New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1905-05-14
DULL DAY IN EQUITABLE.
Letter of President Aler1"der o"
Stool, Control Recalled.

o,,n,, General counsel for the
Equitable Life Assurance Society Sesto =, -.
tanned from Supreme Court Jus''C0 ,,,
order to show cause why the o'NS - go
James n. HYDE, James w. Alexahuer anu
F. Tarbeu TO appear in the supreme =,
morrow and submit TO an examination - -
tho rrir,,te books and papers concerning INC
~ li,---U - +ho charter passed at the meet
ing of the directors should not Oe
order is returnable on THURSDAY
11ba+ r. T,uu a philadelphia stockholuer u
,b .,o,o+,, asked for the original order.
Errtbar Developments in the Equitable Sllua-
,ior are not expected until superintendent men
bricks returns from Syracuse to-nlorro" ~
sumo his Investigations.
Aside from, talk about Mr.. Hyde's suit TO GUST
President Alexander as trustee OF the n.y.
stock there was little of interest yeSle'uay
President Alexander was in consultation WIN
his LAWYERS. Alexander & Colby pu'u eO''''4
discuss any phase Of the Equltaoie
Mr. HYDE was at his country nome
r,oe-a-1tne President Alexander's recent state
,,onts IN favor Of absolute naturalization 1t
,,ae recalled Yesterday that he had wheh
noIcvbolder named Bewley began suit against
the Equitable, written letter glorl1yhG StocN
control of the society, as follows:
12u+ Is il an advantage to the poicyholders,
mr. not that we should be 50 cohsIltulco o -
wa can resist such MALICIOUS pIoSeN uS''--'
counsel hold that the company DelI!s OF I-
lied under the laws of the state OF Ne" ~ ~
With a stock capital, is technically a PToPIie
tarII company and that one single pohcy holUeL
has not the standing In court 10 Oe aDi1 a
arrest all the proceedings OF the COMPANY 80 a.,
ieoDardfze the interest OF all the poHCy NIUE
a. his yE,hinl Our counsel hold that SuCn PIO-
ceAdings must be brought by the Attorney
General who is the public officer charsGu -
institute such suits In behalf or all PoLIcy lloi i
ers when requested to do so by the SuperiI,
tendent of Insurance even when persuaded
that such a procedure Is required at tne IN
stance of policyholders. His ear Is always
open and he is accessible TO all
II YOU will reflect over the statement, you
will see what the policy OF the law is, and ina
our counsel in declaring that we are not IN
one sense a mutual company are depIlNlIs iO
policyholder of his rights
Indeed every policyholder is entitled to his
share In all the profits of the business over
and above the per cent interest paid TO the
stockholders dividends, and which is SUP
| stantialIy earned by the interest or their own
| capital
If 1 were canvassing, I should make THIS
a strong point in favor of the Equitable. II is
| invulnerabIe from the shafts OF the malicious
| whereas the purely mutual companies are al
! most on q par wi In partnerships. The policy
| holder is in one partner, and can over
| throw everything in a suit FOR accounting
| You will see this done some day.
It is questionable whether the po1cyholder
| in a purely mutual company without stock
capital is not individually liable for the debts
| Of the concern in case Of insolvency. This Is
| not mere onhand suggestion made by me to
| give you argument 1t is a serious question
| which has been frequently raised in the case
| of British companies. and which am now look
| ing into.