The Telegraph-courier. [volume] (Kenosha, Wis.) 1888-1946, 1913-01-09
TO TRAIN BANKERS
"A. E. K6olt Asks Radical
Change in the State
Banking Laws.
PERFECT SCORE FOR BANKS
State Commissioner Urges Many Chang
es in the Present Wisconsin Banking
System in Report Sent to the Govern
or on Monday Afternoon.

Legislation requiring examinations
for officers of new banks in Wisconsin,,
such as the state requires Of men pur-
lsuing the liberal PROFESSIONALISM
clans, lawyers, accountants, etc.-is
recommended by State Banking Com
missioner Albert E. Kuolt in his annu-
al report submitted to the governor.
He asks that no new bank be permit
ted to transact business with the pub
lie without having in charge of its af-
fairs competent managing officer.
The commissioner reneWs his recon-
mendation for provision for checking.
''undue and harmful competition
among banks through reasonably en-
larging the power of refusing charters
vested in the commissioner Of bank
ing" and his recommendation for an
amendment to enable state banks to
qualify as repositories of postal saw
ings funds.
| Declaring that Milwaukee is now
abundantly supplied with banking
facilities, Commissioner Kuolt says:
GA due regard for the interests Of
! the public and fairness to existing
banks would seem to demand that the
minimum amount of capital for new
banks in the state metropolis should
be fixed by law at not less than
$780, OO."
| Another important recommendation
made is the conduct of a credit bu
reau as an adjunct to the state bank
ing department. A similar movement
is afoot in other states.
"The credit bureaus of several
states" he says, "could be formed in
to an interstate credit bureau, whose
ramifcations eventually would cover
the entire country, and whose services
would be of incalculable value to banks
and to the people of the several states.
1.-THE proposed credit bureau of this de-
partment would thus be the nucleus of
an extensive public service.''
The territory from which real estate
securities may be accepted for loans by
Wisconsin state banks and by mutual
savings banks being limited to Wis
consin, Michigan, Minnesota, Illinois
and Iowa, it is recommended that this
provision be extended to cover mort
gage loans of trust companies, to which
the law does not at present apply.
Commissioner Kuolt's report pre-
sents the financial condition of 500
state banks, four mutual saving banks,
and thirteen trust companies, total
of o07 banking institutions, doing
business on November 26, 1912, the
date of the last, periodical statement
of condition. The total capital is
$50, 0l1,65o, a gain of $1,350,000 dur
ing the past twelve months; the total
resources are 10000, 1882, an in
crease of $23,O33, 951.5S, and the
amount of lawful money on hand is
81, 601, 272.97, a gain of $529, 177.19
over the corresponding amounts return
ed a year ago.
No bank failures occurred in Wis
consin in 1912, nor have there been
any failure of banks operating under
the state laws since July, 1904. This
perfect score, adds the commission
er, "is a record unparalleled in the
history of banking in this country. y
In this connection he gives great praise
to the staff of banking examiners
G. L. Brown, A r. Emerson, Thomas
Herreid, r. B. Ellis, A. G. Pond c. F.
Schwenker and H. E. Stedman, and to
Deputy Commissioner w. H. Richards.
81 state without exaggeration, ;"
says the commissioner in his report,
"that banks operating under the Wis
consin law never were in better con-
dition than now
He gives the largest measure of
credit for this condition to the execu-
tive officers and directors Efbecause of
their painstaking care and their faith
full devotion to the affairs of their
banks"
! During the year thirty-fcur state
banks, two trust companies and one
mutual savings bank were organized;
two state banks voluntarily hquidated
in order to consolidate with neighbor
banks, and one bank hquidated be-
cause its charter had expired. The
net gain in newly opened banking in
situations is thi1ty-four.
The total amount of capital increase
during the year was $528,oo0. The
commissioner warmly commends banks
for voluntarily increasing their CAPT
tai as soon as the volume of business
has outbid the anticipations of the
organizers, and intimates that the law
should require such increase when the
growth of the business warrants it.
i The capital of all state banks and
trlst companies December 5, 1911, was
SIS, 651 $50; Of the new institutions,
l$592,000, the stock increase $52s,o90,