Small Arms Review
  • Home
  • Articles
    • Guns & Parts
    • Suppressors
    • Optics & Thermals
    • Ammunition
    • Gear
    • News & Opinion
    • Columns
    • Museums & Factory Tours
    • ID Guides
    • Interviews
    • Event Coverage
    • Articles by Issue
      • Volume 1
        • V1N1 (Oct 1997)
        • V1N2 (Nov 1997)
        • V1N3 (Dec 1997)
        • V1N4 (Jan 1998)
        • V1N5 (Feb 1998)
        • V1N6 (Mar 1998)
        • V1N7 (Apr 1998)
        • V1N8 (May 1998)
        • V1N9 (Jun 1998)
        • V1N10 (Jul 1998)
        • V1N11 (Aug 1998)
        • V1N12 (Sep 1998)
      • Volume 2
        • V2N1 (Oct 1998)
        • V2N2 (Nov 1998)
        • V2N3 (Dec 1998)
        • V2N4 (Jan 1999)
        • V2N5 (Feb 1999)
        • V2N6 (Mar 1999)
        • V2N7 (Apr 1999)
        • V2N8 (May 1999)
        • V2N9 (Jun 1999)
        • V2N10 (Jul 1999)
        • V2N11 (Aug 1999)
        • V2N12 (Sep 1999)
      • Volume 3
        • V3N1 (Oct 1999)
        • V3N2 (Nov 1999)
        • V3N3 (Dec 1999)
        • V3N4 (Jan 2000)
        • V3N5 (Feb 2000)
        • V3N6 (Mar 2000)
        • V3N7 (Apr 2000)
        • V3N8 (May 2000)
        • V3N9 (Jun 2000)
        • V3N10 (Jul 2000)
        • V3N11 (Aug 2000)
        • V3N12 (Sep 2000)
      • Volume 4
        • V4N1 (Oct 2000)
        • V4N2 (Nov 2000)
        • V4N3 (Dec 2000)
        • V4N4 (Jan 2001)
        • V4N5 (Feb 2001)
        • V4N6 (Mar 2001)
        • V4N7 (Apr 2001)
        • V4N8 (May 2001)
        • V4N9 (Jun 2001)
        • V4N10 (Jul 2001)
        • V4N11 (Aug 2001)
        • V4N12 (Sep 2001)
      • Volume 5
        • V5N1 (Oct 2001)
        • V5N2 (Nov 2001)
        • V5N3 (Dec 2001)
        • V5N4 (Jan 2002)
        • V5N5 (Feb 2002)
        • V5N6 (Mar 2002)
        • V5N7 (Apr 2002)
        • V5N8 (May 2002)
        • V5N9 (Jun 2002)
        • V5N10 (Jul 2002)
        • V5N11 (Aug 2002)
        • V5N12 (Sep 2002)
      • Volume 6
        • V6N1 (Oct 2002)
        • V6N2 (Nov 2002)
        • V6N3 (Dec 2002)
        • V6N4 (Jan 2003)
        • V6N5 (Feb 2003)
        • V6N6 (Mar 2003)
        • V6N7 (Apr 2003)
        • V6N8 (May 2003)
        • V6N9 (Jun 2003)
        • V6N10 (Jul 2003)
        • V6N11 (Aug 2003)
        • V6N12 (Sep 2003)
      • Volume 7
        • V7N1 (Oct 2003)
        • V7N2 (Nov 2003)
        • V7N3 (Dec 2003)
        • V7N4 (Jan 2004)
        • V7N5 (Feb 2004)
        • V7N6 (Mar 2004)
        • V7N7 (Apr 2004)
        • V7N8 (May 2004)
        • V7N9 (Jun 2004)
        • V7N10 (Jul 2004)
        • V7N11 (Aug 2004)
        • V7N12 (Sep 2004)
      • Volume 8
        • V8N1 (Oct 2004)
        • V8N2 (Nov 2004)
        • V8N3 (Dec 2004)
        • V8N4 (Jan 2005)
        • V8N5 (Feb 2005)
        • V8N6 (Mar 2005)
        • V8N7 (Apr 2005)
        • V8N8 (May 2005)
        • V8N9 (Jun 2005)
        • V8N10 (Jul 2005)
        • V8N11 (Aug 2005)
        • V8N12 (Sep 2005)
      • Volume 9
        • V9N1 (Oct 2005)
        • V9N2 (Nov 2005)
        • V9N3 (Dec 2005)
        • V9N4 (Jan 2006)
        • V9N5 (Feb 2006)
        • V9N6 (Mar 2006)
