banking capital returned by them, of the whole amount of their debts and liabilities, the amount of circulating notes outstanding, and the total amount of means and resources, specifiying the amount of specie held by them at the times of their several returns, and such other information in relation to said associations as, in his judgment, may be useful.

Second. A statement of the associations whose business has been closed during the year, with the amount of their circulation redeemed, and the amount outstanding.

Third. To suggest any amendment to the laws relative to banking by which the system may be improved, and the security of the billholders and depositors may be increased.

Fourth. To report the names and compensation of the clerks employed by him, and the whole amount of the expenses of the banking department during the year; and such report shall be made by or before the first day of December in each year, and the usual number of copies for the use of the Senate and House, and one thousand copies for the department, shall be printed by the public printer and in readiness for distribution on the first meeting of Congress.

SEC. 61. And be it further enacted, Tat any banking association or corporation lawfully in existence as a bank of circulation on the first day of January, anno Domini eighteen hundred and sixty-three, organized in any State, either under a special act of incorporation or a general banking law, may at any time within years after the passage of this act become an association under the provisions of this act; that in such case the certificate of association provided for by this act shall be signed by the directors of such banking association or corporation, and in addition to the specifications required by this act shall specify that such directors are authorized by the owners of two-thirds of the capital stock of such banking association or corporation to make such certificate of association, and such certificate of association shall thereafter have the same effect, and the same proceedings shall be had thereon, as is provided for as to other associations organized under this act. And such association or corporation thereafter shall have the same powers and privileges, and shall be subject to the same duties, responsbilities, and rules, in all respects, as is prescribed in this act for other associations organised under it, and shall be held and regarded as an association under this act.

SEC. 62. And be it further enacted, That any bank or banking association authorized by any State law to engage in the business of banking, and duly organized under such State law at the time of the passage of this act, and which shall be the holder and owner of United States bonds to the amount of fifty per centum of its capital stock, may transfer and deliver to the Treasurer of the United Stotes such bonds, or any part thereof, in the manner provided by this act; and upon making such transfer and delivery, such bank or banking association shall be entitled to receive from the Controller of the Currency circulating notes, as herein provided, usual in amount to eighty per centum of the amount of the bonds so tranferred and delivered.

SEC. 63. And be it further enacted, That upon the failure of any such State bank or banking association to redeem any of its circulating notes issued under the provisions of the preceding section, the Controller of the Currency shall, when satisfied that such default has been made, and within thirty days after notice of such default, proceed to declare the bonds

transferred and delivered to the Treasurer forfeited to the United States, and the same shall thereupon be forfeited accordingly; and thereupon the circulating notes which have been issued by such bank or banking association, shall be redeemed and paid at the treasury of the United States, in the same manner as other circulating notes issued under the provisions of this act are redemed and paid.

SEC. 64. And be it further enacted, That the bonds forfeited, as provided in the last preceding section, may be cancelled to an amount equal to the circulating notes redeemed and paid, or such bonds may be sold, under the direction of the Secretary of the Treasury; and after retaining out of the proceeds a sum sufficient to pay the whole amount of circulating notes for the redemption of which such bonds are held, the surplus, if any remains, shall be paid to the bank or banking association from which such bonds were received.

SEC. 65. Be it further enacted, That Congress reserves the right at any time to amend, alter, or repeal this act.

Approved February 25, 1863.

Section eight of the "Act to provide ways and means for the support of the government," approved March, 1863.

