Repository: UIHistories Project: Board of Trustees Minutes - 1932 [PAGE 610]

EXTRACTED TEXT FROM PAGE:

6o8

BOARD OF TRUSTEES

[June ii

If the bank is not reorganized the University will be obliged to wait for dividends on these deposits at such times and to such extent as such dividends are possible out of the liquidation of the assets of the bank. It is proposed to reorganize the bank whereby sixty per cent of all deposits will become available at once and the remaining forty per cent will be paid from time to time as additional assets of the bank are converted into cash. The Comptroller and University Counsel believe that nothing will be lost to the University and considerable will be gained if the bank is reorganized. This can be accomplished only by the cooperation of depositors, particularly those having large balances, and they recommend that the Board of Trustees consent to and authorize its officers to execute a creditors' agreement with the First National Bank of Champaign under the provisions of which forty per cent of the University of Illinois petty cash funds will be allowed to remain in trust to be paid out from time to time as certain assets of that bank are realized upon under its proposed reorganization. M r . Barr offered the following resolution and m o v e d its adoption: W H E R E A S , a plan has been formulated for the re-opening and reorganization of the First National Bank of Champaign, which suspended banking operations on January 16, 1932, which plan contemplates that depositors shall receive for immediate use 6 0 % of their deposits and that 4 0 % thereof shall be evidenced by participation certificates, to be issued by the liquidating trustees named in the Creditors' Agreement, such certificates to be retired in whole or in part, out of the proceeds of certain assets of the suspended bank which are to be held and liquidated by the trustees for the benefit of all depositors; and W H E R E A S , the University of Illinois had on deposit in said Bank, exclusive of the amount deposited therein in the account of the Treasurer of the University of Illinois, the sum of $14,545.01 and carried on the books of the Bank in the name of "Business Office, U. of I. Petty Cash," and $1,027.15, carried on the books of the Bank in the name of "U. of I. Creamery;" and W H E R E A S , i is the desire of the Board of Trustees of the University t of Illinois, in common with other depositors, to cooperate in the effort to re-open the Bank; and W H E R E A S , it appears probable that fully as much will be realized on the claim of the University of Illinois as a general depositor in said Bank, if the plan of reorganization succeeds, as would be the case in the course of ordinary liquidation; N O W , T H E R E F O R E , B E I T R E S O L V E D that Edward E. Barrett, Presi: dent, and Harrison E. Cunningham, Secretary, in the name and in behalf of the Board of Trustees of the University of Illinois, be, and they are hereby, authorized to execute the Creditors' Agreement which all depositors are asked to execute in consummation of the plan of reorganization, and to do whatever may be needful to protect the rights and interests of the Board of Trustees of the University of Illinois as a depositor, in the suspended Bank, and to cooperate, consistently with such protection, with those who are endeavoring to re-open or reorganize the Bank. T h e resolution given above w a s adopted by the following vote: A y e , M r . Armstrong, M r . Barr, M r . Barrett, M r s . Grigsby, Dr. Noble, M r . Trees; no, none; absent, M r . Blair, M r . E m m e r s o n , M r s . Hopkins, M r . Williams. REQUIREMENTS FOR GRADUATION IN COLLEGE OF ENGINEERING A N D S C H O O L OF JOURNALISM (11) The University Senate recommends that, effective September I, 1932, the total number of semester hours required for graduation in Engineering and Journalism be as follows: College of Engineering, 136 semester hours and the prescribed courses in MilitaryOPhysical Education. Armstrong, these requirements coursesadopted. and andmotion of M r120 semester hours and the prescribed were in Military School ofPhysical Education. n Journalism, .