Show BANKS REQUEST INSURANCE AID J 2725 Already Listed Under Federal Deposit Corporation Corpora Corpora- tion Rules Outlined NEW YORK Oct 17 UP UP-A UP A toW total to to- tai tal of ot 2725 2125 banks already have applied for membership under the Federal Deposit Deposit Deposit De De- De- De posit Insurance corporation Waller Walter J. J Cummings board chairman of the government gov eminent agency said here today I He detailed methods by which the corporation will operate wh deposit deposit deposit de de- posit insurance system st starts January I 1 and asserted that the bank holiday of last March could have been prevented prevented prevented pre pre- vented had deposits previously been Insured by a federal agency Cummings Cummings Cum Cum- spoke at a n meeting of the Sav Say ings lags Bank association of New York Procedure by which a state bank nonmember of the reserve system would apply for insurance benefits was was explained by Cummings They must procure a certificate of solvency from the proper state authorities au au- he said and under the law Jaw the corporation must examine each state stale nonmember bank to determine determine deter deter- mine its eligibility There is no fixed or general rule to govern the examination of the nonmember nonmember non- non mem member r banks said Cummings To serve a community a bank necessarily ily must make local loans These loans might be without saleable value in financial centers and yet be per percent percent percent cent sound in the community served by the bank This corporation has been created for the protection of depositors by affording af af- fording them insurance and under such a system the test of solvency can b be substituted for that of liquidity without sacrificing ultimate safety Cummings estimated that approximately approximately approximately would be subscribed subscribed subscribed sub sub- scribed by banks that become members mem mem- bers bens of the insurance fund |