National City Bank (New York, NY)

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Bank Canard Denial Made small newspaper of Nationalist tendencies. issued denial today of statement printed yesterday sav. ing the National City Bank of New York had suspended payments The paper extended its "most sincere apologies the National City and our readers. The statement printed yes terday. coincidentally extracts from article by Sir Walter Layton. British economist on the situation and prospects of the dollar in which he foreshadowed its fall. Prompt derial the statement was made in financial circles yes terday The dollar has been weak for days closing vesterday with unofficial quetations low 25.32. It opened today at

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because think he knows the ney stop about the bulls, want everything about these sales this whether liquidation short sales or wash or records which Mr. Whitney directed him Washington the going first into the story that brought this week's decline in stock in recent history. Whitney him "necesto following: list all in whose there at the close number of shares of there short interest stock exchange members through whom such stock traded. names clients for whom stock shares for each client in cess 200 shares. persons from whom stock the so bornumbers shares." On the senate Harriarguing against Reed resolution order tariff commission inquiry the effect depreciated upon that might interpreted move the States gold standard. Harrison expressed confidence in American and joined Fess Ohio, Republicans, going off the gold The also expressed similar confidence process recent deflation security prices brought the could legislafederal reserve credit facilities.

PARIS. April small today National City bank New York the readers statement printed its yesterday to the suspended made the British Sir article which Sir Walter Walter fall dollar was likely. said the the National City bank had suspended today There the dollar, which the bourse, opened firm point under yesterday's close.

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Here In Mason City

Old time Fiddlers contest and Gance Thurs. nite, Manly The 7Z2 class of Central school and the teacher. Miss Mary Gould, visited the Globe-Gazette Monday afternoon and saw the various processes of printing Bring in your can for kerosene. gallon. Log Cabin Oil Co. The first of series of six Lenten devotional services in which number of churches are uniting will be held at the First Baptist church at 7:30 o'clock Wednesday evening The Rev. G. H. Kohler of the Zion M. E. church, will give the sermon.

Home baked chicken pie or channel codfish Wed., 35c. Killmers. Joe Sheka, superintendent of mails, and M. L. Lewis, carrier, were both unable to be at their work at the postoffice Tuesday because of illness. Men's suits cleaned and pressed 25c. Dresses 40c up. Cash and Carry. Marshall & Swift, Cleaners and Furriers. The offices of Selby Russell. federal bank receiver have been moved from room 300 to rooms 301 303 and 305 of the new federal building.

Clarence Craven and his band at March 2. Gents 40c. Ladies 10c. The St. James Lutheran brotherhood will hold meeting at the church Wednesday evening at o'clock, with D. Gausten in charge of the serving. Fur Jacquettes $25 up. Capes $12.50 Marshall and Swift, Cleaners and Furriers. Volture No. 66 of the Forty and Eight of the Legion will hold special meeting Wednesday evening at o'clock in Sidney Halford's garage at Ventura, according to an by the ofcisers. The members of the organization are to be guests of the Ventura group. Senator William McArthur went to Des Moines Tuesday to attend the annual meeting of the American Farmers Mutual Life Insurance company Wednesday Mr. McArthur is president of both companies.

The Trinity Lutheran church is beginning series of midweek Lenten Wednesday evening from 7:30 to 8:15 o'clock. The Rev. O. L. N. Wigdahl will speak on "Isaac: A Type of Christ. John Pauley, son of Mr. and Mrs. R. E. Pauley, 83 River Heights who was injured in an automobile accident last week. will be able to return to school Wednesday Mason City interest attaches to the selection of James H. Perkins, president of the City Bank Farmers Trust company of New York as chairman of the City National bank of New York. to succeed Charles E. Mitchell who resigned as senate committee continued its investigation of the affairs of the City National. Miss Anna Shepard sister of Hugh H. Shepard of Mason City, has been Mr. Perkins private secretary for more than dozen years.

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Big Banks Violate the Law

O. E. Mitchell resigned as president of the National City Bank, New York, second largest in the world this week, when some of his admissions before senatorial committee tended to show tendency to violate the banking law, if it did not directly violate it. Ex Vice-President Daues has admitted a "technical" violation of the banking laws also. He is the man who was recently loaned money when there was a run on his bank which would probably have otherwise have closed it was averted. Big bnsiness that defies law is an outlaw as much as any other outlaw, and deserves greater punishment because of the greater responsibility involved. wonder so many smaller banks went blooey in recent years, with such shining examples of mgn finance before them.

