Evening star., 1933-06-18
MERCHANTS ASKED
TO ACQUIRE STOCK
in HAMILTON BANK
Will Get Most Benefits From
Release of S10,O0O,000,
Letter Says.
EIGHTH INSTITUTION
MAY JOIN IN MERGER
Negotiations With Seventh Street
Savings Under Way, but Final
Decision Is Withheld.

To stimulate business, the merchants
of Washington have been asked to sub
scribe to stock in the new Hamilton
National Bank SO that the total capital
structure soon may be raised and more
than 100000 900 made available to de-
positors in this city.
The Organization Committee of the
Hamilton National has sent a letter to
merchants outlining the advantages to
them in the opering of the new merger,
and the benefits which would accrue
Since March T. more than S25 900 900
has been idle in the several banks here
which did not reopen for business after
the bank holiday" said the letter mo
one has had advantage from this money.
Depositors could not get it. The banks
could not use it. Interest on that sum
at per cent exceeds $375,000 to this
date. More than 5000 depositors have
been unable to utilize their deposits to
pay debts or to purchase merchandise.
There has been no turnover Mer-
chants can best estimate the loss from
that source.
Merchants Greatest Losers.
"As a class, the merchants of Wash
ington have been, and are, the greatest
losers from this condition AS a class,
they will benefit more than any other
from the release Of the money now
unavailable. They have sustained and
will continue to sustain, loss from the
inability Of their customers to make
purchases and to pay bills.
The opening of the Hamilton Ma
tlonal Bank will make available more
than $4,000 900 in one day. That bank
will open shortly after its capital stock
has been fully subscribed Until then,
that amount will remain idle Mer-
chants reaize that putting more than
S1o,OOO,000 in the channels of trade
in Washington will be a great stimulus
to business of this city, particularly at
this time, when there Is a gradual
trend toward the restoration of conf
dence in the financial situation.
ut Is, therefore, greatly to the In
terests Of the merchants Of Washing
ton to expedite the opening Of the Ham
ilton National Bank. That can be ac-
comphshed by subscribing for its capi-
tai stock Because of your financial
and public interest in the matter, you
are requested to make such subscrip-
ton.
Were q convention Of $4,000 people
who had available more than S10,000,-
600 to be brought to Washington, the
merchants would doubtless find it to
their advantage to subscribe largely
therefor. You are requested to invest
in-not merely to subscribe for-stock
for the benefit Of your own people, not
merely for visitors to your city.
subscribers Announced.
Enclosed are a subscription blank
and q prospectus of the new bank.
You are asked to subscribe for as many
shares as you feel justified, and return
your subscription with check in the
inclosed envelope Immediate response
hereto will result in early obtaining OF
the charter and the opening OF the
bank. Your check will not be issued
until and unless the full amount OF
capital stock has been subscribed"
A list of business firms which already
have subscribed was made public yes
terday by the Organization Committee
as follows:
The Hecht Co., Julius Garfinckel &
Co., Frank R. Jelleff, Inc; Lansburgh
& Bro, The Evening Star Newspaper
Co., Sanitary Grocery Co.. S. Kann
Sons Co., Philipsborn's, John H. Will
kins Co., w. B. Moses & Sons, Peoples
Drug Stores, Kings Palace, Bethel &
Co., Palace Laundry, Mazo-Lerch Co.,
Inc; Chesapeake & Potomac Telephone
Co., McCambridge & McCambridge, Po-
tomac Electric Appliance Co., M. Pas
ternak, L. A. Clark & Co, Adolph Kahn
& Co., E. F. Droop & Co., Erlenbachers,
National Electric Supply Co., w. T.
Galliher & Bro, General Outdoor Ad-
vertising Co., Byron S. Adams, Trew
Motor Co., George E. Walker Co., Wash
ington Railway & Electric Co., M. j.
Ward & Co. and r. L. Taylor Motor Co.
Meantime, with seven banks already
in the Hamilton merger, there are pros
poets that the eighth may join. Nego-
tiations are under way between the
Seventh Street Savings Bank and the
Hamilton National. A meeting on the
matter was understood to have been
held at the Seventh street bank yester-
day afternoon, but no final decision was
reached. It was understood, however,
that progress was made in the negoti-
ations.
Other Propositions Weighed.
The Seventh street institution is un-
derstood to have had some other propo-
sitions under consideration, including
sale to another bank, or merger with
the Franklin National, in an effort to
set up secondary merger here. 1t ap-
peared more likely last night that the
Seventh Street Savings Bank may be-
come the eighth member Of the Hamil-
ton merger.
The Seventh street bank has deposits
Of $1,166, 900 from about 5000 deposit
tors. It probably would be expected to
raise from $4,000 to $4,000 capital
stock in the new merger.
II it should join the Hamilton would
have total resources Of over $4,000, 900,
with deposits Of about $11 ZOO, ,000 The
capital structure which is being raised
by sale of stock at $25 share, $40 par
value, is $1,250, 900, and would not have
to be increased by addition of the Sew
enth Street Savings Rank