Los Angeles herald., 1905-08-01
MAYER BEGINS
EQUITABLE SUIT
ACTION AGAINST OFFICERS
AND DIRECTORS
MANY COUNTS IN COMPLAINT
Document Covers Thirty-Three Pages
Of typewriter Matter and Con-
taIns Many Serious Charges.
includes Depew Affair
MANY COUNTS IN COMPLAINT
BY Associated Press.


NEW YORK, July S1.-An action was
instituted today by state Attorney
General julius M. Mayer In the supreme
court of New York in the name Of the
people Of the state of New York against
the Equitable Life Assurance society
and its officers, directors and members
of the executive and financial COM
mittee, all of whom are named in COM
plant. The defendants are the Equit-
able Life Assurance Society of the
United States and James w. Alexander
Louis Fitzgerald, Chauncey M. Depew,
Henry C. Deming, Cornelius N. Bliss,
George H. Squire. Thomas J. Jordan,
Charles S. Smith. Valentine P. Snyder,
Alvin w. Krech, William Alexander
John J. McCook, James 3. Forgan, G.
Ledyard Blair, Brayton Ives, Melville
E. ingalls,, James II. Hyde, Alexander
]. Cassatt, Jacob II. Schiff, James j.
Hill, T. Jefferson Coolidge, Alfred M.
c. Van Horne, Gage e. Tarbell. Marvin
Hughitt, Charles B. Alexander, Thomas
Dewitt Cuyler, Marcellus Hartley
Dodge, Joseph F. Denavarro, Bradish
Johnson, Joseph P. Lowe, John A.
Stewart, Edward H. Hartman, Levi
y. Morton, Robert I. Lincoln George
]. Gould, John Sloane, George T. Will
son, Thomas T. Eckert, William H. Nc
Ifityre, Henry w. Alexander Henry c.
Frick, Samuel H. Inman, Henry C.
Haarstick David H. Moffatt and Henry
r. Winthrop.
Hartman Receives Service
A week ago, before the papers were
completed. Edward H. Hartman on the
eve of his departure for Japan, ac-
cepted service of the summons in the
proposed action and today many of the
other defendants, including James Fl.
Hyde, were served through private
counsel The defendants are allowed
twenty days from the time of service
to file their answers.
The complaint contains t&ens yscsfa )
sections and covers thirty three pages
of typewriter matter. 1t refers to
the Frick committee report and the in
vestigation made by State Superintend-
ent of Insurance Hendricks. 1t is based
on information and belief and Attor-
ney General Mayer in his prayer to the
in behalf of the people of the state of
New York in the public interest and
pursuant to the provisions of law. He
therefore asks:
"First-That the defendants, each of
them, other than the defendant the
Equitable Life Assurance Society of
the United States, account for their
official conduct in the management and
disposition of the funds and property
committed to their charge.
'Second-That the individual defend
ants and each of them be compelled
to pay the defendant, the Equitable
Life Assurance society, any money and
the value of any property which they
or any of them have acquired to them
selves or transferred to others, or lost,
or wasted, by violation of the duties.
"Third-That any defendant or de-
PENDANTS now directors or officers in the
defendant society, upon proof of mis-
conduct, be removed and that a new
election be held by the board of the
defendant society, properly authorized
to hold same, in order to supply the va
cancy or vacancies created by the re-
moval.
"Fourth-That the net surplus of de-
fendant society, after deducting a suffi-
cient amount to cover all outstanding
risks and obligations, be paid to, or
credited to, or applied for the benefit
of the present policy holders in equi-
table proportion in accordance with
the charter and with the law
"Fifth-That the plaintiff have such
other further relief as may be just.
equitable and profitable"
Neglect of Duty Charged
The complaint charges that the indi-
vidual defendants disregarding their
duty to the society of which they were
directors. ''negligently, improperly and
improvidently performed such duties
and have habitually and continually
done, or suffered to be done. wrongful
Illegal and improper acts whereof the
defendant society has suffered great
loss and damage"
The individual defendants are further
charged with having acquired to
themselves, or caused TO be permitted
to be transferred to others. in violation
OF their duties, money, property and
the value of property belonging to the
defendant society"
A schedule of the salaries paid during
the last five years to the principal OFF,
GERS Of the society is appended to the
which declares such salaries
to have been largely in excess to the
value of services of the persons named
and that the payment Of such salaries
resulted in substantial loss to the so
ciety II is also charged that In ad
dition TO the salaries referred to- the
Individual defendants, also officers.
Continued on Page Twol