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NEW YORK BANKS HAVE HOLIDAY ALARM

NEW YORK. Mar. the aid of bank holiday described likely to be national in leaders this giant metropolis, heart of the nation's money system, faced the future coolly today. and expected quick toward financial normaley. HALTS GOLD MOVEMENT high banking authority. soon after holiday had been proclaimed by Gov. Herbert Lehman. shortly after that while the holiday not technically national in its effect in general likely to be such. One important effect. the same authority pointed would be the stopping of gold withdrawals both local and to other countries, since the federal reserve bank in New York closed. hundred million dollars in gold had left the bank in cent days scheduled foreign count. and unestimated amount had been withdrawn by citizens. Federal reserve banks in other fected districts. the same authority pointed out, would also and exchanges in other cities might expected cease business with the New York stock exchange. POSITION IS STRONG While there came no official statement explaining the closing of the federal reserve which part the state system. the thority said would close because there would be no banks for it to do business with. The position of the large Wall Street banking described as unassailable by leading bankers, who sided with Governor Lehman in attributing the necessity for holiday the sweep hysteria the burden caused the banking situation in other tions.

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NATIONAL SCOPE

Financial Leaders Declare They Expect a Quick Return to Normalcy.

By NEW YORK, March the aid holiday, described likely to be national leaders this metropolis, heart of the Nation's system, faced the ture and expected A high banking after holiday had by Herbert H. shortly said that while the holiday was not its effect in general was likely to be important effect, the same authority pointed would the stopping gold withdrawals, local and other countries, FedReserve Bank New York was to closed. hundred million dollars left the bank recent days scheduled for foreign account, had withby citizens. Federal Reserve banks in other affected districts, same high authority pointed out, would also close, and changes other cities might be exwith the New Stock

Lehman Comments Little.

While there no official stateFedState the close there banks for with comment making two-day bring normal he said: He said not had personal contact known that New York with the Capital. conference preceded the in one meetings the Clearing the Nation's foreattended- collection the in the banking life of the coun-

Bankers Are Silent.

Lamont, partner meeting nothing say. Similarly George governor biggest the the greatest the Winthrop of the Chase National largest bank James Perkins, chairman Federal Reserve said no but that Lehwould. The and Monday as bank holidays, followed. Lehman the necessity the holiday burden upon banks the The the vice the FedReserve of New Illinois the day of withNew York Gov. of the the National in the banks, also left the to the Governor. who stressed the the banking facilities through many great burYork for and leadsaid, adding that he was ership,' the of State Nation would be early this morning said procla"that would not be necesinterrupt the of the system of New York spread of hysteria the upon the banking facilities the measStates have placed the banks finally burden meeting the House York Clearing House, advice and of New me to banking the close of MonMarch make this with compeople are people this and of the spirit date in meetthe trying that this spirit these holidays interval should officials consider and

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Lack of Facilities Alibi.

It was this lack of facilities for handling demands, more than anything else, which really forced the bank holiday declared by Gov. Lehman, according to the bank officials. In some cases bankers admitted they were caught napping by the bank moratorium, which began in Detroit Feb. 14, but was never expected to sweep the country the way it has done. Another hope of an early end to the holiday was aroused when Mortimer N. Buckner, president of the New York Clearing House Association, said "a plan" was being worked out with member institutions. He declined to say whether the plan was fo: issuance of clearing house certificates-a method advocated by several bank presidents. Although crowds milled around banks there was no disorder. "Instruct the men to jolly peo-

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Trading Under Way Here

Governor's order was considered mandatory. The Chase National, National City, Manufacturers' Trust and other big banks obeyed Gov. Lehman's holiday declaration to the letter, and remained closed throughout the day. The only real run on a bank was in Brooklyn-and a strange one it was. A long line of persons streamed from the Brooklyn main Post Office headquarters of the Postal Savings Bank, into the street. They were almost all waiting to deposit money which they had withdrawn from othe banks Friday. This created an absurd parallel, because the Government operated Postal Savings Bank is required, by law, to deposit its funds in national banks. The Governors of the Stock Exchange allowed Gov. Herbert H. Lehman only two hours' sleep before they got on the telephone to ask him if he would permit them to open for business. After the Governor issued his declaration of a bank holiday in New York State, the climax of wearying conferences with representatives of J. P. Morgan & Co. and heads of savings banks in the Lehman town house at 820 Park Ave., the Governor did not retire until 7:30 A. M. He bent over a pile of financial data trying to work out definite recommendations for Presidentelect Franklin D. Roosevelt, with whom he had been in telephone communication until late Friday

