New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1905-05-25
EQUITABLE CLIMAX NEAR.
Mr.. TARBELL EXAMINED.
Financial Circles Interested in Coz
ernmentS Investigation Of Insurance

with President Roosevelt's statement in private
letter that the Department Of Commerce and LABOR
IS considering whether the government mas any
authority over insurance companies; with the Frick
committee busily engaged in drafting its report
with the executive committee again in session, ana
Gage Z. Tarbell once more on the stand before eu-
Terntendent Hendricks; with the arrangements 10Y
the convention Of the agents postponed win Na'l
ous conferences between counsel, and what prom
,ses to be an unusually large and unusually impor
tant directors meeting only week ahead lnolca-
tions were wanting yesterday that anon
event possibly tie grand climax ITSELF VIII DC
reached in the Equitable controversy next week
r1esnite the iterations of Equitable counsei aho
5s-.c+ors that the United States Supreme Court oe
cisions have shown insurance policies 10 De 0'A,e
contracts. and not articles OF commerce aIieh'o'e
10 the Interstate Commerce law PresldeAt hoos9
xelts letter saying that tho Bureau Of Corporations
was considering the status OF insurance companies
aroused considerable interest in financial circles
yesterday.
This paragraph was quoted from the Chief Ex-
ecutives letter:
Ts department of Commerce and LabSrll bs is n tS
carefully going into the matter. to see whelheI 'He
government has any power or not
Insurance men in touch with the present situa-
zion now reslize that an independent movement is
efoot TO extend investigation Of Equitable az
fairs TO other large insurance corporations. John
D. Crimuins, chairman OF tho pocyholders' COM
sl!ttee told Tribune reporter last night that he
thought no federal intervention would be asked In
the present instance, was it warranted ne
added He said:
have implicit faith in the Prick cQmm ae
dent or Of the government. The State and the
company are able TO take care OF the Equitable: ~
duty TO wait with patience the report OF
Superintendent Hendricks and the FTick commit
As to the general question, think that the policy
holders in an these companies the Equt9 3osst NE
means, but the companies should be ''mutualized'
he ' specriative Element has got to be eliminated
II savings banks laws are the best they shouId De
applied.
II it can be shown that federal control will afford
the best protection ii should be assumed not with
the EQUITABLE alone but with all the companies
No new arrangements have yet been made for
the agents conventions.
It is understood that Mr.. Hyde wished that there
should be a single general convention in New
York while Mr. TarbeII favored the plan of holding
separate conventions in Boston. Chicago, San Fran
cisco and Washington.
William F. King ex-president Of the Merchants
Association who received the letter from President
Roosevelt containing the extract already quoted,
said yesterday:
gate this scandal, myself will endeavor to raise
uLId q .ot LeSs man s-oOUO, ana VIII condIpute
formed TO take this matter up in intelligent
manner. forming thorough organization for agita-
I have consulted wit. several lawyers concerning
the drafting Of proper bills, one for a national
commission. with power to subpoena and examiEe
witnesses and compel them TO answer such ques-
Mons may be deemed wise in an investigation OF
this character. and in the OF their refusal
should be examined, ana their way and me nod of
doing business for the last years investigated,
going into the detail Of all of their expenditures
Also another bill to place them under national
control the same national banks and restrict
ing their investments in the same manner that the
Investments of savings banks restricted thus
safeguarding in every way the property of their
pohcyholders for the benefit Of the widows and
Mr.. TarbelTs examination by Superintendent
Hendricks will continue to-day. He orally ex-
anined yesterday by Mr.. Hendricks and his deputy.
Robert II. Hunter, and Representative Driscoll
OF Syracuse. Mr. Hendricks counsel and Isaac
Fanderpoel chief examiner in charge Of the inves-
ugation OF the Equta bles books were also present
Mr. Tarbell was asked it is said. why Henry J.
Powell Of Kentucky, was still with the company
One Of Mr. TarbelIs agents insured man named
Wagner for S21o000, Mr.. Tarbell was told 1t is re-
ported, rebating s. per of his first years pre-
MUM, the man dying, however from bullet wound
before the second premium had been paid. The
Equitable ursuccessfulIy contended that the rebate
vitiated the payment OF his claim, having to. com
promise however. with a payment Of $4,000
Mr.. Tarbel was told, it is said that had the
man not received the s. per cent rebate he could
never have been able TO take such heavy
policy Mr.. Tarbel replied that he did not see
how the Whayne case entered into the discussion
It is said, whereupon Representative Driscoll de-
cared. Il rumored, that the witness was
'evading' in the same way that he had on Tues
day. Superintendent Hendricks, seeing that the
case was becoming personal thereon closed the
examination for the day, il is understood
In his examination Mr.. Tarbel. it IS said was
asked regarding certain specific circumstautisl
charges Of relating by agents in this city
Mr.. Hyde Mr. Mcintyre. Mr.; CULVER and c B.
object OF which not disclosed.
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