AMERICAN FINANCE.

New Zealand Herald, Volume XLV, Issue 13702, 19 March 1908, Page 5

AMERICAN FINANCE.

o. PAPER CURRENCY BILL. By Telegraph.— Association.— (Received March 18, 9.29 p.m.) New York, March 18. The Senate's Finance Committee desire to amend Mr. Aldrich's Bill by eliminating railway bonds as security for national bank note circulation, and advise that banks be prohibited from withdrawing more than nine million dollars of circulation in any one month. With a view to coping with the financial crises in the United States, snoh as those which occurred in November last, Senator N. W. Aldrieh (chairman of the Committee of Finance, end Republican leader in the Senate) introduced a Bill to provide for the issue of an emergency currency to the amount of 500,000,000d01s in the form of national bank notes. The notes, it was proposed, should be taxable at, as high a rate as 6 per cent., and provision was made authorising their withdrawal when the emergency which rendered their issue necessary had come r o a termination. Senator Aldrieh, in explaining the provisions of his Bill, stated that in the event of an emergency the measure would enable £100,000,000 sterling of new money to be placed in tho channels of trade within 48 hours.