The San Francisco call., 1905-06-08
Equitable Now Said to Be
Involved in New Scandal
i'm Transactions Which
Amount to Ten Millions
HYDE AND ALEXANDER
ARE BOTH CONCERNED
Questionable Deal Traced
to the Doors of Subsid-
iary Trust Company by
Insurance Commissioners
Special Dispatch to The Call.

NEW YORK, June S.-The World say.
that State Superintendent of Insurance
Hendricks is investigating a colossal
swindle involving s1OyO0O,O00 of the
Equitable Life Assurance SOcfefyss
funds. President James w. Alexander
ana Vice President James Hazen Hyde
are concerned I'm the new scandal.
superintendent Hendricks, it was said,
mas run across evidences Of questionable
transactions in his investigation Of the
Equltable's books. and has traced them TO
the doors OF a company over which he has
no right OF supervision. Superintendent
hendricks was unable to follow this par
ucular scandal to f1nality. because il led
INTO the Equitable Trust Company, over
which his department has no supervision.
He therefore called on Superintendent Kill
purn late Tuesday and the latter came to
this city.
Since making this discovery, Superfn-
tendent Hendricks has questioned at zreat
length here President Alexander, Vice
president Hyde and Alvin W. Krech. the
president Of the Equitable Trust Com
pany- What he learned from these three
men Is being kept a close secret.
NEW YORK. June 7-ResoIutions sur-
gesting radical reforms in the manage
ment of the Equitable Life Assurance So
clety were adopted at to-day's meeting
officials and presage a sweeping curtaiI-
ment OF the society's general expenses.
The resolutions also imply many i'm
portant changes In the financial policy of
the society
Last weeks nominating committee of
seven, which had been reduced to two by
reason or the designations Of d. o. Mills.
John A. Stewart, A j. Cassatt. T Jef-
ferson Coolidge and Robert T. Lincoln
WAS reconstructed as follows: August
Belmont. Louis Fitzgerald and Chauncey
Nj. Depew Of New York; James B. For
gan of Chicago and David H. Mofratt Of
Denver.
This committee was requested TO snb-
NIT a candidates for chairman of the
board at the meeting Of the directors
called for Friday afternoon. Should the
committee fail to choose a chairman
members Of the directory viii then be
asked to submit names Of candidates.
The statement comes from a high au-
thor1ty that no names were formally
presented" at to-day's meeting, although
it was not denied that there was informal
talk on this point and that 1t eentered
around two men of national prominence
One Of these has for weeks been referred
to as in many respects the most eligible
and satisfactory to all interests.
To-day's session was attended by twen-
ty-eight of the remaining sixty-eight di-
rectors. The designations OF d. o. Mills,
Joseph T. Low and Marvin Hughitt were
submitted during the meeting. making a
total Of twelve designations since last Fri
day. A majority of those present have
from the outset been on the side OF Vice
President Hyde.
The resolution calling for the reorgani-
cation of the executive committee means
the retirement therefrom Of Tarbeu, Will
son and Mcintyre. the second, third and
fourth vice presidents.
COLUMBUS, Ohio, June z-Governor
Herrick, who returned from New York
to-day, has not bought out the interests
of James H. Hyde, first vice president OF
the Equitable Life Assurance Society,
nor has he been formally OF officially of
fered the chairmanship of the board OF
directors of the Equitable.
''It Is true" he said, that was asked
whether II such an offer was made to
me-that is the chairmanship-I would
accept, but my reply was that owing to
the circumstances under which am
placed In Ohio, having been but recently
nominated for Governor, / could not con-
slider such offer, however datterins ~
might be-"