Evening Star Newspaper, January 11, 1925, Page 33

FIN ANCIAL. Local Banks Report Deposits s; Largest in Capital’s History Gain of $25,000,000 Over Same Date Year y Ago—McFadden - BY CHAS. P. SHAEFFER. "The greatest amount of money ever ®n deposit in District banking institu- tions was boasted on December 31, 1924, when the sum of $2: Teported by the 42 1 According to official compi Audley P. Savage, printed els 1n this edition, this sum represents a galn of $25,008,854.26 over the same fous. > are shown to have been the heaviest griners during the Year, reporting an aggregate increase 116.49. Trust companies come next with crease of $6,- 124,018.19, and gs _institutions gained $2.248 during the 12 months. More than half of this huge sum on deposit is held - by . the 13 national T of institution ac- its for $119.734,045.93 of the sum . while $74,110,311.58 is held by the seven trust companies, and the nder, $30,878,903.50 Ly the 22 institutions, previous peak in District bank was reached on October 10 when a total of $214.538,064.58 reported. The new mark shat- the old by $10,155,196.43. an vi s = s class showed | cd $6, se, trust comp: fes reported a gain of $3,898,307.03, and savings banks gained $108,099.63. In view of the large sums disbursed account of Christmas savings clubs, the gain of the savings institutions is held especially commendable. In fact, savipgs bankers themselves are at a Yoss to account for the increase. Bank Oficial Promoted. Frank E. Ghiselli, urer of the Merchant: Co., has been promoted to a vice Presidency of the institution. Mr. Ghiselli started his banking @areer about 27 vears ago. He served, successively, with the West End Na- tional Bank, Citizens' National and with the Commercial National. From the Commercial he joined the forces of the Merchants’ Mr. Ghiselli is National t with only or a member of the mopolitan Club of thirty-second n, treasurer Lodge 12, F. A. A. M., and striods treasurer of Almas He holds membership in the Washington Board of Trade and is treasurer of the Italian-American Masonic Club. McFadden Explains Bill. an McFadden has succeeded | fn bringing his ideration in the House. This considered by the bankers of ry as the most important finaneial legislation since ge of the Federal Reserve is also of vital interest to Washingtonians, especially in view of its bran bank passages, whic phase of finance has for ma rs been a blot on the local escutcheon. ourse of his debate Mr. banking bill up for gress for ing that time had been s i ed to the most searching analysis and criti- of any bil brought before the techni- of the Con- trolier of the Currency, as well as| 1 vers for the national banks in| various parts of the country, had | Zone over the bill section by section and approved the form in whi the | bill is drafted. In addition to thi Mr. McFadden showed that the bas ing policy of the bill bud been ap- proved by various organizations in- terested in financial Jegislation, in- cluding the two leading bodies in this is character, namely, the ation of Credit. Men n Bankers' Assocla- These two associations, Mr. Mc- Fadden pointed out, are conserva- tive and sound in all matters of bank- ing policy. They may be said to re- flect the sentiment of the entire banking and credit machinery of the country. In addition, Mr. McFadden pointed out that the bill had been approved and urged for pa by numerous State bank ass well as by e Federal Reservs Loard. Discusses Branch Banking. dden devoted considerable | in his speech to the question of branch banking, these being the pro- | visions of the bill in which the public | s more largely interested. He poin ut there were two extreme schools ought on branch banking, the one would prohibit branch banking 1y and attempt by Federal leg- slation to wipe out all existing branches, both inside and outside of cfty limits, and the other extreme which would take away all re- and establishing branches throughout the ot ndent banke. He that the bill rejected both extremes as being unwise practicable and steered a mid- hgnize 5 and " sections of the coun- laws as an integral trous to sald that State-wide langer ind to the denenden countr attempt by violence to up- the bill recognized that branch banking was a and to that end