The Washington times., 1912-02-04


Returning from active service in the
army, Mr.. Edison, then a mere youth,
entered the office Of Salmon p. Chase,
then Secretary OF the Treasury In Pres
ident Llncoln's Cabinet. On the re-
quest Of Senator Ben Wade of -Ohie
he was transferred to the office of the
Comptroller of the Currency, and he
has been a lnancier ever since.
Some Of his friends find the same
fault with him that others do with the
national banking act-he is not elastic
enough, or, in other words, he sis too
conservative" But this In gentleman
of the old school is not a fault 1t is
inbred nature. 1t impresses on even
those who make the complaint the very
fact that Mr.. Edison understands that
in handling the money Of Others it is
wisdom to go slow, sure, and safe, and
that this kind of action tends to sweet
sleep and contentment even in times
when the less conservative are sweat
ing blood.
But this is not intended for a biog-
raphy. Just by way of an introduce
ton to one OF the most successful of
Mr.. Edson's efforts-the Equitable
| COOPERATIVE Building Association and
it's new home. To speak of record of
| thirty-two years, a record OF results.
John Joy Edison was the first presi-
dent of this corporation, and he Is it's
head today. He was and Is the second
president of the washington Loan and
Trust Company.
The Equitable has issued 1873, 799 shares,
an average to each holder of thnee and
| one-fifth shares. 1t has received in
| cash $50, 4S4, ,5O1.97. 1t has loaned its
shareholders $1S,246,2 200 for the express
purpose Of building homes, and not a
dollar has been diverted. Sixteen mil
lion of these loans have been repaid or
| settled.
The plan calls for regular monthly
| cash payments of $3.50 a share, thereby
intoxicating the small savings plan in
] the minds Of the shareholders. The first
twenty-five issues have matured and
been paid off. From twenty-five to
forty-two have matured. but the hold
ers have the right to leave their money
on deposit with sure increment
The twenty-three issue has been out
237 months, the shareholder having paid
in that time $592.50, the shares having
earned S34953 each and total value
thereof at this time being $942.03. The
forty-two issue has been out l23 months,
paid in $322.50 earned $93.79, surrender
value $40l.@. An issue natures every
six months Ard these millions from
81 80 payments every four weeks.
The new home of the Equitable is one
of the gems of the city. Their old
home on F street, in the Woodward
& Lothrop block, was satisfactory, but
the big dry goods concern wanted II,
and rather than further block their ef-
forts the Equitable accepted this prop OF.
to you, build a home suitable and go to
$3.50, 200" And when the transaction
was completed the new hcme was Just
as good as IL could be, modern In every
way-"'too good" as Mr.. Edison puts it.
and there were several thousands COM
ing in cold cash. .
Down in the basement there is a vault
about 30 by IS feet. In II are stored
! the records of thirty-two years-every
check, every mortgage, every deed, etc,
} and It is a record of success ana pros
perity, the while thousands of building
and loan associations the country over
have kicked the bucket. go
! And the employees are contented with
generous treatment and beautiful quar-
ters. The happy family mas iunchTph yeS
together every day in the building. The
Equitable home is worthy OF caretut IN
spection.
And there's another bank coming.
Fact. Every dollar in Washington will
soon be the subject of search war
rant Banks want them all.
Three nice dinners last week. Di-
rectors of the United States Trust
Company entertained their president
at a delightfully."- informal affair at
which there were no formal speeches-
Just a few talks. Directors of District
National did the same for their presi-
dent Same kind of a function; Treas
urer Moon. of the Home Savings en-
tertained employees of that institution
| at theater and home.
| nd
tainship and are an adjunct to better
| business.
There is a difference between sur.
plus earned and paid in" The two
in a way, indicate the age of fisca
institution. The Comptroller OF the
| Currency will hereafter ask all banks
organizing under the national banking
act to pay in a substantial surplus. IN
order that the organization and opera {
, ing cEuenses of the bank may not impall
capital before the institution reachec
the dividend stage. The law recog
nizes the right of a bank to declare
dividend of so much of the net proht'
as may be deemed advisable. provlde(
that prior thereto one-tenth or the ne
nroats for the preceding year Is car
. ried to the surplus until the latte
amounts to 20 per cent of the capltai
No bank should declare dividend un
, iii it has acquired a reasonable sur
pITTh5e surplus Of the National banks o.
today is loo per cent greater than 1t wa;
twenty years ago. In 1901 1t was q
,,er cent in 1911 II was 65 per cent. Tht
reports Of thirty-seven banks org9nizec
/; without surplus show no pronts' put
! loss of SIS,747 due to expenses. Banks
Without surplus should devote their at
g tentjon to getting one OF these necessl
lies at once Better have 1t paid 1n' To-
It takes years to earn H.
I Al least one of our big trust com
: NAMES prefers whale Of an amour
e Of undivided profits" to surplus. 1t ha
e its advantages.
The Comptroller is Of the opinion tina h;t
the whole plan of clearing house eN
Y limitations can take broader scop
: than they do now. He wants cooper %
= alton between States and national banl
e Examiners. and clearing house associa
ton examiners At present atineoe the eHten an
u oIoa ring house examiners is purely u
obtaining clerical help the one from tn
!. | 0ther Two examiners go through
: hank in less time than one-to the les
s sening Of the annoyance to the bank