Evening star. [volume] (Washington, D.C.) 1854-1972, 1931-02-05

An unlimited amount of cash was
placed at the disposal Of the Perpetual
Building Association by other Washing
ton banks today as run, started yes
terday by false rumors, diminished.
The efforts of banking interests and
business leaders to stabilize confidence
In the building association obviously
had a salutary effect overnight and a
number of depositors who had fastened
to withdraw their savings IN the early
hours Of the excitement returned to
reopen accounts. The institution also
reported the opening Of q number Of
new accounts.
Source Of Reports Sought.
In the meantime, Secret Service
agents, at the direction of the ONCE Of
the controller of the currency insti-
tuted a city-wide investigation to de-
termine the source of the fake reports
that weakened public confidence in one
Of Washington's largest and Oldest
financial institutions. Offers of rewards
for information as to the perpetrator
led investigators TO believe that the per-
son would soon be found.
When t1e building association opened
at 9 O'Clock this morning. there were
approximately 800 persons waiting in an
orderly line, which ran out z street
from Eleventh to Twelfth, and short
distance up Twelfth toward F street.
A half hour later the line extended
closer to F street, but diminished as the
accounts of the depositors were closed
out. In the line, however, were num-
Der of persons who wanted to make de-
posits, and they were permitted TO enter
the building through side entrance on
E street.
throughout the day the depositors
continued to file in and out Of the
Perpetual Building, but shortly after
2 o'clock the line had shortened ma
terially in length, stretching from the
front door Of the building on Eleventh
street near z to Twelfth and streets.
Despite the Withdrawals, Edward C..
Baltz secretary of the institution, an
nounced that up to 2 O'Clock this after
noon rs new accounts had been opened
representing a total deposit of nearly
$1,000 This was considerably in ex-
cess Of a normal days business. New
accounts, he said, average 20 a day.
One OF the latest of the new accounts
was opened by the Washington Savings
Bank with a deposit of 10000 The
total amount Of Withdrawals, however.
will not be tabulated until the institu-
ton closes its doors with evening.
Some Decline to Withdraw.
No attempt was made by officials Of
the building association TO disSuade any
depositors from Withdrawing funds. and
the clerks handed over the money as
men and women. some Of them with
children, passed before the long marble
counter and surrendered their pass
books for redemption. Some of those
who got into the building left, however,
without withdrawing their deposits
after comforting with officials and being
given further reinsurance that there
is every reason why the association
should command complete confidence.
The association. it was pointed out,
is permitting the wholesale Withdrawals
in the face of the banking laws which
gives it the privilege of Withholding
payments for 80 days Oficials ex-
planned that when the bank opened
business this morning 1t had on hand
Sl,750,O00 in cash, $750,0 900 Of which
was brought in early this morning from
the Riggs National Bank This $780,
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