[Volume XXV
THE CHICAGO BANKER
12
Capital, $800,000.00 Surplus and Undivided Profits $546,299.00
Assets Over Seven Million Dollars
OLD NATIONAL BANK
Grand Rapids, Mich.
Solicits Bankers׳ Accounts and Collections	Largest Bank In Western Michigan
OFFICERS
WILLARD BARNHART, President HARVEY J. HOLLISTER. Vice-Prest. GEORGE C. PEIRCE, Vice-Prest. CLAY H. HOLLISTER. Cashier H. A. WOODRUFF, Asst. Cashier
year for banks, and that the fees be retained in the contingent fund. The state auditor has held otherwise so that the last proposition, based on the supposition that the department would have use of the fees, was in reality too small. Ten thousand dollars were made unavailable by the auditor’s stand. If the business of a section does not seem to warrant establishment of a bank, the examiner wants the right to withhold a charter. The report suggests a voice for the examiner in the liquidation of banks, and a resulting supervision of the work of the receivers. Other recommendations are to the effect that articles of incorporation should show the shares held by each incorporator: that the vice-president should be a director ; that active officers should furnish bond; that directors should give consent before officers borrow from any bank; periodical publication of unclaimed bank deposits; that trust company directors should give bonds; that financial institutions, subject to supervision and examinations should be required to pay the fees. The latter provision is to define a loose law.
The Elmore Bank
The Elmore Bank, which has been closed for a year on account of the operation of the new Minnesota banking law prohibiting private banking, will be reopened the first of the new year, thus giving Elmore two state banks.
Contributes Article
W. D. Willard, cashier of the First National at Mankato, contributes an article to the current number of the Minnesota Banker in which he elaborates the plan of independent bank examination, and the country clearing house, already exploited in The Chicago Banker. Tie speaks of the fallacy of guaranty of bank deposits and assumes that a bill covering that feature will be introduced in the Minnesota legislature this winter. It is suggested that the city independent plan of examination be carried to the country.
Bank Deposits
St. Paul bank deposits on the last call show a gain of $6,694,669 over the call for December 3, 1907. The Minneapolis banks register a gain of $14,165,222. On the call for November 27th the deposits for St. Paul are $44,141,304, and for Minneapolis they were $76,357,095.
Express Committee Meeting□
Joseph Chapman. Jr., attended a meeting of the express committee of the American Bankers Association in Chicago, Thursday, when F. I. Kent reported that he had closed contracts with continental banks so that the money orders of the A. B. A. will be good at par all over the world. Big improvements in the A. B. A. domestic order systems were reported also. The movement for the bank money order started in Minnesota in a humble way several years ago when Mr. Chapman was the aggressive secretary of the state association.
V*
No Escape for Banker
Denver, December 5.—John E. Godding, the La Junta banker convicted of receiving deposits after he knew his bank, a state institution, was insolvent, and sentenced to the penitentiary for an indefinite term, will have to go to prison. The supreme court denied his application for a supersedeas to-day.
bankers operating string banks from Minneapolis are said to be ready to jump in when the right moment comes. Thomas Shevlin, a leading director of the Security National, seriously considered the organization of a coterie of capitalists to build a bank, but is reported since to have discontinued his consideration of the subject.
One phase of the situation which is likely to amount to something solid is the result of the feeling of leading Scandinavian citizens that it is unfortunate that the Sw/edish-American National has left the members of the Swedish, Norwegian, and Danish business men without a class bank. Several of these men, who included prominent capitalists, had a meeting recently and prepared to open negotiations with the Union State Bank, which is officered by Scandinavians, to nationalize the institution and to raise its capital from $50,000 to $250,000.
Other Wild Rumors
Many wild rumors are afloat as to the future occupancy of the two buildings vacant since the merging with the National Bank of Commerce and the Swedish-American National with the Northwestern. Another baseless newspaper story is to the effect that Nils O. Werner, former head of the Swedish, who has long wished for retirement from active business because of a lack of robust health, will head a bank to be formed bv Scandinavians.
Examiner Schaefer’s Recommendations
One of the recommendations of Public Examiner A. Schaefer in his annual report reveals a defect in the new law prohibiting private banks. Three banks are operating as before on the ground that the state cannot compel them to incorporate so long as they are inspected by the state examiner. Mr. Schaefer would have the law' changed to compel incorporation of banks, either under state or national examination .
The report recommends two examinations a
Chicago Savings Bank and Trust Company
Chicago Savings Bank Bldg., State and Madison Sts., CHICAGO, ILL.
Facilities meeting every requirement of the most discriminating bankers. Dormant accounts solicited on which interest is paid at a liberal rate. Interest is paid by cfeck tfe last day of tfe montf
Lucius Teter, President	E. P. Bailey. Vice-President
Charles H. Re Qua. Vice-Prest. John A. McCormick, V.-Prest. Houston Jones, Cashier	W. M. Richards, Asst. Cashier
Leverett Thompson, Secretary
Consolidation of the Swedish-American National with the Northwestern National has been followed by an atmosphere of expansion which has affected many of the banks of the city, and it has resulted in a large crop of rumors concerning the establishment of new banks. Out of the mass of conjecture and unfounded romance it has been definitely decided that a new state bank will be started in the down town business section, and that at least one bank will engage larger quarters, to be followed later by an increase of at least 100 per cent in capital.
The backers of the new Minneapolis State Bank, located three weeks ago thirty blocks from the financial center in a flourishing outside business district, with other moneyed men, will start a new bank several blocks nearer the wholesale district than any of the established banks, which is to have a capital of from $100,-000 to $200,000. A. W. Harper and Roy Quimby, new' bankers in Minneapolis, and respectively cashier and vice-president of the Minneapolis State Bank, will take similar positions with the new׳ bank, and negotiations have been opened w'ith a leading capitalist of the Northwest to take the presidency of the new institution. The original Minneapolis State Bank on Lake Street has proved itself to be a neighborhood necessity by acquiring $30.000 deposits in less than a month, and it will be continued. The bank has $25,000 capital. A meeting for organization of the new bank will take place shortly. The promoters of the institution looking ahead a decade expect to have a growffh that will indorse their foresight in taking up an entirely new position for a bank in Minneapolis.
The Germania Bank
The Germania Bank, one of the most conservative institutions, has decided to get larger quarters, and at the same time to raise its capital from $50,000 to $100,000, or $150,000. This is one of the several institutions which have their eye on the Scandinavian-American deposit business, which was formerly attached largely to the Swedish-American National. The Germania Bank has a large German clientele, and many Scandinavian customers. With a surplus of $92,000 and a good deposits total the Germania believes itself in a position to justify an increase in capital.
The Minnesota National
The Minnesota National is reported to be considering an increase in capital from $200,000 and with a desire to get more room, as its deposits have reached the $1,000,000 mark. The officers say the subject is too indefinite for consideration. The Hennepin County Savings is charged also with the purpose of doubling its $100,000 capital.
C. D. Griffith of Sleepy Eye, well known among country bankers, formerly president of the state association, has long considered the organization of a bankers’ state bank at Minneapolis, and in the unusual situation to-day has revived the scheme. Another set of country