The Hawaiian gazette., 1916-05-19
DUPLICATE COPY OF
INFLAMMATION
Comptroller Of Currency Will Fur
nish Each National Bank
With Official Finds

Comptrollcr of the Currency Williams
ha, announced at Washington that ma
tiuuul bank examiners will make two
reports on the condition of the banks
which they examine, beginning June
next. This includes the FIVE national
banks If the Territory Of Hawai-, "Re
Of which is located in Honolulu, and
four in Maui. A copy of one Of the
reports will be furnished the bank cx.
amined, while the other report will be
in the nature Of q supplement and for
the confidential information of the
comptroller. Heretofore the reports Of
the bank examiners have not been open
for inspection 20 any one outside the
office, not even to- the officers or dirrc-
tors Of the bank examined.
4 number of bankers have, however
requested the officers to change this
rule and permit the hoax directors to
have the use Of the examiners reports.
II has been pointed out that if the di.
rector" yeYe Furnished with copies Of
the rcpc r.. the directors would not be
forced in every instance TO make an
independent audit Of the affairs Of the
bank lr complying with this request
he g rrp'rCller has determined that it
would rot be wise 60 give the bank the
.rncGt "f the whole report made by
an examiner. OF a necessity there are
some matters reported which, the comp
trollpr and the examiner would not
want the officials and directors of the
hank to see For this reason il has
1 4. A., Ia
after .+. t...
The first report Of condition to be
made out by the examiner will he
uch along the lines of the report
which he now makes out. A supple
mcntal rtptrt form will be drafted for
The use of the examiner upon which
h. viii report matters for the exclusive
tsr Of the comptroller. The comptrOl
le~ is now drifting the detailed instruc
tirns to the examiners under this d,ci
sion and is preparing the two different
blank forms which they will use afte
June |. ta,
Discussing the proposed change,
"omutroIlrr Williams said:
"For fifty years. by the provisions of
the national bRnk act, the national
'Nnks of the country have been sub
ioct TO periodical examinations under
the direction Of the cODntrolIer's of
fee. but the reports of the bank eX-
min"~v have plwnvs been regarded
as confidential documents. and no pOr
ion of I'll" reports Inns ever been fur
nished TO the examined banks.
"Tho examiners reports and the
criticisms which they have contained
have, however, always been the basis
for admOnitiOus and instructions from
this Office, either through letters from
the comptroller or personally and di'
cetlv by the examiners.
"Many banks in the past have ask
d for copies of these reports, but
they have always been refused.
"This office has decided to furnish
herenftcr, beginning about the first OF
| June. to each examined bank after an
examination report of the bank u
condition as made to this Office by the
national bank examiners. These re
ports will set forth clearly and com
Urehensively the actual condition OF
the bank as ascertained from its book
end from statements to the examiner
| by its officers and from other avail
able sources of information.
elm addition to the examiners mail
report, a copy of which will be fur
nished 10 the bank as above, the ex
aminers will make to the comptrol
ler's office supplementary report con
tanning such confde entail data and re
concentrations as circumstances MAJ
require.
at is believed that the receipt b!
the boards of directors of nationa
banks of these reports from the comp
troller's Office twice n year will reliev
many banks hf , considerable ex
nense to which they are now subjec
for periodical examinations by outsid
| Dublic accountants