        • V9N7 (Apr 2006)
        • V9N8 (May 2006)
        • V9N9 (Jun 2006)
        • V9N10 (Jul 2006)
        • V9N11 (Aug 2006)
        • V9N12 (Sep 2006)
      • Volume 10
        • V10N1 (Oct 2006)
        • V10N2 (Nov 2006)
        • V10N3 (Dec 2006)
        • V10N4 (Jan 2007)
        • V10N5 (Feb 2007)
        • V10N6 (Mar 2007)
        • V10N7 (Apr 2007)
        • V10N8 (May 2007)
        • V10N9 (Jun 2007)
        • V10N10 (Jul 2007)
        • V10N11 (Aug 2007)
        • V10N12 (Sep 2007)
      • Volume 11
        • V11N1 (Oct 2007)
        • V11N2 (Nov 2007)
        • V11N3 (Dec 2007)
        • V11N4 (Jan 2008)
        • V11N5 (Feb 2008)
        • V11N6 (Mar 2008)
        • V11N7 (Apr 2008)
        • V11N8 (May 2008)
        • V11N9 (Jun 2008)
        • V11N10 (Jul 2008)
        • V11N11 (Aug 2008)
        • V11N12 (Sep 2008)
      • Volume 12
        • V12N1 (Oct 2008)
        • V12N2 (Nov 2008)
        • V12N3 (Dec 2008)
        • V12N4 (Jan 2009)
        • V12N5 (Feb 2009)
        • V12N6 (Mar 2009)
        • V12N7 (Apr 2009)
        • V12N8 (May 2009)
        • V12N9 (Jun 2009)
        • V12N10 (Jul 2009)
        • V12N11 (Aug 2009)
        • V12N12 (Sep 2009)
      • Volume 13
        • V13N1 (Oct 2009)
        • V13N2 (Nov 2009)
        • V13N3 (Dec 2009)
        • V13N4 (Jan 2010)
        • V13N5 (Feb 2010)
        • V13N6 (Mar 2010)
        • V13N7 (Apr 2010)
        • V13N8 (May 2010)
        • V13N9 (Jun 2010)
        • V13N10 (Jul 2010)
        • V13N11 (Aug 2010)
        • V13N12 (Sep 2010)
      • Volume 14
        • V14N1 (Oct 2010)
        • V14N2 (Nov 2010)
        • V14N3 (Dec 2010)
          • Ammunition
        • V14N4 (Jan 2011)
        • V14N5 (Feb 2011)
        • V14N6 (Mar 2011)
        • V14N7 (Apr 2011)
        • V14N8 (May 2011)
        • V14N9 (Jun 2011)
        • V14N10 (Jul 2011)
        • V14N11 (Aug 2011)
        • V14N12 (Sep 2011)
      • Volume 15
        • V15N1 (Oct 2011)
        • V15N2 (Nov 2011)
        • V15N4 (Jan 2012)
        • V15N5 (Feb 2012)
      • Volume 16
        • V16N1 (1st Quarter 2012)
        • V16N2 (2nd Quarter 2012)
        • V16N3 (3rd Quarter 2012)
        • V16N4 (4th Quarter 2012)
      • Volume 17
        • V17N1 (1st Quarter 2013)
        • V17N2 (2nd Quarter 2013)
        • V17N3 (3rd Quarter 2013)
        • V17N4 (4th Quarter 2013)
      • Volume 18
        • V18N1 (Jan Feb 2014)
        • V18N2 (Mar Apr 2014)
        • V18N3 (May Jun 2014)
        • V18N4 (Jul Aug 2014)
        • V18N5 (Sep Oct 2014)
        • V18N6 (Nov Dec 2014)
      • Volume 19
        • V19N1 (Jan 2015)
        • V19N2 (Feb Mar 2015)
        • V19N3 (Apr 2015)
        • V19N4 (May 2015)
        • V19N5 (Jun 2015)
        • V19N6 (Jul 2015)
        • V19N7 (Aug Sep 2015)
        • V19N8 (Oct 2015)
        • V19N9 (Nov 2015)
        • V19N10 (Dec 2015)
      • Volume 20
        • V20N1 (Jan 2016)
        • V20N2 (Feb Mar 2016)
        • V20N3 (Apr 2016)
        • V20N4 (May 2016)
        • V20N5 (Jun 2016)
        • V20N6 (Jul 2016)
        • V20N7 (Aug Sep 2016)
        • V20N8 (Oct 2016)
        • V20N9 (Nov 2016)
