New-York tribune., 1905-06-12
MAY HOLD THEIR PLACES
DEPENDS ON HENDRICKS
Morton Nay Retain Equitable Oft
GERS. Sags Alerander Adherent.

When Paul Morton the chairman of ths
board of directors of the Equitable Life Assurance
Society, returns this city early this week, plans
will be worked out by him, the officers of the So
ciety and their lawyers for the complete reorgani-
zation of the management This will include a re-
organization of the board of directors admit
twenty-eght directors representing polcyholders
a executive committee. with at least one
of the new directors member.
A friend of Mr.. Alexander said last night that
whether or not Mr.. Morton accepted the resigna-
tions of those who have given him their resigna-
tions depended the Hendricks report.
Secretary Norton said this man. had talks
with Preslqent Alexander and viee-President Hyde.
He told them they must bury their differences, and
that unless the report of Superintendent Hendricks
made Il showing that demanded their removal they
could keep their present places
Secretary Morton viii make personal nspec-
ton of the books. with the heads of departments
at his elbow and confer with them on measures
for economy and for a clearer method of book
keeping He is going to call the general agents to
conference and go over their books. having them
state the business which advances have been
made and how well secured such business is II. in
big advances. the business is not in keeping. he
will cancel the contracts OF the general agents.
He will ask the New-York Life and the Mutual
Life to join the Equitable in putting end to re-
batting. He will not stand for rebates in the
future
How the reorganization Of the directorate wfs
be brought about depends almost entirely on Mr..
Morton, the directors say. He IN all probability
will confer with Superintendent Hendricks Of the
State Insurance Department before taking any
action in that direction Fourteen vacancies exist
IN the board because OF designations. Whether
Mr.. Morton will ask all the other directors to re-
sign, that complete board may bo elected,
nobody knows directors least OF all
After he gets grasp ON the situation Mr.. Nor
toms first work Will be to decide his method OF
putting into effect the naturalization made possible
by the transfer of the Hyde stock CONTROL TO ths
no Ter that will
making of the executive committee By the
board, and then will discussion OF the
salaries to be paid to the officers. and, prob
ably, election to determine who shall be the
officers.
No meeting OF the board has been called yet and
call will be issued 1t Is thought until after the
meeting of the executive committee on Wednesday,
at which Mr.. Morton will begin to get his plans
into operation. After he has decided to how
the board shall be chosen. he win be
fronted by the more technical details OF the
organization. among them the restricting Of tha
society's investments and the cutting down OF
bank balances. All these points he win take up
with the new officers.
Superintendent Hendricks win be here to-day fs
is expected, to complete his examination Before
he left the city last week he was about through.
but two witnesses may be called His
report is promised for Thursday, but he hopes 10
have it completed and possibly fled. day
before then.
On this report will depend greatly Mr.. Morton's
Equitable situation brought about by last Fridays
meeting, the principal feature Of the report was
understood to be caustic denunciation Of the Of
fetal conduct Of the president and vice-president
which would undoubtedly have been taken by the
superintendent as ground for action by the Attor-
ney General
The effect of any such finding in the report
would be almost entirely discounted by their
designations. in the hands of the new chair
man The report however. viii probably contain
details of their official held censur-
able. Analyses of the syndicate undertakings of
James H. Hyde and Associates and strong con-
dernnation of them, it has been predicted will
form important part Of the report Criticism Of
the high salaries paid 10 the officers society
probably VIII be another section discounted by the
salaries
The features of superintendent Hendricks's report
persons who have been in touch with the depart
Equitables relations with its subsidiary companies
deposit companies in which it holds the control or
owns large blocks OF stock There Will be room
society these persons say; --o,,,o.,ou -
reorganization to be thorough. and the Insurance
Prospect of legislative investigation Of the So
ciety seems remote now. The Hendricks report.
aside from the reorganization Of the directorate.
public. seems about the only important development
Thomas F: Ryan was out Of the city Yesterday:
Nothing could be learned about his plans for the the
ara o be the Of the ad VIZ"
The sale of the trust stock It Is said IS ab-
solute sale made IN good faith both sides. and
no bar to the sale exists. A point raised TO
whether the stock could be sold legally until the
expiration of the trust, but the lawyers advised
ths trustees that It might be sold IL g majority
of the trustees deemed It advisable. w. H Mo
Intyre and Mr.. Hyde formed majority OF tho
trustees, President Alexander being the other.
James Hazen Hyde spent the afternoon and most
Of the evening at Coney Island with small party
OF friends. He had out-of-doors dinner on tho
pier. He laughed and toksd with his friends and
seemed In the best Of spirits
DIAM NATT0NAT RoARD OF TRADE