Evening star., 1947-12-03
Surprised at Getting
Standard Gas Post,
Allen Tells SEC
By the Associated Press

PHILADELPHIA, Dec. 3.-George
E. Allen, new director of the Stand
ard Gas & Electric Co., declared
yesterday there seemed to be no
great enthusiasm" for him when he
was suggested as a replacement for
James Bruce, Ambassador to the
Argentine, on the. Standard Gas
Board.
Bruce suggested me-" Mr.. Allen
told the Securities and Exchange
Commission as he was called to
testify during the 10th session Of
the agency's investigation into the
company's board shakeup.
THE suggestion sort of died.
thought it was off," Mr.. Allen said.
The next thing I knew OHara
(Thomas O'Hara, a Standard Gas
directory called and said I had been
elected. sure was surprised"
Mr.. Allen, once called court
Jester" while he served as adviser to
President Truman, made good that
reputation as soon as he eased his
more than 200 pounds into the high
backed witness chair
almost Starved" as Lawyer.
To identify himself, ne said, well,
started out as a lawyer down in
Mississippi. I wouldn't say I was a
tremendous success as a laWyer-in
fact 1 almost starved to death"
From law, Mr.. Allen said, he
turned to the hotel business, mot
so much to make money but just
to have q, place to eat and sleep"
Mr.. Allen then briefly sketched
his career, which finally led him
to dictatorship in January, 1916, OF
the Reconstruction Finance Corp.
About Standard Gas. it reorgan-
ization plans, the conflicts on the
board between Leo T. Crowley and
the Cochran johnson, Newman
Levy groups, Mr.. Allen pleaded
ignorance.
Nominated With Patterson.
Mr.. Allen, now representing COM
mon stockholders as Standard Gas
director, has been nominated along
with former Secretary Of War, Rob-
ert P. Patterson, as a director to
represent the company's 81 and IS
prior preference holders.
Milton Cohen, counsel for q pro-
tective committee for 81 and $6
prior preference holders. asked,
Are you aware Of the three diff
ferent classes Of stock represented
on the Standard Gas Board?"
Mr.. Allen answered yes.
Don't you think that as direc-
tor for prior preference holders you
would have an obligation to them
over the other stockholders" Mr..
Cohen asked.
That's a good point" Mr.. Allen
said.
Then, after reflection. he reiter-
ated what he termed "old fashioned
ideas" that a director should repre-
sent the best interests Of all stock
holders.
Knew Of Difference.
ibid you know of the irreconcil-
able differences between Mr.. Crow
LEY and some other members OF
the board?" Mr.. Cohen queried.
II got that idea by attending one
meeting-they had good lunch
that day, too," Mr.. Allen replied.
Then he turned to the court re-
porter and instructed: "T'he lunch Is
of the record, I'm on diet"
Mr.. Allen related his business and
social acquaintance with Victor
Emanuel. president Of Standard
Power & Light Corp, parent Of
Standard Gas. He also admitted
acquaintance with Jouett Shouse,
one Of the members Of the 81 and $6
Protective Committee.
Mr.. Allen said he didn't know
Mr.. Shouse was member Of the
committee.
II have something in common
with him-we both have some very
bad horses" Mr.. Allen added.
| Meanwhile, Murray Taylor, co,ln-
| sci for Standard Power e. Light
Corp, plans to go to Wilmington
Del, today to vote his companys s
common stock holdings in Standard
Gas.
Mr.. Taylor announced his inten-
tions at the concluding session OF
the SEC investigation.