New-York tribune., 1906-05-16
REASON FOR REDUCTION
NONE TO FILL V4CANCIE,S
why Number of MutuaRs Finance
Committee Was Diminished.


- the committee who feel that they can with
s-aw with perfect safety and who do not desire
% be associated with the management any
,onrer. had either resigned or signiled that they
vrould not serve longer on the. committee. No
non could be found TO take their places.
that their retirement should not cause too
much comment It was arranged. so It is said
.bat the committee should be reduced IN num-
he-. District Attorney Jerome intends TO give
considerable attention to the acts of the finance
,,muittee before the insurance grand jury gets
shrough with the Mutual Life. It is known that
Joseph H. Choate. special counsel TO the Trues-
dale committee has been going into the work
n this committee under the McCurdy manage
7nent II is also known that other suits for the
reoovery Of moneys are in contemplation against
o,ber trustees, members Of important commit
tees
President Peabody said yesterday that none Of
,be trustees had sent in his resignation from
.be hoard or had intimated that he would not
stand for reelection
Certain names have suggested themselves to
me" he added. ''as being those Of men who pos
sbly would not stand for reelection, but have
heard no suggestions from them"
There unquestionably will be end OF fric-
tton when ii comes down to the serious business
Of putting up an administration ticket. This
and each name mentioned for the ticket viii
have 10 get a majority vote Of those present.
The situation at present Is that each trustee
feels that the entire board cannot be named for
reelection without endanger1ng the chances Of
the whole ticket Each trustee wants re-elec-
ton FOR himself. a sort Of vindication. and
feels that certain other members of the board
should retire. Regarding the wisdom Of the re-
tireuent Of certain Of the trustees there is lit
tie difference Of opinion among the other mem
bers Of The board. But regarding others there
are divergent opinions which cannot fail to
cause a serious deadlock in the board.
Much interest is being taken in the compost
fion Of the various committees 10 be nominated
by President Peabody and presented by him for
ratification at the next meeting Of the board
Such men as have signihed their intention Of not
standing for reelection. and such the Pea
body administration would like to have resign.
or at least be subordinated in the management,
viii hardly be placed on any of the important
committees.
COUNSEL RETAINED BY BRITISH
Il was said yesterday that the British policy
holders. or at least that part Of them who wish
10 remain in the company and in the policy
holders association there, have retained counsel
here for the purpose of intervening in the suits
the recovery Of moneys.
Al present the suits are entirely in the hands
Of The management of the company and can be
pressed OF compromised at its pleasure Should
the British poIicyholders intervene. however,
they could force vigorous prosecution Of all the
actions
James McKeen. the new general solicitor Of
the Mutual. said yesterday that ne did not care
10 discuss the further suits that are in cOntem-
plation. Neither he nor President Peabody will
state The salary that Mr.. McKeen viii receive.
il is said. however that a great effort is to be
made 10 economic along the line of legal ex-
Tenses. This will be done by concentrating all
The Law business of the company in its regular
law department. In the old days il was the
custom 10 farm out" lot Of business For in
stance, the foreclosure of mortgages was always
placed in the hands Of outside firms. The firm
II Julien T. Davies. who has just retired as
general solicitor. used TO get great deal of this
work, and several other firms profted hand
somely by this class Of business Mr.. Choate
VIII Of course. continue as special counsel in the
work Of the Truesdale committed but just as
this work is done Mr.. McKeen will as
sumo the management of all the legal problems.
He is spending much time now in consultation
wiki AIr- Choate, 10 become thoroughly familiar
with the work already undertaken by the latter.
To show that d c. Haldeman. former British
manager Of the Mutual. VINO is leading some of
lis policyholders into the camp of the North
British and Mercantile. was formerly much op-
posed 10 twisting Emory McClintock, vice
President Of the Mutual. yesterday called atten-
ton TO letter from him. published in The Re
view Of Reviews" in April. 1902 Mr.. Hademan
referred to letter in a previous issue which
said 1t is possible TO obtain large money for
the surrender Of old policies and for nearly the
same annual premium get new insurance for the
same amount" Mr.. Haldeman, stigmatizing
twisting as most pernicous practice" said
= policy Of old standing in a good company
cannot be surrendered and a fresh one taken out
with advantage TO the insured; even in the COM
pany ia which he is already insured it could not
h done"
Both the New York Life and the Equitable are
taking precautions against the starting of a
movement among their British policyholders
similar 10 that started among the Mutual. The
Equitable has about s50000.OOO of outstanding
insurance in Great Britain and Ireland, and
President Morton has issued instructions that
nothing shall be left undone to preserve the in
terests Of the society there. An insurance man
who has oegr, studying the situation said:
When one considers that this British company
has assets Of only $65.000606 against more
than 100000. 900 of assets owned each by the
Mutual Life and The Equitable Life, il looks
like me rygmy fighting the giant. So far as the
relative strength Of the TWO companies is con
cerned, there is no comparison between them
Every British poiicyholder who surrenders his
policy IN the Mutual Life does so at personal
loss There is no question about the solVency
OF the Mutual Life
There ls question that after the Mutual
Life mas recovered from the troubles which now
beset H. he North British and Mercantile Com
pzny Viii discover that il mas aroused a danger
Gus Antagonist and that twisting by the whole
sale IS q game that TWO can play with the odds
il saY0r Of the company with the longer purse
and the greater desire for feve nge.'