Evening star., 1922-01-15

ing from Melbourne, Fla. says:
That the banks of Washington
should round out the year 1921 with
a gain In deposits Of over $1.s5o.ooo
on the figures Of September 6. 1921.
date Of the last previous call. is q
remarkable fact .ss
The official figures prepared by A:
Y. Savage Of the National Savings and
Trust Company gave the increase as
$l.556.570.S3. but these did not INCLUDE
tho deposits of the Banking Trust
and Mortgage Company, or Of the
Chevy Chase Bank. the American Saw
ings and Commercial Bank or the De-
partmental Bank. the. Inability to
make comparisons being responsible
therefor. The amount added, to give
$1.65o.000 as total gain. is not ex-
cessive; indeed, 1t IL probably below
rather than above actual figures.
Decrease Net Realised.
There were many factors that
seemed to confirm the general opinion
among bankers that there would be
material loss in deposit figures.
First. between September and
December 81 theve had been three
large offerings OF Treasury certif-
cates. Washington usually purchases
heavily OF these certificates and took
Its allotment OF each issue. accounting
for at least SO. .000.o
Banks paid out in December to the
holders of Christmas savings books
over $1.250.000. and it did not stand
to reason that they could recuperate
from the big draft BY the end of the
institutions still showed losses.
The Merchants Bank. which paid
out over 100000 Of Christmas sav-
tngs. showed $282,5ll loss; the
Franklta National, with $300.e
Christmas savings paid out. was of
on the comparison Of deposits only,
$1S.364. showing remarkable recovery
OF deposits in the last few days Of
December. @
Likewise the Potomac Savings
Bank. with s255.ooo disbursed savings.
made so per cent recovery in the
Few days intervening between the 10th
and 3lst Of December.
The Park Savings recovered its
entire $4,000 paid to Christmas saw
q remarkable record for an uptown
institution
East Washington Savings recovered
all but $1,000 and the Washington
Mechanics showed loss Of but $I7.7O4,
Of its $125,00O Christmas club money.
Among Important Indications.
One of the most important indica-
tions Of an expected aggregate loss in
deposits came from one Of the big
national banks. which suffered a with
drawai of s1,500.oo0, of which $1,000
900 belonged to foreign government
and the ba:ance to the Red Cross fund
Then. too. on December Is the last
instaliment of income and excess
profts tax was payable, which must
nave taken much ready cash from
Washington banks.
or even greater Importance was
the sale. long after September 6, of
Sz.0o0.0o0 Potomac Electric Power
Company general mortgage refund
ing and Improvement Z per cent
bonds. although much of these MIL
lions found their way back into
panies.
Then came the.christmas shopping
season and Washington made glad
.ne !n merchants with December buy
ing represented In. an increase of
$4,000, 900 in clearings for the month
Of December. go = ~
The factors enumerated, giving due
consideration to the Increment from
the borrowing power of, the workers
of working Washington, are enough
to have warranted the expected de-
crease in deposits. -
Matter Of Gals <.,s~s-s.t.e.
Naturally. the matter of the gain
is sinteresting. and there has been
much speculation on the source of the
increase.
Probably the most important in
huence was the payment to the own
ers OF the $6S.000, ,00o savings in local
banks Of semi-annual interest, plus
the credits given on the last day of
the month on all January interest
coupons reported by owners on the
last day of the year. credit being
given even before collection.
1T also is probable that many divi-
dend checks may have reached the
banks and were credited on December
30-31. the call being at the close Of
business, December 81
$ Very important in the considera-
tion Of the gains in deposits were the
heavy disburements Of October, No
vember and December agEregating.
counting local holdings Of outside
600, ,000
with the retirement, December Is,
Of the issue Of Treasury certificates.
then redeemsble. paying per cent.
vestors withdrew funds from Treas
ury certificate placement, being dis
satisfied with the lower interest rate,
and had not Seinvested. the money on.
December 81. ar -.
tutions Of Washington actually are
able to overcome the severe drafts on
deposits mentioned, and yet come
through with q handsome net gain in
deposits, IL not only evidence Of their
prosperity, but Of their thrift"
Entertains Commercial PersonneL
The entire personnel Of the Com.
mercial National Bank, including
officers, directors and employees, were
entertained at dinner last night at
the Harrington Hotel by Harrington
elected vice president and director Of
R. Golden Donaldson, who was made
head Of the Commercial at the recent
directors meeting, presided as toast
master and welcomed the new mem
sneakers OF the evening were Messrs.
MILLS, Brennan, James Townsend Rus
sell of the board Of directors and
James B. Reynolds. vice president.
Included among the officers and d.
.rectols present we're Msssi Dons. .usOn,
Mills. Brennan, Reynolds and Russei, J.
H. Baden. L. A. Slaughter. C. c. Tucker,
n. " Hunt, II. .Fendall Cain, r. A.
Cissel. W. ]. Harrison. Charles E.
Berry, Albert Carry, c. A. Carry, q.
King Cornwell, H. Bradley Davidson,
E. G. Dawson, Holoombe q. johnson,
James Sharp and George Tully
Vaughn. -.
Reife e. Boning In New Post.
Rolfe e. Boiling. former president of
the Comm ercial National HAnk Of this
city. and Henry r. Johnston Of New
York, were elected vice presidents OF
the. Chatham and Phoenix National
Bank Of New York at the annual
meeting of that 'institntion's diree-
Mr. Boiling. who numbered many