New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1906-01-25
PROXIES TURNED DOWN
BURNHAM REELECTED.
Mutual Reserve POHcyhoIders May
60 to Court.

The Mutual Reserve Life Insurance COMPANY
! held its annual meeting yesterday and carried
| through the official programme. including the re-
election Of Frederick A. Burnhar as president and
George D EldridEe as Vice presdent, with all the
other retiring officers. But the companys troubles
J have only begun, according to the policyholders
. who tried block the proceedings. Mr.. Eldridge
said after the meeting that the officers were sur
prised that there was no more opposition than de-
veloped.
john l. Jordan. attorney for many protesting
Policyhoders says he intends 10 lay the facts IN
the before District Attorney Jerome and At
torney General Mayer and ask them investigate
the company and particularly the election yester-
day In addition 70 this policyholders' association
is 10 be formed TO seek by legal means the re
trement Of the present regime in the company and
its entire reorganizatioS Steps have already been
taken in this direction.
The officials Of the company had made elaborate
preparations for the meeting yesterday. Notices Of
the meeting, which was called for the election Of
successors 10 James ". Bowhen Charles ". Camp
and W T B Mllken as directors. were sent out
more than a month ago and January i Messrs
Jones Chittenden and Page were appointed com
mittee on credentials 20 see that only the right
persons got into the meeting. The inquistion was
conducted the second floor. and all those who
passed the examination were shifted 70 a private
elevator and sent Up the fourth floor, where the
election took place.
There were hot fights, however IN the examina-
ton rooms. Mrs Mary A Bouteu. Of Brooklyn
and a paid up policy Of her husband s. and wanted
TO represent them both at the meeting. She had
her husbands proxy all right but she kept
out because she was not a poEcyhOlder herself
She made a calm and dispassonate argument. but
10 no avail and then she told the examiners what
she thought Of them and the whole company, from
President Burnham down, and when she got
through there was not much left 70 be said.
PROXIES NOT RECOGNIZED.
John Mckee Of No. lib Columbia Heights. Brook
Ign, was recognized by an employee. and before he
could make the hrst move toward registering was
told that il use. he could not attend the
meeting. Mr. Mckee said that he had an assigned
policy for $500 on which he had paid premiums for
seventeen years. The maximum premium printed
the policy he said, so, but for the last few
years he had been paying SIS. Again the bylaws
were brought into play. and II was explained to
him that he could not attend because he was only
the assignee and not the man 70 whom the policy
made out.
Then John J. Jordan appeared. He is lawyer
with Offices at No. 8 Nassau-st He represents ten
policyholders in this country CARRYING insurance 70
the amount Of $4,000 in the Mutual Reserve, and
Canadian poNcyholders with insurance Of $4,000
He presented the proxy for Aaron c. Allen, score
tary Of the State Board Of Elections and was
promptly turned down He told that the
proxy had 70 be registered in the once ten DAYS
before the date of the meeting He said that his
clients had received no notice Of the meeting but
that he had CHANGED 70 see about it in a news
story on insurance affairs, and had informed his
clients Of its approach, vhereupon thew had sent
him their proxies The inuuisitors then showed
another clause in the bylaws which said that
proxy could only be used by man who was a
policyholder, thus debarring policvholders from
being represented al the annual meetings by their
attorneys
Mr.. Jordan went away and said he would take
the case before the District Attorney and the At
torney General
The meeting was called u order by Vice Presi-
| dent Eldridge. o A Granger. a policyholder from
Georgia Immediately wanted 70 know who welded
/ the EaveL and when Informed that # was Mr.
/ Eldridse. asked II President Burnhan were not
! present Mr. Burnham was pointed out in a dark
[ corner Of the room, standing behind the others
! Mr Granger made a motion that Mr. Durham be
called 70 the chair. but Mr. Eldrtdge declared the
! motion defeated Nj Granger then demanded a
| poll and this test Of strength the reforners
were outvoted by 81 TO %
OPPOSITION IN THE MEETING
The opposition was led in the meeting by r "
/ Scharf, a trucknan at No % Fulton-st He made
a speech IN which he denounced the MANAGEMENT
n the company and the noroIiety into which II
had been brought before the public and called for
an explanation on three points Was II a solvent
/ concern We're its affairs economically managed?
Did the best interests Of the polcyholders demand
change in the personnel Of the management?
IN answer Nj Eldridge who did all the talking
for the officials said the company had made a
better showing than any Of those called before
I business
a falling OF Of only $1,000 600 in 1905 from that of
the preceding year L had written Sl4 600 600 new
insurance in 1908, he said. compared with ST.
900 600 il 1904 rs income in 1905 had been ap-
proxinateIy 100000 and 70 get this had cost
little more than 100000
The salaries paid in the New-York Offices amount
ID 10 SOS 90 the president drawing $50 week and
the vice president $50 The surplus had increased
from 81 so in 1874 S7701o in 1875 Il brought
out that there were now on the books $4,000 IN
~ ~ lriz
was a reduction Of $4,000 from year ago He
defended the management Of the company and all
It's of1ciaIs and called for vote On The direc-
tors to serve for three years.
Mr.. Schsrf entered another protest when the
directors came up for vote He wanted 70 know
why there was only ticket Permission was
given 70 the insurgents. 70 put up ticket Mr.
Scharf and DR.. h c. Sherer, Of Norwalk Conn,
/ were nominated Mr. Burnham held 1900 proxies,
and there were 81 individual The opposition
party numbered twenty-five The vote stood 14024 for
the Burnham ticket 10 = for the iusulg gents After
the directors had been elected the pocyhoders were
dsr zsed and the directors IN executive session re
! elected the old officers
Before the polcyholders left the room Dr. Sherer
/ cot a list n those who voted with the opposition
and they will form the nucleus Of a polcyholders
Organization "a throw out the present officials and
/ reorganize the company He has turned the list
over 70 Or George Z. Chapman, Of Dovers Plains,
\ Y who will consult with his lawyer IN regard
20 the proper sters 10 take Mr.. Jordan will com
raunicate with Dr. Chapman and Join IN the policy
/ holders movement
Mr.. Eldridge denied that either he or Mr. Burn
ham would resign He said the officials were sur
prtsed that there was not a bigger Tight In the
poucyho,ders' meeting. and said that the officers
/ had been prepared for greater one.
J D Wells ex-vlce-presidert Of the Mutual Re
serve through his attorney. John Jordan, made
a statement in regard 10 the charges he had fled
NTH the state Insurance Department against the