 009 79 9,027,430 94 3, 868, 258 12 20, 904 60 12, 895, 689 06 20, 904 60 6,444,^487 39 43, 308, 980 25 268,330 13 74,105 97 13, 061, 977 350 806, 697 20,403 6,120 46 11 824, 944 41 6, 234, 635 04 4, 218 19 4 32 261, 325 67 123, 823 02. 122,192 45 1,128,194 06 7, 019, 698 35 4, 218 19 324, 707 17 . 397 21 33, 071, 518 72 1,195, 607 73 18, 365, 261 33 71, 484 36 730,178 33 54, 345 04 84, 843,460 83 133 04 5 82 4, 428 70 34 76 9, 517, 785 31 4,146, 020 87 29 2 i 1, 339, 512 95 742, 610 20 417, 009 79 1,195, 607 73 17,622,651 13 71, 484 36 o 56 79 29 49 72 4,89.1 46 286, 076 10 12, 282 09 464,888 03 277,722 17 1 26, 934, 728 10, 607 1, 072, 919 698, 632 208, 609 o 138 86 4, 463 46 13, 663, 806 18 730,039 47 •49, 881 58 71,179, 654 65 a III.—Coinage executed dunng the fiscal year ended June 30, 1879. Mint at Philadelphia. M i n t at Carson. Mint at San Erancisco. M i n t a t N e w Orleans.* Total. Denomination. Pieces. Yalue. Pieces. Value. Pieces. Value. Pieces. Yalue. Pieces. Yalue. 1 GOLD. Double-eaerlea Ea'^'les T h r e e aollars Dollars T o t a l gold 465, 030 $9, 300, 600 00 73, 800 738, 000 00 565, 500 00 113,100 109,182 00 36, 394 613, 050 00 245, 220 3, 020 00 3,020 1, 384, 000 26,100 166, 900 936, 564 11, 329, 352 00 1,798, 500 221, 500 $27, 680, 000 00 1 261, 000 00 ! 834, 500 00 , Dimes Total silver Total minor T o t a l coinage . 1 861 717 $37, 234, 340 00 ' 103,144 1 031 440 00 288, 426 1, 442,130 00 36, 394 109 182 00 466, 720 1,166, 800 00 3,020 3,020 00 • 29, 329, 250 00 328, 310 00 24, 357 2, 759, 421 40, 986, 912 00 1 o O 12,124,500 12,124, 500 00 450 225 00 112 50 450 45 00 450 12, 722, 000 12,125, 850 12,124, 882 50 12, 722, 000 12, 722, 000 00 . 12, 722, 000 00 1 1 . 23,500 32, 800 9, 563, 900 1,175 00 984 00 95, 639 00 9, 620, 200 97, 798 00 22, 682, 614 23, 552, 032 50 1, 644, 000 1, 644, 000 00 1, 644, 000 1, 044, 000 00 1 1 MINOR. Thi-ee c e n t s Oue c e n t _ 553,750 00 SILVER. S t a n d a r d dollars Half-dollars $253, 740 00 32,440 00 42,130 00 12, 687 3, 244 8, 426 !1 1 1 737. 000 $737, 000 00 1 27. 227. 500 450 450 450 27, 227,500 225 112 45 737, 000 737, 000 00 27, 228, 850 27, 227, 882 50 1 14, 520, 500 42, 051, 250 00 11 " ' 1, 668, 35 7 1 1, 972, 310 00 H W W 23, .500 32, 800 9, 563, 900- 11 00 00 50 00 737, 000 737, 000 00 1 1,175 00 984 00 95, 639 00 9, 620, 200 97, 798 00 39, 608, 471 68, 312, 592 50 "2^ * Coinage recommenced Eebruary 20,1879. to IV.—Bars manufactured during the fiscal year ended June 30, 1879. CO , Mints. PAssay-offices. Description. Philadelphia. San Erancisco. Carson. Denver. New Orleans. New Tork. Boise. Helena. Charlotte. Total. GOLD. $80,997 82 Eine bars M i n t l^fi'T'S - $6r639, 213 41 5, 309, 001 11 - T. $1, 798 29 $413,103 06 1, 798 29 413,103 06 125, 614 22 1, 555,184 63 24, 012 75 2,165 50 Total silver 125,614 22 2,165 50 7, 006, 828 98 Total gold and silver 215, 612 04 1, 580, 995 67 41.5, 268 56 18, 955, 043 50 Unparted bars Total gold 89, 997 82 $64, 286 OQ $405, 471 16 11, 948, 214 52 , 64, 280 00 405, 471 16 $6, 729;-211-23 5, 309, 001 11 $53, 947 83 938 600 34 53, 947 83 12, 976, 812 68 SILVER. Eine bars Unparted bars 1, 579,197 38 •7, 006, 828 98 6, 891 65 324, 707 17 397 21 8,687,627 83 358,174 28 6, 891 65 324, 707 17 397 21 9, 045, 802 11 71,171 65 730,178 33 54, 345 04 22, 022, 614 79 o H O V.—Deposits of gold of domestic production during thefisoal year elided June 30,'^ 1879. 1 Assay-offices. Mints. Total. Locality. Philadelphia. San Erancisco. Carson. Denver. ^ e w Orleans. New York. Helena. Boise. Charlotte. ^ - • ' $1, 886 85 Alaska California Dakota Greorsla 372 6, 781 43, 821 30, 324 744 17 16 84 24 09 2, 817 72 2 70 Oregon South Carolina 163 28, 547 4, 028 2, 252 1, 499 14 36 76 14 61 180 86 13, 030 77 "Wyoming Territory- 10,131 96 P a r t e d from ^iK'^pr 13, 564 28 27, 942 04 68 94 55 80 $91, 919 28 2,121 10 455,993 15 31,148 81 36, 045 95 $399, 268 83 4, 959 71 938 98 223, 756 16 5,485 64 188, 091 69 $831 4-7 392, 015 24 1, 826,141 32 2,144, 352 57 47,292 11 289, 065 84 123 99 1 437 361 79 li 545, 666 25 721 55 .94. 114. n? ... 1 To', 838 22 $2,783 69 $64, 687 80 $404, 762 27 42, 691 05 2, 578 37 568,430 .18 . 3,181 22 202 35 23, 694 80 36, 924 67 Utah Yemiont Yirginia T o t a l f>old $1,168 161, 358 7, 949,154 238 1, 596 77 21, 378 1,440 IS, 644, 428 1, 000, 016 42 45 42 01 28, 907, 727 03 1,175 15 14, 508 29 380, 959 17 4, 092 12 318, 735 52 410, 889 33 8, 203, 577 92 67, 266 1.7 404, 762 27 48, 655 96 $1, 886 1,168 162,190 8,433,461 2, 232,430 2,195, 255 80,400 811,429. 123 1, 876, 090 1, 805,471 721 89,762 82,076 575, 037 5, 433 1,701 60, 619 180 14, 627 21, 378 27, 255 18, 644, 428 1, 394, 539 32, 034 85 68 41 24 11 22 04 86 99 59 06 55 85 63 31 36 96 47 86 54 42 85 42 46 16 Irt s o o o 38, 549, 705 89 tv) VI.—Deposits and purchases of silver of domestic 2yroduction du/ring thefisoal year ended June 30, 1879. to o Mints. Assay-offices. Locality. Total. San Erancisco. Philadelphia. $537, 253 85 94,144 51 $23,177 62 Carson. $9, Denver. i -. 141, 519 24 4,347,245 25. 1, Oil, 203 . 775, 637, 453, 317, 99 | i Helena. Charlotte. 462 45 048 31 872 717 215 047 ..! 09 ^6 82 68 S;2 994 33 1 $5 64 • $324, 697 03 , i IJforth C a r o l i n a 70, - 945 I 66 . 13,146 42 69, 6, 840, 81, 968 31 025 56 350 82 ' 1 555 90 91,715 33 1. 223 86 ! 1 1 4, 218 19 | 3, 948 82 5, 347, 873 44 $824, 944 41 834,127 98 5, 457,142 56 13, 061, 977 50 1, 020, 660 13 T o t a l gold a n d s i l v e r 5, 645, 969, 704 53 1, 339, 395 234 25 41, 65 417, 317 13 10 47. l 880, i Total silver 3, 077, Boise. :::::::;::::::;:::::::::::::i;::::::::::::: 20 50 1, 999 42 C o n t a i n e d in gold Other sources $1, 1 418 64 1 17 00 116 341 98 ! Idaho Utah Kefined b u l l i o n NewYork. $2,171 64 Colorado Dakota Nevada N e w Orleans. 6,120 46 1 824, 944 41 | 6, 234, 635 04 009 79 824, 944 41 il.4. 212 96 438. 71. 484 36 ! 1 _ _. 324, i i 697 03 j 729. 459 30 48, $538, 716 30 126, 740 77 3, 079, 219 95 17 00 5 64 119, 356 81 777, 871 51 1,103, 933 73 5 811 605 06 317,047 68 317 13 10 47 1, 021, 469 87 6 840 025 56 186, 212 57 5,172 68 7, 006, 945 83 333 24 26, 934, 728 989 20 65, 484, 434 45 56 O O DIRECTOR OF THE 221 MINT. VII.- -Gold and silver of domestic production deposited at the mints and assay-i Uces from their organization to the close of thefisoal year ended June 30, 1879. Locality. Alabama Alaska Arizona California Colorado Dakota Georgia Idaho Iowa Kansas Lake Superior Mai-yland Massachusetts Micliigan Montana Nebraska Nevada New Hampshire New Mexico North Carolina Oregon South Carolina Tennessee Utah Vermont Virginia Washington Territory. "Wyoming Territory .'.. Refined bullion Parted froui silver . Contained in silver Parted from gold Oontamed in gold Other sources $219, 120 16 24, 021 57 2, 097,822 31 694, 940,153 93 32, 216,588 70 4, 485,090 80 7, 608,250 95 23, 626,870 38 192 58 956, 859 10 123 99 402 12 Total. $1,125, 394 26 1, 373, 703 54 18, 926, 099 15 17 00 409 47 624, 295 64 468 00 3. 302, 790 97 917 56 1,196 87 3,108, 401 80 749, 730 71 67, 019, 788 51 46, 883,238 09 46, 832 56 13, 914,060 70 11, 020 55 1, 478,434 86 10, 527,691 53 14, 831,144 23 1, 389,983 60 82, 267 95 418, 104 42 10, 981 27 1, 663,345 63 174, 430 13 699, 645 77 182, 893,971 74 12, 525,250 35 9, 321,107 50 Total . VIII.- -Statenient Silver. Gold. 1, 796, 517 32 - 45, 202 15 3, 232 12 14 92 ', 409, 253 16 11,793 86 39, 819, 254 95 10, 051, 693 06 6, 594, 091 58 517, 645 58 11, 858, 636 90 1,073,098,700 53 165, 288, 856 02 120 16 24, 021 57 3, 223,216 57 696, 313,857 47 51,142, 687 85 4, 485,107 80 7, 608,660 42 24, 251,166 02 660 58 956, 859 10 3, 302,914 96 402 12 917 56 1, 196 87 49. 991,639 89 796, 563 27 80, 933,849 21 11, 020 55 3, 274,952 18 10, 572,893 68 14, 834,376 35 1, 389,998 52 82, 267 95 8, 827,357 58 10, 981 27 1, 663,345 63 174, 430 13 711, 439 63 222, 713,226 69 12, 525,250 35 9, 321,107 50 6, 594,091 58 517, 645 58 21, 910,329 96 1, 238, 387, 556 55 of coinage from the organization of the Mint to the close of the fiscal year ended June 30, 1879. GOLD COINAGE. Period. 1793 to 1795 1796 1797 . 1798 1799 1800 1801 1802 1803 1804 1805 "1806 1807 1808 1809 1810 1811 1812 . ... 1813 1814 1815 1816 1817 1818 1819 18''^0 1821 1822 IS'^'S 1824 Double-eagles. Eagles. $27, 950 69, 340 83, 230 79, 740 174, 830 259, 650 292, 540 150, 900 89,790 97,950 . Half-eagles.'Three-dollars. Quarter-eagles. $43, 535 30, 980 18, 045 124, 335 37, 255 58,110 130, 030 265, 880 167,530 152, 375 165,915 320, 465 420, 465 277, 890 169, 375 501, 435 497, 905 290, 435 477,140 $2,407 50 2,147 50 1, 535 00 1, 200 00 6, 530 00 1, 057 50 8, 317 50 4,452 50 4, 040 00 17,030 00 6, 775 00 T , 270 3,175 1 ! i 242, 940 258, 615 1, 319, 030 173, 205 88, 980 72, 425 86, 700 16,120 00 , 1 6, 500 00 Dollars. 222 REPORT ON THE FINANCES. VIII.—Statement of coinage from tJte organization ofthe Mint, fc.—Contiimed. GOLD COINAGE. Period. ; Double-eagles. .1. 1825. 1826. 1827.1828. 1829. 1830. 1831. 1832. 1833. 1834. .1835. 1836. 1837. 1838. 1839. 18401841. 1842. 1843. 1844. 1845. 1846. .1847. 1848. 1849. .1850. 1851. 1852. 1853. 1854. 18551856. 1857. 1858., 1859.. I860., 1861-. 1862.. 1863-. 1864.. 1867. 18681869. 18708871. 1872. 11731174. 187518761877. 18781879. Total . Ea.glcs. 'Half-ongles. Three-dollars.! Quarter-eagles. Dollars. .L $72, 000 382, 480 473, 380 656, 310 1, 089, 070 2, 506, 240 1, 250, 610 736, 530 1, 018, 750 14, 337, 640 1, 813, 340 6, 775,180 220 I $26, 225, 3, 489, 510 48, 043,100 I 4, 393, 280 44, 860,520 '. 2,811,060 26, 646,520 i 2, 522, 530 18, 052,340 I 2, 305, 760 24,636, 820 ' 1, 487, 010 30, 277,560 ' 1, 484, 900 14, 056,300 i 129,160 28, 038,880 ' 629, 900 146, 000 16, 236,720 : 342,130 15, 458,800 ' 552, 050 59, 316,420 I 972, 990 36, 247,500 126, 580 20,387, 720 I 21, 465,640 85, 800 24, 879,600 93, 750 27, 494,900 ! 376,100 27, 925,4 0 0 ; 51,150 17, 705,800 j .155, 500 21, 270,500 I 209, 850 22,018, 480 I 89,130 20,919, 240 i 163, 250 19, 798,500 ' 254, 600 34, 765,500 ! 204, 650 48, 283,900 i 383, 480 32, 748,140 i 599, 840 153, 610 37, 896,720 1 43, 941,700 i 56, 200 51, 406,340 • 15.5,490 37, 234,340 1, 031, 440 $145, 300 •90, 345 124, 565 140,145 287, 210 631, 755 702, 970 787, 435 96S, 150 3, 660, 845 1, 857, 670 2, 765, 735 1, 035, 605 1, 600, 285 802, 745 1, 048, 360 380, 725 655, 330 4, 275, 425 4, 088, 275 2, 743, 640 2, 736,155 5, 401, 685 1, 863, 560 1,184, 645 860,160 2, 651, 955 3, 689, 635 2, 305, 095 1, 513,195 1, 257, 090 1. 751, 665 673, 610 772, 775 406, 710 361,145 452, 590 3, 287,160 117, 010 51, 500 86, 075 300, 750 154, 475 153, 750 228, 925 94, 625 158, 625 243, 700 237, 525 809, 780 203, 655 71, SOO 67, 835 688, 680 1, 442,130 ;, 239,120 I 57, 894,150 71, 543, 625 $11, 085 00 : li 900 00 i 7, 000 00 ! $491, 214 ; 17.1,465 ' .181,530 ' 38,496 ' 66,177 : 34, 572 61,206 ' 18,216 i .1.7, 355 117; 16,470 i 10, 065 i 12,090 ; 7,875 ; 14,700 I 7, 575 : 10, 605 ; 4,020 ' 6, 090 75 125,460 • 60 135 , 4,464 ; 137,850 , 109,182 I 8, 507 50 11, 350 00 1.1, 300 00 11, 000 00 10,400 00 293,425 00 328, 505 00 369, 965 00 112, 700 00 137, 310 00 170, 660 00 153, 562 50 .54, 562 50 89, 770 00 327,132 50 89, 345 00 276, 277 50 279, 272 50 482, 060 00 98, 612 50 111, 147 50 895, 547 50 867, 337 50 283, 827 50 519, 615 00 896, 397 50 600.700 00 213,117 50 320, 465 00 515, 632 50 21.3, 010 00 128, 980 00 338,440 00 208,122 50 62,475 00 23,185 00 30, 502 50 122,975 00 73, 062 50 74,125 00 105, 862 50 35,137 50 53, 400 00 72, 575 00 39, 062 50 516,150 00 2, 250 00 53, 052 50 5, 780 00 408, 900 00 166, 800 00 $936, 789 511,301 3, 658, 820 2, 201,145 4, 384,149 1, 657, 012 824, 883 1, 788, 996 593, 532 230. 361 259, 065 93, 215 15. 521 1, 799, 2591, 950 • 6,7507, 225 7,130' 5, 225 10, 550 5, 925 9, 335 3, 940 1,030 2,525 323, 920 20 3, 645 2, 220 1,720 3, 020 1, 547, 064 ' 28, 371, 450 00 ' 19, 350,17& .VIIL—Statement of coinage from the organization of the Mint, fd.—Contmued. SILVER COINAGE. « Period. 1793 to 1795 1796 1797 1798 1799. 1800 1801 1802 1803 1804 1805 1806 1807 1808 1809 1810 . ... 1811 ; 1812 '. 1813 1814 1815 : 1816 1817 1818 1819 1820 1821 1822 1823 1824 • 1825 1826 1827 1828 . 1829' 1830- • 1831 1832 1833 ... . 1834 ' 1835 1836 1837 1838 Trade-doUars. Dollars. $204, 791 72, 920 7,776 327, 536 423, 515 220, 920 54,454 41, 650 66,064 19 570 321 - Half-doUars. $161, 572 00 1, 959 00 15,144 50 14,945.00 15, 857 <50 78, 259 50 105, 861 00 419,788 00 525, 78a 00 684, 300 00 702, 905 00 638,138 00 601, 822 .00 814, 029 50 620, 951 50 • 519, 537 50 - --... o -. 1,000 23, 575 00 607,783 50 980,161 00 1,104, 000 00 375, 561 00 652, 898 50 779, 786 50 847,100 00 1, 752,477 00 1, 471, 583 00 2, 002, 090 00 2, 746, 700 00 1. 537, 600 00 i; 856, 078 00 2, 382,400 00' 2, 936, 830 00 2, 398, 500 00 2, 603, 000 00 3, 206, 002 00 2, 676; 003 00 3,273,100 00 1, 814, 910 00 1,773, 000'00 Quarter-dollars. Twenty-cents. $1, 473 50 63 00 1, 684 50 30, 348 50 51, 531 00 55,160 75 b Half-dimes. Three-cents. Dimes. $2, 213 50 2, 526 10 2, 755 00 2,176 00 3, 464 00 1, 097 50 3, 304 00 826 50 12, 078 00 $4, 320 80 511 50 2, 226 35 1, 200 00 1, 695 50 650 50 1, 892 50 780 00 o. 16,500 00 H O 4, 471 00 635 50 6, 518 00 o 42,150 00 17, 308 00' 5, 000 75 90, 293 36, 000 31, 861 54, 212 16, 020 4, 450 50 00 00 75 00 00 94, 258 118, 651 10, 000 44, 000 70 20 00 00 42, 000 00 51, 000 00 1,000 00 25, 500 00 121, 500 OC 12, 500 00 77, 000 00 51, 000 0077,135 00 52, 250 00 48, 500 00 63, 500 00 141, 000 00 119,000 00 104,200 00 239, 493 00 99; 500 00 80, 000 00 39, 000 00 71,500 00 488, 000 00 118, 000 00 63,100 00 208, 000 00' "^ 61, 500- 00 62,000 00 62,135 00 • 48, 250 00' 68, 500 00 74, 000 00 .138; 000 00 95, 000 00 113, 800 00 112, 750 00 to te to to VIII.—Statement of coinage from the organization of the Mint, fc.—Contiimed. Period. 1840 1841 1842 1843 1844 1845 1846 1847 1848 1849 1850 1851 1852 1853 1854 1855 Trade-dollars. ! ... • ! 1 i 1 :.! i .... : ' • i i i \ .1857.. 1858.. 1859. 1860. 1861.. 1862., 1863., 18641S65 1866. 1867. 1868. 1869. 1870. 1871. 1872. 1873. 1874. 1875 1876. • 1877. 1878. 187<J. Dollars. $300 61, 005 173,000 184, 618 165,100 20, 000 24,500 169, 600 140, 750 15, 000 02, 600 47, 500 1, 300 1,100 46,110 33,140 26, 000 63, 500 94, 000 Total. 35, 959, 360 Quartei'-dollars. Twenty-ceuts. 573, 500 27, 227, 500 ^1, 717, 280 50 1,145, 054 00 355, 500 00 1, 484, 882 00 3, 056, 000 00 1, 885, 500 00 1, 341, 500 00 2, 257, 000 00 1, 870, 000 00 1, 880, 000 00 1, 781, 000 00 1,341,500 00 301, 375 00 110, 565 00 2, 430, 354 00 4, 111, 000 00 2, 284, 725 00 1, 903, 500 00 114, 000 00 4, 430, 000 00 4, 005, 500 00 1, 627, 400 00 959, 650 00 1, 785, 425 00 983, 630 00 483, 985 00 553,100 00 579, 525 00 897, 450 00 946, 750' 00 561, 675 00 1, 009, 375 00 1, 242, 771 00 1, 486, 492 50 1,199, 775 00 1,438,930 00 2, 853, 500 00 4, 985, 525 00 9, 746, 350 00 3, 875, 255 00 225 00 $122,:, 786 50 153,;, 331 75 143,I, 000 00 214,:, 250 00 403,:,400 00 290,I, 300 00 230,I, 500 00 127,, 500 00 280,I, 500 00 36,i, 500 00 85,>, 000 00 150,I, 700 00 62,, 000 00 68,; 265 00 ., 555 00 4,1.46, ', 000 00 3, 466, 861,,350 00 2,129.. 500 00 583,,000 00 I, 750 00 3, 019, 1, 000 00 1, 428, 330,I, 450 00 •771,, 550 00 730,I, 937 50 113,:, 965 00 22,!, 492 50 27,•, 650 00 ,712 50 9, 00 18,',,175 37, 475 00 137 50 23,, 23,, 047 50 971 75 29,',, 096 25 55, 174,, 362 50 ; , 515 50 458,, 950 00 623,;, 262 50 4,106,,175 00 7, 584, ;, 027 50 3, 703, 112 50 43, 846, 838 122, 745, 020 50 i, 477, 261 50 288, 500 600, 530 559, 900 1, 750 31,400 23,170 32, 900 58. 550 57, 000 54, 800 231, 350 588, 308 657, 929 ., 112, 961 977,150 $3, 588, 900 5, 697, 500 6,132, 050 9,162, 900 11, 378, 010 Half-dollars. $5, 858 00 263,560 00 1, 440 00 142 00 271, 000 00 Dimes. $229, 471 50 253, 358 00 363, 000 00 390, 750 00 152, 000 00 7, 250 00 198, 500 00 3, 130 00 24, 500 00 4.5,150 00 113, 900 00 244, 150 00 142, 650 00 196, 550 00 1, 327,301 00 624, 000 00 207, 500 00 696, 000 00 489, 000 00 226, 000 00 229, 000 00 98, 600 00 167, 300 00 158, 405 00 34, 071 00 14, 037 00 1.7,160 00 21, 065 00 13, 670 00 73, 315 00 23, 905 00 98, 185 00 10, 707 50 222, 471 50 419, 040 00 497, 255 80 889, 560 00 3, 639,105 00 2, 055,070 00 760, 891 00 45 00 Half-dimes. Three-cents. $106,457 50 113, 954 25 98, 250 00 58,250 00 58,250 00 32, 500 00 78,200 00 1, 350 00 63, 700 00 63,400 00 72,450 00 82,250 00 82, 050 00 63, 025 00 785, 251 00 365,000 00 117, 500 00 299, 000 00 197, 000 00 327, 000 00 195, 000 00 96, 500 00 139, 350 00 117, 627 50 8, 223 00 4, 518 50 4, 880 00 10, 732 50 435 00 24, 290 00 527 50 48, 222 50 14, 396 25 152, 751 75 175, 442 50 16, 902, 722 30 4, 906, 946 90 $185, 022 00 559, 905 00 342, 000 00 20,130 00 4,170 00 43,740 00 37, 980 00 41, 400 00 16, 440 00 7, 950 00 18, 256 50 2, 803 80 11 10 618 00 679 50 141 00 120 00 151 50 115 50 129 75 61 05 25 50 1, 281, 850 20 O o tei Q t/2 V--• \ ' - : * "" ' ^ Y'III.z—St'atemeM':of coinage from t]\e organization of. the'.Aiint, cfc.t—Conti uned. '-•^ • Eive-cents. Minor coiuage. Three-cents. Two-cents. ] l 9 3 t o 1795..•..-..•.-.•..-.-.•---•.•.-.-.-.-.---.•.=•.-..-.J. |796... ....^.........'.^^: |797 ^- -- . . . . . . . . . . . . . ^ ...•..•.•,^.-.:.-.^-.:'.'.'.. . ^798 • -. ' •h99-..-.-. . - . v . . . -•-.-..-. .•.-.•.-.-:•-•.-!-.•.--.•-•.-.-.•.-. -'. \ S 0 0 : - . . • . . • . : • . . . . • . . • . ' . • . • . ^ . : ' . • . ' . . • . . . - . : • . • . - . • . • : :.. h O l ......•...•....•.•.•..•.•.•.:.^-.'.::.'.'.-.:•.:'.:,. i 8 0 2 .••..-.•.•....-.•---•. -.-.-.-.-.".-.••'.-. :::^:::::::: -•- :f803 . : . : --•-'. .•.:•.:. . . : : • . . - . . .'.: !804 •. : . . . . • . - . . - .^^•.•.^^^v.^•. .> :f805 •-.-•. •.--•.•.--.--.-.-.-.-. :-.•..•.•.-.•.•.-.-. .'. f806 .- -. ' ••^807 'J^808 • •- -- • 1. vi£EB ]809-."[]y.[...[..[][^'.""'.'.'.['.'.['.".'.T. -*^8]0- "! • ' ^812 • ; 1813--:.-::.:::..:::;v::^:::::v::-:-:?; ^8U -» • • • 1 J8i5 •. -. .•.•--.---'..... -•.-.-.-..•;. j8i6 -.-.-.-.-.-.-.•'.•.-. .-.-.•--..•.•.:. ^sii • • • — ° '^ _\'_' ;" / .--•. j . ~ l823^...•v.-.•..•.•.••.-.•.•;^^^^^.--•....:. - 1824'.'.-.°-.f.-t-.-.-.--.-.-.•• - . o . : - : . " 1 § ^ 5 - - ^..-. -..-.-.-.. . . . ' . . ' . : : . . .-.•.-..-". .-.- - . ;• 1826 ^^^^ . . . . . . . .:-.-<'.'. ^^•.. v..^v-- .L " 1827-.-.-. -.f.-.-.^'.-.-.-.-.-.....'.-•--! 1828<;^:^:.v.vl - .1 . ^ - - — ^ . . .•. .•^..—.^-^ . 1829 -...-. 1830 1831 ^ 1832 1833 1834 1835 1836 1837 1838 V . V . . . . . . . . . V . v . ..•.-".•.•.•.• .. ;;;;;; 1 -.^-~ . r • 1 ,c-i.r 1 -: •. '•" "'''y -- ... ----- Ceuts. Half-cents. $10,660 33 $712 67 9,747 00 577 40 535 24 8,975.10 •9, 7-97 00 9,045-85 60 83 1,057 65 '28„221.75 13,.628 37 -34, 351 00 "•'••' i i ' k h 24,713,53 - •• 489 50 5,276 56 7,;568 38 4, 07-2 '32 9, 411 16 l,-780 00 3,480.00 2, -380 00 •7,272.21 2, 000 00 11,090,00 5,-772 86. •2, 228 67 1,075 00 14,(585 00 315 70 :-2,180/25 i0,755..00 . •4,180 00 3, 578 30 ""'28,'209'j2' 39,484.00 31, 070 00 . 26, 710 00 44,075.50,•3,890 00 20, 723 39 : l 8 1 8 - . . . - ^ ! ^ ^ • . ^ • . ^ ^ " ^ • y ^ v " - ' • ^ V ; ' . ' - " . ' !' ^ 8 1 9 ' . ^ . . . v . . .v.-.-.-.-.. . . . ^ - . . . . . . ' . - . - . . ' - • . ' . . . - . l820•.•...••.^^.^•^.•.^^.v•.—•:—^-• ',: 1821 — ...,,' . : . . o . . . - . . o . o , . . . — ; ! "'" l:2,'620•"00'14, 611 00 -'-'-'•' '315" Od" -15,-174 25 <- - • 1,170 00 '- 23,577•32• '.22,606-24- -"-•"3, OSO-66' / 14,-145.00- • • • 2,435- 00 I f ; 115 00 :„ 11-00'—~33r592-60. 23,620 00 -fji-X}^-^:zi-•:•.?••• ^'27,390 00 " " ' " 7 7 0 ' 0 0 ' - . .-18,-551-00. -600-00 38, 784 00 705 00 •-:-^-.::^s?v.21,110 00 1, 990 00 . 55, 583 00 63, 702 00 --• r- Total coinage. Gold. .4571. 485 00 10-3,727 50 103, 422 50 205, 610 00 213,285 00 317,.7iB0 00 422 570 00 423,310 00 258, 377 50 258,..642 50 • 170. 367 50 .324, 505 00 .437,.495 00 284,665 00 169, 375 00 .•501,435 00 '•,497, 905 00 -.290,435 00 • 47-7,140 00 77,270 00 . . ' 3,175 00 silver. Minor. Tot£i^- - $370,'6S3 80 $453,-541 80 $11,373 00 '79, 077 50 192,129 40 1.0, 324 40 12,591 45 125,524 29 9, 510 34 ' .545,698 00 •^. 330,29100 9,797 00 " i 423, 515 00 .- 64.5,906 68 9,106 68 571, 335 40 - 224,296 00 29,279 40 • 74,-7.58 00 510,-956 37 13,628 37 58, 343 00 516, 075 83 34,422.83 370, 698 53 .87,. 118 00 •25, 203 03 ..1,00,340 50 371,827 94 12, 844 94 • 149,388 50 333, 239 48 13, 483 48 -471,3.19 00 ' 801 084 00 5,260 00 597, 448 75 9, 652 21 1, 044, 595 96 684, 300 00 982, 055 00 1.3, 090 00 884, 7.52 53 707,376 00 8, 001 53 1,155, 868 50 638,773 50 15, 660 00 608, 340 00 1,108, 740 95 2, 495 95 1,115, 219 50 814, 029 50 10,755 00 620,951 50 1,102, 271 50 4,180 00 561, 687 50 642, .535 80 3, 578 30 17,308 00 20, 483 00 28, 575 .75 . 56, 785 57 '28,"209'82' 607,783 50 39,484 00 647 267 50 ''2.42,'946'60 •1,070,454 50 •31, 670 00 1, 345, 064 50 1,140, 000 00 26, 710 00 1, 425, 325 00 • '258,. 615 00 44, 075 50 1,319,030 00 501, 680 .70 1, 864, 786 20 3, 890 00 825, 762 45 189,'325 00 1, 018, 977 45 20,723.39 915,.509 89 i88, 980 00 805,806.50 : 72,'425 00 895, 550 00 967, 975 00 .;;,93, 200:00 1,752,477.00 1, 85S,,297 00 12,'620 "60 " 156, 385 00 1,564,-583 00 14, 926 00 1, 735, 894 00 • ••92,245.00 ; 2, 002, .090 00 2,110, 679 25 16, 344 25 . T^ 131,565.00 -•2,869,-200.00 ^23,577 32 • 3, 024, 342 32 Tv 140,14500 vlr575;:60Q.OO r 25, 636 24 ra„741,381 24 f -,;295,-7r7:.50 ;,'ij 994,^578 00 ( 16, 580 00 •• .2, 3.06, 875" 50 "• 643,105 00 ' 2, 495, 400 00 -' "17,115 00 3,155, 620 00 3'"923- 473 60 - "714,^270-00- -"3,-1757600-00. •""- "33,'-603 60 • .- 798* 435 00 2s-579,,000 00; 3,401,-055 00 .,,-23,-620 00 '978,5.50 00 2r7^9,l300 00 ' -'•••28,160 00 "3; 765, 710 00 .19 151-00 ._„_7„388-423 00 ^3r41-5,-^02~G0 • •3,-9547-2-70-00'3,443,003 00 - 39, 489 00 2,186,1.75 00 5, 668, 667 00 23,.100.00 4,135,700,00 3, .60.6,100.00 . .7,764,900-00 55, 583 00 1,148, 305 00 2,096,010 00 3, 299, 898 00 63, 702 00 1, 809, 595 00 2, 333, 243 00 4, 206, 540 00 o o o w ^ H ;to to Ox to to VIII—Statement of coinage from the organization of the Mint, ^c—Continued. M i n o r coinage. Total coinage. Period. Eive-cents. 1839 1840 1841 1842 1843 1844 1845 1846 ]847• 1848 1849 18.50 1851 18.5'^1853 1854 1855 1856 1857 1858 1859 1860 ] 861 186i 1863 1804 1865 "1866 1867 1868 1H69 1870 1871 1872 1873 1874 1875 1876 . 1877 1878 1879 Three-cents. Two-cents. Cents. $31, 286 61 24, 627 00 15, 973 67 23, 833 90 I 24,283 20 23,987 52 38, 948 04 41, 208 00 61, 836 69 64,157 99 41, 785 00 44, 268 44 98, 897 07 50,630 94 66, 411 31 42, 361 56 15, 748 29 26, 904 63 63, 334 56 234, 000 00 307, 000 00 342, 000 00 101, 660 00 116, 000 00 478, 450 00 427, 350 00 $36, 450 00 541, 800 00 $105, 930 00 535, 600 00 187, 080 00 270, 270 00 122, 980 00 113, 750 00 69, 880 00 133, 410 00 98, 565 00 108, 390 00 61, 330 00'78, 810 00 64, 380 00 34, 615 00 58, 365 00 42, 690 00 22,890 00" 27, 630 00 22,105 00 62, 075 00 18,330 00 6,170 00 9, 320 00 34, 320 00 107, 330 00 29, 640 00 137, 935 00 12,540 00 123,185 00 7, 560 00 120,090 00 36, 915 00 48 00 30, .566 00 984 00 95, 639 00 Half-cents. 1 . .- $66,240 00 1, 562, 500 00 1, 445,100 00 1,101, 250 00 487, 500 00 171,950 00 89, 200 00 352, 400 00 244, 350 00 94, 650 00 132, 700 00 25, 250 00 80 00 1,175 00 . Total. 1 5, 774, 345 00 856,122 00 912. 020 00 5, 430, 782 44 $199 32 199 06 738 36 648 276 282 202 175 47 79 50 15 90 39, 926 11 Gold. $1, 3.55, 885 00 1, 675, 302 50 1, 091, 597 50 1, 834,170 00 8,108,797 50 5,428,230 00 3, 756, 447 50 4, 034,177 50 20, 221, 385 00 3, 775, 512 50 9, 007, 761 50 31, 981, 738 50 62, 614, 492 50 56, 846,187 50 39, 377, 909 00 25, 915, 918 50 28, 977, 968 00 36, 697, 768 50 15, 811, .563 00 30, 2,53, 725 50 1.7, 296, 077 00 16, 445, 476 00 60, 693, 237 00 45, 532, 386 50 20, 695, 852 00 21, 649, 345 00 25,1.07, 217 50 28, 313, 945 00 28, 217,187 50 1.8,114, 425 00 21, 828, 637 50 22, 257, 312 50 21, 302, 475 00 20, 376, 495 00 35, 249, 337 50 50, 442, 690 00 33, .553, 965 00 38,178, 962 50 44,078,199 00 .52, 798, 980 00 40, 986, 912 00 Silver. $2,176, 296 00 1, 726,703 00 1,132, 750 00 2, 332, 750 00 3, 834, 750 00 2, 235, 550 00 1,873,200 00 2, 558, 580 00 2, .379, 450 00 2, 040, 050 00 2,1.14, 950 00 1, 866,100 00 774, 397 00 999, 410 00 9, 077, 571 00 8, 619, 270 00 3, 501, 245 00 5.135, 240 00 1, 477, 000 00 8, 040, 730 00 6,187, 400 00 2, 769, 920 00 2, 605, 700 00 2, 812, 401 50 1,174, 092 80 548, 214 10 636, 308 00 680, 264 50 986, 871 00 1.136, 750 00 840,746 50 1, 767, 253 50 1, 955, 905 25 3, 029, 834 05 2, 945, 795 50 5, 983, 601 30 10, 070, 368 00 19,126, 502 50 28, 549, 935 00. 28, 290, 825 50 27, 227, 882 50 1, 076, 945, 587 00 264, 390, 999 40 Minor. Total. $31, 286 61 $3, 563, 467 61 24, 627 00 3 426 632 50 2,240,321 17 15, 973 67 23, 833 90 • 4,190,753 90 11, 967, 830 70 24, 283 20 7,687,767 52 23, 987 52 5 668 595 54 38, 948 04 41, 208 00 6,633,965 50 22, 662, 671 69 61, 836 69 64,157 99 5, 879, 720 49 41, 984 32 11,164,695 82 33, 892, 306 00 44,467 50 99, 635 43 63,488,524 93 50, 630 94 57, 896, 228 44 67, 059 78 48, 522, 539 78 34, 577, 826 85 42, 638 35 32, 495, 243 79 16, 030 79 41, 860,115 28 27,106 78 17, 352, 073 46 63, 510 46 38, 528, 455 50 234, 000 00 23,790,477 00 307, 000 00 19, 557, 396 00 342, 000 00 63, 400, 597 00 101, 660 00 48, 460, 788 00 116, 000 00 22, 348, 394 SO 478, 450 00 22,661,359 10 463, 800 00 26, 926, 855 50 1,183, 330 00 29, 640, 779 50 646, 570 00 31, 083,598 50 1,879,540 00 1, 713, 385 00 20, 964, 560 00 23, 948, 439 00 1, 279, 055 00 24, 636, Oil 00 611, 445 00 23, 542,140 25 283, 760 00 23, 529, 349 05 123,020 00 38, 689,1S3 00 494, 050 00 56, 838, 216 30 41.1, 925 00 43, 854, 708 00 230, 375 00 .57, 565, 815 00 260, 3.50 00 72, 690, 299 00 62,165 00 81,120, 499 50 30, 694 00 68, 312, 592 5097, 798 00 13, 013,195 55 1, 354, 349, 781 95 o H O H o IX.—Statement of coinage executed at the United States mints fi^om 1873 to 1879, inclusive. PIECES. Mints. 1873. 1874. 1875. 1876. 1877. 1878. 1879. Total. PHILADELPHIA. Gold Silver ' Minor - - •- •- Total . 888, 330 10,329,600 18, 925, 000 1, 917,160 9, 006, 700 19, 668, 500 278, 258 11, 487, 2-00 14, 629, 500 422, 265 29, 303, 000 14, 915, 000 30,142, 930 30, 592, 360 26, 394, 958 894,600. 956, 700 1,168, 000 3, 714, 000 1, 851, 300 494, 020 36,145, 200 4,196, 500 778, 384 23, 483, 750 3, 059, 800 . 936,564 12,125, 850 9, 620, 200 5, 714, 981 131, 881, 300 85,014 500 44, 640, 265 40, 835, 720 27, 321, 934 22, 682, 614 222, 610, 781 1, 330, 000 8, 274, 000 1, 375, 600 27, 027, 000 1,637,000 26, 892, 000 2,102,100 19, 486, 000 1, 798, 500 12, 722, 000 10, 305, 800 99, 071, 700 4,882,000 9, 604, 000 28, 402, 600 28, 529, 000 21, 588,100 4 4 , 520, 500 109, 377, 500 41, 490 487, 950 101, 539 552, 680 130, 804 3, 062, 016 151, 603 13, 907, 000 91, 272 16, 513, 000 54, 348 7,154, 000 24, 357 1, 644, 000 595 413 43, 320, 646 529, 440 654, 219 3,192, 820 14, 058, 603 16, 604, 272 7, 208, 348 1, 668, 357 43 916,059 • SAN FRANCISCO. Gold ' Silver Total . o CARSON. Gold Silver . . o H O - - Total w ^, N E W ORLEANS. h-l Gold Silver --- - 737, 000 - ' Total Grand ibotal 32, 523, 670 36,128, 579 39,191, 778 87,101, 468"' 85, 968, 992 56,118, 382 737, 000 737, 000 737 000 39, 608, 471 376, 641, 340 I>0 to to oo IX.—statement of coinage executed at the United States minis from 1873 to 1879, inclusive—Continued. VALUE. Mints. '-- - . t •'•1873:' 1874. "' '.:. 1875. '.•:.;•;: • 1876, - 1877. • "1878. • •;•;% • 1879. Total. •• PHILADE-DPHIAr • - • <• :r:>r - -. - • '• . . : . ' ' t ;ii7,rB6'4,.937 50 $26,'467,'3d0.db. . ^ 5 3 2 , 8 7 0 bb 'L..2,i;27.,.240.50.. ...2,1)63, J 35 „Q0^. 3, 645, 510 00 411, 925 00 494, 0.50.00 230, 375 bb Gold..,-.... Silver l^inor...-.•.-.. 1 20, 786, 228 00 ; 29, 842, 390 00 Total . 9, 038, 755 00 $8,'260, 937 50 6, 600, 502 50 260,'350 00 "$9, 803,'564 bb. 11, 444, 935 00 '62,165 00 $10,892,800 00 1 $ n , 329,-'352 '00 ; $'89, 581,-791 00 51, 216,'d31 00 11, 809, 825 50 i 12,124, 882 50 "W, •79-8 00 " 1,-587, 3!37 00 30,"6"94"00 15,121, 790 00 21, 310, 664 bb 22, 733, 319 50 . 23, 552, b3"2 50 : 142, 385, iV'O dd i •• • o SAN FRANCYSCO. ' G^d..Silver---:... j 17, 061, 5b0 00 Total . CARSON.' Gold Silver 24, 853, odo L_..617, 4.00.'Q'Q. . 224, 055 00 .•. 841, 455 bo : 1 N E W ORLEANS. .. 26,200,000 00 4, 327, 000 00 27, 036, 500 ob 8,953,'bbo do 32, 552, 500 bO •].3, 549, dod 00 . " • 46,101, 500 00 • 54,907,500 00 j 42, 051,250 00 195, 42-7, 250 00 56, 064, OOQ 00 30, 527, 000 00 35, 989,500 ob 1, 672, 860 00 469, 966 30 2,191, 095 00 2,097,858 do ^ , 881, 525 bb• 3,573,0b0•'0•0 1, 722,135 bo 3, 55'6,"0d0 "do 866,680 00 2, '613,000 OO 328. 31.0 00. 1, 644; OOO "00 10, 280, 005 00 14,177, 879 30 2,142, 826 '30 4, 288, '953 00 6, 454, 525 00 5, 278,1.35 00 3, 479, 680 do , 1, 972, 310 00 24, 457, 884 30 737,000 00 737, 000 00 737, 000 00 737,Odd 00 251,491,250 00 H o W i r a • Ii • 29, 329, 250 00 12, 722,"000 "OB h • - • . , ^ _ Total. ?,'H30UH;Graaid1.0talL-.-.r:.:v.-.----:Y^ 41, 039, 500 00 13, 868, 000 '00 . '"^ - To'tal . Gold. Silver -.16,. 967, .QGolhft: ^22,302,500 QQ 94, 500 00 2, 550, 500 00 ' " , . . " ' - " • ' • • • • j 38, 689,.183 00 j 56,838,216 30 ] 43, 854, 708 00 57, 565, 815 00 72, 690, 299 00 St, 120, 499 50 : 68, 312, 592 50 1 419, 071, 313 30 CO DIRECTOE OF T H E 229:; MINT. X.—Coinage and medal dies manufactured- at the United Staies Mint at Philadelphia during the fiscal year ended June'30, 1879. Denomination.Eor ^old^coiaage: Dbuhle-eagle Half-eagle - . . . . . : ; . . . . . : Three-doUar Quarter-eagle Dollar • . ... Total. 10" 28' 60" 9' • • • • . • 1 0 " 1616' 22" ; ; ; ; ; • . 9 ;i6 ir lb 10, 10 .. ... ^ :.. . . .•..".. - ... ...' ; • •;2; : ^. •....•68". . . Total New,Orleans. ....•..'. ... Eoi?" silver c o i n a g e : ' S t a n d a r d dollar Trade-doUar Half-'doUar Dime' Philadel- San EranCarson-.phia. cisco. ' ' . . . . - 'c:['M: : • • • . . ' . 157- •; 2 15' 174' .' Eor minor, coinage: Eive-cent Three-ceht . Ohe-cent "- . 247 108^: 3451 • 437 2- Id . . : .' 192- ":• . Id •• 15; . , • 1515' ". .'.."•. ;• -Totalr- - 24- 40 236 ''^>y.. 30- 40. 4i9V lb' AS'-^ vf 30'- ' 3o; 491 40 12: • • 128 ........ 88^ ";; _ 88; Total. 108; T o t a l coinage dies .'...'. ; 3^0' ' " 108" 351- 54 835'' 80. Total nuniber of' dies'. Gold'coinage :... Silver coiiiage u' Minor coinage ' Experimental dies .r. .-..... Proof coinage dies' -w.......:......... . 