Evening journal., 1922-01-25
COMMISSIONER FINDS
STATE BANKS SOUND;
DEPOSITS FALL OFF


ions and they should prove a
greater boon to the individual who
desires to acquire a home with the
outlay Of small capital and gradual
ly pay for it by the means Of system
arc savings from his monthly wage.
l believe II is conceded by students
OF sociology that the home owner is
comparatively safe from becoming
imbued with the ideas OF socialism.
bolshevism and other "isms" that
are threatening the body polite Of
this great nation. Consequently. any
institution which encourages and
facilitates our wage carners to be-
come home owners is rendering a
service that will aid in strengthen
ing the foundations Of good citizen
ship.
At this time there are twenty
four building and loan associations
actively engaged in business within
the State, showing combined re-
sources Of $3.s45.522.OO. OF which
S3,797.S5s.7i is invested in loans to
members. They are geographically
located as follows;
Rural New Castle Co. 13i2,iO777
Kent County ....... 6i6. .063. so
Sussex County ........ 209, s5b. IL
From these figures it would seem
that Wilmington. with its large pop
ulationf OF wage earners. and. con-
sequently, the demand for large
numbers Of moderate priced houses,
is delinquent in It's use OF building
and loan associations. II Is encourage
ing to note. however. that recently
there has been organized there an
association OF progressive citizens
known as the Building and Loan
Information Bureau" with the OBJ
ject OF bringing about the more ex-
tenslve use Of well managed building
and loan associations for meeting
the needs Of real estate bargaining
and to supply the funds for home
buying and home building. The
Central Building and Loan Associa-
tion has been recently organized but
has not yet started active business.
This Department has endeavored 10
impress upon those planning to or
ganize such institutions. that while
il should be the duty and the de-
sire OF a supervising authority TO
encourage an well meaning and
properly managed associations. yet
TO caution them that In their zeal
to multiply the number OF such as
sociatlons Il must be kept in mind
that their policies must be within
the bounds OF safety and that this
Department will frown upon all at
tempts TO organize any associations
that do not have the prospect Of be-
ing managed In such manner as to
properly safeguard the interests OF
the many prospective small in
vestors.
A new building and loan associa-
tion code was enacted by the Legis-
lature during the session OF 1921
This law was enacted upon the sug.
gestion OF this Department and wal
designed for the purpose OF provid.
ing proper supervision and regula
ton Of such Institutions. and to en-
] EUuIHEt anu NAiiUkNlfH AiAf AIAlNA
ties Of such domestic institutions n
! the State. and 10 bar operating IL
| the State. foreign companies with
their various schemes Of obtainlnf
money from the public These law.
should give domestic building and
loan associations more stability and
a larger enjoyment OF public con-
fdence.
During this year the affairs OF
each building and loan association
have been carefully examined. and
there Is embodied In this report a
statement Of the resources and la
bilities OF all OF the associations
actively engaged in business. as OF
the end OF their respective hscal
year.
All Of the State banking institu-
lions were examined once during the
year The Examination Department
NJ the Federal Reserve Bank OF
Philadelphia co-operated with thi.
Department in the examination OF
the following Of their member
banks:
The Equitable Trust Company.
The Security Trust & Safe Deposit
Company.
The Milford Trust Company.
1t has been the endeavor OF thii
| Department to make examination
OF constructive nature as well a.
for the purpose Of detecting irreg
ularities keeping in mind that ou
responsibility is not only that OF pro
tecting the public, but OF betterinl
banking conditions in~our State. II
this effort we have had the helpful
cooperation OF the Bankers Asso
ciation OF the State and IL Is larger
due TO their support. together will
the able legal assistance OF their at
torney, Henry Ridgely, Esq. tha
the excellent legislation relating q
banks was framed and enacted int
| law at the session OF the last Tocie