Full text of The Northwestern Banker : March 24, 1969, No. 1152

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Oldest Financial Journal Serving
The Central and Western States

No. 1152

Des Moines, Iowa

March 24,1969

Independents View H olding Com pany Threat;
P rim e Rate Up as Convention Opens
By MALCOLM FREELAND Publisher
“ The one-bank holding com­
pany situation poses real dan­
gers to the banks operating in
the small and medium sized
communities around the coun­
try.”
This was the comment made
by Wright Patman (D., Tex.),
chairman of the House Banking
and Currency Committee, be­
fore the 39th annual conven­
tion of the Independent Bankers
Association of America in
Las Vegas.
Rep. Patman has introduced
HR 6778, which he hopes “ will
lead the banking industry back
into banking.” His bill would
control the one-bank holding
companies and place them under
the direct jurisdiction of the
Bank Holding Company Act of
1956. Hearings on the bill will
open April 1.
Rep. Patman says, “ To date
we have had a lot of mumble
jumble from the Treasury De­
partment on the one-bank hold­
ing company issu e.” He blames

much of the trouble on Dr.
Charls Walker, under-Secretary
of the Treasury, who was for­
merly executive vice president
of the American Bankers As­
sociation. He believes that
“ Dr. Walker’s activities on the
holding company legislation
have been disgraceful and
President Nixon should remove
him immediately from further
work on the b ill.”
*

*

*

News of the increase in the
prime rate to 7%% broke on
Monday morning (March 17) at
the start of the IBA conven­
tion. As of Tuesday afternoon,
the IBA had not taken an of­
ficial position on the move,
except to say that it was
against inflation. Rep. Patman
told the Northwestern Banker
that the rate increase is devas­
tating and will work a hardship
on the majority of Americans.
He expressed the hope that
President Nixon will challenge

Yes! W e’re here to help you get w h at you w an t

IOWA-DES MOINES
NATIONAL BANK

'ir

Sixth and Walnut. Dcs Moines 50304 • 284-8686
Member Federal Deposit Insurance Corporation


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

tEe Federal Reserve on the
matter.
IBA President T. H. Milner,
Jr., president, First National
Bank, Athens, Georgia, attacked
recent administrative decisions
on mobile banking and loan
production offices and autho­
rized purchases of stock in
subsidiary corporations. He
was
particularly concerned
about “ tender offer” acquisi­
tions of banks. He warned
delegates to re-evaluate their
relationships with shareholders
and build a better understand­
ing with them so that they may
be forewarned of a “ tender of­
fer” takeover.
President Milner reported
that the Rolling Bank Cases
clearly violated the branch
banking laws of Georgia, Flor­
ida and the United States. The
lower Federal Court in the
Georgia case and the Fifth
Circuit Court of Appeals in
both cases ruled that the banks
and the Comptroller authorizing
the operations were in violation
of the law. The cases are now
before the Supreme Court of the
United States. Congressman
Patman agreed with President
(C o n tin u e d on P a g e 4^

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• Providing tailored financing programs to
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• $10,000 to $200,000 — 5 to 10 year terms

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128 First Avenue, N.E.
Cedar Rapids, Iowa 52401
Phone (319) 363-0263
Bob Allsop, Vice-President
l-oo A. Warren
Sheldon Clinton
•A FEDERAL LICENSEE UNDER THE SMALL BUSINESS INVESTMENT ACT OF 195S

IOWA NEWS
D A LLA S C E N T E R : R oger Winterhof h a s b e e n e le c te d a s s i s t a n t
c a s h ie r of th e B renton S ta te B ank.
H e jo in e d th e b an k in M arch, 1968DES MOINES: D ick W. K uehl h a s
b e e n a p p o in te d co m m ercial loan
o ffic e r a t th e Io w a-D es M oines N a ­
tio n a l B ank. H e h a s b een em ­
p lo y ed w ith th e F ir s t N a tio n a l
C ity B ank o f N ew Y ork for th e
p a s t 10 y e a rs and jo in e d Iow aD es M oines on M arch 17.

