New-York tribune., 1912-03-11
SAVING DEPOSITS GROW
Van TuyI Reports Increase of
S50,0O0,000 in Last Year.
POSTAL BANKS SUCCESS
The Superintendent Recommends
New Laws and Tells of Car
negie Trust Liquidation.

The annual report OF Banking Superin-
tendent Van Tuyl OH savings banks ana
trust companies which will go to the Leg
/ islature tonight. points to the 1ncfedseu
protection afforded savings bank oeposi'orS
! by the annual examinations insututeu re-
Gently by the State Department Oh BANK
! ing II recommends several amendments
to the banking laws Of the state Reports
progress in the liquidation OF the Carnegie
Trust Company and the Washington oa'-
| ings Bank and mentions the last year aS
memorable financially through the DIE
| trust company mergers. 1t mas this TO say,
too, about postal savings banks:
Establishment of the system of postal
savings banks by the United states gov
ernment has been attended with less uls,
| turbance OF financial conditions tildh "S S
predicted. The savings bank centres VI 'n1 1
country, which feared the competition ".
! the government are now READY 10 auiilI'
tnat the experiment Is seemingly success
| ful, and that, as funds from the poslai
banks are being carried in natlonal anu
state banking Institutions designated as de-
positarles, probably there need be nttIe
further fear of them as disturbing lactors .
I'm the financial situation The postai
banks have doubtless accomplished Hluch
for isolated communities which heretofore
have had no banking facilities ana lor
large sections OF prosperous western
country where savings banks nave Oeeh
unknown.
on the subject Of the Carnegie trust
Company Superintendent Van Tuyl polhIs
to the enhanced value of the Carnegie Sale
Deposit Company's vaults, due 10 the
Equitable fire and the resultant destruction
of tho Mercantile Safe Deposit Company
premises. The report says:
The work OF realizing on the assets OIL
the Carnegie Trust Company mas stedoIly
progressed, and shortly aIter the DeeInIiiIns
OF the term of the present SupermteIueHSs :
a first dividend OF - per cent was deCldreu
on claims not considered preferred me
dividend was paid on May 20 lsJ, 10 tnose
creditors VINO had proved lnelr accounI1
up 10 and including May 10, 1911. The totai
dividend paid was S2,052,S99. Since inc
declaration Of the dividend the assets ol
the company have been hquidated rather
slowly. r, A..
The burning Of the Equitable Lille AS
surance Building rendered unserVlceaDIe
various safe deposit vaults and greatly en-
HANGED the value OF the vaults OF the Gar
negle Safe Deposit Company, which COM
pany was largely indebted to the Carnegie
Trust Company. Although there is now u
prospect that something may be realized
from some OF the doubtful assets OF the
trust company, receivers have been APP
pointed for some OF the INDIVIDUALS ana
corporations which owed 1t large sums OF
money at the date OF closing. Numerous
actions haYe also been instituted against
the trust company upon claims which were
not shown as liabilities upon its books at
that date. " .
Other actions have also been brought TO
establish a preference Oh behalf of certal
trustees and receivers In bankruptcy IN
connection with deposits amounting 10
sl9N 900 and upon "A deposit standing To the
credit Of the State Of New York amount
ing TO $4,000 Another single claim Tor
preference amounts to $4,000. These ac-
lions are still pending I'm the courts; FOR
- ft1 h1tif61finn or
the Carnegie Trust Company presents
many difficulties and uncertainties.
The creditors Of the Washington Savings
Bank. wrecked when Joseph C. Robin and
his enterprises collapsed. received dtvi-
dend OF 50 per- cent last May Further
dividends will be paid" Mr.. Van Tuyl prom
,ses. but the lack of any demand for real
estate or real estate mortgages. Of which
the remaining assets OF the bank in large
part consist. has seriously retarded its liqui-
dation."
Among the legislative amendments rec
commended are one requiring every employe
Of savings bank who handles money TO
be under bond. another providing that all
trustees OF savings banks annually sub
scribe to and file an oath OF office and an
other permitting the removal of trustees OF
savings banks upon the affirmative vote OF
three-fourths Of the total number Of trus-
tees of a bank and In addition thereto the
written approval OF the Superintendent OF
Banks
The average savings account for the
year was s541 %, a gain Of Sll 30 over that
for the previous year which in turn showed
a gain Of SO 73 over the average account
for 1909. AS for trust companies, their
aggregate resources reached high water
mark in 1911. Between January ] and
December q there was gain or nearly
$40. 600 OOO, including a loss OF more than
$50. 600. 600 since June :, the period OF
greatest totals. The figures for December
II 1911. indicate an increase from Janu-
ary l. 1910. Of over S52.OOO0OO.
STEADY but slow growth OF commercial
enterprises is Indicated says the report.
"bv an increase in the total loans during
1911 Of more than s34,00O,O0O."