The Bismarck tribune. [volume] (Bismarck, N.D.) 1916-current, 1929-09-13
COOPERATIVE BANK
MOVEMENT HELPS
D|vERS|F|CAT|ON
Corporation Which First Nation.
al Has Entered Copies
New Farm Policy
LOCAL PHASE PRESERVED
Stock Is Distributed in Small
Units in Territory Served;
Avoids Eastern Control

Minneapolis. Sept. 13.-P1-Di-
ye~rsification Of banking resources in
the same manner in which the farm
cr has been urged to diversity and
for the same reasons is one Of the
principal detectives sought by the
First Bank Stock corporation. Lyman
Wakefield, vice president Of the COR
poration. said In a statement today.
The corporation controls IL Minne-
sofa banks, nine In North Dakota,
eight In Montana. three in South Da-
kota and two in Michigan. BY bring
Ing to the banks In the chain expert
advice and managerial assistance and
BY organizing so that one bank helps
another meet the peak loads OF Its
business, officers of the corporation
hope to stabilize banking and bust
ness conditions in the Northwest and
to aid each bank in being of greater
service to the community which It
serves. Wakefield's statement said.
Denying the possibility that the
corporation might become part of a
national chain, Wakefield said the
corporations is designed to serve the
Northwest only and that distribution
Of It's stock in small units in the ter
ritory served makes 1t unlikely that
control could eve pass into outside
hands"
Considering District Only
In organizing the corporation.
Wakefield said. only the means for
developing the best facilities for TAX
Ing care Of the present business and
future growth Of the ninth federal
reserve district were considered. The
possibility Of branch banking or Of
nationwide chains was not consid-
cred, and the vital interest Of the cor
poration Is in the soundness and
adequacy Of the banking facilities Of
this district"
Expressing belief that progress of
the Northwest has been retarded by
unsatisfactory and unsettled general
banking conditions, brought about by
economic conditions and not through
fault Of the bankers. Wakefield said
1T seemed that II we could bring
about an advisory organization. prop
erly manned and with sufficient
banking experience to offer to all the
units making up the chain expert ad-
vice and assistance In the manage
ment Of their local banks, that there
could be no question as to the bene-
fits that would accrue to the territory
as a whole"
The plan Of operation. Wakefield
said. Is to retain. as far as possible,
local interest and control Of each
bank.
Keeping Ownership 1t Home
The central office will examine and
supervise each unit and will assist
them with trained Judgment which
ought to enable them to serve their
local communities better than ever
before and ought largely to eliminate
the possibilities of undue losses and
mistakes, such as have occurred in
the past and have caused the closing
of q number OF VI Northwest banks"
BY interesting local investors in the
stock Of the corporation. officers feel
that 1t will be so widely spread that
ownership and management will re-
main primarily in the hands Of local
persons who are most vitality inter
ested In the management and pros
perity Of their local bank.
Each bank will be strengthened,
said. by the Investigation
the various industries served BY the
group. Seasonal needs of varying i'm
dustries vary greatly but each has q
Of peak load in financing re-
quirements.
Demand for advances during the
and shipping season some
times prove . heavy load on the re-
sources Of banks in the small grains