DES MOINES: T h e Io w a S en ate on
M arch 18 p a s s e d a b ill in c re a s in g
th e s t a t e ’s le g a l lend in g lim it to
in d iv id u a ls from 7% to 9%. T he
b ill w as s e n t to th e H o u se , w here
it w a s s t i l l b ein g d e b a te d at th e

S IO U X C IT Y , IO W A

tim e of th is p u b lic a tio n (M arch 20).
S ev era l am en d m en ts to th e b ill,
in c lu d in g p ro v is io n s to red u c e th e
lending lim it s e t by th e b ill from
9% to 8%, to s e t a 9% lim it on
“ a l l ” lo a n s an d a tru th -in -le n d in g
p ro v isio n
reg ard in g
c r e d it life
in su ra n c e , w ere being c o n s id e re d
in th e H o u se .
HUM BOLDT: D onald M. R o b e rts ,
form erly p re s id e n t of th e M ills
C ounty S ta te B an k , h a s b e e n nam ed
v ic e p r e s id e n t of th e F ir s t N a ­
tio n a l B ank h e re , e ffe c tiv e A pril 1.
SIOUX C IT Y : E dw ard K. L ea h y
h a s jo in e d th e farm c re d it d e p a rt­
m ent of th e S ecu rity N a tio n a l B ank
a s a s s i s t a n t c a s h ie r. He h a s b e e n
em ploy ed for th e p a s t four y e a r s a s
a farm and b u s in e s s m ortg ag e loan
fie ld m an for th e Jo h n H an co ck
M utual L ife In su ra n c e C om pany.
T O L E D O : T h e S ta te B ank of T o le ­
do h a s in c re a s e d its c a p ita l s to c k
from $ 1 2 0 ,0 0 0 to $ 2 4 0 ,0 0 0 b y a
by a 100% s to c k d iv id e n d .
V INTON: K e n n e th B . K ram er, p a r t­
n er in K ram er’s M en’s S tore h ere ,
h a s b e e n nam ed farm r e p r e s e n ta tiv e
a t th e S tate B ank of V in to n .

NEBRASKA NEWS

C hristy Armstrong

‘WE HAVE WHAT YOU WANT
in a correspondent bank’

american trust
a n d sa v in g s b a n k
9TH AND MAIN, DUBUQUE, IOWA

Digitized for M
FRASER
EM BER. FDIC * FRS
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

L IN C O L N : T h e N e b ra s k a L e g is ­
la tu r e ’s B a n k in g , Com m erce and
In su ra n c e C om m ittee h a s k ille d a
b ill, L B 710, to re d u c e th e m axi­
mum in te r e s t r a te s on in s ta llm e n t
lo a n s.
MONROE: T h e H arris fam ily in te r­
e s t in th e B ank of M onroe h as

b e e n so ld by th e H a rris e s ta t e to
R o b ert L . H ay te r, D ale S tin e , H.
Dan H uff and K. W. P e te rs o n . Mr.
S tin e is now p r e s id e n t of th e ban k .
He is a ls o p re s id e n t of th e N orth
L o u p s V a lle y B a n k . Mr. H ay te r is
now e x e c u tiv e v ic e p r e s id e n t; K en ­
n e th R . D alto n , M .D ., is v ic e p r e s ­
id e n t; J a n ic e Z ie g le r is c a s h ie r,
and J e a n C a rs te n s o n is a s s i s t a n t
c a s h ie r. Mr. H uff is p r e s id e n t of
S ecu rity S tate B ank a t O xford, and
Mr. P e te rs o n , of S a r g e n t, is p r e s ­
id e n t of F arm ers S ta te B ank in
K ilg o re.

V

OCONTO: E ile e n W alters h a s jo in e d
th e s ta f f of th e F arm ers B ank a s
a s s i s t a n t c a s h ie r.
OMAHA: Jo h n M. S h o n sey h a s r e ­
sig n e d a s e x e c u tiv e v ic e p re s id e n t
and d ire c to r of T h e O m a h a N a tio n a l
B an k to b eco m e more a c tiv e in
m anagem ent of West O m aha N a tio n ­
a l B a n k , of w h ich he is ch a irm an of
th e b o ard . Mr. S h o n sey h elp ed
o rg an ize th e W est O m aha N a tio n a l
in 1964 and is p rin c ip a l s to c k ­
h o ld er.