SEC. 8. And be it further enacted, That all banks, associations, corporations, or individual issuing notes or bills for circulation as currency, shall be subject to and pay a duty of one per centum each half year from and after April first, eighteen hundred and sixty-three, upon the average amount of circulation of notes or bills as currency issued beyond the amount hereinafter named that is to say, banks, associations, corporations, or individuals having a capital of not over one hundred thousand dollars, ninety per centum thereof; over one hundred thousand dollars and not over two hundred thousand dollars, eighty per centum thereof; over two hundred thousand dollars and not over three hundred thousand dollars, seventy per centum thereof; over three hundred thousand dollars and not over five hundred thousand dollars, sixty per centum thereof; over five hundred thousand and not over one million of dollars, fifty per centum thereof; over one million and not over one million and a half of dollars, forty per centum thereof; over one million and a half and not over two millions of dollars, thirty per centum thereof; over two millions of dollars, twenty-five per centum thereof. In the case of banks with branches, the duty herein provided for shall be imposed upon the circulation of the notes or bills of such branches severally, and not upon the aggregate circulationof all; and the amount of capital of each branch shall be considered to be the amount allotted to or used by such branch; andall such banks, banking associations, corporations, and individuals shall also be subject to and pay a duty of one-half of one per centum each half year from and after April first, eighteen hundred and sixty-three, upon the average amount of notes or bills not otherwise herein taxed and outstanding as currency during the six months next preceding the return hereinafter provided for; and the rates of tax or duty imposed on the circulation of associations

which may be organized under the act "To provide a national currency secured by a pledge of United States stocks, and to provide for the circuculation and redemption thereof," approved February 25th, eighteen hundred and sixty-three, shall be the same as that imposed on the circulation and deposits of all banks, associations, corporations, or individuals, but shall be assessed and collected as required by said act. And all banks, associations, or corporations, and individuals issuing or reissuing notes or bills for circulation as currency after April first, eighteen hundred and sixty three, in sums representing any fractional part of a dollar, shall be subject to and pay a duty of five per centum each half year thereafter upon the amount of such fractional notes or bills so issued; and all banks, associations, corporations, and individuals receiving deposits of money subject to payments on checks or drafts, except savings institutions, shall be subject to a duty of one-eighth of one per centum each half year from and after April first, eighteen hundred and sixty-three, upon the average amounts of such deposits beyond the average amount of their circulating notes or bills lawfully issued and outstanding as currency. And a list or return shall be made and rendered within thirty days after the first day of October, eighteen hundred and sixty-three, and each six months thereafter, to the Commissioner of Internal Revenue, which shall contain a true and faithful account of the amount of duties accrued, or which should accrue on the full amount of the fractional note circulation and on the average amount of all other circulation, and of all such deposits, for the six months next preceding, [as aforesaid, during the time when such duties remain unaccounted for.] And there shall be annexed to every such list or return a declaration, under oath or affirmation, to be made in form and manner as shall be prescribed by the Commissioner of Internal Revenue, of the president, or some other proper officer of said bank, association, or individual, respectively, that the same contains a true and faithful account of the duties which have accrued, or which should accrue, and not accounted for; and for any default in the delivery of such list or return with such declaration annexed, the bank, association, corporation, or individual making such default, shall forfeit, as a penalty, the sum of five hundred, dollars. And such bank, association, corporation, or individual shall, upon rendering the list or return as aforesaid, pay to the Commissioner of Internal Revenue the amount of the duties due on such list or return, and in default thereof shall forfeit, as a penalty, the sum of five hundred dollars; and in case of neglect or refusal to make such list or return as aforesaid, or to pay the duties as aforesaid, for the space of thirty days after the time when said list should have been made or rendered, or when said duties shall have become due and payable, the assessment and collection shall be made according to the general provisions prescribed in an act entitled "An act to provide internal revenue to support the govern ment and to pay interest on the public debt," approved July one, eighteen hundred and sixty-two.

The following table shows the imports and distribution of coffee at the

*Stock in first hands alone; all others in first and second hands.

Exclusive of beet-root sugar.

principal European depots for the twelve months ending 31st December,

TRADE AND COMMERCE OF THE SANDWICH ISLANDS.

We find in the Honolulu Commrecial Advertiser the annual review of the trade of the Sandwich Islands, from which we make up the following: The tables show that there has been an improvement both in the import and export trade, and that they are becoming more nearly equalized, which indicates a healthier state than has existed for several years. The total imports for the year are given at $998,239, while the exports foot up $838,424. These totals do not, however, represent the exact trade, inasmuch as each sum embraces goods simply bonded and re-exported again without paying duties. The quantity of bonded goods is very large -amounting to $259,069, or more than one-fourth the above total. A large portion of these bonded goods consist of oil, bone, or other cargo, landed for transhipment and export, and really ought not to appear in the imports. But as they have Leen placed there, they have also to be given among the exports when shipped away. How large this class of