1 . . . . . . . . . . . . . ! . . . Indian iieace medal (President Hayes) President G r a n t . . . . . . . . . . . ........................... ...... ......'..... John E. Howard (reiirodnction) Anniiial^assay .-. .'.:•''.... .v Total , 236 491 108 " 28r33^ 3 3 1 2 . . . . . . . 905 Xli-^'Medals'manufactiired at. tlie UaiitedMates.mint.at Philadelpliia. during the fiscal year.' ended-June'30, 1879.• ISTame. Adams-Academy ..'..'.-. •.••.•'. =v-; Ad'aibs^ John i.-:... Agassiz .J Ahni^hty Dollar. American Institute Amidon , Bainhridge, Captain Baltimore Eemale College ... Biddle, Captain Boston Caledonian , Brown Memorial , Carney Centennial Award Choate Coast Survey IJnited States. Coinage, Eirst Steam College of Pharmacy Decatur, Captain ..' Denman School Dodd, H. M Emancipation Eillmore, M . Eranklin School (Bostou) Georgetown College Grant, H. S iGold. Silver. Bronze. 50 10 'io 10 10 25 10 10 10 230 REPORT ON THE FINANCES. • XI.—Medals manufactured at the United States Mint at Philadelphia, ^'C.—Continued. Name. Gold. . Hodge Dniversity •Jackson, Andrew Ketchum, Jesse (large) Ketchum, Jesse (small) Life Saving (first class] Life Saving (second class) Lincoln, Ahraham Lincoln School Maine State AgTicultural Society Maryland Institute Massachusetts Charitahle and Mechanics' Association. McKee Metis . Michigan State Agricultural Society , Middlesex Southern Agricultural Society Kew England Agricultural Society New England- State Agricultural Society Pacific Kailroad . : Pancoast, Dr Pennsylvania Horticultural Society Pennsylvania Institute for the Blind Pennsylvania State Agricultural Society PJDUOCK, James .-....Preble, Captain . . . . ; Bittenhonse,-David . . : ; ::.-.•: Sacred Heart (large) .."..: Sagadahoc Agricmtnral Society Saint Louis State Agricultural and Mechanical Association - Thnixton, Captain -- Yalley Eorge Vanderbilt University Washington and Lee University "Wisconsm State Agricultural Society Silver. 20 25 136 241 Bronze. 25 "72 289 "io 6 'i25 12 21 1 200 10 62 Total. 1,037 10 15 14 10 770 XII. -Medals and proof-sets of United States coins made and sold during the fiscal year ended June 30, 1879. i Nnmber made. Description. MEDALS. Gold Silver Bronze i ." Total Number sold. Yalue. 114 1,037 770 115 $2, 757 75 1,041 2, 618 85 -.617 653 50 1,921 1,773 6, 030 10 26 518 17 .492 731 00 2,143 50 544 509 2, 874 50 PROOF-SHTS. Gold Silver Total DIRECTOR OF THE 231 MINT. XIII.—Minor coins redeemed, reissued, exchanged, and melted during the fiscal year ended June 30, 1879. Denomination. Pieces. Yalue. 552, 957 1, 438, 528 6, 797, 475 2, 823, 741 994,458 4, 986, 921 $5, 14, 67, 56, 29, 249, REDEEMED. Copper, one-cent pieces Nickel, one-cent pieces Bronze, one-cent pieces Bronze, two-cent pieces Nickel, three-cent pieces Nickel, five-cent pieces ;... : Total , 529 57 385 28 974 75 474 82 833 74 346 05 17, 594, 080 423,544 21 6, 560, 000 794, 600 5, 400, 400 65, 600 00 23, 838 00 270, 020 00 12, 755, 000 359, 458 00 300 3, 299 7,300 6 00 98 97 365 00 10, 899 469 97 EEISSUED. Bronze, one-cent pieces Nickel, three-cent pieces Nickel, five-cent pieces Total...: EXCHANGED. Bronze, two-cent pieces Nickel, three-cent pieces .'^. Nickel, five-cent pieces ' Total MELTED. Bronze, one-cent iDieces Brouze, two-cent pieces T ot al 222, 000 4, 033, 000 2,220 00 80, 660 00 4, 255, 000 82, 880 00 XIY .—Statement of imports and exports of gold and silve)- during the fiscalyear ended June 30, 1879 {from monthly returns of the Bureau of Statistics). IMPOETS. Gold. Silver. Total. Ports. Bullion. Coin. Bullion. Coin. NEW YORK. July, 1878 Angust, 1878 September, 1878 October, 1878 November, 1878 December, 1878 January, 1879 Eebruary, 1879 March, 1879 April, 1879 MTay, 1879 Jnne, 1879 Total $31, 614 18, 545 18, 742 23, 337 13, 085 39, 035 20, 595 6,091 11, 382 26, 285 20, 846 18, 581 $160, 530 80,109 313, 766 2, 068,161 199, 262 89, 983 199, 250 85, 728 83, 548 74,173 52, 471 67, 670 $7, 2-92 $899, 846 630, 815 . 4,271 314, 232 4,332 452, 792 1,519 374, 672 59,495 456, 784 30, 460 750, 532 5,181 1, 341, 621 5,780 510, 253 1,107 474, 983 646 773, 406 7,070 933, 529 2, 902 $1, 099, 282 733, 740 651, 072 2, 545, 809 646, 514 616, 262 975, 558 1, 439, 220 606, 290 576, 087 853, 793 1, 022, 682 248,138 3,474,651 130, 055 7, 913, 465 11, 766, 309 245, 012 91, 604 228, 909 100, 382 222, 842 226, 073 281, 200 147, 875 43, 000 89, 403 203,163 • 74, 477 382, 981 34,145 423,* 030 306, 323 134, 018 277,117 179, 495 168, 405 272, 474 256, 004 249, 759 275, 655 731, 429 236,186 818, 745 568, 260 507, 647 576,189 505, 730 339, 947 369, 641 386, 967 500,149 394, 245 1, 953, 940 2, 939, 406 5, 935,135 SAN FRANCISCO, July,1878.-. Angust, 1878 September, 1878 October, 1878 November, 1878 December, 1878 January, 1879 Eebruary, 1879 March, 1879 April, 1879 May, 1879 June, 1879 Total 103, 436 82,120 166, 806 161, 555 170, 787 72, 999 45, 035 23, 667 43, 632 41, 560 47, 227 40, 252 ,076 28, 317 10,535 42, 713 232^ REPORT ON T H E FINANCES. XIY .—Statement of im2)orts and exports of gold and silver, fc.—Continued. - -• IMPORTS—Continued. Silver. Gold. Total. Ports. Bullion. ALL OTHER PORTS. Jnly,1878 .-.-. August, 1878.. September, 1878 October, 1878 November, 1878 December, 1878 Jannary, 1879 •. Eebruary^ 1879.. ^ . . . • : . . . . I March, 1879. '•..... April, 1879"..: .'....... May, 1879...... ". June; a879 : $37, 249 23, 462 22, 793 244, 760 29, 227 307, 481 • 8, 305 21, 900 37, 357 28, 238 42, 010 7,558 $7, 205 2, 250 4,107 4,175 1, 522 2,046 638 22. 671 5,416 Total.. ! dCotal imports . Bullion. Coin 50, 030 810, 340 1,297,. 244 4, 327, 704 Coin, $41,194 66, 497 86, 278 133, 373 144, 760 155, 560 94, 653 127, 959 153, 571 78,119 162, 052 126, 277 $46,823 30, 765 16,600 55, 216 1,807 96, Oil 16,'249 49, 863 30, 088 20, 471 363, 893 2,447,1 1, 370, 293 12, 223,164 $125,266 97,164, 109, 071 411,148 194, 694 522, 432 106, 287 245,870 209, 223. 156,858. 256, 821 159, 722 2, 594, 556 20, 296, 000 EXPORTS (EOEEIGN). Silver. Gold. Total. . Ports. , Bullion. Bullion.. Coin. Coin. NEW YORKI J n l y , 1878 . . A n s r u s t 1878 S e p t e m b e r 1878 October, 1878 N o v e m b e r 1878 D e c e m b e r 1878 J a n u a r y , 1879 E e b r u a r v , 1879 M a r c h , 1879 April„1879 May,' 1^879 . . . . . ' . J u n e 1879 $21,135 10,126 $173, 250 .' 6,737 4,0.50 33, 403 ' 700 2,552 $6, 025 .".-.' 7,500 67, 276 - 15,350 ; , - lp,723 "... : 6, 025 Total $538. 091 • . 286,570 216,563 321,183 399,152 305, 762 356,147 499, 211 494 264 223, 0.54 309, 077 386, 835 3, 806, 261 4,335,909- 15, 960 5,334 75, 000 55, 694 1,679 12,154 - : -. $343, 706 276, 444 209, 826 317,, 133 359, 724 289,102 348, 261 424,211 431, 070 154,099 - 281,. 573 371,112 326,541 197, 082 SAN FRANCISCO. J u l v 1878 A n g u s t 1878 "..' S e p t e i n b e r 1878 O c t o b e r -1878 N o v e i n b e r 1878 D e c e m b e r 1878 J a n n a r y , 1879. E e b r u a r y , 1879 ; M a r c h • 1879 A p r i l 1879 Ma-y; 1879 J u n e , 1879 •. - 230 i . . . • 155 720 3,000 • • 42,155 39,962 61, 250 64, 500 .. . : -' - . •. •. 1,145 '. 104,703 T o t a l '.. , , ALL OTHER PORTS. J u l y , 1878 . . . . : . . . . :...': A u e t i s t . 1878 . . - ' . . . . S e p t e m b e r , 1878 • October, 1878 ....:.. N o v e m b e r , 1878 1'. D e c e m b e r , 1878 J a n u a r y , 1879 E e b r n a i T 1879 •. M a r c h , 1879 A p r i l , 1879 M a y , 1879 J u n e , 1879 .. 230 1, 286, 532 191,898111, 414 113,378 147, 349 150,-86r 152,768' 296, 081 122, 753 ' 68, 413 222, 083 65,433- l,-642,-431 • 234)438? 152; 096 •. 174,628" 214,-849? 150, 861 • 214 690' 407|864-' • 154, 68899 •783'' 1, 0i2. 083i. • 111, 903"^ 111 033 • • 3, 038, 916 ... 10 Total T o t a l e x p o r t s (foreign) 109, 723 61, 922 111, 783 30, 790 31, 370 790,000 7, 200 • 45,600 • 10 6, 255 436, 274 1, 483, 614 50, 000 50 OOO-'^ 16, 000 1,571 16, OOO'1 581-' 67, 571 67, 581 5, 516, 263 7 442 406 23S> DIRECTOR OF THE MINT. XIV.—Statement of imports and exports of gold and silver, fc;—^C.ontiiiued. E X P O R T S (DOMESTIC). Silver. Gold. Ports. Total. Bullion. J u l y , 1878 August, 1878.... S e p t e m b e r , 1878. October, 1 8 7 8 . . . . N o v e i n b e r , 1878 . D e c e m b e r , 1878.. J a n u a r y , 1879 •... E e b r u a r y , 1879 . . M a r c h , 1879 A p r i l , 1879 MTay, 1879 J u n e , 1879. . : . : : . • Total. Coin. Bullion. T r a d e dollars. Eractional. $21, 000 500 1,974 1,400 • $1,480 508,000 9,003 32,389 261, 030 22, 600 38, 051 86, 844 60,. 099 6,364 92; 543 1, 341,500 297, 650 715, 461 1, 302, 445 1,.753, 246 1, 303, 526 1, 525, 626 851, 976 19, 500 15, 000 2,027 13, 000 30, 000 38,788. 53, 000 16, 000 26, 720 7,784 2,459,903 8, 296,130 235, 035 $2, 870 300 740 $85, 185, 145, 130, 000 600 600 000 1, 500 375 $107, 480 715,100 154, 978 181, 889 278, 900 322, 577 767, 252 1, 419, 289 1, 852,..133. 1, 363, 390 1, 636,143 2, 221, 596 > 11, 020, 727' SAN FRANCISCO. July; 1 8 7 8 . . . . . . . Aiigust, 1878..•.. S e p t e m b e r , 1878 . October, 1 8 7 8 ' . : . ; N o v e m b e r , 1878 . D e c e m b e r , 1878.. J a n u a r y , 1879 . . . E e b r u a r y , 1879 . . M a r c h , 1879 A p r i l , 1878 M a y , 1879 June,* 1 8 7 9 . . . . . . . Total . 1,830 150 l,-8785,640 2,140 1, 820 670 2,762 • -100 27,402 18,'690 14,"584 13,176 53,438 43, 347 104,753 27, 524 8,669 19,' 580 32, 671 • 80,343 166,150 44,193 - 20, 400 163,310 972,472 430, 728 408, 600 192, 450 147,199 589,359 245, 230 206,843 121, 840 150, 679 70,954 170, 450 89, 625 93,122 11, 505 29, 420 392, 079 28,111 31, 201 27,888 300 1,740 317,222* 214i 012 • 107,816'352i-576",117,675'569,'017 • 524,858 250, 394 547, 947 637 720 313, 604 315,174 ^ ,3,.04d 5, 268, 015 105,100 15, 080 120,180 1,180 324, 230 101,100 50 j OQO 200,000 •2, 526 670 2Si5' 500 1,288 1, 600 16, 400 4; 400' 6,628 735 3; 706 324,900 101, 335V 50,500 201, 288.^ 1,600,, 17,117 ' 336, 320'• . 106, 628. 2,'719 444,177 3, 586, 934 3,216,874 ALL OTHER PORTS. July, 1 8 7 8 ' . . . . . . : . . . . : . ' . . A u g u s t , 1878 I . . . : . : : . - . - . S.ept^mber, 1§78 October; 1878.,.: N o v e m b e r , 1878 . . : ' . . ' . . . . Dec6iubei?, 1 8 7 8 . . . . . . . . . . J a i u i a t y , 1879 . . . . . . . . . . . Ilebruary,, 1879 . . : . . . : . . . Mai;cli, 1,879 Aprii^'1879 • - - . : . . . : . . . . . . May,ia79 J u n e , 1879'..'.:'.'...: ,*.. Total : Total exports (domestic). 717 331, 920 100, 000 1,984 1, 216, 231 4,120, 311 11, 883, 064 1, 238, 749 50,062 1, 266, 293 288,137 17, 555, 035 234 REPORT ON T H E FINANCES. XV.—Average monthly price of fine silver hars'at London and the equivalent j)er ounce fine in United States money ivith exchange, at par, and the average monthly 2^'^'ice at New Yorlc of exchange on Londoiuand the average montlily 2yrice of fine silver hars at Neiv York dui'ing the fiscal year ended June 30, 1879. j> « y. -w © -5 « .pr^ Date. ll li 1^ c;, a P^ pq- H <1 Pence. 52f $1 15.359 $4 87 1 15. 359 4 88. 50 52f1 13. 441 • 4 87 5l| 4 86 50/s 1 10. 564 4 87 • 1 10. 838 4 88 1 09.605 4 88 1 09. 879 50^ 1 09. 331 •4 89 . 4 89. 50 49i% 1 08. 646 49fg 1 09.194 4 88. 50 4 89 1 10. 427 50§ 4 90 1 13. 989 52^ July August : . •^ * c3 fd bfl 1 - 49I . - - 50{§ Average 1 11. 386 <s^ s:-|5|. Q.® • 'rtCO «o ^;- September October November December January Eebruary Ma.T.h . AprH Mlay June -^ 0 ^ 1^ l^•i '^ ^. S§^x.b _ ^ 9 "§ 9 quivalent in Dr money of fine bai fine, ba.sed on avei London quotatio change at avera rate. ri 4 88. 04 <i $1 1 1 1 1 1 1 1 1 1 1 1 15.443 $1 15.732 15. 798 1 15. 377 13. 523 1 13. 831 10. 690 1 10.742 10. 918 1 10.741 09. 909 1 09.893 10.184 1 10. 321 09. 859 1 09. 546 09.171 1 08.827 09. 609 1 09. 343 10. 961 1 10. 619 1 14.122 14. 774 1 11. 616 1 11. 875 XVI.—Circular exhihiting the values in United States money of the pure gold or silver representing, res2?ectively, the monetary units and standard coins of foi'eign countries, in com2Mance with the act of March 3, 1873. T R E A S U R Y DEPARTMENT, Washington, D. C , January 1, 1879. The first section of t h e act of March 3, 1873, Statutes at Large, volume 17, page 602, reproduced in section 3564 of the Revised Statutes, provides ^^that t h e value of foreign coin, as expressed in t h e nioney of account of t h e United States, shall be t h a t of the pure metal of such coin of standard value," and t h a t " the values of t h e standard coins in circulation of t h e various nations of t h e world,shall be estimated annually by t h e Director of t h e Mint, and be jiroclaimed on t h e 1st day of January hy the Secretary of t h e Treasury." The estimate*^ of values contained in t h e following tahle has heen made hy t h e Director of t h e Mint, and is hereby jiroclaimed, in compliance with t h e above-stated provisions of l a w : Country. Austria Belgium Bohvia Brazil British Possessions in N. A. r Bogota Central America Chili Denmark Ecuador • Egypt Erance Great Britain Greece Gennan Empire Value in U.S. money. Monetary unit. Standard. Eloriu. Eranc Dollar Mih-eis ot 1,000 reis. Dollar Goldandsilver. Goldandsilver. Gold 8 gulden or 20 francs, gold $3 85.1 ;0 19. 3 5,10, and 20 francs. 96.5 Escudo, ^ bolivar and bolivar. 54.5 None. Gold... 1 00 Gold.. Silver. Gold.. Gold.. Silver. Gold.. 96.5 93.5 91.2 26.8 93.5 4 97.4 Goldandsilver. Gold Gold and silverGold 19.3 5,10, and 20 francs. 4 86. 6^ ^ sovereign • and sovereign. 19.3 5,10, 20, 50, and 100 drachmas. 5,10, and 20 marks. Peso Dollar Peso Crown Dollar Pound of 100 piasters. Eranc Pound sterling.. Drachma Mark Standard coin. Dollar. Condor, doubloon, and escudo. 10 and 20 crowns. Dollar. 5,10, 25, and 50 piasters. BIRECTOR Country. Japan Inaia Italy Liberia Mexico Monetary unit. . . . OF T H E 235 MINT. Value in U.S. money. Standard. Standard coia. Gold $99.7 1, 2, 5,10, and 20,.yen. Blip ee of 16 annas Silver 44.4 Lii-a Gold and silver.19.3 5,10,20, 50, and 100 lire. Dollar * Gold 1 00 DoUar .... • SUver . . 1 01.5 Peso or dollar, 5,10,25, and 50 cent avo. Elorin Goldandsilver.. 38.5 Elorin, ten guldens gold($4 01.9). Netherlands. • Norway . . . . . Crown Gold' 26.8 10 and 20 cro-wns. Peru ".. Dollar Silver 93.5 Portugal 2, 5, and 10 milreis. MUreis of 1,000 Gold 1 08 reis. Hussia Eouble of 100 SUver 74 8 ^, ^, and 1 rouble. copecks. Dollar Sandwich Islands Gold 1 00 Peseta of 100 Goldandsilver.. Spain 19.3 5,10, 20, 50, and 100 pesetas. centimes. Sweden Gold 26.8 10 and 20 crowns. Crown Eranc 19.3 5 10, and 20 francs. Switzerland Goldandsilver.. TripoU Mahbub of 20 Silver 84.4 piasters. Turkey Gold 04.3 25, 50,100, 250, and 500 piasters Piaster Silver . . 93.5 United States of Co- Peso lombia. Yen The ahove rates will he taken in estimating t h e values of all foreign merchandise, made out in any of said currencies, iniported on or after J a n n a r y 1, 1879. JOHN SHERMAN, Secretary of the Treasury. XVII.—Do^nestic production of gold and silver. 6 1. 1 1874 18751876 1877 1878 1879 o i 1 o 1 1 O o a 'o Add domestic production used in the arts and inanufactures. (Beported by New York assay-ofhce.) Years. Deduct coinage of stock on hand, foreign coin and buUion, jew. elers' bars, and Uuited States coin. GOLD. o $50, 442, 690 $25, 4.08, 659 $25, 034, 031 33, 553, 965 7, 701, 982 25, 851, 983 38,178, 962 4, 291, 876 • 33, 887, 086 44,078,199 1, 952, 537 42,125, 662 52, 798, 980 6, 876, 640 45, 922, 340 40, 986, 9125, 980, 953 35, 005, 959 $3, 433, 746 4, 036, 574 3,114, 888 2, 765, 394 3, 809, 026 2, 901, 844 ihlit li a 1 oS a a o >^ lai o o|i a %?.^ a--o •43 o{H ,-.0 0 o ^-r, %^^ < $1,144, 1, 345, 1, 038, 921, 1, 269, 967, .2 CO o i 582 524 296 798 675 281 $3, 2, 1, 1, 878, 233, 888, 084, 205, 24, 543 775 896 536 319 774 1 $33,490,902 33, 467, 856 39, 929,166 46, 897, 390 51, 206, 360 38,899,858 SILYEB. 1874 1875 1876 1877 1878 1879 5, 983, 601 10, 070, 368 19,126, 502 28, 549, 935 28, 290, 825 27,227,882 219, 063 *221, 437 *604,152 4, 005, 996 3, 254, 637 4, 276,114 5, 764, 538 10, 291, 805 19, 730, 654 24, 543, 939 25, 036,188 22, 951, 768 3, 304, 920 3,178, 381 2, 859, 014 2, 830, 680 3, 907, 614 4, 482, 975 1,101, 640 1, 059, 460 953, 004 943, 560 1, 302, 538 1, 494, 325 27,153, 496 17,197, 914 15, 240, 344 11, 475, 394 15, 035, 045 11, 883, 064 37,324, 594 31,727, 560 38, 783, 016 39, 793, 573 45, 281, 385 40, 812,132 "During these years the deposits of domestic silver remaining uncoined exceeded the deposits of foriga bullion, &,c., and the balauce is added iustead of deducted. 236^ REPORT ON T H E FINANCES. XVIII —Gold and silver used in the arts and manufactures. U N I T E D STATES A S S A Y - O F F I C E AT N E W YOKK, • _ Se2Heml)er 19, 1S79.' " S I R : Referring to'yoiir letters of May 7 aiid Septemher 4 , 1 herewith transmit'statue--;' ment of t h e probable 'amount of gol'd aiid silyer bullion consumed i n the "arts and-manufactures annually from J u l y 1,1873, to Juiie 30, 1879. Of necessity thfese figures are approximate only; For reasons unexplained depositors of'fjeAvelers^" bars and.'7kings/'refufee to :state their character. The information Avhich yOir desirediin yonr letter of May 7, 1879j.w"as the amount/ of hullion used in the arts, derived frpiii deposits otV1.4t. Coin; 2d. ^'Foreign hullion"; . 3d. Plate, jewelry,' and ^'hase bar's",- '4th. Domestic bullibn. The 1st and 2d classifications £ii'e; too inconsiderable to note;" I habve therefore confined my report to t h e 3d and 4th. The estimate is jbased upon the supposition t h a t t h e majority of small bars'drawn ;; hy hankers from this "offi'ce is disposed of'to' nianufacttiring jewelers. As it is hardly"-' probable that such bars should form any portion of the bullion exported, inasmuch as.^ the custom exists ahroad of imiiosinga tax.for assaying upon each bar, regardless of its"] weight or value, shipjiers of bullion preferring bars of t h e largest dimensions t h a t ' ' can he conveniently handled with "the-view of lessening the assay charge. Very respectfully, ., . J. M. FLOYD, Acting Su2)erintendent. Hon. H. C. B.URCHARI), • . . Director of the Mint, Washington,!).'C. Statementof amountof hullion derived from dej)Osits at the assay-office at New York and mint at Philadel2)hid, used iii'the arts and manufdciures, from July,1,187S, to June'30, 1879. ASSAY-OFFICE A T - N E W YOEK. Gold. Silver. Fiscal year. 1874 1875. 1876 1877 1878 1879 : . . - - : Piate^ &c. Domestic bullion. P l a t e , &c. $230, 000 315, Odo 230, 000 226, 000 202, 000 225, 000 $3,433, 746 4,036, 574 3,114, 888 2,;765, 394 3, 809, 026 2, 901, 844 $74, 000 114, 000 104, 000 153, 000 121, 000 123, 000 $3,'364, 920 3,178,381 2, 859, 014 2, 830, 680 3, 907, 614 4, 482, 975 1,428,000 20, 061, 472 689, 000 20, 563, 384 Domestic buUioB. ME^T- A T P H I L A D E L P H I A . G-old. Fiscai year. P l a t e , &c. 1874'.' •' 1875........ 1876 . 1877.:. 1878'...-.... 187i9 Domestic buUion. $36,761 59 21, 376 49 27, 491 79 . . . . 46, 958' 72 47,789^73 50, 982 00' $1,507 831, 076 12 231, 360 32 2, 583 95 Silver. . United States a n d foreign coin. P l a t e , &c. : D o m e s t i c . N e w Y o r k asbulUon. say-ofl3.ce b a r s . $57,046 79 $171, 843 74 18,261 31 44, 074 54 lO; 028- 22' 23, 572 99 17, 307 13 17, 962 93 13,^964 10 32,785 44 39, 015 82 32,128 88 $17,466 11 103,717 00 22,622 3 1 . 16; 508 90 44, 286 9472, 516' 76 $112,127 56' 1 130, 28lY20vf 39, 857 -18^/ 51, 927 26. f 24, 666 ^88'.• . 20, 968 •:58^f. 155, 623 37 277,118 02 379,828-66-'- 322, 368 52 [NEW YORK, Octoler 28, 1879. DEAR SIR : I am in receipt of your letter of 20th instant, aud should have given prompt reply to your inquiries, h u t liave delayed in order to obtain more reliable ::237 DIRECTOK .OF T H E MINT. information on the subject. We have furnished to manufacturers a large amount of fine silver bars of private refiners without passing through the assay-office. Then there ds a large amount of granulated silver used in the arts, much of which .does not pass throngh said office, amountiug to at least 1,000,000 ounces. Some of the .manufacturers use Mexicau dollars. Our trade and standard dollars are not used now, being. too valuaMe to be melted into bullion. There, have been some of our. assay bars exjiorted, b u t in small amounts, auiounting iu my estimation to about one-half of the silver bars furnished by iirivate refiners for the- arts. I think, from t h e hest .informa. tion I can obtain, t h a t you would be safe in estimating 1,000,000 ounces of fine silver to b e added to t h e report of assay-office, and gold a t least $2,000,000. - I k n o w ^ t h a t some of our largest Jiianufacttirers use only (/oM com, and then our private refineries buy large amounts of gold and gold dust, which they roll into plate, &c., for manu'facturers. . • • ThQ facts, if ever obtained, will show that we areusing §10,000,000. of gold, and silver annually for the arts, &c., in tbis country. . Our ouly consolation is t h a t it aidshin :retaiiiing it here. • Veiy respectfully, yours, PARKER HANDY. Hon. HORATIO C . .BURCHARD, , Director of the Mint, Washington,. D. C. Tahle showing the-annual consunqMon of United States coin, old manufactured articles {in• eluding foreign coin), and domesticJ) ullion, conqriled from returns received in answer to a , circidar letter, of the Director, of-the-Mint wider date of Septemher 10, 1879. • p 'ni Glassies of m a n u f a c t u r e . tp o • J cr. •5 "Watches a n d j e w e l r y "Watch cases Leaf . Plate Chemicals Instruments . '.-.:.. . . 2, 953 1,184 73 • 32 • 38 16 144 59 105 44 193 66 • s • D n i t e d S t a t e s coin. N^on-mani t u r i n g, found, or c business. 7^ 366 11 i43 31 7 20 " 'o 1 • $39,-020 =- 6,.324 2, 620 1,485 130,334 123 ; 953 2,a05 1, 473, 259 179, 906 Total. • D o m e s t i c bullion.. Total gold silver. E o r e i g n coin a n d bullion. -448 . o 818. 1,769 .$1,277,216 -41 146;468 21 .,22 3 39;,400.' 28 85 1,470 37 61 6,520 46 127 2,185 • . 3,506 1,401 . .. . Classe„slof mamifajoture. o 'in j.'o p a t c h e s , and j e w e h y $305, 615 ^ W a t c h cases :.'. 20, 000 Leaf 52,176 Plate 7,800 Chemicals 504 Instruments .". '. 65 $91, 086 - 2, 000 5, 613 22, 500 23, 000 . 40 $2, 771, 386 $406, 415 516, 74380, 682 650,919 23,.482 45, 965 1, 661, 688 4,068 114, 846 1,475 386,160 144,239 3, 989, 081 2, 288, 588 ... ; . . . $4, 354, 217 $536, 521 $4, 890, 738 683, 211 89,006 • "772, 217 . 742,495 ,31,715 774 2J0 55, 235 1, 685, 673 1,740,908 11,092' 268,180 279, 272 2, 250 3,888 1,638 5,848,500 12,612,733 8,461,23r^ :.,:XJ^.^Domfi.st'k,p)Kodii.ction._ , NEVADA BANK OF SiVis' FRANCISCO, • Sa/n Francisco, Gal., ^Se2ytemher.4, 1879. \ SIR : Suhjoinedlbeg tohaiid you the official figures asked, for per your letter of the •27th ult.; ''giving tile j)rod.uction from t h e Bonanza mines for the fiscal year ended June 30, 1879, as well as t h e total ]iroduction" : CONSOLIDATED VIRGINIA. Year ending June 30, 1879 : : Gold..:.............--.. Silver Total i $1,255,793. 18 1,357,197 04 '2^(612,990 2 i 238 R E P O R T ON THE FINANCES. CALIFORNIA. Year ending June 30,1879: Gold Silver 42,165,258 86. 2,053,985 18 Total 4,219,244 04 Total combined product of each mine to and including above: Consolidated Virginia. California.... |62,228,356 10 45,132,079 65 Total bullion product of the Big Bonanza to June 30, 1879.... 107, 360, 435 75 Replyiug to your further question, I beg to say t h a t I am in xiossession of no infor~' ination touching the probable future yield of the mines of Nevada other than what i& contained in the reports of mining superintendents. I remain, yours, truly, LOUIS McLANE, • President. Hon. HORATIO C^^ BURCHARD, Director of the Mint, Washington, D. C. T E R R I T O R Y OF DAKOTA, • • Yankton, August 14, 1879. S I R : Your letter of lhe 28th ultimo, asking for statistics of mineral development^ production of bullion, &c., in Dakota, is received. I aui unable to give accurate statistics or even reliable estimates. The productions ofthe ''Black Hills" do.not come this way, and communication between the " H i l l s " and this place is more difficult, more expensive, and requires more time than hetween this place and New York or Washington. I am inclined to think from all I can learn, making due allowance for wild and exaggerated statements, that the production for the fiscal year ending June 30, 1879, Avas hetween three and four million dollars. It AA^IU probably be doubled the present year, but I haA^e no detailed reliable statisics. I haA^e written to the hanks at DeadAvood, who handle the hullion to a large extent, to collect and transmit to me information on the subject or send directly to you if they prefer it. Very respectfully, your obedient serA^ant, WM. A. HOWARD, Governor. Hon. HORATIO C . BURCHARD, Director Mint, f c . P. S.—Ifl obtain anything I Avill promptly communicate.—W. A. H. F I R S T NATIONAL BANK, Deadwood, Dakota, Aiigust 11,1879. SIR : I have a letter from Hon. Wm. A. Howard requesting me to give yon information regarding the gold product of this country for fiscal year ending June 30, 1879. From actual facts and reliable information, I have placed the gold product of the region known as the " Black Hills" for the period inquired of as $3,000,000. If every ounce of gold could be got at I am sure t h a t this could not be varied one way or the other to the extent of $25,000. • Yours, truly, S. N.^WOOD, Cashier. DIRECTOR OF THE MINT, Washington, D. C. T E R R I T O R Y OF WASHINGTON, E X E C U T I V E DEPARTMENT, Olympia, Aitgust 30, 1879. SIR : In reply to your communication of the 28th ultimo, requesting reliable information of the yield of precious metals from the mines of Washington Territoiy during the last fiscal year, I have the honor to state t h a t I regret t h a t I am unable toj_give you reliable information on this subject. Gold mining only is carried on. Several hundred Chinese are engaged in placer mining on the Columbia RiA-er and its tributaries in the eastern portion of the Territory. The gold taken out by them is sold at Walla Walla, at Portland, and at San. Francisco to brokers, Avho seldom make entries of the ]ilace of production. The average daily amount realized jier man is probably not more than two. or three dollars. During the year placer mining has also been prosecuted to some extent hy citi 239 DIRECTOE OF T H E MINT. zens on the Weenatchie River in Eastern Washington and the Skajit River in Western Washington. Reports are often receiA^ed of nuggets having been found varying in value from $100 to $200. Full reliance cannot he placed upon these reports. Gold, silver, copper, lead, cinnabar, and other ore^s exist in the Cascade and Coast Ranges of Mountains. Gold quartz mining to a limited extent has been engaged in with isbiv results. Puhlic attention has recently been strongly directed to quartz mining, and more interest is manifested in the subject than at any former period. The general opinion is t h a t precious metal:s abound in the mountains referred to, and that the prospecting going on will dcA^elop minerals as rich as those of California, Nevada, or Colorado. Mv estimate of the gold prodnction of the Territory for the past fiscal year is $300,000. I have the honor to he, very respectfully, your obedient servant. E. P. FERRY, Governor. Hon. HORATIO C. BURCHARD, Director of the Mint, Washington, D. C. W E L L S , FARGO & Co., &c., San Francisco, August 5, 1879. DEAR SIR : Noting yours of the. 28th ultimo, the inclosed is but an approximation ^ but probably as nearly correct as we can attain to, for a half-yearly report. Yours, truly, JNO. J. VALENTINE, * General Superintendent. Mr. HORATIO C. BURCHARD,. Director U. S. Mint, Washington, D. C. THE RESOUCES OF CALIFORNIA. We cannot convey a better or more accurate impression of the great resources ot our State than hy the following tables, which ATHI speak for themselves : Statement of the amount of the precious metals produced in the States and Territories west of the Missouri Eiver for the six months from January 1 to June 30, 1879. States and Territories. California Nevada Oregon Washington. Idaho Montana mah Colorado New Mexico. Arizona Dakota Gold dust and BuUion, by .. express. Silver bullion, by express. Ores and base buUion, by freight. $7, 680, 675 55, 916 284,170 27, 479 312, 715 841, 000 201, 302 1, 260, 000 41, 500 98,130 1, 050, 000 $385, 017 9,189, 344 $350, 000 3,125, 000 184, 217 640, 000 1,169, 361 725,000 165, 000 361, 866 110, 000 •550, 000 1, 510, 000 .4, 000, 000 20, 000 450, 000 11, 852, 887 12, 819, 805 Total of gold, silver, and lead. $8, 415, 692' 12, 370, 260' 284,170* 27, 479 606, 9322, 031, 000 2, 880, 663'. 5, 985, 000^ 226, 500909, 996 1, 050, 000 34, 787, 692 Production of gold and silver in the UnitedStates west of tlie Missouri Eivei'. 0 Year. 1870 1871 1872 1873 . . 1874 1875 1876 1877 1878....'.. . 1879 ( J a n u a r y t o J u n e ) Gold. -- - $33, 750, 000 34, 398, 000 38,177, 395 39, 206, 568 38, 466, 488 39, 968,194 42, 886, 935 44, 880, 223 37,576,030 15, 000, 000 SUver. $17, 320, 000 19, 286, 000 19,924, 429 27, 483, 302 29, 699,122 31, 635, 239 . . 