OMAHA: F i r s t N a tio n a l B a n k ’s a n ­
n u al “ C huck Wagon R oundup’ ’ s ta r ts
a t 10 a.m . T h u rsd a y , M arch 27, a t
A k-S ar-B en F ie ld w ith a w elcom e
by Don O stra n d , v ic e p r e s id e n t in
ch arg e of th e c o rre sp o n d e n t b an k
d e p a rtm en t, and M ervin F . A e g e rte r,
s e c o n d v ic e p r e s id e n t in th e sa m e
d ep a rtm en t. Dr. Abe E p p and Jim
G reer of th e U n iv e rsity of N e b ra sk a
C o lleg e of A g ric u ltu re w ill ta k e
p a r ts of a c a ttl e fee d er se e k in g a
loan from h is b an k e r.
A fter th e C h u ck Wagon lu n c h eo n ,
Dr. R. A. L o n g , d ire c to r of r e s e a rc h
and d ev e lo p m e n t a t A nkony A ngus
in R h in e b e c k , N. Y ., w ill d is c u s s
“ T h e New E m p h a sis on C u ta b ility
in L iv e s to c k S e le c tio n and How
I t ’s A ffec tin g Our I n d u s tr y .”
Merv A e g e rte r w ill p re s e n t c o n ­
t e s t aw ard s and a program w rap-up
to co n c lu d e th e d ay .

/1

y

*

A lw a y s th e F irst to S e rv e Y o u !

First National Bank of Omaha

16 TH & FARN AM - OMAHA, NEBRASKA
Member Federal Deposit Insurance Corporation

OMAHA: Jo h n D. E u s tic e , p re s id e n t
of E u s tic e P ro c e s s in g Com pany and
a d ire c to r of the S to ck y a rd s N a­
tio n a l B ank, died a t h is home r e ­
c e n tly follow ing a h e a rt a tta c k .

OMAHA: Jo h n J . B o h rer, a p a s t
p re s id e n t of th e N e b r a s k a I n v e s t­
m ent B a n k ers A s s o c ia tio n , h a s a n ­
n ou n ced th e form ation of C o n tin e n ­
ta l S e c u r itie s C om pany, a new in ­
v e s tm e n t firm , w ith o ffic e s in
P a c ific P la z a a t 73rd and P a c ific
S tre e ts . Mr. B ohrer is p re s id e n t of
th e new firm .

W ALLACE: Mrs. M arie Wolden,
p re s id e n t of th e F a rm e rs S tate
B a n k , h as anno u n ced th e s a le of
c o n tro llin g in te r e s t in th e b an k to
K enneth H. N ie d a n , e x e c u tiv e v ic e
p re s id e n t and m anaging o ffic er of
th e H ersh ey S ta te B ank, H ersh ey ,
N e b r., and E . D ean N ied a n , v ic e
p re s id e n t of th e M cD onald S ta te
B ank, N orth P la tt e , N eb r., and
p re s id e n t of th e H ersh ey S tate
B ank. T he N e id a n s w ill jo in th e
b a n k ’s b oard of d ire c to rs in A pril.
Mr. C arl Wolden and Mrs. M arie
Wolden w ill c o n tin u e to o p e ra te
th e bank for an interim p erio d .
-f *

