The Washington times., 1905-06-11
Regarded as Scheme to
Consolidate Service
Corporations.
RYAN Is MOVING SPIRIT
He Is Esteemed a Past Mas
ter in the Art of Con-
solidation.

NEW YORK, June 10.-The remarka-
bic developments in the Equitable Life
Assurance Society situation which have
occurred in the last thirty-six hours
left the financial community today IN a
state of complete bewilderment. After
the selection OF Paul Morton as the
''oyerlord." the resignation Of all the
old directors, and the announcement
that j. H Hyde had sold his stock in
the society to syndicate headed by
Thomas F. Ryan, 1t was supposed that
only the preliminary moves had been
made in a great battle between the
financial giants for the control of great
interests outside the Equitable itself
1t was thought that a great fight was
on between Ryan and Belmont for val
liable franchise rights about TO be
awarded in this city. 1t looked as
though the war In the Equitable might
be carried on indefinitely.
Breyton Ives at the meeting of the
directors in objecting to the selection
or Paul Morton as chairman showed
some temper, and in great heat is re-
ported TO have said:
You have only to refer to this mans
testimony before the Interstate Com
merce Commission to see that he is a
se1f-eonfessed law breaker In that tes-
timony he admitted that he made illegal
contracts while vice president of the
Atchfson. Topeka and Santa Fe rail-
road, involving the giving Of rebates,
and that he knew the contracts were
illegal at the time they were made"
Left Room in a Rage.
Mr.. Ives left the board room III a
rage when the majority voted for Paul
Morton. and refused to remain to offer
concentrations with the rest
He was quiyering with anger when
some newspaper reporters stopped him
IN the hall and asked him what had
transpired in the meeting.
II want you to understand that am
e free American citizen, and that want
to be let alone. l am going now to do
some work. he said. Other men of in
fiuence in the financial world took the
same position regarding Mr. Morton 8
selection for the important position, and
continuance OF the fight for millions
was looked for A night of reflection
seems to have brought about a change
of feeling, at least so far Mr.. Ives
is concerned After making his attack
on Mr.. Morton he doubtless felt that
ne could not remain on the board OF
directors. and so sent in his resignation
His Letter More Amiable.
The letter of declination is much more
amiable than mis- talk on the day before
and says among other things that, as
he was not stockhoider in his owT
right. he desired to give Mr.. Morton
free hand and wishes him every sue
cess This apparent change Of senti
ment naystified Wall Street not q little
ard the perplexity was still further in
creased by the perfectly friendly atti
tude taken by Mr.. Belmont toward th'
whole transaction. Instead OF showing
fight or the slightest intention of bein,
in any way opposed 10 the Ryan con
troll of the Equitable, he prepared
statement and sent IL to the EquitaSl
building by one of his secretaries. saying
that what had been done and the man
ner In which il was done had his full
Endorsement, and the principle was th
right one. Mr.. Belmont also denied
that he had opposed Mr.. Morton, ant
bespoke the gratitude and indorsemen
of everyone for Ryan
The mystiication was helped durin,
the day by specuiations as to the rea
sons for the purchase of the Hyde stock
1t is pretty well known in financial cir
cles that the price paid by the Ryan
syndicate was in the neighborhood o
5000 900 1t is also well known that tn,
stock purchased yields an annual divi
dend OF some $1,000, scarcely more thar
a clerks salary.
II Is the opinion of men who hav
watched the trend or affairs and VIII
discussed the situation today. that tn
whole arrangement is but part of
scheme to consolidate and solidify al
the public service corporations. electri
street railroads and subways. presen
and prospective. in one grand unit. L
was pointed out that Thomas +. Ryan
the moving spirit in this latest deal. i
postmaster in the art OF consolida
tjCn.
paul Morton Is induced TO leave hi
Cabinet position and Is brought on her
TO be associated with Mr. Ryan in fur
therine the plans OF subway extension
And last. but not least. August Bel
mont. already a subway magrate ant
q most formidable rival, IL reconcilct
:, the acquisition of vast financial re
sources by his opponents. Tie trus
.eea named for this stock have all ac
cepted their trust. They are forme
President Cleveland. Judge Morgan J
oRrien and George Westinghouse, o
Pittsburg.
Tarbell Men May Revolt.
Mr. Cleveland IN accepting the trust
said that he did SO from sense o
duty. 1t is thought that the attention
of the affairs of the Equitable Society
would go far toward restoring con
6dance I'm the institution which has beel
SO much disturbed OF late
But as was pointed out today. the sc
secffop made for the overload OF the so
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