HEARINGS

BEFORE THE

COMMITTEE ON BANKING AND CURRENCY

UNITED STATES SENATE

EIGHTY-FOURTH CONGRESS

SECOND SESSION

TO CONSIDER THE LEGISLATIVE

RECOMMENDATIONS OF THE

FEDERAL SUPERVISORY

AGENCIES

PART 1

NOVEMBER 9 AND 10, 1956

Printed for the use of the Committee on Banking and Currency

COMMITTEE ON BANKING AND CURRENCY

J. W. FULBRIGHT, Arkansas, Chairman

A. WILLIS' ROBERTSON, Virginia

HOMER E. CAPEHART, Indiana
JOHN J. SPARKMAN, Alabama

JOHN W. BRICKER, Ohio
J. ALLEN FREAR, JR., Delaware

IRVING M. IVES, New York
PAUL H. DOUGLAS, Illinois

WALLACE F. BENNETT, Utah
HERBERT H. LEHMAN, New York

PRESCOTT S. BUSH, Connecticut
A. S. MIKE MONRONEY, Oklahoma

J. GLENN BEALL, Maryland
WAYNE MORSE, Oregon

FREDERICK G. PAYNE, Maine
J. H. YINGLING, Chief Clerka

ROBERT A. WALLACE, Staff Director

STUDY AUTHORIZED BY THE COMMITTEE ON BANKING AND CURRENCY PURSUANT TO

SENATE RESOLUTION 155, 84TH CONGRESS, 2D SESSION

A. WILLIS ROBERTSON, Virginia, Acting Chairman

DONALD L. ROGERS, Counsel

II

CONTENTS

Pago

List of members of Advisory Committee.--.

3

Statement of

Cook, H. E., Chairman, accompanied by Maple T. Harl, member;

Royal L. Coburn, General Counsel; Neil G. Greensides, Acting

Assistant to the Chairman; and William G. Loeffler, Controller,

Federal Deposit Insurance Corporation.-

-- 239, 289

Gidney, Ray M., Comptroller of the Currency, accompanied by
L. A. Jennings, First Deputy Comptroller of the Currency-

4

Robertson, Albert J., Chairman; accompanied by Ira Dixon and

William Hallahan, members; Thomas H. Creighton, General Coun-

sel; John M. Wyman, Director, Division of Supervision; Verne C.

Bonesteel, Director, Division of Examinations; and Dr. William H.

Husband, General Manager, Federal Savings and Loan Operations,

Federal Home Loan Bank Board..

333

Gannon, J. Deane, Director, Bureau of Federal Credit Unions, Depart-

ment of Health, Education, and Welfare..--

415

Robertson, J. L., member, Board of Governors, accompanied by

George B. Vest, General Counsel, Federal Reserve Board..

163

Inquiries by members of Advisory Committee:

Bubb, Henry A.

235, 397

Cravens, Kenton R., chairman.

3, 72, 221, 290, 400, 422

Harris, Reese H., Jr..

86, 234, 295, 413

Herz, Theodore

301

Livingston, Homer J.

277

McCloy, John J.

72, 221, 292, 411

Pratt, William W

423

Reese, Everett D.

72, 236, 291, 414

Wooten, Ben.--

236

Recommendations, statements, reports, etc., submitted for the record by-

American Association of Federal Credit Unions: Letter to Senator

Robertson.-

156

American Bankers Association:

Letter to chairman.-

91

Recommendations for changes in law-

92

Association of Reserve City Bankers:

Letter to chairman...

96

Report on recommendations for changes in law..

96

Exhibit A, supporting American Bankers' Association recom-

mendation No. 4.--

101

Brody, Maurice S., Denver, Colo.: Statement-

122

Bureau of Federal Credit Unions: Recommendations for changes in

law, 167–175...

415

Comptroller of the Currency:
Recommendations for changes in law, 1-45A.

17
List of examiners who left to accept employment with banks. 158
Connecticut Savings Banks' Deposit Guaranty Fund of Connecticut,
Inc.: Summary of fund's origin and operations -

307
Credit Union National Association, Inc.:
Letter to committee.

117
Comments on agency recommendations-

117
Recommendations for changes in law.-

119
Federal Advisory Council, Federal Reserve Board: Comments on
Board's recommendations.

207

Federal Deposit Insurance Corporation:

Recommendations for changes in law, 86–115-

239