The Richmond Virginian. (Richmond, Va.) 1910-1920, 1920-05-08
MANY STATE BANKS
APPLY FOR COHVfRSIhO

! Washington. n G. MAY The
tconptroller Of the currency says.
Upon the Inauguration Of the Fell
/ raj Reserve banks. 8,x years ago, Il
! vas freely suggested that under ths
l1cw system there would be 4 suSst-
. dencc Of our national BANKS AS4ty
whose opinions commanded respeGt
! predicted or suggested that th5re..
/ would bo a gradual retirement Of these
institutions frome the national bank
/ ing system and that they would ra-
organize under state charters, ~j.2
membership the Federal Reserve
system.
Exactly the reverse has happened.
since the Inauguration of the Federal
Reserve system the national banks
have shown mere vigorous growth
and development; have made greasor
! earnings ami have established bet
Ter record for Immunity from failure
than a. ans time since the nationei
banking system was established in
1859. The movement Of state banks
and trust companies to take out ma
tunal charters haas been accelerated
md he H1mh.r IF nat oral banks npw
liH operation ana th" amount Of their
Hai3-up capital s the greatest in tHe
history ~ the national banking
system.
Far 'nr ar~t ss months OF the cur
sent fiscal 'eaF. TIHea October 81. 1919
'he number of national banks
hs r. red plus the mum her of existing 4
national banks which have Increased
their capital Is az. IN fortY-fve DIFF
.tereni states
More national hanks have Increased
tn"t~ capitol during the past sIx
months thaa an au% other twelve $
months period IA lie past twenty
wears
Their. ERE now r"na.ng ana awaits
.os The eernptrolIers approval. S22 an
pIiaa'tuns for new national bank cha
ters ana for ferrn9sefan 10 increase tae
capital OF existing banks
Charters granted In the sx lnonthsA
eUd"d April g 1926 laa charters were
granted fog new national banka. with
Icap'tal Of $}5.4i re coo As compared wita
aighty-fve charters granted with
capital OF t5.If5.960 for the corre-
spending SIX months last year or tteE
new banks chartered sixty-two fss>
/ Or nearly one third OF the total char-
tered were the conversion NJ state
banks ana trust companies
Charters refused During the past six
months the comptroller If the currency
refused thirteen applications for chat
ters for new national banks six ap-
ipiications were rejected during the *
months ended April 30. 1919,
Charters applied for. For the six
months ended April 30 T920 this Of
tee received 2tb applications for cha~-
t"rs for new foHal banks. with carr
titat uf S271iGohe compared with i6f
applications received for the same
period last wear. with capital OF si2,-
, 10000
capital increases In The six months
eRded April 80 1929. 355 natiows,l
banks increased their capital stoejz
S@tg35,lt0 aEaiHst 126 banks whirl
Increased their capital $f2.S90 600 dur
ing the SIX months ended April o0
1919
Capital reductions Three national
banks reduced their ca nttal in the pat
SIX months by S225 00e During tlte>
six months ended April 30. 1919. two
banks reduced their capital SIS. 900
Consolidation of national banks:
During the past six months there were
seven % consultations cf national
hanks under the act of November :
IBIS. with a combined capital Of SIG
10000. As result of the console
datior the capital OF the consolidated
banks was incre asad in net amour,
{af $t@",eoe During the corresponding
! ie) consot dations OF national banks
under thus act with a combined Carl
tai Of s7.225.oo0 resulting in reauc
ZION in capital of siT2000s
POPULATIONS Forty-three nations,
banks went into voluntary liquidatiar
exclusive Of those consolidating witn
other national banksl during the six
months just ended. their aEgre gate
capital being S6.54a00o as compared
with forty such banks liquidating dur
ing the corresponding period ended
Apru 80 1919 with an aggregate, cant y
tai OF SIt GEO 000
The number Of new national banks
-hArte rcd IN tina f4ax.-&5x- months .,l;4s-
the number Of existing banks which
nave increased their capital in THE