At 9:15 A. M. the Stock Exchange Governors assembled and conferred until 9:45. They were in favor of opening, believing that stocks would go up because a large number of persons would buy them in a new-deal, speculative mood. They also had learned, over the grapevine underground, that President Roosevelt would make a stimulating speech, and they expected this would shoot stocks up. The Governors favored opening the market on the ground that this would bolster public morale, but were timorous about Gov. Lehman's reactions, S0 they telephoned him at 9:45 A. M. "Are you opposed to the Stock Exchange doing regular business today the Stock Exchange spokesman asked Gov. Lehman, who had been routed from bed. "I am," replied the Governor. He then breakfasted and at 10:30 A. M. genially received reporters.

Expects Opening Tuesday. "I hope and I think the banks will be able to open on Tuesday," he said. "I am going to stay right here on the job to work toward that end, and will be unable to attend the inauguralat Washington." When pressed at this time for a definite statement that the banks of this city certainly would open on Tuesday, the Governor merely shook his head. "What has Banking Superintendent Joseph A. Broderick done to meet the situation?" the Governor was asked. "I have been in touch with him and he is conferring with bankers and others," he replied. Hopes Banks Will Open. Q. "If President R sevelt doesn't act, will you extend the bank holiday or take steps to restrict withdrawels A. "I cannot express an opinion on that." Q. "What has the Federal Reserve done to meet the situation A. "I cannot speak on that." Q. "Do you expect the banks to open Tuesday A. "I hope so." Q. "Have you received any plans providing for opening of the banks on Tuesday A. "About 2,000. Some are being considered." During the panic of 1907 the Stock Exchange remained open. The exchange also functioned during the tension of Sept., 1931, when England went off the gold standard, despite the pressure in favor of closing. The Stock Exchange closed at the outbreak of the World War.

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Trading Under Way Here

Governor's order was considered mandatory. The Chase National, National City, Manufacturers' Trust and other big banks obeyed Gov. Lehman's holiday declaration to the letter, and remained closed throughout the day. The only real run on a bank was in Brooklyn-and a strange one it was. A long line of persons streamed from the Brooklyn main Post Office headquarters of the Postal Savings Bank, into the street. They were almost all waiting to deposit money which they had withdrawn from othe banks Friday. This created an absurd parallel, because the Government operated Postal Savings Bank is required, by law, to deposit its funds in national banks. The Governors of the Stock Exchange allowed Gov. Herbert H. Lehman only two hours' sleep before they got on the telephone to ask him if he would permit them to open for business. After the Governor issued his declaration of a bank holiday in New York State, the climax of wearying conferences with representatives of J. P. Morgan & Co. and heads of savings banks in the Lehman town house at 820 Park Ave., the Governor did not retire until 7:30 A. M. He bent over a pile of financial data trying to work out definite recommendations for Presidentelect Franklin D. Roosevelt, with whom he had been in telephone communication until late Friday night. At 9:15 A. M. the Stock Exchange Governors assembled and conferred until 9:45. They were in favor of opening, believing that stocks would go up because a large number of persons would buy them in a new-deal, speculative mood. They also had learned, over the grapevine underground, that President Roosevelt would make a stimulating speech, and they expected this would shoot stocks up. The Governors avored opening the market on the ground that this would bolster public morale, but were timorous about Gov. Lehman's reactions, S0 they telephoned him at 9:45 A. M. "Are you opposed to the Stock Exchange doing regular business today the Stock Exchange spokesman asked Gov. Lehman, who had been routed from bed. "I am," replied the Governor. He then breakfasted and at 10:30 A. M. genially received reporters. Expects Opening Tuesday. "I hope and I think the banks will be able to open on Tuesday," he said. "I am going to stay right here on the job to work toward that end, and will be unable to attend the inaugural at Washington." When pressed at this time for a definite statement that the banks of this city certainly would open on Tuesday, the Governor merely shook his head. "What has Banking Superintendent Joseph A. Broderick done to meet the situation? the Governor was asked. "I have been in touch with him and he is conferring with bankers and others," he replied. Hopes Banks Will Open. Q. "If President sevelt doesn't act, will you extend the bank holiday or take steps to restrict withdrawels?' A. "I cannot express an opinion on that." Q. "What has the Federal Reserve done to meet the situation? A. "I cannot speak on that." Q. "Do you expect the banks to open Tuesday A. "I hope so." Q. "Have you received any plans providing for opening of the banks on Tuesday? A. "About 2,000. Some are being considered." During the panic of 1907 the Stock Exchange remained open. The exchange also functioned during the tension of Sept., 1931, when England went off the gold standard, despite the pressure in favor of closing. The Stock Exchange closed at the outbreak of the World War.

