Full text of The Northwestern Banker : April 22, 1968, No. 1093

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Oldest Financial Journal West o f the Mississippi

Des Moines, Iowa

No. 1093
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Su its F iled to H alt M obile B ran ch in g
Two lawsuits have been filed
in federal court against the Fed­
eral Home Loan Bank Board,
Washington, D.C., and one has
been filed against United Fed­
eral Savings and Loan A ssoci­
ation of Des Moines, Iowa, to
prevent United Federal from op­
erating a mobile branch unit on
a regular schedule in Jefferson,
Winterset and O sceola, Iowa.
The federal board last month
granted United Federal permis­
sion to send a mobile unit to
the three Iowa towns, following
the savings and loan a ssoci­
ation’ s application to operate
in 11 Iowa towns. During a twoweek hearing in Washington last
May, some 30 Iowa savings and
loan associations, banks and
individuals from communities
affected
vigorously
opposed
United Federal’ s application.
In a suit filed in the U. S.
District Court, Southern District,
Des Moines, against the board,
ten savings and loan a ssoci­
ations, banks and individuals
alleged that the board has ex­
ceeded the authority given it by
Congress in allowing mobile
units to operate.
The plaintiffs are Central

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Savings and Loan Association,
Chariton; Clarke County State
Bank, Osceola; Farmers and
Merchants State Bank, Winterset; Union State B$.nk, Winterset; Home State Bank, Jeffer­
son; Jefferson State Bank, Jef­
ferson; R. H. Werner, director of
First Federal Savings and Loan
Association, Creston; Insurance
Plan Savings and Loan A ssoci­
ation, Mt. Pleasant; State Fed­
eral Savings and Loan A ssoci­
ation, Des Moines; and Gerald
W. Clause.
The board, the suit alleged,
has only the authority to follow
the “ best practices” of the
savings and loan industry and
mobile units are not a best
practice of the industry. It
stated that the board also has
only the right to establish local
savings and loan associations
and that mobile units are not
“ lo ca l.”
The suit also said that United
Federal, in its application,
asked for 11 locations and de­
clared it could not operate
economically with fewer than
five or six. By granting but
three locations, the board is
alleged to have exceeded its

authority. The suit asks the
court to declare the board regu­
lation allowing mobile facilities
invalid.
Another suit filed in the
Northern District, U. S. District
Court, Fort Dodge, by the First
Federal Savings and Loan As­
sociation of Carroll, Iowa, made
allegations against the board
similar to the Southern District
suit.
A third suit, filed in the
Southern District Court by the
same plaintiffs as the first suit,
asked for a declaratory judgment
against United Federal and an
injunction to prevent the a sso ci­
ation from putting a mobile unit
on the road. In addition, it
asked that United Federal be
enjoined from carrying out its
proposed merger with the Ottum­
wa Federal Savings and Loan
Association of Ottumwa, Iowa,
alleging it would violate anti­
trust laws. The action asserted
that the use of the mobile fa cil­
ity and the merger would pre­
vent other savings and loan as­
sociations from forming and
expanding in their nearby terri­
tories.
The Iowa Bankers Associ(Continued on Page 4)

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Bob Buenneke

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IOWA NEWS
OELWEIN: Churchill T. Williams,
president of the Oelwein State
Bank, has been named chairman of
the American Legion’ s National
Finance Commission.
SIOUX CITY: Funeral services were
held recently for Raymond T. Gar­
rett, 69, former assistant cashier
and manager of the personal loan
department at the T oy National
Bank, and Lew is P. Bolton, 65, a
department manager at the Toy
National for 38 years.
TRAER: Fred Lineberry has been
named farm representative at the
Farmers Savings Bank. He was
formerly a manager for the J. I.
C ase Company. Larry Hassman,
formerly of P lainfield, Iowa, has
been
named assistant cashier.
WILLIAMSBURG: O. E. (Oz) Jones,
former president of Farmers Trust
and Savings Bank, recently fell
and broke his hip and is in room
112 at the Marengo H ospital.