39, 292, 924 45, 846,109 37, 248,137 17, 000, 000 Total. $51, 070, 000 53, 684, 000 58,101,824 66 689 860 68,165 610 71, 603 43$ 82,179 856 90, 726, 332 74 8'^4 167 32, 000, OOOt '.240 REPORT ON T H E .FINANCES. T H E U N I T E D STATES ASSAY-OFFICE AT H E L E N A , MONT., October 15, 1879. . -SIR :i In.re spouse to your inquiries about the product of gold and silver of Montana ...for the fiscal year 1879,1 would state t h a t it is my opinion t h a t the yield.of gold from % .placer niining is iiot as large as last year. This is due not to the fact t h a t they have .''been worked.out hut on. ac.QOunt of scarcity of Avater this year. ,Last j^ear the.re.Ayas ..an abundance of water in. all the placer districts from the- 1st of .May uu.til t h e 1st ,pf • September, Av,hile this, year many, of the miners could,not. begin o,perations u n t i l t h e :15th of .May, and were .compelled .to quit by the middle of iAugiist. This, naturally .:. xiutailed the. production. There has been great enterprise shown in this branch of niining by= large,companies reclaiming considerahle tracts of " old Avorked-out". iilacers hy building " bedrock "Aumes. This .has been done in this Territory in the past year AAnth no little success. Similar tracts of " worked-out" placers haye heeUi reclaimed,by soine large companies mining b y t h e " hydraulic" process. By these new and improved methods of placer mining the gold product of Montana is destined to increase rather than decrease in the near future. No UCAA^ placer '' diggings " liaA^e been discoA^ered except those in the J u d i t h Basin. .At present there is a great stampede to this place, but AA^hat the results AAill he, I am.not at present sufficiently informed to A^ouchsafe an opinion. There is one great drawback to placer-mining in this Territory, and that is, many . large capitalists liaA^e^ bought the miners' rights in inany o f t h e placer districts, and have the land patented under United States mining laws. These.tracts now.lie uiiAA^orked, the owners Avaiting for cheaper transportation and cheaper rates of Avages in order to .work them more profitably. As soon as the presence of a raihoad in the Territory will Avarrant cheap rates of transportation, and cheaper wages, all these ^districts noAV idle A^-illbe Avorked and add their product to the world's, stock, of precious metals. The largest single nugget of gold discovered in.this Territory during the past year was deposited in this of&ce on the 29th day of April, 1879, and weighed, as deposited, 47.80 ounces, AA^ith a fineness of 957 in gold, and was entirely free from quartz or dirt, being a solid mass of metal, haAang a A-alue $947.77. This was the largest piece found, though many nuggets A^arying in .AVeight from a half ounce to 28 ounces Avere found. The quartz mining in gold has-shown great and unusiial actiAdty in the past year, a large number of iieAV and A-aluable leads having been discovered. Many new,mills and arastras baA^e heen erected, largely .increasing the product of golcl" from this .sou ree. There is great actiAdty also in prospecting. ScA^eral quite recent rich discoveries haA^e stimulated old prospectors to rencAved exertions, and as a consequence new "finds" are being reported continually. iThe present indications all point to a.raiiid growth o f t h e quartz-mining'-interests of Montana. ••There is no doubt but t h a t this country Jls A^ery^superfiGially--prospected,-and-even-dis60vered-mines-haye-hu-t'a. sniall^rfracU pf,the. development .that ithe.quartz leads .of Nevada, Colorado, or even those of the 'Black .Hills,have. ' 'V . . The increased yield-of gold from quartz has more than OA^erbalanced the loss in the ...placjer.yield this year, making-tlie_total product of.gold-of^Montanain 1879 larger..tha.n ^ last year. • The,main range,of the Roeky: ,Monnt.ains'<.has,' as in other parts of America,;.ppened • j i p ricii leads of goid-beariiig quartz, .in ;this: Territory. The "Stempel .districty-near Helena, immediajtely upon, the .summit pr»'diy-ide of these mountains, embraces a layge tract of country,, and the most,;remarkable yeiiis of quartz have been discovered'liVe -in the past year or so. Thisi,district, out .of ,;many similar ones in Montana, .shpAvs jthe . greatest iirogression, more stamps and arastras haAdng .been erected in t h e p a s t year • t h a n in any' other- one place. SiNer-quartz mining has shown AA^onderful,development in the past year. .Mining ..for this metaLh.asJi.een neglected in times^past'in .the great'eagerness for gold. "There ; is noAA^ a disiiosition-to give silver mining.ihe. attention it deserA^es, and with good results. The silYer.pro.duct has.greatlyihciieasedthis year,JMugh the.gr^atest.activity is confined to one camp, B u t t e ; here maiwelonsly rich mines are located and producing great quantities of silver hullipn. ^•,Phillips]:?nrg.and Glendale^^,newer camps, are opening np finely, and the presence of rich prospects leads me to expect ere loiigJ_arge returns from these places. In Jefferson County UCAV leads of sih^er-orehaA^e been "discovered this fall, Avhich haA^e- assayed very rich. The erection bf smelters in Butte, and Avickes in Jefferson County have utilized and brought-into demand-the-pooi-er and baser silver-o.res,..AA^hich have .heretofore had bnt little A-alue, if not quite worthless, OAAdng to thehigh^rat'esof ti\ansportation charged.to carry'tTi.em'to'.easter^^^ From inquiries, made and:'information gathered in A^arious Avays throughout-;this • Territory, I am o f t h e opinion l}hat the yield of gold and silver of Montana fdr the year , ending J u n e 80, -1879, was as-follows, viz : Gold |2,500,.000 . Sijlvpr . ; . . . , . ; . - ^ . „ . . ' , . . ^ . , . .1 -^,22^,000 Total.... , 4,725,000 241 DIRECTOK OP T H E MINT. The^e figures I deem as nearly correct as i t is possible to ohtain them. The estimates of the probable yield of gold and silver in Montana in your last report for the fiscaP year ending June 30, 1879, I consider somewhat higher than the yield has since proven to he. The estimates for the coming ;^ear I would place as follows, Adz: Gold $3,000,000 to |3,225,000 Silver 3,000,000 to 3,500,000 The folio Aving is the statement o f t h e production of gold and silver in - Montana h y counties as dejiosited in this office in 1879, during the last six months of the fiscal yeair.: Gold, Aveigbt. Couuty. ]3eaver Heads Clioteau Gnster Deer liOdiie Gallatiu . . Jefferson liCWis and Clarke . . ... Ounces. 40.15 Meagher Missoula. 1.38 1,703.59 -260.08 1, 071. 04 5, 912. 76 1, 007. 59 573.14 43.32 Total 10, 613, 05 j..... TVfflidi.qnu. Silver, Aveight. ^Value. Value. Ounces. $22 59 25 30,208 4,713 18, 702 92, 733 16, 309 10, 245 858 82 71 92 37 12 45 55 10 173, 819 63 158, 291.10 $159,457 39 1, 471. 00 1,198 29 159,762.10- 160. 655 68 It is thus shown hy the foregoing statement t h a t every county hut Choteau in Montana iiroduces gold or silver, and quite recently I haA'-e assayed samples of silver ore from the Bear P a w Mountains in Choteau County which have all shoAvn more or less of this metal. On the Avhole, I consider the gold and sih-er mining interests on a secure and substantial hasis, and think t h a t coming years will see many thousands of dollars added to the AA^oiid's wealth taken out of old mother earth in this young and thriAdng Territory. ^ ' . . . . . ... Very respectfully, R. B. HARRISON, Assayer in Charge. Plon. H. C. BURCHARD, Director of the Mint, Washington, D. C. M I N T OF T H E U N I T E D STATES AT CARSON, Supeiintendent^s Office, Septembei' 3, 1879. SIR: I transmit herewith an official reiiort of the gross yield of the mines of this State dnring t h e fiscal year ended J u n e 30,1879: During the year 1877-'78 the gross yield was . . |47,676,863 83 During the year 1878-'79. ......" 19,305,473 97 ShOAAdng a decrease in production of ... 28, 371, 389 86 The present outlook, however, is t h a t t h e product will he greatly increased dnring the current year. Very respectfully, JAMES CRAWFORD, Superintendent. Hon. H. C. BURCHARD, Director of the Mint. 16 F 242 REPORT ON THE FINANCES. Gross yield of the mines, State of Nevada, for the year ending June 30, 1879. Quantity extracted. Mines. Gross value. Tons. ELKO COUNTY. Argenta Bene Isle Grrand P r i z e . . . Hussey Independence . Leopard Navajo . . . Total. Ahda Black "Warrior -. Central MiU Crovming Glory. EndpAvment Indian Queen ISrortbern BeUe. McMasters Montezuma Vanderbilt "Wasson "Wheeler Wilson. - Pounds. E S M E K A L D A COUNTY. 750 1,000 16, 345. 725 257 36 75 194 1,044 931 17,306 204 286 1,026 2,451 1,495 1,970 Total. 1,500 " 'i,'459' 943 720 777 966 165 1,900 27, 279 EUllEKA COUNTY. Altoona Alexandria... Atlas Austin Bald Eagle ... Blackburn... BullAvhacker . Banner Connelly Cubnce Cloud. Eureka Consohdated . Eldorado Eldorado No. 2 Ebse . Eourth of July Foley Garrison, Geddes and Bertrand. -• Grant : General Lee Hoosac Hamburg Home Ticket Hunt &Co Inca. Jackson K. K. Consohdated Kentuck • Lancaster Lone Pine Louisville Metamoras 'Mag-net Maria Monroe Mountain Queen Mountain Boy Morning Star Mtueral Hill Manufacturing Company. Mortimer Macon City Needle NcAvark Oakland P aui P r y Pioneer .• 1,544 430 4,210 183 6,554 2,414 i;009 13 .77 67 7 102 2 84 203 568 1 2 980 1,335 250 598 395 231 1,174 657 585 1,150 1,264 8,150 -.. *- - 89 13 21 252 2 856 31 73 2 75 671 647 1,724 1, 617 . 750 256 1, 227 167 1,536 1,370 1,181 1,665 144 1 2 870 544 12 2,651 1,960 1,754 1, 591 373 8 1 1 1 39 4 1 1 1 9 3 563 18 44 3 11 *6 54 20 635 921 1,990 772 1,360 187 391 268 417 1,214 840 930 390 387 1,125 1,086- 937 DIRECTOR OF THE MINT. 243 G^'088 yield of the niines, State of Nevada, fm' the year ending June 30, 1879—Contmued. Quantity extracted. Mines. Gross value. Tons. EUKEKA Plwjenix Pinto Hacine COUNTY—Continued. ....... Kocky Point Silver K i n g S i l v e r "West Silver G a t e . . . Silver C o n n e r San J o s e Sterliug SnowElake Silver L i c k Valentine • AVilliam 8 buro' AVinaU " W i d e "West •Williams W^hite P i n e Pounds. - ... . --- ... . - .. - .- . . . . . . 692 5 1 • 30, 788 ,2 . 15 ' 3 18 312 12 1 6 108 2 6 22 69 • 3 5 198 2 118, 501 Total . 240 688 1,168 1, 702 614 100 645 1, 207 1, 980 693 251 • 411 1, 428 870 213 1, 529 1,684 1, 950 938 1, 211 90S 805 $25, 111 385 95 1 070 628 131 451 85 3, 067 15, 055 692 76 163 4, 534 M5 231 946 1, 597 268 510 22,410 328 63 86 93 92 18 50 05' 74 49 12 80 17 18 39 20 04 ]3 20 04 70 85 4, 233, 000 23 HUMBOLDT COUNTY. AriyoTia, tailinJTS Fair Pla V TotixX Ar^euta Bedford Cooper LANDER COUNTY. "T - • GundrV & C o Manhattan McEarnalian McEee TyTcCflnii Patriot S i l v e r "Wedce St>iiT*r Jir Crvnvf^' "Ward T l i o m a s AV^allaiCft fTospuli ". - - . - -. .' LINCOLN .COUNTY. •- T)a,v Heniss 1, 421 800 16,122 379 •251,310 86 1 574 1,756 992 1, 778 626 1, 708 80 1558 212 699 1, 7.50 1, 476 280 256 1, 512 1, 810 1, 726 1,728 1, 312 1, 772 452 70 660 1, 228 57 667 26 3, 658 10 1.5, 383 99 554 18 33,138 02 2, 325 08 7, 010 66 3, 323 47 2, 293 17 518, 667 25 2, 748 94 1,157 54 1, 541 78 8, 222 43 3, 923 38 732 67 4, 647 60 1,140 80 143, 370 77 55,353 43 930 00 5, 382 02 4, 463 22 1, 787 821, 864 33 625 3, 390 55 1, 470 83 477 21 ' 655 50 576 75 298, 345 .84 3,197 24 5, 976 50 47,178 68 109, 674 23 627 80 16 30 2 102 7 23 11 13 4,048 5 4 5 18 7 12 . 4 3, 399 128 1 10 12 7, 867 'Xotal BoAvei-y 4,647 9,530 756 110 . 854 224 - -• Meadow Valley Mazeppa - " tailings:. • 30 • 150 4 21 27 8,393 15 1 29 1 2, 322 ' 14, 363 15' 158 1, 779 790 707 796 462 1,237 • 1, 587 1,400 1,190 70.189 4],322 23, 557 3,101 107,185 5, 955 00 00 52 50 84 00 244 REPORT ON T H E FINANCES. Gross yield of ihe mines. State of Nevada, for ihe year ending June 30, 1879—Continued. I Quantity extracted. I Mines. I Gross v a l u e . i Pounds. ! Tons, n>".,;'-'g^||a; LixVCOuN Cou^iTY-• C o n t i n u e d . N e v a d a and Arizona Newark •, Pioclie Paymoiid & Ely Eaymond & Ely Techatticup Unknown Willott , ff" .Total. 122 434 I 908 "i 7 3,403 17, 571 328 I 127 tailings. 46, 942 • 574 1, 559 ; 16 i 1, 871 $8, 753 21 142 76 • 750 79 202, 868 92 86,178 17 22, 931 42 15, 072 44 104 27 '8,373 11 LYON COUNTY. E x c e l s i o r mill L y o n mill Pacific mill U n i o n miU t ' Woodwortli. mill tailings. do.. . do... do... do... : 1,735 49,860 5, 315 46,800 ' 6, 090 I ^i:otal 4, 950 212, 500 56, 570 146, 942 90, 635 109, SOO ' 00 54 32 45 95 511, 599 26 NYE COUNTY. Alexaiidiia A.rgent Alexander BekuoTi t Dowuev Eldorado Gila --.. Higlibiidge • .Illinois. .^ Tybo Q. G. a n d Bunlcei.' H i l l . 1,135 •440 ••77 177 1, 075 1, 000 53 100 1,170 881 9, 9B9 5, 490 Total f 200 i 603 400 370 21,461; 5.5,000 00 32, 608 00 6, 500" 00 51, 591 63 35, 000 00 6. 000 00 8, 573 64 90, 928 65 65. 297 64 263. 453 03 134, 784 78 1, 540 I 749, 737 37 .! 110, 350 54 42, 700 41 • 71.134 50 20, 477 75 133,100 67 54, 717 61 26, 206 76 OKM.SBY COUNTY. .tailing BrimsAviclv m i l l Mexican mill Mo.i'gan uiilll iiSlievada m i l l Pacific uiill Bantiago mill tJiiiou. mill i j i I I j : T( al. 9, 974 :. 9,800 . 6, .180 •-. 6,620 •12,411 i15,611 ;. 6.757 i: 67,353 , 6T0KEY A n d e s .• CalifoiTiia Cliollai- P o t o s i -^ Consolidated Virginia Consolidated I m p e r i a l Imperial Justice Ophir Silyer HiU Sierra N e v a d a Trojan ' E x p r e s s loill B o s s e l l B r o s , mill M a r i i x i s a luill .-..I 464,688 24 COUNTY. ' - - -' *- , .: Omega mill tailings.. do do do — Total : 720 • S9,285 1,020 60.403 ' 9, 279 3,431 ; 2,259 : 11,166 , 552 1,800 ' 4, 4.53 1,105 757 10, 316 44,788 • ; 241, 335 • 1,300 300 100 12, 240 00 .459,2.16 12 14,709 29 !, 612, 990 22 120, 812 30 40, 258 50 21, 791 92 792, 516 53 4, 509 92 110, 412 67 67, 578 75 9, 968 45 8, 469 00 127,191 14 422, 297 03 400 ; ^, 824, 961 : W H I T E L'lNE COUNTY. Eberliardt & Auro "Eagle So O r e s c e n t .Exchan ue Eair-play Lookout M o u n t a i n Queen .. Paymaster , '.^,ueeu istar Stafioi-d Total. 7, 072 313 400 8 55 4 5. 395 25 4. 686 39 18,001 1, 549 1,000 I ' ' ' ' 1,000 ! ' 1,188'' 1, .500 106 78, 815 3, 024 16, 000 1, .577 5,277 1, 082 247, 499 3, 946 325, 957 3,184 62 72 00 36 13" 00 42 00 17 44 686, 363 86 245 DIRECTOR OF T H E MINT. Gross yield of the mines. State of Nevada, for the year ending June 30,1879—Continued. PvECAPITULATION. . Quantity extracted. Gross value. Tons. Elko Esmeralda Eureka Humboldt Lander Lincoln . Lyon :Nye Omisbv Storey White Pine Grand total .. . - Pounds. 16, 345 27,279 118, 501 16,122 7,867 46, 942 109, 800 21,461 67, 353 241,335 18, 001 725 .. 430 805 379 1,787 1,871 691, OIO 255 1,540 400 218 $994, 882 78 958, 692 09 4, 233, 000 23251, 310 86 821, 864 33 808,373 11 511, 599 26 749, 737 37 464, 688 24 8, 824, 961 84 686, 363 86 19, 305, 473 97 STATE CONTROLLER'S O F F I C E , Carson, Nev., August 28, 1879, I hereby certify t h a t the foregoing is a full, true, and correct statement of the yield of the niines of the State of Nevada for the year commencing July 1, 1878, and ending J u n e 30, 1879, as compiled from the quarterly reports of several county auditors, . filed in this department. Witness iny hand and seal of of&ce this 28th day of August, 1879. [SEAL.] J. F. HALLOCK. State Controlle}', By WM. B. DAUGHERTY, Deputy,. 4ai REPOET OF THE FIRST COMPTROLLER. REPORT OF THE FIRST COMPTROLLER TREASURY DEPARTMENT, F I R S T COMPTROLLER'S O F F I C E , Washiiigtonj D. C, November 8, 1879. SIR : In compliiance with the request contained in your letter of September 11, 1879, I have the honor to subinit the following report. The transactions of this ofiice during the fiscal year which ended June 30,^ 1879, Avill be first presented. The following warrants were received, examined, countersigned, entered into blotters and posted into ledgers under their proper heads of appropriations: Kind. Numbei'. Auiount covered tberebv. APPROPRIATION. Treasury proper Pubhc debt Diplomatic and consular Customs Internal revenne Interior—Civil Interior—Indians and pensions. War Navy $42, 646, 210 61 SQ4, 773,758 16 1, 087, 535 oa 22. 959, 970 49 4; 453, 244 33 5, 921, 904 28 44, 554, 572 85 45, 031, 016 51 14, 645, 137 64 i, 073, 349 87 ACCOUNTABLE AND SETTLEMENT. Treasury proper Public debt Quarterly salaries Diplomatic and consular.'. Customs . '..... Internal revenue Jn'diciary Interior—Civil Interior—Indians and pensions . War Nav^"^ 3, 225 1,42 1, 386 2,596 4, 971 4,646 3,'031 2, 295 3, 381 8,708 2, 240 Customs Internal revenue Public lands Miscellaneous revenue Interior repay—Indians and pensions . War repay Navy repay Miscellaneous repay 36, 621 ;6, 667, 755 47 1,407 1, 684 990 7,142 597 1,455 416 2, 006 $137, 250, 047 70 113, 561, 630 58 924, 781 06 22, 090, 745 12 2,185, 928 36 1, 809, 917 59 10, 745, 987 14 4, 875, 587 53 15, 697 Total. $29, 507,537 02 707, 009,732 31 400, 962 03 6, 880,928 53: 19, 792,365 20 4, 425,485 80 3, 578,063 75 4, 552,469 39 42, 513,519 84 42, 235,578 22 25, 771,113 38 $293, 444, 625 08$2,166,185, 730. 42 . 2-50 REPORT ON T H E FINANCES. . Accounts have'been received from the auditing ofl3.ces, revised, recorded, and certified to the Eegister of the ITreasury, as follows: Number. Amount involved. Kind. FROM T H E FIRST AUDITOI!. 1. Judiciary. . ' Embracing accounts of United States marshals for their- fees and expenses of United States courts, and accounts of IJnited States district attorneys, IJnited States couimissioners, and clerics of United States courts '..- 2,932 2. Public DebtEmbracing accounts of the United States Treasurer and Assistant Treasurers for the redemption of United States called bonds and United States notes, and for the paynient of interest on the public debt , 3. Puhlic Buildings. Embracing accounts for the construction of pubhc buildings throughout the United States; accounts of the Geological, Geographical, a^nd Coast Surveys; accounts in relation to charitable iu stitutions and puldic buildings and grounds in the District ot Columbia; accounts for the Smithsonian Institution and museums; for the United States Fish Commission ; for incidental expenses of the Patent Office; for repairs of the Capitol and imxirovement of the Cajiitol grouuds *$3, 000, 000 00 412,134, 596 ! 434 ••^•4, 500, 000 00 4. Steamboat. Accounts for salaries aud incidejital expeuses of iuspectoi's of hulls and boilers 1 5. Territorial. Accounts for salaries of Territorial officers and for the legislative and contingent expenses incidental to the government of the Territories 6. Mint and Assay. Acconnts for gold, silver, and iiickel coinage; for bullion; for salaries of the officers and emi)loy6s of the several mints, and for the general expenses of the same...'. " Bullion deposits and transfers *208, 000 00 279 1, 621, 842 23 137, 222, 205 86 7. Express. Accounts for the transportation of gold and silver coin and buUion, minor and base coins. United States currency, national-bank notes, complete and incomplete coin certificates, registered and coupon bonds, mutilated currency, canceled and incomplete securities, national-bank notes for redemption, stamp paper, stationery, boxes, parcels, &c 202, 429 82 8. Gongressional. , ^ ' Accounts for salaries of the officers and einploy6s and for contingent and other expenses of the United States Senate and House of E(;presentatives '. 939, 816 44 9. Outstanding Jjiabilities. Arising from checks which have been covered back into the Treasury, the payment of Avhicli has been demanded '... 28, 402 82 10. JPublic Printing. Accounts of the Public Printer for the salaries and wages of the emI)loy6s ofthe Government Printing Office, for the purchase of materials lor printing, ami for contingent expenses of the Governmeni; Printing Office 1, 700 13» 11. Treasurer's General Accounts. Quarterly accouuts of theUnited States Treasurer for receipts and . expenditures, including receipts hom all sources covered into the Treasury, and all payments made from the Treasury 1, 369, 625, 515 19 12. Assistant Treasurers' Accounts. Accounts of the several assistant treasurers of the United States for the salaries of their employes and the incidental expenses of their offices 13. Sinking Fund. Accounts with the sinking-fund commissioners of the District of Columbia for redemption of District bonds and interest thereon '. *Approximate amourit. 75 341, m 26 251 FIRST COMPTROLLER. Kind. Number. A m o u n t involved. 14. Miscellaneous. Such, a s a c c o u n t s w i t h t h e d i s b u r s i u g officers of t h e E.'cecutive D e p a r t m e n t s for salaries of officers a n d euiploy6s a n d c o n t i n g e n t e x p e n s e s of t h e s a m e ; a c c o u n t s for salaries of S e n a t o r s a n d E e p r e s e n t a t i y e s i n Cong r e s s ; for salaries o.f t h e j u d g e s of t h e U n i t e d S t a t e s S u p r e m e C o u r t , t l n i t e d S t a t e s c i r c u i t a n d d i s t r i c t j u d g e s , d i s t r i c t attoiTieys, a n d mar-_ s h a l s ; foj? salaries a n d c o n t i n g e n t e x p e n s e s of ,the N a t i o n a l B o a r d of H e a l t h , (fee : -- T o t a l froui Eir.st A u d i t o r 2,417 *$20, 000, 000 00 8,169 $1, 950, 919, 625 28 FROM T H E FIF.I.M AUJ;>ITOR. 15. I n t e r n a l Jlavenue. A c c o u n t s of collectoi'S of i n t e r n a l i-cvenuc S a m e a c t i n g as d i s b u r s i n g a g e n t s A c c o u n t s of i n t e i n a l - r e v e n u e .stam]i a g e u t s A c c o u n t s of i u t e r i u i l - r e v e n u e a s s e s s o r s • • Miscellaneous internal-revenue accounts, such as direct-tax accounts w i t h commissioners a n d Avith. t h e S t a t e s ; six dilferent m o n t h l y a c c o u n t s w i t h t h e C o m m i s s i o n e r of I n t e r n a l E e v e n u e for r e v e n u e s t a m p s ; a c c o u n t s with, t h e d i s b u r s i n g c l e r k of t h e T r e a s u r y D e i j a r t m e n t for salaries i n t h e office of t h e Coinmissioner of I n t e r n a l E e v e n u e , a n d for t h e paym e n t of i n t e r n a l - r e v e n u e g u a g e r s ; with, t h e S e c r e t a r y of t h e T r e a s u r y j for fines, p e n a l t i e s , a n d forfeitui-es; w i t h tlie T r e a s u r y D e p a r t m e n t for s t a t i o n e r y ; w i t h r e v e u u e a g e n t s a n d d i s t i l l e r y s u r v e y o r s ; di-awback { a c c o u n t s ' ; a c c o u n t s for r e f u n d i n g t a x e s illegaliy c o l l e c t e d ; for t h e re- i d e m p t i o n of intei'iial-roveiuie stamj^s: for e x p e n s e s of d e t e c t i n g a n d { s u p p r e s s i n g Aiolatious of i n t e i n a l - i e v e n n o . laws, i n c l n d i n g r e w a r d s i therefor, &c • " i 579 1,005 323 45 4,459 0 16. .'Diplomatic a n d Consular. $681, 034, 329 •. A c c o u n t s for s a l a r i e s of consuls a n d c o m m e r c i a l a g e u t s ; A c c o u n t s for s a l a i i e s of m i n i s t e r s a n d c h a r g e s d'affaires ' A c c o u u t s for s a l a r i e s of i n t e r p r e t e r s i A c c o u u t s for s a l a r i e s of s e c r e t a r i e s to Ligations \ j A c c o u n t s for salaries of m a r s h a l s of c o n s u l a r c o u r t s '• A c c o u n t s for t h e I'eliof a n d p r o t e c t i o n of Amorioari. seamen. A c c o u n t s for c o n t i n g e n t e x p e n s e s of l e g a t i o n s a n d c o n s u l a t e s .'. A c c o u n t s of U n i t e d S t a t e s hanlcers i n L o n d o n A c c o u n t s for p r i s o n s i n C h i n a a n d J a p a n A c c o u u t s for salaries a n d e x p e n s e s ot m i x e d c o m m i s s i o n s A c c o u n t s of t h e d i s b u r s i n g cleric D e p a r t n i e n t of S t a t e for iniscellaneous diplomatic expenses ." M i s c e l l a u e o u s dii>loraatic a c c o n n t s 1, 017 119 • 74 -• 47 20 713 441 54 • 41 14 43 , 345, 848 29 17. A d a m s E x p r e s s . A c c o u n t s for t h e t r a n s p o r t a t i o n of i n t e r n a l - r e v e n u e m o n e y s t o t h e subt r e a s u r i e s ' a n d <lesignated d e p o s i t a r i e s a n d for tlie t r a n s p o r t a t i o n of .stationery, tfec., t o internal-reA'enue officers T o t a l frorii Eiftli A u d i t o r . 40 7,091 4, 858 50 $687, 385, 036 30 FROM T H E COMMISSIONER OF T H E GENERAL LAND OFFICE. 18. P u b l i c L a n d s . 500 A c c o u n t s of surA^eyors-geneiiil a n d tlie om]iloyes in t h e i r offices ' A c c o u n t s of dexiuty suxveyor.s A c c o u n t s of receivei-s of p u b l i c m o n e y s A c c o u n t s of sajue a c t i n g as d i s b u r s i n g a g e n t s . . . , A c c o u n t s for th'e r e p a y m e n t of pui.'cliase-money p a i d for l a n d s e r r o n e o u s l y sold "'. ".. A c c o u n t s of t i m b e r a g e n t s , A c c o u n t s of r e g i s t e r s of local l a n d oifices M i s c e l l a n e o u s a c c o u n t s , s u c h as a c c o u n t s with, t h e s e v e r a l S t a t e s for ind e m n i t y for s w a m p a n d overflowed l a n d s e r r o n e o u s l y sold, a n d for 2 p e r cent., 3 p e r cent., a n d 5 p e r cent, n p o n t h e p r o c e e d s of t h e sale of p u b l i c l a n d s ; a c c o u n t s of s u r v e y o r s - g e n e r a l for c o n t i n g e n t e x p e n s e s of t h e i r offices: a c c o u n t s w i t h t h e K a n s a s , DeuA^er, C e n t r a l , N o r t h e r n , a n d U n i o n Pacific E a i k o a d s for t h e t r a n s p o r t a t i o n , of special a g e n t s of t h e • G e n e r a l L a n d Office; a c c o u n t s for p r i n t i n g a n d s t a t i o n e r y f u r n i s h e d t h e s e v e r a l s u r v e y o r s - g e n e r a l , r e g i s t e r s , a n d receiA^ers ; a c c o u n t s of special a g e n t s of t h e I n t e r i o r D e p a i ' t m e n t ; a c c o u n t s for t h e t r a u s p o r t a t i o n of p u b l i c m o n e y s from t h e local l a n d offices to d e s i g n a t e d d e p o s i t a r i e s ; a c c o u n t s for s a l a r i e s a n d i n c i d e n t a l e x p e n s e s of a g e n t s e m p l o y e d t o e x a m i n e a n d v e r i f y p u b l i c suiweys, a n d for t h e r e t u r n of d e p o s i t s i n e x c e s s of t h e a m o u n t r e q n i r e d for t h e s u i w e y of p r i v a t e l a n d claims, & c . . T o t a l from C o m m i s s i o n e r of G e n e r a l L a n d Office * Approximate amount. ^:99 405 422 178 17 15 329 *5, 200, 000 00 $5, 200, 000 o<a 252 REPORT ON T H E FINANCES. EECAPITULATION. Number. Erom— Eifth Auditor C o m m i s s i o n e r of t h e (Greneral .Land Ofiice i Total V o u c h e r s . A m o u n t iiiA'olved. 8,169 7, 091 2, 365 5, 920, 254 173,^636 11, 575 $1, 950, 919, 625 28 687, 385, 036 30 5, 200, OOQ 00 17, 625 6,105,465 $2, 643, 504, 661 58 Eequisitions have deen examined and advances thereon recommended asfolloios : Internal Revenue...' Diplomatic and Consular Judiciary Public Buildings Mint and Assay Assistant Treasurers District o.f Columbia Territorial Public Printing : Miscellaneous - '.. : - -: 1, 5:24 1,178 404 192 147 104 64 bl .' ' , 240 Total 3,930 Transcripts of acconnts transmitted to the Solicitor ofthe Treastiry for suit thereon : Collectors of interual revenue United States' inarslials Receivers of public moneys Internal-revenue stamp agents Disbursing agents United States couvsuls -. 9 6 4 .3 1 1 .' Total 24 Official letters written *- - -. -. - -, .Letters receiA^ed, brieted, and registered Powers of attorney recorded , Miscellaneous contracts and bonds recorded • Collectors' tax-Hst receipts recorded, sclieduled, and referred Orders for special allowances to collectors of internal revenue recorded, uled, and referred ,. Internal-re veiiue speciail tax-stamp.books counted and eertiiied.... Internal-revenue tobacco-stamxi books InternaJ-revenue spirit-stamp books .; Pages copied Copies of accounts made, comiiared, and transmitted: Internal revenue °. Publiciands . 12, 304 4,617 2, 065 1,140 1, 499 sched280 5, 333 6,11.5 7,164 • 18,612 4,221 : 1, 644 146 1,790 Tlie foregO-iBg statement oiuits mention of a great deal of labor which cannot easily be reported, but which has required much time and care, such as the examination of, and decision upon, all api3lications for the issuing of duplicate bonds and other securities in place of securities lost or destroyed 5 the examination of powers of attorney for the collection of money due to creditors of the TJnited States; decisions upon the right of persons claiming to be executors, administrators, or heirs of deceased claimants, to receive money due from the United States to said dece FIRST 253 COMPTROLLER. dents; the examination, registry, and filing of official bonds; tire exami:. nation of a large number of claims of workingmen in the District of' Columbia, filed under the act of Gongress approved June 20, 1878; the copying of letters forwarded; answering calls for information made by Congress, the Departments, and private persons ] the examination of legal points arising in the adjustmeut of accounts, and other work of a miscellaneous character. The following comparative statement of the work performed during this and the last fiscal j^ear will indicate the rate of annual iucrease in ' tlie business of this officC': Accounts. Judiciary Public debt, outstauding liabilities, and assistant tieasuiers '. Steamboat Territorial , Mint and. assay •... Exi:)ress ' Cougressional Public printing Treasurer's general Sinking funcl Misceiraneous (iiicluding x:)iiblic buildings) Internal reA'enue X ' Diplomatic and consular Public lands Totals. Warrants Official letters Interaal-revenue stamp books counted and certified Eequisitions ,Miscellaneous Avork, tax-list receipts, copies of reports, suits instituted, special alloAv^ances, &.o .. - 543 704 270 208 215 145 96 4 43 104 13 71 4 19 3 2, 536 4,145 2, 395 2, 451 586 808 283 . 