The free lance. (Fredericksburg, Va.) 1885-1926, 1905-06-22
Will PROBE EQUITABLE
Paul Morton Orders Investigation
Into SOciety's Affairs.
MUST KNOW EXACT CONDITION

/ Two Chartered Accountants TO Work
Together to Examine Every Detail
OF Work, investments and Relations
OF Society
New York. June pa new and in
dependent investigation OF the affairs
Of the Equitable Life Assurance So
ciety Is 10 be begun at once. Paul
Morton. the newly-elected chairman OF
the board Of directors. wants to know
exactly how things are with the So
ciety. and has commissioned Price, Wa
terhouse d co and Haskins x Sells.
chartered accountants, working to-
pether. 10 examine every detail OF the
work. investments and relations Of tho
society.
I The letter sent by Mr. Morton to the
firms employed is as follows:
Dear Sirs-As chairman OF the
board Of the Equitable Life Assurance
Society. want to know the exact con-
dition OF the society as OF June ID
/ 1908. the date of my election as chair
man. with that end in view, you VIII
please make jointly an examination OF
the accounts Of the society. You Will
/ have access 10 all books. papers and
records
81 desire that your report shall be
as complete and exhaustive aEJpossible.
Particular attention should De paid to
ascertalning the facts upon the follow
ing subjects:
1.-The socicty's annual expenses.
including legal expenses. advertising
expenses. agency expenses and cost o.;
securing business.
80 The real estate investments Of
the company. including in the case 81
each particular parcel the value At
which II is carried upon the books OF
+ the society. the income which il yields,
and the fair valuation OF the property,
whether above or below tho value at
which it is carried upon the books or
/ the society Of necessary, real estate
experts may be employed in ascertain
ing the value and income OF the real
estate. subject OF course, to my APP
/ proyal as 10 the men and terms)
"3-The other investments OF the
I society. their character and the cir
cumstancos under which they have
been made.
1.-THE socicty's surplus and the
manner in which # is carried upon the
books Of the society
"5-The methods Of keeping the So
ciety's accounts. and the respects in
which its accounting may be improved.
"G-The relations between the so
cicty and the trust companies. banks,
safe deposit companies and other in
stitutions with which the society IS
affiliated by ownership Of considerable
amounts of stock or otherwise. TN
the ease of every corporation in which
the society has dominant or import
ant interest or with which the so
clety has special relations. the owner
ship of stock other than that owned
by the society should be ascertained so
far as practicable).
THE subjects covered by the re-
port Of the investigating committee of
which Mr. Frick was chairman should
be fully investigated
"S-When the report Of the New
York superintendent OF insurance has
been made that report should be care
fully studied and every matter coy
cred by it or by the recommendations
of the commissioner should be care
fully examined.
1T is very essential that the entire
matter should be- treated cOniidentially,
and | wish to confer with you as to
when you shall begin this work and
how you shall proceed"