New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1917-05-22
Amount Chief Cities Should
Subscribe Ranges up
from ST 100000
Savings Banks Will
Assist Purchasers
Will Allow Interest on De-
posts Withdrawn Be-
fore June 70

Washington. May 2i.-Dehnlte alIot-
ments Of Liberty Loan bonds IN
amounts which, in the opinion OF the
Treasury officials, ought TO be sue
scribed, have been placed opposite the
names of the chief cities Of the coun-
try. The amounts vary from 100000
to $3.50, 900, 900, in the case Of the City
of New York.
The amounts OF these allotments
were obtained by computations based
upon the total resources OF all panks
of the city. national and state; trust
companies and private institutions, ana
make liberal allowances for the failure
of any one community to take its full
quota Of the bonds.
Suburbs Taken Care or
Included in the allotments are allow
ances for suburban towns ana cit,es
and the territory which is hnanciaiIy
tributary thereto. Thus, in the case OF
Pittsburgh the allotment OF approx
mately s50.000,000 includes the sur
rounding towns and cities, and the
ph;iadalnhia share Of $175,000.000 IS
understood TO include its many SUD-
urbs.
Allotments have been computed oy
Federal Reserve districts, as the
central headquarters OF each sectioh
will be the Federal Reserve Bank OF
the district. As the total resources Oh
all financial institutions in the country
are placed at approximately o,ooo:
OOO. 900, it was estimated the hrst o.
fering of bonds would result In the
contribution. by the pubic, OF a sum
equal 10 about 6 per cent OF tne to'ai
RANKING resources Of the country.
Thi, public subscription, 1t was
no;nted out. however, will not result
in diminution OF bank resources to
this extent. as the proceeds will be
redeposited 20 a large extent in the
financial institutions through which
subscriptions will find their way 70
the Federal Reserve banks and TO the
Treasury.
A way was found to-day By which
portion Of the proceeds may be re-
deposited by the government IN saw
ings banks which are mutual IN char
acter and therefore, having no capital
stock. are ineligible 10 membership IN
the Federal Reserve system.
Depositors Protected
Announcement also was made to-day
on behalf of Secretary McAdoo. now In
the West, that programme had been
evolved under which depositors in saw
ings banks would not lose their semi
annual interest on deposits by with
drawing them June %, three days be-
fore the savings banks compute their
interest payments. to pay for install
ments on Liberty Bond purchases.
Many savings banks. acting in the IN
terest Of the Liberty Loan, IL was an
nounced, already have provided TINT
depositors shall not lose their interest
under these circumstances.
"If. however, any purchasers OF
bonds find that the savings banks IN
which their deposits are kept have not
adopted the above mentioned practice,
reads the statement, "the Secretary
will permit such depositors to make
payment June 2S by giving an accepted
order, drawn to the credit Of the Fed
eral Reserve Bank Of mis- district, pay
able not later than July 8. such order
TO be taken subject 10 collection.
Subscribers to the Liberty Loan
who may avail themselves OF this regu-
lation may find it necessary depend
ing upon the rules Of the particular
savings banks in which their money is
deposited) to present their passbooks
to the bank. before June % in order
that the transaction here authorized,
in so far as it affects the Treasury De-
partment, be noted in the passbook.
thus conforming TO the usual rules OF
procedure in the savings banks.
This exceptional ruling applies to
payments on individual allotments not
exceeding $500 of bonds"