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Mr. BROWNELL. Yes, indeed; I think it will be clear after I have made a statement on the proposal.

The CHAIRMAN. It is correct, is it not, that at the present time under the Federal statutes the approval of the Comptroller of the Currency is necessary for all mergers between national banks or between national banks and State banks where the resulting institution is a national bank?

Mr. BROWNELL. Yes, that is right; but only certain ones and only the stock acquisitions can they apply an antitrust standard to.

The CHAIRMAN. That is right. Are you familiar with the fact that the Comptroller of the Currency, Mr. Gidney, testified on several occasions that he would not approve any bank merger or consolidation subject to his jurisdiction where the effect in any section of the country may be to substantially lessen competition or tend to create a monopoly?

He made those statements before this committee and before the Senate Antitrust Committee. Are you familiar with those statements? Mr. BROWNELL. In a general way, yes.

The CHAIRMAN. In other words, it is correct, is it not, that Mr. Gidney has testified that he will not approve any national bank merger which is contrary to the principles set forth in the so-called Celler-Kefauver Act? That is the effect of those statements, isn't that correct?

Mr. BROW NELL. Of course he said also in his testimony:

I have not any competency in the antitrust field and I do not know what the courts have done.

The CHAIRMAN. I am coming to that.

Mr. BROWNELL. So that he is the first to recognize, and so stated in his own testimony, that that was not his baliwick, that he was really interpreting the provisions of the Banking Act outside the field of antitrust.

The CHAIRMAN. I will come to that in a minute. I will repeat the question though.

In other words, it is correct, is it not, that Mr. Gidney has testified that he will not approve a national bank merger which is contrary to the principles set forth in the Celler-Kefauver Act, that is he said that he would not approve it where there would be a tendency to create a monopoly or to substantially lessen competition in any section of the country.

When he makes those statements, that means that he wants to act within the purview of the Celler-Kefauver Act which amends section 7 of the Clayton Act; is that right?

Mr. BROW NELL. I would have a little different interpretation of that, Mr. Chairman. I think that he said that if that was the clear standard set up by the Congress, he would follow it.

I do not interpret him as saying that if the "unduly” provision is in there, that he would follow the present standard.

The CHAIRMAN. He said he would not follow-
Mr. BROWNELL. Whatever the Congress set up.

Now we are trying to make the point that the Congress should set up one single standard which is just as clear as can be so that we Mr. BROW WELL. There, again, it would be most difficult to answer that, certainly without knowing the legislative history that develops in the next few weeks in connection with both of these proposals, and at best it would take court decisions to interpret it.

The CHAIRMAX. Last year the Federal Reserve Board testified before this committee they would have no objection to amendment of section 7, such as is here proposed by my bill and Mr. Keating's bill, to cover bank mergers accomplished by asset acquisitions, provided that the Federal Reserve Board no longer has enforcement jurisdiction.

What is your position on the Board's suggestion in that regard?

Mr. BROW YELL. As I point out a little later here in this prepared statement, we do not believe that the Antitrust Division of the Department of Justice should have the final say in these matters, because there are outside the field of antitrust certain banking considerations that must be taken into consideration, and therefore we would be entirely willing to have, and agreeable in every way to having, the appropriate banking agency be the final arbiter.

What we do say is that in this one field of antitrust, that it was only a matter of good government to have the matter referred to the agency which has the most to do with antitrust enforcement.

The CHAIRMAN. But you would want the final say as to whether or not there is a violation of the antitrust laws?

Mr. BROW NELL. We think that that would be a matter of good government, that one single agenes should have the say in that regani. That has always been the position.

Mr. MALETZ. Mr. Attorney General

Mr. BROWNELL. Of course, it might be Federal Trade rather than the Antitrust Division.

Mr. MLETZ. Mr. Ittorney General, at the present time, as you know, the Federal Reserve Board has concurrent jurisdiction with the Department of Justice respecting bank mergers accomplished by stock acquisitions. This bill proposes that section i be amended so as to give both a geneies concurrent jurisdietion orer all bank mergers regardless of how consummated, whether by stock or asset acquisitions.

The Federal Reserve Board testified last year that it would he in favor of such amendment, provided that the Board no longer had concurrent enforcement jurisilietion with the Department of Justice. What is your opinion respeeting the Federal Reserve Boarl's recommenilation in this area!

