The full text on this page is automatically extracted from the file linked above and may contain errors and inconsistencies.
TREASURY DEPARTMENT COMPTROLLER OF THE CURRENCY Address reply to "Comptroller of the Currency" WASHINGTON September 23, 1938. Mr. L* M. Giannini 1 Powell Street San Francisco, California My dear Mr. Giannini: It has been brought to my attention that the Board of Dir ectors of the Bank of America National Trust and Savings Association at its meeting held in Los Angeles on September 13» 1938, declared a dividend half of which is payable October 1, 1938, despite the warning contained in my telegram dated September 13 and communicated to the meeting by R. E.A. Palmer, National Bank Examiner. This warning was prompted by my duty to protect the depositors as well as the shareholders of your bank. It is my desire in this matter to be fair to all concerned. Accordingly, your personal attention, as director of the Bank, is called to the provisions of U.S.C., title 12, section 93, which pro vides as follows? "If the directors of any national banking association shall knowingly violate, or knowingly permit any of the officers, agents, or servants of the association to violate any of the provisions of this chapter, all the rights, privileges, and franchises of the association shall be thereby forfeited. Such violation shall, however, be determined and adjudged by a proper district, or Territorial court of th<5 Unitad Statas, in a suit brought for that purpose by the Comptroller of the Currency, in his own name, before the association shall be declared dissolved. And in cases of such violation, every director who participated in or assented to the same shall be held liable in his personal and individual capacity for all damages which the association, its shareholders, or any other person, shall have sustained in consequence of 3uch violation.11 (Underscoring supplied) There is enclosed, for your information in this connection, a copy of my letter of criticism based upon the report of the latest examination of your Bank. A complete copy of this report of exam ination has been sent to, and is open for your inspection at, the main office of the Bank of America National Trust and Savings Association, No. 1 Powell Street, San Francisco, and at the office of the Chief National Bank Examiner, Boom 1103, 155 Montgomery Street, San Francisco, and at the sub-district office of the Chief National Bank Examiner, 835 H. W. Heilman Building, Los Angeles, lour attention is directed to the comments, criticisms and conclusions of the examiner contained in the report, and particularly to the last two pages thereof. Very truly yours, (Signed) M. R. DIGGS MARSHALL R. DIGGS Acting Comptroller of the Currency
@FedFRASER