The New York herald. [volume] (New York [N.Y.]) 1840-1920, 1872-12-18
LIFE INSURANCE.
The Management Of the New York Mutual.

FELLOW POLICY HoLDERS-During the past week
hundreds OF you united ia the protest against the
reduction of rates by the Mutual Life, and the re-
monstrances are still coming in large numbers.
No action had been taken upon them, but SO great
was the pressure brought to bear upon the Oflcers
OF the company by the opposing life companies
that, after frequent and earnest conferences what
we may call the "Delmonico treatyn was finally
arranged and executed by the high contracting
parties on Friday last, and on Saturday, after
protracted meeting, the Board of Trustees decided
to suspend for the present the contemplated re-
ductlon In rates; and you have In the daily papers
of to-day the announcement Of the capitulation Of
the Mutual Life, couched in the language
Of the adept insurance diplomats who me-
gotated the treaty. without pausng to dis.
cuss the alleged reasons for this action by
the Mutual Life and merely calling your attention
to the fact that 1t suspends and does not finally de.
termine the matter, pass to my present purpose
Of preparing you for the efforts which will doubtless
now be made to frown down criticism and divert
your attention from matters OF mismanagement in
the affairs Of that company.
1t has been said with much truth that zone OF
the greatest dangers connected with the manage
ment of life insurance companies in this country
has been immunity from criticism on the part Of
policy holders" This arises in no small degree
from the fact that the influence of these wealthy
corporations has become so powerful and wide-
spread that most policy holders shrink nom incur.
ring the hostility which adverse criticism inevitably
arouses and acquiesce in or submit to that which
they would otherwise unhesitatingly condemn and
oppose. Furthermore, those upon whom such
criticism bears are ever ready TO torture it
into an attack upon the business, principles
and cash interests involved in life insurance and
thereby to alarm the policy holder and divert his
&l~l~>
stand this mode OF defence better, or can use 1t
more adrotly, than the chief officer Of the Mutual
Life. But through your liberal contributions the
solvency OF that company is SO wen assured and
its position SO well established despite the short
comings Of those who control its affairs, that you
may not only safely dismiss all fears that II can be
injured BY criticism or investigation but 1t Is your
duty to yourselves and to those whom you seek to
protect by the insurance OF your life to root out
everything that Is corrupt and wrong In Its
management, and to evince your determination
that unless Its affairs are conducted honestly
and In full accord with the spirit OF
the trust which you have created, you
will fearlessly and thoroughly expose those who
are derelict and award them the full measure OF
punishment they may deserve. Two years ago.
when an effort was made to arouse you to . just
appreciation Of the infdelity OF the officers OF the
Mutual Life, corruptbe men controlled the State
Offices, and the public feeling had not yet ripencd
but the spirit OF reform has been so awakened by
the disclosures Of corruption in high places and Of
the evils when have welded such baneful influence
In matters or public trust, that believe your
minds are now disposed for the reception Of the
truth with regard to some OF those who have con-
trolled the AFFAIRS OF the Mutual Life, and that you
will unite in every proper enort to eliminate frem
that management everything that tends to endan.
ger Its safety or to impair its fair fame and credit
In previous letter gave you In brief some Of
the well-estabished facts nculpating the officers
In transactions Inconsistent with fidelity and
morality, and can give you more. can show you
how applications were altered by members OF
President winston's family to secure broKerages
they had not earned; how Q lunatic br0ther-in-law
or Vice President McCurdy was placed In . most
lucrative agency OF the company, and his employ