Evening star., 1935-02-08
TRADE LOANS Up
IN FIFTH DISTRICT
Banks Disclose $1,000,oo0
Increase in January Com
merciaI Total.
BY EDWARD C. STONE.

ported by the banks in the fifth Fed
eral Reserve district, which includes
Washington.
Similar increases are reported IN
many other Federal Reserve districts
and the belief now prevails that the
downward trend in bank loans, which
started last October, has been checked
and that the tendency again is def
nitely upward.
In the last few days gains in COM
mercial loans of special Importance
have been announced in the Atlanta,
Boston and Cleveland districts.
Washington bankers said today that
there had been no marked change in
the situation in the Capital for some
time. They say they have been ready
and anxious to loan as much as posi-
ble under the rules of safety and have
had ample funds for all needs. Per-
haps the demand has picked up re-
Gently, several financierS said.
The fact that the Richmond dis
trict as whole has increased bank
loans in the last month by 100000
Is considered here as significant.
Hecht to Attend Banquet.
Rudolph S. Hecht of New Orleans,
president Of the American Bankers
Association and Charles F. Ellery of
Newark, president of the American
Institute of Banking, will be here for
the thirtieth annual banquet of Wash
ington Chapter, American Institute OF
Banking, on February Is.
Today'S announcement that the
chief of the A. B. A. will be an honor
guest means a great deal to those who
have made plans to attend the annual
dinner at the Willard. 1t had been
expected that President Ellery Of the
institute would be special guest.
The Capital Committee has received
acceptances from bankers in New
York. Philadelphia, Richmond. Nor
folk, Baltimore and other cities, ac-
cording to Walton L. SanderSon of the
Hamilton National Bank, president of
Washington Chapter.
Over 500 reservations from bank
officers, directors and employees have
been made up to this time. and it was
stated that every indication points to
an attendance which will exceed that
of any of the last four banquetS.
Credit Union Reports Gains.
The fifth annual statement of the
Washington Postal Employees Credit
Union has just been made public by
Russell l.. Dale, the treasurer. showing
the association has developed re-
sources of S72, "a, which are owned
by more than $40 members, an in
crease of 81 per cent over the preced-
ing year. The report states that since
organization in 1929 loans have been
made in excess of S340,000, with losses
less than las of l per cent. During
the past year dividend of per cent
has been paid on shares held by the
members.
The statement of assets and liabil-
tiles as of January l, 1885. reveals
loans to members of S45,85932, in
vestments general fund.-, $4,000;
investments (reServe fund.-, S2,5697l,
and cash totaling S11,570.31. The
union has $64 4,865.77 in shares out
standing.
During the year over $4,000 was
paid in on loans, $31 ,594.96 paid in
on shares and s5,26305 interest COL
lected, with collections of fines and
entrance fees bringing total receipts
above the S105,0OO mark Total dis
bursements during the year amounted
to S100,80035. Cash on hand at the
end of the year totaled S4,68903 and
the bank balance stood at S6,88l .28,
making a total of SIP, 2,370.66.
The Credit Union was organized
solely for promoting thrift among
employees of the Washington City Post
Office. The officers are J. NJ Grit
fifth, president; L. NJ. Brooks, vice
president; Russell A. Dale, treasurer,
ana M. B. Feimster, clerk,
Pleads'fo Federal Reserve.
The Federal Reserve system, as it
has operated since its organization,
has not been a 100 per cent success,
but on the whole it has done pretty
well. It's greatest weakness, says the
Bankers Magazine, has centered
in the Federal Reserve Board, a
politically appointed body. The sys-
tenn could be greatly strengthened
and improved by altering the COM
position of the board to include repre-
sentatives of the Federal Reserve
banks and by further safeguarding
the selection of appointive members.
Sound amendatory legislation
should be in the direction of less,
rather than more, Government repre-
sentation in the management of the
system.
1t seems strange, however, that the
efforts to inculcate confidence in the
minds of business men and bankers
should include proposals for further
ing the Governments hold on the
Federal Reserve system, the magazine
adds.
Gold Decision Seen Soon.
In the financial district today the
latest guess on the Supreme Courts
gold clause decision was that it may
come out Monday afternoon just after
the New York Stock Exchange closes
at o'clock.
That particular time was mentioned
because the exchange will be closed
Tuesday on account of Lincoln'S
birthday anniversary. The holiday
would give traders and investors a
full day in which to digest the i'm
portant points in the ruling.
After O'Clock in the afternoon the
San Francisco stock market would
still be open, but Monday is consid-
cred as opportune time as could be
selected. On Tuesday the London
market will be open as usual and
there might be some buying or SELL
ing of American securities on that ex-
change. AS there has been no in
timation on the time of the announce
ment, financial gossip can include
only hopes, wishes or gueSses.
Riordan Heads Loan Group.
John M. Riordan, e. vice president
of the Bank of Commerce & Savings
was reelected president of the East
ern Building & Loan Association at
the annual meeting. Other officers
include Clarence F. Donohoe, vice
president; William N. Tayne, jr., Sec
retary; R. Edward Early, treasurer
and Walter H. NARROW, attorney. In
addition to these officers the directors
include Charles A. Carry, William
H. Harrison, j. Chester Pyles and
James J. Hayes. The regular 5 per