Evening star. [volume] (Washington, D.C.) 1854-1972, 1930-05-08
BANKERS COUNCIL
I OPPOSES REMOVAL
Headquarters viii Be Re-
tanned in New York.
Young Speaks.
BY EDWARD C. STONE.

BY EDWARD C. STONE.
1t has been decided by the executive
council of the American Bankers Asso-
citation not to favor moving the head
quarters from New York to Washington.
The proposal was debated for two
hours at Old Point Comfort Yesterday
When the vote was taken, there was
not a dissenting ballot against main
tanning the national office in or near
New York.
One of the features of Yesterdays
session was an address by Gov. Roy A.
Young of the Federal Reserve Board. in
which he warned bankers of the coun-
try that they should be prepared at all
times for market uncertainty and peri
DDS of depression. Gov. Young said the
Federal Reserve Board had persued for
two years a policy of firm money and
had exerted it's influence against i'm
proper uses of Federal Reserve facilities
Banks should remember that the re-
sources Of the Federal Reserve system
are not ineXhaustible: that another
three weeks like those that occurred last
Autumn may come at a time when
these resources will be more nearly used
up, and that absolute aecurity and con-
fidence can be obtained only by so con-
Quoting the financial affairs OF the Ma
ton so as to pervent violent expansions
and contractionS rather than merely to
alleviate their consequences"
Bankers and Agriculture.
H Lane Young of Atlanta, Ga, chair
man OF the Agricultural Commission,
described its work in promoting banker
farmer economic improvement activ-
tiles through agricultural committee
conferences. key bankers, county
agents, bankers short agricultural
courses and banker farmer tours. He
said that $50 meetings were held in az
States with total attendance OF $4,000,
and that there are now 2,497 key bank
ers, an increase of $40 in year, while
3.o46 farmers and country boys and
girls have taken up definite project
work through the influence of bankers,
he said.
Trust Powers Expanded.
John w. Barton of Minneapolis,
president of the national bank division,
reported that more than 2,400 national
banks now hold trust powers and the
assets under administration by these
banks show an increase of $1,000 0O,-
600 in a wear and the division was pro-
noting development among It's mem
bers IN the technique OF trust Depart
ment management. Referring 10 tne
fact that the loss of resources TO the
National bank system has been marked
in recent years, he reported tnat
special committee on national bank re-
search. of which Robert V. Fleming is
a member, appointed to study the
causes, had gathered and analyzed ma
terial. which will be presented WIN
definite recommendations for construc-
tive legislative proposals at the con-
vention in the Fall.
Bankruptcy Methods Startling.
p M. Sturtevant Of New York, chair
man of the committee on bankruptcy.
declared that this committee was
amazed to find out "the great extent
that bankruptcy cases throughout the
United States, especially in the larger
cities, have been handled IN an almost
criminal manner.
we found" he continued, that in
the past years the total losses TO
creditors In bankruptcy cases have been
more than s4,000,00o,oo0 and that re-
coveries have been only or 10 per
cent, Studies show that 70 per cent
of bankruptcy cases are preyentapie,
that is, they should never have been
thrown into the Bankruptcy Court"
Finds 269 Chain Systems.
Rudolph S. Hecht. chairman of the
Economic Policy Commission. reported
on the following subjects assigned to the
commission:
"The development of group, chain and
branch banking, proposals for dis
tributing a larger share of Federal
Reserve Bank earnings to member banks
and the question of liberalizing the rules
governing eligibility of paper for re-
discount at the Federal Reserve Banks.
He said that the commission had gath
cred information indicating there are
269 group or chain systems, comprising
1922 banks and sl5,285 100000 in aggre-
gate resources in the United States,
pointing out that the failure of several
small groups and consolida tons among
other groups had slightly reduced the
number of banks in this field.
Business on Local Exchange.
Norfolk & Washington Steamboat Co.
rights figured in their first sales on the
Washington Stock Exchange today.
They were listed about 10 days ago:
The market opened with 40 rights and
10 rights Selling at IT and closed with
four more selling at TN.
Capital Traction sold in small volume
At rs, Columbia Sand q Gravel reg
1stered 96, Merchants Transfer e.
Storage preferred, 100: Mergenthaler,
107iz. while Lanston sold at l25 and
124. One hundred shares of National
Mortgage g. Investment preferred moved
at Asa.
Bonds were in fair demand, $4,000
Potomac Electric Power IS changing
hands at 1o8i4, 81, 900 Washington Gas
IS, series B, at los, and $4,000 Potomac
Electric Powers Cons. SIS at l0l.
Notes in Financial District.
II. H. Bergman was reelected presi-
dent Of the Washington Permanent
Building Association following yester-
days annual meeting of the stockhold-
ers. E J. Sacks was named vice presi-
dent. j. G. Bergman treasurer and
II. H. Bergman secretary. The direc-
tors include John Waldman, Christopher
Rammling, John II. Clipper, John Hen
derson, c. Chester Caywood, Max Wal
ten, Joseph N. Saunders and James r.
Ellis
Vice President William ]. Father
of the Riggs National Bank celebrated
his seventy-third birthday yesterday. re-
ceiving host Of congratulations and
many flowers. On February 4 last he
completed his fifty-third year Of con-
t1nuouS service with Riggs, the longest
period that any one has been connected
with the bank with the single eXcep-
ton of Charles c. Glover, sr. Few
bankers IN any city in the country have
such a record.
The Federal Reserve Board announces
khat the Federal Reserve Bank of Bos-
ton has cut its rediscount rate from
4 10 3l2 per cent.
Says John D. Lonsdale, president OF
the American Bankers Association
There are no insuperable difficulties
IN the banking field or in the money
market generally and prudent under
takings are generally assured OF bank
IN