MINNESOTA NEWS
F A R IB A U L T : A p p lic a tio n h as b e e n
file d w ith th e S ta te D epartm ent of
Com m erce for a p ro p o sed s ta te
b an k , th e R ic e C ounty S tate B ank,
to be lo c a te d h ere . In co rp o ra to rs
nam ed in th e a p p lic a tio n a re : Jo h n
A. P e r r a of H ope, M inn., and T hom ­
a s C. D illon of F a r ib a u lt. P ro p o se d
c a p ita l is $250,000- No d a te h a s
b e e n s e t for h ea rin g on th e a p p li­
c a tio n .
M IN NEA PO LIS: T he M in n e so ta
B a n k e rs A s s o c ia tio n w ill hold its
PO SITIO N WANTED
B ank O ff ic e r —age 34, m arried, d e ­
s ir e s bank o ffic e r p o sitio n w ith
o p p o rtu n ity . S e v e ra l y e a r s v arie d
bank and in su ra n c e e x p e rie n c e ,
including in s ta llm e n t le n d in g . C o l­
le g e back g ro u n d . P re fe ra b ly Min­
n e s o ta c ity of a t le a s t 8,000 popu­
la tio n . Write F ile ED N , in c a re of
th e N O RTH W ESTERN BA N K E R ,
F ifte e n th S tre e t, D es M oines,
Digitized for306
FRASER
Iow a 50309.
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

firs t s e r ie s of R e g io n a l S taff T ra in ­
ing and P u b lic R e la tio n s m e etin g s
a t th e Inn Tow ne M otel, M ankato,
M arch 25; a t th e R ainbow Inn,
Grand R a p id s, March 26; a t th e
G erm aine H o te l, S t. C lo u d , M arch
27. Bank o ffic e rs and s ta f f mem­
b e rs from MBA member b a n k s are
urged to a tte n d .
M IN NEA PO LIS: In clu d e d among r e ­
ce n t o ffic e r pro m o tio n s a t th e F ir s t
N a tio n a l Bank of M in n e ap o lis w ere:
P a u l D. S c h lie sm a n , v ic e p re s id e n t
and c o n tro lle r; Jo h n R. H all and
Jo h n T . W eingart, v ic e p re s id e n ts ;
D onald G. W achholz, a s s is ta n t v ic e
p r e s id e n t, and A llen G. H ighum ,
a s s i s t a n t c a s h ie r , b o th in c o rre ­
sp o n d e n t b an k in g .
VIRGINIA^ J e a n P._ B e n n e tt, for­
m erly c a s h ie r of th e G rafton N a­
tio n a l B an k , G rafto n , N .D ., h as
b ee n nam ed c a s h ie r of th e S tate
Bank of V irg in ia. He r e p la c e s
D o n a ld E . W e stfie ld , w h o h a s jo in e d
th e N o rth w e ste rn N a tio n a l B ank of
B lo o m in g to n -R ich field .
WADENA: J . M. Brow ne h as been
e le c te d p re s id e n t of th e W adena
S tate B an k , su c c e e d in g h is fa th e r,
W. J . B row ne, who a d v a n c e d to
ch airm an , E . E . J a re ris e n , c a s h ie r,
has b een prom oted to v ic e p r e s ­
id e n t, s u c c e e d in g th e new bank
p re s id e n t.
WADENA: M artin E h le n h a s b een
e le c te d chairm an of th e F ir s t N a ­
tio n a l Bank b o ard . A lan P e tti t h as
b e e n a d v a n c e d to e x e c u tiv e v ic e
p re s id e n t; M erle L a rso n to v ic e
p re s id e n t; A nton P e te rs o n to c a s h ­
ier and W illiam J a c o b s o n to a s ­
s i s t a n t c a s h ie r.

ILLINOIS NEWS
M eeting of Group 3 of th e I llin o is
B a n k ers A s s o c ia tio n w ill be h eld

W ednesday, M arch 2 6 , a t P h e a s a n t
Run in St. C h a rle s .
C A PR O N : A p p lic atio n h a s b een
file d w ith th e C o m p tro ller of th e
C u rren cy to c h a n g e th e lo c a tio n
of th e C apron S ta te B ank here from
th e co rn er of 4th and M ain S tre e t
to th e co rn e r of 6th and Main S tre e t.
MOMENCE: A p p lic atio n of th e
P a r is h B ank and T ru s t Com pany to
e s ta b lis h a b ran ch a t 103 E a s t
Ohio S tre e t here h as b e e n a p ­
proved by th e C o m p tro ller of th e
C urrency.