it attempted: em re er tional banking i—to prevent of State-wide branch banking. done in the bill by prohibit- member banks of the Fed- rve eystem from establish- Ing any more branches outside of the ity « in which the + honk 18 located and also by preventing na- tional 0m esdousNIng such nches outside of city limits. Bill Makes Distinetion. He said that tinction system soncer the furth spre: This ing sral Re ank between limits branch baunking of the city of the < and the establishment »ank of, branches in other ment of State-wide branches involved the principl that is to say finance would be take locality in which the b and shifted to some center in large city. a local customer could ne his bankers, as has been the custom in this country, but would have to aeal with an agent in charge of a branch bank, who was acting under instruc- tions from the head offi~e which is a & hundred or 5o miles away. In the brancn banking within the city limjts, the only ques- tion involved is the matter of addi- tional facilitics for meeting the needs of local customers and the dangers whioh arise in branch banking would be absent. He expressed no enthu imsm for branch banking even within case. of the bill made a dis-| Explains Details of Famous Banking Bill. FRANK E. GHISELLI, Recently named vice president of Merchants’ Bank and Trust Company. city limits, but since Btate banks in a number of States were already en- gaged in this kind of business and it had become the local banking practice, it was absolutely necessary to the existence of the national banks that they be permitted to en- gage also in expanding their bank- ing facillties in this manner. He | pointed out, however, that the bill would not permit a national bank to engage In any form of branch bank- ing even within city limits in those States which by law or regulation prohibit the State banks from engag- ing in branch banking, and further that even In those States which per- mitted branch banking the bill would limit it practically to those citles having a population of more than 100,600 by the last census. In citles having from 50,000 to 100,000 popu- lation only two Intracity branches would be permitted, and in cities hav- ing a population from 25,000 to 50,000 only one such branch would be per- mitted. . 01 Branches Would Remain. Mr. McFadden was very careful to state, however, that it was not the intention of the bill to take away from any bank any branch which it had heretofore legally established, re- gardiess of where the branch of the bank may be located So far as the restrictions on State- wide branch banking are concerned, the principal locality which will be affected is the State of California, although a number of other States permit State-wide branch banking to the State banks. In California alons State-wide branch banking has been developed on a Irge scale, two of the leading State banks there—both embers of the Federal Reserve ystem — having more than 80 branches aplece scattered all over the State. The effect of the bill on these banks will be that they will not be permitted to establish any more outside branches so long as they remain members of the Federal Reserve system. Mr. McFadden pointed out the con- tribution which the independent unit bank had made to the cconomic de- velopment of the United States. He said that the main purpose of the branch banking provisions of the bill was to protect these banks from be- ing put out of business in one way or another by the encroachment of branch banking by the great banks in the financial centers. He sald that the local development of State-wide branch banking ultimately led to a monopoly or group control over credit facilities. He pointed out that in the Dominion of Canada, where branch banking has a free hand, there are only about a dozen banks left. These control thousands of branches scattered throughout the | Domtnion. Other Provisions in Bill. Mr. McFadden said he did not wish his bill to be known simply as a branch banking measure. There are many other Important provisions in the bill which have received as great | study and attention as the branch banking features. The office of the controller of the currency, which the supervision over the national | banks, In conference with