The sun. [volume] (New York [N.Y.]) 1833-1916, 1905-05-20
NEW CHARGES OF HYDE. GRAFT
EsraoHAE<11PS AND FRBNOH Emo
Observation-Disclosures
% says CeinpaAins IN Yeuns suit, Which
Alss Names ImpsaAg Lot Of ~Dummy"
Dsrectors-Sns SALARY. Dinner and
Ban Expense Aiss Chased a. waste.

New chargss Of wastsfulneas and ir-
Irregularities In the management OF the
Equitable funds arc mads In tho complaint
In the suit Of Mary g. Young against the
Equitable ssGety, Its officers and directors.
The complaint, which vas served yesterday
on President James W. Aexande1 and Vice.
President james II. Hyde, also disoloses
for tho first time . complete list Of the
dummy directors on the Equitable board.
The Young suit u the one brought In the
Supreme Court Of Sars1ogA county through
Senator Edgar T, Bracket a. counsel, with
the consent Of Attorney General Mayer, to
compel the accounting BY tho Equitable's
officers and direotor and the rsfunding BY
them into the sodetys treasury OF moneys
alleged to have been wasted.
Every one Of tho fifty direoto1 II named
a. defendant and the board generally 10
accused Of having been grossly negligent
and Of having knowingly suffered to be done
wrongful, illegal and improper acts. by
reason Of which tho society has suffered
great 'loss and damage The plaintiff
is polioyholdsr and the owner OF one share
Of the sooisty's capital stock.
The complaint says that James n. Hyde.
contrary to law, has elected certain mem
constituting . majority Of tho board Of d.
rectors. who are, In fact. not the holders
or proprietors Of any stock OF the society
and were not qualified or legally entitled
to sct, In order to make them falsely
appear qualified, Mr.. Hyde has, upon their
election. nomlnaly assigned TO each OF them,
and had transferred on the records OF the
society, I've shares Of the stock controlled
By him Oonourrently with such nominal
kha atn haa In iv,Sto
the complaint alleges. been conveyed back
to Hyde, Endorsed IN blank, together
with an irrevocable PROXY to said Hyde
to vote said STOCK Thereby each Of the
directors, it is asserted, Invested himself
of all right. title and interest in and TO the
stock, including the right to vote thereon
Here are the thirty-eight directors named
in the complaint ma serving Cd the board
under such conditions:
George j. Gouid. James L. Hill. August
Belmont. Edward IT, Hartman, Levi p.
Morton Heury L. liok. Alexander j. Cassatt.
I.oui, fitzgerald. William A. Wheelock.
Henry g. Deming. George II. Squire. Charles
Stewart Smith. Valentine r. snyder. Alvin
". krcch. James b Forgan. G. Iedyard
Blair, Braylou Ives, Melville J.. ingalls,.
Jacob II. Schr. Alfred Il. Vanderbilt. John
jacob Aston. " lliam {. Van Horne. Henry
Rogers Winthrop, Marvin linrhi,t. MarcelnS
II. Dca ge Bradish Johnson, Joseph L. Low.
Darius q. Miil-. ROBBERY 7. Lincoln, John
Sloane, George r. Wilson. Thomas !. Eckeri.
William a. Mcintyre. II. C. Haarst!ck. David
H. Monatt 4. jefferson Coolidge and Cor
nelu, y, Bliss.
The complaint charges MIR. Hyde through
his control OF II majority of the directors.
with having caused himself to be elected
vice-pre-dent OF the Equitable and with
ha wing taken money from the society as
salary from July, 1899. TO February, 1900.
Al the rute OF SIS, OOO year; from February,
10 %, to D3ce nber. 1902, at the rate OF s7d,-
UoU a year, and from that time on at the
rate of 500 900 year.
said defendant, James IA. Hyde says
the complaint, lis young man. at the
time Of the announcement Of this action
being about IS years of age. and without
experience in the matter o. life insurance
or business generally, and has rendered no
services of any great value to the society
or that entitled him to such salary there
from. II to any and he has taken said sums
and the same have been paid to him be-
cause of his ownership of said stock and his
control Of the said board of directors
The plaintiff alleges that such payments
"a
funds, and she asks that he be compelled 10
restore such moneys pending an account
ing to ascertain to what sums II any. he IL
entitled for services.
In addition to sums thus taken under
the glise of salary" Mr. Hyde, 1t Is also
alleged, -has wrongfully taken from the
treas ury of the society large sums Of money,
without any authority or right whatever
,I,h natxy tal
value
These sums; 1t is charged, have been
taken by Hyde to pay for his personal
travelling expenses and the travelling
expenses OF friends whom be was enter
tanning" On one OF more occasions he
went on special train or in special cars
to the South, where, 1t Is alleged, he enter
tanned -extravagantly a large party OF
friends"
The charges that Hyde wasted money
for dinners, balls and other social func-
tons" including tho Cambon dinner and
"a French masked ball. are reiterated in
the complaint; also the charge that he
spent the Equitables money for personal
living expenses while In Paris and other
places and for salaries Of employees who
rendered their services; II any; to Hyde
personally.
Among these employees; besides Charles
F. williamson; superintendent OF Mr.
Hyde's Bay Shore home at a salary Of 5000
a year, whose name has been mentioned
before, are named l.. V. Gofilet, French
eteno grapher. the French secretary to Mr.
Hyde, and one Martigny; French per-
sonal employee; who rendered no service
whatever to the Equitable To each Of
these, It Ia alleged, more than 5000 has
been wrongfully paid.
It is charged further that the salaries Of
other French secretaries and stenographers
who have rendered services only to Mr..
Hyde and various societies in which he
was interested, notably the Alliance Fran
caise and the Cercle FRANCHISE. the latter Of
Harvard University. were paid from Equi-
table funds on Mr.. Hyds's audit and d.
rection.
The complaint charges Mr.. Hyde also
with having caused largo blocks OF securities
which he had underwritten to be taken
by the Equitable society contrary to law
and with having wrongfully caused por-
tons OF real estate owned by the Equitable
to be rented to corporations in which he was
largely interested at rents very much less