REPORT OF THE COMMISSIONER. STATE BANKING DEPARTMENT, Lansing, December 31, 1895. To HON. JOHN T. RICH, Governor of Michigan: I have the honor to submit for your consideration, my Seventh Annual Report of the condition of the banks under the supervision of this Department, as required by section 43 of the State banking law. There has not been a State or National bank failure in this commonwealth during the year, and it is with a feeling of pleasure that I report this clean record for Michigan's incorporated banks. Although the earnings of State banks for the year just closed have been greater than in 1894, the dividends paid to stockholders have been less, as a larger amount has been carried to surplus, or used to retire bad debts incurred in 1894, the result of the panic of 1893. Notwithstanding the business depression, which is still felt in a more or less degree throughout the State, I am happy to be able to report that the deposits in the State banks have increased very perceptibly during the year December 19, 1894, the deposits in the State banks, exclusive of amounts due to banks and bankers, were $58,548,990.55. The deposits in the same banks December 20, 1895, exclusive of amount due to banks and bankers, were $66, 263, 139.02, a gain of $7,714,148.47 during the year. This increase makes the deposits in the State banks $1,662,239.73 greater than they were in December before the panic, when they were $64,600,899.29 and $725,569.37 more than on May 4, 1893, when the deposits in the State banks were at the highest point previous to the panic. This is a matter for congratulation, as it not only shows that Michigan's State banking law is appreciated, but speaks well for the excellent condition of our State banks, and the confidence the public have in their management. NATIONAL BANKS. The deposits in the National banks on December 19, 1894, less amount due to banks and bankers, were $35,110,525.81. With two less banks, December 13, 1895, the deposits were $35,981, 634.14, a gain for the year The deposits in the National banks on December 9, 1892, less amount due to banks and bankers, were $42,757,855.52. On December 13, 1895, with ten less banks, the deposits, less amount due to banks and bankers, were $35,981, 634.14, a loss of $6,776,221.38 in deposits. The combined deposits of State and National banks, less amount due to banks and bankers, were the highest December 9, 1892, when they reached $107,358, 754.81, and the lowest December 19, 1893, when they were $85,730,151.81, a decrease of $21,628, 603.00. As the total deposits of State and National banks December 13, 1895, less amount due to banks and bankers, were $102, 244, 773.16, we have gained $16,514,621.35 over 1893, and only $5,113,981.65 below that of 1892, when the deposits were the highest in the history of banking in Michigan. From the above figures it will be seen that Michigan is rapidly recovering from the effects of the panic of 1893, which is gratifying to every citizen of this commonwealth. For a more complete report of the condition of the banks of the State during the past seven years, see pages 14, 15, 16 and 17. NEW BANKS. I have authorized the incorporation of six banks during the year, with a capital of $230,000 00. Of this number, three were formerly private banks, and one a National bank. The name, location, date of authorization and amount of capital will be found in the following table: It has been the policy of the Commissioner not to recommend an amendment to the banking law until the necessity for such an amendment is clearly demonstrated by actual experience. The banking law now provides that when a bank becomes insolvent and is placed in the hands of a receiver, such receiver shall, under the direction of the court, take possession of the books, records and assets of every description of such bank, collect all debts, dues and claims, belonging to it, and sell or compound all bad or doubtful debts, and sell all the real and personal property of such bank on such terms as the court shall direct, and may, if necessary to pay the debts of such bank, enforce all the individual liabili |