Evening star., 1936-06-18


loans should not be made with de-
posts payable on demand" After this
assertion, according to Associated
Press dispatches, he outlined these
steps, which he believes the Govern
ment should make.
Balance the budget, discontinue
further governmental borrowing, con-
troll taxation, and return the profit
motive to business-then, and only
then, will private investors supply the
capital and the capital loans required
for business which only governmental
agencies are now prepared to supply"
Tracing the steps by which the ac-
cumulation of gold in the United
States increased tremendously in the
last 40 years, Mr.. Blinn said that gold
holdings have furnished such large
credit base that an investment in
long-term high-grade marketable Sc
curities is the principal type of in
vestment of bank funds for revenue
The only possibilities for diminution
of the present large gold supply in the
United States are not of serious ma
ture at this time and are not immi-
nent, he added.
Real Estate Loans Discussed.
Referring to the experience of many
banks with real estate loans in the
period preceding 1888, he said that
gers inherent in real estate loans and
shun this investment as far as possible.
Deposits payable on demand or at
nearby maturity are not the type of
funds to be used for this purpose
Mortgage loan companies and other
investment companies employing their
own capital and not deposits are the
sources from which real estate loans
should be obtained"
His subject was "the practical prob
lem of unemployed funds which he
discussed following an address on
Business Relations Between Banks
and Surety Companies" by Charles H.
McComas. manager of the Fidelity &
Deposit Co. of Maryland, Baltimore.
The convention was called to order
by J. Sinclair Brown, association
president, many bankers from Wash
ington and nearby Virginia territory
being present. Much of the remaining
three-day program is to be devoted to
public relations Many important
committee reports were presented to-
day
O'Connor Added to Program.
11ie onYattol proci6of1t
Brown said that with its banking
structure in a strong and sound con-
dition, the country is in position to
go forward" He stressed the belief
that confidence in business conditions
must be further increased, adding
that banking is the same today that
it always has been; that is. it pro-
vides medium for the transaction of
business; in fact it is its life blood"
1t was announced that Controller
of the Currency j. F. T. O'Connor
will make the chief address Saturday
in place of Jesse H Jones, head of
the r. F. c. The bankers were in
formed that forgerS and other types
Of swindlers are on the increase.
Merrel P Galloway, New York
banker who is president of the trust
division Of the American Bankers
Association, urged Virginia bankers to
improve their trust departments by
giving them good personnel, adequate
compensation and the full co-opera-
ton of other departments. He said
many trust services are being rendered
at loss to the banks
Spaid Names Special Probers
w. w. Spaid of Washington, pres
ident of the Associated Stock Ex-
changes, has appointed a special COM
nittee, with Charles Gates williams
of st. Louis as chairman, for the
purpose Of studying and reporting on
problems affecting stock exchanges
and arising out of Government regu-
lations
The other members of the COM
mittee are T. R. Benson of Chicago,
Howard Butcher. jr., of Philadelphia;
Charles r. Gay of New York, McClarty
Harbinson of Los Angeles, Gordon S.
Macklin of Cleveland and R. S. Rich
ards of Pittsburgh.
The appointment of this committee
was authorized at the Cleveland con-
vention of the Associated Stock Ex-
changes.
Baker Tile Officers Elected.
AT the annual meeting of the stock
holders Of the Baker Cork &, Tile Co.,
100 I street. the directors elected were
Charles S. Baker. Albert C. Blunt, jr.:
H. B. Davis. Greed w. Fulton. Eric G.
Jansson, William r. McComb and
e. Peerce Smith.
Directors elected Greed w. Fulton
president; William r. McComb, vice
president: Eric G. Jansson. treasurer.
and H. B. Davis, secretary. Mr.. Nc
Comb, newly elected vice president, Is
graduate engineer of Harvard Uni
versity and has had wide experience in
the building and construction industry.
During the life of the N. R. A. he served
as adviser on construction and mining
codes.
President Fulton announced that T.
Earl Simmons had been made manager
of the flooring division of the company.
He has had extensive experience in this
line both in Baltimore and Washing
ton. In his annual report the presi-
dent stated that the company has ex-
panded its lines of business during the
last two years. Business has been ex-
cellent during the past year, he told the
stockholders.
Exchange Trading Is Heavy.
Prices were strong and trading extra
heavy on the Washington Stock Ex-
change today. The market opened with
three $1,000 sales in Washington Gas
IS, 1858, at 1862. Capital Traction SIS
opened at 90A and closed at 90h on
sales totaling $6,500
Bank stock demand continued.
American Security selling at 258 and
Riggs National Bank common at 270.
Lanston Monotype was strong, selling
at 83, as was Mergenthaler, which
reached Is on two 10-share sales. A
single share of Washington Gas stock
Royed at 80.