New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1913-01-08

without putting ~ any money or even
taking possession of the stock alio'leu
10 them. The syndicate, he said Simply
offered them the stock and then SOFA II
for them at profit,
Sees Nothing Objectionable
do YOU see nothing Objectionable
about national banks and ofhcers Vi h"
tional banks which may be caileo oii
10 loan money on Stock Exchange tah-
ing an interest in syndicate LOT iiial
keting a stock To be listed, that may
be used as Stock Exchange collateral
asked Mr. Untermyer.
NO. 1 see nothing dishonorable about
that" declared the witness.
The witness said that before the
stock was listed on the Stock Exchange
his firm. Hallgarten & Co., Lewlsohh
Rrothers and a fourth firm that had
12is per cent interest in the original
syndicate, had sold all their stock
When the stock was listed, ne salu'
Lewisohn Brothers, for the joint ac-
count Of all the firms, went in ana
made a market" for the stock.
How was that done?' asked MI.
Untermyer.
by giving buying orders on scdie
down and selling orders on scale up
answered the witness.
That was done TO give appearance
Of activity in the stock?"
No, it was done to steady the price
Of the stock
Wasn't that manipulating the mar
ket?'
Mr. Henry thought it was not but
said he knew little about manipulation
and could not define it,
How high did the stock go under
THIS cperation?" asked Mr.. Cntermyer'
at went to - and a fraction from
40" said the witness, who added that
the original stock was sold by the syn
dicatc at 40 and 10.
Insurance Companies Affairs
When the committee took up INC
,nairs of the Equitable, Mutual We"
yorl, and Metropolitan Insurance OF
yaoizatiops. Mr.. Untermyer examined
,bn witnesses as to the securities held
nv the companies, which, under the
New York State law, were ordered Ill
1905 to dispose of their holdings OF
u,clk within five years. The time has
,cen since extended five years.
Mr. IJntermyer examined Charles A
peabody. of the Mutual, and Judge W.
\. Dav. of the Equitable, regarding tne
sal, Of stock in the National Bank OF
commerce to James Stllman anu
George F Baker, after Mr.. Baker ana
Nv Stillman had acquired. through the
purchase of Equitable stock by :. T.
Morgan. a contingent interest of one
eourth each IN the control of the lhsur-
ance society. Mr.. Day said he did not
-,nov that Mr.. Morgan, Mr.. Sullmah
and Mr.. Baker were interested in the
National Bank of Commerce prior 10
that time.
The sale by the Equitable to BenJa-
min Strong, IT., of the Bankers Trust
Company, of a block of stock in the
Mercantile Trust Company, later ap-
sorbed by the Bankers Trust, was also
taken up with Mr. Day, who said he
knew nothing Of the voting agreement
under which the Bankers Trust had
operated. in which one Of Mr.. Morgans
partners was trustee, at the time OF
the sale.
John c. Mccall. second vice president
Of the New York Life Insurance Com
pany. said his concern was mutual
company. In 1908, he said, there were
100000 policyholders. of whom sixty
two voted at the annual meeting. He
did not know whether these were
agents OF the company. In 1909 thir-
ty-two policyholders voted, and in 1911
forty-one voted.
Nh. Mccall said he had no knowledge
of what banking houses his company
bought securities FROM
Few PoicyhoIders Vote.