various groups of bankers and working in co-operation with the banking and | currency committee ot the House, made a careful and exhaustive sur- vey of the need for improvement in the natfonal bank act. This act was enacted 1864 and has been amended very little since that time. As a re- sult of this careful investigation Mr. McFadden sald that his committee drafted and reported out this bill, many of the provisions of which will | strengthen the position of the na- | tional banks and benefit the banking {system of the country as a whole. These amendments, he said, make no radical changes in the banking laws, but simply legalize certain practices of and bestow certain |powers upon the national banks which have been demonstrated to be absolutely sound and necessary. Each Section Analyzed. Mr. McFadden reviewed and ana- lyzed each one of these sections, €howing exactly what changes were made. These include the authority to lend money upon first-mortgage city real estate for a period of five years instead of one year, as now; the au- thority of a State bank to consolldate directly with a national bank under national charter; the right of a na- tional bank to continue in business Indefinitely as long as it remains solv- ent, did not violate the banking laws | or whose charter was not repealed by Congress; the right of a national bank to be organized at a capital of $100,000 in outlying sections of large cities; the right of national banks to pay stock dividends; the legalization | 2f the office of chairman of the board; clar{fication of the provisions of the law governing the amount which a national bank may lend to any one person or corporation; the extension of the authority of the Federal Re- serve Banks to rediscount otherwise e | eligible paper to an amount in excess of 10 per cent of the capital and surplus of the applving member bank when the pa- per =0 offered for rediscount could be accepted by a national bank under section 5200, Revised Statutes; the right to engage in safe deposit busi- ness to the extent of owning stock in & corporation carrying on that busi- ness in the building in which the bank is located; and the punishment of certain crimes against National and State member banks of the Federal Reserve system, which crimes can now only be punished ll:dtr the State laws. (Continued from Page 33.) ‘Woak eading Jazuary 10, 1925, Net. High. Lew. Clese. 104 xo;: + i 6% % 80% 8 Nat Dairy Products. . 86% Nat Department Stores. 304 —— National Distillers pt. - 1% —— Nat Rwys of Mex 2d pf. B4% 3 National Supply. . 11% —— Nevada Con Copper. 93% 123%New Orleans, Tex & Mex. Newp N G & E. ork All Brake B P AP PR PP N Y. Ontario & W New York, Lack & West. Ne k Shipbuilding - team 1 Nigara Falls = Niagara Fls Pwr pf (1%) Norfolk Southern. . Northfolk & Western. Onyx Hosiery . Orpheum Cireuit. Orpheum Circuit Otls Elevator (new). teel . #"Frsssasegesies o —— Park & Tilford....... Penna Coal & Coke. ... Pennsyivania Raliroad. e e Pere Marquette pr pf. Philadelphia Company. Philadelphia Copf. .. Phila & ReadingC &1 R PP T g et Plerce Petroleum. . cem« Pittsburgh Coal. . Pitteburgh Coal pt. Pittsburgh Ter Coal. Pitts Ter Coal pf. sl ==aes] s¥s Fa¥s 26 83 50% 88% 134 47 114% 108% 81% 99% 68% 49% 51% 100 108% 134 110% 693 41% 82 16% 100 82% - Pittsburgh & W Virginia. Postum Cereal. . Postum Cereal pf. gl [=~] LU LS 2l oz & ) Radlo Corp. of America.. —_— Radio Corp. of Am. ptd 123 9% Rail'y Steel Spring pf. 34% 20% Rand Mines. oL TS Remington Typewr 1st pf. Replogle Steel. . Republican Iron Republic Iron & Reynolds Spring. . Reynolds Tobacco, B. Reynolds Tobacco, pf. 86 Rossia Insurance. 40%4.42¥ Royal Dutch ctts (N Y). 82 ~—— Rutland pf.. 5t Joseph L. St Loule-8an Franciseo. 8t Louls-San Fran pf. St Louls Southwestern. emms] ][ ooe| FOREIGN EXCHANGE. By the Associated Press. NEW YORK, January 10—Foreign exchanges irregular. Quotations (in cents): Great Britailn — Demand, 4789-16; cable: 478 13-1 60-day bills on banks 75 5-16. France—De- mand, 5.86; cables, 5.36%.. Italy—De- mand, 4.19; cables, 4.19%. Belgium— Demand, 4.98: cables, 4.9815. Ger- many, demand, 23.81; Holland, 40.38 Norway, 15.30; Sweden, 26.92; Den- mi Switzerland, 19.26; Spain, 14.22; Greece, 1.821%: Poland, .19%; Cszechoslovakia, 3.00 Jugoslavia, %; 1.74; Austria, .0014}%: Rumania, .51%; — REPORT OF CONDITION Of the SEVENTH STREE1 SAVINGS BANK, RESOURCES. L aToass and diacounts, fnclod- ing red nts, acceptances Bl"o‘h;r o !GDN,‘ s of exchange or sold wieh' Indorsement of th 2. Overdrafts . !.”