Evening star., 1927-05-09
.LANSTON LEADER
|. ON EXCHANGE HERE
Special Interest Attributed to
Showing Made in An
nuaI Report.
BY EDWARD C. STONE.

BY EDWARD C. STONE.
Lanston Monotype stock led trading
on the Washington Stock Exchange
today, when it advanced to 9S&, a
new high for the year, on sales
totaling so shares. The stock opened
at 9SA, went to 9Sls and reached
its new high on a 20-share sale. The
special interest in the stock was said
to be due to the. showing made in
the annual report, which was present
ed at the meeting held last week
Only one other stock came out to-
day, Potomac Electric Power pre-.
ferred, which sold at 1885 on a very
small turnover. On the bond side
Washington Gas IS, series B, sold
at 1865, while two series A baby
bonds changed hands at 103A.
Transfers in Washington Railway
& Electric As totalled $4,000, four
transactions taking place at S512.
Scouts Chain Banking Claims.
Controller j. w. Mcintosh, in reply
to Chairman McFadden of the House
currency committee, scouts the idea
that a vicious form of chain bank
ing" is developing in the national
bank system. In his letter he re-
minds Representative McFadden that
it is unlawful for a national bank to
purchase any stock of another bank,
either National or State. Conse-
quentiy, he says, national banks could
not engage in the form of chain bank
ing feared by Mr.. McFadden through
the purchase of stock. He added that
Congress has SO far announced no pol
icy with reference to the ownership
of national bank stocks by State cor
porations.
Controller Mcintosh stated that the
national bank act requires every ma
tional bank at all times to keep full
and correct list Of stockholders. Ma
tional bank examiners, he added, were
fully informed of every. important
change in the ownership of stock of
national banks which might have
a bearing on the control of bank op-
erations.
I'm this connection" he said, 81
wish to say that the controller Of the
currency, within the limitation of the
powers vested in him by Congress, has
heretofore i'll every case where any
particular ownership or control of ma
tional bank stock appeared to be detri-
mental to the bank exercised his au-
tiiOtlly W COIIECI tue H]S
is the settled policy of this Office and,
needless to say. will be continued.
II shall be glad at any time to lay
before you or your committee the in
formation in the possession of this of.
fee to the ownership of the stock of
the national banks.
THE corporations, however, which
you hold responsible for the develop.
men of chain banking are creatures
of the State legislatures, Mcintosh
said, in a letter. They receive their
charter powers from the States
Final Subscriptions Coming In.
Final subscriptions to the Potomac
Electric Power Co.'S offering of $780,.
900 51s per cent preferred stock were
being received at the head offices to.
day, the books having been closed on
Saturday.
1t was too soon today for any fig
ures covering the amount of the over
subscription. All that is known yet is
that the issue has been heavily over.
subscribed. 1t was expected that
every bank and brokerage house par
ticipating in the sale would be heard
from before the close of business to-
night and that the adding machines
AS soon as the total amount of the
subscriptions is known, the allotment
committee will meet and decide the
question of how much stock to bring
out at this time-the $2,500,000 or the
maximum of $4,000, 900.
Bond Club Meets Next Week.
Charles J. Bell. president of the
American Security & Trust Co, will be
the speaker at the next meeting of
the Washington Bond Club, on Mon
day, May 16.
Mr.. Bell will discuss Bonds as a
Bank Investment" As this is a mat.
ter of most vital interest to all bond
men, Charles Carroll Morgan. presi.
dent of the clut. looks for a very
large turnout of members.
The local bond club, which is still
comparatively young, is having a most
prosperous year. The organization is
growing steadily and contacts are be-
ing formed between the bond men of
the city that is proving decidedly
helpful.
Stocks Rise Stirs Interest.
The jump of II points to 29o in Nor
folk & Washington Steamboat stock
on the local exchange Saturday
aroused considerable interest
The opening of the Cavalier, the
new hotel at Virginia. Beach, is ex.
pected to draw many WASHINGTON
people to that resort this Summer
who have never been there before, AS
the steamboat line naturally will get
a large share of this traffic it will no
doubt be reflected in the companv's
earnings.
1t is also authoritatively stated that
the famous old Hotel Chamberlain at
Old Point Comfort is to be rebuilt.
The original hotel drew a great many
people from Washington. Many
people from Boston and New York
also came there by boat and later
visited Washington, using the Nor.
folk & Washington line.
Heard I'm Financial District.
J. P. Morgan & Co, heading a coun.
try-wide syndicate, is offering $50. .000,.
900 Erie Railroad refunding and i'm
provement mortgage per cent bonds,
due 1867, at 941z and interest to yield
5.33 per cent.
Passing of control of the First Ma
tional Pictures Corporation to the
Stanley Co. will take place in Los
Angeles OH May 10.
Treasury reports total amount of
money in circulation on May / was
$4,784,O67 ,059, per capital of 5000,
compared with 57,56S,6Oo, per
capita of $40.S1. on April /. Total
stock OF money May / was SIS, ,60O, ,062,- :
S24, of which S4,609. .304,678 was gold
coin and bullion. Stock of money
April l totaled $S,5S4,O67 ,O47.
-s-