The enterprise. [volume] (Harlem, Mont.) 1899-1926, 1916-09-28
STATE
BANKS GROWING
GROWTH OF BANKING INSTITU-
TONS SHOW HOW PROS
Porous OUR STATE IS.
survey OF Past Three Years by State
Bank Examiner; Seventy New State
Banks; But Three Failures in Same
Period.

ASAao' OAA4uS tll0 pdSL I1Tee
years seventy new state banks
nave come into existence, making
the total Of institutions of this
character in Montana 218. This
increase, an indication of the rap
Id growth and development of the
state, is shown in the report Of
State Bank Examiner H. s. Ma
graw. Mr.. Magraw's report has
to do only with state institu-
lions, and contains no information
with regard to banks chartered
by the federal government.
During the same period the re-
sources of state banks have grown
from $56,0SS,317 to $S1 ,S94,S6S
while deposits have grown from $45.-
le2,50S to $66,547 ,49S. Private banks
have decreased from % to 10, and but
three banks have been closed, the
Blldger State bank, with an estimated
loss to depositors of 100000; the
Farmers State bank at Bridger, with
loss to depositors of 100000, and
the State Savings Bank Of Butte, the
troubles of which began in the days of
trenzled finance, some ten years ago
and which lost it's depositors over
$550,0OO.
In addition to these three failures,
several institutions Of known weak
ness have been nursed carefully back
into a healthy state, and Mr.. Magraw
is Of the opinion that all banks doing
business in Montana are in excellent
condition financially.
Careful About Charters.
Private banks are rapidly coming
INTO the state system, several consoli-
datlons having been brought about,
and charters for new banks are being
granted only with the greatest eau
ton, to the end that unreliable per-
sons may not be permitted to enga
In the banking business and that
banks<may not enter fields that would
be likely to prove Improbable and
for that reason unsafe.
The average of deposits in these in
stitutions during the period covered
by Mr.. Magraw's report have been, in
round figures, $50,000,O0O, and the
loss to depositors has been one sew
enth of one per cent.
The number of banks to be ex-
amined each year has now reached
237, the number of counties is Al,
there are Is building and loan asso-
Citations, and incorporated cities and
towns to the number of Sc have been
added to the work of the force.
School districts also must be exam
ined when requested by the school
board, and four such examinations
have been made this year. To the
county department has also been add
ed examination Of county high schools
and irrigation districts.
Mr.. Magraw has turned back into
the general fund of the state $11, Ill.,
20 remaining unused in the state ex-
fund from the appropriation
made for the department s mainte-
nance.
Many National Bonds.
New banks, and the prosperous con-
ditions of the older ones, spells pros
perity, and while Mr. Magraw's re-
port makes a very favorable showing
Of the finances Of the individual in
the aggregate, it does not show half
of what is being accomplished by the
various financial institutions of the
state, for the reason that many of the
banking houses of Montana, and in
this list is included many of the older
and stronger banks, are doing bust
ness under federal authorization, as
banks.
cow COLE HAZARD Is NEW.