Evening star., 1933-04-14
PLANS ARE STUDIED
BY TREASURY FOR
OPENING IS BANKS
Cummings Holds Personal
ParIeys With Conservators
of Closed Houses.
RELEASE OF $50,0OO,OO0
NOW TIED UP IS OBJECT
New Assistant to Woodin Is
Silent on How Soon Money
May Me Freed.


beng considered at the Tree >ry De.
partment in personal conferences be.
tween some of the conservators ano
Walter j. Cummings, executive assistant
to the Secretary Of the Treasury.
II have talked to some of them but
not to all of them," said Mr.. Cummings
"The picture is not yet complete"
Some of these conservators were
called in for conference by Mr.. Cum
mings himself, he said, while others
called of their own volition. Mr.. Cum
mines would not disclose the identity
OF the men he has talked to ncr the
names CT Their hanks.
Reports in His Hands.
Reports from all IS CT the closed
banks. however, are now in his hands,
Mr.. Cummings said. Much data have
been turned over to him from the office
of the controller of the currency and
he is working on the whole problem.
Not only is he giving this matter his
personal attention, the new Treasury
aide said, but he added: "I have the
whole organization working on it try
ing to find the solution to these prob
lems.
When his attention was called to the
fact that thousands of depositors in
closed banks are in the dark regarding
the disposition of their money, which
amounts to more than $50,000, 900 900,
Mr.. Cummings remarked: I'VE want to
release this money in Washington as
soon as possible"
Asked as to how soon this money
might be released and also how soon
the depositors might expect some word
as to the prospect for releasing their
nHr Cd Iof
he could make no prediction as to the
time element at all.
working Hard ON Matter"
st can assure you, however" he said,
shat we are working hard ON this
matter"
Pointing to q hugs. pile Of papers
on his desk and indicating it con-
cerned the Is closed banks in the Dis
trict, Mr.. Cummings declared he had
worked on 1t until late last night.
Concerning the conservators Of the
banks who have called to see him, Mr..
Cummings explained tnat some of these
conservators already have developed
plans for reorganizing their banks, but
some Of them apparently have no plan
at all yet developed for reorganizing.
After mass meeting last night, de-
Bank today were studying technicah-
ties involved In their proposal, voiced
at the meeting, to take over assets of
the closed institution and form a new
bank.
Meanwhile d campaign was under
way to raise 5000, GOO to permit ma
tionalization of the Industrial Savings
Bank, now doing business on restricted
basis.
Approximately . thousand depositors
of the Park Savings Bank gathered in
side and out Of the Mount Pleasant
Branch Library last night to hear a
Depositors' Committee propose organi-
zation Of the new bank in order to con-
serve their interests. The organization
of the depositors began with meet
ing a week ago. At that time COM
mittee headed by Judge j. w. Thomp-
son, 3155 Nineteenth street, was formed.
and directed to work out a plan to
protect the depositors' money.
Addresses Mass Meeting.
Judge Thompson addressed the mass
meeting last night both inside and
outside the library, outlining the COM
mittee's plan. He said as soon as the
support of approximately 80 per cent
of the depositors is pledged he will
confer with the Controller Of the Cur
rency with view to obtaining author
ization for the new institution.
Summing up the financial situation
of the Park Savings Bank, Judge
Thompson said loans now outstanding
total. in round numbers, s2,2s0,000. He
said the bank has $460, 900 in debts
and sl,500,0o0 In defalcations bring
ing the total due the bank to $4,000.
Other assets include $8l 200 in bonds,
$124,000 United States Government Sc
curities, S150,000 cashiers bond, $780,
900 life insurance policy of Robert
Stunz, an official of the bank who re-
Gently killed himself; 100000 capital
stock and $150000 bank property,
bringing the total assets to approx
mately $4,000. This amounts to
about 43 cents on the dollar for the
depositors, he explained.
on hand when the work of the con-
servator IS finished, which was esti-
mated to amount to between 100000
and S500,000, will be used as the cap
ltalization of the new bank. The
stock would be prorated on the basis
of the deposits.
Such a plan, Judge Thompson said,
would give the depositors the total as
sets of the bank This could not be
done, he said, under any reorganization
of the old institution.
He said it was hoped that formation
of the new bank could be effected with
in 80 days.
Other Speakers.
Besides Judge Thompson, members
of the committee presenting the de-
positors the plan last night included
Mrs. NJ Delight Trent, Maj. E. Land
Allen, Miss Jane Burke and Col. Will
liam DeGrange.
A committee representing depositors
in the Industrial Savings Bank met last
night on call of w. H. c. Brown, presi-
dent and conservator. The group Voteo
to issue 5000, 900 stock and If the total
issue is subscribed. to petition the con-
troller of the currency for permission tc
bscome a national bank.
The Citizens Committee officers as
appointed by Mr.. Brown, were con-
firmed by the group, which included
representatives of civic, fraternal, re-
hgious, business and financial organ
1zations.
Elder Michaux, evangelist, made {
plea Tor subscription of the stock, ant
$3l ,375 was pledged at the meeting.
Plans for larger mass meeting O.
depositors probably viii be formulated
following meeting OF the stockholderl
next Wednesday.
Describes Selling of Stock.
Mr.. Brown said the stock will be solt
through canvass of the communit,
by the group solicitation method
The Reorganization Committee
counposed of Jesse n Mitchell first vic,