        • V20N10 (Dec 2016)
      • Volume 21
        • V21N1 (Jan 2017)
        • V21N2 (Feb Mar 2017)
        • V21N3 (Apr 2017)
        • V21N4 (May 2017)
        • V21N5 (Jun 2017)
        • V21N6 (Jul 2017)
        • V21N7 (Aug Sep 2017)
        • V21N8 (Oct 2017)
        • V21N9 (Nov 2017)
        • V21N10 (Dec 2017)
      • Volume 22
        • V22N1 (Jan 2018)
        • V22N2 (Feb 2018)
        • V22N3 (March 2018)
        • V22N4 (Apr 2018)
        • V22N5 (May 2018)
        • V22N6 (Jun Jul 2018)
        • V22N7 (Aug Sep 2018)
        • V22N8 (Oct 2018)
        • V22N9 (Nov 2018)
        • V22N10 (Dec 2018)
      • Volume 23
        • V23N1 (Jan 2019)
        • V23N2 (Feb 2019)
        • V23N3 (Mar 2019)
        • V23N4 (Apr 2019)
        • V23N5 (May 2019)
        • V23N6 (Jun Jul 2019)
        • V23N7 (Aug Sep 2019)
        • V23N8 (Oct 2019)
        • V23N9 (Nov 2019)
        • V23N10 (Dec 2019)
      • Volume 24
        • V24N1 (Jan 2020)
        • V24N2 (Feb 2020)
        • V24N3 (Mar 2020)
        • V24N4 (Apr 2020)
        • V24N5 (May 2020)
        • V24N6 (Jun Jul 2020)
        • V24N7 (Aug Sep 2020)
        • V24N8 (Oct 2020)
        • V24N9 (Nov 2020)
        • V24N10 (Dec 2020)
  • The Archive
    • Search The Archive
  • Store
    • Books
    • Back Issues
    • Merchandise
  • Podcast
  • Newsletter
  • Events
  • FrankenGun Challenge
  • About
    • About Small Arms Review
    • About Chipotle Publishing
    • Contact Us
    • Other Publications
      • Small Arms Defense Journal
  • Home
  • Articles
    • Guns & Parts
    • Suppressors
    • Optics & Thermals
    • Ammunition
    • Gear
    • News & Opinion
    • Columns
    • Museums & Factory Tours
    • ID Guides
    • Interviews
    • Event Coverage
    • Articles by Issue
      • Volume 1
        • V1N1 (Oct 1997)
        • V1N2 (Nov 1997)
        • V1N3 (Dec 1997)
        • V1N4 (Jan 1998)
        • V1N5 (Feb 1998)
        • V1N6 (Mar 1998)
        • V1N7 (Apr 1998)
        • V1N8 (May 1998)
        • V1N9 (Jun 1998)
        • V1N10 (Jul 1998)
        • V1N11 (Aug 1998)
        • V1N12 (Sep 1998)
      • Volume 2
        • V2N1 (Oct 1998)
        • V2N2 (Nov 1998)
        • V2N3 (Dec 1998)
        • V2N4 (Jan 1999)
        • V2N5 (Feb 1999)
        • V2N6 (Mar 1999)
        • V2N7 (Apr 1999)
        • V2N8 (May 1999)
        • V2N9 (Jun 1999)
        • V2N10 (Jul 1999)
        • V2N11 (Aug 1999)
        • V2N12 (Sep 1999)
      • Volume 3
        • V3N1 (Oct 1999)
        • V3N2 (Nov 1999)
        • V3N3 (Dec 1999)
        • V3N4 (Jan 2000)
        • V3N5 (Feb 2000)
        • V3N6 (Mar 2000)
        • V3N7 (Apr 2000)
        • V3N8 (May 2000)
        • V3N9 (Jun 2000)
        • V3N10 (Jul 2000)
        • V3N11 (Aug 2000)
        • V3N12 (Sep 2000)
      • Volume 4
        • V4N1 (Oct 2000)
        • V4N2 (Nov 2000)
        • V4N3 (Dec 2000)
        • V4N4 (Jan 2001)
        • V4N5 (Feb 2001)
        • V4N6 (Mar 2001)
        • V4N7 (Apr 2001)
        • V4N8 (May 2001)
        • V4N9 (Jun 2001)
        • V4N10 (Jul 2001)
        • V4N11 (Aug 2001)
        • V4N12 (Sep 2001)
