New-York tribune., 1905-03-03
POLICYHOLDERS ACT.
Demand Naturalization of the Equi-
table,. d. Crimmins Chairman.


in the board OF directors the division over plan
Of naturalization for the Equitable Life Assurance
Society complicated still further yesterday ov
the springing forth, fully formed or coinHlltee
OF policyholders, who announced their determna-
tion TO seek legislation which would compel mu-
tuazation and the story in insurance circles that
stiu another committee of policyhoders was form-
ing to fight against naturalization.
The committee of policyholders met yesterday
afternoon. elected John D. Crimmins chairman
talked over the idea of legislation compelling the
naturalization of the company, and wrote letter
the management of the Equitable asking for a
complete list of policyhoders Another meeting VIII
be held to-day further discussion. Efforts Will
be made to align all the poicyholders in favor or
the measure which is to be introduced at Albany
and the committee expects TO have all the pollcy-
holders bring pressure to push the bin through No
naturalization such as is provided for In the hqu-
tables charter is contemplated by which only the
holders of policies for 5000 or more could vote III
the committee gains its wishes. q vote VIII De as
sured to the holder of any policy in the hqultapie
according to one who is in touch with ihe
committee.
AS yet. however, this committee, whose
members John D. Crmmins. Henry Morgen-
khau. E. H Outerbrdge Edwin WarheId Il, w
Bloomngdae. Charles Bulkley Hubbeii' Johh D.
Stanchfeld and the Rev Dr. Robert S. Macarthur,
has not decided just how 1t wants the company
mutuazed. While the ideas expressed by most Oh
the members accord well with the views ehpresseu
by President Alexander, at least one meInner MT
HubbeIl does loS believe that Mr. Alexanders
scheme OF naturalization would be entirely saus-
factory Additions are expected to the commute
well known men. around whom can De lorhieu
group of polcyholders feeling sure that their IN
terests are guarded, with Difference TO either
faction in the directorate.
After the meeting of the new committee the fol-
lowing statement was Issued
The committee met and organized by electng
mittee and E. ]. Esselstyn as the secretary; ana
then adjourned. Plans for securing Lne ldsnt ao ol
| offr,zF tract hV
c9ssR6 c9ssed ioF oi'eo'0i' " |Do D'''' '.O'
The committee decided that there should not be
expense of any kind assessed on PonGynoid
and viii persogaMy M to pay sre an 1pS en
couraged by the large number or ,poncyhoI9eTs
he Movement for REPRESENTATION in the manage
ment of the company's ana1rs.
Mr. Crimmins after the meeting. said that he
considered himself merely as a temporary chair
man. The committee undoubtedly would be en-
larged greatly to represent pocyholdeTs from dir-
ferent sections and when that was done perrna-
nent chairman would be elected. There had been
general tendency the part Of all life insurance
companies to invest funds without considering care
fully the safeguarding OF the policyholders. Many
thought that unless company were strictly a mu-
tual organization there existed too great central
zation of power which would afford opportunity
for great harm to come to the company itself and
its policyholders through careless inefficient dis
honest management. With these views. II had been
determined force the naturalization of the Equi-
table.
When the committee has its plans fully formu-
lated" said Mr.. Crimmins. we will go to Albany
with a bill which will compel the naturalization of
all life insurance companies We expect TO bring
round TO our committee all the polcyholders, and
shall urge them to bring pressure on their
legislators to advocate that measure. 1t appears
TO many of that the directors would never
agree on a satisfactory plan for naturalization.
We have retained counsel. who will work with
experts in drawing up the measure.
I'VE not going to represent either side in the
e,t,tFa fr-l hIn
is naturalization and good stringent laws which
would prevent few men from gaining control OF
the socety's assets and mismanaGing them in
vesting them carelessy that the rights of the
policyholders their families would be endan-
gered."
Our committee is not organized to carry out
any preconceved programme. We interpret the reso
luton of the board of directors as contemplating
the naturalization of the society substantially and
in good faith. We depore the failure Of this much
TO be desired result through the conflict OF inter
ests within the society. through fatal post
ponement of conclusive measures owing to
necessary protraction OF the discussion nego-
tiation which to be all that going
within the society.
"If there is anything in the management of the
society In the operation OF the stock controlled
which either in fact in tendency is hurtful to
the society," and threatening to the interests of the
policyholders, propose to know II. If to ascer-
tain this an investigation is necessary we propose
ask for it. l may add that the course of the
gestion rife. and from inspired sources that
this committee is organized in the interests of any
faction.
1--WE desire to represent policyholders. We
will undertake other allegiance. We
titled the confidence and active, earnest support
Of the entire body of the societys policy holders,
and we propose to do our work thoroughly and
satisfactorily II is further proposed to meet the
legitimate expenses by subscriptions from the
pocyholders, and several of these have intimated
already their readiness to respond There is
intention the part of the committee to ask a
contribution from a policyholder-expectng suff
cient to be forthcoming that the enlarged
committee may without question be polcyhold-
ers movement. Independent of any individual or
faction in the present situation"
E. H Outerbridge declared that the committee of
directors which was considering naturalization
moving too slowly for the policyholders and that
the results might not be what the po,cyholders
needed.
There has been feeling among the policy
holders with whom come into contact" said Mr.
Outerbridge, that they should have some voice
in the management OF the Equitable Some
dissatisfied with some things done by the present
management They felt that the money they had
paid into the entitled them to voice
as to its disposal. especially all insurance
Germs are supposed be for the benefit of the
people insured
1--WE knew the only way we'd get any result would
be by concerted action by large number of the
policyholders this committee formed to try
to amagamate the pocyholders-to formulate
their desires and get the legislation neces-
sary naturalization. Really 1t is a protective
committee for the pocyholders, just like the pro-
tective committees organized by stockholders In
railroads or industrial concerns. when there is
factional fight in the management. The commit
tee OF trustees is likely TO move slowly with its
naturalization plan; in fact. it is forced move
slowly because those men must consider the effect