The daily morning journal and courier., 1905-06-20
MORTON ID MAKE AR INQUIRY Of HIS OWN
NEW AND ISDEPENDEST 1ETEs. TIGATI0N INTO AFFAIRS OF
 THE EQUITABLE

To Begin at once-NewIy Elected
 Chairman Desires to Know Exactly
 How Things Are With the Society," Expert Accountants to Examine
 Every Detail of the Work, Invesf- ments and Relations of the Society,"
 Instructions to the Men Engaged Made Public.
 New York, June 19-A new and inde- pendent investigation of the affairs of the Equitable Life Assurance society is to be begun at once. Paul Morton, the newly elected chairman of the board of directors, want to know exactly how things are with the society. and has commissioned Price, Waterhouse & Co. and Haskins & Sells, chartered account- ants, working together, to examine every detail of the work, investments and relations of the society.
 The letter sent by Mir. Morton to the firms employed is as follows: Dear sirs:
 '.As chairman of the board of the Equitable Life Assurance society, want to know the exact condition of the society up to June 10, 1905. the date of my election as chairman. With that end in view you will please make joint ", an examination of the accounts of the society. You will have access to all books. papers and records.
 q desire that your report should be as complete and exhaustive as possible. Particular attention should be paid to lascertaining the facts under the follow- ling subjects:
 1.-The societys annual expenses, in- cluding legal expenses, advertising ex- penses, agency expenses and cost of se- curing business
 ss2-The real estate investments of the company, including in the case of each particular parcel the value at which it l is carried upon the books of the socie- lty: the income which it yields, and 1 the fair valuation of the property, whether above or below the value at which 1t is carried upon the books of ! the society. Of necessary, real estate lexperts may be employed in ascertain- ling the value and income of the real estate, subject of course to my approval las to men and terms. ''3The other investments of the so- lciety: their character and the cir cumstances under which they have been made.
 1.-The society's surplus and the manner in which it is carried upon the books of the society. l "5-The methods of keeping the so- lciety's accounts and the respects in which it's accounting may become lproved
 l "6-The relations between the society and the trust companies, banks, safe deposit companies, and other institu- tions with which the society is affiliated by ownership of considerable amounts of stock or otherwise Cn the case of every corporation in which this society has dominant or important interest. or with which the society has special I relations, the ownership of the stock other than that owned by the society should be ascertained as far as practic- Iable).
 1.-The subjects covered by the re- port of the Investigating committee of which MT. Prick was chairman should be fully investigated. "S-When the report of the New York superintendent of insurance has been made that report should be carefully studied and every matter covered by lit or by the recommendations of the commissioner should be carefully exam ined.
 l 'srhe foregoing suggestions are not intended to limit the scope of your iil- auiries. which should be as broad as Ilnay be necessary in order to ascertain the condition of the affairs of the so- ciety.
 T shall from time to time designate 1 bother subjects which seem to call for special investigation. l Tt is important for all concerned that lyour investigation be completed as promptly as possible and you will ac- lcording1y inaugurate it at once and csr-- Try it forward with all possible vigor. T suggest that each one of your firms lin general charge of this work name one particular man with whom I may confer from time to time.
 Tt is very essential that the entire Ilnatter should be treated confidentially. and wish to confer with you as to when you shall begin this work and how you shall proceed.
 .'Very truly yours,
 Paul Morton.''