Twice-a-week plain dealer. (Cresco, Howard County, Iowa) 1895-1913, 1910-12-23
BANKS Make 4
GREAT RECORD
U. S. CONTROLLERS ANNUAL
REPORT SHOWS UNPRECE.
DENIED PROSPERITY.
RESOURCES TOTAL A BILLION
Trust Companies and Savings institu'
tions SuccessfuI-OnIy Four Act
uaI Failures Among Federal De.
positories in 1911.

Washington, Dec. 13.-Another year
OF prosperity and solid growth for
American banks is recorded in the an
nual report of the comptroller of the
currency, presented to congress today.
Not only the national banks. which
come directly under the control and
supervision of the currency bureau,
are included in the comprehensive re-
view of banking conditions. but state
banks, saving banks, trust companies
and other financial institutions-some
1850 others are represented.
During the fiscal year of 1910 the
combined resources of the 1000 ma
tional banks of the United States grew
to approximately $1,000,000,O0O. On
September 1, last, their loans and dis
counts had reached the immense sum
of $500, OO0,0OO-an amount never be-
fore equaled in the history of the ma
tional banking system since its crea-
ton in 1864. At the same time they
were counting nearly $30,OOO,0OO OF
overdrafts in their assets, practice
which there is no law to stop.
Combining all other banks in the
United States-and it's inland posses
sions-with those of the national sys-
tenn and allowing an estimate for those
not reported, it is evident from the
comptroller's report that the banking
power of the nation has grown in the
last ten years from 1897 OF all sorts
Of banks, with capital of $1,15O,0OO,OOO
and individual deposits of $7,6SS, 000,-
600. to more than $4,000 banks with
combined capital close to $4,000, OO0,-
900 and individual deposits of nearly
$16,O0O,OOO,OO0. The deposits have
more than doubled in little more than
q decade, and in the same time the
combined loans and discounts have
grown to more than S12,OOOO0O,0O0
Only Four Failures in Year.
Four actual national bank failures
marked the year. Final settlement OF
the affairs of eighteen insolvent banks
made in which depositors received
nearly Sc per cent. These administra-
tons were made at an average cost
of about 5 per cent on the collections
From the date of the first failure in
1865, 514 national banks have been
placed in the hands of receivers and
rs of them have been restored to
solvency More than s3,300,O00,000 in
dividends was paid to depositors of in
solvent banks during the year.
With the exception of banks which
hAv inc
defalcations or other dishonesty, fail
ures have been almost wholly due tt
incompetent or reckless management
the report says, and persistent viola
lions of the national banking laws ant
the practices governing conservative
banking.
Weak Banks Must Go.
The report leaves no room to doub
that it is the intention of the presen
administration to rid the nationa
banking system of weak banks b.
guiding them into voluntary liquida
ton, a combination with stronger in
situations wherever possible, or to dis
continue business as last resor
where there is no probability othe
than failure. In this way the comp
troller believes depositors can be pait
In full and shareholders can save SOM
of their investments and escape tn
double liability.
During the year 115 national banks
went into voluntary liquidation, man!
of them yielding to that policy, some
were absorbed, others consolidated
many left the national banking tielt
and continued as state organization!
and some discontinued business alto
gether.
ut is the purpose the report says
ito get out of the national bankin.
system every bank which is managed
in such careless, reckless AM
speculative or incompetent manner a
to endanger the safety of its depos
tors"