      • Volume 5
        • V5N1 (Oct 2001)
        • V5N2 (Nov 2001)
        • V5N3 (Dec 2001)
        • V5N4 (Jan 2002)
        • V5N5 (Feb 2002)
        • V5N6 (Mar 2002)
        • V5N7 (Apr 2002)
        • V5N8 (May 2002)
        • V5N9 (Jun 2002)
        • V5N10 (Jul 2002)
        • V5N11 (Aug 2002)
        • V5N12 (Sep 2002)
      • Volume 6
        • V6N1 (Oct 2002)
        • V6N2 (Nov 2002)
        • V6N3 (Dec 2002)
        • V6N4 (Jan 2003)
        • V6N5 (Feb 2003)
        • V6N6 (Mar 2003)
        • V6N7 (Apr 2003)
        • V6N8 (May 2003)
        • V6N9 (Jun 2003)
        • V6N10 (Jul 2003)
        • V6N11 (Aug 2003)
        • V6N12 (Sep 2003)
      • Volume 7
        • V7N1 (Oct 2003)
        • V7N2 (Nov 2003)
        • V7N3 (Dec 2003)
        • V7N4 (Jan 2004)
        • V7N5 (Feb 2004)
        • V7N6 (Mar 2004)
        • V7N7 (Apr 2004)
        • V7N8 (May 2004)
        • V7N9 (Jun 2004)
        • V7N10 (Jul 2004)
        • V7N11 (Aug 2004)
        • V7N12 (Sep 2004)
      • Volume 8
        • V8N1 (Oct 2004)
        • V8N2 (Nov 2004)
        • V8N3 (Dec 2004)
        • V8N4 (Jan 2005)
        • V8N5 (Feb 2005)
        • V8N6 (Mar 2005)
        • V8N7 (Apr 2005)
        • V8N8 (May 2005)
        • V8N9 (Jun 2005)
        • V8N10 (Jul 2005)
        • V8N11 (Aug 2005)
        • V8N12 (Sep 2005)
      • Volume 9
        • V9N1 (Oct 2005)
        • V9N2 (Nov 2005)
        • V9N3 (Dec 2005)
        • V9N4 (Jan 2006)
        • V9N5 (Feb 2006)
        • V9N6 (Mar 2006)
        • V9N7 (Apr 2006)
        • V9N8 (May 2006)
        • V9N9 (Jun 2006)
        • V9N10 (Jul 2006)
        • V9N11 (Aug 2006)
        • V9N12 (Sep 2006)
      • Volume 10
        • V10N1 (Oct 2006)
        • V10N2 (Nov 2006)
        • V10N3 (Dec 2006)
        • V10N4 (Jan 2007)
        • V10N5 (Feb 2007)
        • V10N6 (Mar 2007)
        • V10N7 (Apr 2007)
        • V10N8 (May 2007)
        • V10N9 (Jun 2007)
        • V10N10 (Jul 2007)
        • V10N11 (Aug 2007)
        • V10N12 (Sep 2007)
      • Volume 11
        • V11N1 (Oct 2007)
        • V11N2 (Nov 2007)
        • V11N3 (Dec 2007)
        • V11N4 (Jan 2008)
        • V11N5 (Feb 2008)
        • V11N6 (Mar 2008)
        • V11N7 (Apr 2008)
        • V11N8 (May 2008)
        • V11N9 (Jun 2008)
        • V11N10 (Jul 2008)
        • V11N11 (Aug 2008)
        • V11N12 (Sep 2008)
      • Volume 12
        • V12N1 (Oct 2008)
        • V12N2 (Nov 2008)
        • V12N3 (Dec 2008)
        • V12N4 (Jan 2009)
        • V12N5 (Feb 2009)
        • V12N6 (Mar 2009)
        • V12N7 (Apr 2009)
        • V12N8 (May 2009)
        • V12N9 (Jun 2009)
        • V12N10 (Jul 2009)
        • V12N11 (Aug 2009)
        • V12N12 (Sep 2009)
      • Volume 13
        • V13N1 (Oct 2009)
        • V13N2 (Nov 2009)
        • V13N3 (Dec 2009)
        • V13N4 (Jan 2010)
        • V13N5 (Feb 2010)
        • V13N6 (Mar 2010)
        • V13N7 (Apr 2010)
        • V13N8 (May 2010)
        • V13N9 (Jun 2010)
        • V13N10 (Jul 2010)
        • V13N11 (Aug 2010)
        • V13N12 (Sep 2010)
      • Volume 14
        • V14N1 (Oct 2010)
        • V14N2 (Nov 2010)
