Evening star. [volume] (Washington, D.C.) 1854-1972, 1921-02-08
BANKERS TO MEET
.TOCONS|DER TAXES
Especially on Liberty Bond
Earnings-CaIIs for $685.
100000 Cash.
BY 1. A. FLEMING.

r. n. Harper. president of the Dis
trict Bankers Association. has called
a meeting of that organization for
next Friday afternoon at AIS o'clock
for the purpose of considering the
action of the assessor of the Dis
trict in including the income from
liberty bonds as taxable earnings and
subject to the 6 per cent gross earn
fngs tax in lieu of all personal prop
erty tax.
Bankers generally consider the taxa
ton unjust. and can see no good rea-
son why it should be imposed this
wear. when there has been no taxa
ton on earnings from liberty bonds
held by banks in previous years.
The act authorizing the various
issues of liberty bonds specifically
exempted the income from certain
amounts of bonds on. income from
an aggregate of $1,000 bonds and
specific exemptions were made with
regard to other amounts
Draws Down Nearly $5S,OOO.OOO.
The Secretary of the Treasury
served notice on national banks hold
ing proceeds arising from the sale
of the January - issues OF Treasury
certificates to pay into the federal re-
serve banks of which they are mem
bers 40 per cent OF the balance Oh
such funds on hand.
This means the withdrawal of about
$5S,000,000 and will produce some
thing of an additional stringency IN
the money market. The reserve board
is right in expressing the opinion that
banks may now distribute their
holdings of certificates if they SO de-
sire.
\ local banker made an effort TO
purchase s. y per cent Treasury Ger
tificates in New York yesterday at
par. but was informed that slisht
premium was expected. leoB oelhs
asked.
This further encourages the belief
that the next issue of Treasury GER
tificates, which Will probably come
with February Is. will be at . e per
cent, with sufficient conservative IN
vestors holding aloof from new VEN
lures in the general bond market TO
take whatever amol mt OF certificates
the Secretary of the Treasury may
deem it wise to issue
Washington Gas Notes Active.
The listing of the Washington Gas IL
per cent notes gave the local market a
new security and chance TO deVeiop
moderate trading therein Inc nrst sales
for small lots were at 1Ol. and then the
market gradually declined TO and re-
manned steady at par. the Notation price:
The Sl00 bonds were saIabie at small
uranium All things considered, the
initial action was all that could be ex-
pected.
uninteresting. Light sales OF Capitai
Traction shares were made at 50. and
a sale of Security Savings and CONNER
cial Bank stock at zoo.
Bonds generally were neglected. Rail
way general mortgage 6s brought 9oA.
Plan stock Issue.
Alfred E. Berry, president Of the Ches-
apeake and Potomac Telephone COM
pany. appeared before the Maryland
Public Service Commission yesterday
and filed a petition for authority 10 ISSUE
$4,000 600 Of common 81 eek with winch
to retire practically the entire amount
of the company's Indebtedness.
The inoeD lednesS OF the corpora
ton is held chiefly by its owner. the
American Telephone and Telegraph
Company. 1t has nominal capitai Oh
$50. 000. 1t has $1.500,0G0 bonds llst-
sd On the local exchange. 1t has
notes held by the A. T. T. co. 10
rhe amount of $14.490.6eo and de-
sires convert these into Sli,oO0,0o0, 80
common stock. having been previouS
ly given that right for $l4,5Oo.ooo
that the new plea is only Tor the
right to make an additional issue Oh
$500, 900 common STOCK.
Controller Opposes Alliances.
In his last ANNUAL report John
Shelton Williams, controller OF the
currency, urges the separation OF
security companies from banks. He
declares thar such companies, as
IAN adjuncs of national banks, have
become an increasing menace to the
stability and safety of banks with
which they are associated because
of the speculative operations IT
some securities companies.
Mutual Fire Election.
w. A. II Church was elected presi-
dent and treasurer of the Mutual Fire
Insurance Company of the District of
Columbia for the ensuing year at the
~sixty-sixth annual meeting Of the
board of managers and directors yes
terday afternoon in the company's Of
flee. at 18th and New York avenue.
Other officers were elected as follows:
L. Pierce Boteler, secretary. Franklin
Barrett, assessor, and William Reed
MactiIl. assistant secretary.
The entire membership of the board
of directors was reelected for the
coming year. The directors are W
: a. IL. Church, r Harrison Johnson. &
+. Saul. j. T. Petty. Car! kattelman
James F. Oyster and L. Pierce Boteler
Mr. Boteler was elected to the board
recently to fill vacancy caused by the
death of Frank II. Burns.
A gold watch was presented to Mr.
Boteler on behalf of the directors and
officers. in recognition of the compile
ton of twenty-five years service VIII