Evening star., 1932-07-19
BUILDING PERMITS
SHOWING DECLINE
June Total From 556 Cities
! Reveals II Per Cent
Drop Below May.
BY EDWARD c. STONE.


Lynchburg, Va; Scranton, Pa; Aus
tin. Tex, Atlanta, Ga: Worcester,
Mass jackson. Mich; Pottstown, Pa;
and Omaha. Nebr.. were the only cities
to show individual gains over June,
1881.
Scranton, Pa; Austin. Tex; Lynch
burg, Va: Jackson, Mich. and Potts
town, Pa, are the only cities which reg
istered advances over June, 1880.
The Is leading cities as a group
showed an increase Of 1853 per cent over
May. 1882, and a decline of 62 per cent
from June. 1881. Washington stood
ing better showing. Washingtons
permits totaled Sl,4O3340 in June of
this year, against s2,495, 100 in June.
1881; $l,6l3,055 in June, 1880, and
S946135 in May, this year.
Washington was placed ninth in the
list of II leading States, with Maryland
in eleventh place.
Reserve Boards Loan Plans.
The Federal Reserve system has de-
termined upon a general policy for
making direct loans under provision
of the relief act which will cause a
minimum of antagonism on the part of
member banks, says the Wall Street
journal.
This policy it was declared, will be to
find, if possible, a member bank which
will be willing to make each loan for
which application is made to the Re-
serve banks, and then to make the loan
only If another lender is not found.
A provision of the relief act author
lies the Reserve banks, upon the ap-
proval of the Federal Reserve Board in
Washington, to make loans themselves
in cases where an application for a
loan has been refused by bank and
there are exigent circumstances. The
paper offered must be eligible for dis
count if offered by a member bank
This policy is not a formal, hard
and fast resolution of the board but a
sort OF working agreement among the
governors of the Reserve banks, who
met with the Reserve Board last week,
the Journal asserts.
Murphy Receives Bond Interest.
Interest due July Is from the Repub-
lic of Latvia has been received by the
trustee for the Kreguer & Toll per
cent secured debentures, according to
announcement by Grayson Mp.
Murphy, chairman of the Protective
Committee for this issue The sum in
yolved is Sl90000. representing six
months interest on the S6,O00,0o0 of
6 per cent Latvian bonds, which are in
cluded in the collateral pledged for the
secured debentures. This S60000 900 OBJ
legation constitutes, so far is is known,
the only external bond issue of the Re-
public Of Latvia The receipt of this
interest brings the cash funds in the
hands of the trustee for the Kreuger &
Toll 5 per cent secured debentures to
slightly over 100000.
Thompson on Traction Board.
At meeting of the directors of the
Capital Traction Co, held at the COM
panys head office this forenoon. S.
Percy Thompson was elected to the di-
rectorate to fill the vacancy caused by
the recent death of Edward j. Stell-
wagen, for 80 years president of the
Union Trust Co. Mr.. Thompson is a
prominent lumber dealer, widely known
in the Capitals business circles and has
long been especially interested in trans
portation problems. He will take his
place on the Capital Traction board at
once.
Bonds Lead D. c. Exchange.
On the Washington Stock Exchange
today $1,000 Washington Gas 5s sold at
10l, washington Gas 6s, series B. fig
ured in bay bond transfer at 1907
and $1,000 Washington Railway &
Electric As moved at 49, The only stock
transaction of the day was in Potomac
Electric Power 5i2 per cent preferred
which changed hands at 1882 Corco-
ran Fire Insurance Co. stock is now
being quoted without the recently de.
clared dividend.
The Washington office of Hemphill,
Noyes & Co., announces that William
A. Shanklain, jr.; William S. Blackman,
A. NJ Kulp and Charles NJ Boswell, all
formerly with Spencer Trask & Co.,
have become associated with the Phila-
delphia Office.
E. A. Pierce Among Directors.
Organization of the General Recon-
struction Corporation. formed to handle
the problems Of investment trusts which
require reorganization, refinancing or
liquidation, was announced Yesterday.
incorporated in Delaware, the company
has on its directorate group of men
who had previously consummated
number of sales and mergers in the in
vestment trust field.
Edward A. Pierce, managing partner
OF the New York Stock Exchange firm
OF E. A. Pierce g. Co., is director.
Machinery for Loan Bank Bill.
the creation of new governmental ma
chlnery, patterned after the Federal
Farm Loan Board.
Under the currency expansion amend
ment of the home loan bill. a new class
of Government bonds would be added
to those having the circulation privilege
and national bank could issue its
notes up TO 100 per cent of It's capital
on the basis of such bonds which it
held. Theoretically, an expansion of
S995 100000 in the currency could take
place. This figure is the total capitali-
Zation of national banks, minus the
amount Of national bank notes already
In circulation based on those bonds
which have had the circulating privilege.
The opinion was expressed by local
bankers today that few banks will use
the new provision, since they are not
generally in need of more currency.
1t is not a question of more currency
so much as the best ways that cur
rency already in existence can be used
which is the problem facing most of
the banks in the country at present,
1t was stated.
Finishes Association Duties.
Mrs. Grace Bromley Bailey, who has
been assistant secretary of the Dis
trict of Columbia Bankers Association
ever since the headquarters office was
opened about eight years ago, COM
pletes her work for the association
today Mrs Bailey has received many
hearty congratulations on her long and
faithful service. She will leave Wash
ington soon for her future home in
Alabama.