Evening star., 1943-03-04
Banks Handle Risinq
Volume Of Ration
Coupons Easily
Expect Still Sharper
Increases us OPA
Extends Controls
By EDWARD c. STONE.

''~' SS~~S w.
Extends Controls
BY EDWARD c. STONE.
Capital financiers today reported
a considerable increase so far this
month in ration banking activity.
the volume of business having
started to expand quite substantially
in the last week in February. Bank
officials expect much sharper in
crease when they begin handling
accounts dealing with the rationing
of shoes. meat, butter and a host of
other articles recently placed on the
list by the Office of Price Admins
tration.
Reviewing the first month of ration
coupon banking. bank officials said
the new system had operated
smoothly, the number Of accounts
had added no real burden to the
banks, an dthat only few kinks had
developed in the routine handling
of the coffee, sugar and gasoline
program. The only complaints have
come from small country banks
where wholesalers bore down hard
on small retailers, who in turn put
tremendous counting load" on
many of the bank staffs.
District banks have been notified
| by the American Bankers Associa-
| ton that industrial and institutional
concerns purchasing from more than
one supplier must have ration bank
accounts. This is optional with those
purchasing from only one supplier.
Boarding houses and others which
are required to use the coupons of
their customers will not have ration
bank accounts, the ABA bulletin
says.
The bulletin adds that chain stores
may not have their local banks draw
ration checks or otherwise make
transfers form their ration accounts
to central depository bank. Such
transfers must be effected by ration
checks issued by the depositor him.
self.
Another ruling sent the District
banks says the Federal Reserve
System, not correspondent bank,
should be used for handing out-of-
town ration checks drawn on other
banks.
Margin Trading Very Light.
Capital brokers said today that
there is surprisingly small amount
of margin trading in connection with
the present very heavy volume on
the New York Stock Exchange.
There has never been situation
like it in recent years, brokers say.
High margins are given as one
reason for the light borrowing, but
the chief reason seems to be that
both investors and traders have
plenty of money with which to buy
stocks outright. Many stocks are
being bought for cash and placed in
safe deposit boxes.
The extra heavy trading in penny
shares has to be for cash, as mar
gins are not allowed on stocks selling
under $5 share. But even among
the gilt-edged issues little is heard
about margin buying.
Brokers are swamped with busi-
ness, many working until II and IL
o'clock at night. Near two-million
share days have put severe strain
on all stock exchange Offices. but
not word of complaint is heard
after last years dullness.
McLachlen Opens New Office.
L. P. McLachlen, president of the
McLachlen Banking Corp, an
nounced today that at the request
of the War Department, the United
States Treasury Department had
designated the McLachlen Bank
as depository and financial agent
OF the United States Government
and that the bank had agreed ia
establish limited banking facilities
in Temporary B Building, at Second
and @ streets SW.
The War Department employees In
Temporary Buildings A, B and @
will be given the same service as
is now being provided for the en-
ployes in the Pentagon Building by
Richmond bank. namely, paying
and receiving facilities and limited
banking service.
The temporary buildings are oc-
cupled largely by the Quartermaster
Corps.
Payne Makes Annual Report.
William N. Payne, jr., president
of the National Capital Insurance
Co. OF the District of Columbia, re-
ported today that total income in
1912 amounted TO S163, ,61186. Total
disbursements amounted to $780,
23448.
Assets at the end of the year stood
at $665, ,965.08, including mortgage
loans on real estate amounting to
1899 SOB; bonds and stocks totaling
S57,988 and deposits in banks total
ing s52,343.
Inc company has paid-up capital
OF $2OO, 900 and a surplus over all
liabilities Of s20l, ,212, Mr.. Paine re-
ported. Net premiums written dur
ing the year tota.ed sol 1897, of which
S19,494 was in the District of
Columbia.
. Lincoln Service Loans Up.
Charles Delmar, president of thu
Lincoln Service Corp, industrial
banking firm, reported today that
the volume of loans in January
showed an increase of 9.3 per cent
over January, 1912, and in February
loans registered sharp increase OF
2o7 per cent, as compared with
Feoruary year ago. The first
quarter will far exceed any other
similar period since the company
was organized.
Insurance Gains Reported.
"A. "A. Slater, manager of the Dis
trlct office of the Washington Ma
tional Insurance Co. of Chicago. re-
ported today that the companv.s
assets passed the $5O,0O0,00 mark
IN 1912; life insurance in force in
creased by more than $4,000 900.
and premium income reached a new
high. Surplus increased by s697 oa9.
The company set up a fund of
s50O,o00 to meet any abnormal losses
due to the war, Mr.. Slater said.
Tribute Paid ]. F. Campbell.