New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1913-01-25

and credit i'm this country, JUST az n V
don is in England and Paris IN ,hot
But il has frequently been charE Us
this financial growth o, New nIans of
certain men who have brought ,i aDouf for
condition which they may utiiize i''
their own selfish ends. o, .ccu-
This is not fact. Inc S.ea. "Sow
mutation of money ana circuits monte
York is due in part TO purely econon,,,f
conditions and i'm part TO the ueleclS "
our banking system Through 'ne ppr co
alton Of the law I'm relation 10 vaSm
serves, interior banks necessarily de-.
hundreds of millions OF dollars VI.
nosjt I'm New York. These same liIs ,I
buttons, in order to maintain see,hic
AIRY reserve subject TO their teies' I'm,
demand, keep in New lork, IN sav
NJ call loans many millions aduitlo'i.,a,
II this country possessed proper anu
scientific banking system. suSn do IL
possessed by almost every othe. nm
lied nation. interior banks moaiu their
longer be. Obliged TO co''ce"'''''
In his connection IL is Important "
note that according to autnofita,.s hoen
tistics. the country as Whoie 10 J90O
growing so rapidly that, whereas % ,
New York City banks represented
per cent of the banking resouIce Y,,oYt
Tho United States. now they repies@
only 1873 per cent of such reSou' anera.
As 10 the consolidation ana to-Jp NO
ton Of banking institu,l,o"S, Nd in only
less degree in Chicago ana otnei liza i"
cial centres. this has taken place cn,,y
since 1907 In that year the couLt
was swept bv n disastrous panic, WHICH
in New York and elsewhere, under our
weak banking system. was stayed V,,as
bv the united efforts OF the banks, oI,Nen
thereto i'm order to preserve themselves
and to avert widespread calamity.
Behind Other Countries.
An additional factor tending toward
consolidation into larger financiaf uniis
lies I'm the rapidly increasing denanuSS
OF this country for development si IL
commerce. In every other coiIi'''' 10 20
country banking arrangements nav
adapted themselves far more raplhiy ~
such demands. and the enlargement anu
consolidation Of banking lnstltutlono n" 70,
everywhere else proceeded AT raw III
even remotely approached IN the ."i'eN
States. , t,,,d
To-day in all Of Great Britain. inciud-
ing England. Wales, Scotland ana ~
land there remain only llo separate pann
ing institutions. in Germany Tess eon,
800: in France. according to the most coiii-
plete record we have. only ~ WhIle III
the United States; observation-disclosures III,
consolidation alluded 10, there are sun
more than % 900 distinct banking lnstitu-
tions. In London there are ten D iii n,,a
with resources I'm excess or Slp"p,V"
each: In Paris four, and In Beriin nv,
while IN New York there are AT INC
present time only three banking instltu-
tons OF like proportions. II our large
railroad and Industrial enterprises are 10
be- financed dt being estimated that inc
annual requirement OF the rallroaos ar
80 500 OD0 O0) and II this country is TO Keep
a commercial position in the front RANK
among the nations Of the world. II ~ ohlg
natural that some tendency !o"alu ~
operation among financial institutions
should show itself here, as ~ mas III
England, Germany and France.
At the invitation Of your committee our
firm has co-operated In this inquiry. has
furnished intimate details OF its business
and has placed at Your disposal All the
Information available. II believes that
there is no such thing. either In form OF
i'm fact. as money trust II beleNes'
as IT'S senior member has testified on TINS
stand, that the only permanent Influence
possessed by men prominent in hnahclal
affairs is that due 10 the confidence OF
the public I'm their character ana record
We recognize and have long recogniZeu
serious defects I'm our present banking
and currency laws We believe That the
country will continue 10 be subject 10
financial ills and disturbances until IL
possesses a stronger and more sclentlhc
banking and currency system. To secure
prompt and wise legislation I'm these mat
ters our firm and. We believe. bankers
throughout the country VIII ny every
means within their power cooperate with
Congress.