The times dispatch. [volume] (Richmond, Va.) 1903-1914, 1914-04-07
Committee Wants In
stitutions in Field by
Crop-Moving Time.
FORMAL NOTICES
GO OUT TOD A Y
AS. Soon as Necessary Subscrip-
tons for Capital in Each Dis
trict Are Obtained, Succeed
ing Steps Will Be Promptly
Taken-Wilson Soon to
Name Reserve Board.

Washinston. April e-Evcry effort
will be cXcrtcd by tho Federal reserve
all banks expedite the formal steps
necessary to put The new currency sys-
tom in operation.
Members OF the committee apparent
iy have no expectation that there Will
10 any financial crisis TO face. requiring
the assistance to banks which the
reserve system Viii provide, hut they
are particularly anxious to have the
twelve reserve banks IN the held when
crop-mOVing tim. comes around next
fall They hope TO be able, At that tune.
70 demonstrate how eagily ana quickly
the reserve system viii take care of
a situation which in previous years has
caused financial worry, and which last
fall led 10 direct loans cro'u the United
States Treasury to national banks in
the farming regionE.
Under the law, tho several steps TO
hc taken BY the banks might be de-
laycd. so that there would be little
chance of setting the reserve banks up
spond promptly there IL little reason
to beiicy" that tn organization Will
be deferred longer than = few months
Formal Notices Go Out To-Day.
The committee has worked AT full
speed OIL its part of the preliminary
work and tomorrow the formal notice
ask entrance TO the system, of the To-
cation of reserve banks and the limits
OF reserve districts. With The notices
will go blanks, which banks must
apply Tor subscriptions for stock In the
Respective reserve banks.
Thirty days arc allowed for banks
to make the first payment of tho re-
quired per cent Of their capital and
surplus.
As soon as banks in any. one district
necessary for = reserve bank. the sue
cceding steps of organization viii be
/ promptly taken. Tile reserve bank Will
! banks will exercise their right to elect
/ sis of the nine directors OF each re-
! serve bank.
! President Wilson probably will name
/ the five members OF the Federal Re
serve Board he is entitled to appoint,
by the time the reserve banks
Then the administration IS expected to
no its utmost 10 push the organiza-
ton OF the system along. The reserve
board will name three directors of
each reserve bank, and with this task
performed the banks Will be ready to
operate.
Power Over clearinghouse.
officials here were interested day
| in what limitations may be placed
upon clearing house associations
through the new system. The reserve
asso3ia tons. but no one In authority
cared to-day to predict how far it
might go toward curtailins their ac-
Tho beard; however: IS not to inter
such association, but its action may
particularly in the larger cities.
Secretary McAdoo Tonight announced
the results of the direct loans to banks
at crop-moving time last fall. Treas
ury funds were deposited in 1872 banks
in SiXty-two cities in twenty-eight
States. 10 the amount Of s37 7.3S6 900.
The last of the loans was repaid by
April l. the limit set by the Treasury.
The government received as interest,
at per cent, - total of S26O.000, rep
resenting 81 clear profit. Mr.. McAdoo
said the amount required by banks had
was ready to render such assistance.