Show larger bank banh notes N otes Gro growing wint in tn favor hoarding one of reasons advanced by financiers washington paper currency of high denomination has notably increased in the last three and one halt half years yeara in outstanding 1000 and notes the net gain has been 0 outstanding ut and bills d decreased e while other high denomination paper gained b tween between e january 31 1920 9 and june 30 1032 neither the treasury nor the federal reserve has analyzed tile the paper money data to the extent necessary to determine the exact reason for the tremendous gain in tile the and 1000 bills hoarding boarding and the use of 0 money in large units bi gangsters racketeers bootleggers and other illicit gentry have been advanced as factors in the large amount of outstanding bills in the to 1000 group recently at the institute of public affairs at the university of virginia ammil edmund nd platt of new york vice president of the marine midland corporation and former vice governor of the federal reserve board was asked whether he be thought 1000 and notes hotca were money in the sense of 0 usef useful u I 1 circulating medium and why they were issued by the federal reserve system mr platt said that the only issue of 1000 notes by his bank ho be could recall had been one which was sent to cuba mr platt understood sto 0 d that the bills were to be used for betting on horse races robert warren of new york asserted that bills were used instead of gold by those who lacking confidence in banks have withdrawn their money from deposit and transferred it to safety deposit boxes to the amount of about in determining the amount amoun tot of hoarding boarding treasury and federal reserve reserve experts have considered the requirements of 0 business and the amount of currency in circulation on this basis hoarding boarding has been estimated estimate as from to including the abnormal volume of money maintained in vaults by banks to meet emergencies on june SO 30 the total amount of money in circulation was or an increase of 0 during the year in the face of declining business circulation at the end of the 1032 fiscal year was higher than june 30 1029 and higher than june 30 1030 1930 considerable doubt Is expressed in washington whether criminal elements make great use of banknotes bank notes of above 1000 normally they use more mora negotiable goti got able lable money not kot much chan change ge in their banking habits has been noted nevertheless and 1000 bills may be used to a considerable extent in the bootlegging business hoarders boarders Hoar ders of large sums undoubtedly use bills of ZOO 00 and 1000 between january 31 1929 and june no 30 1032 the largest gain in outstanding bills was that of the denomination it was 4 the bills increased 2 50 the 1000 bills in bills there has been an increase of since january 31 1030 in the last six months it came to but from 1929 to this month a net decrease of Is recorded five fire and 2 bills decreased the reduction in outstanding bills as shown by treasury books was however of that amount n was accounted for by the retirement in slay may 1929 D ot of a reserve in gold certificates maintained in tile the new york assay office brin bringing ing the actual decrease in the bills to As these bills were sent to the treasury tor for redemption they were retired |