4 i8 CHARLES J. BULLOCK 



of national and state associations, while the good offices of 

 influential capitalists have been enlisted as far as practicable. 

 As a prominent banker has stated: "We now have skill and 

 resources combined, with a strength never before seen in the 

 United States and perhaps never in the markets of Europe." 

 In the present day of unbounded prosperity, the structure 

 erected upon the principle of community of interest presents 

 an imposing, even awe inspiring, appearance ; its solidity, how- 

 ever, will not be subjected to the decisive test until we reach 

 a season of adversity. 



It is difficult to trace with entire accuracy the complex 

 relationships which now unite so many of the financial insti- 

 tutions of the city of New York. In broadest outlines, how- 

 ever, the situation can be described by saying that two major 

 and two minor spheres of influence can be clearly recognized. 

 A brief description of these will serve to give greater definite- 

 ness to our statement of existing conditions and tendencies. 



Of the major spheres of influence the first is dominated, 

 although not absolutely controlled at all points, by what are 

 known as the Standard Oil interests. Ten or twelve years ago 

 the magnates of the oil combination secured control of the Na- 

 tional City bank which, within a decade, has increased its cap- 

 ital, surplus, and undivided profits from three to forty one 

 millions; and its deposits, from twelve to one hundred and 

 thirty millions. This corporation is believed to be connected 

 more or less closely with some fifty other institutions located 

 in various parts of the country. In New York it stands at the 

 head of a chain of eleven or twelve banks and trust companies. 

 Some of these, as the Second National bank, are wholly con- 

 trolled by the interests which the City bank represents, and 

 are operated virtually as branches of the larger institution; 

 others, as the United States Trust company, possess greater 

 independence, but work in harmony with the general policy of 

 the group. The entire chain of institutions employs a capi- 

 tal and surplus of $92,000,000, holds deposits amounting to 

 $377,000,000 and carries loans that aggregate $266,000,000. 

 With the National City interests, also, there are identified 

 some of the leading officials of the New York Life Insurance 

 company and the banking house of Kuhn, Loeb & Company. 



