Evening star., 1939-03-14
Capital Banks Open
Advertising Drive
For Sound Loans
Patrons Informed
Of Ample Funds
For Credit Needs
BY EDWARD C. STONE.

This statement comes from men,
Der banks making up the District
Bankers Association which has
opened a cooperative newspaper
advertising campaign this week to
tell the public that ample funds are
available for solid business purposes.
Good loans are among the best
assets bank can have" says one
of the advertisements. mo matter
what your credit needs may be, you
will find your local banks anxious
to help meet them"
1t is explained that the applica-
tionS for loans must come from
responsible individuals and the
money used in sound business un-
dertakings. While the banks are
anxious to increase their loans as
much as possible, officials must be
reasonably sure the borrowers are
in position to make the return
payments as they become due.
The District Bankers Association
conducted similar campaign re-
Gently in connection with loans for
housing repairs and improvements
which proved highly successful.
President Hilleary G. Hoskinson and
other association officials hope the
present move will be equally helpful
both to the banks and the borrowers.
The associations Advertising Com
mittee prepared the material for the
special drive. The members are
Willard G. Barker, Morris Plan
Bank, chairman: Robert L. Flather,
American Security & Trust Co., vice
chairman: Eliot H. Thomson. Wash
ington Loan & Trust Co.; George
o. Vass, Riggs National Bank, and
E. Percival Wilson, National Saw
ings &, Trust Co.
New Trading Rules Explained.
The notifications in short-selling
rules on the New York Stock Ex-
change are being explained to GUS
toners in the brokerage houses
here, as the new regulations go into
effect next Monday. The Securities
Commission's rules have required
that a short sale can be affected
only at price above the last sale
price. The amendment will permit
short sales at the same price as the
last sale, provided that the last sale
price was higher than the last
different price" which preceded it.
For example. under the original
rules if transactions in security
had been effected at 497s, so and
So a short sale could have been
effected only at SOS, while addition
al short sales could have been eff
fected only at successfully rising
prices, since each short sale was
required to be effected at least Is
above the last price. Under the
amended rules, however, If transac-
tions in the security have been ef-
fected at 497s, so and SO, short
sale may be effected at so and ad-
ditional short sales may also take
place at so.
In declines. however, the effect
of the amended rule would be to
restrict short sales. For example,
if transactions in security have
been effected at so, 497s and 1875,
a short sale could be effected, not
at 497s. but only at so or above.
Banks Swamped With Tax Work.
Washington bank officers, who are
experts on income taxes, are being
Swamped with requests from pa
irons for assistance in making out
their tax returns.
Up to last year the Internal Reve-
nue. Bureau sent special tax ex-
perts to the banks to take charge
of this work. They were located
in the lobbies and handled hundreds
and hundreds of tax cases in the
two or three weeks before the dead
line for filing the returns.
Then the Government experts
were Withdrawn and bank patrons
told to consult them at the Income
Tax Bureau. Many do so. But hun
dreds of other bank depositors keep
their records at the banks, know
officials, who in turn are familiar
with their financial affairs and can
give them the needed advice. So
they call for help" at the banks,
sometimes absorbing an officers en-
tire working day.
Bankers today expressed delight
that tomorrow is the 18th and that
the grand rush will end in the aft
ernoon. Then they can breathe
again.
Recommendations Due Today.
Representatives of II national
stock exchanges, meeting at the
Shoreham Hotel here, were eX-
pected to complete the recommended
tions late this afternoon which they
will present to the Securities EX-
change Commission, strongly urging
certain changes in the commissions
regulations. Chairman John Han
cock said this noon that much prog
ress had been made toward drafting
the suggestions.
Combining registration provisions
of the two securities acts has been
suggested; shortening of the 3O-day
period before listing statement can
become effective has been considered
in the discussions; modification of
the act as it deals with inside"
information has been considered
favorably: and modification of the
act regarding manipulation"
The exchange representative are
elioIlSlS III 1dFol VI SlIIlpllllCdClO ClOIl
of unduly burdensome detailed re-
ports required from corporations and
the simplification of requirements
regarding prospectuses. These are
only few of the topics given con-
sideration.
James NJ Johnston, Harold c.
Patterson and Y. E. Booker repre-
sented the Washington Exchange
again today. President William
McC. Martin of the New York ex-
change has attended all the ses-
sions and shown a brilliant grasp
of the problems which all the ex-
changes are facing.
Heard in Financial District.
The House Banking and Currency