Mr. BROWNELL. We want only appropriate jurisilietion over the antitrust features.

Mr. MALETZ. Do you feel that the Federal Reserve Board should have continning antitrust jurisdiction in this area, coordinate with jurisdiction by the Department of Justice

Mr. BROWNFLL I will say this: that if we are consulted which I think we should be. I think the law should so state that we should so be so consulted, and give our opinion, I don't hellere there would be much trouble involved if ther had coordinate jurisdiction, be. cause I think certainly in the past we have had no dificulty in workins with them.

Vr. Vietz. Ther say they do not want coneurrent enforcement jurisdiction. They say they don't have the expertise to enforce section i.

Would you go along with the Federal Reserve Board's recommendations in that respect!

Mr. BROWNELL. Yes, sir.
The CHAIRMAN. Mr. Keating?

Mr. KEATING. Mr. Attorney General, do you know the date upon which Mr. Gidney became Comptroller of the Currency.

Mr. BROW NELL. No, I do not.

Mr. KEATING. I will state to you as a fact it was April 16, 1953, and I now return to the question put to you by the chairman, that even though the Comptroller testified that he would not approve a merger where the effect might be substantially to lessen competition, from 1950 to May 1955 he did not formally disapprove any bank merger whatsoever for competitive reasons, isn't that right. Your answer was in the affirmative, based no doubt upon a lack of knowl. edge of the time when he became the Comptroller of the Currency. I feel sure that you would not have any knowledge about his predecessors in office.

Mr. BROWNELL. That is correct.

Mr. KEATING. At least you were referring only to Mr. Gidney and you were assuming that the chairman in these statements was giving you the dates when he served as the Comptroller of the Currency?

Mr. BROWNELL. Yes. I am glad you brought that out because I would not want to have any misapprehension on that score.

As a matter of fact, even since he came into office I did not mean to reflect at all on his judgment in passing on these things. There may not have been substantial anticompetitive situations present at all.

Ér. KEATING. In other words, during a 2-year period from April 1953 to May 1955 he did not formally disapprove any bank merger for competitive reasons.

There is nothing unusual or significant about that, is there?

Mr. BROWNELL. As a matter of fact, I think it was his practice not to state the reasons. He may have had them in mind without its being on the record.

The CHAIRMAN. I want to say that it is most unusual in my estimation that of all these applications for mergers presented to the Office of Comptroller of the Currency, not a single one was formally disapproved.

Mr. KEATING. How many did he pass on?

The CHAIRMAN. I don't know. He may have passed on some informally, I don't know, but the record can be disclosed in that regard and made manifest but I think it is most anomalous that this office passed on so many and did not formally disapprove a single one. It was not the chairman's intention to mislead in any respect.

When I spoke of 1950, I gave those figures to be embraced within the period 1950 to 1955, May 1955. I did not have in mind the fact that Mr. Gidney became the Comptroller of Currency in 1953, but apparently the record of his predecessor is no different than the record of Mr. Gidney in that regard.

We will put in the record at this point all the mergers involving national banks that took place from 1953, the time that Mr. Gidney assumed his office, until May 1955. It covers pages 180 to 492 of the hearings of the Antitrust Subcommittee of the House Committee on the Judiciary, part I, serial 3, Current Antitrust Problems, 81th Congress.

The document is as follows:

THE NAME, LOCATION, AND TOTAL ASSETS OF Each NATIONAL BANK THAT Has

BEEN MERGED INTO OR CONSOLIDATED WITH ANOTHER BANK SINCE JAN. 1, 1953 Purchase of National banks by National and State banks during the year ended

Dec. 31, 1953
Banks

Total assets The First National Bank of New Concord, Ohio.

$1, 714, 426 The First National Bank of Zanesville, Ohio

25, 723, 000 North Jersey National Bank of Pompton Lakes, N. J-

8, 169, 996 First National Bank & Trust Co. of Paterson, N. J.'.

202, 906, 000 The Citizens National Bank of Lancaster, Ky

1, 837, 120 The National Bank of Lancaster, Ky.'

3, 015, 000 The Farmers National Bank of Mercer, Pa..

2, 346, 819 The First National Bank of Mercer, Pa.'

11, 852, 000 The First National Bank of Dayton, Pa.

799, 766 First National Bank in Skyesville, Ja----

1, 430, 395 The Punxsutawney National Bank, Punxsutawney, Pa.'

