The Washington times., 1905-12-08
Insurance Company's
New Owner Quizzed
by Hughes.
In FEAR OF RECEIVER
Saw Danger to Business
Therein and Acted
Therefore.

NEW YORK. Dec. S-Thomas F
Ryan, owner of the controlling interest
of the stock of the Equitable and
Washington Life Insurance Companies
was present when the legisla tive insur-
ance investigation was resumed this
morning, having been summoned as a
witness. He was accompanied by his
personal counsel. Paul d. Cravath.
Mr.. Ryan talked with Chief Inquisitor
Hughes and Chairman Armstrong for a
few moments and then took a seat
quietly waiting until he should be called
TO the stand. His tall figure made him
a prominent object in the room and all
eyes were centered on him.
Mr.. Cravath had short conference
with Mr.. Hughes and Senator Arm
strong. This delayed the committee
from beginning it's session promptly at
1880 O'Clock.
Witness in Hurry.
Mr.. Hughes explained to the commit
tee in calling Mr. Ryan 10 the stand
that the latter wsS obliged to leave the
city for n few days and had asked to
be examined now. The committee
agreed to this. and Mr.. Ryan took the
stand.
Mr.. Hughes questioned Mr.. Ryan
about his purchase of the majority
stock OF the Equitable from James
Hazen Hyde in June Lass: HHssr. Ryan
said he paid s2.5oO.000 for 502 shares. He
said he gave his personal check in pay
ment. He had not placed the stock as
collateral to secure a loan 10 pay part
of the purchase price. he said and had
borrowed no money from any insurance
company TO make the payment
Mr.. Ryan was asked how he had com
puted the value OF the stock of the
Equitable in making the offer OF $500.
eeo for the stock; whether he had fig
ured on the Intrinsic value OF the stock
or on the market value
In reply Ryan said he had not made
any calculations as To its value
He had purchased the stock himself.
and no one had any interest with him
in making the purchase
Why He Bought.
In reply to a question as TO what
led him to make the purchase. Mr. Ry-
an made rather long statement in
which he said that the agitation over the
Equitable scandal had led him to be
heve that a receiver would be asked for
the company This threatened danger
and the influence 1t might have on bus
mess. made him anxious to have con-
hdence restored in the company
lie said he did not wish the vast
treasury Of the Equitable TO fall into
the hands of other fnanciers who might
use it to their own advantage
AS he did ottbelIeye other fnanciers
had any right to Ause these funds he
thought he would not have the right
either, so had arranged TO have the
stock placed in the hands OF trustees
Mr.. Ryan said II was no part of the
consideration for the purchase of the
Hyde stock that a part or all of n
was 10 be bought back nor was there
any agreement uf any kind for turning
II back either 10 Mr.. Hyde or any one
else. He also denied he was Carving
the stock either for Mr Hyde or any-
one else.
Genuine Sale.
He insisted il was a bona fide sale in
every particular. and that he held the
stock only subject to the rights Of the
trustees. Grover Cleveland Justice
O'Brien. and George Westinghouse.
under the trusteeship which he had
created.
The letters 10 the trustees, IN which |
they were asked TO assume the duties
OF the trust. were then read and spread !
on the record.