Evening star., 1928-05-19
NEW LAWS VITAL
!. TO DISTRICT BANKS
Uniform FiduciarieS and Joint
Survivor Measures Clear
Up Matters.
BY EDWARD C. STONE.

Gently were passed by congress, ilaNe
lust been signed by President Coohoge'
thereby becoming law.
Local bankers today expressed great
satisfaction at the passage OF the UNI
form fiduciarieS law for the DiStrlct OF
Columbia This measure was known as
House bill No. 6S44. Heretofore bankers
have considered that their Liabilities III
transactions with fiduciaries we're not
clearly defined, and the new law makes
their duties and their liabilities much
clearer.
This law was drafted by the commits
sioners on uniform State laws, VINO,
among other laws, drafted the negotla-
bic instrument law. which is now IN
force in all Of the States and the DIS
trict of Columbia. The uniform fidilci-
aries law, hlst passed and signed. is now
in force in IL States ara the District
Of Columbia.
The other measure just signed by the
President has been referred to as the
ioint survivor act It is House ReSolu-
ton 1856, dealing with the payment
of money by banks in the District OF
Columbia that is deposited in two or
more names payable to either or the
survivor Passage of this bill creates
a definite law controlling all Such ac-
counts.
Can Now Give Assurance.
For many years the Washington
banks have been accommodating thelr
customers by the acceptance OF ac-
counts of this nature without the pro-
lection of statutory law. and tney,
therefore. are expressing deep SatlSIac-
ton that this law has been passed. SO
that they can give to depositors OF TINS
nature definite assurance as 10 thelF
rights in the event Of the death oil one:
Great credit for securing passage OF
both laws belongs 70 Francis . Aool-
son, ir.. vice president OF the security
Savings N Commercial Bank, who Is
chairman OF the committee on Jaw anu
legislation of the District Bankers AS
sociation. Mr.. Addison attended all the
hearings and worked very naFo lot lfle
passage of both bills.
He was given splendid support IN MS
efforts by the other members OF tne
committee Robert v. Fleming president
of Riggs National Bank; Corcoran
Thorn. president OF the American
Security a. Trust Co. and II. n. NC
Kee. president of the National Capital
Bank. All these bankers considered the
bills OF unusual importance TO wash
ington. Their passage will be CONSIDERED
one of the leading accomplishments OF
the District Bankers Association during
the present year.
Higher Bank Salaries Urged.
William F. Augustine of Boston, preSi-
dent of the Association Of Reserve City
Bankers. told the Maryland Bankers
Association at Old Point Comfort. Va,
that banks not give expensive service
finYp anh that
they should raise the salaries OF their
employees. Discussing interest rates,
he said:
by free and expensive services
paying more interest than
the traffic will bear. second, perform
ing services that are not primarily
banking services, such as the care OF
securities without charge, the giving
away of specially bound and specially
numbered checks. making up pay rolls
without cost, delivering these pay rolls
without charge, collecting deposits by
or truck without compensa-
ton. the absorption of exchange charges
for the collection OF items, and the loIig
list OF further services for which the
customers should be charged unless
their accounts are sufficiently large to
permit the bank to absorb the expense
and still obtain q reasonable pront OF
the account"
Mr.. Augustine dwelt particularly upon
the bad effects upon the entire banking
business of the present low scale OF
salaries paid bank employees He de-
scribed the payment OF 'Sucn salaries
as preventing employment OF the type
of men in many cases which proper
sense Of stewardship would require
banks to place in charge OF moneys
committed in their care. and pointed
out that 1t was unfair TO the employees
and to depositors to try 70 secure profits
at their expense.
In Maryland the salary figure for
employees stood at 1853 in 1921, while IN
1927 il had declined 10 f6l, and In
Baltimore IL had increased only from
100 to 1879 These figures compare
with those for the United States as a
whole. where a raise from l69 in 1921
to 1876 last year is reported" Mr.. Au-
gllstine said.
Banks Arrange Evening Closing.
The group Of Washington banks that
closed on Saturday evening during the
Summer last year will adopt the prac-
tice again this year. beginning on the
FIRST Saturday evening in June.
III VIII dc Atldb a JINA A&0
these banks nearly reached a year
round agreement on this issue. The
plan failed because one bank was un-
willing 10 sign such an agreement.
Several OF the banks Still have the
permanent Saturday night closing in
mind and are likely to act independent
ly in the matter. The hrst one 10
make a definite announcement Is the
Security Savings a. Commercial Bank,
which has placed notices in the lobby
stating that the bank win begin on the
first Saturday night in June and adopt
permanent closing plan.
The Farmers ~ Mechanics National
Bank and the Potomac Savings Bank
In Georgetown have announced the
hours which they viii observe beginning
June / and continuing through Sep
tember as $50 am. 10 3 pm. except
Saturday on which day the banks win
open at 3 am, and close at IL o'clock
noon.
The exception TO this rule will be on
the fifteenth and last day Of each
month, when the doors will remain
open until $50 pm. The new time
schedule will apply t0 the Friendship
branch OF the Farmers a. Mechanics Ma
tiOnai Bank on Wisconsin avenue. as
well.
Cleaned In Financial District.
The judges Of the Institutes essay con-
test will hold meeting late Monday,
and reach final decision on the win
ners Of this annual competition the
winners Of the first three places being
given the trip 10 the annual conven-
ton Of the local Bankers Association
by the banks they represent The judges
are Francis O. Addison, jr., Robert v
Fleming and Harry v. Haynes
George A, Harris, president OF the
Potomac Joint Stock Land Bank, and
president Of the Washington Civitan
Club is attending q convention today
of the Chesapeake division Of Civitan
Clubs AT Norfolk
Oillett A. Co. investment bankers OF
Baltimore, whose Washington office has
been located at 1912 X street north
vest for several years, have taken offices