Evening star., 1933-03-17
GAINS IN BUSINESS
IN DISTRICT SHOWN
BY yCLEAR|NG HOUSE
Today's Volume Of Checks
Cleared Greater Than
Total of Yesterday.
RUMORS OF MERGERS
CONTINUE TO BE HEARD
Building and Loan Associations Re-
port Increases in Both Assets
and Members.

Checks cleared through the Wash
ington Clearing House today showed an
increase over yesterday, as local busl-
ness continued more normal activity,
and new deposits came IN to the 20
open banks and to all the building and
loan associations in the National Cap
dtal.
The increase in checks cleared was
interpreted as a direct lndlcatlon o!
improved business and banking. ana
1t was predicted in the financial dis
trict that a steady gain could be eX-
pected from now on.
Clearings rose from 81 .716, 1881 yes
terday to $1,72S,969.44 today.
Building and Loan Gains.
Meantime the building and loan as
eociations, every one Of which reopened
in the District of Columbia, today were
doing an increasing business, accord
fne to William S. Quinter. secretary
of the Building Association Counch OF
the District of Columbia.
Deposits at these associations are lar
outnumbering Withdrawals, Mr.. Qulnter
said. and the amounts coming IN are
much larger than those going out. New
accounts are being opened in mucn
larger number than usual, he reported:
The building and loan associations OF
the city in the council, Mr.. Qulnter
said, showed an increase in assets OF
S634,434 during January and February
bringing their total assets here up to
SS7 ,922O30 During February 962 new
accounts were opened for savings mem
bers, ard BOT new loans were made by
associations which are members OF the
council These new loans totaled
$1,040,928. Counting both savings men,
bers and those receiving loans, the as
sociations thus increased by 1853 men,
oerS during February.
Meantime reports Of mergers among
Washington banks continued to circu-
late in the financial district. Conserva-
tors were busy again today in the l3
banks which did not receive licenses to
reopen checking and rechecking the
status Of their banks, attempting to
work out future plans.
The time element in connection with
any possible reorganization is held eX-
tremely vital, as these banks are anxious
to hold all their former customers, some
Of whom have made at least temporary
financial connections with other bank
ing institutions.
The reports continued to involve in
dividual banks and possible new group
mgs of several banks. No statements
could be made today by the conservators
as they have not yet worked out just
final ruling in connection with the re-
opening Of unit bank or Of con-
solidation of banks must be decided
by the controller of the currency
The Treasury Department was buried
with work on reports from banks all
over the country, SO that it was pre-
sumed it would be some time before the
controller of the currency could give
complete consideration to the reopening
OF local banks.
Opens Trust Account.
At the Chevy Chase Savings Bank,
John C. Walker, president and con-
servator, announced that his bank
opened its trust account today for both
deposits and Withdrawals Under the
emergency bank act, the conservator is
allowed to set up such a trust account,
segregated from the other accounts of
the bank for deposit and withdrawal.
The deposits must be kept either in
kash. on deposit at the Federal Re-
eerve Bank or in Government bonds.
Francis H. Sisson. president of the
american Bankers Association, has ex-
pressed to President Roosevelt on be-
2half of the association cordial support
in constructive efforts to restore con-
Aitions. Mr. Sisson'S communication
Us as follows:
"On behalf OF the American Bankers
Association I wish to offer my sincere
congratulations for the courageous
measures you have taken to stabilize
the banking situation in the emergency
presented and to assure you Of our
cordial support in constructive efforts
to restore normal banking and business
conditions. We believe your strong and
ireassuring statement to the public
March IL should greatly aid in the
restoration Of public confidence upon
which recovery must be based"
National bank notes in circulation are
sound money. 1t was explained by
officials today, even though the bank
dtself may be in the hands of con-
servator, or even a receiver. The ma
tional bank note is issued on the basis
of bonds which belong to the bank, and
which have been deposited with the
United States Treasury, SO any national
bank note in circulation Is worth its
face value. This explanation was made
in view of the fact that some persons
in the District had been refusing to
accept bank notes on bank in this
city which is in the hands Of receiver.