Evening star., 1914-07-27

ma. Ala; Little Rock. Ark; Pensacola
Fla: Atlanta. Macon and Savannah
Ca; Lexington and Louisville. KY
New Orleans and Shreveport. La: Bal
timore. Md: Jackson. Meridian and
vicksburg. Miss: Charlotte. Green's
boro and Wilmington. n. c.: Charles
ton. Columbia. Greenville and Spartan
burg. 5. c.; Chattanooga, Knoxville
Memphis and Nashville. Tenn; Dallas
Fort Worth. Galveston. San Antonio
and Houston, Tex: Lynchburg. Roam
oke. Norfolk and Richmond. Va: Chi
cago. ILL.,: Evansville and Fort Wayne,
Ind: Des Moines and Sioux City, Iowa;
Kansas City (also Kansas City. kan.). }.
st. Louis and St Joseph. Mo: Omaha
homa City. Okla. and Seattle and Spo-
kane. Wash.
Interest at the rate of per cent per
annum will be charged and the govern
ment will accept as security govern
ment bonds at par. state. municipal
railroad and other bonds. acceptable 70
the Secretary. at as per cent of their
market value; approved commerciai
paper. acceptable to the Secretary. at
15 per cent of its face value. The sec
retary will not require as he did last
year. that 10 per cent OF the deposits
shall be secured by government bonds.
All collateral offered as security
must be approved by local committee
city. and by representative OF the
government chosen by the Secretary
In subtreasury cities the assistant
treasurer of the United States. In addl-
resentative. will be a member of the
local committee.
I'm apportioning the funds among
the banks in each city consideration
will be given to the character of busi-
ness done by the applicant bank and
the extent to which it is lending money
to its country correspondent banks.
Particular attention will be given to
the willingness of the banks receiv-
ing government deposits to lend to
their country correspondent banks at
reasonable rates of interest.
Wants Borrowers to Benefit.
THE Secretary is deeply interested in
having the government money dis
tributed in such a way as to enable the
ultimate borrower to get it at the low
est possible rate of interest. Blank
forms of applications for deposits will
done last year. The collateral will be
deposited with local depositaries, each
of which will be required to give a
surety bond. at the expense of the de-
poSitary banks, to be approved by the
Secretary. under the same general plan
as thdt or last year Inc secretary Is
prepared to begin the distribution of
funds Immediately after the necessary
requirements have been complied with
by the applicant banks. Deposits will
be made subject to call. but it is the
intention of the Secretary to leave the
funds on deposit with the banks for
such period as each particular bank
may require them, in no event, how
ever. to exceed six months. AS far as
practicable the banks will be per-
mitted to return the money to the
Treasury in installments to suit their
convenience.
THE Secretary said in conclusion. that
should it become necessary to deposit
in the banks a greater sum than $34.
600 600 to meet the needs of the coun-
try he will not hesitate to do so. and
also that if it appears to his salts
faction at any time that other cities
than those designated can advan
employ government funds he
will be glad to give their applications
consideration