New-York tribune., 1908-05-01
ACTIVE BLIND ACCOUNT
MINTYRES LAST TRADING
No Clcsc Obtained to Missing g
500 900 an Securities.

The examination into CERTAIN affairs of T. A.
Mcintyre & Co. the bankrupt brokerage concern,
authorized by Judge Holt. Of the United States
Circuit Court. was begun yesterday before Com
missioner Gilchrst in the Federal Building.
The testimony of George c. Ryan and Edward
F. White. partners Of T. A. Mcintyre & Co,
brought interesting facts. including the
existence the firms books Of account which
sonally TO T. A. Mcintyre. This blind account
particularly active one and at the time OF
the failure short about 1900 shares, of which
$500 were of Reading stock.
The examination revealed strained relations be
.veen the head Of the firm and at least one of his
six partners. 1t was shown that when one Of the
latter Mr. Mcintyre just before the failure
with the suggestion that the firm not in good
financial condition, he replied: why. you're crazy
We are perfectly solvent 1t also developed that
the other firm members knew little about the inner
workings Of the office
T a Mcintyre not present, but repre-
eented by Maurice Leon, said, noticing his
appearance the minutes: MIR. Mcintyre is sick
in a sanatorium, and only for this fact he would
have come here voluntarily and without requiring
q subpoena 7 Will be ready 10 produce him here
st the next hearing. when will be ready TO
answer questions that might be asked about the
affairs OF T a. Mcintyre & Co"
So far the discovery however. of the DISPOSE
.ion OF seo0o worth Of securities held by the
rrn was concerned the examination was unpro-
ductfve. Half dozen lawyers were present rep
securities.
Frederick NJ. lockwood, insurance broker. the
first witness, testified 10 taking up for Mr.. Nc
Intyre notes made by him TO the Hardware Pub
rshing Company amounting to $500 Mr.. Ernst.
attorney for Charles c. Birmingham, receiver OF
the frm who brought the proceedings, conducted
the examination.
George c Ryan testified that he became a men,
her Of the firm on May l. 1907. He put s25.000 into
the business and said that later he borrowed $50,
7s aff fC al q
never been distribution of profits, he said. al
though he understood that the firm was making
money. Mr.. Ryans arrangement called for sl5co
year and Is per cent Of the net profits.
Mr.. Ryan said he never knew that the firm specu
lated and that his first intimation that 1t in
''shaky condition was few days before the as
sdgnment- Mr.. Ryan said he did not look over th
books himself, but told Thomas a. Mcintyre @
his suspicious. The latter said everything wa
all right but that the firm needed money, suggest
ing that Mir. Ryan induce his friends TO put in more
capital. Instead Mr.. Ryan had Arthur Peck, O
Syracuse, make an examination Mr. Peek pre-
pared q statement which showed that the firm
liabilities were Ssoceo with good assets of s215oo
and doubtful assets of between $500 600 and S4 900
Thereupon Mr. Ryan said he told Thomas
Mcintyre and John @. Mcintyre Of the precaItou
condition Of affairs, and the senior member told hin
he was crazy and talking panicky.
Mr. RYAN said that all he.had were life insurance
policies for $4,000 part Of which pledged Nth
hanks His property consists Of a $4,000 house in
Syracuse. which has q mortgage on IL Tor s5'oeo
The witness said that the $4,000 assets consisted
Of the Stock Exchange seat here, the Chicago
Board Of Trade seat and slo6oo equity which the
firm had in bank loans. Mr.. Ryan said he knew
nothing about account NO. 49,; nor could he tell
what had become of certain securities purchased
by customers.
Fduard f White testified that he understood
Thomas a Mcintyre had instructed the heads OF
The different departments not to give him more IN
formation Of the workings of the concern than was
oar-1f1e n<
absolutely necessary He had been a Hleillper OF
the firm lor three years
AS ticker man." asked Mr. Ernst 'did you not
handle all the buy and sell slips OF the concerns
YES and on Thursday I noticed q number OF
No. 20 slips. ] spoke TO Mr. Mcintyre ABOUT tnein
and he told that it was all right, as he was
taking care of that account
Adjournment taken until Monday, wher
Thomas A. Mcintyre probably will be examined
It was said yesterday that the Stock exchange ls
making an investigation into the affairs of L A
AtcIrt &