Putnam patriot., 1923-08-17

a iudici0us use Of tact. create IA
+ vorabie impression while doing ms
I work, 50 that he VIII not be looked
+ upon as q Representative u a detect
f i've agency. but a well-wishinR human
/ being anxious whenever possible 70
give a clean bill Of health. An alert
+ examiner picks up a fund Of general
I information In the course Of bis daily
work and IS often able 20 offer con
structive criticism and helpful sug-
gestions to bank officers.
Cooperating With Directors
As soon as possible after the com
I pletion Of an examination, detailed
/ statement Of the banks condition sup
+ ported by the necessary schedules, to-
/ Rether with the text Of the examin
/ ers' findings and criticisms, IS sub
mitted in duplicate 70 the commits
I sioner, who forwards one copy to the
/ president OF the bank with the request
that Il be submitted 20 the directors.
The board of directors or trustees
is the governing body Of bank, and
responsible under the law for the
/ proper conduct Of its affairs. These
/ directors are usually men Of affairs
chosen because OF their success in
other lines Of business, and it Is but
natural that in many eases they are
neither sufficiently familiar with the
detail work Of the bank, nor possessed
Of the knowledge Of accounts neces-
sary 10 make satisfactory examina-
ton for themselves
Recognizing this fact II is the aim
Of the department to more closely co
operate with the directors, keeping
them alive to their duties and in touch
with all the workings and affairs of
their institutions. With this end in
view, when the report q an examina
tion is forwarded with the request
that il be laid before the directors. it
is accompanied by form which must
be signed by majority Of the board
to the effect that they have read the
report and that they will take the
necessary action 10 remedy all mat
tiers, If any, subject to criticism.
Must Know Banking Law,
Officers. directors and employees are
expected to know and comply with all
laws governing and regulating bank
ing, particularly those relating to their
own duties. Happily the officers and
clerks of our banks are now, and with
very few exceptions have been, men
who regard their duty as public
trust and execute that trust with full
recognition of their responsibilities.
The tremendous growth Of financial
institutions under state charters may
best be shown by comparative stats
ties
In 1915 there were IS trust com
panies and state banks with total as
sets Of approximately SIS, 900, 10000
At the present time. there are so
/ trust companies and state banks with
assets of Approximately S2t5. 00a,-
+ 600 90. The business carried on b.
+ this class Of banks has. therefore. IN
creased nearly three times In volume
+ during this period The capital in
vested in these banks IS now approx
mately $50 900. 10000. as against
+ St5, 200. 10000 in 1918.
There we're 81 mutual savings
banks in 1915 with total assets of
S34l ,759, 10000. while at the present
time there are ~ operating with as
sets totalng S4sl .a69 600 co. or an
increase of more than s140, 000, 0uo.=
CO.
on October / 1915. there were IL
building and loan associations oaer-
ating IN this state. with assets total
ing 1855 0o060 while there are
row 80 such associations doing bust
ness with assets Of 50. $50, 600 00
Norris Plan banks. or industrial
banks as they are now called, were
four In number IN October, 1915, hay
inc total assets Of S421 100000 The
seven industrial banks now operating
have total assets Of 1921 10000
The six investment companies max.
ing an annual return 70 this depart
meut reported aggregate assets Of
S2,S7S. 100000. in October, 1922.
The 81 small loan companies re.
port loans Of approximately $1,000,
600.
The industrial banks and small loan
companies are Incorporated for the
purpose Of making loans. but do not
have the power TO accept deposits
They do, however. come under the
jurisdiction Of this department. Al
of the above classes of institutions
are supervised by the banking depart.
ment and examined at least once q
year.
Keeping Pace With Industry
The above series Of figures reflects
IN broad way the part that Con.
nectieut has taken in the recent bank.
ing growth Of this country. This en-
largement is the answer to the rapid.
~ growing, increasing complex, econ.
omie structure
The expansion of industry and
trade, domestic and foreign. has de-
manded that credit facilities keep
pace. During the war, tremendous
demands We're made upon our fnan-
eial institutions. and they not only
stood the test admirably. but what is
more noteworthy. they came through
the rcadjustment period very success.
fully
These acute periods OF imitation and
denation have forced the department,
TO pay more attention to reserve con
ditions, limitations of loans, and per-
centaees Of liquid assets.
All sorts Of regulations have been
employed in keeping the rapidly ex-
banding banking facilities committed
70 safe and safe methods. The eX-
traordinary development Of banking
IN this state. however. has not been