10, 272, 000 The First National Bank of Perryopolis, Pa...

2,098, 593 The Second National Bank of Uniontown, Pa.'.

33, 054, 000 The Citizens National Bank of Frederick, Md.

10, 777, 389 Farmers and Mechanics-Citizens National Bank of Frederick, Md.”_

25, 706, 000 The National Bank of Fairmount, N. Dak.

880, 227 Peoples State Bank, Fairmount, N. Dak.'.

859, 000 The National Howark River Bank of Donda, N. Y.

2, 800, 485 First National Bank of Canajoharie, N. Y.'

15, 112, 000 First National Bank of Irwin, Pac

7, 466, 782 Peoples Union Bank, McKeesport, Pa.'.

48, 001, 000 The North Arlington National Bank, North Arlington, N. J

5, 438, 939 The Rutherford National Bank, Rutherford, N. J.'-

35, 135,000 The First National Bank of Senecaville, Ohio.

755, 024 The Central National Bank at Cambridge, Ohio?

4,095, 000 First National Bank of Bellevue, Wash.

3, 845, 267 The Pacific National Bank of Seattle, Wash.'.

96, 579, 000 The Mystic River National Bank, Mystic, Conn..

3,012, 596 The National Bank of Commerce of New London, Conn.'.

14, 657,000 The Milford National Bank, Milford, N. Y.

922, 267 Wilbur National Bank of Oneonta, N. Y.

12, 196, 000 The First National Bank of Barnegat, N. J-

3, 187, 206 The First National Bank of Toms River, N. J.'.

24, 510, 000 The Ambridge National Bank, Ambridge, Pa---

11, 066, 790 Mellon National Bank & Trust Co., Pittsburgh, Pa.'

1, 894, 489,000 Mellon in 1954: Peoples National Bank & Trust of Monessen, Pa-

8, 585, 300 National Bank of Ford City, Pa---

4, 338, 086 First National Bank of Beaver Falls, Pa.--

5, 094, 994 Rankin Bank, Rankin, Pa----

3, 013, 702 The First National Bank of Oil City, Pa---

6, 745, 873 Oil City Trust Co., Oil City, Pa.'-

18, 995, 000 The Peoples National Bank of Washington, Pac

4, 655, 242 Peoples First National Bank & Trust Co., Pittsburgh, Pa.'

544, 005, 000 The First National Bank of Dallas, Pac

4, 313, 476 Miners National Bank of Wilkes-Barre, Pa.'.

64, 051, 000 The First National Bank in Heron Lake, Minn.

1, 623, 393 Heron Lake State Bank, Heron Lake, Minn.'

1, 763, 000 The First National Bank of Smithton, Pa--

3, 324, 950 The First National Bank of McKeesport, Pa..

41, 401, 000 The First National Bank of Pretty Prairie, Kans.

657, 336 The State Bank, Pretty Prairie, Kans."

1, 171, 000 American National Bank of Idaho, Idaho Falls, Idaho---

26, 568, 652 The Idaho First National Bank, Boise, Idaho

150, 536, 000 The First National Bank of Plymouth, Pa..

11, 053, 237 The Wyoming National Bank of Wilkes-Barre, Pa.?.

16, 265, 000 The Commercial National Bank of Smithfield, Utah--

1, 283, 117 First Security Bank of Utah, National Association, Ogden, Utah'- 182, 023, 000

1 Purchasing bank.

THE NAME, LOCATION, AND TOTAL ASSETS OF EACH NATIONAL BANK That Has

BEEN MERGED INTO OB CONSOLIDATED WITH ANOTHER BANK SINCE JAN. 1, 1953

Continued
Purchase of National banks by National and State banks during the year ended

Dec. 31, 1953—Continued
Banks

Total assets The American National Bank of Big Bear Lake, Calif.

$1, 603, 916 The American National Bank of San Bernarino, Calif.'.

27, 377, 000 The First National Bank of Roseau, Minn..

1, 549, 850 Citizens State Bank of Roseau, Minn.'.

3, 126,000 The First National Bank of Hermiston, Oreg---

5, 276, 830 The United States National Bank of Portland, Oreg.?.

688, 416, 000 The First National Bank of Ringtown, Pa----

993, 878 The Pennsylvania National Bank & Trust Co. of Pottsville, Pa.'. 14, 655, 000 The First National Bank of Falls Creek, Pac-

1, 171, 484 DuBois Deposit National Bank, DuBois, Pa.'-.

