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R.F.C. AUGUST ARCHITECTS COOLIDGE'S RAIL LOANS LISTED CHOSEN FOR GROUP AT WORK BUILDING Objections to ublicity New Committee Starts
Again Overruled
Second Month Report Shows $186,209,310 Authorized
States Allowed to Draw $13,931,669 for Relief
WASHINGTON, Oct. 7. (P)Overriding objections of the Reconstruction Corporation, South Trimble, clerk of the House of Representatives, today made public its second monthly report, showing that loans aggregating $186,209.310 were authorized in August. Contrary to the contention of Atlee Pomerene, chairman of the corporation's board, that the House clerk is without authority to release the reports, Trimble said the Reconstruction Act "does not give me any discretion to withhold these reports." The report showed that $122,277,641 was advanced to financial institutions, including insurance companies and railroads, in August. For relief purposes governors of States were authorized to borrow $13,931 The American Cotton Co-operative Association was authorized to borrow $35,000,000. and the Cotton Stabilization Corporation, $15,000,000. Up to September 21 these last three sums had not been disbursed.
LOANS TO FARMERS
In letter accompanying the report, Chairman Pomerene said that during August the corporation also allocated an additional $10,000,000 to the Secretary of Agriculture for loans to farmers for production purposes, bringing the total outlay under this provision of the Reconstruction Act to $107,500,000. The report was submitted to Trimble September 29, along with Pomerene's protest over the House clerk's publication of the report for the last ten days of July, which was the first in which the relief act and its publicity provision were operative. In formal brief prepared by his son, South Trimble, Jr., as counsel, Trimble said "The publication of the July report of the Reconstruction Finance Corporation, during the month'of August, did not have the bad effect upon the banks as predicted by the opponents of the (publicity) provision.' SECURITY REQUIRED
The publication of the report, he said, furnishes depositors information that "their bank*possesses adequate security to meet all governmental requirements necessary to obtain loan." The law requires that the corporation receive adequate security before authorizing A total of 1110 new loans were authorized in August, while applications for loans 1151, of which 899 were from banks, the report said. Loans to banks in most instances were made at 5½ per cent interest, with few at 5 per cent. Those to railroads, aggregating $12,798,583, were at per cent. Total in August were $35,241,799. Bank and trust companies led with $31,301,176. Altogether, loans authorized prior to July 21, but canceled or withdrawn up to September 21, aggregated $8,158,861, the report said. In addition, $5,552,400 loans in the ten days of July were canceled. NOTES SOLD TO TREASURY During August, Pomerene wrote the corporation sold $100,000,000 of notes to the Treasury to supply itself with capital Meanwhile, the corporation today made available about $1,500,000 to States for relief purposes. North Carolina was authorized to borrow $815,000; Florida, $335,715; West Virginia, $213,390, and El Paso, Tex., $110,000. It developed that legal technicalities may hold up of number of self-liquidating loans pending before the corporation. The legal department expressed the belief, however, that the technicalities may be removed. Of the total $122,277,641.90 authorized loans, covered in the report to Trimble, bank and trust companies received $85,057,605. This includes $7,772,900 to aid in the reorganization or liquidation of closed banks, bringing to $39,241,799 the total advanced by the corporation since its creation for this purpose. Other loans were distributed as follows: Building and loan associations, $12,294,188; insurance companies, $3,708,700; mortgage loan companies $2,101,720; Federal land banks, $3,000,000; joint stock land bank, $55,000; agricultural credit corporations, $2,667,822. and railroads, including receivers, $12,798,583.
AMOUNTS FOR STATES
Amounts made available to States for relief purposes in August at per cent interest, but not up to September 21. totaled $13,931,669, and were distributed as follows: Alabama, $225,000: Illinois $6,000,000: Louisiana, $1,096,084; Michigan, $1,800,000; North Dakota, $50,000; South Dakota, $150,000; Ohio (two loans) $1,610,585, and Wisconsin, $3,000,000. Loans made to banks and trust companies included, in Southern California: Anaheim. Anaheim Bank First National. $18.Cambria. CorFirst coran. First National. First $10,000: $75,000 Glendale. First First National Glendale. Bank. $10,000: HerFirst Bank Hermoss Beach. $8,250: Park, City National Bank. Lindsay Lindsay Sav. $75,000: Long Bank Beach. First National Newport Beach (receiver.) $19,000: Pasadens, Savings Bank Torrance. First National of Torrance. and loan associations Southloans follows Alhambra and Loan AssociaBeach Building Association. Cor$90,000. and Crown
Work on Local Federal Structure to Begin at Early Date
BY ROBERT B. ARMSTRONG
"Times" Staff Correspondent WASHINGTON, Oct. 7. (ExcluParkinson & Parkinson of Los Angeles have been definitely by the United States Treasury to complete the erection of the new Los Angeles Federal Building The official now is in the mails and they will be urged to complete the final plans preparatory to beginning work at the earliest possible date. Work, it is hoped, will be started on such phases as and foundations within the next thirty or sixty days and it is expected that the building will be completed within twelve or eighteen months. Architects have been selected also for the San Diego postoffice. The site has been acquired. In Pasadena, and several other Southern California communities the sites for new buildings have yet to be obtained. Speed will be urged on all of the Southern California projects. Much of the work will be well under way before early spring.
Diagnosing Roads' Ills
Members on Friendly Terms Despite Politics
Brookings Institute Head to Be Chief Investigator
NEW YORK, Oct. 7. (AP)-A diagnosis of the ills of the nation's railroads was begun today by a nonpartisan committee of public leaders, headed by former President Coolidge. The new board of inquiry, sponsored by important banks, insurance companies and institutions, held its first session in the offices of one of its members, Alfred E. Smith. The meeting adopted the title of the National Transportation Committee," discussed program for an investigation expected to last at least three months, and appointed Dr. Harold G. president of the Brookings Institution of Washington, as chief investigator. He will employ experts and assistants for the inquiry. The of the committee, besides Mr. Coolidge and Smith, are Bernard M. Baruch, financier, who will act vice-chairman; Alexander Legge, former head of the Farm Board, and Clark Howell, publisher of the Atlanta Constitution. Although of opposing political faiths, the committeemen appeared to be on the friendliest of terms. Coolidge and Smith, Republican and Democratic leaders, greeted each other warmly.
