New-York tribune., 1920-06-25
Ryan Expelled
From 'Cllangge;
Renews Charge
Trader Who COrnered Siutz
Motors aud Offered Res
ignasion in Ensuing Dis
pute Is Formally Ousted
Will Begin Court Action
Believed to Contemplate
Suit for SiO,OOO,OOO
May Seek Outside Listing

Another sensational chapter was
added yesterday to the episode of the
Stutz Motor corner. when William H..
Remick. president, announced from the
rostrum of the Stock Exchange that
Allan A. Ryan, a member since June 10,
1905. had been expelled. Mr.. Remlck
read from q resolution passed by the
board Of governors at its meeting wnlch
lasted until late Wednesday evening
ana at which MIR. Ryan's expulsion was
decided upon.
The announcement of the EXCHANGE
was made only to It's members and en-
rlovces. Anticipating the action taken
hN ~tho governing committee, several
newspaper men and other interested per
sors assembled IN the gallery surround
irg tho big trading floor promptly at
~ O'Clock, the hour of opening, but
were Informed that they could not re-
wain to hear the announcement relat-
ine to Nj Ryan. The gallery was then
cleared and the member brokers were
asked 20 gather around the rostrum
while Mr.. Remick read the resolution
Of the governing committee. 1t was
ll:2o when trading was resumed.
While no official statement was made
by the exchange other than the bare
announcement that Mr.. Ryan had been
expelled, it was learned that the vote
taken on Wednesday was not partici-
pated in by those governors who were
charged by Ryan with having sold
Stutz stock short Otherwise, it was
said the decision Of the board was
unanimous.
1t was brought to light for the first
time yesterday that the newspaper adj
vertisement sent out by Mr.. Ryah a
week ago was a duplicate of the answer
filed by him with the exchange in
answer to the charges of the governing
committee that he had been guilty of
conduct inconsistent with just and
equitable principles Of trade in his
activities in connection with the corner
in Stutz stock. Mr.. Ryan concluded
that statement by announcing his re-
fusal to appear before the Stock Ex-
change authorities at Wednesdays trial,
to which decision he adhered.
Offered Resignation in April
Mr.. Kyan's expulsion took place more
than two months after he had rendered
his resignation as a member of the
exchange, accompanied by a request
tha his seat be sold. The governing
committee refused to accede TO his re-
quest on the ground that it could not
act until it had completed its investlga-
ton of the events leading up to the
conclusion that corner in Stutz eE-
is.ed. The exchange on March 81, how
ever, did cary out the request of Mr.
Ryan that Stutz shares be removed
from the trading list.
This action was followed by the for
nation OF protective committee of
Stoc< Exchange firms, which arranged
with Mr. Ryan a settlement of the
short contracts in Stutz at $3.50 Il
share
Charactcrizing his expulsion by the
exchange as a fitting capstone to the
series ol official and unofficial acts,
each calculated to cmbarrass, to I'M jure
and even to destroy me-" Mr.. Ryan
said he was surprised that the board
of governors did not conclude their
proceedings by vote of confidence in
heir committees and resolution of
ne matter to their attention.
"When | stated in my resignation Of
April 49, he added. that I could not
retain both MY membership and self
respect. and that as | was obliged 10
lose one OF them | preferred to retain
my self-resp pect. | think nv judgment
was correct. as borne out by subsc~
quent developments. believe that the
public has had moro than enough of
these so-caled trials, which are but
star chamber proceedings where sec. =
intrigucs. ruthless autocracv and
stronp-afm methods are ndulced in
Wiz immunity Those who favor such
system may woll side with the ex-
charge. Those who respect Justice
and fair play viii denounce these
Guilty of Offense
"That have succeeded DESPITE the
forces arravcd against me appears now
70 have been q transgressjon of the
rules &C the exchange. While opinions
on this NAV differ, | think it Will be
generally admitted that have been
really guilty Of one unnardonabie Of
Tense dared 20 life my voice, openly
and unequivocaily, against system
'hat rs wrong ard against the vcnpc-
full clique which masqueraded un ! T
i. i the board Of governors think
they have placed a mark upon ne by
this desDotic and prearranged action
of theirs, would say that the marx
If there be any. bctrays its origin.
"For such Of tie Injustice worked
upon me az is remodable in the courts
! intend IN due season % seek eppro-
PIRATE redress. I am willing 70 stand
c. fail On the case as the nuhlic has it.,
J. > Lew. Of counsel Tor M Ryan
when asked concerning She legal pro
ceeeinCs - BE- brought aoainet the OK.
ch7nrn. Said that none had &c, bcou
actnalir started. Rumors continued in
're financial district. however. that
d7 aCes 70 the extent Of $4,000 .O0f
voH'd he asIed by Nr Ryan for tac
wtcn@ .al'e9ed u have been done ts
Thce also were reports that st.n,
= s-f+.