16, 429,000 The Phoenix National Bank of Providence, R. I.

27, 214, 239 Rhode Island Hospital Trust Co., Providence, R. I.'

270,938, 000 The Union National Bank of Summerville, Pa..

830, 015 Brookville Bank & Trust Co., Brookville, Pa.?.

6, 376, 000 The First National Bank of Kirkland, Wash.-

9, 052, 216 The National Bank of Commerce of Seattle, Wash,'.

446, 828,000 The First National Bank of Warren,

Pa-

7, 864, 148 The Warren National Bank, Warren, Pa.'

28, 982, 000 The First National Bank of Lockland, Ohio.

13, 591,070 The First National Bank of Cincinnati, Ohio'..

368, 741, 000 1 Purchasing bank.

NOTE.--Asset figures for purchasing banks shown to nearest thousand dollars as of Jan. 1, 1953,

Consolidations of National banks, or National and State banks, during the year

ended Dec. 31, 1953

Consolidating banks

Total
assets

Combined

assets

$112, 382, 550

6, 285, 245

22.083.789

58. 758 482

96. 446, 972

2, 513, 245

17. 099, 575

31. 952, 049

215. 834, 304

The First National Bank of Corona, Calif.
Citizens Bank, Corona, Calif...
The Citizens National Trust & Savings Bank of Riverside, Calif.'
The Baxter National Bank of Baxter Springs, Kans.
The American National Bank of Baxter Springs, Kans.'.
The Marcus Hook National Bank, Marcus Hook, Pa...
The First National Bank of Chester, Pa...
The Mansfield Savings Trust National Bank of Mansfield, Ohio.
The Citizens National Bank & Trust Co. of Mansfield, Ohio 1.
Port Washington-Manhasset National ank, Port Washington, N. Y
The Meadow Brook National Bank of Frecport, N. Y.--
Farmers Bank & Trust Co., Williamsburg, Ky..
The First National Bank of Williamsburg, Ky.'.
The Marine Savings Bank Co., Ashtabula, Ohio..
The Farmers National Bank & Trust Co. of Ashtabula, Ohio !.
The Monroe National Bank, Monroe, Ohio.
First National Bank of Middletown, Ohio 1.
The Union National Bank of Houston, Tex.
South Texas National Bank of Houston, Tex.!.
State Bank of Silvana, Wash.
The National Bank of East Stanwood, Wash.!
The Swarthmore National Bank & Trust Co. of Swarthmore, Pa.
The First National Bank of Media, Pa..
Northport Trust Co., Northport, N. Y.
First Suffolk National Bank of Huntington, N. Y.'.
The New London City National Bank, New London, Conn..
The National Bank of Commerce of New London, Conn.
Hartford National Bank & Trust Co., Hartford, Conn.l.
The Indiana Trust Co., Indianapolis, Ind.
The Merchants National Bank of Indianapolis, Ind..
The First National Bank of Schaefferstown, Pa..
Lebanon National Bank, Lebanon, Pa.'
Merchants and Mechanics Bank of Columbus, Ga.
The First National Bank of Columbus, Ga..
The First National Bank of Bellmore, N. Y.
The Franklin National Bank of Franklin Square, N. Y.:
First National Bank of Walden, N. Y.
The Wallkill National Bank, Wallkill, N. Y.1.

$5, 102, 519

2,926, 282 104, 838, 710

1, 334, 747 4,950, 498 5, 661,670 16, 442, 119 36, 988, 954 21,884, 411 27, 504, 61 68, 942, 361 1,613, 426

895, 390 3, 159, 713 13, 924, 897

1, 830, 082 30, 121, 967 82, 312, 059 140, 080, 512

657, 326 2, 256, 174 6, 190, 095 19, 516, 969

6,838, 187 19, 401, 026 16, 368, 075 18, 581, 234 258, 819,071

38, 438, 750 154, 424, 013

1, 234, 509 9, 312, 989 17, 100, 782 16, 221, 116

8, 432, 231
187, 196, 468

3,685, 932
5, 630, 329

2, 876, 614 25, 707,065 26, 239, 214

293, 678, 636

187, 710, 242

10, 547, 498 32, 321,899

195, 628,699

9, 316, 261

1 Continuing bank.

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