Evening star., 1924-12-03
DISTRICT REGRETS
ACTION OF DAWES
Retiring Controller of Cur
rency Great Favorite
Among Bankers Here.
BY CHAS. p. sHAEFFER.

ternity received word OF the resierna
ton OF Henry NJ. Dawes as controller
OF the currency, to take effect Deceu-
ber 10.
Mr.. Dawes was always most con
siderate of the needs Of the pro
iesslon, and was extremely popular.
not only here but throughout The
country. Efficient to the utmost de-
gree, he found himself thrust into tho
maelstrom Of the various banking
blocs' demanding legislation Of this
sort or that. Fearlessly he made his
recommendations for amendments to
existing statutes, but always after
giving careful and impartial consid-
Grafton to the many phases Of tbs
problem.
The anti-brarch bankers have PEI
maps lost their best friend. becaus.
MT. Dawes could be fairly rated as al
antl-branch banker. On many occs-
slohs IN public speeches, he has open
~ denounced the practice as it uorr
exists, and expressed himself in favor
or blanket ruling on the matter
| adding that the very foundation a.
! the national bank system was doomed
unless such institutions be granted
rights as practiced by competitive
State institutions.
The District banking field has besn
elevated to sounder structure
| IouSh ms administration. Several
| banks with shaky financial founda-
tlonS were absorbed by stronger in
stltutlons, while in one instance a
near aIl-night meeting Of bankers
called at the instance of the CON
troHer, resulted in the salvation of
tank which undoubtedly could not
nave existed another "a hours
IN an official statement issued YES
terdaE MIR. Dawes stated that IL Is
1 with great
| suum TIED, but added a business asso-
citation had been offered him which
ne could not proftabIy refuse. III f.
understood this connection il with
! the Pure Oil Co. in an executive ca
/ pacity.
| The appointment OF his office il
a presidential prerogative, but tn.
! identity Of his probable successor
couid not be learned this morning.
! Treasury Offers Bond ISsue.
Ihe Treasury last night announced
an Offering Of 20 to so wear 4 ner
cent bonds, dated December u. in
the amount of about s2OG coo 900.
Ihe new securities, the first long
Jlfhe oblIg&tioRs put on the market
/ py the treasury since October 1922
VIII mature December IS. 1854. bt4
! the right is reserved to call them
Tor retirement on and after December
IL, 1914, on notice 0f -four months.
ne proceeds Of the sale will be used
! toward redeeming S"14 0D0 900 Of ~,
/ per cent certificates and s193. coo 900 OF
/ - per cent certificates
! In announcing the new issue. Soc
! Tetary Mellon said no further frsn
/ cling would be necessary until March
which means that The Treasury will
! he able to meet maturities including
I S4ef,UGU,uU0 of certificates of indebtad-
/ ness EZ",Vo9ooQ in savings certifi-
Gates and $llS,G00.0O0 in circulation
| bonds of 1925, due February ?. from
the proceeds of the present sale If
ponds together with the tax receipts
/ of December Is
On this date also the Treasury's cof-
| fers viii be augmented bv the Davr,1enfs
| OF SSl,6oa,no0 in interest and amorti-
zatlon; S11s,3 from Finland: S3S qua
! from Hungary, and S90.450 from Lith
uania, which undoubtedly reduced the
! volume of the loan otherwise.
VIII Accept Certificates.
While the Offering announced IS
| for s200,0G0,00G, the Treasury plans
| to allot additional bonds OF the new
issue to the extent that third Liberty
loan 4 per cent bonds, Treasury
notes of series A-1925 and certificates
| of Indebtedness are rendered in nav
ment. The third Liberties mature Sep
| tember To- 1928, and the notes AMI
certificates mature March 10 next.
| Provision also is made for acceptancr
of certificates Of Indebtedness. due
December Is. in payment for the new
bonds, but these Will be regarded a.
| cash receipts within the $500, 10000 .nou
The cash Offering" formal state
ment by Secretary Mellon said, will
be restricted to the necessary cash
requirements to carry the Treasury
until the March financing period, bu-
/ the exchange feature of the offer
I permits the use of securities matur-
ing in March and third Liberty Lean
bonds to acquire the new bonds. and
il IS expected that the holders of
the present securities Will to q large
| extent avail themselves of their
rights.
This is the first Offering OF a long
| term Government bond since the
Issuance in October Of 1922 of the
/ Treasury Az per cent bonds OF
1941-52, which are now quoted on
the market at a very substantial
premium, and the banks and the in
vesting public generally should well
come this opportunity to participate
in a long-term Treasury issue The
application of March maturities or
| third Liberty Loan bonds in payment
for the new Treasury bonds will, in
part, relieve the somewhat heavy
financing otherwise necessary in
March. 1925. and on the maturity Of
the third Liberties in September, 1923.
! Such exchanges mean no withdrawal
of funds from the investment market
but merely a change in the character
of the investment from short to long
term.
Reduction Remarkable.
THE extent to which Government
obligation in the hands of the public
have been reduced is remarkable In
the five and one-half years since
June 80, 1919. the public debt has de-
creased from S25.4S4. SOC, ,16O.05 to
! S21,241. $780, 1928, total reduction or
S4,242, ,971o2177. This reduction has
been effected, first, out of the sinking
fund, foreign repayments and other
similar items, the total of which for
the current fiscal year is estimated at
$471,S06401, and which items are
chargeable against the ordinary Gov
! ernment expenditures before the
budget will balance; second, from re-
duction in the working balances, and
third. from surplus.
Through the orderly and continu-
Gus reduction in our National debt out
of the sinking fund and other items
upon which the public rely, Treasury
obligations should increase in value
L.