The Salt Lake tribune. [volume] (Salt Lake City, Utah) 1890-current, 1910-12-13
Report of Comptroller of the
United States Is Presented
to Congress.
FINANCIAL INSTITUTIONS
OF NATION ARE PROSPEROUS
Growth During Past Year Has
Been Steady and Exceed
ipgIy Profitable.

w N2SdlNGION, Dec. l2-Another
year of prosperity and solid growth for
the banks of tho United States is re-
corded in the annual 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 review of banking con-
dltions, but state banks, savings banks,
trust companies and other financial in
stltutions-some $4,000 others, are
represented.
Bank Resources Grow.
During the fiscal year of 1910, the
combined resources Of the 1000 national
banks of the United States grew to ap-
proximately $4,000. 100000. On Sep.
tember l last. their loans and discounts
had reached $5,400. 900 ,000-an amount
never before equaled in tho history of
the national banking system since its
creation in 1864 At the same time,
they were counting nearly $3,000.00
Of overdrafts in their assets. practice
which there is no law TO stop.
Combining all other banks in the
United States and its island posses
sions with those Of the national system
and allowing an estimate for those not
reported, it is evident from the comp
troller's S report that the banking power
of the nation has grown in the last ten
years from 1897 OF all sorts of banks,
with a capital of 81 $50 100000 and In
dlvdual deposits of $7,6SS, 100000 TO
more than $1,000 banks with combined
capital close to $2.000,000,000 and indi.
vidual deposits of nearly $4,000 900
uC0 The deposits have more than
doubled in little more than decade
and IN the same time the combined
loans and discounts have grown to
more than $4,000, 100000
Immense Volume of Transactions.
The volume of business is reflected in
reports from 1877 clearing house ex
changes showing combined clearings of
$l69, 100000 900 for the year ended on
30, as against $l5S,S00 000,-
Cincinnati. Houston, Tex, Greensburg,
Pa, Fremont. Neb., Franklin, Pa,
Colorado Springs and Vicksburg, Miss,
the year showed an increased volume
of business transacted.
The New York Clearing House asso.
ciation represented 90 per cent of the
clcarings Of ali associations of the
country and during the current year
has reached $102 900 100000, some
81 600 000 ,0C0 greater than in 1900 |
For those enormous transactions bal |
ances Of only little more than $4,000 |
000.0 900 were used,
Four actual national bank failures |
marked the wear Final settlement of |
he affairs of eighteen insoIvcnt banks
was made in which depositors received !
nearly Sc per cent. These admins
trations were made at an average cost !
Of about ) per cent on the collections |
From the date of the first failure in
/ S65-514 national banks have been
placed in the hands of receivers and
twenty hvc Of them have been restored
TO solvencv. More than $3,300.000 in
dividends vase paid To depositors of
insolvcnt banks during the year.
Business Is Profitable.
On the whole, it appears from the re.
port that national banking conserva-
lively conducted is a profitable enter
prise The net earnings of the 1000 ma
tional banks during the year were more
than Sl54 100000. from which divi |
dcnds of SlOj.OOO.000 were paid-at the
rate Of more than 10 per cent on their
capital. The government, too, has pro
fitpd from the existence OF the ma
tional associations, for since their he,
IT has received more than
S202 ,000, 600. of which more than %
per cent for circulation tax on the
banknotes they issued.
With the exception Of banks which
have become iusolvent ms a result Of
OF othc- dishonesty. fail
ures have been almost wholly due to
or reckless management,
the report says. and persistent viola
tions Of the national banking laws and
the practices governing conservative
banking.
Cutting Out Weak Ones
During the year, ll5 national banks
went into voluntary liquidation, many
Of them yielding TO that policy. Some
were absorbed, others consolidated
"It is the purpose. - the report says,
Hto get out of the national banking
system every bank which is managed
in such a careless, reckless and specula
live or incompetent manner as to en-
danger the safety Of its depositors
During the last ten years, the mum
Der of banks in operation has increased
by 1858 and the authorized capital has
increased 1888 900 900.
The banknotc circulation of the
country increased at the same time
from 1884 +.00o.0 600 TO S713.000.o0o. and
reached the maximum in the history of
Il. Of