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F

e d e r a l

R

eser ve

B

a n k

OF D ALLAS

Dallas, Texas, November 5, 1948

NOMINATION AND ELECTION OF DIRECTORS
(B y Member Banks in Groups 1 and 2)

The member banks in Group 3 will not participate in this election, and this circular is
sent to them without forms for their information only.

To the Member Banks of Groups 1 and 2
in the Eleventh Federal Reserve D istrict:
In accordance with the provisions of Section 4 of the Federal Reserve Act and my
circular letter dated September 30, 1948, in regard to the election of directors of this bank
to succeed Mr. W alter P. Napier, Class A director, and Mr. J . R. Milam, Class B director,
whose terms will expire December 31, 1948, there are listed in this circular the names of
the individuals nominated, together with the names of the banks nominating them.
Accompanying this circular is a ballot upon which you should record your vote,
together with the necessary envelopes for use in sending your ballot to me. Please follow
carefully the instructions which are printed on the ballot and on the envelopes.
The vote of your bank may be cast only by an officer whose authorization by the Board
of Directors to vote in these elections has been certified to me as indicated on the list in
my circular letter of September 30,1948, or subsequently changed by a certified authoriza­
tion. I f you so desire, you may change your authorization by the proper action of your
Board of Directors, but any such change must be certified to me before the close of
the polls.
The polls will open on November 8, 1948, and close at 2:00 p.m. on November 23,
1948. Consequently, your ballot must be received here not later than 2:00 p.m., November
23,1948, at which time the ballot box will be opened in the Board Room of this bank, the
votes counted, and the results of the election announced. The nominees are invited to be
present or represented on that occasion.
Each member bank entitled to vote in this election is urged to do so. Please mark
your ballot carefully and send it to me in the enclosed envelope at your earliest con­
venience after the opening of the polls.
Yours very truly,
J . R. PARTEN
Chairman of the Board

This publication was digitized and made available by the Federal Reserve Bank of Dallas' Historical Library (FedHistory@dal.frb.org)

IM P O R T A N T

Please read carefully the instructions herein contained and the form o f preferential ballot enclosed.

Unless a ballot of a voting member bank is prepared, authenticated and cast in strict accordance with said
instructions, the election tellers will have no option except to disregard such ballot.
The ballot of each member bank must be cast by an officer previously empowered to do so by action
of its Board of Directors, certified to me upon forms furnished fo r the purpose.
My circular letter of September 30, 1948, giving notice of this election, contained a list of member
banks in Groups 1 and 2, showing the officers who were then authorized to cast votes in directors’ elec­
tions. Unless a bank has since changed its authorization, by corporate action duly certified to me, no
officer, except as designated on that list, can cast a vote in behalf of his bank.
Under the procedure for the election by member banks of Federal Reserve Bank directors, the vote
will be by secret ballot, and no one will know the vote of any bank. As there will be no opportunity for
any prior inspection of ballots for irregularities, the officer casting the ballot is requested to use special
care in its preparation.
For your information, there are quoted below extracts from Section 4 of the Federal Reserve Act
which set forth the method of balloting and the manner in which the votes are to be counted:
“ W ithin fifteen days after receipt o f the list o f candidates the duly authorized officer o f a
member bank shall certify to the chairman his first, second, and other choices for director of
class A and class B, respectively, upon a preferential ballot upon a form furnished by the chair­
man of the board of directors of the Federal reserve bank o f the district. Each such officer shall
make a cross opposite the name of the first, second, and other choices for a director o f class A
and for a director o f class B, but shall not vote more than one choice for any one candidate.
N o officer or director o f a member bank shall be eligible to serve as a class A director unless
nominated and elected by banks which are members o f the same group as the member bank o f
which he is an officer or director.

“ A n y candidate having a m ajority o f all votes cast in the column o f first choice shall be
declared elected. If no candidate have a m ajority o f all the votes in the first column, then there
shall be added together the votes cast by the electors for such candidates in the second column
and the votes cast for the several candidates in the first column. The candidate then having a
m ajority of the electors voting and the highest number of combined votes shall be declared
elected. If no candidate have a majority o f electors voting and the highest number o f votes when
the first and second choices shall have been added, then the votes cast in the third column for
other choices shall be added together in like manner, and the candidate then having the highest
number of votes shall be declared elected. A n immediate report of election shall be declared.”

Interpretation: In past elections, the Board of Governors has taken the position that where
there were only two candidates, failure of a voting member bank to indicate both a first choice
and a second choice rendered its ballot invalid. Recently, however, the Board of Governors has
considered this m atter again and has concluded that the requirements of the law, above quoted,
are met if each voting member bank marks only one choice. In such case the voting member
bank will be deemed to have indicated the other candidate as its second choice. The enclosed
ballot has been prepared on the basis of the revised procedure, and instructions for its use are
printed thereon. This procedure eliminates the necessity of invalidating a ballot merely because
a voting officer overlooked indicating a second choice.

