New-York tribune., 1909-11-30
CONTROLS TRUST co.
III. u. DAVISON BUYER.
Gets Hartman and Mutual
Life Guaranty Shares.

Control OF the Guaranty Trust Company
has been acquired by Henry p. Dawson, OF
J. p. Morgan g. Co. acting for himself and
for associates whose identity has not been
disclosed. In the transaction Mr.. Dawson
said he had acted individually, and not as
a representative of J. p. Morgan q Co.
The stock purchased. which amounted to
more than one-half OF the total s2.00oOoo.
would be trusteed for five years. he said.
the voting trustees TO be himself, George
F. Baker president OF the First National
Bank. and William II. Porter. president Of
the Chemical National Bank.
The purchase included the holdings OF the
Z. II. Hartman estate. about 5000 shares.
Mr.. Dawson continued the Mutual Life
Insurance company's holdings of more than
&oo shares. and other blocks from owners
whom he declined To name. There would
be no changes. he added. in the policy or
administration of the company as a result
OF the change in control.
The Mutual Life for many years held
virtual control OF the Guaranty Trust Com
pany, through ownership of 500 OF the
total 2OooO shares. Nearly year ago.
after the failure OF long negotiations with
the late John W. Castles. then president of
the Guaranty Trust. for the purchase OF its
entire holdings the Mutual Life sold one
half OF IT'S stock TO the late r II. Harri-
man at $50. price which Mr. Castles had
been unwilling to pay. The stock was
quoted last Saturday at 100 bid and yes
terday at 40 bid, and IL is reported that
the figure at which Mr.. Dawson bought the
controlling interest was 765. which. If ac-
curate. would mean profit to the Harrl-
man estate OF nearly 100000. assuming
that the purchase by Mt. Hartman of the
1920 shares from the Mutual Life was for
his own account solely.
The Guaranty is among the largest OF
the trust companies OF this city. having de-
posits of about 100000 and surplus and
undivided profits of more than ss.5OoC0. IL
pays % per cent dividends a year on its
100000 capital stock. The company has
strong and representative board of d.
rectors. consisting Of George F. Baker. r
s. Lovett, Edwin Hawley, Levi p. Morton,
Augustus ID. Julliard. J. Rogers Maxwell.
Charles A. Peabody. James Speyer. Urban
II. Broughton. Daniel G. Reid. Oscar G..
Murray, Walter G.. Oakman. Robert w.
Goelet. Frederic Cromwell. Edgar c. Heb
bard and Alexander J. Hemphill. A special
committee of three directors-Mr. Baker.
Mr.. Juilliard and the late Mr.. Hartman
was appointed last December. just after
I
select a successor to him as president. but
the vacancy has never been filled. and Mr..
Hemphil. who is one of the vice-presi-
dents. has been acting head of the institu-
ton since Mr.. Castles left the presidency.
At various times there have been rumors
Of the merger of the Guaranty with other
trust companies. AS far back as the sum-
mer of 1896 IL was reported that there was
ha
anty. the Mercantile the Equitable and the
United States Mortgage and Trust. When
Mr.. Castles went 10 the Union Trust Com
pany II was reported that his purpose in
seeking to acquire control of the Guaranty
was TO combine it with the Union. and
more recently there were rather definite
reports that the Guaranty and the United
States Mortgage and Trust might be
merged The change OF control just an
nOunced leads Wall Street TO believe that "A
merger with the Bankers Trust Company
will ultimately take place.
Mr.. Dawson has from its organization
been prominently identified with the Bank
ers' Trust Company. and is now chairman
OF its executive committee. and holds the
same Office in the AstOr Trust Company, the
directors OF which are practically Identical
with those of the Bankers Trust Company
William II. Porter. another OF the new vot-
ing trustees of the Guaranty Trust Com
pany. is, like Mr.. Dawson. a director of
both the Bankers and Astor trust com
penies. and the third voting trustee. George
F. Baker, president Of the First National
Bank. Of which Mr.. Dawson was vice
president until his entrance into the firm of
J. p Morgan & Co. is a director of the
Astor Trust Company
The Guaranty Trust Company was desig-
mated I'm 1902 one Of the fiscal agents of
the United States government in the Orient,
but i'm February. 1894 withdrew from busi-
ness in Hong Kong. Shanghai and Manila.
turning it's interests over to the Interna-
tional Banking Corporation