Norwich bulletin., 1913-01-10
National Bank s
 Big Dividends
PAID 226 PER CENT. IN THE LAST
 FOUR YEARS.
DOUBLE ITS CAPITAL
Enormous Profits of New York Insti-
 tuition Shown by Chairman of Board of Directors at Money Trust Hearing

Washington Jan. 9.-Enormous profits by the First National bank of New York city were recounted today by George F. Baker, chairman of the board of directors of the bank, as a witness before the house money trust committee. MT. Baker furnished the committee with records showing that since it's organization in 1863 with a capitalization of $50O,000 the bank has made profits amounting to more than $80,000,00O.
 Dividends of 226 Per Cent. in Four
 Years.
 In the four years since 1908, MT Baker told the committee, the bank had paid dividends of 22s per cent. or more than twice the total capitaliza- ton which is now S10.00o.00o When the capital was increased to that amount in 1901 special dividend of $9,500,000 was declared, MT. Baker said. to enable the stockholders to take up the additional investment In 1908 in order to provide $10,000, 900 of cash for the organization of the First Se- curities company to take over the bus mess which the bank could not do under the law MT. Baker said, a special dividend of s10,o00,0O0 was de- clared. This was in addition to the regular yearly dividends
 Opposes Publication of Assets.
 Samuel Untermyer, counsel for the committee from the figures supplied by MT. Baker, calculated that since he assumed the presidency of the First National in 1873 that institution has paid dividends of 1850 per cent on it's original capitalization.
 MT. Baker hatly opposed the sug- gestion made by MT. Untemyer that national banks be required to make public their assets in order that de- positors and stockholders might know the nature of securities held by the hon 11xS hn rxyftr ,r-ir1 bn 1yr7 no possible good that could come of such a provision.
 Favors interIocking Direetoratss. man holding directorships in two or more potentially competitive banks, railroads or industrial corporations was another stand taken by MT Baker. MT. list of railroads in which he was a director. some of which the lawyer held were potentially competing lines. MT. Baker declared that it was rather an advantage to hold such director ships. because differences between the companies can thus be readily ad- justed.'
 Such a situation he continued, "is often beneficial to all parties con cerned."
 Contempt Proceedings Against Henry.
 The witness did not approve of the voting trust form of control of cor- porations by which the stockholders turn over their voting rights to vot- ing trustees. but said that he would not disapprove of it if stockholders desired 1t. He further said that the voting trustees of the Guaranty Trust company, himself. W. H. Forster and Fl. P. Davfson, had never held a meet ing.
 What may become a test in the courts of the power of the committee oa ir1< tf1.a al ffci ira of Ia Iional banks developed today when the committee and the house unanimously directed the speaker to certify to the district attorney of the Dl6trict of Co., umbis. the case of George G. Henry, the New York banker, who refused to 1ivuIge the names of national bank officers who prof1ted by the fotation of California Petroleum stock. The district attorney will be asked to pro- ,eed against MT. Henry for contempt.