“ Whenever any two or more member banks within the same Federal reserve district are
affiliated with the same holding company affiliate, participation by such member banks in any
such nomination or election shall be confined to one of such banks, which may be designated for
the purpose by such holding company affiliate.”

The member banks in the Eleventh Federal Reserve District are grouped as follows for the purpose
of electing Class A and Class B directors of the Federal Reserve Bank of Dallas: Group 1 consists of
banks have capital and surplus in excess of $499,000; Group 2 consists of banks with capital and sur­
plus not exceeding $499,000 and not less than $100,000; and Group 3 consists of banks having capital
and surplus of less than $100,000.
Please forward your ballot so that it will reach this office on or before 2:00 p.m., November 28, 1948.
If the ballot is received after that time, it cannot be counted.

NOMINEES FOR CLASS B DIRECTOR
J . R. MILAM
President, The Cooper Company, Inc.
Waco, Texas
Mr. Milam was born in Weatherford, Texas, September
20, 1869. He attended Southwestern University at George­
town, Texas, and holds from that institution the degree of
Doctor of Laws. A fter leaving the university he entered
the general merchandise business in Glen Rose, Texas, and
remained in that business for ten years. In 1900 he organ­
ized the F irst National Bank of Glen Rose, serving as
president of that institution until 1907, when he moved to
Waco to accept the vice presidency of the Cooper Com­
pany, wholesale grocers. In 1938 he was elevated to the
presidency of the company, which position he now holds.
He is a trustee of Southwestern University and a mem­
ber of the Board of Stewards of Austin Avenue Methodist
Church of Waco. He is a Shriner, a Scottish Rite Mason,
and a Knight Templar.

Nominated by the Following Banks in Group 2:
New Mexico
Artesia____ _____ ____The F irst National Bank of Artesia
Lovington........................................... Lovington National Bank
Roswell.......................... The First National Bank of Roswell
Oklahoma
Durant ...................The Durant National Bank in Durant
Hugo.................................................. The Citizens State Bank
Texas
Ballinger_______________ ____ _____ F irst National Bank
Brenham___ ____The Farmers National Bank in Brenham
Brenham..................... The F irst National Bank of Brenham
Brownfield_____ Brownfield State Bank & Trust Company
Bryan..........................................F irst National Bank of Bryan
Cleburne.................................. ............. Cleburne National Bank
Conroe..................................... F irst National Bank in Conroe
Decatur...........................The F irst National Bank in Decatur
DeLeon....................... Farmers & Merchants National Bank
Del Rio ................................ Del Rio Bank & Trust Company
Eagle Lake............-................................ F irst National Bank
Hamlin................The Farmers & Merchants National Bank
Henrietta..... ........... The F irst National Bank of Henrietta
Hillsboro................The Citizens National Bank of Hillsboro
Itasca -....................................... ..........
F irst National Bank
Jacksonville............The F irst National Bank of Jacksonville
Jefferson.... -............ The Rogers National Bank of Jefferson
Kaufman................Farmers & Merchants National Bank of
Kaufman
Laredo..................................... Union National Bank of Laredo
Marshall...................... The F irst National Bank of Marshall
M art -..........................Farmers & Merchants National Bank
Mercedes.................... The F irst National Bank of Mercedes
Mexia......................................... F irst National Bank of Mexia
Midland. ....................... ....... -_______Midland National Bank
New Braunfels............................The F irst National Bank of
New Braunfels
Palestine.............—
...........................E ast Texas National Bank
Palestine..................................... ................ F irst National Bank
Palestine................. ........ .......................... Royall National Bank
Rosebud..................................................Planters National Bank
Seguin.......................... Seguin State Bank & Trust Company
Shamrock ............... Farmers & Merchants State Bank of
Shamrock
Sonora____ ___________________ _____F irst National Bank
Taylor ........................................ ........The City National Bank
Taylor .....................................First-Taylor National Bank

Teague..................................... F irst National Bank of Teague
Temple ....................................................Temple National Bank
Texas City.........................The Texas City National Bank of
Texas City
Waco................. ............................................. National City Bank
Weatherford.......................... The Citizens National Bank of
Weatherford
Weatherford ......The Merchants and Farmers State Bank
of Weatherford
Winnsboro................The F irst National Bank of Winnsboro
W inters...............................................The Winters State Bank