        • V14N3 (Dec 2010)
          • Ammunition
        • V14N4 (Jan 2011)
        • V14N5 (Feb 2011)
        • V14N6 (Mar 2011)
        • V14N7 (Apr 2011)
        • V14N8 (May 2011)
        • V14N9 (Jun 2011)
        • V14N10 (Jul 2011)
        • V14N11 (Aug 2011)
        • V14N12 (Sep 2011)
      • Volume 15
        • V15N1 (Oct 2011)
        • V15N2 (Nov 2011)
        • V15N4 (Jan 2012)
        • V15N5 (Feb 2012)
      • Volume 16
        • V16N1 (1st Quarter 2012)
        • V16N2 (2nd Quarter 2012)
        • V16N3 (3rd Quarter 2012)
        • V16N4 (4th Quarter 2012)
      • Volume 17
        • V17N1 (1st Quarter 2013)
        • V17N2 (2nd Quarter 2013)
        • V17N3 (3rd Quarter 2013)
        • V17N4 (4th Quarter 2013)
      • Volume 18
        • V18N1 (Jan Feb 2014)
        • V18N2 (Mar Apr 2014)
        • V18N3 (May Jun 2014)
        • V18N4 (Jul Aug 2014)
        • V18N5 (Sep Oct 2014)
        • V18N6 (Nov Dec 2014)
      • Volume 19
        • V19N1 (Jan 2015)
        • V19N2 (Feb Mar 2015)
        • V19N3 (Apr 2015)
        • V19N4 (May 2015)
        • V19N5 (Jun 2015)
        • V19N6 (Jul 2015)
        • V19N7 (Aug Sep 2015)
        • V19N8 (Oct 2015)
        • V19N9 (Nov 2015)
        • V19N10 (Dec 2015)
      • Volume 20
        • V20N1 (Jan 2016)
        • V20N2 (Feb Mar 2016)
        • V20N3 (Apr 2016)
        • V20N4 (May 2016)
        • V20N5 (Jun 2016)
        • V20N6 (Jul 2016)
        • V20N7 (Aug Sep 2016)
        • V20N8 (Oct 2016)
        • V20N9 (Nov 2016)
        • V20N10 (Dec 2016)
      • Volume 21
        • V21N1 (Jan 2017)
        • V21N2 (Feb Mar 2017)
        • V21N3 (Apr 2017)
        • V21N4 (May 2017)
        • V21N5 (Jun 2017)
        • V21N6 (Jul 2017)
        • V21N7 (Aug Sep 2017)
        • V21N8 (Oct 2017)
        • V21N9 (Nov 2017)
        • V21N10 (Dec 2017)
      • Volume 22
        • V22N1 (Jan 2018)
        • V22N2 (Feb 2018)
        • V22N3 (March 2018)
        • V22N4 (Apr 2018)
        • V22N5 (May 2018)
        • V22N6 (Jun Jul 2018)
        • V22N7 (Aug Sep 2018)
        • V22N8 (Oct 2018)
        • V22N9 (Nov 2018)
        • V22N10 (Dec 2018)
      • Volume 23
        • V23N1 (Jan 2019)
        • V23N2 (Feb 2019)
        • V23N3 (Mar 2019)
        • V23N4 (Apr 2019)
        • V23N5 (May 2019)
        • V23N6 (Jun Jul 2019)
        • V23N7 (Aug Sep 2019)
        • V23N8 (Oct 2019)
        • V23N9 (Nov 2019)
        • V23N10 (Dec 2019)
      • Volume 24
        • V24N1 (Jan 2020)
        • V24N2 (Feb 2020)
        • V24N3 (Mar 2020)
        • V24N4 (Apr 2020)
        • V24N5 (May 2020)
        • V24N6 (Jun Jul 2020)
        • V24N7 (Aug Sep 2020)
        • V24N8 (Oct 2020)
        • V24N9 (Nov 2020)
        • V24N10 (Dec 2020)
  • The Archive
    • Search The Archive
  • Store
    • Books
    • Back Issues
    • Merchandise
  • Podcast
  • Newsletter
  • Events
  • FrankenGun Challenge
  • About
    • About Small Arms Review
    • About Chipotle Publishing
    • Contact Us
    • Other Publications
      • Small Arms Defense Journal
No Result
View All Result
Small Arms Review
No Result
View All Result
Home Articles

