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of Aid IndicatApproval ed After Conference at Capital; Receivers Told to Map Program Depositors Would Get Five Millions Legal Obstacles Cleared Away; Prior Claim of $1,000,000 Figured; Will Pay R. Debt By Radford Mobley Washington Correspondent WASHINGTON, Oct. Reconstruction Finance Corporation indicated today its willingness give immediate consideration to the proposed loan of $8,500,000 to American Trust Company receivers for of 50 per cent depositors within the next few weeks. In view of the liberal policy of the administration toward closed banks, it now expected that virtually the entire amount requested will be made available. After deductions of $1,800,000 owed the and the Federal Reserve Board. and prior and secured claims of about $1,000,000 are made, there would be available approximately $5,500,000, sufficient pay one-half of the present deposits in the bank, which have been reduced due to set-offs during recent months. Although no formal decision was reached today, individual expressions from members with whom the discussed the loan showed great sympathy the plan to release the closed American early as possible. The corporation's attorneys made quick work in disposing legal tangles blocking early consideration of the American Bank application. In conference Sherlock and Justin Moore, receivers for the bank, the attorneys agreed to waive the usual procedure of filing detailed application in advance ordered the necessary appraisal work to go forward. This will save about weeks' time. The returned to Richmond late today prepared to go ahead with the could not make exact estimates as to the time work would require. In view of the two brough appraisals which have been made already expected the present task will be largely one of rechecking and will not require than two Upon arrival here today, the receivers immediately went into conference with Stanley Reed. general F. counsel, Jame Dougherty, an assistant. result of this conference, the following decisions were reached: The will waive the rule requiring the of loan application and will permit appraisal work go ahead at once, saving least two weeks' time considered advisable that the receivers' court should fix time limit for the filing of all preferred and claims against the bank, order prevent conthis respect. The entire of the loan granted used for paying depositors preferred claims, and expenses incurred, including interest the loan, may be deferred until returns are yielded by the slower assets This require posting all assets the bank against the loan and incident expenses, but will furnish more ready funds for depositors. The receivers may pledge past obligations, such as personal notes. by the bank. The Virginia State law does the American receivers from pledging the banks assets for the proposed The also conferred with the corporation, who assured them Continued on Page Column