The herald and news. [volume] (Newberry S.C.) 1903-1937, 1922-01-20
BANK EXAMINER IS
VIRY OPTIMISTIC
Craig Declares Manner n Which In
siisutions Have Weathercd Dc
preston Has Been Marvel

Columbia, Jan. 1G-Thc manner IN
which the banks Of the state have
withstood the strain of dcAation and
failing crops has been nothing short
of marvellous, said James H. Craig,
state bank examiner today III discuss
ing the financial situation IN South
Carolina. Very few Of the banks
have closed their doors permanently,
he said, commenting on the close CO.
operation of the people with their
fiduciary institutions, many of the de-
positors voluntarily agreeing to leave
their money in banks for twelve
months to insure their solvency.
"Such embarr2ssments as our banks
have experienced" he said, "have
been mainly due to inability 10 realize
upon loans. While generally speak
ing. these loans, l believe, Will be. col
ectable. many of them are necessarily
slow. Given time, however, there is
no reason to be pessimistic Of the out
come. Our people are inherently hon
est and they will meet changing con-
ditions with new zeal and determina-
ton, and reestablish the financial sta
tus of our state as comparatively first
in agricultural production
Continuing, Nh. Craig said:
That we have passed through most
of the depressing conditions with our
banking institutions still practically
intact, gives us strength to begin the
struggle of the new year. We need
not shut out eyes to the fact that the
present year will be fraught with Sc
rious difficulties, which will require
all the skill and energy Of our best
fnanciers to meet and overcome. Crop
diversifcation has at last been forced
upon our agriculturists which will re-
ouiye the usual experimental periods
of growing and marketing untried
crops, out in the end we Will produce
other paying crops than cotton and
we will also continue to produce cot
ton. This has been anticipated, and
already steps are being taken to
bridge the necessary period of agri-
cultural readiustment. The most po-
tent factor to this end is the war fin
ance corporation, which operating
through our banks is extending need
ed credits. In this connection, it
should be added that corresponding
banks within and without our state
have been most liberal in extending
needed credits.
"In view of these facts, we look
confidently to the future, with success
es of the past as an earnest Of what
we can do by stint of unflinching de-
: termination and a public spirit Of CO.
operation.
ut should be added that banks are
lust as strong as the confidence OF
! their patrons make them. Our prob
Ilems are not merely problems Of the
franciers, but are as we'll problems
of the people. The man who with
holds his deposits from the banks IS
working to his own detriment, as well
as to the detriment Of the state Con-
ifdence is the keynote of business, 1t
is the sub-structure of banking and
banking is the soul of business. De-
stroy confidence and you destroy
banking and hence destroy business,
The miser who hides away his savings
! in niche in the wall, not only ro5s
business, but actually robs himself as
he is withdrawing from business that
production which contributes to the
prosperity of the whole y