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STATE BANKS IN GOOD SHAPE
(Continued from Page One.)
more than one year ago, and is 12 per cent above the amount required by law. The following comparative table of several important items is submitted:
April 12, 1926
208 State Banks Increase
Resources $416,306,987.74 $27,608,275.37
Demand deposits 220,502,331.36 3,886,078.98
Savings deposits 109,299,462.74 6,143,018.48
Loans and discounts 263,319,243.06 10,611,622.15
Cash & due from banks 71,889,828.35 3,789,723.05
Borrowed money and rediscounts 23,315,156.85 13,043,662.23
"The changes affecting Louisiana state banks which have occurred during the period ended April 12, 1926, was as follows:
Mergers and Consolidations.
"The Bank of Assumption of Napoleonville was merged with the Bank of Napoleonville of the same place January 9, 1926.
"The Bank of Thibodeaux and Trust company of Thibodeaux was merged with the Bank of Lafourche, also of Thibodeaux, January 18, 1926.
"The Central Bank and Trust company of Mansura, including its branches at Bordelonville and Hessmer, was merged with the People's Savings bank of Mansura February 19, 1926. The operation of the branch offices named was continued as branches of the last named institution.
"The Bank of Zwolle closed March 1, 1926, for an investigation of its affairs by the state banking department. The investigation was completed March 10, and a deficiency in its assets was taken care of by certain of its directors and depositors. The affairs of said bank were then taken over by the Sabine State bank of Many, which bank now operates the business at Zwolle as a branch office.
"The Bank of St. Rose of St. Rose was absorbed by the State Bank of St. Rose, a new organization authorized March 15, 1926.
Six Banks Closed.
"The Pointe Coupee Trust and Savings bank of New Roads failed to open January 15, 1926. The directors ordered its operation suspended because of its apparent inability to continue to meet the demands of its depositors, and requested the state banking department to take charge of its affairs. Heavy withdrawal of deposits appears to have occurred after an assessment notice was given the stockholders by the directors of the bank calling upon them to make good an impairment of capital stock of the bank.
"The impairment of the capital stock was largely the result of several large loans to sugar and rice planters, which, because of adverse conditions affecting those crops, the bank was unable to collect. An inventory of the bank's assets was prepared and filed in the office of the clerk of court of Pointe Coupee parish. E. Morgan and Ferd C. Claiborne of New Roads were appointed special agent and attorney, respectively.
"The Crowley Trust and Savings bank of Crowley was closed January 23, 1926. During the last several years the agricultural interests of that locality, which are devoted almost exclusively to the growing of one crop (rice) have experienced adverse conditions. As a consequence the bank was unable to collect its outstanding loans, and being unable to obtain further credit assistance from correspondent banks, it was unable to continue to meet the demands of depositors and the state banking department took charge of its affairs. An inventory of its assets has been prepared and filed in the office of the clerk of court of Acadia parish. P. M. Lyons and Philip S. Pugh have been appointed special agent and attorney, respectively.
The Bank of Alto, of Alto, was unable to obtain sufficient support to make its operation profitable. Its directors, therefore, on March 6, 1926, concluded to cease operation. They obtained funds to pay all depositors in full and will go into voluntary liquidation.
"The Rayville State bank, of Rayville, closed April 9, 1926, by order of its board of directors. Efforts made by its directors and stockholders to reorganize or to obtain sufficient funds to re-open and pay off all depositors and other creditors, were successful.
"The St. Mary Bank and Trust company, of Franklin, closed January 9, 1926, but re-opened January 18. Its closing was caused by heavy withdrawals of deposits which developed into a "run." The bank found that it was unprepared to meet the sudden and extremely heavy withdrawals of January 9, and its directors ordered it closed and the state banking department was requested to take charge of its affairs. A thorough investigation of the bank's condition was conducted by the state bank commissioner, assisted by several directors and stockholders of the bank. Their investigation indicated the bank to be solvent. The board of directors was re-organized following the stockholders meeting of January 12 and new managing officials were elected. The bank was then authorized to re-open on the date mentioned.
"The Golden Meadow branch of the Bank of Lockport and Trust company, of Lockport, was discontinued March 10, 1926, and its business transferred to the main office of the institution.
New Banks Authorized.
"The State Bank of St. Rose, with capital of $35,000 and paid in surplus of $7,000 was authorized to begin business March 15, 1926. It succeeded the Bank of St. Rose.
"A certificate of authority to begin business was issued to the Metairie, Jefferson parish, March 20, 1926. The bank has capital of $50,000 and paid in surplus of $10,000.
"The Bank of Commerce, of Crowley, with capital of $50,000 was authorized to begin business March 31, 1926.
"The Whitney Central Trust and Savings bank, of New Orleans, was authorized, February 17, 1926, to open a branch office in the Jung hotel in the city of New Orleans, to be known as their "Canal Street Branch."
"The Sabine State bank, of Many, was authorized to operate a branch office at Zwolle, March 10, 1926. It took over the business of the Bank of Zwolle on that date. The Gretna Trust and Savings bank, of Gretna, was authorized to open a branch office at Metairie, March 15, 1926. The Hibernia Bank and Trust company, of New Orleans, was authorized, April 7, 1926, to open a branch office in the store of D. H. Holmes company in Canal street, in the city of New Orleans.
of the Louisiana highway for toll free bridges, at the Chef and Rigolets in linking the old Spanish Trail, will be issues here within a week. Horace Wilkinson, of Port Allen, and John Dart, of New Orleans, are working on legislation.
The governor's brief message will be read in both houses Tuesday.
