Imperial Valley press., 1927-05-07

1T is difficult TO mark the be
ginning Of the end Of an evolution,
but beyond question the last five
years have been witnessing an evo-
luton in American banking. The
results have Offered widely: here.
tremendous impetus nd added
strength 10 our banking structure; :;
! there. tetardation and red ruin. II
/. is too early TO dogmatize as to the
! why's and wherefores, but perhaps
not too early to attempt here and
! there To identify cause and effect
II is my present purpose to review
| briefly and rather casually the
banking development of the last
five years in this territory as ex-
| tmplified in our own banking or
! ganization; and the apparent re-
suits.
Our organization is unique in set
up. 1t is a trinity:
The First National Bank of
Los Angeles, National Bank under
Federal Law. with capital. surplus
| and undivided profits of $S.000,000
and total resources of more than
! 100000 for fifty wears a lead
er in commercial banking in the
Pacific Southwest territory: a bank
which under such virile leadership
as that of J. NJ. Elliott. Stoddard
Jess, and Henry NJ. Robinson, has
been conspicuous for vision. cour-
age, and constructive banking ser
vice reaching far beyond State Dor,
ders,r
The Pacific Southwest Trust 4
Savings Bank, State Bank under
the California departmental bank
ing law, with capital. surplus. and
undivided profits of $l4,000.000 and
resources greater than 1926, ,00O, 900
doing commercial, trust and savings
banking
The First Securities Company,
with capital and surplus of $l,l00,-
600, through which is handled our
investment banking business and
which performs admirably other fin
sneial functions not strictly bank
ing.
THE stock Of all three institu
tions is held by the Los Angeles
Trust and Safe Deposit Company,
corporate trustee under the Cal
ifornia Law, whose principal duty it
is to act as trustee for the stock
holders OF these three institutions,
and issue stockholders Beneficial
Certificates carrying ownership.
These three institutions. combined
in single ownership and under sin
gle management, operated almost as
one departmental organization and
representing an approximate capital
investment of $23 100000 and com
bined resources of more than 1927
100000, attain the greatest effici-
ency 10 be found for each particu-
lar function under State and Fed
eral Law.
Members of Federal Reserve
"Both banks are members Of the
Federal Reserve system; the First
National Bank by law. the Pacific
Southwest Trust & Savings Bank by
choice. Both are subject to inspec-
tiOn BIZ Federal or Safe authority,
or both. and by the Los Angeles
Clearing House Association.
Inc fdtlIlc- southwest IIsI u
Savings Bank operates 100 branch
es, of which AZ are in the city of
Los Angeles or the metropolitan
srea. and 50 are in the suburban
and agricultural districts within our
economic zone. SO close is the as
ISOLATION between those institutions
that they use the same Commercial
development Department and allo-
cate their business TO that particu-
lar place in the organization where
the customer can be best accommo-
dated and his business most effici-
entlv handled. An account may be
in the First National Bank at Sew
enth and Spring Streets, Los An
geles, and deposits may be accepted
through a branch of the Pacific
Southwest Bank in the industrial
area. or in the San Joaquin or I'm
perial Valleys, for credit to that ac-
count. SO intimate is the associa'
tion that the mechanical functions
of the two banks are correlated for
greater efficiency and economy. Our
transit and collection business. for
example, is handled through joint
department, clearing for both banks