New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1909-12-03
/ ?. MORGAN BUYS
EQUITABLE STOCK
y 4. REGN SELLS HIS
ENTIRE HOLDING.
V,G Street Thinks a TGsf
Banking Consolidation
Is Planned.

~he stock control = the Equitable
1ue Assurance Society. which was ps.r-
Chased frem James Hazen Hvde bv
Thomas p. Ryan in June. 1925. has now
lcon transferred by the latte, u 7
IrTari Norsan. The ownership Of a
majority of t2e stock. however. as is
commonly znown does not carl.- with il
unrestricted control of this great insti-
tutto1. vi-h its assets Of more than
Ss-oooa.6oo since the powers incident
60 the stoca are lodged in thc hands
81 trustees ard a majority of tie direc-
tors are men selected by the policv-
hc'de~s from among their numh,.r.
The announcemo2; Of the sa,e of the
Stock ras issued fro-a the Office Of ] p
Morgan & CO. in tiis form.
Az Morgan has bought the rnsiori,,.
az ihe stock az the Equitable Life As
slr4nce Society. formerly owned IN. T
j hl.n lhls purchase Is subject 10
the ul~t under which Grover Cleveland
Gore -r !. tRrieu and George KVesting-
iolsr arra made voting trustees for The
rh- .l 10 p"lcy holders, and Il COW
~ a- Nr Ryan's interest. Including an
iae stock purchased by him from jaime,
= Hyd-.
So l'lf- lilf.akaa.- Inns NT1FT
Statement could bc obtained from any
of Ar. Norga-'s business associates. bl,t
% is rae understanding of Wan Street
rEat an arr1uSemert has been reached
through which the trust shah ne dis
solved next June and the control of The
property revert 10 the majority stock
hollfr- and u is rumorCG that one OF
the 1lie-ts 0f Mr.. Morgan in making
f.s purchase rs 70 effect q vast banking
constellation. in which the Mercantile
and t|- Equitable Trust comuanies. con
uoleG "y The Equitable Life. shall be
combined with the Guaranty Trust
C0mrsr.. control of which was bought
only ssw days ago by Henry p. Davi-
son. o- T. 2. Morgan & Co. and with
me B10@0-s Trust Company. TO which
8 has been reT0rred the control OF the
Guaranty would ultimately pass.
NR. REAN's PURCHASE.
Mr RYAN il viii be remembered. after
the Insurance Developments in 1917. in
which ,re EguiJaaie's prestige had suf-
ferf1 severely as a consequence Of the
cisc'7s-r-s made in the course OF the bit
~ conflict between the parties in the
maIae nent. headed. respectively. bv
the president. James ". Alexander. and
james Hazen Hyde. the vice-president.
sah oi tne late Henry .. HYDE. the So
cetys founder and first president. pur-
etssed Mr- Hyde's holdings. 58z shares.
eai 0f H Iotal of 1.gpo. paying for them
S25uvp.
ine stock although IF only nominal
snounr was extremely valuable as car
Ning control ~ the society. with its
rem-rlols assets which represented
similarly tremendous Ioaning potential
H. Dr. HYDE had refused higher offers
iar his c9urroling interest. before max
lg the sale o. AR Ryan. and pressure
was brought - bear upon the latter after
NJ transaction had been completed 70
1elce him r0 sell part Of his holdings.
specially 0y the late r H Hartman.
$40 gave testimony on the point before
le Armstrong investigating committee.
AZ El -l- however. declined al offers.
'-' lnsi al ~ taking over the fun con-
1o. announced q plan II trusteeing his
1'.ailss. which was speedily carried out.
deed 1f trust was executed by him
f June -. 1906. turning over his 502
sAares t0 three trustees. the late Grover
-.rFe-anl. George Westinghouse and ex-
slsiire Morgan J. O'Brien. The So
9r'S charter provides for ffiy-two di-
i7'''fs ia four classes Of thirteen each.
'-l-f fae deed ~ trust the virtual mu-
Nalzatl0r 0f The institution WAS provid-
i'r. me a~rangement bells that the
NarIfHfN 81 Ia IL
directors. who were L. be selected by
~' b'Aet holders fro~' among their
''ay and six VINO were % be the unre-
slleiec choice - the trustees. this plan
'-.'alI I-.sEug ln time the selection Of
board NJ which twenty-eight. or a ma
sll'l- are the nominees Of the policy
-''lefs. and tHeuty-f0ur those of the
80 kio-ders. acting through the trus-
tees
DihATlHN oF VOTING TRUST.
-h' clause - the deed Of trust re-
@Ilg io tle duration q the voting
N-s' and tle method of terminating il
as follows.
"'s agreement shall continue ia force
~, lfr years from the date hereof
.."I 1T Flldll bf rOHlnutQ
5ail-r So long a. the trustees shall
| ~" advisable. and the pa-ty Of the
- pofi hereby agrees that upon the
| '-"ti.A NJ any period OF i've years
-" "'i. upon the request Of the trus-
| f execute aU instrument continuing
- I-rtlrr period % i've years this
- 'it and the powers of the trus-
| -'.f- under including said power 20
-' an extension hereof This agree
49,. may however. b- terminated by
- 'lsirfs lu their discretion. when
49, i- iAt-r opinion, it, purposes haVe
L.. a'''i.I. I-led or FOR any reason us
fsable
'-A-Sl lstIoe DBrien. one OF the TWO
Alig trustees. said last night:
"h-e Ar Morgan by the purchase u
MAJORITY stock becomes the bene-
s owner the trustees retain the vOt-
power of the stock and, of course.
''eH continue. for the present al
in the capacity Of trustees 1 Do
"Ao" anything about the transac-
Except thar . understand AIR. Nor
Nas purchased the majority stock.
what ar. Morgan's idea was in
s'ins thls stock ! d. not know.
fom what j know of Mr. Morgan
flie positive thaf an transaction
40 ''ssh greatly o. the benefit OF all