279 219 164 99 4 4 2, 851 4, 459 2, 592 2, 365 16, 425 17, 625 1, 286 44, 846 10, 599 17,835 3,585 52, 46212, 304 18, 612 3,930 7,- 616 1,705 777 345 - 4 315 314 197 86 86 1,209 3, 714 20, 2.53 16, .539 ASSIGNMENT OF CLAIMS. By a statute enacted in 1853, the substance of which has been inserted in the Eevised Statutes, it was declared that all transfers and assignments made of any claim upon the United States, or of any part or share thereof, or interest therein, whether absolute or conditional, and whatever might be the consideration therefor j should be absolutely null and void, unless they were freely made and executed in the presence of at least two attesting witnesses, after the allowance of such a claim, the ascertainment of the amount due, and the issuing of a warrant for the pa^^ment thereof. In the same year a circular was issued by Mr. Oomptroller Whittlesey defining the term " claim" as emploj^ed in the clause above recited. The circular instanced many examples of what might be regarded claims, and Avhat would not be regarded such within the meaning of the statute, and summed up ^vith the conclusion that ordinary debts and accounts against the government which had been legally contracted and never disputed, are not claims within the meaning of this statute, and that the statute applies only to uncertain damages and losses, extra allowances, pensions, equitable demands, claims for the correction of alleged errors, claims for a return or repayment of duties, iteins of account which have been rejected, or afe disputed, and such classes of cases as in Con- 254 REPORT OJSI THE FINANCES. gress are usually referred to the Committee oii Claims, and to committees other than the Committee of Ways and lleans. The term • claim was thus held, not to have been euiployed in its most comprehensive sense. The construction thus given to the statute has been steadily maintained iu the Treasury Department for more than twenty- .five years. In tlie case of the United States vs. Gillis. decided at the October term of the Supreme Court of the United States, 1877, that learned court said that the Avords of this statute '' embrace every claim against the United States, however arising, of whatever nature it niay be, and wherever and whenever presented " (95 U. S., 407). And in the later case of Spofford vs. Kirk, decided at the October term, 1878 (97 U. S., 484), that court, referring to the same statute, soid: . ' It would seem to be impossible to uso laiUgLiMge more compreliensiA'e tban tbis. I t embraces alike legal aaid e(xuitab].e assignments. I t inclu<les poAvers of attorney, orders, or other antliorities for receiving pa.yment of any "such claim, or any part or share thereof. I t strikes at every deri vatjive interest-;, in Avliatever form acquired, and incapacitates CA^ery claimant upon t h e government from crea,ting aai interest in t h e claim in any other tl;i.an himself. It i3 proper to state tliat the right of action in the first-mentioned case was founded on an assignment of a claim to recover the proceeds of cotton seized under the Abandoned and Captured Property Act of March 12,1863, andthe second upon an assignment of a claim against the United States for supi3lies furnished to the Army during the war of the rebellion, and that neither claim, therefqre, was tor a sum liquidated and unchallenged; so that, in case of a suit upon an assignment of a demand of the latter character, it is possible that that learned court might not feel authoritatively bound by the comprehensive language einployed in the two cases above cited. The inconveniences that would be felt from a construction of this statute Avhich would give to the term, claim a signification as broad as the terDi demand would be A^ery great. Illustrations of these inconveniences would too much lengthen this report. They are detailed at length in the circular of "Mr. Whittlesey. The cases above cited have occasioned much anxiety to the accounting officers. I think the attention of Congress ought to be called to the statute, and that it ought to be invited to define the term claim in such manner as, while perhaps limiting it a little more closely than has been the practice of the Treasury, Avould not leave it so comprehensiAT^e as to embrace CA^ery demand against the United States. LOST AND DESTROYED BONDS. Section 3702 of the Eevised Statutes enacts that Avhenever it appears to the Secretary of the Treasury, by clear and unequiA^ocal proof, that any interest-bearing bond of the United States has, Avithout bad faith upon the part ofthe OAvner, been destroyed Avholly or in part, or so defaced as to impair its A-alue to the owner, and the bond is identified by number and description, the Secretary shall, under such regulations and with such restrictions as to time and retention for security or otherAvise, as he m?ij prescribe, issue a duplicate thereof, &c.; or, if the bonds have been called in for redemption, instead of issuing a duplicate, it shall be paid. The next section enacts that the OAvner shall file in the Treasury a'bond, in a sum prescribed, Avith tAvo good and sufficient sureties, residents of the United States, to be approA^ed by the Secretary, Avith con- ' dition to indemnify and save harmless the United States from any claim upon such destroyed or defaced bond. FIRST COMPTROLLER. 255 Applications for duplicates, or ibr the redemption of such bonds, are referred, under regulations prescribed by the Secretary of the Treasury, to the First Comptroller, to be decided upon by him. I t Avill be perceived that bonds payable to bearer come within the terms of this statute ] and the practice has been to issue duplicates for, or to redeem, bonds of this character alleged to have been destroyed, upon CAadence furnished by affidavits taken before certain prescribed officers of the United States. The redemption of such bonds and the issuing of duplicates have alwa^^s.been refused until after the lapse of six months from .the filing of an application; but even with this precauticn the statute is fraught Avith great danger to the Tre'asury. In practice it has been found that in fully half the cases Avhere evidence has been offered to establish the fact of destruction, the bonds haA'C not been destroyed, but haA^e passed either b}^ theft or collusion into the hands of other holders. When a bond of this kind is lost or stolen, the owner who lias been deprived of. it is apt soon to persuade himself that it has been destroyed, as only, in case of its having been destroyed can he entertain, reasonable hope of CA^er receiving payment. Instances , also have occurred of persons offering most impressiA^e evidence of the destruction of bonds alleged to haA^e been owned by them, Avho, subsequent CA^ents haA^e shoAvn, had no title to them whatever. Great Adgilance has been practiced by the Treasury by the iuA^ocation, eA^^en Avhen A^ery slight doubt has been excited, of the aid ofthe secret-serAdce division; ^ but it is belicA^ed that no vigilance can be sufficient to guard against the ingenious uiethods by Avhich. fraudulent applications may occasionally be made successful. If no radical change is made in the existing statute, authority ouglit at least to be given to require more than two sureties to the bond of indemnity. Indeed in cases as well of registered bond.s as bonds payable to bearer, this authorit^^ ought to be conferred. DISBURSING CLERKS. All disbursing oificers of the departments are required by laAv to give bonds. In the cases of the clerks in the several departments appointed tb disburse moneys, the penalties of the bonds are usually small in amount compared with the sums almost constantly in their hands for disbursement. Away from their friends, and the tenure of their offices being precarious, it would Avith most of them be difficult, perhai)s, if not impossible, to giA-^e bonds adequate to secure the gOA^ernment against possible losses. One disbursing-clerk of the Treasury Department, of great fidelity and long experience, disbursed during the last fiscal year more than five million dollars. The penalty of his bond is thirty-five thousand dollars. Another, of like character and experience, disbursed a million, and a quarter. The penalty of his bond is ten thousand dollars.These amounts seem small; but the Secretary of the Senate usually disburses in the course of a fiscal year more than eight hundred thousand dollars, and the Clerk of the House about a half milUon, and their bonds are fixed by law at but tAA^enty thousand dollars. Officers of the Quartermaster's, Subsistence, and Pay Departments of the Army, almost Avithout exception, though the disbursements of many of them are A^ery large, giA'-e bonds in the sum of twenty thousand dollars. Officers, howcA^er, appointed by the Secretary of the Treasuiy, with the exception of the disbursing clerks, generally give bonds in an amount sufficient to cover all possible losses. In the case of these disbursing clerks the. securitj^ of the government is chiefly in their personal integrity and the frequency with yt^hich their accounts are subjected to iiiA^estigation. The care and 256 ^ REPORT ON THE FIN.A.NCES. fidelity Avith which they generally perform their difficult and responsible duties cannot be too highly commended. The task of frequently OA^erhauling their accounts, in the absence of any specific requirement of laAV, is an ungracious one, though such iuAT-estigation has never, so far as I have knowledge, been regarded by them as offensive. The frequency and the manner in which these iuA^estigations should be made ought, it would seem to me, to be prescribed by laAA^ DOUBLE SALARIES. Section 1763 of the Eevised ^Statutes enacts that no person Avho holds an office the salary or annual couipensation attached to AA^hich amounts to the sum of two thousand fiA^e hundred dollars shall receiA^e compensation for discharging the duties of any other office, unless expressly authorized by laAv. Section 1764 inrescribes that no allowance or compensation shall be made to any officer or clerk by reason of the discharge of duties which belong to any other officer or clerk in the sauie or any other departments; and that no allowance or compensation shall be made for any extra services Avhatever Avhicli. any officer or clerk may be required to perform, unless expressly authorized by law. Section 1765 declares that no officer in any branch of the public service, or anj^ other person whose salary, pay, or emoluments are fixed b^^ law or regulations, sh^ll recei-A^e any aclditional pay, extra allowance, or compensation, in any form Avhatever, for the disbursement of public inoney, or for andother service or duty Avhatever, unless the same is authorized b}^ law, and the appropriation therefor explicitly states that it is for such additional pay, extra alloAvance, or compensation. It has been steadily held under these scA'cral provisions that to no officer or clerk performing additional services in the same line of dutj^ or performing duties AA^hich belong to another officer or clerk, can an extra alloAvance or compensation be made for such additional serAdce; but the Attorney-General has expressed the opinion in several instances where his opinion has been requested, that .an officer' or clerk Avho lipids two distinct commissions, or exercises an employment independent of and distinct from his duties as such officer or clerk, may be paid the salary of both offices or compensation for such additional employment, if the salary of such officer or clerk under the first appointment does not exceed twenty-five hundred dollars, and if there is an appropriation out of AA'hich payment may ,be made for this class of Avork or service, though the statute may not provide for paymentof additional compensation to such officer or clerk by name or other identification. It is not meant to call in question this construction of the statute, Avhich, so long as the case of CouA^erse vs. The United States (21 Howard, 463) shall be regarded authoritative, cannot Avell be avoided; but in giving effect in one or two instances in the adjustment of accounts, to this interi)retation, I haA^e not been able to free myself from a lurking suspicion that it AA^as not in harmony with tfie intention of the framers of these proAdsions. I deem it proper that the attention of Congress shall, be drawn to the manner in Avhich these sections are construed in the particulars mentioned, in order that, if the construction is not satisfactory, the statute may be made more iDcrspicuous. Incidental^, in this connectiou, it deserves to be remarked that the proAdsions of Title Four of the EcAdsed Statutes, entitled ''ProAdsions. applicable to all the ExecutiA^'e Departments," seem, Avhere the term department is used, not to be applicable to the Department of Agriculture, the departments to which the statute shall apply being specifically mentioned, aaid the Department of Agriculture being omitted. In the care FIRST COMPTROLLER. 257 fill Avork of Mr. Elmes ou the ExecutiA^e Departments, recently published, he coincides with the view of this office in this interpretation. In this title several important provisions not now applicable to the Department of Agriculture occur, respecting the salaries of clerks and other matters, which it is difficult to belicA^e that Congress did noh accidentally omit to make applicable to th^. department. DISTRICT OF COLUMBIA. The diff'erences between the Commissioners of the District of .Columbia and the officers of the Treasury charged by law with the examination of their accounts, have," with one or two exceptions, been har^moniously adjusted. These exceptions relate chiefly to the question Avhether the Commissioners or the Treasurer of the United States has the authority to make requisitions for certain classes of advances. The intention of Congress in the statutes relating to the District under its ' new organization has in scA^eral instances been imperfectly expressed, and differences of construction have arisen in a candid effbrt upon the part of the Commissioners and the accounting officers to collect the intention of Congress from phrases fairly susceptible of two interpretations. If, in a A^ery few particulars. Congress shall by amendatory legislation express its meaning in more perspicuous phraseology, entire harmony of construction may be made to prcA'-ail betAveen the Commissioners and accounting officers, and the affairs df the District by their cheerful co-operation may be frugally and carefully conducted. NATIONAL BOARD OF HEALTH. Important provisions in the scA^eral acts relating to the IsTational Board of Health haA^e been referred by you to this office for construction. A liberal construction has in CA^ery instance been recommended to carry out the beneficent ends contemplated .by Congress, but a strict one has been maintained in relation to proof that the moneys claimed to have been disbursed have been actually expended, and disbursed for the purposes provided h j law. It is pleasant to be able to say that the rulings made by this office have been kindly and hospitably receiA^ed by that most intelligent board, and that the expenditures of the b o a r d though inoneys haA^e never been withheld by it where it was deemed that they could be legally and usefully employed—haA^e thus far exhausted less than a fourth of the appropriations made by Congress. I beg to renew my commendation of the chiefs of division, clerks, and other persons employed in this bureau for the intelligence and fidelity Vith Avhich they have performed their duties. I have the honor to be, very respectfully, A. G. POETEE, First Com])troiler. Hon. J O H N SHERMAN, Secretary of the Treasnry. 17 F REPORT OF THE SECOND COMPTROLLER. EEPORT OF THE SECOND COMPTROLLER OF THE TREASURY. TREASURY D E P A R T M E N T , SECOND COMPTROLLER'S O F F I C E , Washington, Octoher 13, 1879.. SIR : In compliance with your request by letter of the l l t h ultimo, I submit herewith a summary statement of the business done in this office during the fiscal year which ended on the 30th day of June, 1879. The following table shows the total number of accounts and claims revised and adjusted, vdth amounts allowed thereon; also r.eferred and other cases settled that do not involve a present expenditure: Number revised. From— SecoDd Auditor Third Auditor Fouitli Auditor " . Amounts. 8,872 $22,107, 337 8,009 -.42,642,216 1, 727 16, 277, 774 : Various sources, not involving present expenditure Total number and amounts involved 18, 608 2,311 81, 027, 327 2, 244, 230 20:919 83, 271, 557 The following tables furnish a more detailed statement of the same accounts and claims, showing the number, revised and adjusted, the character of the same, the amounts alloAved, and the source from Avhich . they were receiA^ed: Accounts revised during the year. Charabter of accounts. Erom the Second Auditor: I. Of Army paymasters, for pay of the Army, including mileage to officers and ' general expenses ^' ? 2. Special accounts, including ordnance, medical, recruiting, and contingent expenses of the War Department 3. Of agents of Indian affairs, for the current and contingent expenses of the Indian service, including annuities and instalments under treaties . Total .^ Prom th'e Third Auditor: ' 1. Of disbursing-officers of the Quartermaster's Department, for the regular supplies and incidental expenses -2. Of disbursino^-officers of the Subsistence Department 3. Of disbursing-officers of the Engineer Departmeut, fo,r military surveys, the construction of fortifications, river and harbor surveys and improA'ements. 4. Of pension-agents for the payment of pensions &-c Total Number revised. Amounts. 442 $13, 416, 286 2,139 1, 582, 620 2,526 6, 737, 274 5,107 21, 736,180 i;oio 631 10, 393, 598 2, 918, 067 110 269 3, 532, 251 21, 593, 541 2, 020 38, 437, 457 262 REPORT ON T H E FINANCES. Accounts revised during the year—Continued. Nnmber revised. Character of accounts. From the Fourth Auditor : Of the disbursing-officers of the Marine Corps Of the paymasters of the Navy proper Of paymasters of the Navy Department at the navy-yards Of paymasters of. the Navy acting as navy-agents and disbursing-officers Of Navy pension-agents, for the payment of pensions to the invalids of the Navy and Marine Corps 6. ^Miscellaneous naval accounts , 7. Financial ageuts 1. "2. 3. 4. 5. Total Amounts. 7 147 84 14 $551, 846 4, 499,145 6, 330, 342 3, 612, 036 68 91 4 776, 631 289, 750 46, 628 : 16,106, 378 Claims examined and alloiued during the year. Nnmber revised. Character of claims. Amounts. From the Second Auditor : 1. Soldiers' pay and bounty 1. 2. 3. •4. $371,157 From the Third Auditor : Lostproperty, under act of March 3, 1849 .. Miscellaneous, including qua.rtermaster's, coinmissary, and transportation. Oregon and Washington Territory Indian war-claims State war-claims ...' Total . From tive Fourth Auditor : 1. Sailors' i)ay and bounty 2. Prize-money '. ...'.. Total. Cases not involving present expenditure : 1. Duplicate checks ."..... 2. Financial agents (Navy) 3. Eeferred cases Total. Bonds filed Contracts filed Letters written and copied ". -,. Requisitions recorded during the fiscal year Settlements recorded during the fiscal year Differences recorded Clerks employed during the fiscal year 364 5,575 45 54, 420 3, 996, 593 23,634 130,112 5; 989 4,204,759 1, 071 241 159, 095 12, 301 1,312 .171, 396 404 4 • 1, 903 19; 363 2, 224, 867 2,311 2,244,230. ...... ; ^ :. 116 2,030 1, 541 17, 349 8,929 6,251 54 In addition to the labor above classified, a variety .of incidental iiiA^estigations and other duties have beeii performed, requiring careful and skilled labor, that cannot be summarized without extending this report to an unreasonable length. ^\ It affords me pleasure to be able again to bear testimony to the ability, fidelity, and industry of the Deputy Second Comptroller, Mr. James S. Delano, the chiefs of diAasion and clerks of the office by Avhom this work has been accomplished. Yery respectfully, W. W. UPTON, Comptroller. Hon. JOHN SHERMAN, Secretary of the Treasury. REPORT o r THE COMMISSIONER OF CUSTOMS. REPOET OF T H E C O M M I S S I O N E R OF CUSTOMS, TREASURY D E P A R T M E N T , O F F I C E OF COMMISSIONER OF CUSTOMS, Washington, Octoher 13, 1879. S I R : I haA^e the honor to submit herewith, for your information, a statement of the work performed in this office during the fiscal year ending June 30,1879 : Number of accounts on hand July 1, 1878 Number of accounts received from the First Auditor during the year '249 6, 316 6,565 Number of accounts adjusted during the year Number of accounts returned to First Auditor . ^ Number of accounts on hand June 30,-1879 , 6, 254 12 ^ 6,266 . 299 There was paid into the Treasury from sources the accounts relating to Avhich are settled in this offi-ce— On On On On On On On On On On On On account account account account account account account account account account account account of customs ;... of marine-hospital tax of steamboat fees of fines, penalties, and forfeitures of storage, feeS; &c of deceased passengers of emolument fees of mileage of examiners of interest on debts due of rent of public buildings of relief of sick and disabled seamen of proceeds of government jiroperty « $137,250,047 70 .359,646 85 270,405 57 163,513 06 748,880 04 100 OO 187, 889 26 ,579 20 25,521 14 I... 9, 048 15 . 602 56 6, 566,11 139, 022,799 64 And there Avas paid out of the Treasury: On account On account On account On account On account On account On account On account On account On account On account On account On account On account On account On account King On account On account Ou account of expenses 'of coUection $5, 485, 543 of excess of deiiosits 1,924,246 of debentures 4,931,133 of public buildings 2, 490,889 of construction and maintenance of lights 2, 342j 664 of construction and maintenance of rev'eiiue-cutters 850,224 of marine-hospital service 1. 374,950 of life-saving stations 501, 965 of cpmpensaition in lieu of nioieties 42,109 of relief acts 15,774 of seal fisheries in Alaska 19, 063 of metric standard weights and measures 3, 448 of settlement of disbursing officers' accounts 38, 505 of debentures and other charges 2,521 of refunding duties , , 12 of refunding fine to B. Maddock, owner of schooner Ocean : . 45 of refunding duties to Saint Michael's Church 1, 588 of unclaimed merchandise i ^ . 761 of distributive shares, fines, i)<5iialties, and forfeitures... 5 87 31 23 14 14 47 50 62 51 50 30 75 54 ' 49 19 00 65 26 37 19,025,452 84 266 REPORT ON T H E FINANCES. The number of- estimates received* " 3,294 The number of requisitions issued 3, 293 The amount involved in requisitions |15,703, 669. 53 The nuniber of letters received. 10,685 The number of letters written 11,232 The number of letters recorded ..". „ 11, 381 The number of stubs of receipts for. duties and fees returned by collectors. 179,179, The number of stubs examined 148,144 /The number of stubs of certificates of payment of tonnage dues received and entered 9,756 The value of postage-stamps used .". 1. 46 The number of returns received and examined 13,782 The niimber of oaths examined and registered 4, 334 The number of appointments registered .' 3,278 The average number of clerks employed 30 I inclose herewith a statement of the transactions in bonded goods during the year ending Juiie 30,1879, as shown by the adjusted accounts. I am, very respectfully, your obedient servant, H. C. JOHI^J'SOlNr, Gommissioner of Customs. Hon. J O H N SHERMAN, . Secretary of the Treasury. Districts. A.lbany . j^lexandria ....Baltimore Bangor ...1 Barnstable Bath Boston and Charlestown Belfast C a p e A'iijcent fl cc • If r © . . . . .. . . . .. Delaware Detroit Duluth. Edfifartown Erie Gralveston Genesee Greorgetown D C (•rloucester . •. K e y AVest Louisville Marblehead. o . ^ a • .^ o fl $547,187 24 1,104 88 4, 316 47 8, 634, 717 75 230, 213 33 2.5, 586 17 1, 071 36 717 76 155, 729 28 11,151 31 1, 541 88 1, 341 61 II U- • ill o O - $12, 050 92 6, 271 40 29, 221 19 221, 990 12 201, 251 31 929 84 17, 220 23 503, 253 13 496 52 1, 282 32 3, 046 75 446,134 50 12, 948 27 624, 923 51 66 58 . 2, 041 35 .13, 599 19 •• 1, 67, 13, 9, 2, 19, 99, 13, 494 34 473 59 089 86 817 92 274 65 472 92 992 09 240 06 63 81 73 42 48 60,116 31 1, 457 27 13, 503 81 7, 407 41 22, 460 66 = 189, 575 58 1, 624 51 70 128,115 18 1, 571 39 9,891 84 10,101 01 997 39 2, 908 26 8, 373 82 5, 479 95 4, 327 04 77 52 $105, 738 20 81 40 631, 073 56 2, 701 95 140 39 30, 865 95 7,190, 349 34 759 71 24, 859 76 292 91 9 70 212 73 1, 232 84 30 79 4, 939 90 668,416 51 64, 965 08 1,132 76 6, 637 29 17, 309 15 76, 333 20 12 80 325,753 15 671, 958 05 1, 283 00 43 04 329 13 800 95 97 94 41, 475 95 3, 251 67 3, 396 46 637, • 11, 4, 059 44 398-70 859 46 949 29 $207, 489 59 • 126 97 124,186 26 8,-7-17 57 233, 825 65 362 i d 459 24 28 4 65 ' 279 855 9, 269 1, 599 15, 775 $7 40 12,713 57 147 42 6, 472 71 213 80 199, 3, 67, 24, 2, 775 00 . . • i s 7 82 145 24 405 £'3, -•••••§.1 O 618 88 888 54 664 76 996 15 1,158 18 523,176 26 30, 945 77 7,604 83 4, 406 84 • u • =2 fl- ^fl§ • ...... Fairfield Eall River . $105, 738 20 $178 63 190, 947 92 1,100 55 1, 807 56 ' 687 48 2, 297, 668 68 19, 7S9 29 3, 628 17 1, 329 10 167 14 Chaileston Chicao'o Cincinnati fl cs 33 88 79 98 33 1, 231 20 7 20 2, 779 65 43 04 329 13 SOO 95 94 56 17,176 07 18, 551 15 4, 632 86 311 70 82 00 93 04 194, 202 33 8, 981 69 184, 447 33 12, 716 545 49 75 13 76 $318, 452 46 8, 698 64 2, 207 19 794, 226 08 • 447, 207 89 392, 806 54 1, 770 79 1, 679 25 .1,067-89 15,171 39 . . 4, 700 20 $4 87 41,130 09 2,161 80 573,117 46 65 10 Balance on bonds to secure' duties . on goods remaining in warehouse on June 30,1879. Balance on bonds, to , secure duties pn goods remaining in warehouse on July 1,1878. Statemeni of warehouse iransadions at the seDerat districts and p)orts of the VnUed-Staies-for tiie-year endi/iig June 30, lSt§, $99 76 ; 68, 007 08 o. o- 522 95 1 909 98 3, 046, 747 09 7,451 93 2 645 90 1, 333 18 Ul 279, 977 25 685, 021 09 1, 283 00 l-H O 54 40 5, 650 42 1, 274 41 129, 033 34 14, 886 05 17, 831 87 78, 490 50 164 20 g 2, 649 44 9 163 77 22' 222 95 . O o cl CQ H O % CQ 4,114 80 1,203 40 • 151 04 43,192 32 20, 595 46 i, 524 86 39, 479 99 " " 13 00 31,191 63 602,158 94 305 66 1, 413 13 77 52 " 49886" 858 19 81 80 • 1, 402 54 336 87 4, 540 63 10, 408 06 527 20 9 812 90 50, 649 04 3, 383 62 to a:) Mobile © . % • . cnr^ ©0 fl 0 O'^ .= fl ©0 II 111 ^ 0 $181 69 $232 99 562 97 177 90 1, 844 74 .1,004 35 369 08 3, 413 55 ' "io, 6i9 42 $1, 629 00 238 68 6,137 14 1,358 58 1, 084 87 120 75 1, 225 00 106 72 672 76 637 02 Nashville Newburyport , • $13 17 13 74 119 9a $4, 370 24 493 05 1, 479 46 90, 989 55 45, 699 65 7, 691 79 989 15 151 28 107 25 327, 610 65 55, 007 60 1, 448 00 12, 072 94 7,888 50 New'Bed ford 46,159 65 2, 046 39 5, 722 55 333, 262 52 522, 836 95 "17,640'si 246, 835 12 Ne^v^ Orleans 25, 790, 481 86 5, 986, 818 54 718, 025 39 N e w York (to March 31,1879).. .11, 892,146 41 1, 515, 590 78 260 60 3, 882 77 795 23 161 00 130 37 6, .542 5 i 2, 649 86 1,479 02 98, 840 03 485, 970 55 19, 515 95 72 76 9, 723 07 2, 930 42 2, 847 51 2, 296 67 128 81 65, 507 64 617, 891 31 3, 435, 935 28 27. 794 01 3, 898 24 3, 234 65 13. 937 51 16, 973 97 Pittsburgh 256 16 6, 017 81 17,002 60 150, 324 85 67, 348 65 . 39, 857 43 2, 032, 078 81 Portland and Falmouth 461 70 1. 084 76 1,778 30 '76 47 3, 904 06 14,364 85 52, 081 26 Providence 8, 466 05 1, 526 25 165 60 • 1.246 58 8,V568 40 3,113 82 527, 299 02 90, 484 18 Sau .Eranci SCO 1, 026, 503 35 3, 408, 231'21 1, 362 82 524 10 292 00 253, 999 28 63, 591 40 133, 386 41 '"'i63,244"33 1, 055, 603 33 743 75 811 38 , r: ' • 784 86 AVheulinuFRASER Digitized for hi 6 65 136 85 • ° - - - - - - $4,752 58 1, 321 75 6, 490 49 19, 946 61 5, 850 13 14, 290 57 876 79 870 40 24'!, 588 26 13,178 94 48, 610 21 457,433 54 8,120 68 743, 214 80 26, 377, 514 0,1 3. 882 77 822 16 1, 830 41 213,523 50 1, 253 39 '.'i8'57' 128 81 183, 538 67 3,130, 404 43 18, 543 62 148 38 1 28 18, 251 50 723 28 158, 695 03 >< - ll 1^ © u ^fl 00 © P ca flS .fl ^ $14,158 15 . ? 5 $1,441 52 219 68 3,118 41 542 58 1 009 S i $150 32 72, 883 29 26,142 16 781 86 o 6, 815 00 $1, 343 75 106 72 258 53 15, 017 79 19 20 5, 719 82 346 60 2, 752 09 2, 566 29 182, 505 40 84,964 64 370,188 19 33, 004 01 10,112, 027 97 7, 346, 778 70 506, 573 85 • 787, 792 47 412, 981 70 1,102, 609 08 .260 60 123, 665 76 2, 801 10 o )—i i6'56' 664 91 27, 229 12 129 47 28 40 1,246 58 7, 762 37 210 98 80, 440 32 3, 211, 919 15 1, 260 42 14 80 555, 520 03 230 17 737 08 18 03 Balance on bonds to secure duties on goods remaining in warehouse on.June 30,1879. fl , A i Withdrawal duty paid. Districts. Balance on bonds to secure duties on goods remain- 1 ing'in warehouse on July 1,1878. Statement of warehouse transactions at the several districts and jports of the United States, ^c.—Contimied. 6,140 73 377, 751 29 7,186 77 1,309 53 6, 302 25 9, 074 03 49 86" 18 57 36, 844 84 23, 059 87 161, 395 43 29,149 27 476 96 2, 046, 948 32 4, 667 17 1, 744 21 41, 279 77 899 38 1, 526 25 44, 601 30 314 00 452, 887 49 733 i9 659, 621 74 602, 715 84 811 38 135, 854 59 . 110 30 181 80 275 00 1, 390 74 6, 772 45 283' 48 978, 962 34 19,649 13 4,549 39 50, 873 23 461 70 • 524 41 •9, 537 42 137 20 3, 397 64 1,140, 961 30 509 00 58,749 76 24 70 o U2 Willamette Wilmin2:ton, Del AViscasset Y o r k ... - ". <=>. Total ....- 7, 818 12 1, 857 02 1,409 25 28, 928 46 2, 737 69 499 20 4, 073 35 52 51 - IS, 539 71 13 52 4, 082 04 191 20 2,182 11 771 72 2. 532 .32 11 28 1-9, 959 42 526 19 240 66 1,636 25 11 28 16, 852, 508 04 44, 692, 937 00 1, 913, 664 84 15, 773, 416 70 1,167,256 56 43, 647, 735 33 3, 316, 071 58 15, 647, 754 02 1, 791, 034 53 15, 997,187 68 KECAPITULATION. Balance July 1,1878 Avarehoused and bonded t Rew\arehoused and bonded Constructively warehoused Increase of duties ascertained on liquidation $16,852,508 04 44, 692, 9.37 00 1, 913, 664 84 15, 773, 505 10 1,167, 256 56 Total . Avithdrawal duty paid AVithdrawal for transportation .Avithdrawal for exportation Allowances and deficiencies Balance June 30,1879 : Total >, 399, 871 54 1 $43, 647, 735 33 3, 316, 071 58 : . . . 15, 647, 842 42 1,791,034 53 15,997,187 68 O O 80,399,871 54 H-l H. C. JOHNSON, Commissioner of Customs. TREASURY DEPARTMENT, OFFICE COMIMISSIONER OF CUSTOMS, October 13,1879. Balance taken up in this statement . : Balance reportecl by last statement , ^ Difference ...'. Arising from: Increase in balance. New York, May 1 to J u n e 30, 1878 ^...' $16, 852, 508 04 14, 960,408 70 CQ t-H o 1,892,099 34 ." 1, 892, 099 34 a H O CQ tsD EEPOET OF THE FIEST AUDITOE. REPOET OF THE FIRST AUDITOR OF THE TREASURY. TREASURY DEPARTIMENT, F I R S T AUDITOR'S O F F I C E . • Washington^ Octoher 30, ,1879, SIR : I liave the lionor to subinit the following exhibit of the business transacted in this office during the fiscal year ending June 30, 1879. Number of accounts. Accounts adjusted. Amount. RECEIPTS. Duties on merchandise and tonnage Steamboat fees Eines, penalties, and forfeitures Marine-hospital money collected Official eiuoluments of collectors, naval officers, and surveyors..' Moneys received from sale of old materials, rents, &c Miscellaneous receipts Moneys received on account of deceased passengers • Internal and commercial intercourse fees Treasurer of the United States, for moneys received Mints and Assay Offices Manufacture of medals — '..J .'— Moneys retained from Pacific Bailroad companies (interest account) Water-rents, Hot-Springs, Arkansas : Eeceipts on counter-warrants — .•>. Total. $123, 883, 235 263, 045 164, 264 '354, 376 618, 045 30,440 872, 991 100 2, 642 668, 352, 705 120, 959, 008 8, 639 1, 564, 913 7,654 464, 987 , , 55 45 03 36 57 14 16 00 92 52 31 47 09 38 78 , 7, 207 917, 547, 049 73 Expenses of collecting therevenue from customs - -' Debentures, drawbacks, &c • ". ...'. Excess of deposits refunded •-••-; Eevenue-cutter service --.-•-Duties refunded, fines remitted, judgments satisfied, &c .'.... Marine-hospital service :... .• .