New-York tribune., 1906-06-29
MUTUAL OUT OF FRANCE
OTHERS MAY FOLLOW III.
Conlpli0nce scith Lac WOuld Cause
Loss to PoLcyholders.

Rather than comply with the new law of that
country the Mutual Life Insurance Company has
decided to withdraw from business in France The
New York Life and other companies are eApe0'eo
10 follow its example.
-a law in question requires French life insurance
companies 70 deposit in French securities the amount
NJ the ,ecsl reserve all policies in tnat couh-
try As these securities would bring in onl: about
6 rer cen. interest while American securities held
nv the Mutual Life produce an income averaging
a.. Der cent TO comply with the law would cause a
considerable loss TO the company, which means. Of
course. the policyholders
II Was "a prevent the passage of such law that
the famous Cambon dinner given by James
Fazen Hyde. After the law was passed. about a
-ear ago. tho American companies began 10 hsht H.
Apparently there WAS some chance of success until
che present ministry came into power Then II was
decided that the law should be retroactive and II
was promulgated about week or ten days ago.
The action of the Mutual Life taken after
the company was advised by Nice-President Nc
Clintock who to France with the hope of
having the law modified. that there was no chance
of receiving any more favorable terms. This COM
pany has about s70ccoo0o Of insurance outstanding
IN France, which il would nave had TO de-
post between s5ogOoo0 and S20elooo in French Sc
cur1ties Speaking of this the other day President
Pesbodv said he did not believe the company could
legally make a preferred class of the French
poioyholders at the expense Of the others. he
added that il the company decided not 10 write any
new business IN France. he did not think the gov
u
old policies II the company should be prevented
from collecting the premiums on old business the
rolicies would lapse entailing loss TO the policy
holders.
Paul L. Baudry, the director general for France,
has between four hundred and five hundred agents
under him The company will probably retain an
office in Paris and other large cities in the country
10 take care Of the old policies
Woe President Kingsley. of the New York Life.
which is seriously considering Withdrawing from
France. said the other day that 10 take this st
would practically mean a withdrawal from Europe
The European headquarters OF that company are ii
The amount Of reserve the Equitable would have
sv to hoa p5 9 be about I m e Su The Company ow
considerable real estate in France and would not
The report Of the Truesdale investigating com
nittee presented TO the trustees OF the Mutual Lie
Wednesday. Will be made public tonight The
latest economy Of the present management OF Ole
Mutual IN an effort 10 atone for the eHtrayagances
of the McCurdy administration, is cutting or the
.-ere are fy,ert,foyr OF these men at So a month
who formerly got weeks vacation. wtth wages,
each year II IS figured that the COMPANY may save
about 500 toward restoration of the h4ndreds Of
thousands Of dollars that went TO Andy Fields's
yellow dog funds. The order doing away with
the vacations and another, requiring the elevator
men "a keep on their caps when on duty no matter
how hot the weather. have caused much dlscontent.
Some OF the men were talking about strike yes
samuel Unter4nyer counsel for the international
PoIcyholders' Committee: replied 70 James H Nc
Intosh general solicitor of the New York Life. yes
terdsy. saying that he thought his tMr Inter
myers request for copy Of the pocyholders lists
within both the spirit and letter Of the law,
which contemplate that the policyholders should
have the opportunity or communicating with one
another without delay or obstruction on the part
OF the companies. Mr Mcintosh had said that his
spirit og the law" which was to file the lists as
IT rsr7ains "a he seen M I-ntermyer added
whether the existing mana cement. in denying the
rsona6e reggest maze @ upon H. mas as aot 9ed nna tbs
efforts Of the policyholders 10 dslodge it