JO SEPH WEARDEN
President and Chairman of the Board
Groce-Wearden Company
Wholesale Grocers
Victoria, Texas
Mr. Wearden was born on a farm near Columbus, Colo­
rado County, Texas, on January 30, 1888, and attended
the rural schools of that county. A fter leaving his father’s
farm at the age of 17, his first job was that of clerk and
bookkeeper in a retail general store. At 21 he became a
traveling salesman for the John Deere Plow Company,
but after two years he was induced by his former em­
ployer to return to the retail business.
Mr. Wearden established his own retail business at
Goliad, Texas, in 1915, conducting the business on the
then novel cash-and-carry basis. In 1919 he became a di­
rector of the F irst National Bank of Goliad, Texas, and in
January 1925 was elected Active President of that insti­
tution. He served in that capacity until 1933 when he was
elected President and General Manager of Groce-Parrish
Company, Inc., Wholesale Grocers, with headquarters in
Victoria, Texas, the name of which was changed later
to Groce-Wearden Company. Mr. Wearden has continued
as President and Chief Executive Officer of this wellknown firm which now operates in some 40 counties in
South Texas. Through the operation of his 6,000-acre
ranch in South Texas, he has kept in touch with develop­
ments in the agricultural and livestock industries.
Mr. Wearden has participated actively in the civic and
public affairs of local communities and of the State. He
served as Mayor of Goliad from 1925 to 1932; was one of
the organizers and original directors of the Gulf Coast
Good Roads Association; assisted in the organization of
the Goliad Rotary Club, serving as its first president; and
is now a member of the Victoria Rotary Club. He served
as War Fund Chairman of the Victoria County Red Cross
throughout the recent war and participated in the organ­
ization of the Victoria County Community Chest, serving
as its first president. He was a member of the Texas
Prison Board for 14 years holding the position of Chair­
man of the Board for one term. He was Chairman of the
State Finance Committee of the United W ar Chest of
Texas during World W ar II and is now serving as Presi­
dent of the Texas Wholesale Grocers Association.

Nominated by the Following Banks in Group 2:
Texas
Aransas Pass .......... The First State Bank, Aransas Pass,
Texas
B eeville......... The Commercial National Bank of Beeville
Del R io ---------- --- — ...............—
.
Del Rio National Bank
El Campo___ ___ ___Commercial State Bank of E l Campo
Goliad ........................ The F irst National Bank of Goliad
Harlingen.-.............. The F irst National Bank of Harlingen
Kenedy _______ First-Nichols National Bank of Kenedy
LaGrange ..............The F irst National Bank of LaGrange
W harton.........................Security Bank and Trust Company

NOMINEE FOR CLA9S A DIRECTOR

Nominated by the Following Banks in Group 1:

P. P. BU TLER
President

Texas

F irst National Bank in Houston
Houston, Texas

■

Mr. Butler was bom in Bullard, Smith County, Texas,
on August 18, 1891, and attended the public school in
Troup, Texas. He began his business career with the
Lutcher-Moore Lumber Company at Orange, Texas, where
he served successively as Paymaster at the logging camp
and as Bookkeeper and General Purchasing Agent in the
General Office. In 1919 he moved to Beaumont and assisted
in the organization of the Beaumont Export & Import
Company, serving as Secretary-Treasurer until May 1,
1928. On that date he entered the banking field as Execu­
tive Vice President of the American National Bank of
Beaumont and was elected President of that institution in
1937. On May 1, 1944, he was elected Executive Vice Presi­
dent of the First National Bank in Houston, Texas, and
became its President on January 1, 1945.
Mr. Butler has been an active participant in the social
and civic affairs of the communities in which he has re­
sided. During his residence in Beaumont, he served as
President of the United Charities, the Beaumont Family
Welfare Bureau, and the Community Chest; as a director
and officer of the Boy Scouts for many years; and as
President of the Beaumont Rotary Club, Round Table, and
the Beaumont Country Club.
.
At the present time he is Treasurer, director, and mem­
ber of the Executive Committee of the Houston F a t Stock
Show; President of the Sam Houston Area Council of the
Boy Scouts of America; a director and member of the
Executive Committee Junior Achievement; Director of the
Houston Symphony Society; a member of the Board of
Stewards of St. Luke’s Methodist Church; and a member
of the Houston Rotary Club. He is also a Mason and a
Shriner.

/

Austin.... ..........................................The Austin National Bank
Beaumont..........The American National Bank of Beaumont
Beaumont.................. The First National Bank of Beaumont
Beaumont..............Security State Bank and Trust Company
•of Beaumont
'
Dallas.............................. Republic National Bank of Dallas
E l Paso ...................

.The State National Bank of E l Paso

Fort Worth........Continental National Bank of Fort Worth
Fort Worth............The First National Bank of Fort Worth
Fort Worth.............................The Fort Worth National Bank
Houston....................................... .............. Citizens State Bank
Houston................................ F irst National Bank in Houston
Houston -.............................................. Houston National Bank
Houston..........The National Bank of Commerce of Houston
Houston...................... The Second National Bank of Houston
Houston.................. South Texas Commercial National Bank
of Houston
Houston...................... The Union National Bank of Houston
Port Arthur..........The F irst National Bank of Port Arthur
San Antonio........The Alamo National Bank of San Antonio
San Antonio.........The Frost National Bank of San Antonio
Waco ... ...... ................ The Citizens National Bank of Waco


Federal Reserve Bank of St. Louis, One Federal Reserve Bank Plaza, St. Louis, MO 63102