New Ulm review. (New Ulm, Brown County, Minn.) 1892-1961, 1905-06-14
morton accepts
VERY HIGH Place
SECRETARY OF THE NAVY, SOON
TO RETIRE, MADE CHAIR
MAN OF EQUITABLE.
Alexander, Hyde and Other officials
Resign-Majority Control of Stock
Is Relinquished by James 81.
Hyde.

New York, June 10.-Paul Morton,
who retires from the secretaryship of
the navy on July /, was oA Friday
elected chairman of the Equitable Life
Assurance society. His election marks
the first and most important step in
the reorganization of the society and
was followed by the tender OF the res
ignations of President James w. Alex
ander, Vice President James H. Hyde,
Second Vice President j. G. Tarbell,
Third Vice President George T. Wilson
and Fourth Vice President William H.
Mcintyre Mr.. Morton, as explained
by Senator Chauncey M. DepeW, was
the unanimous choice OF the board OF
directors of the Equitable.
All of the designations submitted to
the meeting are subject to the pleasure
of Chairman Morton, and none has yet
been accepted. Just what action Mr.
Morton will take as to these resigna-
tons was not disclosed, but it was
strongly intimated that President Alex
ander and Vice Presidents Tarbell,
Wilson and Mcintyre retired with the
belief that their executive relations
with the Equitable had ended.
Hyde Gives Up Control.
Mr.. Hyde "divested" himself Of the
majority control, but as made clear in
his letter to the board, retains a sub
stantial interest in the society. The
interest to which Mr.. Hyde disposed
of his stock number some two score
individuals, led by Thomas +. Ryan.
The price paid for the Hyde stock,
which is to be trusteed practically in
perpetuity, was not disclosed, but esti-
mates vary from $500, 900 to S5,000,-
000 In addition to the SOP shares held
by the Hyde estate, which includes the
widow Of Henry B. Hyde, founder OF
the society, and his daughter, Vice
President Hyde is said to hold between
100 and ITO shares, and it is these
holdings which Mr.. Untermeyer re-
fers to as the "substantial interests, %
which his client retains. The men re-
quested to hold the majority stock by
Mr.. Ryan are former President Grover
Cleveland, George Westinghouse, OF
Pittsburg, and Morgan J. O'Brien, re-
Gently elevated to the chief justiceship
Of the appellate division of the su-
preme court Of this district.
Victory for Hyde Faction.
The selection Of Mr. Morton, in the
opinion of those who have followed
events, is in the nature of compro-
mise and victory for the Hyde fac
ton. In any event the outcome was
seemingly a surprise to some Of the
members of the sO-Called Alexander
forces
Story of Equitable Trouble.
Mr.. Mortons election is believed tc
mean the solution OF the controversy
which began between the Hyde and AL
eXander factions in tl4e Equitable so
ciety some six months ago, and which
| became publicly known in February Of
this year. There are charges Of irregu.
larities and gross extravagances or
both sides, the fight at times raging
with such bitterness as to threaten the
| welfare Of the institution, which mum
! bers some 600, 900 policyholders, with
| assets in excess of 100000, 900 and {
surplus estimated at $90,O00000. Chic
among the charges preferred by Vice
| President Hyde was that President Al
eXander, as a trustee Of the Hyde stock
was DESTROYS Of wrestling control from
the estate. On the other hand, it wa:
charged by Mr. Alexander that Mr.
Hyde and his friends were conducting
| ffoir of of
gard for the welfare of the policyhold
ers 1t was Mr. Alexander's contention
that the wellbeing Of the society de
manded its naturalization, that is al
actual voice by vote in the affairs O
the society by every policyholder. MI
Hyde agreed to the plan of mutualiza
ton, and in the meantime suits agains
the society were begun in this AM
| other states resulting in various form
of litigation. The plan to mutualiz
the society was recently defeated O
stopped by decision of Justice Maddox
of the supreme court of this state.
There were also charges of "syndi
cate operations" made by Presiden
Alexander against Mr.. Hyde and som
of his associates on the board of di
rectors of the Equitable, and in repl
to this Mr.. Hyde stated that Mr.. Alex
ander had participated in the opera
lions. AS a result of these revelations
an investigating committee was fOrme
in the Equitable directorate, headed b.
H. C. Prick. The committee presente
voluminous report, which criticize
practically all the leading executiv
officers of the society. The report wa
rejected, whereupon Mr.. Frick and hi
. associates on the committee, with tn
exception of BraytOn Ives, resigne
from the directorate, as also did hal
a dozen others. The proposition
elect chairman of the board of direc
; tors with plenary power to organic
the society in all its branches was the
determined upon, and resolutions wer
adopted calling for complete chang
of policy in the executive and financis
department. Mr.. Morton's selectio
under the conditions named will effeC
; these reforms.
Three Men Killed.