!mnnon! eecurities WE FINANCE Apartment Houses = Busines: Reatacnce Hotels, Bte. Higbie & 816 15th St. N.W. Inc. 430.00 119,260.51 49,253.11 140,048.65 36,083.67 ties, ete. . Banking bouse, $44,512.11; fur- nitore and fixtures, $4,741.00 . Casb 1o vault wod amount dus rom lonal ban . Bxchenges for clearing I Checks on other banks in the same dx:l' or town as re; - ing ba: (oth . o 2,545.02 In the Following Buildings | | International Building | 1319 F St $15 Month and Up LIABILITIES. ; Gepltal stock paid ta . Surplus fund .. . & Undivided profits 2. Qurtified che Mather Building Petad e oo o 916 G St. (Beporita payable Front Room—335 Month days) Maryland Building 1410 H St. $15. Month and Up reserve withia 80 . Tndividug cl Certifica less than 30 daye (other barrowed) than for money vidends 't to 30 days’ of more notice, and postal 55, OBENtes of depote (oth ates e other han for money borrowed 35. Otber time deposits .. Total of time deposits t rve, items McKeever & Goss Building 1415 K St. 340 Month and Up $1,767,042.01 See Superintendent on Wil Premises or McKeever & Goss Realtors 1415 K Street Main 4752 ent {s true to the best of my and belief. J. D. HOWARD, Cashier. sworn_to befors me this o Gay ot Januar 2y of seain T. KERFOOT, Jr., Notary 'Public. Y, 1 w. Qorrect—Attest: ’ " yvousT B, PLUGGE, JOHN R. QI RJGHT, 4. B. THO) 18—, Hfi Tow. 1 2% 124 10% —189—, Div. High. Low. Rate. 144 —— Beaboard Air Line pf. . 8% 6 Sears-Roebuck. High, 40 Shell Union O1l. ... Shell Union Oil pf. 8loss-Sheffield Stl & Iron. Sloes-ShefMeld 8 & I pt. South Porto Rico Sugar 6 South Porto Rico Sugar pt Southern Pacific. . 1 Southern Railway Southern Rallway pf. Bplcer Manufacturing. Spicer Mfg pf. Stanaard Gas & Standard Milling. Btandard Milling pt.... Standard Ofl of Californta. . Standard Oil of N J. . Standard Ofl of N J pt. Standard Plate Glass. Sterling Products. . Btewart Warner Speed. Stromberg Carburetor. Btudebaker. Tide Water Oil. Timken Roller Bear aper. Unlon Oil of Calif. ... Union Pacifie. . . United Drug 1st pf... United Fruit..... United Paperboard United Rallway Invest. United Rallway Invest pt. U § Cast Iron Pipe & Fdy. USCast Ir Pipe & Fdry pt. U 8 Distributing Corp'n United States R & Imp. U'S Realty & Improvm United States Rubber. U S Rubber 1st pf. . U S Smelting & Ref. U 8 Smelting & Ref p? United States Steel. . United States Steel pf. United States Tobacco. Universa) Pipe Univsl Pipe & Rad pf Utah Copper. Utah Securities. Vanadium Corporation. Van Raalte 1st pt... Virginla-Carolina Chem Va-Car Chemical pf.. VaIron, Coal & Coke. .. Va Iron Coal & Coke pf. Virginia Railway & Power V Vivadou Inc. Wells-Fargo. ... Western Penn Pow West Penn Co (The) West Penn pf. Western Elects ‘Western Maryland. Western Maryland 2d pf. Western Paciflo. . Western Pacific p Western Unlon Tele ‘Westinghouse Alr Brake. Westinghouse Elec & Mfg. tinghouse Elec 1st pf. Wheeling & Lake Erfe. . . ‘Wheeling & Lake Erie pf. White Eagle Oll ‘White Motors. Wickwir Spencer. Wickwire Spencer pfd... ‘Wilson & Co. . ‘Wiison & Co pf. Willys-Overland. Willys-Overland p ‘Woolworth (new) Worthington Pump. Worthington Pump A Worthington Pump pt B. Wright Aeronautical. ... . ‘Wrigley (Wm) .52 Yellow Cab... 62 72 59% 4 YoungstownEheet&T..... Dividend rates as given in the above table are the based on the latest quarterly or half yearly declarations. noted. extra or special dividens are not included. t Part): Argentina, 39.69; Brazil, 11.87; Toklo, 38 7-16; Montreal, 99 11-16. REPORT OF CONDITION POTOMAC SAVINGS "BANK At Washingtea, in the District of Columbia, at the close of business on December 31, 195: RESOURCES. 1. a Loane and discounts, includ- iog rediscounts. acceptances of otber banks and foreign bills of exchange or drafts sold with indorsement this bank 2. Overdrafts . 5. Other boads, the close of ‘busines ing rediscounts, of other bank: sold with this bank.. 2 Qrerdratts, -Gabecin owned ete. . 