New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1913-10-26
BANKERS TRUST ENDS
VOTING TRUST PACT
Company Tomorrow VIII issue
Stock for Certificates and
Call In Old Securities.
MOVE ONE OF IMPORTANCE
Forecasts End of This Method
of Controlling Big 1nstitu-
tions-Davison Testi-
mony Recalled.

Hanrv p Dawson, Of ]. p. Morgan q
60 coorge r Case. Of White & Case
and Daniel G. Reid. voting trustees OF 'he
Bankers Trust Company, it was learned
yesterday, have sent to the holders OF the
stock trust certificates a statement calling
in these securities, which Will be replaced
by stock. The notice to the holders OF
the stock trust certificates, which states
that the voting trust agreement VIII ter
inmate tomorrow, is as follows;
TO holders Of voting trust certihcates
OF shares of stock of the Bankers Trust
Company issued pursuant to voting trust
agreement dated March 9, 1912: The un-
de-signed voting trustees Oh. +. DAWSON
George B. Case and D. G. Reid. under the
above mentioned agreement, do hereby
exercise their discretion in terminauhs
said agreement, and do hereby declare
that said agreement shall terminate and
come to an end in accordance with 's
provisions on October "a, 1918.
No explanation of the change was maoe
by the officers of the company yesterday
but the move will attract widespread at
tention all over the United States as fore
casting the end OF this method OF con-
troll of big financial institutions.
The Pujo committee at its hearings IN
Washington last winter laid particular
stress on the evils that might result from
such concentration of voting power
Henry p. Dawson, one of the Bankers
Trust Company voting trustees. was Ques'
toned closely as to the value and purpose
of such agreements. Mr.. Dawson de-
clared that they were of little value now
but were serviceable during the perioo
when ambitious banking promoters were
buying up bank shares.
Wall Street was taken by surprise al
the announcement that the Bankers
Trust Company is about TO terminate lts
present policy OF control This institution
although one Of the youngest, is one OF
the wealthiest in the country. Its officers
are all comparatively young men who Cd
tanned their banking experience in the So
called Morgan school of banking.
on August Z, 1911, the company IN
creased its capital from $3OC0,GD TO S5'VVO'-
900. following the merger Of this company
and the Mercantile Trust Company, the
merger having been effected on July ~
Again on March 10, 1872, the Bankers
Trust Company increased its capital from
100000 10 100000 the increase follow
ing the merger of that institution with
the Manhattan Trust Company, which
was approved on February q, 1872
The Bankers Trust Company has sur
plus and undivided profits amounting 10
about s20.Oo0.O00. Its stock is quoted al
about $3.50 a share and pays quarterly
dividends of 5 per cent or 20 per cent an
nually. The stock has always been
closely held by the most prominent imam
cial interests of the country, who are rep
resented on it's board. which is largely
composed Of bankers and bank officers
The officers and directors are:
President, Z. c. Converse; vice-presi-
dents, Benjamin Strong. jr.. ID. f. Pome-
roy, #. j. Kent; treasurer, II. j. Dono-
van: Stephen Baker. Samuel G. Bayne,
Edwin NJ. Buckley, James G. Cannon
Thomas De Witt Cuyler, Henry T. DaVi-
son, z. Hayward Ferry, Walter Il. FreW'
Frederick T. Haskell. A. Barton Hepburn
Francis L. Hine, Thomas W. Lamont
Edgar L. Marston. Joseph P. Martindale'
Gates w. McGarrah, Charles d. Norton,
George W. Perkins. William II. Porter.
Daniel G. Reid, Edward F. Swinney. Gill
bert G. Thorne, Edward Townsend. Albert
II Wiggin and Samuel Woolverton.