The sun. [volume] (New York [N.Y.]) 1833-1916, 1905-04-18
rHB EOUITABLgs AGENTS.
Their Meeting in New York TO-day-Sug'
sessions By an Insurance Man.


To THE EDITOR or The sUN-Sir! The con-
| VeninR OF leading agents Of the Equitable
Life Assurance Society IN this city may
prove an efeotual means either Of running
the policyholders prospects Of TesouinR their
property or enabling them TO obtain ana
exercise that control over their own which
should DO vouchsafed them.
II the agents. even though casting their In
! nuenoe upon the side Of President Alexander
ana the maIority Of the officers. instead Of on
the side Of james Hazen Hyde and Asso-
olates.' OF whom we have heard more than q
niue within few days. yet urge q programme
81 suppression and carrying into effect the
hleged naturalization" already agreed upon,
they viii involve the company In endless liti-
cation and. no matter what the outcome,
inc Equitable will emerge with reputation
winch Will seriously handicap its field repre-
eentatVes. In such q course these agents
would be guided by the folloWinE motives;
First, a desire to protect their renewal
commissions by smoothing matters over.
Secondly. desire TO fasten upon the COM
pany their own control through policyhold-
ers' proxies
Neither is an exalted motive. but both
natural
This policy would be deadly. II would
make IL harder to renew old policies and TO
sell new. ones. II proxy voting IL granted
FSiiNs HblaoIas NueIo VIII DC al hhalhhA-
ned scramble for proxies and a yet more dis
graceful though not 30 open scramble 10
secure the directors after they are elected.
The right policy is plainly indicated In the
principle that all the surplus belongs TO the
policyholders and that the stockholders have
no interest beyond their per cent. dividenda.
IL blunuy opposes the tTuculent aflrmations
OF owners Of stock that much or all Of the
surplus belongs to them. surplus which they
can secure only by extracting secret and IN
lawful profits In the payment Of unearned
salaries and by underwriting securities.
Manifesuy, this theory must be fought to
the last ditch. and will be. The only ques-
lions are, how and by whom
Legal difficulties OF a serious nature con-
front the present naturalization scheme.
There Is an opinion Of the Attorney-Cienera
against similar provision In a new charter.
There are the Injunction proceedings. which
can be Kept alive by single stookholder.
, More important is the bliRhting effect OF
the Interpretation by James HaZen Hyde
that II IL not TO mean the abandonment Of his
pTeposterous claims as stockholder ana
caused many observers 10 consider this q
struggle between factions. both corrupt and
each seeking selfish ends.
redeem the situation. The directors can
resCind their action and extend TO the policy
holders the franchise under the terms Of the
for 5000 or more one vote Ito be cast per
sonally. and not by proxy" Then the policy
ftytwo Director but but ali Of them OUT O
Against this exercise Of undoubted charter
powers no injunction would lie; No new
would be done is precisely what was Intended
by the first president Of the company. an
Alexander and The, second president. Hyde
Personally and not by proxy means mot
by proxy, nothing more. lt Is not even
susceptible Of the narrow construction that
personally" standing alone might be. 1t
includes every known mode OF expressing
the personal Will q the voter. IL includes
casting votes OF absent members by mai,
which has been done in the lar gest life insur-
ence company In the British Empire for over
fifty years with a perfectly stable and won
deTfully efficient management as result.
No more conservative body Of men could
be found than the holders Of policies OF 5000
or more in the Equitable, They would DO
nothing rash but would demand a faithful
performance Of the trust.
II the agents. themselves closely in, touch
the directors could not with good grace re-
fuse. Where is the man Of good reputeE
the highest reputation who after the eT,
posuTes which have now been made would
dare deny that the control OF these funds
ought to be vested ia their ownersi And
where the director who knows that his hands
are clean and his conduct IN once above re.
the policyholders would have none Of himf
That plan can be carried ia the board OF al
rectors by the required thTee-fourths vote
at two consecutive meetings.
When carried il will change the aspect Of
things from hopelessness 70 promise. IL viii
mean that every trustworthy man on the
board will be sure Of reelection; the others
wil not even dare TO seek IL. It will mean
that every officer who has done his duty will
be retained and will also be protected from
tyranny and mistreatment, II will mean
security forever for the funds Of the policy
holders-there will not even be a struggle
about that and il will mean such progress
as viii give this great mutual company q
better claim upon the public than ever before
instead Of a worse one. II will mean turning
defeat into victory-that the explanations viii
have % be made by other companies Instead
Of by the Equitable. MILES NJ. DAWSON,
NV YORK, April II.