NEBRASKA NEWS
FREMONT: An extensive rebuilding

program is underway at the First
State Bank. Approximately 1,000
square feet w ill be added to the
siz e of the present banking area.
Other improvements will include
expanded bank lobby area and loan
o ffice s , complete interior and e x ­
terior remodeling and two new
drive-in teller windows.
NEBRASKA CITY: Mark Fullriede,
executive v ice president of the
Farmers Bank, has received a new
car from Mrs. Ruth Catron, pres­
ident of the bank, recognizing his
50 years of service with the Farm­
ers Bank. He also has been named
to the Nebraska Bankers A s s o c i­
ation’s 50-year club.
NORTH PL A TTE : J. M. Downing
of Manhattan, Kan., has joined the
staff of the McDonald State Bank
as a temporary loan officer.
OGALLALA: The Nebraska Group
of the National A ssociation of
Bank Women will hold its annual
state meeting here April 25—27.
OMAHA: D. W. Ryan, director and
v ice president of the First National
Bank of Omaha, has been appointed
to the advisory board of the Con­
sumer Credit Division of the Omaha
Credit Bureau.

MINNESOTA NEWS

CHRISTY
ARMSTRONG

LEO
KANE

'WE HAVE WHAT YOU WANT
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american trust

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9TH AND MAIN. DUBUQUE. IOWA
MEMBER: FDIC • FRS

GARY: Gordon Nelson, cashier of
the Gary State Bank, has purchased
the controlling interest in that
bank from L . J. Peterson and the
heirs of the late A. A. Habedank of
Ada. Mr. N elson, who has been
manager of the bank for the past
seven years, will become president
and cashier. Mr. Peterson will con ­
tinue to serve as chairman of the
board of directors.
MINNEAPOLIS: Gerald Petrillo of
Valley Stream, N. Y ., has been

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LEO

JAMES

SCHLUETER
WRIGHT

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Federal Reserve Bank of St. Louis

G ross C o

BANK PLANNING
Waterloo, Iowa

named a v ice president and direc­
tor of Dain, Kalman and Quail, Inc.
He will represent the firm on the
floor of the New York Stock Ex­
change.
MINNEAPOLIS: Three new direc­
tors have been elected by the North­
west International Bank. Named
to the board were Sewall D. And­
rews, Jr., vice president of General
M ills, Inc.; John R. Fitzgibbon,
executive v ice president of the
Iowa-Des Moines National Bank,
Des Moines; and John A. McHugh,
senior vice president of the North­
western National Bank of Minne­
apolis.
MINNEAPOLIS: Vic Sandvig of the
Northwestern National Bank has
been named president of the Minne­
apolis Chapter, American Institute
of Banking. Bob Torvik, First
Bloomington—Lake National Bank,
succeeds to the chapter’ s first v ice
presidency, and Rod Larson of the
Farmers and Mechanics Savings
Bank was elected second vice
president. Donald Jerpbak of the
National City Bank will serve as
treasurer.
MORA: John G. Hensel has been
named managing officer of the
Kanabec State Bank. He was for­
merly deputy regional administrator
of national banks, 13th national
bank region.
ST. PAUL: Construction has begun
on the First National Bank of St.
Paul’ s new $ 7 14 million building,
which will occupy the north twothirds o f' the block on which the
bank now stands.

NORTH DAKOTA NEWS
ALAMO: Construction has begun
on the new Alamo station of the
American State Bank of Williston.
Completion is scheduled for June 1.
J. Oliver Sovig of Alamo has been
named manager of the new station.
FARGO: David G. Gordon has been
named trust officer of the Fargo
National Bank’ s new trust depart­
ment. He was formerly employed as
trust officer at the Merchants Na­
tional Bank of Fargo.
JAMESTOWN: The Jamestown In­
stallment Loan Conference w ill be
held April 25—26, 1968. Registra­
tion may be made with Myron
Klaudt,
vice president of the
Jamestown National Bank.
RAY: John Hval of Williston has
been
appointed assistant v ice

L IN C O L N

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president and field representative
at the Citizens State Bank.

COLORADO NEWS
HOLYOKE: Private funeral services
for a long-time Colorado banker,
W. E. Heginbotham, were held here
recently. Mr. Heginbotham, 89, died
following a respiratory illness. He
was president of the First National
Bank of Holyoke for many years
prior to his death.

