Daily Kennebec journal. [microfilm reel] (Augusta, Me.) 1870-1975, 1906-07-10
FOR THE PEOPLE.
The International Policy
holders Committee
Effects Organization and Is
| sues a Statement
To The 100000 Holders Regarding
Correction Of The Abuses.

the New York Life Insurance c., and
the Mutual Life Insurance Co. of New
York, effected . permanent orSaniAlSl
ton at n meeting here today by the
election CT the following officers:
Chairman, Richard Olney Of Massa-
chusetts; vice chairman, Gov. Frank j.
Hanley of Indiana; executive commit
tee Alton Il. Parker of New York,
Gov. j. d. Johnson of Minnesota, Chas.
Emory Smith Of Pennsylvania, Harlow
y. Higginbotham of Illinois. a. NJ.
Shook of Tennessee. Gov. Henry Rob-
erts of Connecticut, Gov. Samuel w.
Pennypacker Of Pennsylvania; finance
committee. Thomas E. Wanamaker Of
Pennsylvania, F. g. Neldringhaus of
Missouri. Samuel Newhouse of Utah,
Samuel Untermeyer Of New York tof
counseD, Seymour Eaton (secretary),
G.. K. Scrugham, tOrganiZer).
The members then continued in exec
utiVe session.
The general committee formally add
ed to the list of its members the names
Of Lord st. Oswald and Harmood Ban
nard, NJ P. to represent the English
poicyholders After the meeting the
holders explaining the inception Of the
ton.
Reciting that the voting power has
gradually been transferred from the
policyholders to a few of the cXecu-
tive officers centered in New York, the
address says that it is necessary for
| the 10000 policyholders to organize
without delay this year under the
| law recently enacted affords the policy
/ holders their only opportunity to OBJ
| tain complete control In one election
while hereafter only half the directors
will be chosen in any one election.
| Til" text of the address is as fol-
| lows:
80 the policyholders of the New
| York Life Insurance Co.
."Thc Mutual Life Insurance Co.
| nj the request Of policyholdcrS ana
committees representing policyholders
| in your companies in the United States
| and foreign countries the undersigned
| have consented to act as Il committee
| to represent your interests under the
| name Of the international policyh0ld-
| ers committed and herewith submit
| for Your consideration the following
| statement OF facts:
| "1--These two insurance companies
| are mutual companies; that is to say,
they are owned by their policyholdcrs.
| I'll, enormous accumulated assets OF
| over 1900, 900 600 repreae mt the premiums
which you as policyholders have paid
| "2-The law requires that the polcy-
! holders of a mutual company snail
| elect from among themselves directors
/ who shall be responsible to all policy
nlanag ement of the company's AFFAIRS.
| holders for the Intelligent and falthfui
AS the law formerly stood it was prac-
tically impossible for the po!icyholderS
| scattered throughout the world to vote.
| In 190:, even afer the agitation began
there We're 252S votes cast mainly proX-
les in the two companies out OF a total
Of over 100000 policyholders. or less
than nna-fifth Of l per cent.
| at gradually became a recognize i
custom among the officers t. secur"
Through agents proxies made out to the
president or some other officer OF the
company upon the delivery of the pol
lev. In this way the voting power was
gradually transferred from the policy
holders to a few of the executive DILL
| GERS conferred in New York
"i-Thus it came about that the con
troll of these two companies was grad
ualIv taken out of the hands of the
| nGIicyholderS and came under the abSo-
| lutr domination Of a few executive Of
fccrs. Out Of this system have grown
the cxtravagances and other abuses
some of the particulars of which Were
brought out under legal pressure by the
Armstrong investigation committee
The self-appointed directors are still
| n
directly or through their own nominees
unless you as policyholders decide 9th
ervise by the exercise Of your right o
simple ballot voting, which has beer
restored by recently enacted law.
"5-At the last session of the Legs
ture of the state of New York, th'
state which issued the charters q
\ these two companies. there was enact
!. ed a law which gives to policyholder'
: their actual voting rights. The Law
! strikes at the very root of the EVIL
d 1t cancels all previously issued proXie
: and provides that any proxy given II
J. advance Of oct. is, 1906, shall be void
!, If fixes the date for the election of di
!. rectors. 1t gives to the policyholder
! the privilege Of nominating their owl
; candidates and the right to vote by mai
!. We emphasize the fact that now is tn
:: only opportunity for obtaining com
!. pIete control Of your properties at on
. election as hereafter under the law
] only one-half the directors can be chos
= en- in any one year.
"6-To secure the benefit of such lax
| if is necessary that the ]. 200 900 or NOR
poIicyholders should organize into sue
| working force as to secure harmon
4 of action in the selection of candidate
for directors. Associations of policy
holders have been formed in Variou
parts of the United States and in for
eign countries, each independent of tn
! others. These associations have unite
in an appeal to your committee to &C
s with the entire body of policyholder
Y in the selection of candidates for di
f rectors, 50 for the Mutual Life and .
J. for the New York Life.
THE foregoing and the grave abuse
. of trust that gave rise to such legisla
ton made necessary the Organizatio
| of your committee. Neither the con
nittpe nor its general counsel will nc