Rock Island Argus. (Rock Island, Ill.) 1893-1920, 1912-09-11
Chicagoan Says There
Should be All Posi-
bic Light.
TELLS AMERICAN BODY
But Believes There Are Sacred
Condolences That Should
Be Respected.

Detroit, Sept. 11.-SpeaKing to the
subject The Money Trust Inquiry"
George NJ. Reynolds, president of the
Continental and Commercial National
bank OF Chicago, today declared, IT
banker can be forced to disclose a
confidential relationship between his
bank and its customer. 1t would re-
quire but q short step further to cap
italize for the qualification Of preju-
dice the condolences between an at
torney and his client, as well as the
secrets OF the confessional"
Mr.. Reynolds spoke before the trust
company section Of the American
Bankers association at its annual
convention and disavowed any antag-
Onism to the congressional investiga-
tion by the house committee.
Believing as ! do" said the speak
or. that open-minded, honest agita-
tion OF any question in which the pub
lie In interested, prompted by a laud-
able purpose and kept free from ami
mus and prejudice. will tend TO Sc
cure proper solution of that ques-
tion, ! desire TO disavOw any antag-
onism for or opposition to the impend-
ing investigation OF the so-called
money trust by the house banking and
currency committee; on the contrary,
] shall be glad to do what ] can TO
cooperate with the members OF that
committee so long as their activities
are eXerted along the lines OF an hon
est eudeayOr calculated 10 promote
better methods and higher ideals in
business"
TALKS RANKING CONDITIONS.
Banking conditions were discussed
by the speaker. who said in part:
The fact that % per cent OF the
business OF this country is done upon
credit, and that the use OF actual
money I'm transactions has been re-
ducsd 10 the minimum, makes il very
easy for people who do not properly
discriminate between credit and
money itself to become confused in
the application OF terms; and especial
ly is this likely To be- the case with
those who have given so little study
Co the subject that they look upon a
bank as being an institution dealing
In money. whereas. I'm reality a bank
deals in credit. and the money II car
ries in its vaults is only an incident 10
it's business. being carried only in an
amount sufficient under the law OF
averages To make It possible for the
bank to pay It's obligations upon de
mand under normal conditions.
This confusing OF credit with
money. az ~ is related TO business,
has caused much misapprehension on
this subject and resulted In more or
less honest criticism by those who do
not realize that tho money power, "
as II is usually applied. relates to the
power or control OF the credit which
may be extended against either money
or other tangible liquid assets easily
or quickly convertible into money;
and in view OF the temper Of the peo
pie toward large agRregatiOns OF CAPT
tai, It is not surprising that there has
also arisen much confusion and mis-
conception through the use Of the
words Money Power and Money
trust Oftentimes. where quotations
Of alleged statements are made, the
word trust 10. either through confu
sion or arbitrarily, substituted for the
word power making II appear as
money trust thereby changing the
meaning OF tho statement as it was
originally made.
NO kNOWLEDGE OF TRUST.
"I disclaim any knowledge. 10 say
nothing Of any connection with any
money trust OF any character, and
feel | would be derelict in my duty Il
] were not TO say TO you that | do not
believe any such trust exists.
II little more OF the spirit Of fair
ness were to be injected into a consid
Grafton and discussion OF this sub
1ect, the masses OF the people woulC
be less inclined 70 hold prejudice
against OF criticise banks, for, aftei
all. the banks are only the ware
houses Of the credits OF the commun
ity aud the credits they control ar,
subject 10 the ebb and flow inciden
10 the fluctuations in business.
? Il have heard more or less criticism
OF banks In this country upon tn,
theory that the money power is in TIT
hands toe few people.
'luasmuch as whatever control in
oiyiduals may now have. OF our bank
Ing power comes 10 them under an,
by virtue OF the national banking Law
as the result OF a concentration OF re
serves In the Central-reserye cite
and through legitimate practices fl
the ordinary trend OF business. an
not mark you, through any violation
or evasion Of the law on their part