Evening star. [volume] (Washington, D.C.) 1854-1972, 1905-07-13
SALARY REDUCTIONS
CHAIRMAN MORTON SLASHES
EQUITABLE WAGE LIST.
Economies Planned-Judge Used In
surance Middle for Object Lesson
Depew Explained Loan

The reduction in Equitable salaries in
New York is only the first of a series of
schemes Chairman Morton has In mind for
reducing the expenses of the working force,
it was said yesterday by those In touch with
him. 1t will be followed by reforms in
several of the departments. notably the
agency department which the chairman Is
investigating now. Uniform rates of COM
mission will be figured out for the solicit
ing agents, 1t is thought, with a probable
reduction for the general agents
At the special meeting of the direc :ors
TO be held Friday the nine men accepted
at the last meeting will be elected directors
and the men selected by the trustees will
be ratified by the board. Grover Cleveland,
chairman OF the trustees left New York
yesterday on e. c. Benedict's yacht Oneida
with MIR. Benedict After a time spent in
cruising Mr. Cleveland will go to New
Hampshire for the summer. The trustees,
it is expected, Will hold no more meetings
for several weeks.
Judge Scored the Equitable.
In sentencing Emil II. Neumer an Equis-
able Life Assurance Society clerk, TO tie
Elmira reformatory for an indeternina;e
period for completely in the robbery of a
policy from the Equitable companys vaults
Justice Foster of the court of general ses-
sions yesterday commented on other Equit-
able losses. He said:
Your methods were very crude and bun
Cling. If you had, instead of collision with
an outsider. colluded with an insider and
thereby had your salary raised to $50, coo
and then divided with the other man. the
result would not have been more hurtful
to poiicyholders, but possibly you would
not have been at the bar of Justice.
Neumer gave the policy to Samuel Lob
ley, who borrowed money on it, and who
Is now in Sing Sing for the offense.
The following statement was given out
yesterday by Thomas F. Ryan:
The reports of my connection with the
Washington Life Insurance Company are
inaccurate. When that company was on
the verge of bankruptcy last December,
from m!smanagement,I joined Gov. Nor
ton and others in subscribing the neces-
sary money to put the company in the
strong financial position in which it finds
itself today It's business is daily increas-
ing, and the policy holders are to be con-
graduated on Gov Morton's willingness,
wholly from a sense of duty, and in spite
Of his advanced age, to step in to prevent
impending disaster to a company of which
he had been charter member.
Depew Explains That Loan.
In an interview in Paris yesterday Sen
ator Depew said
THE newspapers state that secured for
the Depew Improvement Company a loan
of s250,000 on property appraised at $780,
600 from the Equitable Life Assurance So
ciety. 1 had nothing to do with securing
the loan. 1t was made under the rules of
the Equitable society, on a report of the
Equitable's appraisers on the property. and
that report must have shown that $4,000
was only 60 per cent of the property S
value, in their judgment, or the loan could
not have passed the society's officers and
then received the unanimous vote of the
executive committee. In the application
for the loan President Webb would never
have permitted Misrepresentation of the
value of the property.
IF the Equitable society Joins the other
creditors there will be large profit over
the Indebtedness, in the Judgment of men
closest to the property and best acquaint-
ed with it. The property now possesses
about 4,OyJ inhabitants. 1t has connection
by four trunk and two trolley lines at Buff
falo 1t gets water from Lake Erie and
power from Niagara Falls. There are sue
cessful manufacturers located there, and
others want sites. AS one of the largest
stockholders, with no other interest in the
property than my fellows, incurred much
larger liabilities than they. l am willing
to Join the Equitable and other creditors
In making the enterprise success.