New-York tribune., 1919-06-06
Four Directors
Oppose Sale of
[. M. vi. Assets
John W. Platten and F. W.
Scott Resign From Proxy
Committee; Fear for the
mon Stockholders

John W. Platten, president of the
United States Mortgage and Trust
Company; Donald Geddes, Of Clarke,
Dodge & Co.; Frederick w. Scott and
Charles A. Stone, president Of the
American international Corporation. all
directors Of the International Mercan-
tile Marine Company, yesterday came
out openly against the proposed sale of
the British assets and the plan for
hquldatlng the American holding cor
poration.
Mr.. Platten and Mr.. Scott registered
their disapproval of the previous rec
ommendation of the board by resign
ing from the committee that was ap-
pointed to solicit proxies for the
special meeting called for June 16,
when the plan for selling the British
fleet is scheduled TO be voted upon.
The other members of the committee
consist OF P. A. S. Franklin, presiden:
Of the international Mercantile Marine
Company; J. P. Morgan and Frank A.
Vanderbilt
Mr.. Platten's Position
MIR. Platten said he was opposed to
the sale of the International Mercan-
tile Marines British assets largely on
the grounds that this transaction would
involve the liquidation of the American
shipping companies and other American
assets, which, in his opinion, would
leave little for the common stock
holders.
Il have been absent from the city
TOR the last month, returning Mon
day." he added, "and was not present
at the board meeting when the direct
ors took action recommending the
sale Of the British tonnage and there
fore did not vote upon the question.
THE same members of the proxy
committee for the annual meeting held
on Monday were used for the special
meeting called for June 1G. l was
wired asking for the use Of my name
on the committee, but was unadvised
that the transaction carried with it
the complete liquidation of the Inter
national Mercantile Marine Company.
Learning this upon my return, to-
gether with other circumstances, I am
convinced that the sale is not in the
best interests of the marine company.
hence the Withdrawal of my name from
the proxy committee
"The sale of the British assets as
recommended would carry with it the
sale of the American assets, thus
throwing heavy burden on the COM
mon stockholders. The loss of other
valuable equities such as good will and
important docking facilities in this
city would also be entailed. In addi-
tlon to the above, the probable lower
taxes applying to the British com
panies and the improved current earn
ings and the better outlook in this
respect, in my opinion, are excellent
reasons for continuing the company
as going concern. l am, therefore.
absolutely opposed to the proposed
sale"
Franklin Issues Statement
In announcing after meeting Of the
Marine directors yesterday that the
four members Of the board named op
posed the sale of the British assets
MIR. Franklin said that Mr.. Scott. al
though he was a representative of the
old preferred stockholders commit
tee which fought the bondholders' re-
organization plan three years ago,
never approved of the plan. Mr. Plat
ten and Mr.. Geddes were members Of
the common stockholders committee.
Stockholders were informed in a state
ment signed by L. f. Parvin, secretary,
that proxies already sent in will stand
unless notice Of revocation is received
by the company, and voted in favor of
approving the sale
Mr.. PlattcE declined to state yester-
day whether he would carry his fight
against the liquidation plan to the ex
tent OF forming a special committee
to ask for proxies to be voted against
the proposal. He intimated, however,
that such action was possible de-
velopment of the near future. Both Mr..
Platten and Mr.. Geddcs believe that the
complete liquidation Of the ]. NJ. NJ.
would involve the payment of heavy
government taxes by the company.