tion of assistant secretary of the Detroit Trust Company with which he has continued ever since in various executive capacities. He was the first vice-president of the Detroit Board of Commerce in 1914 and member of the executive committee of the Chamber of Commerce of the United States. Mr. Stone also served as governor of the Michigan Society of Mayflower Descendants. Several changes were necessitated in the executive management of the Detroit Trust Company consequent to the election of Mr. Stone as president. The vacancy as vice-president caused by this promotion was filled by the election of Mr. James E. Danaher as vice-president and Mr. Sidney T. Miller succeeded himself as the other vice-president. Mr. Danaher has been connected with the Detroit Trust Company since 1907 as a member of the executive committee. He was also formerly a director of the First and Old National Bank and is vice-president and director of the Michigan Copper & Brass Company, besides being prominently identified with timber interests. As now constituted the officers and executive committee of the Detroit Trust Company are as follows: President, Ralph Stone; vice-presidents, Sidney T. Miller and James E. Danaher; vicepresident and treasurer, Lawrence K. Butler;

vice-president and secretary, Charles P. Spicer; vice-president and manager of the Bond Department, McPherson Browning; assistant secretaries, Charles E. Hilton, F. J. McGavin and H. L. Stanton; assistant treasurer, Albert A. Chilman; manager of the Audit Department, Fred Wixson; manager of the Real Estate Department, D. T. Lorimer; Executive Committee: Arthur H. Buhl, James Couzens, Charles A. Dean, John W. Dwyer, Julius H. Haas, Alex I. Lewis and T. C. Starret.

Substantial Gains by The Farmers' and Mechanics' National Bank of Philadelphia

An increase in deposits of from $12,821,000 to $19,044,000 is shown by the Farmers' and Mechanics' National Bank of Philadelphia by comparing the reports of May 1, 1915 and December 31st last. Resources aggregate $23,851,433 with loans and investments of $13,392,976; cash and reserve $7,716,361; United States bonds $1,509,364 and due from banks $1,232,730. The capital is $2,000,000, surplus and net profits $1,522,395. The officers are: Howard W. Lewis, president; Edw. Stotesbury Lewis, cashier; G. H. Millett, assistant cashier; John Schlagle, assistant cashier.

It is well within the memory of the present generation of Louisiana bankers that when the title of trust company was suggested as an additional name and business for banks, the public looked upon the proposition with severe distrust. The designation "trust" in connection with business consolidations and enterprisesnot overlooking the "money trust"-had been so denounced by the press and magazine writers that suspicion of oppression and plunder attached to the very term itself. But time, education and experience have wrought a wonderful change, and trust banks are now regarded as the strong pillar supporting public prosperity.

Trust Powers Conferred by Legislative Enactment

Prior to 1902 the trust privileges conceded to banks were so restricted and vaguely defined that none were encouraged to operate under them. The civil law of Louisiana prohibited a testator from placing his estate under trusteeship to be administered according to his direction, as it was regarded against sound public policy to thus put property out of commerce. The system of handling estates through the family notary, as in France, was also a bar to the development of the trusteeship of banks. But the Act of 1902, since amended in particulars as suggested by experience, conceded extensive powers and privileges, such as the administration of estates (subject to the supervision of the court), receiverships, the control' of mortgage bond issues, registration of stock transfers and other phases of trusteeship. These powers may be conferred on a trust bank by either individuals or the courts; and any person or official having control of funds may be relieved of further responsibility for their safekeeping by depositing them in a lawfully chartered trust bank. If investment of any trust fund is made, however, the particulars of each transaction must receive judicial approval before it is consummated.

Development of Trust Functions

The Interstate Trust and Banking Company was the first corporation formed in New Orleans under Act 45 of 1902; the Hibernia and other leading institutions soon adding a trust

department to their existing banking business. These two, with the Whitney and the Commercial-Germania, have been especially useful in managing the properties of minors and interdicts, and of special legacies; selling bonds issued for furthering agricultural, manufacturing and commercial undertakings and for the milling and marketing of lumber on a vast scale. The Interstate for the past two decades has had for an almost exclusive specialty the control of timber bond issues, and enjoys the unique record of never sustaining a default, or even delay, in the payment of interest or principal on any security it sponsored.

Of course the State Bank Examiner scrutinizes the trust part of the business as keenly as he does the savings or commercial accounts, and this official supervision (together with a frequent examination by the Clearing House in New Orleans of the affairs of all member banks) gives added public confidence in their worth and reliability. In administration of estates the fees are fixed by statute, and are found more economical than is possible under individual management.

The educational propaganda conducted by the principal banks during the past half-dozen years, with the obvious advantages which practical experience of the system has demonstrated, puts the trust banks in Louisiana on a very secure foundation, with a certainty of new lines of usefulness to be found and a consequent increase even of their present substantial prosperity.

