New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1906-03-16
BANKERS LIFE CHANGES
Fan Setback and To1cHsley Reorgan.
IKE Com pany-Dummy Directors

IL
Eugene Van schsick and Henry b. Tou,,.,..
put through their scheme yesterday OF rso-vau
izing the Bankers Life Insurance Cornpan,, a.,
putting their own officers i'm control M ~, -
fairs Mt Townsley did not appear In the nr,.
ceedings, Mr. Van Schaick taking charge - -
operations. The old officers and the ren,s,,t-'
members OF the board OF directors resigned -
Thursday. and the voting trust was abroaa,.s
by agreement. Yesterday the Knlckerbocker In
vestment Company paid into the treasury ~ -.
Bankers Life the $71 500 81 demanded bv ~.
State Insurance Department on February Z Ia.t
to repair the deficiency in the 100000 can
ital, and Immediately thereafter the adiopr,as
annual meeting was convened a dummy 49,
OF directors was elected and the dummy dt-o,-
tors elected Mr.. Van Schaick's officers. tn.
programme calls for the resignation OF tina
dummy directors. and the substitution FOR them
of men well known in business circles all over
the country
Late in the afternoon Mr. Van schaick a.
knowledged that the reorganization had bsa,
effected by means of a dummy board The FOL
lowing note was sent in TO him by a Tribuna
reporter:
1t is said that at the meeting Of the Banker,
Life this morning the board Of directors was
filed up with dummies, and only three or forr
of the permanent directors were present M
Hanhart being elected president by these dummy
directors
To this Mr. Van schaick sent the following
note in reply:
The Impairment OF the capital stock has baa,
made good and the moneys paid in. The d.
rectors elected are mostly temporary and viii
be replaced by strong board which win ba
announced In few days. The great majority
of the board will consist OF officers OF banks
and trust companies.
The board OF directors elected yesterday
consisted OF Robert c. Sands. president Of The
Strouers: John w Haulenbeck,. Van schalcks
brother-in-law: P B. Armstrong, a former off,
Ger Of the American Union Life Insurance Com
pany: Clarence W. Armstrong. his son; Iueius
Teter OF Chicago. unknown; Ernst F. Ayrault
unknown; George BreteH, UnknowR Wilson
Brice. managing clerk for Van Schaick: e How
ard Foster said to be a clerk in Van Schaick,
office; John A. Tiger. a country storekeeper n,
Madison y. J.. and an officer of the KnIeks-.
booker Investment Company; Ernst W Scheme.
berger of the Knickerbocker Investment Com.
pany: Samuel H. Buck. a director Of the Lila
Association Of America: William A. Cable IN
known; Thomas B. Patton. proprietor Of The
Bankers Law Journal; Eugene Van Schalck
William Hanhart. the new president % the
Bankers Life and formerly secretary OF the
KnickerbOcLer Investment Company: George G.
Van Schaich. brother of Eugene; J. 3. Dougher-
", jr., the new treasurer Of the Bankers Life;
Henry S. Julier unknown; George f. De Camp,
Of the KnickerbocI1er Investment Company and
John W. Vincent. treasurer OF the Life Associ-
alton of America
1t is said that an investigation shows that
those directors who are unknown" have con-
nection with the Knickerbocker Investment Com
pany. Van Setback and Towns!ey control the
Manhattan Bond and Underwriting Company,
and that company controls the kniCkerbOckar
Investment Company through stock ownership.
while the KnickerbOcker owns 626 OF the 1000
shares Of the capital stock OF the Bankers
Life. the dummy directors OF the Bankers
president and a treasurer in place OF H K
Stokes. who resigned Thursday. The new presi-
dent is William Hanhart who for two
years secretary OF the KnicI5erbOcksr Invest
ment Company and for many years deputy
controller Of the Emigrant Industrial Savings
Bank He has also been secretary of the saw
lnSS bank section of the American Bankers As
ISOLATION and associate editor of The Bankers
Law Journal" The places Of the three vice.
presidents who resigned were not filed Eu-
gene Van Schaick is TO be the general counsel
Of the company. Mr. Hanhart's salary is TO be
$4,000 q year Foster NJ. Voorhees,, the last
president, drew 5000 year The minority in
Jerest was not represented the election The
secretary. Frank q. Combes, was reelected.
He has been in the employ OF the company
for twelve years.
1t was reported yesterday that Andrew c.
Fields would return 70 New York soon TO emu
on his insurance connections and would pay
his compliments to the trustees Of the Mutual
Life, as Hamilton has 10 those OF the New-York
Life.