6. Bankin, fornitare 7. Real e bar nk! 10, Cash in bouss, " §08,51518 i ax e a8 157,248.22 26,868.70 357,868.98 honse. vault 4.992.29 ing bani Total of ite: 11 and 13 14. & Checks and (! cluding Federal R Bank) outsida of city or town of reporting ban) 3 1,677.28 28852 LIABILITIES. 17. Capital stock pald in. 18 los fund .. 19 a Cert: 18. Other assets, if any. nd 26.. ©.$15,662.82 ind deposits (other than Total ....... bank _deposits) subject to reserve. (Deposits payable Dema: LIA) 7. Capital stock paid i subect to 18! Burplus fund ', 19. Un 238. Amount RESO! 1. # Loxns and discons bagks in same clty or town ea repart- ‘Week ending January 10, 1985, Net. Low, Close. Chge. T414 14444411 1++4 Ld+l+4+1 04+ Pl L+ I+ 44 111 I +++44 14441+ FsBrsa qFOFEF R R R e N R AN S L AN SR SR AN R RN » 2% annual cash paymen Unless otherwise y extra. REPORT orum.cnnmou WASHINGTON MECHANICS’ SAV- INGS BANK Washington, in the District of Columbia, on De: 5 cember 31, 1924, BCES. ts, includ- acceptances an. Dills of exchange or drates, indorsement of 5. government secirities 99,185.83 102,110.94 104,693.80 204,673.58 19,747.24 188 within 30 days; 2. Ingividual deposits sublect to chec) 1. Dividends ‘unpaid 145,491.78 Total ot 699,013.63 a Time 30 tions represeating money borrowed other than redis- counte) .. 140,000.00 Dt i $2,554,614.60 t of Columbia, wa.: T, B, ‘A, BOWLES, Cashier of the above- o ba: solemaly gwear that the above e best of my kowl- B. A. BOWLES, Subseribed and_sworn to before me day of January, 1925. {sear)) €. IRVING WOOD, Notary Public, D. 0. W. W. Anderson, W. P, s, 35. Other time deposi sam tement s true to :5'.. and bellef. étn Correct—Attest: ‘Wilison Offutt, Stoblman, 3 Tdh ey of Janus a5 o : ‘(kl{.) gl! Correct—Attest: 81, 85,087.59 deposits ‘(pasable after days, or subject to 30 days' “oc-more notice) and nge: to Dostal savinge: 83. Certificates of deposit (other than for money borrowed).. Total of time deposits sub- ject to reserve, items 38 999,507.01 d "'fia’-fi t before me this BERT N. ROBERTS, ‘Notary Public. FINANCIAL. FIRST MORTGAGES FOR SALE 6% THE TYPE OF SECURITY CONS ERVATIVE INVESTORS BUY IN DENOMINATIONS TO SUIT PURCHASERS JAMES F. SHEA 643 Louisiana Ave. N.W. FROM $50 70 $100 Can Be Obtained by Using Our Certificats of Inventory, Appralsal and Title. GAATTEL TITLE COMPANY 808 Fifth 8t. N.W. deed of trust on real estate Provadlizg intorest and oommiselo Joseph . Weller 420 Wash. L. & Trust Bldg., 9th & F K.W. E 0 Approved Security First Mortgage Loans McKEEVER & GOSS Realtors 115 K St. N.W. ashingt Mony for Washington People Interest Rates 6% and 6,2% Wanted First Mortgage Applica- tions on N.W. Property Apply Loan Dept. C. L. 0'Donnell, Mgr. Chas. D. Sager ,, Realtor 924 14th St. N'W. Available on 36 37 38 M. 4752 6%% and SAFETY Whether you can get this rate of interest and be cer- tain of the safety of your prin- cipal depends entirely upon The First Mortgage what is back of the invest- ment, Notes wec are offering at this rate of interest are ample security for the loans, because thcg are backed by our own conservative appraisals on 'a basis of only 50% of the Consult Our Mortgage Investment Department SHANNON - & LUCH 713 and 715 14th Street N.W., Main 2345 Large- Loans Available Insurance Company Loans Long Term Financing Building Loans Refinancing Interest 5149, Weaver Bros., Realtors 735 15th St. N.W. Main 1821 Announcement The International Life Insurance Com- pany takes pleasure in announcing the ap- pointment of Edward L. Strohecker —as General Agent for the District of Colum- bia, with offices at Ten-Twenty-Three Fifteenth Street N.W. HERBERT A. ROBERTS, Manager The International Life, with its record of growth from $34,330,931—Insurance in force and Assets of 3,490,021—in 1913, to its present— 260,000,000—Insurance in Force and its 35,000,000—of Assets, has well earned its title “The Fastest Growing Com.,p’m'ly West of the Mississippi’ THE NTERNATIONAL LIFE INSWURANCE COMPA! of St. Louis, Mo. Edward L. Strohecker, General Agent 1023 15th St. N.W. Main 355 = SPECIALIZATION We have specialized in Real Estate First Mort- gages for thirty-two years Quer a Quarter of a Century Withdut a Loss. in Washington. During this time we have supplied thou- sands of conservative in- vestors with safe FIRST MORTGAGES B, B, Main 2100 SAUL CO. 925 15th St. N.W;