The Palestine Economic Corporation of Canada, Ltd., launched its first Israel project yesterday when Marvin B. Gelber, its president, announced the completion of a transaction leading to the purchase of half the voting stock of the enlarged 28-year-old Central Bank of Cooperative Institutions in Palestine, Ltd., for $800,000.
The announcement was made at the Mount Royal Hotel here, where Samuel Bronfman signed an agreement on behalf of the Canadian corporation, and Albert Schiff, a director, who signed for the Palestine Economic Corporation of the United States, second shareholder in the bank. Mr. Gelber also announced the bank’s name will be changed to Canada-Israel Central Bank, Ltd.
Funds for the purchase of common stock of the bank, Mr. Gelber said, were raised by P.E.C. of Canada stock subscriptions and a bank loan guaranteed by 15 leading Jewish citizens of Canada. The loan will be repaid from subscriptions to the corporation’s $100 par value stock.
The P.E.C. of Canada was organized along the lines of the 25-year-old P.E.C. of the U.S.A., of which the Central Bank was a majority-owned subsidiary before the present transaction. Both groups will now be virtually equal partners. Mr. Gelber is also a director of the United States corporation. With the investment of the corporation’s $800,000 the Central Bank’s common stock will be doubled.
JTA has documented Jewish history in real-time for over a century. Keep our journalism strong by joining us in supporting independent, award-winning reporting.
The Archive of the Jewish Telegraphic Agency includes articles published from 1923 to 2008. Archive stories reflect the journalistic standards and practices of the time they were published.
