New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1913-01-11
Admits Great Mergers.

more or less concentrated" replied MI
Baker, after a pause.
Admits Great Mergers.
There have been great mergers vi
financial institutions, have there not
asked Mr.. Untermyer
Yes sir
Mr.. Untermyer reviewed some OF the
recent combinations Of financial IN
stitutions in New York.
And there have been great num-
Der Of those consultations in dinerent
parts of the country" he continued.
Eyes" Mr.. Baker responded.
Mr.. Untermyer asked Mr.. Baker as
to a change of policy" on the part OF
banks within the last ten years look
ing toward the combination or controi
of financial institutions. Mr.. BAKER
said he had been concerned in combin-
ing some banks and knew of some
other combinations. but knew Of no
complete change of policy in that con-
nection.
This is a sort of concentration that
has been going on of late years con-
siderably. has it not. in very large
amounts?" asked Mr.. Untermyer.
II doubt it," said the witness.
MIR. Baker could not say in dollars
how much he had been q party TO this
concentration.
81 suppose YOU would see no harm,
said Mr. Untermyer, "in having the
control of credit as represented by the
control of banks and trust companies
still further concentrated? DO you
think that would be dangerous?
Mr.. Baker pondered the question for
a time and then answered:
"a think il has gone about tar
enough"
The Baker lawyers. sitting near oy'
sat ND in their chairs and looked IN
terested.
"You think it would be dangerous to
go further
az miaht not be dangerous, but still it
has qone about far enough. In sood
hands, do not say that It would do
any harm. II il got into bad HANDS u
would be very BAD
IF it got into bad hands II woulo
wreck the country?" demanded Mr.
Untermyer.
Doesn't Fear Bad Hands.
The spectators listened eagerly to catch |
fine reply. and Mr.. Baker leaned back !
in his chair. his chin resting on his hand' |
watching the lawyer closely. Finally ne
said:
Yes: but do not believe it could get
into, bad hands"
You admit persisted Mr.. Untermyei, !,
that If this concentration 10 the point
10 which il has now gone were oy any |
accident 10 get into bad hands 1t woulu |
wreck the country?
II cannot imagine sucn situation
protested the witness ,
Il thought you said So
~ said il would be bad, but J do not
think i. would wreck the country.
do not think bad hands could manage
Il They could not retain the deposits
nor the securities"
II am not speaking of incompetent
hands" said Mr. Untermyer. we are
speaking OF this concentration which mas
come about. and the power that II brings
with it, getting into the hands OF very |
ambitious men. perhaps not oVerscrupu-
Ions You sec peril in that. do yon |
not2.'
Yes" answered Mr.. Baker.
so that the safety. II you think there !
Is any safety in the situation. really lies
i'm the personnel of the mem
Very much"
DO you think" demanded the lawyer,
chat is a comfortable situation for a
great country to be in?'
mot entirely" said Mr.. Baker very |
slowly.
closed the examination.
THAT will be all, Mr.. Baker" he said |
and the spectators sat back with sigh |
Az the committee adjourned until next
Tuesdav the witness rising in his place !
thanked the members and their counsei
for their courtesy, and was in return |
thanked for testifying. He and his party I
left Immediately for the train that was
to take them TO New York
In a Financial Triumvirate.
Early i'm the day, in the midst Of a
wordy discussion OF bond issues Of mill |
ions and the intricacles of high finance. |
Mr. Untermyer tried to connect Mr.. |
Baker J. P. Morgan and James Stillman
in financial triumvirate controlling huge
interests.
is MFR. Morgan recognized as the great
general OF the financial armyf' he asked.
That is according to whom you ask
said the witness. 1--WE, his friends. think
he is"
.'He is generally so recognized, is he
not?'
Well, yes" said Mr.. Baker
and you and James Stillman are his
chief lieutenants?"
I'VE were during The panic"
And you three dominate the financial
situat!on?
Mr.. Baker would not admit this. but he
said that Mr.. Morgan would be the
most dominant figure in the financial
world IL he were younger" and that he
knew Of no one more dominant than
Mr.. Morgan"
Mr. Untermyer went over with the wit
ness the iotation Of securities by his
bank, and after considerable argument
with Mr.. Bakers counsel he secured an
agreement that II the directors of the
First National Bank were willing. Mr..