Evening star., 1939-03-18
Mortgage Insurance
Extension Favored
ByA. B. A. Leaders
Finonciers Opposed
To Limiting Housing
Authority at Present
BY EDWARD C. STONE.

Extension OF the present powers
Of the Federal Housing Administra-
ton and an increase in the maxi
mum authorized amount of F. H. A.
mortgage insurance have both been
Endorsed by the American Bankers
Association.
Chairman A. L. M. Virgins of
the associations Committee on
Federal Legislation has sent a let
ter to Chairman Steagall of the
House Committee on Banking and
Currency indorsing the provisions
Of the bill now before Congress.
"The American Bankers Associa-
ton, through its Committee on Fed
eral Legislation, desires to 60 on
record on behalf of the membership
and recommends to Congress that it
authorize the continuation of the
present power of the Federal Hous-
Ing administrator to insure mort
cages on existing construction" Mr..
Virgins letter declared.
''The association believes that un-
der existing conditions of home
mortgage financing it would be
against the public interest to per-
init the termination at this time of
any of the present powers of the
administrator and that, with re-
spect to the insurance of mortgages
on existing construction, this power
should be extended for a further
limited period" the letter continued.
ut is further believed that the
aggregate amount of mortgage in
surance authorized by Congress
should be increased to an amount
which will adequately meet the
needs of home financing" Mr.. Wig
gins asserted.
The views of the A. B. A. are very
different from those of the United
States Building and Loan League
as expressed the other day by Nor
ton Bodfish, executive manager of
the organization, who believes that
private institutions are we'll fitted
to take care of the countrys mort
gage business.
Better Demand for Loans.
Officials of several Washington
banks said today that they have
already noticed better demand for
loans, following the launching by
the District Bankers Association of
campaign to acquaint the public
with the fact that the banks have
ample funds which they are anxious
to loan under favorable conditions.
The cooperative campaign is
being conducted through newspaper
advertising in the Washington pa
pers. The first advertisement ap-
peared last Monday. Since then
several banks have had more appli-
cations for loans than they had been
having. Officials ascribe the i'm
proved demand for money to the
advertising.
While the increase in inquiries
has been noticeable, there are no
figures available. Bankers said to-
day it would probably be another
week before any results on a broad
scale will be evident.
Institute Opens Office.
Maj. Walter R. Macatee, district
engineer for the Asphalt Institute,
has been placed in charge of a
washington Office which has Just
been opened in the Transportation
Building. Maj. Macatee comes here
from Cincinnati where he conducted
the work of the institute in several
MidWestern States. He was for
merly active in low-cost 1oad devel-
opment in the Southeastern section
of the country. His new position
really brings him back home, as he
Is native of Virginia and lived for
years in Washington.
Frederick A. Palmer, for many
years in sales management work
in the automobile business in Wash
ington, has entered the insurance
field, having Joined the home Office
agency of the Acacia Mutual Life In
surance Co. He has been prominent
IN business affairs in the Capital
for long time.
Exchange Ratifies Report.
The Board of Governors of the
Washington Stock Exchange formal
1y ratified the report submitted to
the Securities and Exchange Com
mission on behalf of 16 national
securities exchanges and affirmed
Its belief in the desirability of the
suggested amendments. The three
representatives, however, had al
ready been given full authority to
sign the document.
The Board of Governors of the
Chicago Exchange expressed as
tonishment at the reception given
the report by the Securities Commits
sion. The board noted that the re-
port was the result of months of
careful deliberation and debate, was
submitted in all sincerity and con-
tained suggestions believed to be
helpful to recovery and would go
far in reviving the capital markets.
The board expressed the hope that
the recommendations would yet be
''given further consideration on their
merits"
Heard in Financial District.
The Chesapeake & Ohio Ry
earned "a cents share on the COM
mon stock in the first two months
of this year, against "a cents share
on the common stock in the like
period in 1898.
Retail sales of chain drugstores
In 1888 in the South Atlantic States
were practically the same as last
year, the Commerce Department an
nounces Sales for the whole Nation
were down about per cent, the
report adds.
Walter S. Clifford, president of
American Telephone & Telegraph
Co., was paid a salary of $209, $50 in
1888, according to proxy notice
issued to stockholders in connection
with the annual meeting scheduled
for April f9. The statement also
said that Mr.. Clifford held Isl;
shares of the companys capita
stock.
Proxy solicitation statement o!
Montromery Ward & Co. shows tha'