COLORADO NEWS
D EN V ER:
Jo h n
E d m isto n and
H a s k e ll *H. Croy h av e b e e n p ro ­
moted to a s s is ta n t v ic e p re s id e n ts
at th e C e n tral Bank and T ru s t C om ­
pany. W illiam R. Weber and E u g e n e
J a e g e r h av e b e e n nam ed a s s is ta n t
c a s h ie r s .
D EN V ER : T h re e o ffic e rs have b ee n
prom oted a t th e C o lo rad o N a tio n a l
B ank. T h ey axe C arl P . D onner, II,
n a tio n a l a c c o u n ts loan o ffic e r,
nam ed a s s i s t a n t v ic e p re s id e n t;
R ich ard B . L o th , in te rn a tio n a l
d iv is io n lo an o ffic e r, nam ed a s ­
s is ta n t v ic e p re s id e n t; W illiam R.
M oore, tr u s t d ep a rtm en t in v e stm e n t
o ffic e r, nam ed tr u s t o ffic e r.
LAKEWOOD: J a m e s W. G u n ter h a s
b een e le c te d a s s is ta n t v ic e p r e s ­
id e n t and M rs. H ild a M ays a s s i s ­
ta n t c a s h ie r a t th e L ak ew o o d C o lo ­
rad o N a tio n a l B ank.

/Fik Gross Co
BANK PLANNING
Waterloo, Iowa

C H ILES &COMPANY
M EM BER, M IDW EST STOCK EXCHANGE

412 Farm Credit Building, Omaha, Nebraska 68102
Phone 346-6677 (Area Code 402) Teletype 402 348-1040
LINCOLN
N ebraska

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A
A-

SOUTH DAKOTA NEWS
FA IR VIEW: L lo y d R. S w enson,
form erly v ic e p re s id e n t of th e
F a irv ie w S ta te B a n k , h a s b ee n
nam ed p r e s id e n t, s u c c e e d in g O. L .
G reguson. A ili S w enson h as b een
e le c te d v ic e p r e s id e n t, and D en­
n is R. S w enson h as b e e n nam ed
c a s h ie r.

YANKTON: J a m e s I. D eam , p r e s ­
id e n t of A m erican S tate B a n k , and
h is a s s o c ia te s have p u rc h a se d
c a p ita l s to c k of th e b an k from
S. D ean E v a n s , S r., S a lin a , K a n s.;
M rs. R u s s e ll K n u d so n , Y ankton,
and th e Shannon fam ily of Y ankton.
M rs. W illiam S hannon is a g ra n d ­
d a u g h ter of th e la te N. P . O elm an,
founder of th e bank. Mr. Deam a ls o
an n o u n c ed th e e le c tio n of D exter
H. G u n d erso n of Ire n e , S .D ., to
th e b o ard . H e is a w ell-know n
b u s in e s s m a n and farm er of th e
a r e a and is S p eak e r of th e South
D a k o ta H o u se of R e p re s e n ta tiv e s .
E le c te d chairm an of th e bo ard
w as Jo h n M. S h o n sey , N e b ra s k a
b a n k e r and liv e s to c k o p e ra to r.

NORTH DAKOTA NEWS
SHARON: W. F . S m ith, form er a s ­
s i s t a n t v ic e p re s id e n t in the com ­
m ercial loan d e p a rtm en t of th e
F ir s t N a tio n a l B an k , A berd een ,
S .D ., h a s ta k e n over a c tiv e m an­
ag em en t of th e F ir s t S ta te B a n k ,
w hich he p u rc h a s e d la s t J a n u a ry .