I WANT TO BUY AUTO-ORDNANCE!

SAR Staff by SAR Staff
August 2, 2022
in Articles, Articles by Issue, Search by Issue, V9N10 (Jul 2006), Volume 9
I WANT TO BUY AUTO-ORDNANCE!
Share on FacebookShare on Twitter

By David Albert

When General John Thompson founded the original Auto-Ordnance Corporation (AOC), he and others developed and marketed their weapons with hopes of achieving great commercial success. As unlikely as it seems today, they never realized their goal. Our current view of the Thompson submachine gun as one of the most successful designs, with possibly the richest history of any modern small arm, was never witnessed by General Thompson and his son Marcellus. They both died before the weapon achieved its worldwide distinction and profitability.

In order to produce the original 15,000 Colt manufactured Model of 1921 Thompson submachine guns, the principals of AOC mortgaged the future of the company by borrowing desperately needed capital. As a result, majority share of AOC was acquired by Thomas Fortune Ryan, an AOC founder, and wealthy financier of the time.

Model of 1921 Thompsons sold fairly well at first and AOC optimism was demonstrated in promotional literature of the period. “We want to sell Thompsons and make money!” beckoned one AOC dealer inquiry post card of the late 1920s. AOC began to develop secondary products such as the Thompson Autorifle, Thompson Military Model of 1923, and the B.S.A. Thompson submachine gun in hopes of expanding their product line, and gaining foreign market opportunities. Development of these additional products consumed resources and proved unsuccessful.

In 1928 and 1929, two events occurred that contributed to the fate of the original company. First, Thomas Fortune Ryan died, leaving control of the company to his estate. Secondly, the Great Depression hit. Company sales slowed, and interest on debt to the Ryan estate mounted. The Ryan estate heirs, less forgiving of the AOC deficit than their predecessor, sought to recover as much of their investment as possible and began looking to liquidate the company.

One potential buyer was named Jean U. Koree. Mr. Koree made two efforts to purchase AOC. Information regarding Koree’s acquisition attempts surfaced in estate documents acquired by the author in 2004. Koree was a Romanian industrial engineer who moved to New York City in 1919. After serving in various Romanian consulate positions, he left government service in the early 1920s, and developed a successful razor manufacturing business. Koree patented several inventions including razors and automotive parts during the late 1920s and early ’30s.

Mr. Jean Ulyxes Koree, 1894-1979(?) Romanian born, New York businessman, successful in the razor manufacturing business. Koree made two attempts to purchase Auto-Ordnance Corporation in 1932 and 1935. He went on to hold 1/4 ownership of the patent for the Hyde Model 35 submachine gun.

Koree had an interest in small arms and his business activities occurred in close proximity to AOC in New York City. Koree probably had opportunity to observe the AOC business operations in person. He became associated with Marcellus Thompson, son of John Thompson, and Vice President and General Manager of AOC in charge of administration and sales. Koree had very strong foreign sales connections, something that was shared by Marcellus Thompson, and they may have made a connection on this fact.

First Offer

Jean Koree and Marcellus Thompson signed a cooperative agreement on October 10, 1932 to purchase all AOC assets, including “its patents, good-will, jigs, tools, fixtures and inventory or any part thereof.” In the 90-day agreement, Koree was to front the money, with profits divided equally between Koree and Thompson. Marcellus Thompson did not incur any responsibility for a potential loss on the deal. On the same day, Koree wrote a letter to attorney Stephen McTague on Wall St., authorizing him to ascertain from the Ryan estate whether an offer of $650,000 would be accepted. The offer stipulated the following conditions:

  1. $200,000 to be paid at contract signing
  2. the $450,000 balance to be paid over a period of 6 months
  3. the purchaser could receive guns at the rate of one for each $100 paid
  4. guns could be withdrawn in lots of 1,000 or multiples thereof

Mr. McTague arranged an appointment with Walter Ryan, son of the late Thomas Ryan, at his office at 11:00 a.m. on Oct. 21, 1932. No documentation exists of the details of this meeting, but we can assume the offer was not acceptable to the Ryan estate and the 90-day agreement between Koree and Thompson was allowed to expire.

Signatures of Jean U. Koree and Marcellus Thompson on agreement to attempt to purchase Auto-Ordnance Corporation on October 10, 1932.

Second Offer

Koree did not give up on potentially acquiring AOC and, as additional depression years passed, he decided to make a second, secretive purchase attempt. Koree, Marcellus Thompson, and another individual named Mathew J. Hall, who was a Ryan estate hired broker, cooperated to form an agreement concerning a potential buyout. Marcellus Thompson was not actively engaged in AOC business at this point, and he longed to gain control of the company. The agreement called for Koree to obtain capital to purchase AOC assets, and detailed a marketing plan for the future of the acquired company. It was made with all concerned mentioned by initials only (JK, MHT, and MJH). The company to be formed was referred to as “T.E. Co.,” which, in the opinion of the author, stands for either “Thompson Enterprises Corporation,” or “Triangle Enterprises Corporation.” (Koree later formed a company named “Triangle Ordnance Corporation,” which was associated with the Hyde Model 35 Submachine Gun. This subject was detailed in Small Arms Review Vol. 9, No. 8, May 2006.) AOC was referred to as “A-O” in the agreement.

