Evening star. [volume] (Washington, D.C.) 1854-1972, 1930-11-09
LOANS ON APPLES
STORAGE 0. KID
Federal Farm Banks Win
Accept Warehouse Receipts
as Security.
epeclsl Dispatch to The star.

Gpeciai Dispatch to The star.
MARTINsBURG, w. Va, November
e--Tfe Federal Farm Loan Board has
agreed to make apples in storage the
basis for warehouse receipt loans. II
was announced here by Gray silver, CO
operative leader and former legislative
representative Of the Americas Farm
Bureau Federation, who has been
working toward this end for some time
The Federal Farm Land Bank has for
several years accepted warehouse re-
ceipts. Of grain and other farm staples
IN elevator and storage as the security
for loans, at 4 per cent interest but
unit now has held that apples, with
other fruits, were too perishable, he
said.
win Aid Growers.
Acceptance of stored apples as q basis
Tor loans will mean much to growers
OF all commercial belts, believes Mr..
Silver, in allowing them to carry their
fruit out of the harvesting rush into the
later months of the season for better
markets Crop advances hitherto have
been made by banks at per cent, on
bankable security, OF have been ex-
tended privately by some of the fruit
handling agencies.
Loans made on the warehouse re-
ceipts to those owning. the. apples IN
storage will be made through Federal
Intermediate Credit Bank: s
The decision of the United States
farm bankers to include apples along
with grains and farm staples in their
m0ney-lending program comes as the
third and climaxing step to the work
OF group of men in this section look
ing toward cooperative organization of
the entire Shenandoah Potomac Penn
sylyania apple belt
The first long step was accomplished
with organization Of Growers, Fruit
Exchange, REORGANIZATION for the
dozen local cooperative apple handling
units Of the belt. The Growers Fruit
exchange was Incorporated with an au-
tllerized $1,000,O00 capital.
Credit Cooperation.
Just recently the Growers Credit
Corporation, a subsidiary to Growers
Fruit Exchange, has been chartered by
the State of West Virginia. Its pur-
pose Is TO make possible q close tie-up
between the Growers Fruit Exchange
and the Federal intermediate Credit
Bank, through which warehouse certif-
icateS OF fruits and kindred products
deposited In recognized warehouses be-
come the security for money loans to
those holding the fruit in warehouses.
The Growers Credit Corporation has
Gray Silver as president, Frank Robin
SON. Charles Town. w. Va, as vice
president and Hugh W. Prettyman, In
wood, w. Va. secretary-treasurer Di-
recbors are: Fred Robinson, Winchester,
Va, representing Valley Fruit Ex-
change; Gray Silver. representing In
wood Fruit Growers. Frank Robinson
Of Jefferson Fruit Exchange H. O.
Warden Of BattletoWn (va) Fruit Ex-
change and c. D. Wygong, Shepherds
town CIV. Va Fruit Exchange.
Growers' Credit Corporation. like its
parent the Growers Fruit Exchange,
has authorized capital of 81 ,000, 600,
with 1000 shares of common stock, ct
par value Of 500, and 5000 shares of
preferred, ct 500 par value.
Credit Range Of Million.
The credit corporation viii have be-
tore the Winter is over, believes Mr..
Silver 9l00, 900 paid up OF the AUTHOR
lied capital OF this. $50 900 Is to be
furnished by the local units or the
corporation, and the Government
matches, dollar for dollar, the capital
paid In By the grower-members giving
the. 100000 total. This capital IS the
basis for rediscounts up to 10 times
At1Et4a ~ IkAdS Tic cTeulb corporation
VIII have q maximum credit range of
$l,000,O0O. All credits granted are
subject to the strict supervision Of the
United States Government, as partner
therein, and the usual rules Of banking
safety are observed.
The board of directors Of the parent
organization, the Growers Fruit EK-
change, have been taken as the presi-
dents Of each Of the local units, which
are members. As formally elected, they
are: Gray Silver, representing In
wood Fruit Growers; Fred Robinson,
for Valley Fruit Exchange, winchester.
Va; Frank Robinson, for Jefferson
Fruit Exchange; h =. Boyer of Wood
stock tVa) Fruit Exchange; @. D.
Wysong, Shepherdstown CW. Va.) Fruit
Exchanges Charles w. Thatcher, Berke-
ley CIV. va Fruit EXCHANGE; +. 3,
Ruppenthals Morgan County CW. Val
Fruit Exchange. Berkeley Springs, and
n. g. Warden Of BattletoWn Wal
Fruit Exchange. Members OF two adj
ditional locals, the Ohio Valley Fruit
Exchange and Pen Mar Coop. Fruit
Growers Association remain to be
named.