The Washington times., 1912-08-04
net IN Business and Railroad Earnings Gossip
IN LOCAL FINANCIAL CIRCLES
By I. A. FLEMING.

Byrd. jr. is the manager and secre-
Many victims of loan sharks have
used the funds Of the company to
rate OF interest Charged is per cent,
but this is discounted when the loan
Is made, and then the repaymerts
weekly, make the actual rate much
making out the spapers.s nor are any
other tricks of the shark introduced.
Loans are made only on two bndorse-
ments and after careful investigation
into the circumstances and conditions
of indorsers and principal.
In Norfolk many retail firms have
indorsed the notes of debtors In the
aggregate to large amounts So far
much advantage of the opportunity.
The retailer is no worse of, should
he have to pay the loans himself as he
the snd bs Ssbsors oy ee
called upon to repay in small weekly
payments, which they can do without
| stress, and which they have done In
that they probably would never be
able to pay, In u lump sum.
Comptroller Murray is satisfied that
the, reforms which he has instituted
within the last few months will, II they
are carried out by bank officials In tho
spirit of fairness, result In lessentng
forgeries, embezzlements and other In
| fractions of like character.
He has found that many banks re-
porting TO his Office did not have suit
able bylaws to protect themselves:
the placing OF a provision i'm the by
| laws OF every bank for the appoint
ment of a committed whose duty II
| shall be to exaine the paper and col
! lateral loans In the bank a. least twice
a year. Such a committee would stop
many forgery in Its incipiency.
The committee is then expected IL
transmit to the Comptroller a report
will be made of the reports Of the nm
tional bank examiner and the examln-
ing compittees of each bank, the dis
covery OF any discrepancies being then
reported hack to the board OF directors
In some States where banking legis-
| lation has been given careful consider
alton there Is yaw to the effect that
books. papers. etc, and particularly
into loans and discounts shall be made
by at least three directors Of banks.
trust companies, etc., with a special
curity. thereof and the collateral securi-
ty Herewith" Sworn statements
thereof must be placed in the records
l and filed with the department.
| In his instructions to the national
bank examiners in the matter, Comp
troller Murray outlines as follows the
points he wants especially covered:
!. The genuineness Of the notes.
| 2. That all loans are approved by them
(the examining committed
3. That the losses, itemized, will be
charged of promptly. ..
| 4. That the certificates Of deposit ac-
count has been properly verified.
S. That the individual ledger has been
verified by examining some of the pass
books Tor by such other methods of
verification as they might adopt.
6. That monthly statements from cor
respondents are properly checked and
verified.
Local securities have been unusually
dull, but at the same time very steady.
1t has been rare, even in July and Au-
gust, when there has been such a linn
tied movement. But 1t is evident that
investors as well as Exchange members.
bankers, and brokers, are out Of town.
about five. occasionally seven members
There Is announcement in the present
situation for the fall months when Wall
Street will not be considered a good
place to take chances on investments, in
view o, fthe political situation, and local
securities will. therefore, be more tempt
ing to investors.
Firm prices, firm quotations, where
they are entirely nominal, continue un-
abated. It means that holders of se-
curities here are satisfied with returns
and conditions and therein lies the
promise of higher figures with the ad-
vent of fall buying.
Business has improved Of late there is
less idle money in the banks, and rates
show strength.