\. Official emoluments of collectors, iiaval officers, and surveyors Awards of compensation Light-house establishment Salaries of U^ht-housekeepers : Supplies of light-houses .'...... '. i Repairs of light-houses , Expenses of light-vessels.... ....:. '. Expense's of buoyage , Expenses of fog-signals ;......... Expenses of lighting and buoyage of the Mississippi, Missouri, and Qhio Eivers — . . ' . i Expenses of in.spection of lights .: Steam-tender for the fourth light-house district Commissions on light-liouse disbursements . Salaries and mileage of Senators .• Salaries, officers and emi^loy^s. Senate '....i.i...'... Salaries and mileage of members and delegates. House of Representatives Salaries, officers and employ 6s, House of "Representatives Salaries of employes, Executive Mansion Salaries paid by the disbursing clerks of the Departments Salaries, officers and employes, Independent Treasury , Salaries of the civil list paid directly from the Treasury Salaries, office of the Public Printer ; Salaries, Bureau of Engraving and Printing Salaries, Congressional Library .. i t Salaries, standard weights and measure's Salaries, Metroi)olitan"Police 1, 662 254 379 605 1, 329 791 1, 275 192 12 432 126 102 106 3.04 57 $5, 837, 601 86 3, 359, 966 72 1, 227, 635 69 822, 200 60 538, 975 91 296, 928 05 628, 882 74 30, 177 13 4; 534 85 454,' 087 33 282, 488 68 ,400, 672 62 191, 508 84 334, 996 19 44, 441 01 37 6 10 3 4 8 1 25 4 309 39 1, 282 4 13 3 5 2 * 108, 541 1, 170 42, 483 131 701, 251 203, 118 1, 664, 946 287, 072 22, 532 5, 467, 434 320, 112 557, 817 13, 550 24, 297 21, 902 4, 412 15, 558 DISBURSEMENTS. 18 F 03 83 59 74 89 41' 16 48 00 14 37 71 00 28 4425 73 274 REPORT QN THE FINANCES. Accounts adjusted. Numberof accounts. Amount. DISBURSEMENTS—Continued. Salaries, Steamboat Inspection Service Salaries; Board of Health, AVashington, D. C Salaries, special agents. Independent Treasury '., Salaries, custodians and janitors Salaries, Botanic Garden Salaries and expenses of Hot Springs Commission Salaries and expenses of Southern Claims Comraission. Salaries and expenses of agents and clerks. Southern Claims Commission Salaries of- employes, piiblic buildings and grounds ; '. Salaries of inteipreters and translators, executive offices, Territories Contingent expenses, Executive Mansion Contingent expenses, United States Senate Contingent expenses. House of Representatives Contingent expenses. Departments, AVashington Contingent expenses. Independent Treasury , Contingent expenses, Steamboat Inspection Service ...-., Contingent expenses, public biiildings aind grounds Contiugent expenses; office of I*ublic Printer. Contingent expenses, Southem Claims Commission , Contingent expenses, national currency. Treasurer's office Contingent expenses, Court of Claims Contingent expenses. Library of Congress ,...:..: Contingent expenses, United States Mints and Assay-Offices > Contingent expenses, executive offices of the TeiTitories •. Treasurer of the United States, for general expenditures Treasurer of the United'States, for sinking-fund Pacific-Railroads Mints and' Assay-Offices Ordinary expenses. Mints and Assay-Offiees « Parting" and refining bullion , 1.. Coinage of standard silver dollar Coinage of silver for redemption of fractional currency !'• Erei^ht. on bullion Recoinage of gold .and silver coins ^ ^ : Storage of silver dollars ., Mauiifacture of medals Mining statistics. Legislative expenses. Territories of the United States [ , Defending suits and claims for.seizures of captured and abandoheVl property : 1 , Examination of rebel archives and. records of cajjtured and abandoned property Captured and abandoned proiDcrty Survey of Indian reservations G-eodetic and coast survey of the United States •; G-eological survey of the "Territories , Judiciary expenses, embracing accounts of United States marshals, district attorneys, clerks and commissioners, rent .of court-houses, support of prisoners, &c .» Prosecution of crimes Suppressing counterfeiting and fraud , Reproducing plats of surveys, Greneral Land Office i : Registered interest accounts *. Registered interest accounts, Pacific Railroad bonds Payment of coin coupons .' , ' -Navy pension fund • : . Louisville and Portland Canal Company, bonds,, interest account District of Columbia bonds, interest account ~ District of Columbia water-tax. bonds, interest account Redemption of United States! bonds, principal and interest Redemption of certificates for conversion, principal and interest ; Redemption of Treasury; notes, principal and interest Redemption of coin-certificates of deposit , Redemption of currency certificates of deposit Redemption of silver certificates of .deposit Redemption of legal-tender notes (destroyed) i Redemption of fractional currency (destroyed) , Re.demption 6f bonds of the District of C)6lumbia Refunding the national debt Judgments of the Court of Claims. , Reporting decisions of Court of plaims Post-Office Department requisitions Outstauding drafts and checks : ' ,. Transportation of public money Life-Saving Service , Life-Saving Service, contingent expenses. Establishing life-saving stations Public printing and binding Labor and expenses of engraving, and printing Propagation of food-fishes ... .... Ulustrations for report on food-fishes Increase of Library of Congress j .Construction of custom-houses , Construction of court-houses and post-offices 5 2 4 5 5 3 4 10 7 5 3 61 45 .218 49 717 6 4 9 12 4 4 33 12 4 1 28 144 38 22 1 4 4 -4 1 1 25 848 9& 128 38 646 81 310 01 466 32 448:74 921 12 405 24 525 92 854 62 573 01 247, 194 39 269, 085 73 •330, 463 70 31, 551 43 25! 014 84 577 97 010 42 714 20' 899 04 2, 173' 6?; 1, 708, 95 -732; 3(> 3, 449 51 507, 893, 922 64 101, 130 25 118, 848, 982 0» 1,149, 534 30 211, 565 01 62, 911 55 17, 981 15 2, 519 25 1. 044 83 129 -80 67, 989 95 4, 200^00 104, 758 50 30, 489 27 5, 861 21, 073 1, 350 524, 691 125,136 3,257 6 40 1 49 23 104 1 8 4 1 22 6 56 13 12 2' 23 77 5 41 139 220 48 101 74 98 17 35 2 7 160 364 04 21 OO 31 38 4, 289,153 22 13, 180 04 90, 716 28 ' 6,370 00 17,107,'243 52 5,110,306 08 35, 021,670 87 420, 000 00' 47, 550 00 494, 650 00 29, 400. 00 150, 783,606 25 583 22 . 18, 623, 21, 429 33 47, 895,300. 00 54,105, 000 007, 859,470 00 74, 228,070' OO 1,265, 031 68 273, 800 00 1, 050,860 37 385, 477- 18 6, 000 00. •5, 526,663 1131, 103 22 ^187, 715 65 • 134, 206 28 40, 075 05 104, 509 81 324, 970 76 843, 738 97 69, 570 45 000 00, 1, 872 39 14, 753 49 1, 007,115"20 1, 279, 275 F I E S T AUDITOR^ Accounts adjusted. , N u m b e r of accounts. Amount. DISBURSEMENTS—Continued. C o n s t r u c t i o n of s u b t r e a s u r y b u i l d i n g , S a n F r a n c i s c o C o n s t r u c t i o n of a p p r a i s e r s ' s t o r e s (Construction of b u i l d i n g for S t a t e , W a r , and N a v y D e p a r t m e n t s C o n s t r u c t i o n of l i g h t - h o u s e s C o n s t r u c t i o n of l i g h t - h o u s e depot, T h i r t e e n t h d i s t r i c t C o n s t r u c t i o n of b u i l d i n g for B u r e a u of E n g r a v i n g a n d P r i n t i n g (Construction of j a i l for t h e D i s t r i c t of C o l u m b i a P l a n s for p u b l i c ' b u i l d i n g s C o m p l e t i o n of W a s h i n g t o n M o n u m e n t ReiDairs a n d p r e s e r v a t i o n of p u b l i c b u i l d i n g s R e p a i r s , l i g h t i n g , &c., E x e c u t i v e M a n s i o n ^ A n n u a l r e p a i r s of t h e Capitol ' ". A n n u a l r e p a i r s of t h e T r e a s u r y b u i l d i n g R e p a i r s of t h e I n t e r i o r D e p a r t m e n t b u i l d i n g Reconstructing Interior Department building -. R e c o n s t r u c t i n . g I n t e r i o r D e p a r t m e n t b m l d i n g , p l a n s for R e p a i r s t o buileling on T e n t h s t r e e t R e n t of b u i l d i n g s in AVashington E u e l , l i g h t s , a n d w a t e r for p u b l i c b u i l d i n g s : E u e l , l i g h t s , &c., I n t e r i o r D e p a r t m e n t E u r n i t i i r e and r e p a i r s of s a m e for p u b l i c b u i l d i n g s E u r u i t u r e a n d r e p a i r s of s a m e for C o u r t of C l a i m s E u i n i t u r e , contingencies,' &c., office of C o m m i s s i o n e r of P e n s i o n s F u r n i t u r e , cases, &c., D e p a r t m e n t of A.^ricultiire ; .Vaults, safes, a n d looks for p u b l i c b u i l d i n g s • ., H e a t i n g a p p a r a t u s for p u b l i c b u i l d i n g s -.... H e a t i n g axjparatus for U n i t e d S t a t e s S e n a t e 1. I m p r o \ ^ e m e n t a n d c a r e of p u b l i c g r o u n d s .• Improviug Botanic Garden and buildings *. , ..'... I m p r o v i n g and lighting Capitol grounds P u r c h a s e of p r o p e r t y c o r n e r o i P e n n s y l v a n i a a v e n u e a n d F i r s t s t r e e t west . I m p r o v e m e n t of .grounds, A g r i c u l t u r a l D e p a r t m e n t Washington Aqueduct •. R e p a i r s of w a t e r - p i p e s a n d fire-plugs..: .^ R e p a i r s of N a v y Y a r d a n d u p p e r b r i d g e s A . ' . a p t i n e p o n d s i n M o n u m e n t lot t o t h e c u l t u r e of c a r p TeleaTapli t o c o n n e c t C a p i t o l w i t h D e p a r t m e n t s a n d G o v e r n m e n t P r i n t i n g Office L a n d s and o t h e r p r o p e r t y of t h e U n i t e d S t a t e s ^ P e d e s t a l for s t a t u e of G e n e r a l (S^eorge H . T h o m a s W o r k s of a.rt for t h e C a p i t o l .-..*. I n t e r n a t i o n a l E x h i b i t i o n of 1876 ^.? •.....^ E x p e r i m e n t a l garden, Agricultural D e p a r t m e n t ' .' L a b o r a t o r y , l i b r a r y , a n d diuseiim, A g r i c u l t u r a l D e p a r t m e n t , Postage, Agricultural Department " ; Collecting agricultural statistics t P u r c h a s e a n d d i s t r i b u t i o n of v a l u a b l e seeds ..v..'..-. '.... I n v e s t i g a t i n g diseases of s w i n e a n d o t h e r domestic, a n i m a l s ' I n v e s t i g a t i n g t h e h i s t o r y of i n s e c t s i n j u r i o u s t o a g T i c u l t u r e a n d c o t t o n plant. E x p e n s e s of B o a r d of H e a l t h , D i s t r i c t of Columbia..... I n q u i r i e s into t h e c a u s e s of steam-boiler e x p l o s i o n s . . . . . ..-. .-.• M a p of t h e U n i t e d S t a t e s . . - . . • .: : S t a t i s t i c a l A t l a s of t h e U n i t e d S t a t e s '........ D e p r e d a t i o n s on p u b l i c t i m b e r '.•.... I n v e s t i g a t i o n of frauds, P e n s i o n Office.. R e m o v a l of B u r e a u of E d u c a t i o n '..... P r o t e c t i o n a n d i m p r o v e m e n t of H o t S p r i n g s , A r k a n s a s C l a i m s of Avorkin.gmen, a c t J u n e 20, 1878., : C o l u m b i a . I n s t i t u t i o n fOr t h e . D e a f aiid D u m b , c u r r e n t e x p e n s e s . . . . . .\ C o l u m b i a I n s t i t u t i o n for t h e D e a f a n d D u n i b , b u i l d i n g s a n d "grounds . C o l u m b i a H o s p i t a l for W o m e n , c u r r e n t e x p e n s e s . . ' . '. G o v e r n m e n t H o s p i t a l for t h e I n s a n e , c u r r e n t e x p e n s e s ; . . . . . .%. . G o v e r n m e n t . H o s p i t a l for t h e I n s a n e , b u i l d i n g s a n d gTOunds M a r y l a n d . I n s t i t u t i o n for t h e l n s t r i i c t i o n of t h e B l i n d 1 S u p p o r t of C h i l d r e n ' s H o s p i t a l . . *...t :••.•..... ....:...... R e f o r m School, D i s t r i c t of C o l u m b i a . . N a t i o n a l A s s o c i a t i o n for t h e Reliiaf of Colored W o m e n a n d C h i l d r e n . i S u p p o r t of F r e e d m e n ' s H o s p i t a l a n d A s y l u m Miscellaneous 1 D i s b u r s e m e n t s on t r a n s f e r w a r r a n t s . . : Total. 5 18 14 267 5 6 3 6 4 ^125 10 5 13 3 3 1 3 23 60 5 34 2 1 5 8 59 3 3 7 13 $15,186 18 98,153 98 845,087-84 330,186 72 . 9,129 80 40, 792 34 I, 545 46 3,001 32 39, 026 4 1 . 116, 402 68 40, 391 42 50, 327 82 12, 301 51 3, 373 39 4, 269 57 600 00 358 57 50, 681 62 323; 437 21 10, 632 80 49, 452 68 1, 550 00 308 10 3,948 4020, 509 34 68, 843 20 4,250 00 12, 845 33 11, 511 96 98, 834 23' 3 4 6 6 8 3 . 52, 004 15 6, 801 06 21, 848 15 3, 096 07 1, 577 80 7,199 98 l' 9 6 4 , 4 4 14 4 5 5 3 3 , 2 7 2 2 5 3 3 4 102 7 6 8 4 4 4 3 5 5 5 572 259 811 081, 532 78^ 21,113 34 11, 425 00' 3, 383 30> 6, 759 663, 678 66. 3,475 85 II, 400 62: 78,789 837, 996 51 7, 643 763, 191 461, 799 99> 4, 000 OO 10, 000 OO 18, 595 28 25, 688 78 9. 185 31 281'75' 18, 526 25 74, 842 42 31, 879 01 10, 444 47 169, 780 46 28, 023 82 5, 550 00 3, 946 79 29, 287 58 11, 829 97 41, 260 04 1, 045,044 60 464, 987.78 si 17, 618 1,147,583,192 79 Number of accounts recorded .' » '.-.... .'. 13,824 Number of letters recorded.. . . . . . . . . ....= ...-.-. . . . I - . . • . . . . . : . • 3,219 Judiciary emolument accounts registered and referred . . . . . . . . . . . . . . . . . . . . . . . 530 Number of powers of attorney for collection of interest on the i)ublic debt examined, registered, and filed 5, 891 Requisitions answered (incomiilete) „ 470 276 R E P O R T ON T H E FINANCES. •Stateinent of transactions in honded merchandise, as shown hy warehouse-and hond account adjusted during thefisoal year ending June 30, 1879. iiumber of accounts adjusted Kumber of rieports of ^'no transactions" received, examined, and referred 908 619 1,527 Balance of duties on merchandise in warehouse per. last report'... $15,126,598 Add balance at Richmond, A^a., from 1877, omitted from last report.. 1,874 Duties on merchandise warehoused" ; ^ 56,19.2,623 Duties ou merchaudise rewarehoused 2, 024,720 Duties on nierchandise constructively warehoused .-... 18, 3^3,729 Increased and additional duties 1, 445, 029 Total Contra: , D.uties on merchandise withdrawn for consumption Duties on merchandise withdrawn for transportation Duties on merchandise Avithdrawn for exportation Allowances for deficiencies, damages, &c ' Daties on withdrawal for construction and repair of vessels Duties on bonds delivered tb district attorneys for prosecution Balance nierchandise in warehouse Total.. 20 60 91 35 33 10 93,134,575 49 . . |54, 963,167 75 3,890, 725 58 18,406, 383 12 1,954,170 2064, 923 77 . 143, 340 79 13,711, 864 28 93,134,575 49 Uuder the act of Juue 20, 1878, providiug for the payment of certain claims of workiugmen against contractors under the late board of public works of the District of Oolumbia, eighteen hundred and fourteen (1,814) claim s AV ere filed, aggregating the sum of one hundred and forty-six thousand fiA^e hundred and ninety-four dollars and thirty-scA^en cents <$146,594.37). Claims amounting- to eighteen thousandfiA^ehundred and twenty-six dollars and twenty.fiA^e cents ($18,526.25) Avere allowed by this ofiS.ce and certified to the FirvSt Gomptroller. The remainder, aggregating one hundred and. twenty-eight thousand and sixty-eight dollars and tAvelve cents ($128,068.12) Avere rejected as not coming Avithin the proAusions of the act above cited. In the settlement of.these claims four hundred and tAventy-six (426) letters and circulars were mailed, and schedules of every claiui alloAved by this office were prepared and sent to the District GOA^eminent for examination. The accounts of the Gommissioners of the District of Golumbia, COA^«ering the expenditures made by them on account of said District for. the months of Jul^^, August, and September, 1878, were examined and ready for statement, l3ut AA^ere delayed, owing to a change in the manner of entering up advances to the Gommissioners upon the books ofthe Eegister of the Treasury. . I would call your special attention to estimates submitted by this office asking for additional clerical force. It is very important that the force necessarily employed in this office, should be borne upon its rolls. Without this, greatscfficieiicy cannot be hoped for in the list of temporary assignments required for the increasing work of the office. As stated in my last annual report, the additional force estimated. for is FIRST AUDITOR. 27T actually employed in this office, and is necessary for the proper j)erformance of the work of the office. . The deputy auditor, H. K. LeaA^er, esq., and chiefs of divisions deserve honorable mention for intelligent and faithful performance of arduous, duties, and I take pleasure in commending them and the clerks and emploA^6s of the office for diligence and cheerful attention to duty. E. M. EEYNOLDS, Mrst Auditor. Hon. J O H N SHERMAN, Secretary of the Treasiiry. ^ EEPOET OF THE SECOND AUDITOE REPORT THE SECOND AUDITOR OF THE TREASORY. TREASURY DEPARTMENT, SECOND AUDITOR'S O F F I C E , Washington, Octoher 25, 1879. SIR : I have the honor to subhiit the followiug report of the operations of this bureau cluring the fiscal year ending June 30, 1879: ^ RESUMlfi. Accounts and settlements. < , P a y m a s t e r s ' accounts Arrea.TS of p a y a n d b o u n t y Ordnance accounts Medical accounts : Recruiting" a c c o u n t s .»-.' P r e e d m e n ' s b r a n c h , Adjutant-G-eneral's Office N a t i o n a l H o m e for D i s a b l e d V o l u n t e e r Soldiers. . Miscellaneous accounts and claims P a y m e n t s t o Soldiers'. H o m e . , Indian disbursing account I n d i a n claims Indian property accounts • W a r property acconnts Miscellaneous settlements , Total. 46 15, 752 591 22, 795 201 1,946 ,191 24, 792 483 18, 377 154 20,170 481 14 955 3,330 553 3,880 453 ]4 624 2, 937 683 4, 295 453 451 393 352 7, 776 34, 517 29, 532 29, 777 ],547 $10, 996, 903 84, 826 394,456 f 1,425, 171 ' 263, 320 239, 066 5,844 49, 737 1,141,549 lo 01 76 77 6a 31 42 127, 375 108,502 2, 755, 832 3,795, 366 21 23 54 05 3,120 2,634 191, 792 35. 97, 971 21, 489, 073 45 In addition to the number of letters written, as stated above, 34,259 were written in the A^arious divisions of the office, making a total of 132,230. \ . The average number of clerks employed during the year was 134. I subjoin for reference, and as containing interesting statistical information, consolidated • tabular statements showing the Avork of the office since its organization sixty-two years ago. 282 REPORT ON T H E FINANCES. STATEMENT No. 1. Number of accounts settled from March 4, 1817, to June 30, 1861. rrom"^^March Erom June 4, 1817, to 30,1847,to J u n e 30, J u n e 30, 1847. 1861. A.ccounts. Ordnance, medical, and miscellaneous Recruitino; and disbursing officers — Arrears of ])ay, &.c Paymasters Indian agents' Tbtal Total. 13, 232 12, 880 6,-283 1,759 3,254 6, 695 6,097 21, 361 1, 427 5,562 19, 927 18, 977 27,644 3,186 8,816 37, 408 41,142 78, 550 STATEMENT NO. 2. Accounts settled and amounts involved from dime 30, 1861, to June 30, 1879. Paymasters' accounts. For t b e year ending— No. J u n e 30, 1 8 6 2 . . . J u n e 30, 1 8 6 3 . . . J u n e 30, 1864. . J u u e 30, 1 8 6 5 . . . • J u n e 30, 1866... J u n e 30, 1867 .. J u n e 30, 1 8 6 8 . . . - J u n e 30, 1869 . . - J u n e 30. 1870... J u n e 30, 1 8 7 1 . . : J u n e - 3 0 , 1872 . . J u n e 30, 1873 . . • J u n e 30, 1 8 ^ 4 . . . J u n e 30, 1 8 7 5 . . . J u u e 30,. 1876 . . J u n e 30. 1877 . . J u n e 30, 1 8 7 8 . . . - J u n e 30, 1 8 7 9 . . . Total Por t h e year ending— June June J'une June -June June June •June J'une June June June June June Jime June June June 30 1862 30 1863 3o' 1864 30i 1865 30, 1866 . . 30 1867 30, 1 8 6 8 . . . 30, 1869 . . 30. 1870... 30 1871 30, 1872... 30 18Z3 30, 1874 . . 30, 1 8 7 5 . . . 30, 1876... 30 1877 30i 1878 30, 1 8 7 9 . . . Ordnance, medical, a n d mis- I n d i a n a g e n t s ' d i s b u r s i u g accounts and Indian . cellaneous. claims. No. Amount. 141645 .773 738 981 1, 451 1, 038 1, 216 1, 083 - 843 2, 350 1, 033 1, 008 506 565 518 560 483 15, 932 4, 017 $4,181, 276 33 47, 875, 231 -36 11,802 88, 944, 415 39 15, 988 90, 094, 847 46 . 22,059 110, 209, 718 62 7,228 183,041,476 09 3,206 146, 305, 528 14 1,897 183, 052, 989 46 1,990 141, 438, 680 99 1, 708 124, 063, 652 23 2,394 131, 057, 413 02 1, 805 27, n 6 , 621 39 2, 567 17,257,093 25 2,708 14,837,714 29 2, 264 1.5,583,739 75 , 2,177 12, 604, 998 41 i 2, 207 12, 773,194 28 i 1, 828 10, 996, 903 15 1, 666 • 1, 361, 415, 493 61 1 B o u n t y , a r r e a r s of pay, Sec. 89, 511- Aniount. No. $29,128, 526 30 38, 847, 899 20 55, 539, 537 64 42, 647, 077 68 26, 902, 784 54 23, 050,181 18 20, 484, 802 13 8, 598, 706 04 3, 571,107 13 2, 023, 703 26 1, 566, 924 96 1, 968,183 01 6,125, 429 70 3,164, 634 07 2, 346, 339 07 2,193, 993 02 2, 290,1.51 01 3, 257, 711 74 616 590 501 866 448 821 962 1,169 1,172 1. 482 1, 649 1, 871 1,648 2,107 2, 242 2, 974 3, 550 3, 561 273, 707, 691 68 28, 229 R e g u l a r a u d v o unt e e r r e c r u i t i n g accounts. Preedmen's • B u r e a u accounts Amount'. . $3,335,885 23 2, 099, 257 87 2, 242,-154 74 3, 231, 449 00 • 2, 881, .256 33 4, 273, 208 91 5, 301, 722 89 4, 715, 039 43 3, 033, 827 41 8; 194, 634 63 5, 351, 816 32 ' 8, 329,188 21 4, 974, 866 43 6, 033, 207 25 7, 081, 603 57 8, 508, 480 73 5,101, 308 06 6,551,198 59 91, 240,105 60 Total. • No. Amount." 3, 328 19,191 80, 756 84, 517 78, 335 59,121 203, 980 .85, 279 53, 826 40, 078 •22,170 32 4'>0 27, 315 19, 476 11, 433 13, 799 15 774 18, 377 $249,180 64 '> 443 293 39 10, 970, 528 91 14, 047, 599 35 16,189, 247 17 10,638,782 38 19, 598, 445 88 8, 355, 618 22 4,160, ^776 31 2, 34H, 164 421, 278,160 29 1, 664, 985 64 1, 230, 827 94 981 407 74 485] 084 65 577, 340 79 442, 601 59 394, 456 01 .No. 1 504 1, 356 ], 880 2,594 4,317 3 765 2, 416 1,478 • 946 Amount. Amount. $217, 088 97 398, 785 94 2, 220, 744 15 8, 019, 331 56 21,353,127 68 19, 891, 437 59 5, 262,140 63 2, 841, 079 24 2, 443, 906 48 957, 010 35 657, 266 02 405, 060 44 $8, 541, 725 08 ' 220, 489 75 778, 003 28 223 962 79 853 668 13 224, 877 89 210, 874 07 132, 699 16 •296,100 15 266, 727 98 418,773 31 239, 066 63 ' 49, 737 31 No. 9 606 33, 584 99, 898 110, 774 91, 309 68, 364 210, 293 91,132 58, 735 44, 797 27, 974 37, 891 32, 679 24 353 16, 417 19, 498 ^ 21, 712 24, 087 Amount. $37,111,957 47 91, 664, 467 76 159, 917, 380 83 158, 040, 305 05 177,536,134 34 240, 895, 086 55 196, 952, 639 67 207, 563, 432 39 154, 648, 298 32 137,587,164 89 139, 911, 580 61 48, 025, 763 77 30, 586, 7J.0 35 26, 094, 594 27 25, 912, 519 00 24, 313, 012 26 21, 583, 615 51 21, 489, 073 43 T o t a l . . . . . . . 869,175 96, 056, 501 72 20, 256 66,126, 848 38 10, 996, 836 00 1, 023,103 1, 899, 834, 336 47 SECOND 2:83 AUDITOE. STATEMENT No. 3. Tro2'>eriy accounts adjusted and miscellaneous work 2^eiformed in connection with the settlement of accounts. o o fee .For t h e y e a r e n d i n g 2.9 S.5 r i ZJ June Jnne . June Juue June June June June June June June June June June June June June June ' 30,- 1862, 30, 1863 30. 1864 30, 1865 30, 1866 30, 1867 30, 1868 30, 1869 30, 1870 30, 1871 30, 1872 30; 1873 30, 1874 30, 1875 30. 1876 30, 1877 30, 1878 30, 1879 Total." 5, 021 7,368 29, 745 163, 429 176, 263 141, 698 129, 463 91, 322 43, 689 39,171 237, 675 41, 775 31,138 4, 932 4,746 5,613 4, 712 4,295 882 1, 470 2, 374 2, 210 19, 099 .27, 236 41, 217 26, 526 22, 865 22,-955 13, 873 18, 346 17, 618 11, 981 7,856 9, 569 16, 918 27, 327 14, 584 40, 651 -108, 373 126, 569 370, 020. 478, 477 603, 698 405, 745 363, 556 233,129 202, 658 265, 544 237, 485 13.1,321 101,140 106, 046 105, 496 132, 230 37, 473 134, 816 254, 690 170, 340 245, 903 436, 305 220, 209 171, 931 173, 487 237, 754 133, 9.57 194, 574 186, 584 118, 602 94, 464 116, 563 121, 066 119, 996 1,162, 055 290, 262 4, 026, 722 3, 218, 714 5,589 5,144 5,410 5,995 2,698 2, 401 1, 868 2, 709 2, 842 2, 519 2, 606 2, 679 3, 261 3, 4403,386 3, 957 4,481 5,162 66,147 38, 904 74, 041 134, 328 320, 408 125, 315 16, 435 18,138 29, 309 42, 309 35, 647 53, 849 22, 874 9,046 10, 068 11, 558 942, 229 It -AAnll be observed that diiring the last fiscal year the current Avork ofthe office has fallen in .arrear, there being 4,985 more accounts and claims on hand aAA^aiting adjustment on June 30, 1879, than on June 30, 1878. A t the same time the work performed in 1879 is greatly iu excess of any year since 1875, A\dien the' number of employes was reduced to 175. The increased arrearage is attributable partly to the continued increase of work and partly to the fact that the clerical force is inadequate to the prompt transaction of public business. In the annual report for 1876 it Avas stated that ^4n conse'quence of the large reduction recently made in theclerical force ofthe office it Avill be hardly possible to do more at present than to dispose of the current Avork. If, indeed, further aiTcars do not accumulate, greater delays in settlements must occur to disappoint the expectations of claimants and disbursing officers, notAvithstanding the best efforts of the gentlemen employed.'^ Since 1876 the force- has been still further reduced to 145, but the business of the office has steadily increased, as Avill be seen by the sub. joined figures: Number of ac- Number of accounts and counts and. claims adclaiuis rejusted. . ceived. , Fiscal year. 1876 1877 1878., 1879 ' " 18,826 20, 876 26, 415 34, 517 22,168 25, 923 27 245 29, 532 284 REPORT ON THE FINANCES. The correspondence of the office and the number of requisitions on . the Treasury issued by the War and Interior Departments have alsoincreased as follows: "" Letters written Requisitions registered 1876. 1877. 1878. 1879. 101,140 3,386 106, 046 3,957 105, 496 4,481 132, 230 5,162 Under the act of February 19,1879, entitled ^^ An act for the payment to the officers and soldiers of the Mexican Avar of the three months' extra pay piwided for by the act of July 19, 1848," a large number of ;claims haA^e been presented for settlement. After due consideration and consultation, the accounting officers decided that, sb far as Army claimants are concerned, the act of 1879 merely revives the act of 1848, which limited the alloAvance of three months' extra iDay to those Avho were in actual service and served out the term of their enlistment or were honorably discharged during the war, and to certain relatives of deceased soldiers. In accordance with this decision, ahd pending additional legislation^ action lias been deferred on the applications of those officers and soldiers Avho continued in the military service after the close of the war, and who were not entitled to extra pay under the provisions. of the act of 1848. ' As-might be expected, numerous claims have been presented, no doubt in good faith, by parties Avho Avere paid in full, either by paymasters on muster-out, by the Pay Department prior to July 25, 1850, or through this office subsequent to that date. Up to the 30th ultimo the total number of claims filed under the act of February 19 was 3,208, of which 2,721 have beeu disallowed and only 19 paid, leaAung 468 on hand for future settlement. In addition to these formal claims, 5,633 letters, inquiring Avhether the writers Avere entitled to extra pay, have been received a^nd answered in the negative. In these old cases, where nearly a third of a century has elapsed since the services Avere rendered, letters of inquiry involve the same labor and research as the preliminary examination of regular claims, and materially add to the work of the office, but in such a way that the increase cannot A^ery Avell be shoAvn in any report of work performed. The gentlemen emjDloyed in this office are deserving of special cbmmendation for the manner in which they haA'-e performed the constantlyincreasing work allotted to them. In ability, industry, faithfulness, and the competent discharge of their duties, it is belieA-^.ed that they will compare very faA^orably with the clerical force of any bureau o t the department. Very respectfully, . C. F. HBEEING, . ' Acting Auditor. Hon. J O H N SHERMAN, Secretary of the Treasury. , EEPOET OF THE THIED AUDITOE. REPOET . OF ' THE THIED AUDITOE OF THE TEEASFEY. TREASURY DEPARTMENT, T H I R D AUDITOR'S O F F I C E , Washington.^ Octoher 25, 1879. S I R : I have the honor to transmit herewith report of the operations, of this office for the fiscal year ended Juue 30,1879. The following statement shows, in tabular form, the nuinber and amount of accounts and "claims received and audited, and the number and amount of accounts and claims remaining unsettled at that date, viz: D e s c r i p t i o n of accounts.- I O .be . ill m N u m b e r of a c c o u n t s sett l e d i n t b e fiscal y e a r ended J u n e 30,1879. N u m b e r of a c c o u n t s u n s e t t l e d J u n e 30,1879. • "-A Montbly Montbly a n d quar- a n d quar- A c c o u n t s . terly. terly. Quartermasters' money Q u a r t e r m a s t e r s ' .property Commissarys' money P e n s i o n a^^'ents'mouey Engineers' money Signal officers' m o n e y Sig-nal officers' p r o p e r t y Claims for b o r s e s lost C l a i m s for s t e a m b o a t s , destroyed .' Oregon w a r claims M i s c e l l a n e o u s claims S t a t e w a r claims Total A m o u n t involved. 605 379 659 114 23 5741 5,465 2, 754 2,806 1,964 256 •222 100801 202 2,801 $11,116, 421 01 2,965 1,998 2, 971, 356 37 281 25, 765, 870 58 212 3,737,851 00 107 414, 483 47 663 471 81," 435" 84' 72 663 12, 572 9 2 287 4, 246 3 1 240 4,144 20, 659 13, 643 13. 886 • 3 1, 020 00 35,358 09 4, 340, 957 91 369, 834 70 48, 834, 588 97 A c c o u n t s . A n J o u n t involved. 558 $1,800,068 67 220 625 823,183 14 89 12, 275,103 43 33 2, 342, 074 34 50 143, 772 13 179 5,196 941, 316 51 73 710 12, 674 9 727, 378 8-7 5,499 69 8, 427, 840 54 4, 247, 868 07 20 416 '31.7.34.105 3ft ' ' BOOKKEEPER'S DIVISION.—(J. F. Jones, chief.) The duty devolving upon this division is to keep the appropriation andmoney accounts of disbursing-officers, which are settled in this office. The annexed statement shows the amount drawn out of cer tain of its appropriation accounts, and also, the repayments made through this office into the Treasury, and is a full exhibit of its financial operations during the fiscal year. 288 REPORT ON THE FINANCES. 'Statement showing thefinanciaVo2)erationsof the Third Auditor^s Office dwring the fiscal year ended June 30, 1879. Ill rt A ® O S 00 si" "i% 3 ^ H- Total. Number of requisitions drawn by the Secretaries of War and Interior upon tbe Secretary of tbe Treasury in favor of sundry persons, 7,780, amountina" to $64,427,085.97, paid in tbe Inanner berein set forth and out of the following appropriations, viz: $42, 048 49 $4, 426 22 $3, 413, 961 41 $3, 460, 436 12 Kegulai^ suijplies, Q. M. D 44, 862 30 1, Oil, 411 87 227 61 1, 056, 501 78 Incidental expenses, Q. M. D 43, 044 62 2,760 14| 896, 387 72 942,192 48 Barracks and quarters, Q. M. D . . . ! . . . . 