Evening star. [volume] (Washington, D.C.) 1854-1972, 1920-10-18
BANKERS IRON OUT
DIFFERENCES OVER
NEW CONSTITUTION
Continued from First Page.)

iIOuClnuOO fAge.)
but the bankers themselves. Incident
to the development of the state bank
section of the American Bankers AS
ISOLATION. and, perhaps partially on
account of it. the lack Of cooperative
spiEit that formerly existed, or seemed
to exist, is thing, of the, past.
There- is a tendency among all
kinds of banks to do ALI kinds of
banking, and the idea has been ex-
pressed that in due course of evolu-
ton there would be only, one, form of
banking institution. in the United
States. The suggestion has been
made that; such departmentized in
naturalized. The suggestion has also
been made that banks might general
ly obtain state charters and become
members of the federal reserve sys-
tenn, thus combining the elements Of
both state and national utilization. Ac-
cording to current statistics, however,
there is no material change in the
ratio of national and state banking
institutions, and the opinion is prev
alent among bankers and economists
that the two classes of Institutions.
working in harmony, provide sys-
tenn of checks and balances that
operates to the best advantage of the
American people.
State Banks Not Hasty.
with characteristic conservatism
state banks have not been hasty in
assuming fiduciary functions. In
some states the right to exeIcise such
functions could be obtained upon ap-
plication. while in other states en-
ahling legislation would be required.
state bankers generally realize, how
ever, that such functions involve re-
sponsibilities, as, we'll as privileges,
and that comparatively few bank Off
GERS possess the knowledge and ex-
perience required in the conduct OF
a trust department.. While nobody
but lawyers can legally practice law.
Gent knowledge of fiduciary law to
enable him to avoid legal complica-
tions. The officers of the state bank
section during the, past, year have
had considerable correspondence with
members regarding trust business and
have, furnished available information
with due regard to the difficulties
encountered in trust transactions
4 Experience has demonstrated the
wisdom and justice of the American
Bankers Association in so amending
its constitution as to permit sections
of the association to take independent
action in legislative matters of special
interest No section has yet taken
advantage of the right thus conferred.
removed much, If not all. Of the mis-
givings. real or imaginary, that for
merly existed in regard to any possi-
BILE injustice to different classes of
banks in the operation of the ma
.chinery Of the association. The con-
ever. is only it's foundation. The SUI
iperstructure must be built of men.
and the state bank section takes
pleasure in acknowledging the cor
dial support that it has received from
the able and conscientious men who
American Bankers Association
Reserve City Banker.' Dinner.
|, Tonight subscription dinner of re-
serve city bankers viii be given at the
New Willard Hotel. President Fred w.
Ellsworth OF New Orleans will pre-
side.
I The first general session of the con-
vention; win be called to order at $50
am. tomorrow by President Richard
by 1T. Rev. Thomas j. Shanhan, rec
tor Of the Catholic University Of
America, Robert n. Harper. president OF
the District. Of Columbia Bankers AS
ISOLATION, will deliver an address Of
welcome. to which q response VIII be
vice president Of the association.
The rest Of the program includes
the annual report of the president,
Mr.. Hawes; the report Of the consti-
tutional comittee by NJ. A. Taylor,
chairman: an address by Secretary
Meredith of the Department Of Agri-
culture; a report Of the currency
commission by A. Barton Hepburn of
New York: an address by ]. J. Pulley
on transportation and it's eftect on
credit; report Of. the public relations
committee by William p. Shearer.
Committee meetinga. set for tomor-
row include the nominating commit
tee In the New Willard Hotel at 4:30
pm, the bank advertising conferences
In the ballroom Of the Washington
Hotel at 3 pm. and the executive
council in the small ballroom Of the
New Willard Hotel at $3.50 pm.
Meetings OF sections pot for, tomor-
row are: The savings bank section
at pm. In tho ballroom Of the Ra-
leigh Hotel and the trust company
section in the ballroom Of the Hotel
Washington at 2 pm.