In a memorandum dated January 22, 1935, Koree, Thompson, and Hall proposed an agreement, from which the following highlights are noted:

  1. Koree was to organize a European sales company, with all stock for his own account, and a salary paid to him.
  2. T.E. Co. was to prepare an exclusive territorial sales contract for execution by it and the European sales company. This would be a 10-year contract, with territories, commissions, services, products, limitations, and sales terms and conditions detailed.
  3. T.E. Co. would enter into employment contracts with Marcellus Thompson and Matthew Hall. Commissions on sales made by T.E. Co., and handled through the European sales company but originated by Thompson and Hall were detailed.
  4. Koree maintained a 1-year option on 1/4 of the proposed stock shares owned by Marcellus Thompson and Matthew Hall in the new company and details of stock price valuation and disposition of stock sales while Thompson and Hall were employed by T.E. Co. were stipulated. Thompson and Hall also agreed to give Koree 1/4 of their stock holdings if the deal went through, so that 50 % of the new company would be owned by Thompson, 25% by Hall, and 25% by Koree.

The agreement also detailed a procedure for carrying out the provisions of the agreement, should the purchase prove successful. These included formation of the European sales company, preparation of necessary legal agreements, and the immediate acquisition of 5,000 Thompson submachine guns by the European sales company. Marcellus Thompson was to arrange proper manufacturing arrangements for T.E. Co. for future production. (The author could not help but wonder whether Marcellus Thompson might have potentially convinced Colt to produce another run of Thompson SMGs. While unlikely, it is intriguing to ponder “Second Generation” Colt Thompsons.) The agreement went on to detail distribution of interest on sales through the European sales company, and T.E. Co. sales through the European Sales Company.

Jean Koree’s personal address book contains Marcellus Thompson’s address and phone number. Matthew Hall’s number is also noted, along with Thompson’s lawyer, Thomas Kane, both of whom were later involved in the AOC sale to Russell Maguire.

It is clear Koree planned to make his money through European sales should the deal prove successful. His stipulation that 5,000 Thompsons be reserved for the European sales company would probably have covered his investment, although the exact amount of this acquisition offer is unknown.

Koree made an official inquiry about AOC’s status at the same time the 3 potential buyers formulated the secretive agreement. The inquiry was answered by letter from Mathew J. Hall, in his official capacity as a broker for an AOC deal, working on behalf of the Ryan estate. (The same Hall who had entered into the secret agreement with Koree and Thompson.) Mr. Hall replied in a very detailed letter dated January 28, 1935, which provided the following key insights about the status of AOC:

  1. Volume for January through September, 1934 was $276,000, upon which a gross profit of $159,000 was realized. Estimates for the full year were $300,000 in sales, and gross profit of $170,000.
  2. The directorate of the company was detailed, which included the Ryan estate, the estate of Col. George Harvey, John Thompson, Marcellus Thompson, George Smith, (President of Royal Typewriter Co.), and Mr. H.H. Vreeland.
  3. The composition of the inventive, manufacturing, administrative and sales fields were summarized, as well as key inventive accomplishments of the company, and sales accomplishments such as adoption of the TSMG by many government departments and law enforcement agencies.
  4. It touted Marcellus Thompson’s strong sales connections to high ranking representatives of foreign governments indicating negotiations could easily be resumed.
  5. It affirmed the availability of the management team to work with the company, or any successor, when and if Marcellus Thompson again became actively engaged in the business.

History tells us the Koree-AOC deals were not successful. While disappointed, Koree persisted in his desire to become involved in the marketing of a submachine gun. Later in 1935, he associated with George Hyde, who looked to approach the market with a new submachine gun design. Koree then became uniquely involved with the Hyde Model 35 SMG, acquiring 1/4 of its patent rights and directing all attempts to market the weapon. While the Hyde venture failed, Koree enjoyed many other successful business ventures during his life. It is fascinating to think how NFA history might have changed had either of his AOC buyout attempts proved successful.

