The Sentinel=record., 1913-01-17
BANKER WOULD PUT NO RE- sTRAINT ON INDIVIDUALS TO
 CONCENTRATE MONEY.
WOULD CURB COMBINATIONS
George M. Reynolds Tells Committee That the Present Concentration of Money is Becoming a Men
 ace to the Country.

Washington, Jan. 16.-Liherty of individuals to concentrate money and power to the limit of their ability was advocated today before the house money trust committee by Jacob II. Schiff, of the New York banking firm of Kuhn Loeb and company. Mir. Schiff declared that individuals should be allowed o exert their ut most efforts to concentrate fortunes and power, until the laws of nature caused the attempted monopoly to fall of it's own weight. He was ops posed, however, to concentration through corporations and holding companies. Mr. Schff could not say whether concentration aud as yet reached a point where 1t is danger ous.
 The New York banking financier followed Geo. NJ. Reynolds Of Chi cago on the stand. MT. Reynolds told the committee that he had stud jed the concentration of money and credit and that he believed. at the point it had now reached it was q menace to the progress of the coun- try. He said that competition in banking should be revived. The committee adjourned after to- days session until next Wednesday, when H. r. Davidson. F. l.. Hine, George Y. l.. Baker and other wit nesses representing banks and bank ing houses in New York and Chicago, will be heard. The committee ex- poets to conclude it's public hear ings next Friday and to begin imme- diately the writing of it's report. When the committee re-coneynes, plans for taking of the testimony of Wm. Rockefeller vii. be made Ill the course of MT. Schiff's examina- tion today, he voiced the view that depositors in banks were suffi- ciently protected under the present law If administered and kept up to the teachings of experience" He said that he could see no ob- lection to one banking institution selling securities to another bank, which it owned Prudence" he said, would prevent the officers of a bank from accepting too much Of Of 8 :. saesss.Lst- full security He thought this matter could be safely left to the "self-re- specting men" on the board of direct oTs and that no further law was nec- essary.
 "Then you think the less law, the better for banks and trust coifp;;ssss- T. les?" asked Mir Untermyer
 Yes" asserted Mr. Schiff Too much law can crush the life out of bank"
 Mir. Schff said that he had observ- ed concentration of the control or money and credit into the hands of few corporations during the last few years, and that the control of these corporations had been centralized in the hands of few men.
 "Has this been a subject of concern to your asked MT. uutermyer.
 No, it has not"
 Would that he subject of con- cern to you if it continued to drift until all control was in the same hands?"
 T can't answer that question: said MT Schiff.
 Have you considered the possible effect of this concentration on your own credit2"
 '1 do not require credit" Mir schiff replied
 Mir. schiff said that he believed 1t would be better if clearing houses were incorporated.
 Mir Schiff further said he would not approve of one bank owning an other
 "As rule, am opposed to all holding companies
 Why"
 Because they lead to concentra- tion, which, under our law and under our conditions should not be allowed was MT. Schiffs reply.
 q believe in individual freedom" he said q believe the individual should be allowed to do his hest. If he goes too far, the laws Of nature would interfere, The first great at tempt at monopoly was at the time of the tower of Babel that tell Of it's own weight Every law Of nature takes care of that and no law of man Is required"
 But have you ever thought what would happen while this monopoly was growing and when 1t fell of it's own weight"
 No l have never thought of that l said Mir, schiff.