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ASK CONGRESS TO APPROVE CITY'S SCRIP

(Continued from page 4) ing from bank holidays, became SO enormous the local- institutions simply lacked the facilities to handle it. It was this lack of facilities for handling demands, more than anything else, which really forced the bank holiday declared by Gov. Lehman, according to the bank officials. In some cases bankers admitted they were caught napping by the bank moratorium, which began in Detroit Feb. 14, but was never expected to sweep the country the way it has done. Although crowds milled around banks there was no disorder. However, at Geneva, N. Y., angry muttering of crowds around closed banks led to troops being called out to protect public buildings. "Instruct the men to jolly peo-

Bank Superintendent Broderick Confers with bankers. ple along-all this needs is a little bit of common sense," Police Commissioner Edward P. Mulrooney said, in ordering one patrolman posted at every branch bank.

Payroll Checks Cashed. The-Corn Exchange Bank Trust Company, with multiple branches, as well as the Central Hanover Bank and Trust Company and the Irving Trust, paid cash on all payroll checks, and also on other small checks from depositors. When the Corn Exchange, which had been allowing depositors to withdraw 10 per cent. of amount on deposit, learned that the bank holiday was mandatory, it closed its branches at 11 A. M. The Irving Trust continued to cash payroll checks until the regular closing hour at noon. R. H. Elmedorf, assistant vice-president, said this action was taken to ease the strain. He declared he didn't know what policy would be pursued tomorrow, but added his institution "will do nothing that would seem to be in violation of the understanding of the clearing house banks." Throughout the Bronx, Brooklyn, Queens and Staten Island, branches of various banks paid payroll checks until it was learned the Governor's order was considered mandatory. The Chase National, National City, Manufacturers' Trust and other big banks obeyed Gov. Lehman's holiday declaration to the letter, and remained closed throughout the day. The only real run on a bank was. in Brooklyn-and a strange one it was. A long line of persons streamed from the Brooklyn main Post Office headquarters of the Postal Savings Bank, into the street. They were almost all waiting to deposit money which they had withdrawn from other banks Friday. This created an absurd parallel, because the Government operated Postal Savings Bank is required, by law, to deposit its funds in national banks. The Governors of the Stock Exchange allowed Gov. Herbert H.

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New Yorkers Revive Plan of 1907 As Solution in Money Crisis

By ELMER WALZER

NEW YORK March Banking leaders principal cities and deposit the Bankers, of the New Clearing House revived the plan whereby $10 and $20 would They enable York banks printed and ready for Monday reopen Tuesday The United learned of York bankers of certificates so for invoke federal they would be available plan similar tender nation New York Clearindicated the Federal honor such certificates of member House Herbert H. cognizant Philadelphia urged end bankers two-day banking holiday to that pointing addithe house move clearing embargo gold exports United States presidential decree federal guarantee be Philadelphia Considers Plan The is in

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Forbes

Our Troubles,

Man-Made. Can Be Remedied

C. FORBES have cousin who Whenfarmer cannot manage turns him black smith once asked "How He comes excitMr Forbes don't understand horses: they don't know how to quieten them down. know how horses think just keep cool. don't whip them: talk nicely them. First thing you know they stop getting excited and start doing tell them. When they know that I'm not ous they stop being nervous.

So many bank depositors have been kicking over the traces that banking trouble has developed Our bankers by and large, failed to the public from nervous What we now need is somebody take hold who understands us as well as this rustic blacksmith He that the clame for horses with who handle them than with the not true that the blame for the recent state mind bank depositors chargeable largely bankers? Weren't bankers among the first to rush to become 'liquid?'