With the many new undertakings that are in course of formation-commercial, such as the new sisal importing company, the vast warehouse system nearing completion for centralizing the "spot" cotton trade-manufacturing, by the impetus which must be given through the lake to river ship canal bisecting this cityagricultural, by the new life imparted to the sugar, rice and stock raising industries through promised favorable legislation--it will be seen that active employment will be found for all the above named trust banks-and more!

The Mechanics Bank of Brooklyn reports aggregate deposits of $24,194,593, capital of $1,600,000 and surplus of $772,402.

Five New Trust Companies Organized in New York

Demand for additional trust company facilities was emphasized by the organization of five new companies in New York State during 1915. One of these, the Directors Trust Company, is to conduct business in New York City with a capital of $500,000. The other new companies are: Livingston County Trust Company at Livingston County, New York, capital $100,000; St. Lawrence Trust Company, at Ogdensburg, capital, $100,000; Yonkers Trust Company at Yonkers, capital $150,000 and Putnam Trust Company at Brewster, capital, $100,000. The Syracuse Trust Company took over the assets and business of the Commerical National Bank of Syracuse during the past

year.

On January 1, 1916, the thirty-two National, State banks and trust companies of Los Angeles reported total deposits of $194,093,078, an increase of nearly $30,000,000 for the year, total dividends paid to stockholders $1,863.398 and interest paid to depositors $3,008,203. The Security Trust & Savings Bank reports total deposits of $42,153,582; the German-American Trust & Savings Bank $20,133,493 and the Los Angeles Trust & Savings Bank $20,628,144. Bank clearings for 1915 aggregated $1,048,090,567.

A Compendium of Financial and Trade Records

The Franklin National Bank of Philadelphia renders its friends and correspondents a valuable service in issuing every month a "digest of trade conditions" in pamphlet form which presents the most reliable information regarding trade and financial activities. The information is obtained from many authoritive sources and care is exercised in presenting correct statistics. No effort is made to generalize as to current financial and business conditions but the reader is presented with a mass of facts from which to draw his own conclusions. The information covers returns from the whole country and relates to numerous items such as bank clearings, stock market transactions, bond sales, dividend and interest disbursements, maturities; new financing, railroad earnings, building, exports, etc.

The Mechanics & Metals National Bank of New York has been approved reserve agent for the First National Bank, Paragould, Ark., and the Commercial National Bank, Waterloo, Ia.

The Plainfield Trust Company of Plainfield, N. J., paid out a sum aggregating $227,000, which represented deposits in a Christmas savings club.

Trust Company Check Collection Plan in Philadelphia

On December 15th the new plan formulated by the Philadelphia Clearing House to expedite the collection of checks drawn on non-member trust companies and three Camden National banks, was successfully inaugurated. The scope of the new arrangement may be appreciated when it is stated that a single day's clearings here amount to from $35,000 to $40,000,000. Combining member and non-member banks and trust companies the Clearing House now clears checks for 71 institutions. The first two weeks of operation under this plan demonstrated the efficiency and convenience of the system which is the first of the kind employed by any clearing house association. It represents a big step in the direction of co-operation in daily business transactions arising between banks and trust companies and also emphasizes the increasing importance of clearing house service. Although no official action has been taken to that end it is understood that the Philadelphia Clearing House will soon consider the extension of its facilities by the establishment of a country check collection department similar to that in operation in Boston and recently introduced in New York. The new plan relieves the banks of the expense of sending their own renners to distant sections of the city.

$2,650,000

LOS ANGELES TRUST AND SAVINGS BANK SIXTH SPRING STS. LOS ANGELES

A Century Old State Bankers' Association

The one-hundredth anniversary of the Delaware State Bankers' Association, recently held in Dover, was an occasion of unusual interest and brought to the State capital fully one hundred bankers from all over the State. Officers were elected as follows: President, Otho Nowland, Wilmington, Equitable Guarantee & Trust Company; vice-president, Hon. Alvan B. Conner, Felton, First National Bank, Dover; secretary and treasurer, W. G. Taylor, Wilmington, Delaware Trust Company; Dr. William P. Orr, of Lewes was re-elected a member of the executive commitee for a term of three years.

An interesting feature of the business meeting was the reading by John Richardson, Jr., president of the National Bank of Delaware, of the minutes of the first meeting of the Bank of Delaware as it was then termed in 1816 and also the minutes of 1817, showing the manner of doing business in the early history of banking in Delaware.

The Peoples Bank & Trust Company, Charlotte, N. C., and the Virginia State Bank at Hopewell, Va., have opened a New York account with the Chatham & Phenix National Bank.