Evening times-Republican. [volume] (Marshalltown, Iowa) 1890-1923, 1913-01-16
CHICAGO FINANclER DECLARES
TREND TOWARD coNcENTRA.
TIoN or MONEY A MENACE. y
GEORGE N. REYNOLDS
BEFORE HOUSE COMMITTEES
Facts Concerning Continental and Com.
msreiai National Bank Of Chicago
Presentcd-committes's Work De-
Iaysd One Wsek-LesisIation, Not
Possible This Session.

| Washington, Jan. 16.-That the pres
ent concentration Of monies and cred
its is "a potential menace to the coun-
try" was asserted before the house
money trust committee today by
George NJ. Reynolds. president of the
Continental and Commercial National
Bank Of Chicago. Mr.. Reynolds said
| that he knew Of the trend toward
concentration Of money and credits
| and that he thought 1t "a dangerous
! thing"
Il am opposed to the concentration
of any sort of power" he said. Il be-
lieve that concentration to the point
it has already gone is a menace. In
! saying that, do not wish to sit in
judgment OH the men who hold that
| power"
Mr.. Reynolds said he was opposed to
the plan Of interlocking directors in
| potential competing concerns and that
he had adhered to that principal thru
out his career as q banker.
Weeks Delay in Hearings.
Confronted with a weeks delay in
! its hearings the house money trust
committee today was again forced to
ing of its inquiry. The committee in
! tended to conclude this week. Samuel
Untermeyer, counsel for the commit
tee. will be unable to attend sessions
after today for one week. 49,.
Jacob H. Schiff, of Kuhn, Loeb &
Co., was called as the principal witness
! today. He was summoned to testify
as to the methods Of handling large
issues Of bonds.
The framing Of a report by the COM
mittee will be delayed by the necessity
OF an adjournment until Thursday.
This will throw final adjournment-0l
the hearing well on toward the LIST OF
February and make practically impos-
sible legislation in this congress. !.
At the outset Of the hearing Chair
! man Pujo announced that plans for
taking the testimony of William Rock
efeller will be made when the commit
tee reassembles next week.
Chicago Banker Tsstifiss.
George NJ. Reynolds, of the Conti-
mental and Commercial National Bank.
Of Chicago, testified that the capital
Of his bank was $21.5O0.00. and its sur
plus s9.O0O,0O0. An affiliated trust
company and an affiliated savings
bank, he said, had $4,500,000 between
them.
OF resources of about 5000, ,000, 900 in
the national bank, he said about $780,
100000 was out on commercial paper.
BY mergers since 1908 he said the big
bank had acquired about $95,O00.OO. In
addition, by natural growth, the bank
had acquired about $s6,000,000.
The Continental and Commercial,
Mr.. Reynolds said, loaned money to its
own directors and corporations but did
not loan to it's own officers. He did not
believe officers should be allowed to
borrow from their own banks.
First to Employ Examiner.
He declared that the Chicago clear
ing house was the first to employ q
bank examiner.
WAS that because you found federal
inspectors Inefficient"
Eyes, at that time we found 1t in
efficient in connection with the three
banks OF John r. Walsh. The other
banks of Chicago had to guarantee the
deposits of the Walsh banks which
were in deplorable condition and they
paid them off at a loss"