OCR Text |
Show IAUSTRWN BANKS IN HAND OFFOREIGNER Outside Capital Takes Control Con-trol of Institutions By CARL D. GROAT. j United Prvra Staff Corrapondant. , BtCRU.V. March 11. Austrian Indua- ' try and banklnc ar bains furslsnlxed. ; American, French, EnrUah, Swlaa and ' other outaide capital Is taklns Ursa Interest therein. Thia ta true to a lea- 1 er extent of German Induatry. In Auatrla the process of forelfn- : ixina; business takea three forms, ac-cordlng ac-cordlng to Vienna adricea namely: i Flrxt, con Torsion of a foreign branch of a concern Into the main office and lcayina the Austrian offices as branches, tbe capital at the same tlmo belns converted Into that of the main office: second, allowlnc concern to remain re-main Austrian, but with the majority ot Its stork held by ouuidrrs; third. Infusion of foreign capital to Increase the capital stock, but without sivlng the foreigner the con'trolllnc; hand. An Instance of the first kind Is that of the Ijienderbank, which has been j converted into a rYeneh establishment, i leaving its Vienna offices as I "branches." In (he second catecory fulls the Ital- Ian purchases In the Alpine Iron con- v rern. While the concern remaina notn- j Inally Austrian that Is. it stays in the k' country its stock Is controlled bv Ital- 1 f Inns. In this connection It Is Interest- f Inr to note that the purchases thus fc. mode prevented the impendlns aocial- : t. Ixation -of the concern. It, As the third proclure. which haa R occurred In many Instances. It may be I I cited that1 the Guaranty Trust com-1 ) puny and another Ame-Hcsn concern 1 made investments of 40.000.000 crowns ( s In the Oesterreirhlffche Kredltanstu.lt. j tone of the oldest banks of Austria, ,-. i which found Itaelf compelled to in-. 'cre.-ise Ita capital extensively. f In Cermany one of the most notable J 'cases of capital Increase. In which for-I .s eiun capital participated. Is that of the i , Orniitn General Klectric company. It! Is und'Tstood that the American Gen-; eral Klectrlc was the outfit presenter' J tho bulk of the new capital sought! some months aco, hut it was distinctly; stipulated that the German corporation wuuld remain German and avoid for-1 ign control f tha majority stock. j |