Evening star., 1918-08-27
HOLD over A BILLION
OBSERVATION-DISCLOSURES
BY A. FLEMING.

By I. A. FLEMING.
On June 90. the date of the latest
call by the controller Of the currency
for a statement from national banks.
these institutions were the owners OF
$40s, s5s, 900 Of liberty bonds OF the
various issues and OF $s1s.7ss.ooo OF
Treasury certificates. making their
total government obligations $1,02!.-
625.0o0, exclusive Of the millions OF
liberty bonds they were then carry
ing under agreement to sell on
monthly payments. the amount being
exclusive of the bonds Of the banks
held by the Treasury Department to
secure national circulation
The controller expresses the opin-
ion that 1.-The banks Of the country are
now in position to contribute iarge. .
ly of their own resources toward the
purchase of liberty bonds. should
there be any necessity Of their SO 90.
ing: but it is hoped and believed thAt
they will be able to continue success
fully the policy of aiding In the dfnu-
the people, rather than of buying them
for their own account.
Committee Nearly Ready.
The local liberty loan committee
is fast rounding up it's plans for the
fourth liberty loan campaign. Meet
ings are held every morning, various
subcommittee have been appointed
and assignments have been made for
speakers and other, workers in the
three weeks intensive campaign.
The committee appointed by the
Bankers Association on plans Tor
handling installment payments has
about settled on the use OF coupon
books, but has one more proposition
to consider before presenting its re-
port.
Normal Tax Large.
Indications are that Secretary's NC
Adoo's suggestions as to the normal
tax. namely. IS per cent on unearned
incomes and IL per cent tax on earned
incomes. will prevail.
This as compared with the per
cent normal tax of 1916 plus the per
cent of 1917, or 4 per cent. that was
returned in the 1917 tax payments.
Undivided Surplus Tax.
The internal revenue bureau again
warns corporations that the 29th in
slant is the date on which the re-
ports on the undivided surplus must
De nleQ- II Is pTOSiucu lhdt hO P0A =
of the tax shall apply to whatever
portion Of undistributed surplus which
may be actually invested in the busi-
ness or retained for empioyment in
the business requirements or -tnat may
be invested in the obligations OF the
United States government, issued attef
September /, 1917.
Once More, curtail Credit.
. 49, EadaroI Pa
serve Bank of New York city. Pierre
Jay, has addressed a letter to the
presidents of the banks and trust
companies of the second regional dis-
trict, in which he urges the :conserva-
tion of cash and asks them to take
up the work systematically and con-
scientiously-"
He also suggests a careful exam
ination of credits now in existence
to see il they are essential, ana TO
urge merchants. producers and man.
ufacturers to curtain credit by not
overbuying, by carrying as small
stocks as possible and by postponing
expansion. as well as by effecting
business economies
French Government Bonds.
French government 5h per cent
bonds sold up to 1o0h yesterday, the
record high price for the year: Frensn
changed military situation having
helpful influence on these issues.
Big Demand for Bonds.
There is a good demand from banks
for government Is and As bearing the
circulation privilege. with intent to
take out new circulation.
Graphophone Dividend.
The American Graphophone Com
pany has declared regular l Y per cent
dividends for the current quarter on
both common and preferred stock.
Local Stocks and Bonds Active.
More than the usual activity was in
evidence on today's session of the To-
cal stock exchange, moderately large
sales of Capital Traction and WASH
ington Gas shares being reported.
while the bond and miscellaneous is
sues showed on sales sheet in fair
aggregate.
Capital Traction shares opened at
ssh, fifty shares selling, and later
l05 shares sold at SS, with stock Of
fered at that price and with 81 the
best closing bid.
An even hundred shares of WASH
ington Gas sold at 5215 and szA, the
closing price.
Lanston script sold freely at s7A.
Most Of the bond business was In
Potomac general mortgage IS at s3H
Commercial National Bank shares
changed hands at 18S.