Exactly as in Report Group II: Chairman-William H. Krier, Assistant Vice President, Representative-Sanford Bush, Vice President, The First Member at Large-John W. Remington, President, Lincoln Group III: Chairman C. David Wenban, Executive Vice President and Cashier, First National Bank of Painted Post, Painted Post. Representative-Ralph L. Higley, Cashier, The First National Bank & Trust Company of Walton, Walton. Member at Large-Burr P. Cleveland, President, First National Bank of Cortland, Cortland. Group IV: Chairman-Daniel M. Warne, Vice President, Oneida Valley National Bank of Oneida, Hamilton. Representative-W. Niver Wynkoop, Executive Vice Presi- Member at Large-A. B. Merrill, President, First Trust and Group V: Chairman S. Beach Parker, Vice President, Union Na- Representative-Mark H. Peet, Vice President and Trust Member at Large-Hollis E. Harrington, Vice President, Exactly as in Report Group VI: Chairman M. A. Merrihew, Assistant Vice President, The Group VII: Chairman-George H. Becht, Vice President and Cashier, Representative-Charles J. Machleid, President, Peninsula Member at Large-Oscar Gast, President, Bank of Rock- Group VIII: Chairman-Alex H. Ardrey, President, Bankers Trust Com- Representative-George C. Textor, President, The Marine Ex-Officio Member-Albert L. Muench, Executive Vice Counsel-Leo P. Dorsey. At the time this testimony was being prepared, to my knowledge, the American Bankers Association had not requested an opportunity to express its views on the Curtis Bill (H.R. 8737) or tax-equality. Quite frankly, the American Bankers Association has been a source of disappointment to commercial banks throughout the United States for some time. I should like to quote from a letter which I recently sent to all commercial banks in the United States: "I am all for the ABA as a dynamic organ- But the American Bankers Association carries water on both shoulders and attempts to be all things to all people. It strives to maintain a course of North, South, East and West all at one time. It would be both loud and soft, deep and shallow, capitalistic and socialistic. Why is the American Bankers Association weak? Reason One: Its membership includes mutual savings banks. A strong position on tax-equality would displease the mutual savings banks. Reason Two: It caters to big city banks with large deposits from mutual savings banks. Many big city banks do not take a stand on taxequality for fear of losing mutual savings bank deposits. The philosophy of the American Bankers Association suggests that commercial banks, instead of advocating a decrease in the tax-free reserves of mutual savings banks and savings and loan associations, seek a comparable tax-free reserve for commercial banks. While uniformity is a desirable thing with respect to bad debt reserves, the question is a separate one from basic tax equality. ABA's LEADERSHIP DEFAULT PROMPTS POLL OF BANKS As stated earlier, the New York State Bankers Associa tion's report covering "Analysis of Problem" begins by stating, "The problem is countrywide and not peculiar to New York State." With this basic conclusion in mind and fully conscious of the lack of initiative on the part of the American Bankers Asso ciation, I polled the commercial banks of the United States American Bankers Association taking aggressive action to tax the mutual savings banks and savings and loan associations the same as stockholder-owned banks?" In fact I polled the banks twice. Once to see how they felt about mutual savings banks as members of the American Bankers Association and a second time because the American Bankers Association tried to ignore the first poll. It was in the second poll that the question on aggressive tax action was included. COMMERCIAL BANKS OF AMERICA SPEAK Before reporting the results of this poll, I would like to express to the Committee the sentiments of commercial banks throughout the United States with respect to the Curtis Bill (H.R. 8737). According to separate remarks expressed time and time again by banks participating in the poll, the nation's commercial banks are all for enactment of the Curtis Bill (H.R. 8737) which would provide substantial equalization of taxes. RESULTS OF POLL To return to the question asked in the poll, "Do you favor the American Bankers Association taking aggressive action to tax the mutual savings banks and savings and loan associations the same as stockholder-owned banks ?," here are the results as of January 10, 1958: "Yes": 3148 banks "No" : 26 banks No Reply: 22 banks These results represent the views of 25 per cent of the |