The news-democrat. (Providence, R.I.) 1906-1909, 1906-07-05
THURSDAY, July S, 1906.
MENACE OF A MONEY MONOPOLY.

At the very moment the country was watch
ing with keen interest and deep concern the efforts
of the federal government TO smash some OF the
trusts, the operations of which have been harmful
to the people, and TO compel others to abandon
Injurious methods, there was carried to successful
consummation here in Rhode Island a merger of
banking institutions that trustworthy report de-
rlares is but preliminary step to a still more gi-
gantic combination and Capitalization OF the money
Epower.
| This latest merger gives satisfaction only to
Hhose concerned in it and who hope to profit by
Et. By the prudent and thoughtful men who make
Eap the business community it is viewed with grave
Goubt and serious misgiving.
They know it has not been prompted by any
desire to benefit either the state or its business,
Erommercia or industrial interests. Only too well
| they understand it was born of Unsuitable greed
Nior power. 1t was conceived and carried out by
men who believe that by securing control OF the
financial power of the commonwealth they can dom
knate its politics, rule its business and industrial
Eenterprises and compel social recognition now de-
Sned them.
| Their ambition is as dangerous as it is un-
bounded. There rs element of public spirit in
it. 1t is intensely selfish and omnousy sinister.
III successful it would reduce the people of Rhode
Island to a condition of helpless and hopeless serf-
dom. OF all monopolies none is so potential for
evil as monopoly of money, and it is with just
such monopoly the people OF this state are now
menaced.
The men who seek money mastery in this COM
monwealth in telling the public the story OF our
growth" emphasize the expansion of deposits in
their institution from $4,000 to nearly $2oooo,ooo
in period of sixteen years.
How has this tremendous increase been Sc
cured? Has it been produced by those conserva-
tive and prudent methods that characterized the
management of the Older banking institutions OF
Rhode Island and won for them the confidence of
the people, and made them the soundest of their
kind in the country?
Far from it, This expansion is the result OF
the substitution of the latter day methods of high
finance for those that gave Rhode Island banking
institutions reputation for stability and strength
that was recognized throughout the United States.
1t has been secured by daring manipulation
differing little from that by which Rockefeller built
up his Standard Oil monopoly. Rockefeller
throttled competition by absorption. When he
could not absorb, he crushed
Here we are witnessing steady absorption by
two trust companies of competing banking insttu-
tions and the equally steady essening of compet-
tion in the banking business
SO far the process has been OF absorption,
Will it be supplemented by the crushing process
when these two grasping trust companies have
been merged and have control OF S75,ooo,ooo or
SIooooo,ooo of the deposits OF the people?
Such consummation, menacing as it would
be, is not impossible. 1t is quite in line with the
policies OF men whose ambition halts at nothing
short of absolute domination in this commonwealth
The power for mischief a money monopoly
can exercise must be apparent to all men of dis
cernng mind With them the question of trans
cendent importance will be how to save the state
from such peril.
Escape from it be assured only by the
election OF legislature that will not be subservent
TO Braytonism-a legislature that will prohibit by
effective laws the dangerous Capitalization OF
money power and provide that strict supervision
OF banking institutions which is the only trust
worthy safeguard of the peoples interests
1t is just necessary TO the wellbeing OF the
state that the scheme to monopolze the money
power be thwarted as that BraytoniSn be smashed