652, 550 62 10, 588 97 4, 077, 993 93 4, 741,133 .52 Army transportation 1, 500 755 1, 500, 755 79 Army transportation Pacific railroads. 885 74, 999 59 75, 884 95 Construction and repairs of bospitals.. ^ 10, 392 01 204,164 63 214>, 556 64 Cavalry and artillery horses Constructing jetties and other works 1, 750, 000 00 1, 750, 000 00 at South Pass, Mississippi River 10,193 06 .138, 601 51 National cemeteries '. Pay of superintendents of uational 56, 369. 32 51 00 56, 420 32 cemeteries • 41, 947 1,101, 833 71 Clothiiag, camp and garrison equipage. 1, 059, 697 91| 188 17 350, 081 68 350, 081 68 Observation and report of storms . . \ . . Transportation of officers and their b.aggag e 923 17,923 17 •Support of military prison at Port • 83 Leavenworth, Kans * ... 58, 847 83 Pay, transportation, services, and sup-, plies of Oregon and Washington volunteers in 1855 and 1856 19, 485 97 Protection of Confederate cemetery at Johnson's Island 1, 500 00 1, 500 00 100, 000 00 Military post near the Black Hills 100, 000 00 Eefandlng to States expenses incurred 198, 889 36 198, 889 36 in suppressing the rebellion Military post near the northern bound100, 000 00 -' ary of Montana : 100, 000 00 10, 575 81 10, 575 81 Signal Service 65, 726 00 '" 65,726 Op ' Expenses at Military Academy Construction, maintenance, and re40;000 00^ pairs of military telegraph lines 40, 000 00 Claims for quartermaster's stores and 279, 998 18 ' commissary supxilies, act July 4,1864. 279. 998 18 Claims of loyal citizens for supplies .723,119 18 furnished during the i-ebellion. .. 722, 989 91 129 27 Miscellaneous claims audited by Third 94, 223 11 . Auditor, sec. 4,. act July 14, 1878 94,037 95 185 16 Military teleecraph lines frbm Bismarck ' 50, 000 00 to Port Eliis. I ' State of Tennessee, for keeping and maintainins: United States prisoners, act July 13T 1879 $22, 949 4d . 22, 949 49 7, 000 00 '.Macadamized road, Vicksburg, Miss... Erection of barracks at Portress Mon. 25, 000 00 roe, Va ..'. 25, 000 00 99 51 • 99 51 Headstones for national cemeteries*.... .Pemoving remains of officers, to na100 00 tional cemeteries 100 00 6,747,760 90 6, 747, 760 90 Engineer appropriations 2,142,129 10 2,113, 675 00 27,850 09 Subsistence of the Army 604 01 115, 062 06 108, 854 07 6, 207 99| Lost horses, &.C., act March 3, 1849 Commutation of rations to prisoners 1, 340 87 of Avar in rebel States 1, 332 7 38, 076, 656 22 Army pensions 38, 058, 660 00 8, 212 20| 9, 784 02 Pelief of James D. Holman 25, 000 00 , 25,000 00 Pelief of AA'^illiam Johnson and John 2, 440 90 • D. Francis 2, 440 90j Pelief of the Eichmond Female Insti4, 933 33 tute , -.". 4, 933 33 Eeimbursement to Baltimore for aid in construction of defensive works in 96,152 00 1863 '. 96,152 00 Eelief of the families of the men who perished on the United States dredge13, 200 00 boat McAlister 13, 200 00 THlliD 2:89 AUDITOR. Transfers not involving an expenditure from the Treasury. Advances to officers and agents duiing the Iiscal yeaa-. Statement showing the financial 02yerations of the Third'A.uditofs Office, c f c — u ontinued. bfl .9.di toed .g ® 3^ o Total. CO o $67 50 $67 50 E e l i e f of p e r s o n s suffering from r a v $663 99 E e l i e f of G e o r g e l i . D e n n i s Eelief of M r s . E m m a A . P o r c h . E e l i e f of E m i l i e E . H o o e C a p t u r e of Jefferson D a v i s H e a d s t o n e s for gi-aves of soldiers i n p r i v a t e c e m e t e r i e s , a c t P e b . 3, 1879 . 663 2, 394 700 1,455 293 2, 394 6,6 700 00 1, 455 33 $293 00 99 66 0.0 33 00 $10, 000 00 10, 000 00 58, 662, 421 56 5, 559, 597 77 35, 773 43'l69, 293 21 64, 427, 085 97 The number of credit and counter requisitions drawn by the Secretaries of AVar and Interior on sundry persons in favor of the Treasui^e.r of the United States is 1,116, on Avhich repayments into the Treasury have been made through the Third Aiiditor's Office during the ffscal year ended June 30, 1879, as follows: Deposits ' $1, 089, 587 70 Transfer accounts 185, 263 69 Total. :.- 1.274,851 39 . T H E QUARTERMASTER'S DIVISION.—(I.. S. Tichenor, chief.) The accounts of quartermasters cover a Avide range of money and property responsibility. The fornier embraces disburseuients for barracks and quarters, hospitals, storehouses, offices, stables, and transportation " of Army suxiplies, the purchase of Army clothing, camp and garrison equipage, cavalry and artillery horses, fuel, forage, straw, material for bedding, and stationery; pa^^^ments of hired men and of ^^ per diem" to extra-duty men; exxienses incurred in the pursuit and apprehension of deserters, for the burial of officers and soldiers, for.hired escorts, expresses, interpreters,. spies, and guides, for veterinary surgeons and medicines for horses, 'for suxiplying x^osts with AA^ater, and for all other proper and authorized putlays connected with the movements and operations of ,the Army not expressly assigned to any other department. Property purchased Avith the funds of the Quartermaster's Dex:)artment is accounted for upon ^'returns" transmitted through the QuartermasterGeneral to this office (with the exception of ^^returns of clothing, camj) and garrison equix3age,'\Avhich come under the supervisioii of the Second Auditor), showing that the disposition iiiacle of it is in accordance A\dth law and Army regulations. Statement sliowing tlie 02)ei'ations of the Quartermaster's Division for the fiscal year ended June 30, 1879. Money accounts. . Number. / On ha.nd p e r l a s t r e p o r t . E e c e i v e d d u r i n g t h e fiscal -year Total : Amount involved. Supplemental settlements. Prpperty returns. Property. Amount involved. Money. 605 $1, 721,.562 85 379 2,754 11,194, 926 S3 2, 806. 18 207 $156 083 70 3,359 12, 916, 489 68 3,185 18 207 156,083 70 2, 801 558 11,116, 421 01 1, 800, 068 67 2,965 '220 18 207 156, 083 70 3,359 12, 916, 489' 68 3,185 18 1 207 156, 083 70 E e p o r t e d d u r i n g t h e fiscal Remaining unsettled Total . 19 E 290 REPORT ON THE FINANCES. Siatement showing the 02)erations of the Quartermaster's Division, cfc.—Continued. Total.. Signal accounts. Property. Money. On hand per last report Eeceived during the fiscal year Total -• Eeported during the fiscal year Eemainino" unsettled . . . Total 41 • 801 842 ' ' Amount involved., Amount • involved. Nuniber. 57 . $187, 737 96 100 370,517 64 • 1, 082 6,686 $1, 909, 300 81 n 7^1 5^8 17 157 558, 255 60 7,768 13, 630, 828 98 663 179 107 50 414, 483 47' 143,772 13 6,761 1,007 11, 686, 988 18 1, 943, 840 80 842 157 . 558, 255 60 7, 768 13, 630, 828 98 ISTumber of letters Avritten by Quartermaster's DiAdsion, 6,153; average number of clerks emxiloyed, 17f; number of A^ouchers examined, 199,375; number of x^ages of manuscrix3t AA^ritten, 5,351. SUBSISTENCE DIVISION.—(AndrcAV CauldAvell, chief.) The Subsistence Division examines the accounts of all commissaries and acting commissaries in the Army AA^hose duties are to xiurchase the , Xirovisions and stores necessary for its subsistence, and to see to their Xiroper distribution. These commissaries render monthly money accounts, Avith x>i'OX^er A^ouchers for disbursements of the funds intrusted to them, together Avith a provision-return, shoAving the disposition of x^roAdsions and stores Xiurchased or deriA^ed from other sources. These accounts are received through the Gommissarj^ General of Subsistence, and are examined aud audited in this diAdsion. , The money accounts and Avouch ers, together Avith a certified stateiueut of the result of said examinations, are then referred to the Second Comx")troller of the Treasury for rcA-^ision. Upon their return from the Comptroller, AA-ith the settlement axDX^roA^ed, the officers are notiiied of the result and called upon to adjust or explain any omissions or errors that may have been discoA^ered. The money and provision accounts, together Avith the A'-ouchers and papers belonging thereto, are then XDlaced in the settled files for future reference, and remain xiermanently in the custod}^ of this office. The engineer branch, is engaged in the ejxamination of the accouuts of officers and agents of the Engineer Department, Avho, under direction ofthe Chief of Engineers of the Army (except the Sux^erintenijent of the Military Academy at West Point, whose disbursements are directed by the Inspector-General), disburse moneys out of the various ax^x^ropri: ations, now 248 in number, made from time to time by Congress for Avorks of a public nature,-Avhich may be classed under the Mlowingheads, A'iz: The purchase of sites and materials for aud construction and repairs of the A^arious fortifications throughout the United States; coiistfuction and rex')airs of roads, bridges, bridge-trains, &c., for armies i n t h e field; surA^eys on the Atlantic and Pacific coasts; examinatiou and suTA^eys of the northern and Avestern lakes and riA^ers; construction , and rexiairs of breakAvaters; rexiairs and imxirovement of harbors, both on sea and lake coasts; iinx^rovement of riA^ers and xiurchase of snag and dredge boats for the same; and the exxiense of the Militaiy Academy at West Point. 291 THIRD AUDITOR. . T h e transactions of the subsisteuce and engineer branches forthe fiscal year are shown by the following statement. Adz: Engineer accounts. Subsistence accoimts. Provision Nuniber. returns. Amount involved. 1 On hand per last report, June 30, 1878 Eeceived during fiscal year. Total Audited during fiscal year '. Eemaining on liand June 30,1879 659 1,964 $844, 644 29 2,949,895 22 2, 623 3, 794, 539 51 1, 998 .2, 971, 356 37 555 1, 964 2, 519 ^ 1, 998 • 23 $1,154, 028 70 222 4, 925, 896 64245 212 6, 079, 925 34 3, 737, 851 00 33 2, 342, 074 34 521 625 1 82.3,18'3 14 dumber of A^ouchers examined, 113,348; number of letters Avritteu, 1,649; number of difference sheets AA^ritten, 784; number of "calls" ansAA'ered, 636; number of clerks employed, 9. CLAIMS DIVISION.—(W. S. Stetson, chief.) This division has the settlement of claims of a miscellaueous character arising iii the A^arious branches of serAdce in the.War Department and groAving out ofthe X3urchase or apxiropriation of supxilies and stores for the Army; the xiurchase, hire, or>ax3X3i*ox3riation of Avater-craft, raikoad stock, horses, wagons, and other means of transportation; the transX3ortation contracts of.the Armj^; the occupation of real estate for camx)s, barracks, hospitals, - fortifications, &c.; the hire of emxiloyes,. mileage, courts-martial fees, traA^eling exxienses, commutations, &c.; claims for compeusation for Aressels, railroad cars, engines, &c.; lost iu the military service; claims growing out of the Oregon and Washington war of 1855 and 1856, and other Indian wars; claims of A^arious descrix^tions under sxDecial acts of Congress, and claiins not otherwise assigned for adjudication. Miscellaneous claims for fiscal year 1878-1879. i I Number. jI On hand July 1, 1878 Eeceived during the year . Total Disposed'of during the year. On hand July 1, 1879 . . . . : . . . . .Amount claimed. .Amount aUowed. 12,572 nt$S, 059,, 707 83 4, 246 &4, 709,090 62 16, 818 I 12, 768, 798 45 4,144 ! c4, 340, 957 91 $3, 840, 022 26 12, 674 fi8, 427,.840 54 aThis is the amount claimed in 11,072 cases, the araount claimed in tbe otber 1,500 cases not being stated. b This is the amount claimed in 4,090 cases, the amount claimed in the other 156 cases not being stated. c Tbis is the amoant claimed in 4,011 cases, the amount claimed in the other 133 cases not being stated. rfTbisisthe amount claimed in'11,142 cases, theamouut claimed in the other 1,532 cases not beiug stated. "• ' JSTumbcB of letters written during the year, 2,709. 292 EEPORT ON THE FINANCES. Oregon a n d AA^ashington I n d i a n w a r claims, it55-'56. ^ \ Number. Amount claimed. Amount aUowed. L o s t vessels, a c t M a r c h 3, 1849. 72 $702, 378 87 2 26, 020 00 663 a$18, 254 44 287 &22, 603 34 On h a n d J u l y 1 1878' Eeceived duriug t h e year Total On h a n d J u l y 1, 1879 950 240 40, 857 78 c35, 358,09 710 d5, 499 69 Amount allowed. Amount claimed. Number. , $24, 7i9 08 > 74 1 728, 398 87 1,020 00 73 727, 378 87 $1, 000 00 a This is the amount claimed in 342 cases, the amount claimed in the other 321 cases not being stated. b This is the.amount claimed in 98 cases, the amount claimed in tbe other 189 cases not being stated, c Tbis is the am'ount claimed in 95 cases, the amount claijned in the other 145 cases not being stated. cJThis is the amount claimed in 345 cases, the amount claimed in the other 365 cases not being stated. Number of letters written during the year, 174. Pettengill, chief.) The duties of this division, embrace the settlement, under the various "acts and resolutions of Congress relating thereto, of all claims of the scA^eral States and Territories for the ^^cost, charges., and expeuses ^TO^erly incurred by them for enroUing, subsisting, clothing, supx)lying, arming', equipping, paying, and transportiDg their troops e,mx:)loyed in aiding to suppress the recent insurrection against the United States," and all claims arising out of Indian and other border iuA^asions. Also the settlement of claims for compensation for loss of horses and equipage sustained by officers or enlisted men Avhile in the military serAdce of the United States, and for the loss of horses, mules, oxen, Avagons, sleighs, harnesses, while in said serAdce, by imx^ressment or contract. ' . , STATE AND H O R S E CLAIMS DIVISION.—(T. E . G . Original a c c o u n t s . S u s p e n d e d a c c o u n t s . s t a t e claiuis. Number. 9 . * S F>Fx(^ R 7 f t F^Cx 3 1 1, 060i 824 21 C n h a n d J u n e 30, 1878 E e c e i v e d d u r i n g t h e fiscal y e a r e n d e d J u n e 30, 1879 Total E e p o r t e d d n r i n g t h e fiscal y e a r e n d e d J u n e 30, 1879 On h a n d J u n e 30,1879 Amount. -. Number. Amount. 24- $4, 400, 910 15 12 3 .4, 617, 702 77 369, 834 70 24 3 4, 409, 910 15 24, 758 74 . 9 4, 247, 868 07 21 4, 385,151 41 Original accouiits. H o r s e claims. Nuniber. Amount., On h a n d J u n e 30, 1878 . . . E e c e i v e d d u r i n g t h e fiscal year e n d e d J u n e 30, 1879 E e c o n s i d e r e d d u r i u g t h e fiscal yetir e n d e d J u n e 30, 1879 Total •. A l l o w e d d u r i n g t h e fiscal y e a r ended J u n e 30, 1879 .-. A m o u n t disallow^ed on s a m e T o t a l a m o u n t claimed •: E e j e c t e d d u r i n g t h e fiscal y e a r e n d e d J u n e 30,1879 D e d u c t a s finally d i s p o s e d of d n r i n g t h e fiscal y e a r On h a n d J u n e 30,1879 369 ^ 102 ^r ^-^-*•5, 465 158 •'44 $971, 461 82 45, 271 78 6 038 75 5, 667 1,022,-752 35 $54, 638 84 5, 931 S5 .60, 570 69 20, 865 15 C 471 81, 435 84 5,196 941 316 51 Number of briefs made, 1,095; nuinber of claims examined and suspended, 2,127; number of letters receiA^ed, 4,129; number of letters AATitten, 5,949; number of clerks, 5. ' • 293 THIRD AUDITOR. COLLECTION DIVISION.—(J. M. Yale, chief.) Statement of husiness transacted hy the collection division during tlie year ended June 30,1879. Special cases. ^00 Date. a cn pi o K o rJ -P W H July, 1878 August. 1878 September, 1878... October, 1878 November, 1878... December, 1878 . . . Januarv, 1879 Pebruary, 1879.... March, 1879 AprU, 1 8 7 9 . . . . . . . . May, 1879 Juiie, 1879 Total. 548 1,133 1, 903 1,968 1, 859 1,105 2, 359 5, 207 2,224 1, 892 1,923 22,121 350 203 198 214 211 150 309 146 343 294 281 254 3, 701 2, 074 2,158 2, 354 2, 896 2, 462 4,126 2,654 3, 708 3,864 3,803 3, 381 37,181 559 896 723 810 589 681 1, 047 979 1, 394 1, 203 957 780 332 18,578 2.56 20, 399 160 ! 18, 281. 118 19, 661 114^ 175 170 ' 12, 278' 45^ 10, 361 16* 146 11.483 253 20" 101 4,791 18 317 7,099 26 8,716 273 30 4, 784 15 282 294 10,618 2,759 139, 313 541^' During the x^ast fiscal year nothing has been done in checking x3rox> erty x^i^rchased and x^aid for on abstracts A, A A, and B ux^on the accountability abstracts of the xiurchasing officers, because of the insufficiency o l force ih the collection diAdsion. The imxiortance of this work, in order to protect the government from fraudulent and erroneous claiuis, has been set forth in xireceding annual rexiorts. Work has been continued during the fiscal year in a.bstracting the names of soldiers of the war of 1812, for the purxiose of arrangement in. alx^habetical registers, with all the clerical force available. Two hundred and seventy-one thousand two hundred and thirty-four payments haA^e been abstracted, which is probably one-fourth of the xDayments made for serAdces in that' war. In ord.er to complete these registers within a xieriod of time that A\^ill be aAT^ailable to the old soldiers and their widows Avhose applications for pension are UOAV pendiug in the office of the CoiiiDiissioner of Pensions, but Avhose service cannot to traced for lack of data to base a search upon, an increase in the clerical force in this division Asdll be necessaiy. Iii many cases, of widoAVS esxDCcially who know the fact by , tradition that their former husbands serA^ed in the Avar of 1812, the claimants do not knoAY or haA'C forgotten the names of the officers under Avhom they served. Until these alx^habetical registers are comxileted, this office is unable to trace the serAdce of any soldier without the name of the captain or colonel under Avhom' the soldier served; when these registers s h a l l b e completed, a knowledge of the name of the soldier wdll be a sufficient cliie to trace his military serAdce. The current work of the collection diAfision has largely increased during the fiscal year, and, if the same ratio of increase continues, additional clerical force will be required to keex3 it uj). A R M Y P E N S I O N DIVISION.—(W. H. Whitney, chief.) • The duties of this division embrace the settlement of all accounts which pertain to the xiayment of Army pensions throughout the United States. An account is kex^t with each xiension agent, charging him with all moneys adA-anced for xiayment to x)ensioners, under the xiroper bond 294 REPORT ON THE EINANCES. and fiscal year. A t the end of each month the agent forwards his A^o.uchers, abstract of x^ajnnents, and inoney statement direct to this office, where a preliminary, exainination is made to see if the money adA-anced is x^i'ox^^i'ly accounted for. The receipt of the account is then acknowledged, and the account filed for audit. Each voucher is subsequently examined, and the xiayment entered on the roll-book opposite ; the pensioner's name. The agent's account, when audited, is reported to the Second Comxitroller for his rcAnsion, and a copy ofthe statement of errors, if anj-, sent to the agent for his information and explanation. The account, AAdien. rcAdsed,. is returned by the Second .Comptroller to this office and placed in the settled files, where it»permanently remains. The folloAAdng tables show the ox:)erations of this division during the fiscal year: ' ' ^ . Amou7its refunded to the credit of the folloiving appropriations during the fiscal year ended June 30, 1879. Invalids, 1871 AA^idows and others, 1871 Invalids, 1872 '. AA^ar of 1812, 1872 AA^idows and others, 1872 Army x)ensions,. 1873 Army pensions,' 1874 Ai-my pensions, 1875 Army pensions, 1 8 7 6 . . . . . J : , .' -• - Army pensions. Balance on hand June 30, 1878, ap propriation 1877 Amount refunded and deposited, appropriation 1877 ....... Total Amoiint paid on settlement of accounts, appropriation 1877.. ... Balance to credit of appropriation, June 30 1879 $334 8,091 . 209 53 776 516 760 1, 019 20, 096 $753, «: 05 , ,108 56 ..9,910 61 2, 665 83^ 757, 244 78 Compensa; tion. $1, 386 68 Fees on vouchers Dees to . surgeons $38,161 50 $36,159 11 26 49 1, 413 17 4 00 38,161 50 275 49 12 68 , 1,137 68 38,148 82 36,163 11 ^ 13 40 36,149 71 96' 72 80 33 46 92 47 93 48 To:.a!. . $; :, 509 34 6,139 05 £35, 648 39 2,'967 40 832, 680 99 NOTE.—The above amounts were all carried to the sur]5lus ti-.nd. Army pensions. Compensation. Eees on vouchers. Eees to surgeons. Total. ' 1 Balance on hand June 30, 1878, appropriation 1878 Amount refunded and deposited, ap1 propriation 1878 Total..: ; Amount paid on settlement of accounts, 'appropriation 1878 Balance to credit of apiiropriation June 30, 1879 $887, 922 08 $129, 251 31 $19, 463 25 $7, 381 23 $1, 044, 017 87 298,760 02 1,100 18 1,172 25 1, Oil 36 302, 043 81 1,186,682 10 130, 351 49 20, 635 50 8, 392 59 1, 346, 061 68 3, 066 00 6, 479 62 5, 326 59 1, 339. 582 06 3, 407 62 1,183, 274 48 6 00 130, 345 49 20, 635 50 THIRD 295 AUDITOR. Amount appropriated to pay Army pensions for the fiscal year, ended June 30, 1879.^ Invalids •. AA^idoAvs, minors, and dependent relatives Snrvivors war 1812, act 14tli February, 1871 AA^idows war 1812, act 14tli February, 1871 Survivors war 1812, acf9th Marcb, 1878 AAT-idows Avar 1812, act 9tb Ma,rcb, 1878 .Fees to examining surgeons Pay and alloNA-ances.. $13,150,000 12, 830, 000 800,000 280, 000 532, 000 ^ 967,974 50, 000 213,500 ". -,. 00 00 00 00 00 00 00 00 > • 28,823,474 00 Amount drawn against tbe $1,800,000 a.pproiiriated for Army-and Navy, act January-27, 1879 , 1,052,637 m Amount drawn against tbe $1,800,000 after June 30, to make amount of agents' payment ^.... 88,833 02 Amount to be accounted for (as follows) ' 29, 964, 944- 68 Amount paid invalids.. $14,771,393 57 Amount paid widows 11,128, 566 50 Amount paid survivors war 1812, act 14tb Feb'y, 1871. 654, 070 31 Amount paid widows Avar 1812, act 14tb Feb'y, 1871. • ' 268, 901.96 Amount pa-id survivors Avar 1812, act 9tb Marcb, 1878. 343,272 01 Amount paid AvidoAvs Avar 1812, act 9tb Marcb, 1878. . 1,923,608 24 Ambunt paid fees to examining surgeons 85,543 50 Amount paid pay and alloAvances 201,967 24 Amount of unexpended balances in agents' bands to be deposited . 587,62135 . 29,964, 944 68 Arrears of pensions, acts January 25 and Marcb 3, 1879, xiaid as follows: Amount paid iuA^alids . Amount paid widows and others Amount paid fees on A^ouchers 2^842,-658 23 1,176,869 10 1,884 00 Total paid to J u n e 30, 1 8 7 9 . . . . '.... 4,021,411 33 The following tabular statement shows the number of accounts received and audited during the fiscal year: Number. Accounts on hand June 30, 1878 Accounts received during the year ' 1 Total Accounts reported to the Second ComptroUer Accounts on band unsettled ...Toital . '. Amount inA^olved. 114 256 $11, 917, 862 37 26,123, 111 64 370 38, 040, 974 01 281 89 25, 765, 870 58 12, 275,103.43 370 38, 040, 974 01 NOTE.—The 89 unsettled accounts belong to the fiscal year 1879. Pensioners recorded Pensioners transferred Pensioners increased Pensioners restored . . . . . . . . . . . Certificates reissued Changes noted Corrections made Pension Avouch ers examined . . . Payments entered , Pages of abstract added Pages of miscellaneous cox)ied . Payments corrected 27,888 931 6,770 752 924 a, 187 2,247 968,191 928,182 30,838 1,558 436 296 REPORT ON T H E FINANCES. Copies of surgeons' cerfcificatessent to Commissioner ,, Vouchers Avithdrawn from files Letters received and registered • Letters written -. Letters copied and indexed , Pension checks A^erified before payment, 190, amountiug to .•.......--.. Pension checks reported for coA^er to outstanding liabilities, 225, aimountingto..-." ': . Settlements for ^^lost checks" made, 51, amounting to : 227 5,134 3, 315 3,897 3, 287 $5, 323 82 , $4,803 42 $2, 892 00 The following tabular statement exhibits the number and amount of accounts on hand and unsettled July 1, 1869, together with those received and audited each fiscal year since: N u m b e r . A m o u n t iuA'olA^ed. N u m b e r . A m o u n t involved. • On h a n d J u l y 1 1869 R e c e i v e d d u r i h g fiscal E e c e i v e d d u r i n g fiscal B e c e i v e d d u r i n g fiscal KeceiA^ed d u r i n g fiscal U e c e i v e d d u r i n g fiscal R e c e i v e d d u r i n g fiscal E e c e i v e d d u r i n g fiscal E e c e i v e d d u r i u g fiscal EeceiA^ed d u r i n g fiscal E e c e i v e d d u r i n g fiscal year year year year year yea,r year A^ear year year 1870 1871 1872 1873 1874 1875 1876..' 1877. 1878 1879 : '. ' O n h a n d a n d receiA^ed A m o u n t audited B a l a n c e on h a n d J u n e 30, 1879 •. 637 714 930 684 711 864 798 741 834 . 538 256 • / $34, 811, 593 27, 743, 819 28, 513, 262 28, 661, 597 28, 756, 702 29, 708, 332 29, 572, 855 28, 348,161 27, 899, 359 33,194,149 26,123, 111 83 29 . 44 26 92 26 54 99 30 18 64 7, 707 ' 7 , 618 323, 332, 945 65 " 311, 0.57, 842 22 89 12, 275,103 43 ' 631 789 900 795 786 619 1,150 952 71.5 281 7, 618 $25, 596, 876 32, 813, 334 40, 000, 205 33, 926. 556 26, 431, 956 •19, 888. 428 . 48, 433; 036 34, 067, 985 24,133, 591 25, 765, 870 39 28 68 19' 71 52 92 43 52 58 311, 057, 842 22 Congress, uiider act March 1, 1879, authbrized the amount Avithheld from pensioners under act March 3,1865, by reason of being in the civil employ of the goA^ernment, to be refunded, and in nearly CA^exy case the amount due had to be verified by this ofhce before x^siyment could be rnade by the agents for paying pensions. The acts granting '' arrears ot X3ehsi6h^^ added a vast amount of labor to this division, and the force emxiloyed therebii A^as not inci'eased in x^roxDortion to the amount of extra duty required, as was * dotie in the office of the Oommissioner of Pensions. These, combined, have caused an accumulatiion of A\^ork, and with the xiresent force it cannot be kex)t up, although the clerks on this diAdsion are doing the best in their power to facilitate official business. The force emx^loyed during the year numbered thirty-eight cleiics and t!w6 cox^yists. The following tabular statements exhibit the amount disbursed by the several agents, and the unexxaended balances in-their hands during and at the close of the fiscal year. Amount dishursed hy pension agents during the fiscal year ended June 30,1879, as State. Agency. ilnvaUds. Widows and others. own- by their accounts-current. W a r 1812, act Eeb- Waa: 1812, act M a r c h < 1878. raary 14,1871. Surgeons. Survivors. Widow^s. Survivors. California San Francisco . . Do Washington . . . Indianapolis Chicago Des M o i n e s . . . . LouisvUle . . : . . NeAV Orleans Boston Saint Louis Detroit Concord ..NCAV Hampshire. Canandaigua < New York Do NeAV.Tork City. Ohio Columbus .. Pennsylvania Pittsburgh Do Do Philadelphia Do Temiessee Knoxville Wisconsin MilAvaukee Do -•- Dist. of Columbia. Indiana Ulinois loAva ' Kentucky Louisiana Massachusetts... Missouri. Michigan Albert Hart WiUiam H. Payne John S. Witcher . ri-ed. Knefler . . . . Ada C. SAveet B. B'. G u e . . . E. M. Kelly W. L. McMillen.. D. AV. Cooch Eufus Campion .. Samuel Post E . L . AVhitford... L. M. Drury C. E. Coster A. T. AVikoff James McGregor. AV. A. Herron H.-G. Sickel . . . . . . D. T. Bo.ynton . . . . Edward Ferguson Total.... Deduct amount of OA^erpayments refunded . $95, 557 77 26, 236 20 329, 454 14 042, 026 89 359, 944 70 836, 573 57 277^ 162 82 98, 093 28 980, 233 36 940,125 01 769, 018 89 001, 545 63 041, 869 73 794,143 43 336, 624 91 545, 791 44 230, 762 80 975, 350 66 369, 912 22 723, 452 31 242 07 $4, 054 66 7, 685- 40 1, 637 33 634, 392 48 37, 396 26 733, 632 83 27, 319 21 . 889,576 30 28, 442 41 404. 404 42' 15, 798 13 442; 439 19 28,107 48 ].48, 290 29 52, 853 87 8.58, 207 31 26, 255 19 579, 650 40 26, 646 54 454, 740 12 26, 549 85 848, 910 34 51, 242 -37 818, 443 91 61, 861 09 739, 358 05 47, 397 06 ., 132,733 57 57,518 92 406. 451 83 15,189 05 169, 274 44 3, 547. 20 750, 517 58 20, 214 86 599, 729 89 107, 572 70 477, 141 87 14, 494 13 $576 00 120 00 16, 749 05 8, 658 93 12, 980 79 3, .528 00 14, 957 05 22, 409 32 9, 802 66 9, 357 06 8, 516 26 14, 348 51 22, 539 99 22, 516 79 24, 974 64 6, 765 07 2, 446 40 16, 032 26 47, 927 18 3, 696 00 Total. Widows.. $400 00 $2, 910 77 $1,197 38 107 00 2, 035 50 240 00 9, 951 .23: 115; 707 97 • 4, 412 00 6, 234 00 62,110 54 .7,476 75' 11, 846 48' 64, 510 35 6, 780 00 6, 631 13 3, 770 7-8 9, 341 15 .53, 315 06 .5,606-05 11-, 186 19 92, 355 34 46, 775 95 10, 859 52 23; 520 15 7, 739 74 2, 270 69 4, 565 20 25, 922 83 8, 855 73 Pay and allowances. ' 30; 544- 86 . 5, 804 00 64, 645 04 . 1, 844 00 56, 075 68 486 00 6, 790 50 1805 7,8'806 4'8; 868 04 : 4,950 00 45, 0.56.12 5, 031 00 .5, 503 00 292,136 81 6, 622 00 186, 541 42 4, 202 00 94, 942 43 153, 310 75 10, 630 20 33, 844' 68 3, 864 00 795 00 24-, 571 11 77, 563 88 4, 441 00 2; 755 00 359, 5 9 ^ 51 3,898 00 28, 041 06 $4,182 98 451 98 12, 262 72 12, 256 84 14, 762 26 * 10, 334 59 7,148 ,22 . 4, 273 12 13, 398 10, 748 10.129 16, 245 53 88 65 96 14, 479 54 11, 346 16, 981 7, 625 2, 320 13, 963 10, 036 9; 029 43 34 94 95 98 19 80 $143, 121 38,- 513 2,160, 325 1, 899,715 2, 388,843 1, 313, 618 840, 074 391, 822 2,128, 790 1, 625.951 1, 330,228 2, 322,287 2,199, 133 1, 724,765 2, 756,294 1, 027, 271 435, 988 1, 862,649 1, 523,448 lv268. 608 63 41 85 99 29 70 58 71 67 98 08 96 63 71 48 75 59 42 52 90 14, 773, 879 76 2, 486 19 11,129, 822 29 654, 098 31 [268, 901 96 343, 427 35: 1,923,79.7 58 85,548 70 5 20 155 34 • 189 34 28 00 1, 255 79 201, 97:9 90 12 66 29, 381, 455' 85 4,132 52 14, 771. 393 57 11,128 566 50 654, 070 31 268, 901 96 343, 272 01 1, 923, 608 24 85, 543 50 201,967 24 29, 377, 323 33 u H O. 298 REPORT ON T H E FINANCES. Unex2)ended halances in the hands of 2^e*^sion agents al close of fiscal year, as shown hy their accounts-current. State. ' Do District of Columbia.: Indiauca lUinois loAva Kentucky Massachusetts Do Missouri Michigan New Hampshire New York Do Ohio Pennsylvania Do' Do Tennessee Wisconsin Total Agency. .. . d o Washington Indianapolis Chicago Des Moines LouisA^illc -Boston do Saint Louis Detroit Concord Canandaigua NeAV York City Columbus Pittsburgh do Philadelphia KnoxA^ille. -.. MilAvaukee Agent. : .. '. Albert Haat AVilliam H. Payne. John S. AVitcher Ered. Ixjiefler Ada C SAA'cet B. E. G ue E. M. KeUy D. W. Gooch . do • Eufus Campion Samuel Post E. L. Whitford L. M. Drui'y .. C. E. Coster A. T. Wikoff James McGregor AVilliam A. Herron H. G. Sickel D. T. BoATiton . . . EdAvard Ferguson Amount. .: $16, 835 87 5,486 59 80, 836 72 30, 595 54 14, 250 38 66, 911 30 '.. 