New-York tribune., 1905-07-20
7. D. JORDAN DISMISSED.
MR. MORTON GUSTS HIM.
SAID to Hare Refused Information
about ". T. Loan.

Because he refused to give important informa-
ton needed by Paul Morton in his reorganiza-
ton of the Equitable Life Assurance Society,"
Thomas D JORDAN was summarily dismissed
yesterday from his place as controller The
information demanded by Mr.. Morton was said
by well Informed persons to be about the rnys-
terious loan carried by the Equitable Society
with the Mercantile Trust Company Mr..
Jordan, with President Alexander was trustee
for that loan account until recently when II
was transferred to the Equitable Society.
Accountants from the Office of Superintendent
kilburn Of the State Banking Department are
now examining the books of the Mercantile
Trust Company with especial reference to that
account They are acting under instructions TO
ascertain from the records of the trust COM
pahy every detail of every transaction In which
that account has figured from the time it was
opened until now. Superintendent Hendricks's
investigators are looking up the Fouitab1a
records for the purpose Mr.. Hendricks
has consulted Governor Higgins. who has ad
Nlseu MN 10 use every effort to ascertain the
iaouS ABOUT this mysterious account which was
supposed 10 have been used by the Enuitah hla.
Society for such purposes that the charges cou1d
not be entered on its books. He has been un
successful far in getting details about This
loan.
schemes has been investigating the loan account
and has been almost unsuccessful in learn
ing the details about it Superintendent Hen
bricks He applied to Mr.. Jordan, as controller
of the society, to know why the account did not
figure in the EQuitables records He asked Mr.
Jordan, as trustee for that account to enlighten
him as TO the various expenditures entered in it
Mr. Jordan refused to say anything about the
account, 1t was said yesterday, so Mr.. Morton
discharged him
WILLIAM A. DAY APPOINTED
Mr.. Morton's version Of the affair follows:
T. D. Jordan has been removed as controller
Of the Equitable Life Assurance Socia+v and
William A Day, at present Assistant Attorney
General of the United States, has been appointed
acting controller. The reason for Mr. Jordan's
removal was his refusal to furnish me informa-
ton regarding important transactions of the
society which L am investigating.
Mr.. Day served four years as auditor of the
United States Treasury in Mr.. CIeveland's first
administration. That office is one of the largest
in the Treasury Department both in magnitude
of It's accounts ana the number Of its employees
The work Of the bureau was several years in
arrears when Mr.. Cleveland appointed Nlr Dav
Before he surrendered the Office its work had
been brought up to date without any increase in
force or expense. Mr.. Day was selected by At
torney General Knox his first assistant, and
under the Attorney General had charge of the
antitrust litigation. He has since Mr.. Moody
became Attorney General continued to serve as
first assistant.
Mr.. Morton and II. c. Deming, president CT
the Mercantile Trust Company. held long con-
ference yesterday about the account. Orders
have come from the State Insurance Depart-
ment, it was said, that the Equitable must close
it. Nobody would say whether this had been
done or not. Mr.. Morton refused to discuss the
loan his action with regard to Mr.. Jordan
beyond his official statement.
Mr.. Deming said that accountants from the
Banking Department examining the books
of the Mercantile Trust Company. 1t was not a
special examination, he said; merely the usual
sem-annual inspection of the books made some
what earlier than usual. When asked whether
it would be possible to examine the books with
out going into the loan account" Mr.. Dening
declined to answer, and refused to talk about
that account or the dismissal of Mr. Jordan
SUITS AGAINST DIRECTORS
Attorney General Mayer was busy yesterday
the papers in the suits he intends TO
bring against the Equitable directors He can
not tell when these papers will be completed.
but expects to have the complaints ready by
the end of the week. Suits will be brought it
was learned. against every director of the So
ciety at the time this trouble began under sec
tions Of the Civil Code permitting action to be
brought against the directors or manag gers of a
to compel them TO account for their
mana cement OF the concern. This probably will
take the form Of blanket suit" against the
directorate, calling on each man to explain Just
what part he took in the management of the
society, and his relation 10 extravaganza and
alleged mismanagement Later actions will he
brought against individual directors under other
divisions of that section of the code, to compel
them to refund to the society funds wrongfuny
diverted TO their own profit, and to debar them
from holding Office in any insurance company
Continued eighth page.
Answering vovr inourv: Yes. the besf wav r.