The Paducah sun., 1906-05-03
MORTON GIVEN
GREATER POWER
But Not All He Wanted 1t is
Said.
Equitable's Report Shows Loss Of
business hut Also Saving ~.
In Expenses.
RYAN's LITTLE JOKER SEEN

New York, MAY g. Strenuous OPP
position to the, scheme of Thomas +.
Ryan to give extraordinary power to
| President Paul Morton, of the Equi-
table, developed yesterday when the
directors met. to vote on the new by
laws. This opposition resulted in
hedging, to a certain extent. Presi-
dent Morton's financial power.
The quarterly report of the presl-
dent. presented at the meeting show
ed remarkable losses. New business
has fallen of 81 per cent; in the
profit and loss account there is a
loss of SO per cent over the same
quarter last year. This is explained
by the statement that the Equitable
is no longer participating in "s.ndl-
Gates"
The report indicates an annual saw
ing OF nearly s3.OOO,OOO in the cost
of management.
Section IA of the new bylaws was
intended to give the president power
~ order payments by the treasurer
without an order from the board.
THAT is nothing but the old sys-
TEN of executive order,'" said one
of the directors.
"The president must have power"
was the answer.
But 1t was this same executive
order which came so near wrecking
all of us " was the protest. at gave
Mccall and McCurdy their power"
The executive order" by law went
overheard. In its stead a rule was
adopted that the treasurer should
pay only by order of the board and
that no payments in excess of s10.-
600 should be made without the con-
sent of the finance committee.
An unusually large executive COM
mittee is provided for. II will eon-
slst of the president. vice president
and Is directors not officers. On the
other hand the finance committee Is
unusually small-the president and
four directors. The finance committee
has control of all the financial tran
sactons of the society, power for
merly held by the executive board.
Ryan's Little Joker"
In this small finance committee
Wall street sees a "joker." With Ry-
an men as members. the enormous
assets of the society could be used to
hamper rival financial concerns, even
though they dealt in nothing but gilt
edged securities.
There is "a provision against Syn
dicates," in that all investments and
sales of stock must be. made in the
name OF the society.
President Morton also put through
his pet theory of EXAMINATION OF his
quarterly statements and the annual
statement by disinterested chartered
accountants.
From May 81 when the new by
laws go into effect. Vice Presidents
Tarbell and Wilson are in the power
of President Morton. He can, remove
them at will. He cannot appoint their
successors. however, unless the board
approves of their nominations.
President Morton's quarterly re-
port shows decrease OF new busi-
ness for the quarter to the amount
of nearly $1.4oO,00O. The falling of
in renewals was only s34S,000. The
total receipts are over s2,20O.00O
less than last year
The most startling difference is in
the profit and loss account, which in
fS95 was $2S3,s97 and this years
s2S,9S5. The profits which the syn
dicateing" directors allowed to the
society were credited to the profit
and loss account. This great falling
off gives some idea of the extent to
which the directors profited.
The most encouraging item in the
point of view is that which tells Of
a reduction in expenses and commits
sions of sl,056,450.
The disputed fees OF the attorneys
who conducted the Equitable's self
investigation early last year have
been settled by arbitration. William
b. Hofnblower asked for $45.OO'
and was awarded $4,000. william
IN. Cohen claimed $4,000 and get
$4,000. A. II. Joline asked for $25,
goo and receives $4,000,
The annual election of officers viii
be held May 80. There is no doub
about the reelection of Presiden
Morton. Who will succeed Janes Ha
zen Hyde as first vice president !
the puzzle. The Office OF fourth vic