Evening star., 1933-05-17
NORTHEAST SAVINGS
JOINS IN MERGER;
CAPITAL INCREASED
CONTINUED From First Page.)

Vontnueo from f1rSC rage
the meeting, where the Northeast Bank
ofdeially joined the consolidation.
It was confidently expected that with
in q short time the Woodbridge Lang
don Savings and Commercial Bank. Of
which E. L. Norris is vice president and
conservator also would join the merger.
With the Northeast Savings and the
Woodbridge Banks added to the previous
four, this would build up . six-bank
consolidation, with possibility Of still
others coming in later.
Among the others which, 1t is under
stood, may come in are the Seventh
Street Savings Bank and possibly the
United States Savings Bank. The presi-
dent Of the latter, however. Col Wade
H. Cooper. Is opposed to the institu-
ton joining the consolidation.
Chevy Chase Mentioned.
The Chevy Chase Savings Bank
continued to be mentioned today IS .
possible member of the new national
pank, although final decision was un.
derstood to be somewhat in the future.
The meeting at the Willard was at
tended by members Of the board OF nx
OF the banks, including the Woodbridge
Langdon.
President Graham presided as chair.
man over the luncheon session and
spoke generally Of the opportunities
provided by the merger. He expressed
his confidence In its future and urged
those present to support 1t strongly
not only for the benefit Of the deposi-
tors but for the good of themselves and
the community.
comprehensive statement on the
new banks position was presented to
the directors by w. Irving Shunan OF
the Treasury Department, who has rep
resented the department more extern
sively than any other one person In
working out the merger.
Praises Cooperation.
Mr.. shuman declared the progress
made 80 far could be attributed to the
splendid cooperation" of the different
banks concerned.
"T1ae practical results" he said, "hAve
come because of full realization Of the
principle Of mutuality Of interests ex-
isting between the stockholders, depos-
itors and the Treasury Department.
IF ever there was a time when ex-
ecutives and stockholders or even the
depositors of banks felt there was
division between the interests Of the
Treasury and stockholding interests,
that passed at the time of the bank
holiday. So far As the Treasury De-
partment is concerned, 1t never existed.
1.-The happy results have been ac-
complished because men in these insti-
tutions have put the depositors' inter-
ests first. quite without regard to the
stockholders position.
Cites Joint Interest.
THE new bank Is going to succeed
because of the absolute community OF
interest that is present in this meeting
today, where the interests OF approxi-
mately $4,000 depositors are being con-
sidered by stcckholders-depositors' In
terests.
"Depositors, stockholders and the
Treasury are now q unit In attempting
to release the maximum amount OF de-
positors' money at the earliest possible
date.
This augurs we'll for the future Of
banking in Washington, that out Of
this bank holiday, which seemed ut the
moment almost q catastrophe, has
arisen this community of interest. It
augurs well for the future also because
not only the unlicensed. but also the
licensed banks, now realize that the
answer to the whole financial situation
is sound banks"
Among the other speakers at the
meeting today were the chairmen Of the
banks concerned.
Statement Prepared.
The problem Of preparing joint
statement which Is to 60 to depo6itorS
and stockholders Of all banks parttct.
pating In the merger has occupied
members of the Organization Commit
tee and the Committee Of Subscriptions
especially. form was understood to
have been drawn up and substantially
approved today.
In addition to formal approval by the
Washington Clearing House Association,
the new bank received commentator
from the president Of the District Bank
ers' Association, G, H. Pope. who Is vice
president Of the Munsey Trust Co.
The time when the new bank will be
ready to function was expected to be
announced later In the meeting by Mr..
Graham. While he had carefully re-
Trained from any public predictions, It
had been rumored that the new bank
hopes 10 get under way between June
l and June Is.
In addition to the vice presidents Of
the new consolidation representing the
three banks, made public today, two Of
the other vice presidents or members Of
the executive stah announced Saturday
night when the merger was formally
announced. are John Poole, president
and conservator Of the Federal-Amer
can National Bank q Trust Co., and
Joshua Evans. jr,, president and con-
servator of the District National Bank.
Resolution adopted by the Clearing