 Secondly, private commercial banks developed national branch networks by capitalising on greater balance sheet strength.The process of banking cartelisation took place in conjunction with the regulatory change and the conflicts generated by the governmental policies.The situation created after the first banking law of 1921 and the simultaneous creation of the banking cartel (Banking Control Council–"Consejo Superior Bancario" or "CSB"), generated a series of defence mechanisms put in place by the savings banks.