The news-democrat. (Providence, R.I.) 1906-1909, 1906-11-09
'RAUD CHARGE
I. MADE AGAINST
NEW YORK LIFE

New York. Nov. 9--Justice Dowling, In
he New York supreme court yesterday.
oard arguments OF counsel for the inter-
|ational policyholders' committee and the
New York Life Insurance company In an
attempt by polcyholder 10 prevent the
trustees OF the company from expending
is funds In conducting a campaign TO
Flect the administration ticket OF trus-
stephen Farrelly of this city was the
policyholder who applied to the courts for
sn injunction 10 restrain an alleged
waste OF the companys funds and an ac-
counting OF the funds already alleged TO
have been expended I'm the campaign. The
following trustees of the company are
named as defendants:
John Clafin, James II. Eckeis. julius
Fleischman. Ewald Fleitmann, Thomas
i. Fowler, woodbury. Langdon, Robert J.
Lowry Clarence II. Mackay, Seth M.
Mortimer, Alexander T.. Orr August G..
Paine, William X. Plunkett. Anton A.
Raven. John Reid, Fleming H. Revell.
Elbridge c. Snow Hiram X. Steele and
It is alleged in the complaint that the
defendants caused 70 be printed 10000
ballots similar 10 the official ballot.
placed them In return envelopes and sent
| them 10 the agents of the company with
| Instructions 10 place on each ballot the
| number of proxy and 10 cross of the
names of the candidates OF the interna-
| tional committees ticket. II Is charged
that this was done 10 secure the return
OF ballots In advance of the issue of the
| official ballot: that the postage stamps
| were so placed as 20 Identify the envel-
opes when returned to the company. and
that advances of many thousands OF dol
lars were made 10 tho agents 10 compen-
safe them for their efforts TO elect the
administration ticket.
UNTERMYER'S CHARGE.
| Samuel Untermyer, counsel for the IN
ternational policyholders' committee, app
peared IN court yesterday with Mr.. Far
reilly. He said that the trustees of the
New York Life were taking advantage
OF loophOles In the new insurance laws 10
defeat the object for which tho law was
passed.
The defendants. he said. carefully omit
ted 10 say that the ticket not scratched
was that OF tho administration. lie
charged that tho work of uanscriDing
the number OF the policies was done ~
officials Of tho company at the expense
OF policyholders. and that II was done 10
steal the election. Mr.. Untermyer dis
nlayed % of the ballots of which he com
planned and said that tens of thousands
Of policyholders had appealed TO the com
mittee 10 ask the court TO prevent a ms
use OF their funds lie averred that the
printing and mailing of the tickets was
paid for out OF the companys funds.
'It As an outrage" Mr.. Untermyer said,
ito have the whole office force OF this
company turned into an electioneering
apparatus, and 10 have the force knock
ing down and violating the only provision
I'm tho law preventing the stuffing OF the
ballot boxes We arc told this proceed
ing was an individual enterprise, but
We allege that 1t emanated from the
company's headquarters and that the
agents in sending out their tickets of
election were merely registering the will
of the administration and carrying IL
out because they wero threatened with
dismissal Never until the crack OF DOOM
will there be "A change i'm the admin
istration OF these companies II this sort
OF performance is 10 be tolerated.
NINTOSH MAKES DENIAL
lanes H. Mcintosh attorney TO the
New York Life Insurance company said
the electoneering campaign was perfec-
ly fair. The agents informed each policy
holder that there wero two tickets In
the field and asked him TO vote the ad-
ministration ticket and that the letter
was sent at the expense OF the agent.
lie denied that the companys OFFICES
staff issued the letters.
Mr.. Mcintosh then submitted affidavits
from President \. r.. Orr. and Vice
President Kingley denying that the d.
rectors had interfered I'm any way with
tho election of a ticket by the policy
holders.
The affidavit of Mr. Kingsley admitted
that 100000 official tickets and return
envelopes had been printed and for
wardcd 10 the company's agents, but
merely for the use of such polcyholders
as might desire 1t and TO facilitate vot-
ing.
An affidavit from the comptroller of
New York, from which the counsel read
extracts declared that no portion of the
expenses of sending out the tickets and
envelopes complained OF was borne by
the company.
Agency Inspector Dussell In an affi-
davit said he had spent between $500 and
$500 in endeavoring TO get the admins
tration ticket elected, but it was out OF
his own pocket.
Tho affidavits of the cashiers I'm the
different offices throughout the country
were next submitted. They said they
were all working in support of the adj
ninistration ticket becasse they believed
I'm IL. and that no moneys had been paid
out by them for the purpose OF con-
Quoting the election campaign.
Seventy-hve affidavits from agents fol-
lowed One OF them contained a letter
from the superintendent OF insurance. In
which he said that any official OF the
company had the right TO assist in the
election of his friends, providing he did
not do so during business hours and did
not expend money OF the company in
such work.
An adjournment was taken until today.
MUTUAL RESERVE CASES.
District Attorney Jerome asked Justice
Greenbaum of tho supreme court TO fix a
date for the trial of Frederick A. Burn
ham. president Of the Mutual Reserve Life
Insurance company; his brother George
B,mnham and George Eldridge vice-presi-
ident Of the company who have been in
dicted on charges OF forgery and grand
larceny
Mr.. Jerome said that he hoped 10 pro-
ceed with the insurance cases In few
weeks. Assistant District Attorney Mott
will conduct the cases.