Evening star., 1933-12-04
R.F. c. DAWESBANK
L0AN|S HELD GOOD
Central Republics S90,000,-
900 Papers UnreneWed.
Considered Demand Notes.
BY the Associated Press.

BY the Associated Press.
The $9O,0OO,000 loan by the Recon-
struction Finance Corporation to the
Central Republic Bank & Trust Co. of
Chicago headed by former Vice Presi-
dent Charles c. Dawes. has never been
renewed by the corporation.
Simultaneous with this disclosure, it
was learned today, however that cor
poration officials now regard the loan
as having the status of a demand note.
Although Chairman Jones and other
officials today declined to discuss the
matter publicly. The understanding WQe
given on the highest authority that the
Whllf f0nSIdfTed AZ \ nQf NNaF f0VlN
be called at any time, it was pointed
out that the corporation has never
The loan made in December. 1882,
was originally for six months and has
been reduced to $50 157 ,596 IS through
payment of S27,842,403 on the prin-
cipal and s2,283, $685. in interest.
Corporation officials also consider
favorable the fact that the r. F. c. has
more complete control over the col
lateral than if the note had been re-
newed.
In a letter to the Senate Banking
Committee, after receiving request
from it for information on the loan,
Jones recently stated that the face value
of the collateral held for the loan on
November 81 was S91 ,633 ,67996. There
was no statement as to the present
market value, since the collateral con-
sist of about 1000 items and is on
deposit at the Federal Reserve Bank
of Chicago.
Cuhioof ~ Cnrppoanf
The loan to the Central Republic
Bank & Trust Co. has been the sub
iect of much comment In Congress.
Dawes was president of the Reconstruc-
ton Corporation until shortly before the
loan was made. Later the bank dis
continued its deposit business, but re-
manned as trust company.
The clerical force of the corporation
has been working overtime on the cor
poration's emergency loan program and
Jones indicated today that unless the
Senate committee is insistene, the clerks
could not be spared from their regular
work to make up the collateral list.
The committee Is understood to be in
terested in learning how much insult
securities are included in the collateral
for the loan.
Meanwhile. Jones today announced
that applications from banks for sale
to the corporation of preferred stock
now number l,500.
Jones also announced that approved
loans to irrigation. drainage and levee
districts now total Sl3,424667. These
defaulted bond Indebtedness, including
past-due interest aggregating $685.
61O,660.
The Reconstruction Corporation,
which was organized February 2. 1892,
has loaned a total of $3,453,9l3,3 1894,
according to its monthly report made
public today.
Total loans and advances, excluding
mandatory loans to Government agen-
cies for relief and other purposes,
authorized by the corporation since its
inception amount to $4,254, ,348 of
which 1914, 4,469,467 was withdrawn or
Cancelled, with S1,014652 068 remain
ing at the disposal of the borrowers.
Repayments have totaled $3.50, ,212.
The report, although setting forth in
detail the advances made to banks,
railroads, and the various Government
agencies, did not give the amount of
gold the corporation had purchased in
its gold buying program, but it was
known that up to last Friday S10,500,-
600 worth of domestic gold had been
purchased.
The following cash advances were
shown:
Secretary of Agriculture for crop
loans $135 900, 900.
Secretary of the Treasury for pur-
chase of home loan bank stock $685.
| 545, ZOO.
Secretary Of the Treasury for pur-
chase of home owners loan corpora
tion stock, $14,000,0 900.
Leans on Farm Mortgages.
Capital of regional agricultural credit
corporations, S44, 500, 600.
Expenses of regional agricultural
credit corporations, S2,747,874.
Land bank commissioner for loans
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