5,122 14 5, 058 80 19, 370 53 49, 404 02 . 16, 298 12 47,587 04 39, 932 27 • . . 70, 767 42 59, 863 66 ' 26 55 11 41 35, 644 90 10,789 66 12, 828 43 $587, 621 35 Amount disbursed hy pension agents on account of ^'arrears of 2)G'^^sions'' during thefisoal year. State. California District of Columbia. Indiana Ulinois Iowa Kentucky .'. , Massachusetts Missouri Michigan New Hampshire NeAV Y o r k Do Ohio.... Pennsylvania Do Tennessee Wisconsin Total Agency. Agent. San Francisco.. Wasliington — Indianapolis . . . Chicago : Des Moines Louisville Boston :... Saint Louis Detroit Concord Canandaigua — New York City. Columbus .....!Pittsburgh PliUadelphia — KjioxviUe....... Milwaukee W.H.Payne J.S. Witcher Fred. Knefler Ada C. SAveet B.E. Gue E. M.Kelly D. W. Gooch Enf us Campion Samuel Post E. L. Whitford . - 1 . . L. M. Drury C. E. Coster A. T. Wikoff , W. A. Herron H.G.Sickel D.T. Boynton EdAvard Ferguson . : : Inx-alids. $3, 748 17 296, .560 35 179, 819 19 260, 964 60 125, 997 68 49, 247 21 216, 976 59 189, 587 00 116, 324 64 132, 879 91 2.57, 058 19 199, 709 70 241, 420 64 137, 776 77 244, 687 74 67, 500 44 122, 399 41 Widows. • $46, 359 78 53,142 06 84, 319 86 38, 848 83 57, 406 48 90, 556 85 -69,199 03 33,140 04156, 556 68 117, 387 61 87,. 242 78 108,160 48 61, 818 95 ,73, 483 08 61, 776 80 37, 469 79 2, 842, 6.58 23 1,176, 869 10 A^oucbeifees. • Total. $1 80 162 90 .120 30 158 70 81 90 42 30 139 .50 108 00 66 30 129 .90 183 '30 131 70 164 10 96 90 166 80 56 10 73 50 $3, 749 97 343, 083 03 233, 081 55 345,443 16 164, 928 41 106, 695 99 307, 672 94 2.58, 894 03 149, 530 98 289, 566 49 374, 629 10 287, 084 18 349, 745 22 199, 692 62 318, 337 62 129, 333 34 159, 942 70 1, 884 00 4, 021, 411 ; > u H-i O to CO CD S&O REl^OIJT ON T H E X^INANCES. Unexpended halances ^' arrears of pensions^^ in hands of pension agents June 30, 1879. S t a t e . .^ California D i s t r i c t of C o l u m b i a Indiana Illinois Iowa Kentucky Massachusetts Missouri Michigan New Hampshire NCAV Y o r k Do .. Ohio Pennsylvania • Agent. Agency. : .- Tennessee . AVisconsin'. San F r a n c i s c o AVashington Indianapolis Chicago LouisAalle Boston Saint Louis Detroit Concord . . Canandaigua N e w Y o r k City Colum b u s .' Pittsburgh Philadelpbia KnoxA^iUe MUwaukee Ari-ears. Voucherfees. $21, 251 83 AV. H . P a y n e ' 97, 079 87 : . . . J . S . AVitcher 92, 038 75 F r e d . Knefler 124, 715 .54 A d a 0. Sweet 60,153 49 B. F . G u e 8, 346 31 E..M.KeUy 112, 466 56 D.AA^Goocb .• 2i, 213 97 E u f a s Ca.m])ion 60, 535 32 Samuel P o s t 60, 563 41 E . L. W h i t f o r d 50, 554 20 . . : . . . L.M. Drury • 73, 047 52 C.E« C o s t e r 160, 418 88 A. T.-AVikoff V 25, 404 28 , . . . AV. A . H e r r o n . . . . . . . ' . . . . . . 41, 829 18 H.G.Sickel 70, 722 76 D T Bovuton 130 80 . . Ed^^^ard F e r g u s o n $23 20 237 10 279 70 v>4] 30 218 10 157 70 260 50 292 00 233 70 ^70 10 216 70 268 30 235 90 • 303 10 233 So 243 90 • 226 50 1,080,472 67 3, 941 00 Total THE F I L E S . There are UOAA^ 178,742 money settlements, comprising accounts of quartermasters, commissaries of subsistence, engineer officers, agents for paying pensions, and miscellaneous claims. The x>i*opert.y and x^i'Ovision returns of Army ofiicers aggregate about 50,000 more. Of these settlements, '6,117 (and 3,365 property returns) have been added during the fiscal year. The X3ax:)ers are in fair condition, but much inconA^enience is felt for want of additional rooms and axDx^ni'tenan.ces. The curreut X3eiisioii vouchers now haA^e to be xilaced upon the floor, as no shelAdiig can be spared for them. It is hoped that after the Bureau of Engraving and Printing shall be removed to its new building, proxier accommcldations may be furnisheci tor these A-aluable x^M^^rs, where their frequent examination will iuA^olve as little wear and teax as pDSslMe. Some of these paxDcrs haA^e been mutilated by handling, and should be bound to xirevent further disintegration. There were nine lady cox3yists usefully emxiloyed during the year. The number of miscellaneous papers registered Avas 4,700; diflerence sheets registered, 606; total, 5,306. Miscellaneous X3^"^p<3rs copied and compared, 13,447 x^ages; difference sheets comx)ared, 2,349; letters recorded and compared, 3,289; xiapers copied in pension diAdsion, 5,022.; total, 24,107. ' ISTumber of names indexed, 21,843. I respectfully renew the suggestion often made by my predecessors as to the necessity of some limitation to the time within Avhich claims against the United States may be presented to the ExecutiA^e Dex)artments. In the absence of such a check the danger of frauds ux>on the government increases with every xiassing year. Most of the stale claims X3ressed upon this office grew out of the oxierations of the Army during, the late rebellion, or in other wars of many years ago. To thoroughly sift these claims as xiublic interest demands it is becoming daily more difficult. On the other hand, as the danger of detection grows less through the laxDse of time, the temptation to present and the facilities for establishing fraudulent claiins increase. Statutes of limitation are no longer.looked upon with disfaA^or by courts or legislative bodies, and x'>roAdsions of this- kind reSx3ecting suits between individuals are, I believe,' nearly universal. T t e t which is everywhere conceded to be wise and j list as betAveen citizehs of a State can but be considered fair and just as between the citizen and the State. THIRD AUDITOR. 301 FeAV claims that are fair and honest fail of x^resentation Avithiii six years from their origin, and the claimant who Avaits longer, if laboring under no legal disability, should be barred, in my ox)inion. One thing is certain—no one can be familiar Avith the business of this office for any period, however brief, without being thoroughly cOuAdnced that such a limitation AA^ould be of great A-alue as a xirotection to the Public Treasury, would remoA^e a great temx^tation from the Adciously inclined, and Avould give much needed relief to the ExecutiA^e Departments. Eespectfully submitted. E. W. KEIGHTLEY, ^ Auditor. Eon.. J O H N SHERMAN, Secretary of the Treasury. EEPORT OF THE FOURTH AUDITOR IIEPORT OF THE FOURTH AUDITOR OF THE TREASURY. TREASURY DEPARTMENT, F O U R T H AUDITOR'S OFFICE, Washington, Novemher 1, 1879. SIR : I have the honor to submit the following tables indicating the work of this office for the fiscal year ending June 30, 1879: . PAYMASTEES' AND MAEINE ACCOUNTS. (GEORGE L . CLARK, Chief.) Statement of the worlc performed hy the paymasters'. division for the fiscal year ending Jime 30, 1879. Date. July August September. October November . December.. January .. February. March April May . . . . . . June Cash Cash' disAccounts Accounts Letters Letters received. settled. received. written. vouchers. bursements. 1878. 128 104 115 137 104 76 110 100 120 125 113 66 1,200 525 682 910 870 694 $1,184,149 36 472,164 68 888, 430 72 952, 616 59 952, 289 05 764, 594 08 137 112 122 119 100 77 109 105 120 96 109 83 1,044 407 750 528 688 1,363 865, 216 35 464, 805 06 1, 582, 731 59 650, 954 39 778,195 06 1, 404, 780 87 1,331 1,256 1879. Total . Accounts on hand July 1, 1878 . . Accounts on hand June 30, 1879. 20 F 343 . 316 10, 960, 927 80 43 70 306 R E P O R T ON T H E FINANCES. PUECHASING PAYMASTEES' AND ALLOTMENT ACCOUNTS. (WILLIAM F . STIDHAM, Chief.) Statement of the worlc performed hy the Navy pay and allotment division for the fiscal year ending June 30, 1879. Accounts Accounts Letters Letters received. settled. received. •^VL'itten. Date. Amount ih volved. 1878. July August , September > October — November December January. • February...: March , April May June 210 166 224 ' 197 237 213 204 147 206 205 234 210 , 126, 847 44 22, 554 07 149,196 03 285, 541 33 941, 252 52 ^784,505 73 202 194 210 211 237 178 216 189 202 183 208 161 241, 255 51 943,142 73 413, 875 94 182, 831 74 621, 424 00 824, 640 15 1879, ....,...'. — - Total 161 168 2,365 6, 537, 067 19' Allotment accounts. AUotments registered. Date. 1878. July August . . i . . . . September October November December January February Ma.T'cb ., April May . . . ; June i. i . ..... - .. .... i -..- - --^- --.. • Allotments, discontinued. 52 34 39 137 236 250 156 76 89 136 108 84 95 89 168 84 . 80 70 123 116 107 91 113 77 1, 334 1, 276 1879. ,, , • .---... .• '. -- 1.... u. - ' Total Amounts p)md at Navy pay offices for allotments during the year 1878; NewYork . Boston PhiladelpMa Washington... Norfolk Baltimore SanFrancisco Total -..J ^ : ..; , , $129,500 77,751 74,398 , 73,018 21,292 18,300 ^„.,.... 10,757 00 50 00 00 00 00 00 405,016 50 Acconnts remaining on hand Jnne 30, 1879, 507; nnmber of [voncliers examined 33,979. BOOKKEEPER'S DIAHCSION. (PARIS H . FOLSOM, Ohief.) 'Statement of the worh perfm^med hy the hookkeeper^s division for thefisoal year ending June 30, 1879. E 2 f>5 c3 *S ii .1 c3 P Date. ri .s§ © © PH •P| © p ^ •^ P '© O ^6 1 o © § 0 'A - " Pu 1' • . <^ 0 'A -• < Prci 1 1 © vA II Hi <is "© 1 ut ^ g © Hi ^ p .p <\ < 1' o © f-x © . Pg © HJ © CM 1 ot^' . o p o <ai o ' 1878. Tnlv AuETust .; ...... Deceniber 240 165 157 189 117 180 $2,182, 315 70 1 679 246 45 1,188, 040 03 1, 516, 667 99 1, 788, 530 32 1, 080, 040 60 44 36 20 32 19 11 $130, 530 69 156, 012 44 25, 016 49 305, 353 31 99,627 37. 35, 687 00 238 178 201 176 157 134 361 327 317 335 298 277 183 15 20 37 21 134 45 34 52 35 44 77 March . . 1 . AprU M!ay June . . . . . . . .'• Total.'. ....;, --. . 177 190 202 135 271 211 2, 234 1, 807,186 92 2, 270, 036 45 2, 309, 695 72 1, 347, 813 39 2, 552, 436 46 6, 209, 950 53 25, 931, 960 56 65 46 38 56 30 26 423 1, 069, 792 01 705, 858 82 953, 001 24 1, 040, 357 75 400,137 35 5,191, 715 21 1 1 2 2 97 31 49 30 85 148 17 i 15 19 15 6 $101 21 128 352 126 53 16 44 78 48 39 25 ' 1879. Januarv 100 102 76 40 47 61 151 161 151 <172 148 160 318 268 260 316 341 307 • 82 37 35 89 71 33 37 36 42 39 49 40 54 76 114 207 291 215 1 1 1 4 1 4 10,113, 089 68 2, 027 3,725 737 530 1,383 9 9 12 64 76 71 19 1, 584 34 52 75 . 21 504 50 9 434 31 81 25 205 23 64 8 40 32 01 823 167 H O 3, 608 65 OD O 308 REPORT ON THE FINANCES. PEIZE-MONEY AND EECOED DIVISION. (BENJAMIN P. DAVIS, Chief.) Statement of the worlc 2^e^forincd hy the 2^'f'i^e-money and record division for the fiscal year ending June 30, 1879. Letters. Claims. Eecords. Date. •sl p s •© o -P © © Q? 1878. July August September .., October . November... December... 1879. January February March..'. Api'il May .... June Total. - . . 128 143 143 141 120 100 141 169 178 173 142 109 140 234 221 186 162 132 164 267 277 252 178 159 $1, 642 933 715 1, 434 658 1, 367 1, 850 1, 275 1,136 1, 236 1,102 1,088 941 77 98 48 82 05 53 1, 942 12 1, 426 14 950 03 719 98 932 08 1,'087 73, 1, 072 1, 314 2,206 1,859 1,339 1,769 13, 810 71 16, 337 © f>3 © p- ^2 h-1'" 1, 261 1,547 1, 264 1,443 . 1, 227 3,569 1,243 3,764 1,205 4,610 982 2,486 1,260 1,320 2, 079 1, 890 1, 629 1,642 3,701 2, 454 2,038 1,800 1,450 1,586 2,316 2, 448 4,196 4,315 5,468 3,329 5' 9 13 2 4,864 4,176 3,309 4,164 4,101 3,767 4 2 6 16 11 6 17, 002 30,448 '46,453 This division is charged also with the preparation of all reports and tabular statements caUed.for by Oongress and the Secretary of the Treasury, keeping a record of appointments^ resignations, removals, and absences, the care and issuing of stationery used in the office, and the payment of salaries to employes., ^ BOUNTY, AEEEAES OF PAY, AND GENEEAL CLAIMS. (EGBERT KEARON, OMe/.) Statement of the work performed hy the general claims division for the fiscal year ending June 30, 1879. 1 Date. '' © o cn © _P 09 5 1 .Q cn 6 • n © > % P ;p • § 1 •"p p o p V *© 1 P'P d o cn • § © S-2p ©oco .si . II ih Hi 1878. TnlvT 88 91 1.32 76 83 71 43 107 129 81 72 75 61 66 95 266 310 179 157 44 69 95 175 106 291 1,657 1,305 $12, 359 34 11, 241 69 8, 345 06 15, 787 13 10, 057 32 13, 040 93 493 455 506 393 382 374 406 .504 365 370 390 296 14 27 42 63 81 27 3 3 ' 2 1 1 15,145 29 397 7, 870 76 524 9, 529 62 1,411 11, 325 23 1,109 9, 690 .57 1,049 712 11, 802 83 416 461 1,125 1,009 779 863 14 47 76 47 80 90 I 1 1 1 6, 984 608 1879. Marph " T 1 li f> • Total 136,195 77 7,805 „ 14 FOURTH 309 AUDITOR. NAVY PENSION ACCOUNTS. I _ (EICHARD GOODHART, Chief.) Statement of the worlc perfofmed hy the Navy pension division for thefisoal year ending June 30, 1879. Date. 1878. July August September October November December i 1. ]. $38, 708 37 18, 203 00' 51,108 06 153,710 81 41, 069 89 i. Jannary .' February : ; March .^ April r May Jmie 1879. ; , j i i '. TotaL '45 89 91 .62 103 50 42, 741 30 39, 601 31 61,. 598 59 20, 705 96 41, 998.72 38, 082 45 845 547, 528 46 «^,P be ti Yzr, c n Pension agencies. 'pS ^ P ©;d ^ =? . g ^•2 2 I I Sp U. t c p Boston, Mass Columbus, Ohio .. Concord, N . H ., Chicago, 111 Detroit, Mich Knoxville, Tenn New Orleans, La LouisviUe, Ky Milwaukee, Wis . . . . . New York City, N. Y Pittsburg, P a PhUadelphia, P a San Francisco, C a l . . . Saint Louis, Mo Washington, D. C Total... Number of accounts on hand June 30, 1879, 14. 456 47 136 69 23 42 25 9 23 448 31 292 46 25 350 467 115 127 46 24 81 28 16 '27 468 44 396 27 27 450 923 162 263 115 47 123 53 25 50 916 75 688 73 52 800 $107, 625 81 19, 911 61 35, 903 63 14,720 24 7,'248 85 18, 098 3a 5,'985 78 3, 207 16 7, 795 41 105, 739 18 11,193 17 83,100 80 7,167 03 8,470 26 107, 320 65 543, 487 91 2,343 ^• The business of this bureau has been kept well in hand, and is now in good shape, for which Imuch credit is due to the deputy auditor, William B. Moore, to the dhiefs of divisions, and to the clerks and employ6s generally for the| faithful and efficient manner iu which they have discharged their respective duties. I have the honor to bej very respectfully, your obedient servant, I GHAS. BEAEDSLEY, ! Auditor, Hon. J O H N SHERMAN,^ Secretary of the Treasury. EEPOETi OF THE FIFTH AUDITOR s.-^ I REPORT I I OF THE FIFTHAUDITOR OF THE TREASURY. I ; TREASURY DEPARTMENT, F I F T H AUDITOR'S O F F I C E , i Washington, N'ovemher 1, 1879. SIR : Herewith are s-ubmitted the operations of this office for the fiscal year ending June 30, 1879. ^ ' -w ^ -w * 4(- ^ The adjustments required the examination of ninety-one tliousand five hundred and seventy-oine vouchers, amounting to $661,943,492.73, and were made with commendable promptness. The clerks employed in the office are entitled to my thanks for strict regard to the interests of the government and attent|ion to the duties committed to their care. Yery respectfully, your obedient servant, J. H. ELA, Auditor. Hon. J(DHN SHERMAI^, Secretary of the Treasury. NOTE.—The tables pertaining to this Report are omitted for want of space, b u t t h e j are printed in tbe iiamjihlet edition of the Auditor's report. I 313 REPORT! OF THE SIXTH AUDITOR. REPORT OF THE AUDITOR OF THE TREASURY FOR THE POSTOFFICE DEPARTMENT. O F F I C E OF T H E A U D I T O R OF THE TREASURY, F O R THE POST-OFFICE DEPARTMENT, Washington, Octoher 22, 1879. S I R : I have the honor to submit the following report of the business operations of this office for the fiscal year ended June 30, 1879. My annual report to the Postmaster-Greneral, now in cours(3 of preparation, will exhibit in detail the financial transactions of the Post-Office Department during the past fiscal year. Thefollowing is a summary of the principal labors performed by the several divisions during the year, viz: .ExAMiNiNa DIVISION.—(Benjamin Lippincott, ^chief.) The business of the Examining Division for the last fiscal year has been fully completed, ahd the following tables exhibit, as far as may be, the work j)erformed: '' Number of quarterly accounts-current received during the fiscal year: Quarter ending Sexitember 30, 1878.. ". Quarter ending December 31, 1878 i Quarter ending March. 31, 1879 Quarter ending June 30, 1879 „ . Total ..^ :.,... 38,841 . 39,905 40,821 40,874 , 160,441 Increase Number of acconnts Quarter ending Qnarter ending Quarter ending Quarter ending 7,305 settled by stamxi-clerks during the fiscal year: September 30, 1 8 7 8 . . . . . December 31, 1878 March 31, 1879 • June 30, 1879 ^ Total .' 38, 365 i. 39, 505 40,313 40,369 ^ Increase 158,552 *.. 6, 341 Number of accounts-current examined and iiassed to the Registering Division during the fiscal year: . Qnarter ending Septeniber 30, 1878 Quarter ending December 31, 1878 Quarter ending March 31, 1879 „ Qnarter ending June "30, 1879 ' 38, 365 39,505 40,313 40,369' Total: \... Increase \ J 158,552 : 6, 341 318 REPORT ON T H E FINANCES. Amonnt involved in the settlement of quarterly acconnts: Quarter ending September 30, 1878 : Qnarter ending December 31, 1878 Quarter ending March 31, 1879 Qnarter ending Jnne 30, 1879 Total '. $6,808,843 7,407,058 7,788,655 . 7,358,344 ' 54 05 12 23 29,362,-900 94 Increase '683,237 83 • Nnmber of post-ofdces of the first and second classes receiving allowances for • clerk hire, light, filel, rent, & c . . . . . . . . i ^ ^,,..,..... ^... 425 Nnmber of post-otfices of the third and fonrth classes receiving allowances for clerk hire for separating the m a i l s , . . . . . , , . . ^— . . - . . . . . . - > 1,029 Total nnmber of post-offices of all classes receiving allowances 1,454 EEGiSTERiNa DiviSiON.--(Joseph B. Will, chief.) During the fiscal year ended June 30, 1879, the number of accounts registered and amounts therein involved were as follows : . Third quarter, 1 8 7 8 . . . . . . Fourth quarter, 1878 ..,. First qnarter, 1879 Second qnarter, 1879 . ..^. ........„.. .-^ ., Total : Increase . / . . . . . . . i .'. i 38, 365 16,808,843'54 39,505 . 7,407, 058 05 40,313 7.788,655 12 40,369 7,358,344 23 158,552 29,362,900 94 6,341 683,237 83 Number of changes of postmasters reported from the appointment office of the Post-Office Department entered during the fiscal year was as follows 1...'. 11,363 Decrease from the last fiscal year . . . . . . . . . . . 1,455 BooKKEEPiNO DIVISION,—(James T. Smith, chief.) The following tabular statements shoAV the distribution of the work of the division, the increase therein, and, in part, the labor performed in making up the auxiliary books prepared on the division: Ledgers of mail-contractors^ accounts. 1 1 2 Number of ledgers. States. Star and steamboat service in :* Maine, New HamjDsbire, Venn ont, Massacbusetts, Bbode Islantl, Connecticut, New York, NCAV Jersey, Pennsylvania, Delaware, Virginia, West Virginia, "Maryland, Nortb Carolina, South Carolina, G eorgia, Morida, Alabama, and Mississippi— Railroad and ocean transportation and journalizing Star and steamboat service in: Indiana, Illinois, Tennessee, Wisconsin, Obio, Iowa, Missouri, Kentucky, Micbigan, Kansas, Nebraska, Oregon, Minnesota, California, Nevada, Texas, Louisiana, Arkansas, and Territories. Total.'. Increase i - Day-book Current entries accounts. journalized. • 6 3, 057 6,716 6 3,250 12 6,307 6, 7i6 167 2, 238 SIXTH 319 AUDITOR. Ledgers of postmasters' accpunts. Number " Cu]:rent * Late of ledgers. accounts, accounts. States. Maine, New Hampshire, Vermont, Massacbusetts, Connecticut, libode Island, and G-eorgia. , New York, New Jersey, Delaware, and Florida • Pennsylvania and West Virginia .' , Virginia, Nortb CaroUna, Soutb Carolina, Maryland, and District of Columbia. Alabama, Louisiana, Texas, Arkansas, and Mississippi.. — Missouri, Kentucky, and Tennessee... Obio and Indiana .' .....:.. Ulinois, Micbigan, and Nebrg-ska Wisconsin, Iowa, and Minnesota California, Oregon, Nevada, Kansas, Colorado, and Territories. Total .^....... 4,134 464 4,006 4,193 4,263 . 501 570 510 4,266 4,264 3, 920' 3,986 3,741 4^ 143 1,028 •871 737 -761 624 832 '.......... 40,916 ..,-..,.. 1,769 Increase 1,046 Ledger of general, special, and miscellaneous accounts. Number of accounts. Revenue of Post-Office Department for fiscal year 1879. Crants from tbe Treasnry in aid of tbe revenues $30, 041, 982 86 3, 071, 000 00 Total receipts , • Exi)enditu;:es cbarged to appropriations for fiscal year 1879, 42 33,112, 982 86 33, 073, 437 82 Balance available for a.ccrued liabilities. 39, 545 04 iPaid indebtedness accruing in former years — Official stamps sold to executive departments. 376, 461 63 388,107 60 Auxiliary hoolcs made up on the division. Number Increase of entries. over last year. Stam J) journal Day-books :... Deposit-books (deposits at designated post-offices) Casb-book (deposits at treasury depositories) Total' 4,821 6, 716 18,181 10,116 1,251 2,238 10, 966 5,237 39, 834 19, 692 ]!^umber of auxiliary books from which entries are made 125 Approximate number of entries made in ledgers during the year .528, 707 Number. Warrants issued by tbe Postmaster-General and countersigned by tbe Auditor, passed and registered during tbe fiscal year. : Decrease Increase . Drafts drawn by tbe Third Assistant Postmaster-General and countersigned by the Auditor, passed and registered dnring the fiscal year Increase 13,'086 . 1,627 Amount. $9,533,440 20 391, 645 57 23, 350 2, 317, 247 33 5,356 575, 857 95 320 REPORT ON T H E FINANCES. H. Grunnison, chief.) STATING- DIVISION.—(Wm. The statements following show the amount of work performed during the last.fiscal year. Statement of the numher of general postal accounts of postmasters, the increase in the nnmher, and the classification of the officers, for the fiscal year ended June 30, 1879. 1 CO P r e s i d e n t i a l offices. rt 6 1 ^ States and Territories. ^ 3«, bfl 1j i o O 6 t cv 1 lb). bi) .g 1 11 Q • ci'tr 1 3 1 891 426 474 638 7 4. 1 6 • o 8 31 6 24 2 21 36 107 15 116 52 .183 6 1,697 655 30 97 2 27 135 9 11 3 1,147 630 . 21 73 1 58 124 1,959 103 5 4 36 2,094 16 114 11 99 36 146 4- 1,168 703 63 128 2,062 52 P e n n s y l v a n i a (A to Q). 3 Dakota . 0 77 5 14 1 0 1, 639 638 145 90 3 50 35 3 82 15 100 3 1,784 728 85 20 2, 617 98 2 1 0 •54 7 6 6 0 1 62 8 7 4 0 0 962 210 656 167 179 146 57 13 22 36 1, 265 836 0 347 0 20 1, 327 12 844 25 354 3 3 5 4 N e w Y o r k (A t o Q ) . . . . 11 Nevada ". 0 OCotal Total IT 6 5 *2 1 2 602 301 336 458 252 118 123 162 15 22 4' 3 3 12 8 10. 47 2,429 922 450 495 745 16 2, 343^ ' 2 8 2, 437 274 70 4 280 VV i s c o n s i n W e s t Vii'ginia Oregon Total 3 67 7 77 4 1,797 523 92 36 2, 448 57 5 N o r t b Carolina South Carolina. Georgia 1 1 2 11 10 19 1 2 2 13 13 23 2 1,186 128 475 68 1 754 105 0 30 11 56 9 1, 353 555 1 940 25' 64 1, 366 22 568 69 963 Total 4 40 5 49 3 2, 415 301 97 35 2, 848 155 6 Kansas Minnesota Colorado Utah Territoiy 1 2 1 0 33 18 8 .1 11 11 7 3 45 31 16 4 4 .60 32 96 Total 7 Ohio 8 Illinois Delaware D i s t r i c t of C o l u m b i a . . Wasbington Territory • Montana Territory Chicago, III C i n c i n n a t i , Ohio S a i n t L<.)'iis, M o San E r a n c i s c o , C a l N e w Orleans, L a . . . Washington, D. C ^ Total Total 9 Arkansas Missouri Total 9 92 9 3 2 1 911 330 109 679 154 90 143 112 19 86 90 17 17 1,819 686 235 8 109 *2 1, 613 491 49 6 2,313 8 .109 *2 1, 613 491 49 51 2,204 4 161 0 6 0 0 1 3 0 6 .1 1 1 1 1 1 6 1, 584 165 2 79 21 0 2 2 0 152 28 0 59 53 0 0 0 1 0 0 1 0 0 3. 0 0 1 0 0 0 0 0 23 0 0 5 6 •0 0 0 0 0 0 31 1, 803 101 1 5 1 199 14 119 1 0 0 0 0 0 0 0 0 0 0 0 0 10 1,964 1 107 0 5 202 30 125 9 0 0 0 0 0 0 3 168 11 182 12 1,876 269 34 48 2, 227 50 5 21 2 892 15 1,594 92 900 32 1,642 1 3 8 48 0 590 295 '6 1, 409 149 0 52 4 56 6 1, 999 444 •26 9/1 2, 208 56 2,717 101 2, 525 61 2, 897 158 2,843 '>55 2,313 4 2,409 62 2,542 ISO 28 73 24 12 25 66 23 69 4 6 16 • 3 0 30 I \ \ 0 92 38 17 2, 486 124 :r:=r * Decrease. 2, 612 39 17 7 2,747 238 51 2,204 92 0 0 1 0 1,350 156 1, 395 167 927 49 • 958 52 4 277 26 3 293 28 193 0 7 197 . 8 3 154 0 6 0 0 0 2 0 6 0 0 0 0 0 0 0 0 0 0 0 . 0 7 45 A 12 2 2 8 18 4 TT rt-43oo o <g c^A '^O ci2 om 20 15 14 67 Maine ... New Hampshire Vermont Massachusetts Total 2 CD P o u r t h - c l a s s offices.. '. 3-21 SIXTH AUDITOE. Statement of the numher of. general 2^ostal accounts of postmasters, ^"C.—Continued. i A cn P o u r t h - c L iss 0 ffice.s. P r e s i d e n t i a l offices. o cn ,1 bb States and Territories. i 1 4 2 0 0 0 0 23 21 0 1 p8 5 0 0 0 2 35 28 0 1 Total 6 49 15 Virg'uia Phode Island California ... 1 1 0 21 4 21 2 4 1 9 o Q 'A 10 11 P e n n s y l v a n i a (R t o Z) . Kentucky Alaska Territory NeAV M e x i c o T e r r i t o r y . I daho TerritoryAVyoming T e r r i t o r y . . . Total :... 1'' New Jersey Total IS 1o o 1 o o O p 1 H ^A 1 65 0 8 2 16 864 10 32 1, 259 0 2 5 101 1 88 1 57 5 899 36 1. 287 0 2 102 6 91 60 70 1 1,756 474 92 49 2,371 53 3 6 27 25 11 48 *i 1,295 281 61 33 0 465 283 4 36 3 22 22 1, 634 2 99 18 788 58 1, 659 110 22 836 46 36 84 3 1,821 597. 61 42 2, 521 81 66 36 9 15 72 52 5 1,242 228 ~i5~ 33 1,538 1 626 455 129 10 32 I 1 1 0 0 I I • 33 1, 610 2 678 17 124 6 1, 697 357 45 65 2,164 35 97 40 3 2 1, 220 146 833 294 0 30 '37 1 37 32 12 14 1,417 16 1,175 79 0 39 1, 514 55 1,215 26 82 11 122 7 140 3 2,083 477 81 30 2, 671 120 1 0 0 3 2 8 16 12 4 7 1. 9 4 20 1 16 230 59 297 97 549 77 985 201 13 12 14 92 302 0 7 413 2 642 21 1, 299 4 38 10 52 2 2, 061 434 131 30 2, 656 179 9 60 0 .7 2 28 0 0 0 . 0 0 . 0 0 0 0 0 12 5 19 1 1 1 1 1 81 12 49 1 1 1 1 1 8 1, 031 112 1 483 151 5 288 94 0 1 0 0 1 0 0 1 0 0 1 0 0 0 0 42 12 3 0 0 0 0 0 62 1, 247 658 12 396 11 0 0 0 0 0 0 0 0 0 0 25 1,328 670 28 *2 445 0 1 0 1 0 18 1,802 357 57 85 2,301 51 453 234 921 126 412 195 45 22 36 769 37 4 1,073 2 645 0 818 27 1,094 17 668 10 1,786 555 103 43 2,487 .44 9 2 0 83 37 2 5 1 1 li f ^:i 3 o H rfl " •i o o o o o5 639 214 979 183 0 2 73 15 48 37 17 23 5 102 Iowa' Texas Arizona Territory 1 6 oS om cn o 0. H o 6 fl 6 37 0 6 0 5 2, 441 54- 2,605 84 2, 288 41 57 1 26 38 3 41 55 27 • Total. ....' 14 Plorida Louisiana.: Mississippi Tennessee ". Total 15 M i c h i o'an Maryland Connecticnt Boston M a s s Prooklyn, N. Y NewYork, N . Y Pbiladelphia, Pa. . . . . . . Baltimore, M d Total 16 .11 95 41 147 4 3 1 32 14 15 13 4 7 49 21 23 ..... . 8 61 24 93 N e w Y o r k ( P to Z ) . . . . Nebraska Total .- 21 F *1 0 4 n 1 3 6 * Decrease. ..... 309. 37 422 28 37 662 77 1, 315 2,811 123 2,708 181 36 28 41 76 33 29 3 1 1 1 1 0 2, 448 69- 2,580 54' 1 30 23 322 REPORT ON THE. FINANCES. Statement ofthe number of general postal accounts of 2^ost)nasters, cfc.—Continued." EECAPITULATION. N u m b o r . of g e n e r a l a c c o u n t s of t h e first, second, a n d t h i r d clfm<sf"^ J u u p 30 1879 . . . . .. ... iN^umbcv ot *''enertil nccoiiTits of tlio fourtli. cltiss JiLnG 30 1879 1,708 39, 239 40, 947 N u m b e r of g e u e r a l a c c o u n t s of t h e first, second, a n d t h i r d 1,612 N u m b e r of g e n e r a l a c c o n n t s of tl le first, second, a n d classes macle f o u r t h class J u l y 1, 1878 . . . ; N u m b e r of g e n e r a l a c c o u n t s of t b 0 first, second, a n d hAT IS 187« N u r a b e r of g e n e r a l a c c o u n t s of tlie first, second, a n d classes raa.cle f o u r t h class NovembpA- 20.1878 N u u i b e r of goiiei-al a c c o u n t s of t b e first, second, a n d classes macle f o u r t h class J a n u a r 7-1,1879 N u m b e r of g e n e r a l a c c o n n t s of tb(i fir-st, second, a n d classes m a d e f o u r t h class Ai:)ril 1 1879 tbird 42 . third 2 tbird 1 third 9 third 1 55 1,557 N a m b e r of g e n e r a l a c c o u n t s of t h e f o u r t h claos m a d e P r e s i d e n t i a l O c t o b e r 1 1878 . . N u m b e r of g e n e r a l a c c o u n t s o f t h e fourtli class m a d e P r e s i d e n t i a l J a n u a i r y 1 1879 .; N u m b e r of g e n e r a l a c c o u n t s of t h e f o u r t h class m a d e P r e s i d e n t i a l A p r i l 1 1879 - - 1 - 146 4 151 T o t a l n u m b e r of P r e s i d e n t i a l a c c o u n t s J u n e 30,1879 1,^08 l u c r e a s e in tlie n u m b e r of g e n e r a l a c c o u n t s of t b e first, second a n d t b i r d classes : .'. I n c r e a s e i n t h e n u m b e r of gcnei-al a c c o u n t s of tlie f o u r t h ' class 96 " 1,361 Total increase 1, 457 Draft. T o t a l n u m b e r of d r a f t offices (Presidential) T o t a l n u m b e r of collection offices (Pi-esidential) T o t a l n u m b e r of depositijig offices (Presidential) T o t a l P r e s i d e n t i a l offices T o t a l f o u r t h - c l a s s offices — Special. Special a n d depositrug. Totals. 99 1, 289 320 99 T o t a l . n u m b e r of collection offices (fonrth class) T o t a l n u m b e r of d e p o s i t i n g oflices (fourth class) T o t a l n u m b e r of special ofiices (fourth class) T o t a l n u n i b e r of special a n d dep o s i t i n g offices (fourth class) Collection.' D e p o s i t i n g . 1,289 320 1 708 1' 29,174 8,051 ./ 1,281 733 29,174 8,051 1, 281 733 39, 239 T o t a l offices 40, 947 Statement showing the numher of changes of offices and postmasters during the fiscal ended June. 30,1879. Q u a r t e r ending—' Changes. Offices e s t a b l i s h e d Offices r e - e s t a b l i s h e d Offices d i s c o n t i n u e d N e w bonds Miscellaneous Totals Totals. '. ' September 30,1878. December 31, 1878. M a r c h 31, 1879. 446 77 ^ 254 217 1,194 392 81 329 .306 1, 930 576 105 282 431 2,249 834 128 317 634' 2,024 2, 248 391 1,182 1 588 - 7, 397 2,188 3, 038 3,643 . 3, 937. 12, 806 J u n e 30,' 1879.- SIXTH 323 AUDITOR. Siatement showing the condition of the general postal accounts of late postmasters for the fiscal year ended June 30, 1879. Quarter e n d i n g September • 30,1878. Accounts of late postmasters adjusted during the year Accounts "of late postmasters unadjusted at close of fiscal j'^ear Total 2,481 December 31,1878. • 2,445 March 31, 1879. Totals. Jnne 30, 1879. 2,464 1, 707 9 097 8,595 ^.'. 17 692 Increase in number of late accounts over number reported lapt year Increase in the number' of late accounts adjusted OA^er number reported last year Ill crease in the number of late accounts unadjusted over nnmber rejiorted last year 1 310 19 • 1 112 Statement of the aggregates, per quarter, of the halances due the United States for ilie 2yciyment of which special instructions ivere issued requiring jjostmasters to include such sums in their future payments, according to the respective classification of their Number. Amount. Quarter ending September 30,1878 Quarter.ending December 31,1878. Quarter ending March 31,1879 Quarter ending June 30,1879 1,300 2,331 1,188 1, 798 $71, 78, 63, 148, Total for the fiscal year 6,617 361,1 007 719 322 931 92 35 06 34 I 67 CoLLECTiNa DIVISION.