WYOMING NEWS

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GILLETTE: William W. Smith, v ice
president of the Stockmen’ s Bank,
was honored recently at a dinner at
the Sands restaurant, marking his
retirement from the bank after 32
years of service.
LANDER: The First National Bank
has named Floyd E. Harmon, ex ­
ecutive v ice president, as BankAmericard sp ecia list to supervise
all BankAmericard activities at
the bank.
John Holcomb has been appointed
an officer trainee in the installment
loan department of the First Na­
tional.
LOVELL: Virgil Christensen and
his wife, Naomi, have assumed
active management of the Western
National Bank. They come from
Indianola, Nebr., where they were
owners of the Bank of Indianola
and have purchased the stock
interests of three former directors
of the Western National —Bryan
Patrick, Tom Fagan and James
Crump.

B U L L E T IN S ...
CHICAGO: Robert C. Suhr, senior

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...First in Transit Service

vice
president
of Continental
Illinois National Bank and Trust
Company,
has been elected a
director
of
Libbey-Owens-Ford
Glass Company, Toledo, Ohio.

NEW YORK: Manufacturers Hanover
Trust Company has announced the
election of Rt. Hon. Viscount
De L ’ Isle, V. C ., as a director.
Lord De L ’Isle is chairman of
Phoenix Assurance Company Ltd.,
London, and was governor general
of Australia from 1961 to 1965.
NEW YORK: E. Joseph B en sler,Jr.,
has joined First National City
Bank as a v ice president in the
bank’ s operating division. He is
in charge of trust and securities
operations which include 17 de­
partments and a staff of more
than 900.

Patman Sees May Deadline
On Charter Bill
According to Rep. Wright Patman,
chairman of the House Banking and
Currency Committee, the thrift in­
dustry’ s charter bill must be on the
House floor “ by at least early
May” if it is to pass this year.
“ Only under such a schedule can
we realistically hope to get the
bill through both houses of Con­
gress this s e ss io n ,” he added.
The charter b ill, which grants
thrift institutions broader invest­
ment powers and makes them more
competitive with commercial banks,
has been approved by the House
Banking and Currency Committee,
but has been bottled up in the
House Rules Committee for -more
than three months.

Tom Horn, John
Dietendorf, G ene
H agen,Lance Blue
These m en bring the S ecu­
rity N a tio n a l B ank to their
correspondents. It’s strictly
a m a t t e r o f S e c u r it y ’s
perso n al service. S e r v ic e
for any b a n k in g ne e d or
problem .

SECURITY
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BANK

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Reserve Bank of St. Louis
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To: Northwestern Banker
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16TH & FARNAM - OMAHA, N EB R A SKA
M em ber Federal D eposit Insurance Corporation

Branching...
(Continued from Page 1)
ation, though not a plaintiff in the
su its, has served as co-ordinating
agency for the legal actions taken
by the banks involved, Arthur E.
Lindquist, Jr., secretary of the
association , said. Attorneys for
the plaintiffs are Thoma, Schoenthal, Davis, Hockenberg and Wine,
the firm which co-ordinated protestants’ testimony at the May
Washington hearings.

NATIONAL NEWS
CHICAGO: Six promotions have
been announced by the Harris
Trust & Savings Bank. P. David
Hubbard, Philip R. Keller and
Frederick B. Wightman have been
named v ice presidents. New in­
vestment officers are David J.
McLaughlin, Stanley Palmer and
Thomas A. Wick.
CHICAGO: American National Bank
& Trust Company has authorized
transfer of $2.5 million to the sur­
plus account, boosting the bank’s
total capital and surplus to the
$35 million level.
WASHINGTON, D .C .: The April 2 1 23 national conference on economic
and socia l problems confronting
rural America has been cancelled
by the Independent Bankers A s­
sociation of America because of a
reluctance of member bank officers
to go to Washington at this time.

