The sun. [volume] (New York [N.Y.]) 1833-1916, 1906-09-09
POLICYAOLDERS' LAST CHANCE
TF THEY CAN'T WIN NON, THEY
NEVER CAN, WRITES n. r. FOLK.
Letter From Tennessee Insurance Conn
missioner Urging Revolt From the "Or-
ganiLed Predatory Few" I'm LIfe Insur-
Ance-StartLing Revelations Promised.

hCbNCH FHUh HChlto8CC AnCN SUuh-
missioner Urging Revolt From the "Or-
EanILed Predatory Few" In Life Insur-
anc~e-StartIng Revelations Promised.
The international p~olicyholders' COM
mittee made public yesterday a letter
written by Reau F. Folk, Insurance Com
missioner Of the State Of Tennessee and q
brother Of Gov. Folk Of Missouri. 10 Col.
A. M. Shook, a member Of the international
organization. Mr.. Folk is one of several
insurance commissioners who made ar
extensive joint examination Of the New
York I lie in the latter part Of last year.
He strongly indorsee The ~policyholders'
movement. The letter says in part:
The result OF the contest between the policy
holders and the mana yemen Of these two
companies (the Mutual and New York LIFE
In my judgment is Of vital Importance and
will have a far reaching effect upon the future
policy Of these two companies. IL seems
TO ma beyond question that the interests OF
the poIicyholders lie In the defeat OF the
administration tickets.
There are questions broader and bigger
than tina Of personalities entering into the
coming election Of trustees Of the two great
mutual life insurance companies. II man for
man the administration tickets and the tickets
TO be put out by the policyholders' COM
mittee should be OF a parity. there are potent
reasons from the standpoint Of public policy
why the policyholders' tickets should be
elected.
The recent revelations as to abuse Of man
agement and waste and diversion OF policy
holders funds resulted in the passage Of the
law Of the State Of New York, making the
terms OF ONCE OF all trustees expire this year,
40 that the pollcyholders OF all mutual COM
psnies would have the opportunity 70 elect
an entire board at one time. After this only
a part of each board can be elected during any
one year. just as heretofore. II under these
circumstances and with the misdeeds OF
management fresh in the public mind the
administration tickets be returned. then it
can be said with truth that tho idea OF mu-
tuality from a mana Eerial standpoint is a
myth. Such a result would mean In each
company a self -perpetuating managerial
dynasty, which. recalling success under such
conditions as now pre:ail. could well be I'm
bued with a sense Of safety from any future
efforts on the part OF policyholders. In
brief. IL the policyholders cannot win now
they never can.
II on the other hand the tickets Of the
policyhoIders' committee should be success
full a great public lesson would be learned.
which would speak in thunder tones TO COM
ing decades-tbe lesson that p~olicyholders
when aroused will right their wrongs: the
AE1Ngh hhNe VI ~ 30 @A'N
companies If once untrue 10 their s&cr ed
trusts cannot escape retributive justice at
the hands OF the policyholders, even though
scapegoats laden with their discovered sins
be driven to the wilderness of retire.
ment. IL would be q lesson OF vast impor-
lance to ~policyhOlders and OF consequence to
the insurance business in its entirety. And
above and beyond that. II would have an i'm
Dortant bearing throughout the whole OF
the commercial system. in that u would give
confidence in themselves to the scattered
contributory many to redress wrongs in
ficted by the organized predatory few. II
wrongs at one important point OF the com;
mercial fabric can be riRhted by unit ed
effort victims in other lines can hope to find
some method OF securing relief.
For the protection and in the interests OF
the policyholders OF this and other States
hope your committee will succeed In the
election OF the policYhOlders' tickets
Great preparations are being made both
by the companies and the international COM
mittee for the real opening Of the insurance
campaign on September IS. That L. the
date ON which tho international ~organiza-
ton will file with the State Superintendent
OF Insurance Q list of It's nominees. Il In
understood that Solss Of the disclosures