IMMIGRANT INSTITUTIONS 
l°5 
found in the isolated iron ore mining camps of Min 
nesota and Michigan, in all bituminous mining local 
ities of any importance in the East, Middle West, 
Southwest, or South, and in all industrial localities 
which have grown up around such industries as tex 
tile, iron and steel, and glass manufacturing. The 
importance of the business conducted by them may 
be seen from the fact that probably 90 per cent, of 
the total amount of money sent abroad annually by 
aliens working in this country passes through the 
hands of immigrant bankers.* More than one-half 
of the so-called banks also receive deposits, and, altho 
the average deposit is not very large the aggregate 
amount held reaches high into the millions. ... T. he 
significant fact in connection with the entire system, 
however, is that only a comparatively few States 
have made any effort to regulate these private banks 
built up on the patronage of aliens. New York has 
the most drastic law. It has had a marked effect 
0n fraudulent practises as under it about twenty 
indictments for larceny, forgery and misdemeanors 
have already been filed and two bankers have been 
sentenced to State’s prison. The legislation of other 
States is not so satisfactory, altho Massachusetts has 
niade considerable progress as a result of its 
investigation. 
The New York State legislature has recently passed 
an act stringently regulating dealers in foreign ex 
change. This act was bitterly fought by many of 
the houses dealing in the business of sending immi 
grant savings to Europe. 
ahro^ P f?. xil T. ateI y ,000,000 in 1907 and $70,000,000 in 1908 was sent 
a i • aliens residing in this country through immigrant bankers that 
with nine of the largest banking agencies doing such business. 
ee Pages 113, 114.