The New York herald., 1921-06-09

York was In position 10 make good
progress in the purchase OF materials.
Looking 10 the development OF Italy
abroad the Italisna di Sconto, in con-
junction with the Terny Steel Works,
has taken over from Hungarian COM
pany the naval shipbuilding yard OF
Quarnero, near Fiume.
II has also taken over the Naviga-
zione Liee.a Trieste (ex-Austrian
Lloyd's), increasing the capital by nifty
millions 1t controls a group Of ship
ping companies headed by the Trans
atlantica.
1t will be seen, therefore. that the
Banca ItaEana di Sconto, like the Banca
Commerciale, is out to carry italian COM
merclal imperialism to all parts OF the
world Despite Its new growth, II mas
spread throughout the country and Is
much better represented than its older
rival in the secondary towns OF the
peninsula
The third OF the big Four" the Gre
ditto Italiano, has in recent years been
overtopped by her great rival, at least
in the public eye, although her capitai
OF 300, 100000 and turnover OF o.SSi'-
600. 600 lire in 1920 does not appear
to be very small. She owed her impor-
tance originally to the fact that with
the Banca Conmerciale she was used
by foreign capital IN the period or lsll
to 1914 for the development of provincial
credit societies in the north-this pelng
Germany's method of pacific penetration.
The Credito also has now developed her
powers abroad. She has increased her
participation in the Italian Belgian Bank
of Antwerp, which deals especially Win
the Dutch East Indies and In the Credit
General of Liege. She contributed TO
the formation of the Union Bank OF
Credit in Switzerland as well as IN the
Banque Generate des Pays Roumains
and the Banco Italo-Cinese. She has
also many interests in Austria, hungary
and Czecho-Slovakta.
The Banca di Roma, the last ana
smallest of the four, has had curious
and interesting history. Originally
founded as q Catholic bank in the LaZio
or Province of Rome. Il spread its wings
some fifteen years ago. and tor many
years was the only italian bank TO nave
any branches abroad. These were sit-
uated in various Mediterranean coun-
tries. and principally In the Levant. IL
had a great share in the Turco-ltalian
war of 1911, but owing TO dispute with
the Government as a result OF that war
It fell on evil days and was obliged 10
halve its capital and restrict It's ener-
gies in other ways. Its capital, however,
was recently increased to $4,000, 600, and
last year it paid a dividend OF per
cent
The result OF the late war, combined
with Italy's aspirations In the LeVaht'
gave q fresh chance to this bank.
These few details are sufficient To
show the rapid and enormous evolution
of italian banks at home and ABROAD
Followed by hundred years or strhe
and oppression, Italy was unable 10
orientate herself TO the new conditions.
The brain was always there, and the
late war has given italy the opportunity
TO assert that BRAIN and she has deter
mined that she will have her full shere
of the worlds wealth. lf she cannot
manufacture it all at home, owing to
the lack of raw material, she will bring
II to her shores from all other known
parts of the world, as did the Venetian
and Genoese galleons In bygone ages
Her bankers of to-day and her indus
trial magnates are no less brainy and
daring than those of four centuries aso.
II is, therefore, not remarkable that.
given the opportunity. they should try
to replace Italy on that financial and
Industrial pyramid which once made her
the envy of all.
The limited liability companies con-
nected with Itaiy's "Blg Four" banking
group in the present industrial revival,
the effect OF the influx Of new capital
into comm ercial lines, German compeu.
ton and the expansion OF manufactures
are dealt with tomorrow in the sixth
article on that country's economic condi-