Evening star., 1937-08-14
BANKERS SEE AID
|NPROPOSEDLAW
BIN in Congress Would Give
More Protection to D. G.
Institutions.
BY EDWARD c. STONE.

BY EDWARD c. STONE.
Washington bankers see many ad-
vantages to accrue through tighten
ing of the Districts banking laws as
urged in the bill introduced in Con-
gress a few days ago which was pre-
pared by the Law and Legislation
Committee of the District Bankers
Association, of which Francis G. Addi-
son. jr., president of the Security
Savings g. Commercial Bank, is chair
man. While no action on the bill Is
expected at this session, residents of
the Capital will have ample time to
study it before it comes up in Con-
eress.
Among other things, the bill would
make stop payments" on checks good
for only six months unless renewed.
Renewals could be made indefinitely.
The bill would make checks good for
one year only. Such law, known as
the stale check law is now in effect
In l8 States.
The proposed new law will be of
great benefit to the bookkeeping or
record departments of all banks. Ger
tain records would be wiped out which
now have to be kept open indefinitely
The new bill would also allow banks
to pay at their discretion money held
in trust to benefciaries in the absence
OF other directions as to legal dis
position.
Other sections of the bill would re-
move bank from all but actual
damage in event of suit from re-
fuSal to cash a customers check and
In other ways would give Washington
banks better protection than they have
yet enjoyed.
The bill was drawn after careful
study of the banking laws in most of
the States. Both Chairman Addison
and Thomas M Groom, president of
the District Bankers Association are
enthusiastic over the proposed meas
IRE and the expected results, If as
and when it is passed.
Transfer Firm 25 Years Old.
Smiths Transfer & Storage Co is
sendlng a pamphlet to patrons noting
the firms tWenty-fifth anniversary.
The booklet gives most interesting
description of the companys steady
growth during the quarter century.
The company started with capital
of only $500 and has grown to be one
OF the largest firms of the kind in the
city. President Arthur Clarendon
Smith announced today in his semi
annual statement that the transfer
company had the best financial half
year since it was founded.
Coin Shipments Expensive
The Federal Reserve Bank of Rich
mond states that for many years the
bank has been absorbing the cost of
shipments of currency and coins TO
and from member banks. Last year
this item alone cost the bank Sl33,-
lo64O
A check-up shows that in many
cities in the fifth district certain
banks ship fit currency" to Rich
mond on the same days that other
ba nks in the same communities are
asking for currency. To reduce these
unnecessary expenses, the bank is now
seeking cooperation from the banks,
so that an institution having too much
currency may supply another insti-
'dlIoil III VIC Sdlllc tiIy IIIdj may IetI
currency.
Financial District Notes.
Secretary Donald w. Larson of the
District Bankers Association has re-
turned from tWo-Week vacation,
passed at his old home in Minnesota.
A. H. McLachlen, secretary of the
McLachlen Banking Corp, is passing
his vacation at Bay Ridge, and will
return in September. President L. P
McLachlen has been lured back to
Bethany, Del. for another fishing
trip.
Nelson B. ONeal. assistant vice
president of Riggs National, is back
from his vacation, spent on the New
Jersey shore and at Martinsburg, Va. !
Mr.. M. H. Buckingham, cashier
OF the City Bank is on three week !
vacation in Connecticut T. Edwin |
Norris, manager of the City Banks |
Connecticut avenue branch, is on Va
cation, as is William B. Mehler, an
other assistant cashier, who is at Re- |
hoboth Beach.
Albert S. Galley, vice president of |
the Lincoln National Bank, has re- |
turned from two weeks vacation at |
Ocean City, N. j.
c. H. Pope, vice president of the |
MunSey Trust Co, will return from !
his Summer home at Goshen, N. Y, |
next week