The sun. [volume] (New York [N.Y.]) 1833-1916, 1905-06-10


and Justice O'Br'en Are Asked tn
Serve as Trry.-es The Syndicate
Includes Hyde. Who Retains Is
Shares and VIII Continue as Director
Said TO Have Got Between 50 .OOO,.
900 and - 900 900. When Gould or
Hartman Would Have Paid rs ,OOO,.
O0O--2S Directors to he Chosen ~
Policyholders Decide-New Manage.
ment Has the Pruning Knife Ready.
Matters Of the greatest importance to
the policyholders of the Equitable Life
Assurance Society and to the public gen.
orally were announced yesterday after tho
meeting of the society's board Of directors.
Briefly, they We're.
/. James Hazen Hyde, the society's first
vice-president and the controlling factor
in its management has sold majority OF
the socety's capital stock to a group Of
policyholder represented by Thomas F.
Ryan. vice-president of the Morton Trust
Company.
Q One of the conditions of the sale is
that the stock shall be placed in the hands
of trustees in perpetuity, these trustees to
be vested with power to elect twenty eight
directors as designated by the policyholders
g. Paul Morton, Secretary of the Navy
has been elected chairman Of the Equita-
ble's board of directors, with plenary
power over all the officers and affairs OF
the society
4. The designations of James W. Alex
ander, president; James Hazan Hyde,
vice-president; Gage L. Tarbell. se,onl
sice-president; George T. Wilson. thru
vice-president, and wilinm n. McIntyre,
fourth vice president have been placed in
the hands Of Mr., Morton, subject to what
ever action he may deem necessary after
State Superintendent Francis E. Hendrick,
has made public his report on the investi-
gatien of the Equitable's affairs.
Secretary Morton was the almost unanl-
nous choice of the board. Brayton Ives,
who was member Of the Frick invests
eating committee voted against him. II
was reported that Charles Stewart Smith
also vot ID aga INST Mr.. Morton, but he said
'ast night that as soon as tn. move was
fully cxpla ned he ined the maj ritz.
August Belmont voted for Mr.. Morton.
He had opposed in every way in the meet
ing of the nominating committee any
change which would lead to the selection of
II az tr,l-t ouc ,yl r.,
rehabilitate the society, and it was not until
Mr.. Belmont saw that he could not stem
the Niagara which sisted on a thorough
housekeeping that the society may ba-
gin all over again with economical measures
and strict life insurance methods that he
succumbed. A. d matter of fact it was only
at the very last moment that Mr.. Belmon.
seemed to see the handwriting on the wall
and accepted it.
Mr. Morton was escorted into the board
room bya committee Of three directors,
and accepted the place after he had made
it plain that he would come into the society
only with the understanding that there
should be no strings on him and that no
would tie free to recommend the retire.
ment Of the present officers as he saw fit.
Mr. Morton announced after the meeting
that he would resign the position which
he accepted recently "a head of the Metro
politan syndicate for the construction OF
the new subway in this city, At that time
he said that he would retire from the Cabi-
net on July l, and it is understood that he
will not assume control of Equitable affairs
until after that date.
RYAN's ELEVEN ASSOCIATES.
Associated with Mr. Ryan in the group
Of polcyholders who have bought Mr..
Hyde's stock are eleven men. Among them
are George Westingho Sc, who carries
500 600 insurance in the Equitable; Samuel
Newhouse of Salt Lake City, who has
policy for s43o 900, and Justice Morgan j.
O'Brien of the Supreme Court who is
insured for 100000.
The exact number Of shares which the
group bought from Mr.. Hyde is sol, tn,
total issue of tho capital stock being 1000
shares. The price paid was not stated
officially. but it was reported to he between
$4,000 900 and s4,ooo,Ooo.
On behalf of Mr. Hyde 1t was said that he
was well satisfied with the deal, although
more than he got from the policyholders
syndicate had been offered by two other
persons. both representing railroad interests.
+. H. Hartman and George j. Gould. 1t
! ia said that each had offered Mr.. Hyde
! 5000 900 for his holdings.
HYDE KEEPS rs SHARES.
Mr. Hyde retains seventy-fve shares
of stock and is himself member Of the
{ policyholder.' syndicate. If Mr.. Morton
decides to accept Hyde's resignation, and 10
was said last night that Mr.. Hyde was pretty
| thoro,lphly reconciled to the belief that