WE BANK DEPOSITORS need somebody calm us down New brooms sweep clean Happily Washington has new broom. in the person of PresiRoosevelt At Miami he demonstrated his and Anxious to make creditable record. he doubtless will immediately address himself to the most of all our problems. namely the of banking facilities and confidence

THE DECISION to close New York banks two days not reached until the early hours 0. Saturday understand the largest the felt entirely capable of any could arise But was finally ad judged prudent to take brief breathing spell DOUBTLESS this decision was influenced by the panicky action of foreign countries. Friday's "raid" America's was the severest ever experienced Under normal conditions absolutely are ideal But today's ditions are not hooves this protect itself. protect its stock of gold. to to that its financial strength not undermined by other nations

THE HUMAN ANIMAL the most adaptable the most resourceful in all creation way out of these banking difficulties will found how much worse off Ponder America would be her troubles were being caused by extreme scarcity of food clothing shelter water other absolute of We are not afflicted by famine We are afflicted afJuence by surfeit of life's necessaries

SURELY IT WILL not prove beyond the ingenuity man. beyond the of Amer. icans admittedly resourceful to devise ways and means make available for those who them the In short our troubles are superficial rather then fundamental. created by man rather than by nature.

ROOSEVELT has an opportunity not equalled by president since Lincoln infinite and immortal glory instituting truly effective It Congress attempt obstruct prompt clearcut, aggressive, courageous

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Into which are often tossed things well, worth while

LIGHT AND TRAC-

TION the board of directors immedi- of directors chairman of the board, reelected to that position and also president of the company This indicates the Doherty company complete control and will retain Clarence Nichols elected vice president and will no doubt run the Federal company to details Mr Doherhas such vast that not probable he will care to into the detailed work of the Federal company. Mr. Nichols touch with all things of the Federal company including the Springfield properties which used manage Mr. Nichols has complete the organisince the start and make most valuable In the time thought Doherty will make him president. beautiful troubled hearts

Noell Kinney, Prisco tation agent of the Frisco at has left the hospital here and returned duties at Rolla He has been the for 53 years and the oldest "agent in of the system will retire years started with the Frisco when boy He son of Frank Kinney who died

SNOW goodbye winds bloom Mrs Arthur Lamar Mo

Hall. was for many one of the leading jewelers of the seriously ill his home. of man sterling worth and many friends who hope he will regain his health.

National bank of City New York divorce its subsidiary, the Na. tional City This alliance should have been made. The revelations concerning this company made by Charles Mitchell, which forced Mitchell resign from the position as of the board was probably the cause of the recent heavy withdrawal of funds from banks Many can't distinguish between banks and believe banks are run in the same manner which grave The victims of Mitchell's bune in Springand there did not feel that way but they certainly would not trust Mitchell or any- thing he The with stockholders of the National City have felt the same Hence he had to get out.

Haymes one of few voted perfection of the for the repeal of the McCawley state bone bill The senator ran dry and is standing by his guns,

Dewey Short is in and will soon go he writes friends believed he will be appointed position on the flood control as he made of reputation on that kind of when member of congress The position not political.

The dominent political faction of party started out early the game to get places for Mrs. Ethel Charles Love and Howard Curtis All have landed. Stories continue float around that W. Greenwade may be made postmaster of Springfield Mr. Greenwade the close of the campaign said he did not want the position as he expected to devote his time to his private business but things may be changed. It lieved he can have the place wants

Why Turnback creek named? The Mount Vernon Chieftian in its years ago column explains The which demolished 51 years still put forth reason for name The Chieftian Turnback creek. clear gushing stream which meanders through the eastern part the county the of strangers through the counthe peculiarity of its name One sure to conjecture with the manner which title and generally runs that some pioneers having come to that were discouraged the appearance fugged hills which that they judged the whole of rence county and "turned back." not the Judge John and Daniel first settlers this country reached that stream in October. 1831. and were there overtaken by snow storm their Delaware town until they could come and prepare for them. And thus the historic received its Judge Williams had been here before and knew of the beautiful country lying beyond and was not discouraged by the hills

Lead markets are showing more life considerable buying Lead companies say the buying for American firms which have been slow in filling their requirements. Wonder the situation in the far east has anything to do with it? Higher lead prices should benefit lead is dug up in the Ozarks territory. There have been lead discoveries in Greene Christian counties and some mining has taken the whole mining around not paid

Connelly, attorney with street, has about name the Kansas but they were their names are exactly the same. The Kansas historian wrote great deal about Wild Bill. The in where Wild Bill marshal. He never Bill but are Bill as in