This article first appeared in Small Arms Review V9N10 (July 2006)

Author

  • SAR Staff
    SAR Staff

    View all posts

Tags: 2006AOCAuto-OrdnanceDavid AlbertJean KoreeMarcellus ThompsonThompsonV9N10
Previous Post

DURACOAT GUN FINISHES FROM LAUER CUSTOM WEAPONRY: THE FINISH IS ONLY THE BEGINNING

Next Post

MG42 TROUBLESHOOTING

Next Post
MG42 TROUBLESHOOTING

MG42 TROUBLESHOOTING

TRENDING STORIES

  • U.S. NAVY MK18 MOD O CUSTOM CLOSE QUARTER COMBAT WEAPON FOR THE SEAFARING SERVICE

    U.S. NAVY MK18 MOD O CUSTOM CLOSE QUARTER COMBAT WEAPON FOR THE SEAFARING SERVICE

    0 shares
    Share 0 Tweet 0
  • Recreational Use Of 40MM Grenade Launchers

    0 shares
    Share 0 Tweet 0
  • Customizing the Already Custom SIG P320 Spectre Comp

    0 shares
    Share 0 Tweet 0
  • Col. Rex Applegate: The Knife Designs of a Close-Combat Legend

    0 shares
    Share 0 Tweet 0
  • Firearm Review: Pioneer Arms Classic AK in 7.62×39

    0 shares
    Share 0 Tweet 0
  • Trending
  • Comments
  • Latest
U.S. NAVY MK18 MOD O CUSTOM CLOSE QUARTER COMBAT WEAPON FOR THE SEAFARING SERVICE

U.S. NAVY MK18 MOD O CUSTOM CLOSE QUARTER COMBAT WEAPON FOR THE SEAFARING SERVICE

Recreational Use Of 40MM Grenade Launchers

Recreational Use Of 40MM Grenade Launchers

SIG Spectre Comp with AXG Grip Module

Customizing the Already Custom SIG P320 Spectre Comp

Col. Rex Applegate: The Knife Designs of a Close-Combat Legend

Col. Rex Applegate: The Knife Designs of a Close-Combat Legend

New Review: V19N1

New Review: V23N3

SAR|Special

SAR|Special

The Grand Power Q100

The Grand Power Q100

A Fading Star: The star S135 Submachine Gun, That is

A Fading Star: The star S135 Submachine Gun, That is

The Luger Rifle

Where in the world is the Luger rifle?

Book Reviews: September 2016

BOOK REVIEW: Two Great MP40 Books 

Henk Visser Interview: SAR Talks Stoners, CETME, HK with One of the Founders of the Modern Small Arms Industry

Henk Visser Interview: SAR Talks Stoners, CETME, HK with One of the Founders of the Modern Small Arms Industry

The SCCY DVG-1—The Changer of Games

The SCCY DVG-1—The Changer of Games

QUICK LINKS

  • About Chipotle Publishing
  • About Small Arms Review
  • Advertise with Us
  • Write for Us

CONTACT DETAILS

  • Phone: +1 (702) 565-0746
  • E-mail: office@smallarmsreview.com
  • Web: www.chipotlepublishing.com
  • Chipotle Publishing, LLC 631 N. Stephanie St., No. 282, Henderson, NV 89014
Small Arms Review

FOLLOW US

  • Privacy Policy
  • Disclaimer

© 2022 Chipotle Publishing | All Rights Reserved

No Result
View All Result
  • Home
  • Articles
    • Guns & Parts
    • Suppressors
    • Optics & Thermals
    • Ammunition
    • Gear
    • News & Opinion
    • Columns
    • Museums & Factory Tours
    • ID Guides
    • Interviews
    • Event Coverage
    • Articles by Issue
      • Volume 1
      • Volume 2
      • Volume 3
      • Volume 4
      • Volume 5
      • Volume 6
      • Volume 7
      • Volume 8
      • Volume 9
      • Volume 10
      • Volume 11
      • Volume 12
      • Volume 13
      • Volume 14
      • Volume 15
      • Volume 16
      • Volume 17
      • Volume 18
      • Volume 19
      • Volume 20
      • Volume 21
      • Volume 22
      • Volume 23
      • Volume 24
  • The Archive
    • Search The Archive
  • Store
    • Books
    • Back Issues
    • Merchandise
  • Podcast
  • Newsletter
  • Events
  • FrankenGun Challenge
  • About
    • About Small Arms Review
    • About Chipotle Publishing
    • Contact Us
    • Other Publications
      • Small Arms Defense Journal

© 2022 Chipotle Publishing | All Rights Reserved

Welcome Back!

Login to your account below

Forgotten Password?

Retrieve your password

Please enter your username or email address to reset your password.

Log In

Add New Playlist

This website uses cookies. By continuing to use this website you are giving consent to cookies being used. Visit our Privacy and Cookie Policy.

Subscribe To Our Weekly Newsletter

Are you in the know?
Stay up to date with the latest articles.

Facebook-f Linkedin Instagram

Redirecting to External Website

You are leaving the Small Arms Review website and will be redirected to an external link in a 5 Seconds.
VISIT NOW!