Convention. . .
(C o n tin u e d from P a g e 1)
M ilner by sa y in g th a t “ ev e ry o n e

know s th a t th e C o m p tro ller of th e
C u rren cy th in k s th a t an y th in g th a t
m oves ought to b e ap p ro v e d .” He
s a id th a t so m e of C o m p tro ller
W illiam C am p’s a c tiv itie s make
som e of th e high r o lle rs in L a s
V e g a s lo o k lik e p ik e rs .
B . M eyer H a rris , ch airm an and
p re s id e n t
of T he Y e llo w sto n e
B ank, L a u re l, M ontana, w as e l e c ­
te d new IB A p r e s id e n t to s u c ­
c e e d Mr. M ilner. More th a n 2,000
b a n k e rs an d th e ir w iv e s w ere
r e g is te r e d
for th e c o n v e n tio n .

re fin e d in te rn a l a u d it program .
Write F ile TMB, in c a re of th e
N O RTH W ESTERN BA N K ER , 306 15th S t., D es M o in es, Io w a 5 0 309.
PO SIT IO N WANTED
D e sire e x e c u tiv e o ffic e r or 2nd
man p o s itio n in co u n try b a n k , or
so u n d p o s itio n w ith p o te n tia l w ith
la rg e r in s titu tio n . Now c a s h ie r,
age 39, 17 y e a rs e x p e rie n c e lo a n s ,
o p e ra tio n s , a d m in istra tio n and d i ­
re c to r. P re fe r M ontana, C o lo rad o ,
Wyoming —C o n sid er a ll. Write F ile
ORM, N O RTH W ESTERN BA N K ER ,
306 F ifte e n th S tre e t, D es M o in es,
Io w a 50309.
$10.00 IS
T he p rice of a p e rs o n a l, a ir m ail
su b sc rip tio n to th e C ro u se Farm
B u s in e s s R e p o rts. T hey h elp k eep
loan o ffic e rs and ag r e p r e s e n ta ­
tiv e s ah ead of the chan g in g farm
p ic tu re . - S am p les a v a ila b le . T he
Farm B u s in e s s C o u n c il, In c ., P .O .
Box F , U rb an a, Illin o is 61801.

TRU ST O F F IC E R
SUBURBAN CHICAGO
W anted —a y o ung, v ig o ro u s T ru s t
O ffic er to ta k e o ver T ru s t D e p a rt­
m ent in dyn am ic $20 m illio n n o rth ­
w e st su b u rb a n b an k . S ala ry com ­
m e n su ra te w ith e d u c a tio n , b a c k ­
ground an d e x p e rie n c e . Write F ile
IN B , N O RTH W ESTERN B A N K ER,
306 F ifte e n th S tre e t, D es M o in es,
Io w a 50309.
BANK AUDITOR
O p p o rtu n ity for b a n k a u d ito r in
W estern M etro p o litan a re a . M ust
h ave in d e p en d e n t b an k a u d itin g
e x p e rie n c e . Will be r e s p o n s ib le
for in itia tin g and a d m in iste rin g

IN C R EA SE 1969 P R O F IT S
Cy K irk and Max R oy, v ic e p r e s ­
id e n ts of th e L a S a lle N a tio n a l
B a n k , C h ica g o , are p re p a re d to
a s s i s t you and your b an k in p la n ­
n ing in c re a s e d p ro fits for 1969.
W hether it is an a n a ly s is of your
bond p o rtfo lio or a c o s t stu d y of
your g e n e ra l ban k in g s e r v ic e s ,
L a S a l l e N a tio n a l B an k h a s th e
f a c ilitie s to s e rv e your ev ery n e e d .
C a ll Cy or Max to d ay a t (A rea
C ode 312) ST 2—5200 for im m edi­
a te a c tio n .
BANKING O P P O R T U N IT Y
in d y n am ic,
c ity .

p ro g re s s iv e

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Im m ed iate o p en in g s for:
H EA D T E L L E R —m ust h av e a t
le a s t fiv e y e a r s te lle r e x p e r i­
ence.

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BANK O F F IC E MANAGER M u st h a v e a t l e a s t fiv e y e a r s
t e lle r e x p e rie n c e o r co m p a ra b le .
L ib e ra l p ro fit s h a rin g p rogram ,
b o n u s an d o th e r frin g e b e n e f its .

CENTRAL

NATIONAL

BANK

AND

TRUST

COMPANY

W rite F ile K F I, in c a re of
th e N O RTH W ESTERN B A N K E R ,
306 F if te e n th S t., D es M o in es,
Io w a 50309.

M em be r F edera l D ep o sit In s u ra n c e C o rp o ra tio n

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