New-York tribune., 1905-03-22
PRICE THREE CENTS.
HYDE'S FOR FOUR YEARS.
CONTROL OF EQUITABLE.
Directors Ratify Naturalization Plan
-LegisIation Still Nag BE asked.


Assurance Society at their meeting yesterday
afternoon. unanimously adopted the report sub
mtted by the committee of seven, The principal
feature Of which was the recommendation that
the policyholders should in the Eext four years
elect twenty-eisht or the hfty-two directors.
seven in each year. The special committees re-
Port was as follows:
The committee unanimously recommends that the
twenty eight OF the ffty-tNO directors of the so
twenty-four by the stockholders the division each
year being in the ratio Of IN &
Your committee further recommends N SineIe-
ment Of the bylaws Of the society to provde ior
stead Of Quarterly meetings. as heretofore
a form of amended charter ernbodying tse N . forc
going recoHTnenda tons as to tne sieesGh OF -
tors by the polcyhOlderS. is submitted neTe~ita 70
tho board with the unanimous recommendation o4
its immediate adoption by the board
The report was signed by every member OF
the committee The amended charter as wei
as the report was unanimously adopted oy the
board The new charter which, in ADDITION 10
the changes mentioned in the committees report
gives the pOlicyhoIders the right TO vote either
personally or by proxy, VII De hled at Albany
probably to-day, and rCst be approved by the
state Superintendent OF Insurance before it be-
comes effective
The resolutions under which the committee %
seven were appointed expressed it as the opipioR
of the board OF directors that the pOlieyholders
should be given the right 10 vote for directors
and directed the committee to arrange the de-
tails for carrying the step into execution and in
connection Herewith the settlement Of the allied
question of indemnifcaton of stockholders
NOTHING ON RETIREMENT OF sTOCT--
In the report as submitted yesterday to the
directors and accepted by them it will be noted
no specific mention is made of the subject OK
indemnification of stockholders. but the infer
ence from the wording of the report. that
r1Sr sfTr
shall be elected by the stockholders is that the
committee had decided adversely to the pTopo-
sition for retirement of the 100000 stock
The action of the board OF directors leaves the
control OF the Equitable for the next four years
in the hands of Vice President James H Hyde.
who, the owner of a majority of the capital
stock, will be in position to continue TO name
a majority os the directors 1t has been the
contention Of Mr.. Hyde's friends that the sue
cess of the movement for full naturalization
would place President Alexander and the execu-
tive officers allied with him in full control of
the society, the agents. whose retention in
place is dependent upon the will Of the higher
officers, would naturally exert themselves TO OBJ
tain from policyholders proxies for the election
of directors who would act in the inerest OF the
present administration, whose control would
thus be indefinitely perpetuated-
The decision of the directors TO allow the pol
icyholders majority representation at the end OF
four years it is declared by opponents or Mr.
Hyde. is equivalent to placing the latter in per-
petual control. If tie assertions as to the prob
able 'pernicious activity of the agents be well
founded. for Mr. Hyde, they say, would a
matter Of self protection doubtless within the
four years cause President Alexander and Vice
Presidents Tarbell and Wilson to be superseded
by nominees of his own and the general agents
and minor agents would see to it that the policy
holders proxies gathered by them would run 10
who would exercise them in the election OF
directors acceptable to the executive off,
GERS and to Mr.. Hyde, to whom such officers
would owe their places. the result being that Mr..
Hyde would control the election not only OF the
twenty-four directors allotted to the stock
holders. but also of virtually all OF the twenty
eight directors to be chosen by the policy
holders.
ATTITUDE OF CRIAIMINS COMMITTEE
The attitude of the organized poIicyholders In
the situation it has developed is stated fol-
lows by Frank II. Platt, counsel for the Grim
Minis committee:
Even this provision giving twenty-eight d.
reetOrs TO the pOlicyholders may eventually be
of great value to them. if they organize and con-
tinue to maintain actively the position which
they nave gained by electlng directors or their
own choice But this action of the board has
continued the Hyde control for the present az
least, and II the poIcyhOlders next December
and at the subsequent meetings should give
proxies to persons selected by the management
to-day's grant to them would be empty The
boards action is surprise. Forty members
OF the board owe their positions directors to
Mr.. Hyde, and they have given him their ale
glance. Last February in haste they resolved
to give the policyholders the power of voting
Immediately To-day they have withdrawn that
action. and have voted TO continue the HYDE
control 1t is not difficult to understand what
has happened meanwhile.
think that il Is entirely within the power CT
the poicyhoderS to mutualize honestly the So
ciety by going to the legislature. In the pres
ent state Of public opinion the legislature would
not refuse TO transfer the voting power to the
policyholders. In any event. a single policy
holder is strong enough to Oust those officers
and directors who have been using the society
for their personal benefit From what / know
of the sentiment among the polcyholders be-
lieve that action will be taken which will truly
accomplish the purpose OF putting -hs property
OF the corporation under the control of men who
will feel that their duty is 1he policyhoIders
rather than 10 Mr. Hyde.
John d. Crmmins said last night that he had
not received the report of the Equitable meeting
in time TO convene his own committee, which.
however. would undoubtedly meet to-day. In
the mean time. he did not care to discuss ths
subject
The meeting OF the directors which was Iarra
ly attended. had been called for noon hut afte-
about twenty minutes delay an adfournnnsnt
was taken until > o'clock. as the speciaI cow
mittee had not completed its report The cor,
mittee held three sessions
TONGTTEr TyvE fDna-