WANT ADS

Rates 25 cents per word per
insertion. Minimum: 12 words.
NORTHWESTERN BANKER
306 15th St., Des M oines, Iowa
EQUIPMENT WANTED
Earthmoving construction equip­
ment wanted. Consignment or pur­
ch ase. Gene Boysen & A ss o c.
Grand Island, Nebraska 68801.
Phone 3 0 8 /3 8 4 -2 0 4 0 .
POSITION AVAILABLE
Opportunity for operatiqns officer
in $10 million bank. Went to Com­
puter March 1, 1968. Good chance
for advancement. Write F ile BCO,
NORTHWESTERN BANKER, 306 15th St., Des Moines, Iowa 5 0309.
WANTED
To purchase control o f $12 to
$26 million Iowa bank. Individual,
will move and become active in
bank. Confidential and have the
cash. Write Box BCE, in care of
NORTHWESTERN BANKER, 306 15th St., Des Moines, Iowa 50309.
FOR SALE
Small town bank — 1.4 adjusted book.
Investment about $485,000. South­
ern Minnesota. Principals only.
Write File MBB, in care of the
NORTHWESTERN BANKER, 306 15th St., Des Moines, Iowa 50309.
POSITION WANTED
Iowa banker, age 54, with 27 years
experience, 22 years as officer and
director of one country bank. Ex­
perienced in ag credit, commercial,
real estate mortgage and personal
loans, and insurance agency. Grad­
uate of Schöol of Banking at Madi­
son, Iowa Ag Credit School at Iowa
State. Completed Standard, PreStandard A.I.B. courses. Willing to
move. Complete details available.
Write Box ITD, in care of the

CHILES & COMPANY
Member, Midwest Stock Exchange

M U N IC IP A L A N D C O R P O R A T E B O N D S
L IS T E D , U N L IS T E D A N D L O C A L S T O C K S

412 Farm Credit Building, Omaha, Nebraska 68102
Phone 346-6677

NORTHWESTERN B A N K E R ,306 15th St., Des Moines, Iowa 50309.
4.
FOR SALE
One Cummins Model 300 perforator
cancelling machine. Price $100.
Blair Bank, Blair, Nebraska 68008.
BANKS WANTED
Hard-working staff of energetic
Chicago Loop bank desires to
serve mere banks in the midwest
better than they have ever been
Served before. This is not a lipservice ad. We’ ll perform! Call
Max Roy in Iowa City at 338—5224.
Or phone us direct at La Salle
National Bank, 135 S. La Salle St.,
Chicago, Illinois 60690. (Area
Code 312) STate 2 -5 20 0. Complete
trust services. Member of Federal
Deposit Insurance Corporation, of
course!
$10.00 IS
The price of a personal, air mail
subscription to the Crouse Farm
Business Reports. They help keep
loan officers and ag representa­
tives ahead of the changing farm
picture. Samples available. The
Farm Business Council, Inc., P.O.
Box F, Urbana, Illinois 61801.
FOR SALE
NCR —Model 22010 Proof Machine
with 20 T otals, 7 Tapes and wired
for 480 Encoder Attachment. Con­
t a c t - F ir s t State Bank, Fremont,
Nebraska 68025. Telephone (Area
Code 402) 721-2500 C ollect.
AGRICULTURAL CREDIT
A rapidly-expanding agriculturalchemical manufacturing and mar­
keting corporation needs an ener­
getic, sales oriented college grad
with a degree in agriculture or
business for Assistant Credit Man­
ager position. Must have five years
banking or PCA loan experience,
and potential for promotion. Farm
background helpful. Job responsi­
bilities include involvement in
corporate wholesale and retail
credit policy formulation, adminis­
tration, and supervision. Will con ­
duct credit meetings for sa le s­
men. Credit Department reports
to Financial O fficer of Corpora­
tion. Light travel. Midwest lo ­
cation. Starting salary to $12,000.
Write File TSC, in care of the
NORTHWESTERN BANKER, 306 15th St., Des Moines, Iowa 50309.
(An Equal Opportunity Employer)

No. 1093 Northwestern Banker is published five times monthly by the Northwestern Banker Company, 306 Fifteenth Street, Des


Moines,
Iowa 50309. Subscriptions 50<£ per copy, $6 per year. Second c la s s postage paid at D es Moines, Iowa. Address all mail
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subscriptions, changes o f address (Forms 3579), manuscripts, mail items to above address.
Federal Reserve Bank of St. Louis

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