The New York herald., 1921-06-09

now that Italy is on the right side of
the fence realize that she can remain
there without foreign interest.
A certain amount OF rivalry there is
between the banks. but principally be-
tween Industrial groups, and not inter-
national groups. There is a small group
OF fnanclers and industrial magnates
behind the hundreds of thousands OF
small shareholders who pull the strings
ana who are responsible for the tre-
mendous development of Italian Indus
tries abroad and at home This vast
network OF intrigue between bankers and
manufacturers can only be compared
with the position in Gerrrany previous
10 the war This is not surprising when
it is remembered that two OF these banks,
the Cosiilnerciaie and the Credito Ital-
iano, were started. the first with Ger
man money as branch of the Deutsche
Bank and the othcr with Swiss money.
also connected with the Deutsche Bank.
The Italians then learned their lesson
we'll and have proated by IL.
An idea or the growth OF these banks
since the war may be gained by com
pairing tho following figures of 1914 with
those OF 1920:
Iald-up capital, in millions
OF Ire. e.....-.-....r....'. fuo lu,t
Reserves ........-........ w l-o "VV 20
While the total turnover OF the banks
IN 1920 was 5,441 million lire.
The Banca Commerciale. the oldest
and the biggest Of the four. was origi-
ually OF German origin and was estab-
lished by Joel for the express purpose
OF obtaining the financial domination OF
Italy. Count Giuseppe Volpi informs
THE NEW YORK HERALD that there is to-
day no German or foreign money in the
bank all foreign shares, both German and
Swiss having been bought, either dur
ing the war or subsequent to the arnlis-
.ice The policy OF the Commerciale is
purely Italian. and with that end in
view il has enlarged its philacteries, and
So to be found In all parts of the globe.
Besides carrying on its work in Italy,
especially IN Piedmont, Liguria, Lorh-
hardy and Emilia, where 1t has numer-
ors branches in the economic centres.
the Commcrciale has recently descended
TO the South and started a strong COM
petition in Sicily. where its particular
interest in shipping and industrial de-
velopment Is making itself felt
In the hunt for combustibles the
Commerciale Is on the point OF develop
ing its mineral concessions in Abyssinia
in the Goggiam Damst. 1t has also
established an ltalfanMexican Company
for the development OF oil concessions
at Tampico. A short time back 1t was
reported that the Standard Oil Company
had obtained these concessions from the
Commerciale. to which a most authori-
tative denial has been given me- A
further company has been formed under
the ngis Of the same bank for the de-
veopment OF the mineral wealth of
Flritrea, and it Is hoped that here also
oil may be struck to help the country's
needs
The particular spots in Eritrea to be
! exploited are on the Isle of Bull, Hissar
and Daucalia. The Banuue CONNER
| ciale d'Orient, while yielding it's few
shares in the Societe Ottomane dHer-
aclee has acquired two-thIds of the
shares of the Societe Beige, Charlton
nages, Reuins de Bender Eregi, and II
is hoped that this exchange will De
beneficial for the development of the
mines for Italian use. though 1t is to
be remarked that the coal Is OF poor
gas quality and, as Count Volpf ex-
planned, the cost of production is so
high that to transport 1t TO Italy may
not be worth while. However. 1t Is a
good political move. which may have in
.eresting results.
In other parts the Commerciale is
equally active; at Sofia II controls the
Banca Cominerclale Italiana Bulgaria ;
at Fiurne. with the aid Of Hungarian
capital, the Banca Orientale Italiana
at Bucharest and Galatz. the Banca
Commerciale Italiana G Rumana. The
Banca Italiana di Lima and the
Banca Francese Italiana por fAmer-