Evening star. [volume] (Washington, D.C.) 1854-1972, 1930-01-24
BY JOHN r. SINCLAIR.
ecial DISPATCH to The star.

Special Dispatch to The Star.
NEW YORK, January 24-William
G. Kellogg of Chicago, general manager
OF the Farmers National Grain Corpo-
ration, has had long experience in the
grain business. He was born in Mil
waukee AZ years ago and landed his
frst job as O boy in that city in the
old grain firm Of Fagg & Taylor. Later
but still in his early twenties, he be-
came q partner In the firm Of Stacks
e. Kellogg.
Next he appears in Minneapolis as
the Northwestern manager for the Ar
mour Grain Co. When this company
sold its interests to the Archer-Daniels-
Midland Co., one of the large linseed
oil crushers in the United States. Mr.
Kellogg remained to organize and man.
age the terminal elevator grain depart
ment.
Already Mr.. Kellogg is busy on his
new work. He has placed bids for
wheat in all the principal terminal
markets of the country at the Govern
ment Farm Board figures. Today there
are 20 large-Scale cooperative organi-
cations which are either stockholders
or prospective stockholders in the new
grain corporation. At least one-fourth
of the crop for $780, estimated at ap-
proximately 800,000,000 bushels, as well
as considerable corn. is expected to be
handled by these organizations.
This Western grain operator is tall,
heavy set, has thick black hair, is re-
served in his manner and wastes
neither time nor words in transacting
business.
He is one of the most highly paid
| men in the Government service today
But he will earn every cent he gets.
Representative william r. Stevenson
Of South Carolina wants, after July l
1880, all national banks to carry insur-
ance for the benefit of their creditors
against loss to an amount equal to their
capital stock, which shall be in lieu OF
all stockholders double liability.
At the present time every stakeholder
in a national bank is liable for an ad-
| ditional amount of capital, should the
bank fail, equal to at least the amount
Of his capital holdings. If q man has
| 10 shares Of stock which cost him 500
q share, or $1,000, he is required In
case Of q loss to put up another 500
share to meet the assessment. But
try and get It'll"
Mr.. Stevenson's suggestion is new
1t has never been tried out. AS a means
OF insuring the banks against failure
and making certain the payment of the
| double liability assessment to depositors
| such bill, II enacted into a law would
probably bring the desired results.
Since 1855 there have been / ,241 ma
tional banks placed in the hands OF
receivers. Already S15 Of them have
been wound up, with 426 still in the
process of liquidation.
OF the total of BIS banks that have
Inundated IA f4aI
amounted to nearly sos, o65, 900, but the
records show that only $44,614,817 adj
dltional was collected from the stock
| holders. Under such an arrangement
as Mr.. Stevenson suggests, the addi-
tional $4,000, 900 would have been paid
In fun to further help the depositors
recover their deposits.
Such plan would revolutionize the
double liability feature attached to all
bank stocks.
It seems strange that while the min
eral resources of the United States con-
Stitute so per cent of the Nations
wealth no exchange for the exclusive
selling OF the security represented by
This potential wealth exists in New York
the market Of markets.
But within the next 80 days a new
exchange, to be known as the New York
mining Exchange, is announced by
Henry Taig, counsel for q group OF
brokers to whom the secretary of the
state OF New York recently granted a
charter for the new organization. It Is
to be formed for the purpose Of provid-
ing = market for mining and oil
securities.
1t is expected that establishing such
an exchange will bring into the market
more than $500, O00, 900 in Securities
which heretofore have been financed
| through private channels.
Tentative arrangements have alreadv
been made for the listing OF $50 issues
which are being traded in on other
exchanges. This new exchange will CO.
operate fully with existing mining ex-