The Stark County Democrat. [volume] (Canton, Ohio) 1833-1912, 1905-06-23
ROAST FOR EQUITABLE
CONTINUED From Page one.)

l
employees are not overpaid. SO far as
l have been able to learn or observe
they are faithful and competent and
earn their money. The extravaganza
and waste in the form of personal COM
pcnsation appear in the salary list Of
the higher officers and their immediate
and favorite assistants"
He presents table dealing with the
salaries of the executive officers. which
shows there has been an increase In
this item of expense to the society in
1904 over 1900 of 61 43-100 per cent.
Speaking of Mr. Hyde. he has this to
say: mfr. Hyde was advanced in sal
ary the most rapidly. He graduated in
1898 at the age of %. In 1900 he drew
salary of 100000; also in 1901; in
1902 his salary was advanced to $751;
000 and in 1908, at the age of 27, 1t was
jumped to an even 100000.
This advance was due entirely to
the efforts of United States Senator
CLauncey NJ. Depew."
Mr.. Hyde's expense accounts, accord
ms W lht dlt StNtI Ill
times larger than those of any other
officer of the society, and we're paid on
his voucher, without the formality of
requiring an itemized statement.
The superintendent devotes nearly
200 words to criticizing the payment of
a pension of $25,000 a year to Mrs.
Hyde, mother of James Hazen Hyde.
He declares she is a rich woman, and
he can see no reason why she should
be pensioned.
Taking UP the officers of the society
individually, Mr.. Hendricks says, re-
garding Mr.. Alexander: HE was
participant in the syndicate transac-
tions and accepted his share Of the
profits and executed the leases that
proved to be so detrimental to the So
ciety'S interest He was cognizant of
and approved the various subsidiary
undertakings which we have criticised
and by reason thereof has failed to
meet the obligations imposed upon him
as chief officer of the society, and it is
an open question whether he is not
disqualified under the insurance law
from hereafter holding any Office in a
life insurance company, as well as all
the other officers and directors who
participated in these unlawful transac-
tions."
Regarding Mr.. Hyde: "He is mainly
responsible for the extravagant salaries
allowed many executive officers. He
has been accustomed to draw large
sums for expenses on his own unitem-
lied vouchers. In fact, he has not
seemed to consider himself accounta-
bic to any one for the expenditure of
the society's funds. He introduced and
conducted the syndicate transactions
and involved others with himself. He
forced himself on the directors and into
business relations with prominent men
by the aggressive assertion of his stock
control Of the Equitable Society, and
by these means he gradually assumed
domination of the society's affairs until
the presidency was reduced to a posi-
ton Of secondary importance. His au-
tLority continued to increase and he
to use the society and its as
sets more and more as If they were his
own until he was checked by the de-
mand for naturalization and his retire
ment. The policy holders are under
great obligations to Mr.. Alexander and
the other executive officers for taking
this step"
Regarding Mr. Tarbell: ''Mr. Tar
bell denies that he was instrumental in
or encouraged the circulation of litera-
tUre in criticism Of other officers of the
society, and no substantial evidence
appears in support of this or other
charges preferred against him."
In winding up his conclusions under
the caption, "The Society's Control"
Supt. Hendricks says: During the
progress Of this investigation a change
in the stock control of the society has
been made and three trustees have
been empowered under a deed of trust
to partially mutualize the society, with
the promise that there would be a re-
duction In the expenses of the COM
pany and reforms instituted that would
insure to the benent of the policy hold
ers. / do not question that this was
the honest intention Of those that have
acquired the control Of the society.
do not think, however. that this would
go far to restoring confidence. In my
opinion the only thing that would re-
store that confidence and benefit the
company will be the elimination of
stock control and what deem Of equal
importance. the elimination of Wall
street control. / early came of the
opinion that all the surplus accretions
of this society beyond the 7 per cent
dividends on the stock belong to the
policy holders. 1t is a purely mutual
company. and all its surplus should be
divided in an equitable manner among
the policy holders"