The Jersey City news. (Jersey City [N.J.]) 1889-1906, 1906-10-24
SUES NEW YORK LIFE
Policy Holders Committee OBJ
jects to Directors Methods
Of Seeking Reelection.
USE OF MONEY AssAlLED.

oppeaents Of Psesent Company Admin
istration Charge Officials With Using
Policy Holders Cash In Campaign
to Retain Control - Want Facilities
For Counting Ballots.
New York Oct. a4-The first steps
to check the campaign trickery tc
which, 1t is alleged, the New York Life
has resorted in an endeavor to elect
its administration ticket for trustees
We're taken when the international Pol
Ley Holders committee, through Sam
uel Untermyer, its general counsel, OBJ
tanned an order from Justice Bischoff
( IN the supreme court requiring the
company and directors to show cause
why an injunction should not be grant
ed restraining the defendants from
carrying on the campaign at the ex-
pense Of the policy holders. Next Fri
day is the day set for answer.
Stephen Farrelly, general manager of
the American News company, sued in
behalf Of himself and all other policy
holders .'te restrain waste and diver
sion Of the company's funds and to
compel the directors to account for the
large amounts they have already ex-
pended in carrying on their campaign"
The charges are sweeping, covering
practically all the accusations of vio-
lation of the laws that have been made
q cr ~ ftA IN %f,o
all of which have been denied by the
officials of the company. 1t is said
criminal proceedings to correct the al
legged abuses may follow.
Directors Criticised.
''The plaintiff alleges" says the COM
plant, ION information and belief that
prior to Oct. 49, 1906. the individual de-
PENDANTS, in violation of their duty as
directors, caused to be prepared and
printed, to the number of upward of
880,000, ballots in all respect similar
to the official ballots and return en-l
yelopes and caused such ballots and
return envelopes to be ssnt to the com
pany's agency direeters several days
prior to Oct. Is, 1906, with instructions
to place on each ballot the naEnbeF of
policy held by one of the eonlpany's
policy holders ara TO mark each ba1gsk
By obliterating the Rames Of sse aandi-
dates on tie international conniftes
ticket"
The complaint charges instructions
were given that this work be dene By
the Office force of the agency directors
and that the ballots be distributed
among the subagents employed by the
agency directors to obtain stae egecn-
ton Of the mutiiated ballots by policy
holders in advance of the receipt by
them Of the official ballot
Say Company Bears Expense.
1t is charged that the printing of the
ballots and envelopes was done by the
defendant corporation and that the re-
turn envelopes for the mutilated bal
lots were sent ont from the home Of
ace bearing stamps placed lengthwise
on them, SO that when returned they
might be distinguished from Official re-
turn envelopes containing ballots from
policy holders whose attitude toward
the administration was unknown. The
complaint asserts that agency directors
and subagents carried out their in
structions and that the entire expense
had been paid by the defendant corpe-
ration
Untermyer sent a request to Superin-
tendent Kelsey of the state insurance
department that he provide for the in
ternational committee facilities for
learning the number of official ballots
returned to the Office of the New York
Life and Mutual Life from time to
time in the voting period. which infor-
nation, he said, was accessible to the
companies