The evening world. [volume] (New York, N.Y.) 1887-1931, 1920-08-04
A.A. RYAN ACCUSES
CHANGE OFFICIALS
OF PLOT IN SUIT
Continued From First Page)

commercial honor and integrity which
the Exchange was organized 70 main
Tain and to relieve themselves Of their
obligations to return or deliver Stutz
stock borrowed or sold by them, en-
tered into an unlawful conspiracy to
impair the value OF his holdings and
to inJure his business by suspending
dealings in Stutz stock on March 81"
"rhis wa sintended." he continues
In his complaint, "and did operate ns
q moratorium for the purpose OF per
hitting members OF the Exchange to
violate with impunity their obliga-
lions to return Stutz stock borrowed
or 10 deliver the stock sold"
Ryan charges further that he was
made the victim OF an organized cam
paign OF short" selling, relating in
his complaint that he had blocks Of
Stutz stock pledged with various
banks prior to the beginning OF the
campaign OF short" selling against
Stutz. which aggregated $4,000, Oe0.
Shis campain embarrassed these
loans by depressing the value OF
Stutz securities. he relates, and
own defense.
Immediately upon the discovery OF
the danger 10 his property and to
prevent the impairment OF his out
standing money loans. he says, ne
proceeded To protect his holdings by
freely purchasing on the floor OF the
Exchange such amounts as he could
OF the stock that was offered.
Ryan 5ays that he cndeavored to
prevent further short" selling bv
causing 1t 20 be known 20 the extent
OF his resources that he was In the
market TO purchase all Stutz stock
offered.
When the purchase OF Stutz on the
market became Increasingly difficult
and there was a consequent rise IN
Its market value. Ryan says. he on
deavored from time to time to ameli-
crate the condition by selling on the
floor OF the Exchange certain anour'J
OF his own stock. He saws that his
efforts IN this direction were not
successful ,
He said that he warned the Gov
Nrning Committee that the Ofbliga-
tons OF the short sellers were be-
coming Increasingly serious and
dangerous to themselves, and that
the situation was coming TO a crisis
He slys that he asked the COMMITTEES
TO take measures TO curb short
selling and charges that the com
mittee neglected to take action to re-
lieve the situation and directed him
20 continue lending StutZ stock. He
charges that members OF the com
! mittee, which later took the action
OF striking S;utz from the List and
81 expelnng him from his Exchange
membership, themselves continued tc
sell short.
He charges that certain members
| named in his complaint, who sat In
/ Judgment on the StutE transactions
were. prior to March 81 last, commit.
| ted TO depressing the market value
| Of the stock and were personally in,
terCEted in any and all measures ant
proceedings affecting these trannc
| lions.
The members of the committee *
interested. Ryan names in his com.
| plant as Henry G.. <. Noble, Robert
r. Atterbury, Herbert T. b. Jacque-
! lin. Allen Il. Lindley. Jay +. Carlisle
! Donald q. Geddes, Jerome ]. Danzig
/ Bayard Dominick. Howard r. Whit.
/ ney and Arthur Turnbull
Ryan sets forth that he was the
! president OF the Stutz concert up e
! April last. and that he has de.
/ veloped this company into one of this
large and profitable automobile man.
ufacturing institutions OF the world
He says that he has always been q
! large holder OF Stutz stock.
/ StRnchheld e. Levy OF No. 12(
Broadway, are his attorneyb.