Evening star., 1937-12-14
TRADE BOARD TOLD
REHABILITATION Of
BANKS COMPLETED
Controller 0'Cornor SAYS
D. c. Depositors to Get
94 Per Cent.
BUILDING OF STRONG
CREDIT SYSTEM CITED
Business Group Advised by Health
Committee to Press Program
to Cut Death Rate.

The tremendous task of reorganiz-
ing and revitalizing the banking
structure of the Nation-a job the
Government tackled Immediately
after tn banking crisis of 1933-hac
been completed, j. F. T. O'Connor.
controller of the currency, declared
last night in an address before the
Board of Trade at its monthly meet
ing at the Willard Hotel.
Speaking before a distinguished au-
dience that included the president
and other officials of numerous Wash
ington banking institutions and build
ing and loan associations, as we'll a
Senators, Representatives and othe
Federal Government officials, Nj
O'Connor assured the board that tn
banks of the Capital are in a pros
porous condition today.
We've come long way since 1898,
he said. Its difficult to say tha
one industry or one business is tn
most important one in the countr,
But without banks, there would
no credit: without credit, there woul
be no business; without business
there would be no employment, an
without employment, there would b
want, hunger, fear and disaster"
Bank Debts SlasEed.
Referring to the millions of dollar
which the Federal Government loane,
to State and national banks afte
the banking holiday, Mr.. O'Connor de
clared that today, less than 100000
Is still owed the Government.
THE Government will not lose :
cent on the loans" he asserted H
pointed out that of the $4,000 900. 90
in the banks that could not be re
opened following the crisis in 1873:
81 per cent has been made availabl
to depositors.
He listed the insuring OF deposit
as one of the most important ster
taken. Under the old system, witho,
such insurance, bank failure NEAR
that the business of a whole comm
nifty would be strangled and paralyzet
he said.
The Federal Deposit Insuranc
Corp. is in such a condition toda
that it could return to banks all ths
they have paid, with interest, NJ
O'Connor declared
Citing figures comparing the cond
tion of Washington banks in 1873
and 1887, Mr.. O'Connor showed thf
deposits, as of June 80 last, were
per cent greater than on June 3
1888. Loans and investments ais
showed great increases over those
1888, he said.
Liquidations Freeing Funds.
There are now 16 banks in receiver
ship in Washington. With rs pe
cent Of the deposits already repait
depositors ultimately will receive
return in excess of "a per cent. M
O'Connor declared Liquidation
the closed institutions is proceedin
as rapidly as possible, he pointed ou
Prior to Mr.. O'Connor's talk, tn
board heard report by DR.. Arthr
c. Christie, chairman Of the board
Public Health Committee, in whic
it was charged Washington has bee
VIGOROUSLY low" in the health rosie
OF American cities, largely because
a lack of sufficient funds to financ
an adequate and continuous publ
health program.
The committee has gathered figure
showing that Washington's geners
| mortality rate-l6.7-is the highes
of IA cities having more than 10000
population; its infant mortality rate
IS, is tied with the highest: il
tuberculosis rate 12l, the highest
this group, and fourth highest in :
total Of As large cities; venereal dis
eases, 1927, higher than in any Stat
except Louisiana. and diphtheria, a..
highest of II cities studied in tn
size group.
Program Recommended.
To reduce these rates materially
the committee said, the District mus
undertake a preventive campaig'
which would include: Cd More fielC
work to detect cases of communicate
diseases; CD more technically trained
engineers added to the sanitary in
spection force; 90 greater Use O
vital statistics to localize or deter
mine the census tracts with the high
est disease and death rates, and a
reduce maternity deaths by bein'
able to give more attention to pre-
natal care.
DR.. Christie said only very mod
crate improvement in the healtl,
status of Washington can be hopet
for unless considerably larger appro
Wiations are made available.
The board also heard an address
by Constantine Brown, writer on for
eign affairs for The Star, who dis
cussed the Far Eastern conflict. He
said that in view Of the bombing OF
the American gunboat Panay, the
whole matter of Japan's policy in
relation to the United States in the
Far East may be decided within the
next 10 or Is days.
Robert j. Cottrell, executive secre-
tary of the board, urged members to
lend their support to the charity foot
ball game to be held in Brookland
Stadium Sunday to aid the free school
lunch fund. Edward F. Colladay,
board president, presided and intro
duced the speakers.
The entertainment program in
cluded selections by Eddie Peabody,
the banjoist, and the Evening Star
Quartet.