The Stark County Democrat. [volume] (Canton, Ohio) 1833-1912, 1905-06-16
GROVER CLEVELAND
SENDS HOT LETTER
TO NEW BOSS OF THE EoUiT-
ABLE LIFE.
At the Same Time He Accepts His
Share Of Trusteeship Imposed
by Hyde.


New York. June 12.--Although today
was q momentous one in the history of
the Equitable Life Assurance Society
by reason of the fact that Paul Morton
assumed active charge of its affairs,
the overshadowing happening was the
publication of peppery letter de-
rouncing irresponsible life insurance
officials from former President Grover
Cleveland to Thomas F. Ryan in which
he accepted the trusteeship of the ma
jority of the company's stock.
The letter, which is dated Princeton,
N. j., June 10, reads:
Il have this morning received your
letter, asking me to act as one OF the
three trustees to hold the stock of the
Equitable Life Assurance Society,
which has lately been acquired by you
and certain associates, and to use the
voting power of such stock in the Sc
lection of directors of said society.
After little reflection have deter
mined | ought to accept this service.
| assume this duty upon the express
condition that, SO far as the trustees
are to be vested with discretion in the
selection of directors, they are to be
absolutely free and undisturbed in the
exercise of their judgment; and that,
sc far as they are to act formally in
voting for the directors conceded 10
| policy holders, a fair and undoubted
expression of policy holding choice will
| be forthcoming
"The very general anxiety aroused
by the recent unhappy dissensions in
the management of the Equitable So
ciety furnishes proof of the near re-
lationship of our people to life insur-
ance. These dissensions have not only
injured the fair fame Of the company
Immediately affected, but have i'm
paired popular faith and confidence in
the security of life insurance itself, as
a provision for those who, in thousands
of cases, would be otherwise helpless
against the affective visitations OF fate.
"The character of this business Is
such that those who manage and who
direct it are charged with grave trust
for those who, necessarily, must rely
upon their fidelity. In these circum-
stances they have no right to regard
the places they hold as ornamental, but
rather as positions of work and duty
and watchfulness. Above all things,
they have no right to deal with the in
terests entrusted to them in such way
as to subserve or become confused or
complicated with their personal trans
actions or ventures.
while the hope that l might aid In
improving the plight of the Equitable
Society has led me to accept the trus-
! teeship you tender, ! cannot rid myself
of the belief that what has overtaken
this company is liable to happen to
other insurance companies and fidu-
ciary organizations as long as lax ideas
of responsibility in places of trust are
tolerated by our people. The high
II essure of speculation, the madness OF
inordinate business scheming, and the
chances taken in new and uncertain
enterprises are constantly present
temptations, too often successful In
leading managers and directors away
; from scrupulous loyalty and fidelity tt
the interests of others confided to theil
care.
1--WE can better afford to slacken oul
mace than to abandon our old, simple
, American standards of honesty; ant
we shall be safer If we regain our owl
} old habits of looking at the appropria
J ton to personal uses of property aDt
interests held in trust in the same ligh
as other forms of stealing"
Replying to Mr.. Cleveland's letter o
acceptance, Mr.. Ryan, under date OF to
day, wrote as follows:
81 have your letter of the 10th inst,
in which you formally accept the ap
| pointment to act as one Of the trustees
J of a majority of the stock of the Equit
able Life Assurance Society. l hearth!
concur in the sentiments you express
and in your statement of the purpos'
to accomplished by placing this stool
e in the hands of yourself, Judge O'Briel
e and Mr. Westinghouse, as trustees, II
order that the directors Of the societ,
e may be selected by the trustees abso
: lutely in accordance with their owl
3 Judgment and the wishes of the polio
holders.
"Thanking you for the personal sac
rifice which you have made in under
K taking to perform this important pub
9 lie duty, I am, very truly yours,