The news & observer. [volume] (Raleigh, N.C.) 1894-current, 1905-07-09
MAY WIPE OUT MILLIONS.
Revolt of Agents-Nien Who Hold
$5,GOO,OOO of Policy Holders
Money i'm Loans Threaten
to Quit Equitable.
(New York American.)

(New York Americana
Equitable policy holders are now
confronted with condition that
threatens to wipe out millions of the
boosted surplus it has taken forty-tve
years to accumulate.
For more than five years, or since
the death of Henry b. Hyde, certain
Of the general agents of the society
have been making raids on the Equit-
able treasury. AS a result. less than
$50 men who have general agents
contracts with the company have IN
their possession upward of 100000
of the policy holders money which
they have obtained from Gage f.
Tarbell as advances to enable them TO
do business
The only security given for these
loans are renewal accounts. This
security, it is said. is not worth twen-
ty-fiye cents on the dollar in a ma
jority of cases even should the men
remain with the society and continue
to bring in business.
The danger that now threatens is
that these men, dissatisfied with the
plan of reorganization of the agency
department proposed by Chairman OF
the Board Paul Morton are on the
verge of rebellion. Should the men
who have been advanced hundreds or
thousands of dollars on their renewal
accounts quit the Equitable. the policy
holders would stand slim chance or
getting more than 25 per cent OF the
money that has been SO literally sup
piled for the maintenance Of the
agency business.
Strenuous efforts are being made by
Mr. Tarbel to keep the agency force
together. He has promised his re-
tailers, and they are the men who
have been most favored in the distri-
button of funds that he will do all in
his power to prevent the adoption OF
changes in agency contracts that VIII
curtail their incomes and weaken their
influence.
Mr.. Tarbell, it was said last night, Is
convinced that the deed of trust
selected will! not stand in court. and
he is of the opinion that he will even
tually succeed to the presidency OF
the Equitable. He has already prom
ised, it is reported, that should he
be successful he will give to Archi-
bald Haynes the place he now holds
at the head of the agency department.
Joseph Bowes Baltimore; X. L..
Forman Atlanta; r. II. Baker, of
Texas; w. a. Dana, of Virginia; II. j.
Powell, of Kentucky, and Bohm
Brothers and Archibald Haynes, of
New York are leading the opposition
to the Morton reorganiZing plan. They
held a meeting yesterday afternoon,
and later Mr. Haynes called his sub
agents together.
He said nothing about the reor-
ganiZation plan to them, but besought
them to get out after business. He
told them that it would be a hard
thing for them to write deferred divi-
dend policies, but that it would be
easy for them to sell participating
policies.
A. h. Cordner. George Schlesinger,
Michael G. Flanagan and John Burns
made speeches in which they told of
the difficulty they had writing bust
ness
1t was learned after the meetins
that Mr.. Haynes has closed three OF
his agency offices. Two were i'm this
city and one in New Rochelle.
The Ryan trustees have selected a
room in the Equitable building for
their headquarters. They will meet
next week and select nineteen more
men for election to the Board of Di-
rectOrs: Mr.. Morton has called a
special meeting of the board for next
Tuesday to receive the nominations
William A. Wheelock one of the
oldest members of the Equitable
Board, died yesterday.