—(E. J. Evans, chief.) Summary of 2yrinci2)al worlc on this division for the fiscai year. Number Drafts issu'ed on late and ijresent postmasters during the fiscal year : Quarter ended September 30, 1878 Quarter ended December 31,1878 Quarter ended March 31,1879 ; Quarter ended June 30,1879 ' Total . Amount. 570 331 510 731 $85,125 35 43, 874 68 71, 036 94 90, 553 86 2,142 290, 590 83 25, 447 15 Increase . Decrease. Accounts of contractors upon which drafts were issued : Quarter ended September 30, 1878 Quarter ended December 31,1878 Quarter ended March 31,1879 Quarter ended Jnne 30,1879 146, 802 98 6, 422 87 1,666 01 104,'356.14 Total . 259, 248 00 Decrease . 154, 727 20 Accounts of late and present postmasters reportecl for payment: Quarter ended September 30,1878 Quarter ended December 31,1878 Quarter ended March 31,1879 , Quarter ended June 30,1879 , Total . 198 382 97 300 5, 009 75 8,174 35 6, 522 30 8,173 68 27, 880 08 Increase . Accounts of late iDOstmasters anclcontractors submitted for snit duruig fiscalyear: Qnarter endeci September 30,1878 Quarter ended December 31,1878 Quarter endeci March 31,1879 ' Quarter ended June 30,1879 Total A m ount of collections on j udgments, &c., including interest, dnring the fiscal year. 2, 796 86 6, 824 23 36, 390 37 36,112 42 82,123 : 324 REPORT ON THE Acconnts copied dnring the fiscal year: Qnarter ended Seiitemlier 30, 1878 Qnarter ended December 31, 1878 Quarter ended Marcli ,31, 1879... (Quarter ended June. 30, 1879 . ' Total Increase FINANCES. 4, 375 5, 577 4,493 5, 640 ^ " 20,085 611 , Letters received dnring the fiscal year : -Quarter ended Septemher 30, 1878 Quarter ended Decemher 31,1878 Qnarter ended March 31, 1879 Qnarter ended June 30, 1879 Total Decrease Letters sent Qnarter Quarter Quarter (Quarter „ .-. •- during the fiscal year : ended Septemher 30, 1878 ended Deceniher 31, 1878 ended March 31, 1879 ended Jnne 30, 1879 Total.... Increase : 83,324 78,99387,652 79,670' :.•. - 84,673 53,229' 56,381 62,505 ." •...;... 256,788 76,352 Nnmher of circulars addressed and transmitted dnring the fiscal year : Quarter ended Septemher 30, 1878 Quarter ended Decemher 31, 1878 ;: Quarter ended March 31, 1879 Quarter ended Jnne 30, 1879.. Total Decrease 329,639 9,265 '.. ., 8,327 12,690 10,676 11,615 43,308 1,490 . F O R E I G N M A I L D I V I S I O N . — ( E . S. Widdicombe, chief.) This division has charge of the postal accounts with foreign countr es and the accounts with steamship companies for ocean transportation oj the mails. Amounts paid the TJnited States on the settlement of postal accounts %vith foreign governments. United Kinodom of Great Britain and Ireland $43, 063 48 ' Japan . . . . . ^ • . . . . • 8,637 07 Canada : 926 24 Spain 758 93 Empire of Germany 699 54 . Queensland 76 30 Italy 72 81 SAA^tzeiiand....52 70 Belgium 41 78 Netherlands :... 36 76 Norway 32 90 Swe.den 25 58 Austria '. •. . 24 15 Denmark ., 21 06 Total amonnt received 54, 469.30 A:mounts paid foreign governments on the settlement of postal accounts. Belgium $13,266 22 Empire of Germany 7,259 87 Repuhlic of France \ 5,246 56 Denmark : 3,209 51 Italy 2,555'98 St. Thomas 1,875 82 Sweden 1, 326 00 Total amount paid , : 34,739 96 SIXTH 325 AUDITOR. Numher of duplicates registered during thefisoal year. Q aarter ended .r-T S e n t to— QJ xn Total Increase 356 232 187 131 52 73 73 52 82 41 73 219 o o p 369 241 180138 52 76 77 53 84 41 77 254 Quarter ended i • 176 55 Is 0" i 370 227 181 120 52 73 73 51 82 39 74 385 1,571 1,642 1,597 1,727 149 s. P e c e i v e d frbm-^ fl 368 217 163 123 "52 72 •73 50 80 38 73 288 05 0" g . as The United K i n g d o m . . . G-erman E t n p i r e . . : . . . . . Prance . . . B e l g i u m .' .'. Denmark 'Spain S\7itzeiiand Norway Netherlands . ...:. Swedeii Italy W e s t I n d i e s , &c - 05 125 0 0 0? m p. The United Kingdom .. German Empii'e Prance . Belgium Deninai'k Spain Switzerland Norway Netherlands Sweden Italy AVest I n d i e s , &c . . . . . . . . Total Increase c5 CO' g CO <o cc A p 03 1 103 ii8 122 99 103 118 122 99 31 32 14 9 Total numher of duplicates registered Total increase • Number of reports of ocean postages made to the Postmaster-General Increase T o t a l amount reported Increase 6, 979 591 234 30 $215, 306 24 5,141 52 P A Y DIVISION.—(R. F . Crowell, chief.) Reference is made to the following tabular statement showing quarterly the uumber aud amount of collections made, and the number and amount of accouuts adjusted and reported during the fiscal year ended June 30, 1879. No. Accounts of railroad companies for transporting tbe mails, settled during the fiscal year ended June 30,1879: Quarter ended September 30,1878 Quarter ended December 31,1878 Quarter ended March 31,1879 Quarter ended June 30,1879 949 $2, 320, 624 33 9.62 975 1,004 Total . 2, 339,152 19 2, 363, 408 68 2, 414, 900 66 ', 438, 085 86 Increase . Decrease. Collection orders sent to railroad companies, and amonnts paid thereon by postmasters, during the fiscal year : Quarter encled September 30,1878 Quarter ended December 31,1878.. 1 Qnarter ended March 31,1879 : Quarter ended June 30,1879 Amount. 523, 592 81 594 725 6.56 737 906, 293 16. 1, 044, 279 24 1,108, 395 92 1, 036, 580 93 Total . 46, 712 4, 095, 549 25 Increase .. 2, 077 285,151 16 . 105 115 104 114 171, 873 44 187,642.21 164, 257 68 184, 243 30 438 708, 016 63 Accounts of mail-contractors and subcontractors, steaniboat service, settled during tbe fiscal year: Quarter ended September 30,1878 Quarter ended December 31,1878 Quarter ended March 31,1879 Quarter ended June 30,1879 ' Total . 11, 11, 11, 11, 326 REPORT ON THE FINANCES. No. Collection orders sent to mail-contractors, steamboat service, and the amounts paicl thereon by the postmasters during the fiscal year: Qnarter ended September 30,1878 Quarter ended December 31,1878 Quarter ended March 31,1879 Quarter ended Jnne 30,1879. Amount. $15, 789 0& 15, 946 6S 23,125 98. 20,523 5a 552 619 645 648 Total . 75, 385 25^ Accounts of mail-contractors and subcontractors, star service, settled during the fiscal year: Quarter ended September 30,1878 9,950 Quarter ended December 31,1878 .. .• 10, 381 Quarter ended March 31,1879 10, 835 . Quarter ended June 30,1879 , 10, 805 Total. Increase. Decrease. Collection orders sent to mail-contractors, star service, and amounts paid thereon by postmasters, during the fiscal year: Quarter ended September 30,1878 : Quarter ended December 31,1878 ; , Quarter ended March 31,1879 ' Quarter ended June 30,1879 41, 971 20, 400 18, 411 17, 508 16, 509 72, 828 12, 475 -Accounts of o^cean mail and consular xiostal service settled during the fiscal year: Quarter ended September 30,1878 Quarter ended December 31,1878 : Quarter ended March 31, 1879 Quarter ended Jnne 30,1879 • 212 Total . Increase ' Number and amoimt of settlements of accounts of superintendents, assistant superintendents of railway postal service, and special agents of the Post-Office Departuient dui-mg the fiscal year: Quarter ended September* 30,1878 ' ". Quarter ended December 31,1878 Quarter ended March 31,1879 Quarter ended June 30,1879 Total . Increase.. Decrease.. ', 479 86625, 284 31: 210,185 21 7, 578 94- 1,038 1, 218 1,215 . 1, 246 4,717 Decrease.. Number and amount of settlements of mail-messengers during the fiscal year: Qnarter ended September 30,1878 Quarter euded December 31,1878 Quarter ended March 31,1879 Quarter ended June 30,1879 248, 209 52225, 964 88236, 545 07 198,760 39' 61, 843 32^49, 313 1356, 889 1342,139 63 Decrease.. Total . 5, 434, 346 95^ 311, 004 25^ Total . Number and amount of settlements of special carriers' accounts during the fiscal year: "Quarter ended September 30,1878 Qnarter ended December 31,1878 Quarter ended March 31,1879 . . . : Quarter ended June 30,1879 213, 480 62' 289, 890 66440,198 40' 490, 777 27 5,865 Decrease.. Total . 1, 1, 1, 1, 9, 790 978, 561 438, 740 71 9,129 ^S36, 222 89> 20, 480 71. 4,447 4, 324 4,531 4,660 17, 962 166, 467 160, 364 165, 646 167,997 8679^ 08: 45- 660, 476 1&- 631 195 . 218 198 213 42, 617 65 44,274 7940,830 26 46,359 64 174, 082 54: 327 SIXTH AUDITOR. Nnmber and amount of settlements'of accounts of railway postal clerks, routeagents, mail-route messengers, and local mail-agents during the fiscal year: Quarter ended September 30,1878 t Quarter encled December 31,1878 Quarter ended March 31,1879 Quarter ehded Jnne 30,1879 ^ No. Amount. 3,009 2,934 3,002 2,820 $674, 635 685, 379 662, 526 644, 524 Total. 11, 765 Increase.. 291 Number and amount of settlements of accounts for free-delivery system during the fiscal year: Quarter ended Septensiber 30, 1878 .'. Quarter ended December 31,1878 Quarter ended March 31,1879 : Quarter ended June 30, 1879 Increased pay for first and second quarters 1879 03 82 10 71 2, 667, 065 66 460, 468, 468, 472, 73. 2,465 2,546 2,583 2, 372 1,783 083 482 411 064 219 65 41 82 15 27 Total . 11, 749 1, 942, 261 30 lucrease '.. 2, 337 124, 385 71 Nnmber and amount of settlements of accounts of miscellaiieous payments during tbe fiscal year: Quarter ended September 30, 1878 .Quarter ended December 31, 1878 '....' Quarter ended March 31,1879 Quarter ended June 30, 1879 Total . 297 215 207 201 257, 210, 242, 204, 084 60 3'29 52 022'04 643 31 920 914,079 47 70,180 03 Decrease.. MONEY-ORDER DIVISION.—(John Lynch, chief.) Statement showing theprinci2Kil transactions of the division during thefisoal year ended June 30,1879. Decrease. Increase. Number. Value. Nnmber. Value. Number. Number of money-order statements received, examined, 13,139 and registered 225, 248 , 812, 276 15 i, 254, 641 02 659,126 Domestic money-orders issued. 6, 372, 243 Canadian international money 56, 901 55 2,645 316, 283 98 orders issued 16,231 British international money8,964 87, 675 93. 894, 859 2'5 orders issued 64, 310 German international money46,371 52 4, 028 829, 788 36 orders issned 47, 342 Swiss international money-or3, 890 51 96,171 25 542 ders issued 5,135 Italian international nioney103,352.11 121 4,070 ' orders issued Money-order, paid, received, examined, assorted, checked, and filed: 6, 360, 611 87, 427, 047 26 781, 270 6, 655, 592 06 Doniestic 339, 072 45 623 20, 757 Canadian int em ational... 345, 761 09 British international 19, 740 639, 542 68 German international 25, 462 2, 034 27 55, 829 99 Swiss international 2, 010 2,169 27 10, 040 69 Italian intei'national Money-orders repaid, receivc/cl examined, assorted, checked and tiled: 6,567 63, 259 38 571, 714 98 41,609 Doniestic ...966 42 59 Canadian international... 2, 242 07 128 Britisb international 145 3, 630 34 German international 138 57 17 459 13 Swiss international 140 00 Italian international 5 Value. $2, 081 42 112. 44 1, 427 17, 442 09 3, 949' 27, 270 02 43 6 75 129 220 02 718 40 696 46 269 50 328 • REPORT ON THE FINANCES. . Statement showing the 2^rinci2ml transactions of the division, ^'c.—Continued. Decrease. Increase. Numbei'. Value. Number. "Certificates of ^ cleposits received, registered, compared, ahd checked ., •. 'I "Transfers received, registered, compared, ancl checked ....... '' Drafts received, registered. compared, ancl cbecked - Eemittances receiA-^ed, registerecl, comparecl, ancl checked "^international lists of orders of United States issue received, tixamined, registered, and checked: Canadian . . . : British"..-..:.: German Swiss ."."... Italian International lists of orders of foreign issue received, examined, registered, ancl cbecked: Can ad ian (Canadian iss ue) British (Canadian issue) .. German (Canadian issue).. Swiss (Canadian issue) Italian (Canadian issue)... International accounts of money-order transactions received, exarained, registered, adjusted, and settled: Canadian British German 'Swiss - Itiilian Money-oi'ders witbdraw^n from the .files for examination and investigation and returned .. ..Advices of money-orders sent for, examined,' compared, and retui'ned Moue\'-orders returned for cor. rection '.Money-order accounts prepa.red, entered, a,nd subniitted for suit Letters written and transmitted '.. Commission and eri.-or cii.'culars transmitted. . . . : 372, 508 $64, 266, 677 08 Number. . Value. 45, 609 $5, 421, 055 08 7,852 1, 318, 050 64 544 307, 548 43 17, 992 8, 295, 931 00 1,073 948, 898 52 1,472 47 325, 557 89 344 219 205 108 107 315, 892, 828, 95, 103, 569 681 361 354 789 344 216 262 39 104 341, 695 18 345,160 64 648, 230 35 56, 382 45 10, 302 25 Value. 56, 87, 47, 2, 31 66 37 56 51 670 666 300 748 $301 11 00 00 00 07 1, 523 77 1, 243 87 14, 682 72 28, 088 50 1, 204 15 1, 650 40 187, 640 32 511, 601 99 361,225 34 72, 084 41 24, 049 09 631, 808 85 1, 39.5, 229 96 1, 465, 765 50 142, 661 57 110, 039 96 1,290 15, 567 2,130 32, 000 9,500 7 10;407 31 5, 079 29 6, 500 229 80, 096 13, 552 N E C E S S I T Y F O R AN I N C R E A S E OF CLERICAL FORCE. The very large aud unprecedented increase in the nuinber of postofhces and post-routes duriug tlie past three years, the additional work thrown upou this office by reason of the various changes in the postal laws in relation to the manner of adjusting the compensation of postmasters and of paying subcontractors, and the rapid growth of the money-order business, make au increase of the clerical force of this office a necessity. . In my estimates for the service of this office for the fiscal year ending June 30,1881, submitted to you recently, I have asked for an appropriation for twenty additional clerks; and, in support of that estimate, I beg SIXTH AUDITOR. 329 to present the following brief statemeut showing the increase of work -since June 30, 1876 • Numher of postmaster's accounts settled during fiscal year ended June 30, 1876.: Nnmher of postmaster's acconnts settled during fiscal year ended June 30, 1879 144,751 160,441 Increase 15,690 Per cent, of increase 10. 8 Numher.of contractor's accounts settled during fiscal year ended June 30, 1876 Nnmher of contractor's acconnts settled during fiscal year ended June 30, 1879 35,601 46,299 Increase 10,698. Per cent, of increase...." 30 Numher of money-order offices in operation June 30, 1876 3,698 Numher of money-order offices in operation June .30, 1879 Increase : Per cent, of increase . 4, 844 ° 1,146 31 Numher of money-orders issued during fiscal year ended June 30, 1876 Numher of money-orders issued duiing -fiscal year ended June 30, 1879 Increase : 5,108,009 6,509,331 1,401,322 Per cent, of increase 27 Amount involved in money-order settlements during fiscal year ended Jnne 30, 1876 $153,668,544 23 Amount involved in money-order settlements during fiscal year ended June 30, 1879 , 166,760,029 45 Increase ° 13,091,485 22 Per cent, of increase '. 8. 5 A reference to the reports from the eight divisions of this bureau will «how in detail the increase of work during the past fiscal year. In conclusion, I am pleased to be able to report the work of this office in excellent condition. With rare exceptions, the clerks and employes have been prompt and faithful in the discharge of their official duties. To them and to the intelligent and efficient co-operation of the deputy miditor and the chiefs of divisions I am indebted for the very satisfacfactory condition of the business of this bureau. I am, sir, very respectfully, . J. M. McGEEW, Auditor. Hon. J O H N SHERMAN, „ Secretary of the Treasury. , - REPORT OF THE TREASURER OF THE UNITED STATES. REPORT OF THE TREASURER OF THE UNITED STATES. TREASURY OF THE UNITED STATES, Washington, N'ovemher 1,1879. S I R : I have the honor to submit the following statements pertainingbo the business of this office and the state of the Treasury for the fiscal ^ear ended June 30, 1879—a year characterized by. great transactions^ 3onnected with the refunding of the war loans into four per cents, and the resumption of specie payments after a suspension of seventeen years; a year of business which has taxed the industry of the office in i;ll the varied duties devolved upon the Treasurer as charged with the 3ustody of all public moneys received into the Treasury and the disbursement thereof upon tlie warrants of the Secretary of the Treasury md upon the warrants of the Postmaster-General; as fiscal agent for bhe payment of interest upon the public debt; as the financial agent of bhe Government for the issue and redemption of the Unite.d States note circulation; as agent, also, for the redemption of the circulating notes 3f all national banks; as trustee and custodian of bonds held by the Treasury for the security of the circulating notes of national banks and 3f bonds held as security for public deposits therein; as assessor and collector of all Federal taxes on circulation, capital, and deposits of lational banks; as custodian of Indian trust funds and bonds of the Pacific Eailway sinking funds; as agent for paying the salaries of the members of the House of Eepresentatives, and as commissioner of thesinking fund of the District of Columbia. THE S T A T E O F T H E TREASURY. The folloAving statement is given to show the resources of the Treasury and its demand liabilities on the 30th day of September, 1876,1877,1878^.. mdl879: Statement of Liahilities and Assets of the Treasury of the United States on Septemher 30, 1876,. • ^• 1877, 1878, and 1879. S e p t e m b e r 30, 1877. S e p t e m b e r 30,. 1878. $41, 675, 000 00 1, 672, 707 96 13, 733, 913 59 $40, 890, 000 00 2,151, 693 76 17, 049, 010 89 $31,335, 000 002,167, 991 5026, 007, 876 95 13, 602, 238 00 9,182, 400 90 12, 939, 889 75 856, 379 42 775, 814 12 14,199, 294 60 12, 974, 232 75 S e p t e m b e r 30, 1879. LIABILITIES. F u n d for r e d e m p t i o n of Certificates of D e p o s i t , ( A c t of J u n e 8,1872) . . . . $34, 515, 000 00 Post-Ofiice D e p a i t m e n t A c c o u n t 1, 079, 877 01 16, 632, 207 98 D i s b u r s i n g Ofiicers' B a i a n c e s F u n d for r e d e m p t i o n of N o t e s of N a tional Banks "failed," " i n l i q u i d a tion, '' a n d '' r e d u c i n g c i r c u l a t i o n " . . 20, 882, 564 50 U n d i s t r i b u t e d A s s e t s of failed N a tional B a n k s . : 641, 424 89 F i v e p e r cent. F u n d for r e d e i n p t i o n of N a t i o n a l - B a n k N o t e s 11,100,779 70 642, 314 33. 15, 082, 482 99^ 334 REPORT ON THE FINANCES. Statement of Liahilities and Assets ofthe Treasury of the Uiiited Slates, ^'C.—Continned. i BBUGE S e p t e m b e r 30, 1876. S e p t e m b e r 30, '1877. S e p t e n i b e r 30, 1878. $671, 990 00 $1, 720 00 $1, 720 00 38,746 49 23,104 41 5, 987 37 605, 757 60 595, 662 25 670, 593 00 32, 280 00 15, 650 40 LIABILITIES-Continued. F u n d ' for r e d e m p t i o n of N a t i o n a l B a n k Cold-Notes C u r r e n c y a n d Minor-Coin R e d e m p tion-Account F r a c t i o n a l Silver-Coin R e d e m p t i o n Account Interest Account -. I n t e r e s t A c c o u n t , Pacific R a i l r o a d s , 1;;^ a n d L o n i s v i l l e a n d P o r t l a n d C a n a l " Compa-ny Tresasurer' U n i t e d S t a t e s , A g e n t for p a y i n g I n t e r e s t on D i s t r i c t , of Colimibia Bonds Treasurer's Transfer-Checks outstanding 29, 320 14 27,558 80 40, 811 27 2, 243, Oil 05 ' 2: 523, 702 79 2, 492, 885 05 5„405, 460 99 1, 938, 531 85 29, 777, 900 00 8, 447, 864 77 19, 064,191 25 37, 997, 500 00 42, 461, 900 19 8, 265, 412 00 80, 962, 581^ 41 10, 000, 000 00 184, 959,189 32 168, 024, 472 39 243, 681, 111 25 337, 424, 964 74 55, 423, 059 50 107, 039, 528 85 6, 029, 366 65 4, 802,180 00 7, 425, 453 94 18, 934, 000 00 73, 209, 611 08- 74, 558, 308 23 136, 036, 302 12,155, 205 6,143, 903 9, 634, 034 9, 392, 920 1, 316, 470 63, 049, 339 20 00 02 48 00 00 67 14, 513, 988 51 662, 000 00 1, 217, 270 63 8, 265, 412 00 14,109,541.51 1, 720 00 237,203 64 10, 000, 000 9, 259, 043 1,720 161, 081 00 81 00 86 10, 696, 085 63 156, 873 51 10, 731, 025 90 870,140 54 75, 661, 403 15 1, 410, 898 50 23, 000 00 319 50 333, 500 00 593 70 367, 000 00 8, 916 51 •126, 812 34 90, 012 01 256, 900 46 398, 216 06 15, 008 85 333, 907 50 370, 482 80 . I V e a s u r e r ' s General Account. I n t e r e s t due and unpaid , Called B o n d s a n d I n t e r e s t C o l d Certificates ." Silver Certificates R e f u n d i n g Certificates S p e c i a l F u n d for r e d e m p t i o n of F r a c tional Cnrrency. ' Balance, including Bullion F u n d Total. 9, 345, 289 12,015,016 32, 826, 600 2, 028, 070 13 78 00 00 ASSETS. G o l d Coin a n d Bullion S t a n d a r d Silver D o l l a r s F r a c t i o n a l Silver Coin S i l v e r Bullion 'Gold Certificates S i l v e r Certificates '. United States Notes U n i t e d • S t a t e s N o t e s , Special F u n d for r e d e m p t i o n of F r a c t i o n a l , C u r rency National-Bank Notes National-Bank Gold-Notes Fractional Currencv D e p o s i t s b e l d b y N a t i o n a l - B a n k Depositaries '. N i c k e l a n d M i n o r Coin N e w Y o r k a n d San F r a n c i s c o E x change O n e a n d T w o Y e a r N o t e s , &c R e d e e m e d Certificates of D e p o s i t , ( A c t o f J u n e 8,1872) I.... <^uarteiiy I n t e r e s t - C h e c k s a n d CoinCoupons paid Registered and unclaimed Interest paid United States Bonds and Interest I n t e r e s t on D i s t r i c t of C o l u m b i a Bonds R e f u n d i n g Certificates a n d I n t e r e s t . . •Pacific R a i l r o a d s , S i n k i n g F u n d S p e a k e r ' s Certificates ...: Deficits, u n a v a i l a b l e F u n d s Total . 1, 345, 000 00 1, 345 64 11, 991 53 • 416 00 738, 272 60 6, 255 00 737, 945 95 123, 802 00 729,195 64 168, 024, 472 39 243, 681, 111 25 337, 424, .964 74 Upon comparison of the condition of the pubhc funds upon the dates mentioned two facts appear: the immense increase in coin and bullion ^nd the decrease in the note assets. The aggregate of gold coin and bullion and of silver coin and bullion—including standard silver dollars, which, being coined under the act of February 28,1878, do not appear in the statement prior to that year—increased from $61,452,426.15 in 1876 to TREASURER. 335 $114,464,982.79 in 1877, to $163,969,444.70 in 1878, and to $222,807,368.01 in 1879. The decrease in the aggregate note assets, including credits in depositary banks on other than loan account, has been gradual, the apparent in'crease in 1877 being due to the failure of the Army bill to become a law, and the accumulation of funds consequent upon withholding payment to that branch of the service. The note assets ranged as follows on the above dates: In 1876, $98,419,685.22; in 1877, $107,664,287.64; in 1878, $88,772,800.14; and in 1879, $59,699,080.40. The decrease in the note balance arises from various causes, notably frbm the receipt for customs and internal revenue of coin paid out in the purchase of bullion for the coinage of standard silver dollars; from the exchange of notes for gold, and the payment of notes for foreign gold received at the assay office, ISTew York; from the purchase bf gold bullion A^dth notes, and the payment of interest upon the public debt in United States notes, and from'the payment of arrears of pensions. The most constant influence in the' decrease of the uote balance. is that which ]3roceeds from the purchase of silver bulUon for coinage, thereby depriving the Treasury of an equal amount of note receipts. All the above-mentioned causes of the diminution, except this, can be controlled by the Department. The purchase of silver bullion for gold coin would involve the same loss of note revenues, and this loss will continue as long as the purchases of bullion under the silver-dollar act . shall continue. The first bullion for this coinage was bought with gold coin, and subsequent purchases were made Avith standard silver dollars coined from bullion previously purchased. The coin thus disbursed ' speedilj^ returned in payment of dues, and, before resumption, every silver dollar or silver certificate paid out for bullion, by its return through the custoiurhouses, deprived the Ti'easury of gold coin which Avould otherwise have been received for duties. Since resumption, however, the Treasury is deprived, by the receipt of coin paid for bullion, of a like amount of United States notes, amounting probably' to seven per cent, of the annual revenues. This percentage is greater than the margin ' between the public receipts and expenditures, and will in time, without the other influences mentioned, render the balance in the Treasury first exclusively metallic, and then exclusively silver. That this is so, a glance at the monetary operations of the Government will show. The annual receipts from all sources are $274,000,000. Of this amount at least $24,000,000 is in silver dollars or in silver certificates, that being the minimum paid annuall}^ for silver bullion for coinage, which amount speedily finds its way into the Treasury— the more certainly because payments for bullion are made either at I^Tew York or San Francisco, which are both centers bf large receipts by the Government. The maximum net note receipts are then $250,000,000, against which are payments of $267,000,000 for general expenditures, interest on the public debt. War and IsTavy Establishment, and pensions, made in notes, or if made in coin, its return decreases the note receipts to that extent. The excess of note expenditures over note receipts is therefore $17,000,000, Avhich is the a.nnual decrease of the note balance from, the silver-dollar coinage alone. Of the $59,699,080.40 note balance of the Treasury September 30, 1879, but $53,042,686.77 is available, the remainder being simply *a credit with depositary banks. Of the latter sum $29,240,000, represented by Clearing House certificates outstanding, is, b}^ sections 5193 and 5194, Eevised Statutes, held as a special deposit, and cannot be used to create any expansion or contraction of the currency, but only 336 REPORT ON THE FINANCES. for the redemption of such certificates, leaving $23,802,686.77 and the current receipts to be applied to the payment of other demancls, including the funds for the redemption of national-bank notes; the five per cent, redemption fund being $15,082,482, and the fund fbr the redemption of the notes of failed, liquidating, and reducing banks being-^ $12,939,889. Demands upon both are "now met with United States notes, for the reason that all national-bank notes presented for redemxD-. tion are paid for from the five per cent, fund upon their receipt, and after assortment that fund is reimbursed from the other to the amount found (lue. The arrangement by which, the Treasury becaine in January a member of the ISTew Y^ork Clearing House has been of incalculable advantage in estabhshing resumption and in saviug useless handling of money, and may be made to check the depletion of the Treasury of notes by permitting the settlement of balances in coin to the extent that auy exigency may demand. But at present the Treasury membership inures to the benefit of the clearing-house bauks, and uniess a change in the rules is made permitting i)ayment of all or a certain i)ercentage of balances in silver, it may become desirable for the Treasury to withdraw from a relation which renders over thirty inillions of lawful money in its vaults unavailable for payment at ISTew York, the point of greatest public disbursement. All checks in payment of called bonds and in payment for foreign gold are now paid in gold. The decrease .of notes in the Treasury continues, however, and will keep on until the limitation or cessation of the present silver-dollar coinage. It is not the function of this office to do more than to set forth the facts. Everything has been done to put silver and gold into circulation. To this end all payments are made at the vaiious offices in silver, gold, and notes—ten per cent, each in silver and gold and the remainder in notes, unless the payee desires more coin. A further saving might be made by suspending the purchase with notes of gold bullion at the various assay offices. . . ' The silver bullion on hand has also decreased .during the year from $9,634,034.48 to $4,299,11:4.25 o;i account of the difficulty in making purchases, as prescribed in the act of February 28, 1878,, at the market rate, which is held by the Department to be the equivalent of the London rate. . The ten million fund in United States notes, held for the redeinption of fractional currency, has disappeared from the assets under the provisions of the laAV Avhich devoted it to the payment of arrears of pensions to soldiers in the war of the EebelUon. UNAVAILABLE FUNDS. The total amount of unavailable moneys carried in the balauces of the accounts of this office on the dates mentioned was as follows: •Jnne 30, 1878 Jnne 30, 1879 -. '. , The (litle.rence .- $29,622,241 27 29,552,284 91 69, 956 36 arises as folloAVS: $47,097.65, which was stolen fromthe Treasury June •2, 1875, was.transferred to the books of the Eegister of the Treasury, by authority bf the First Comptroller, aud to the proper personal debit, thus remoAuijg it from the cash account of the office. The remainder, • $22,858.71, w^k deposited March 19, 1879, by the Yenango ISTational Bank, Franklin, PennsylA'-ania, which failed in 1866, leaAang the balance clue-;irom that bank at this time $193,932.67. TREASURER. 337 Ko public money,in the Treasury has become unaA^ailable since March"^ 4, 1877; on the contrary, by collections made since, that time the .uiiaA^ailable funds have been reduced more than $25,000. I t is contemplated at the proper time to submit for reference to Congress a bill to make permanent provision for the transfer of all unaA^ailable items from the cash accounts of this office to the books of tbe Department, with a debit to the person. State, or baiik properly chargeable therewith. . . ^.; The act of March. 3, 1837 (5 Statutes, 178), ^^to authorize the proper^ officers of the Treasury Department to credit the account of the Treasurer of. the United States Avitli the amount of unaA^ailable funds stand' ing to his debit on the books of the Treasiirj^, to transfer the amount to the debit of banks and indiWdiials indebted for the same, and to authorize the Secretary of the Treasury to compromise and settle, said clainis," thus disposed of such items as existed at that date, and was' considered operative for sorae time thereafter, but a