The evening times. [volume] (Grand Forks, N.D.) 1906-1914, 1906-07-17

the banks are. as they are in this
state. small: and thereby become a
greatly added security to the deposit
ors Of the banks, to whom we owe
sacred trust.
The matter has also been agitat-
ed In reference to the insurance Of
bank deposits: so that in case bank
tailed, from the fund created the de-
positors might receive their money at
once. and the shock to the community
would practically be nullified. This
matter is something that is entitled to
our serious consideration. 1t is a great
question, and good one. and would.
l feel sure add largely to the deposits
OF every bank, by reason Of the secur-
lty which the people would feel in
the banks. and the added business
which the banks would receive would
great deal more than care for the
added expense. There Is. of course
the argument that the good banks
would have to guarantee the deposits
of the poor banks: but it would seem
as though this could be taken care
of in the right way. and such law
be a blessing both to the banks and
to the community in which they do
business.
The matter of excess loans by banks
is serious one: and the loaning of
funds to directors of banks-or per-
haps more especially to those directors
who may be active in the management
of the banks-and to the officers of
the banks. or to enterprises in which
they might be engaged. is one which
should be given consideration. The
records in Washington show that the
majority of the national banks which
have failed in the past are banks
which had loaned largely to their Of
ticers. or to the various business en-
terprises in which officers were .en-
gagged: and If this class of loans could
be safeguarded and regulated, l do
not believe that we would hear very
often of the failure of any bank. 1t is
only a few years ago since to be
known as a banker in our state, and
in many other states for that matter,
was to certain extent to cast a
stigma upon that person. 1t is not so
today; and l sincerely hope that the
time will never come again in this
country when it will be: for believe
that no business fraternity have a
higher calling nor better one, than
the bankers of this country; and we
want, and must have, the confidence
and esteem of the community in which
we live and do business. and to get
it we must deserve it.
At the present prices of government
bonds there is profit of over one per
cent in circulation; and l have Won
dered in looking over the bank state
ments that more of the national banks
of North Dakota have not taken out
the maximum circulation to which
they are entitled United States gov
eminent per cent bonds are lower
than they have been for years, be-
ing but little above par.
Some of the supply houses of the
country are Offering to pay Z per cent
for money; and it has come to my
personal knowledge that money is be-
ing sent from our state to the mail
order houses of Chicago and other
cities. This is a matter which we
should consider. 1t is clever scheme
for them to get business, and they
do 1t at our expense, as we need the
deposits here, and certainly cannot
AFFORD to pay the interest which they
are paying. This is young state, and
We need every dollar that there is in it
to develop our resources.
Then there. is the postal savings
bank. bill for the establishment of
which comes up in almost every con-
gress. We should, believe, use our
influence with our members of con-