The sun., 1910-05-03
EQUITABLE PAYS HYDE CLAIM
saO.JDOO CONFIRMATION TO
END OLD ACTION.
ss,i, BrOuEht Against DRectors IN IOOS
settled by Agreement. HsichkAas and
s'taiIsy Coneurriag -Canesllatlon
Of I've Surety &c. Leases obtained.

ALBANT May 1.-State Superintendent
A Insurance William HOtchkiss and At
,ornsy- General Edward r. O'Mallsy an
,ouncsd to-day that tho action brought
a 1875 against certain diroctors Of the
gau,a5ls for waste Of the resources u
As srciety has been settled. Il vas also
sven out that an Agreemsnt between the
uristy and the interests adverse to II
sss been reached
n recognition Of its obligations on the
U-talled Turner leans the Equitable will
~ s. 5000. for which IL ls 70 receive
. bonds and securities certificates repre-
sating lands in Colorado and Kentucky
sSppcsed to he worth at least that sum
For the release 10 IL Of the Mercantile
SIC Deposit Company's lease on the
Equitable Building al i2o Broadway. New
Tors, Tho Equitable 10 70 pay 81 ,OSO. .Oo0
Ths real estate department Of the society
ssumates such release will increase the
ulus n the sOoiety'S building 70 the
oeiety By s1.OOO.OOO.
The Equitable likewise PAYS t27s OOO TO
~ Securities safe Deposit Company %
Roston for the release Oi the latter COM
pany lease 90 the Boston building Of the
Eauahle This release 10 estimated 70
% vCfth 70 the Equitable $3.50 OOO.
These leases 20 the safe deposit COM
panies had 100 years TO run. BY the
Agreements approved to-day all the Law
suits 10 which the Equitable vas con
csrned are wiped out.
The setilement was Effected by a special
committee of directors. The details Of IL
rave been before the Attorney General
and the Superintendent Of Insurance for
sOns tune. Il has the approval Of both.
ne directors who conducted the ne
sOustions and investi gated all the matters
connected with the settlement are Thomas
spra,' oF OEdensburg. J. Edward Swar :
Tror II New IOrS Charles n Zehnder.
i,rmerly Of Phila5elphia, now Of New
Icrs and " 4. nay Of council to the
soc,etv THIS committee tas heen a.
work Tor uore than tvO years lie
report was Corsi ferNt hv Deputy A..
ur-sv-Cie.ersl EDWARD \ I.tci worth.
Alfrei HuTrell counsel 10 the I-surarce
Dersrtmert. ana Nelson r HALEY. chief
sEan. ner of lie companies. Who ~ a
sr.t,en memorandum % fh" Attorney
General and tho supeF,rtrr Hent of lr.
sgfarce says
a..s..asN.aH l.
neD' will end costly ard trout lesome
E'igatiou. much n which would result
unfayorahly 70 tho nociCtv. allows the
ErIpty 20 iprrove its huiliirFa IN Nsw
York and Bcston and tl':s take aiva 'ace
oi the stead " irO reasinr yalUes ~ this
real estate. al without crNt - tNe socrefy
and at the Sainr tim" puts 90 %, position
o. probably gain millions Nv reason ri
tre realIusimeut there ran O.. hrt on,
conclusion. and thar IS tfst Official a.,
proval shond 10 gIver - tf- rett lrsn.,1t
ard the same corEumUatnt NJ orcc
WHEN tho question ~ D" junction 10
the case of HYDE vs. thr Egp'a ur'
decided Nv Judgc BIs-hoT the law govern
ng ,he case was Sat forth. Which prao
really charged tfe '-frr 0ar' WITH ~,
Tprrer loan haiil.tv Of over s1OoO OCn
%. stsiyts ot Iuitltiors FaI aha 9,
-I Ir AyaUst the directors who pa cut
..,oiy fastened or rhr ~. "'y The hru
,r.1ur losses when th- a ton va,
..,rnc1oei by the Stat"
Ih"-e 10 no eNcap" from them. ani s
o.. are time no Affirmative rrl.rf agaIs'
'., Vho cause them ",H low D." Oi
prsl. This heing 80. tho zane coUrt
o. rsrp IL 70 Kermit Tive society 90 "Sao'
''.s rottleu'ent. whereby hose ljlhilitie,
nsr avoids,i. a-d pract .rally accomui.s %
s|'.rt could be Rainr'i % to- s'iii ~ a.,
s't.c 2 u were niaintairahl"
pier all - inc tact. a1d cir-ur
nar.as ve therefore reconmcli 20 rr'
r'0rr ey- General The disconturl-c" o
20. sr.' q the People - 'tg stat" o. Nv
FORK agsirst tire Equitable - a. ani 2,
30 y Ir"rinien5ert of lusurRrcc that h.'
',T-1yaI 10 kiven 20 the PROPOSED set L.
ra' as outlined
'rron was begun In ipDS bv Attorney
lsr rsI Mayer against m" directors o
'fs isg,table for an accounting ~ all th'
r--r'-ties or moneys alleged 20 have heeI
,,' 10 the company through the nal
FassrCe OF nsgfRencs of tho direction
previous 70 the Insurance. Investigation
here wsrs forty-nine defendants. bu
'ssv all demurred on the ground that a.
rary different oauses of action wsr'
.,rsd
T,s courts upheld the dsmurrsrs y
'mT'y-fwo defendants on the ground tina
ts 4'rorney General had ~ show tha
40 safsndEnts were both OfioerD Gn'
-rss'0-' n the company A 20 thos'
w. psrs both ofiCsrs and directors M
r.r's ruled that many allegations di'
O. rare Cautes % action
in 70s he Equitable appointed q spec'a
''mn Zee Of directors 10 deal with th'
''r''vs claims against former director
s-1 're present settlement is the resul
'rs V0rk Of that committee. In th'
rr.g.ors 4 The negotiations II was sais
'ra' rs willingness II James Harm Hyd'
o. maze restitution 20 the society bad ~
-.'ai 10 an agreement by him tha
20 result in tho revocation Og IN
-r lr' geoJs ieases held by the Hyd'
1t'' 1"pusi' 0ompan,es. tho Mercantile Il
Nss Work and ths Security in Boston. NJ
f4H 'rle btildings IN each citv.
'-a Iu-rter loan was the outcome o.
.' tuitDls venture ~ acquiring th'
Western National Rank IN i0Oi Ih'
..s had the hank loan money 20 JOhr
..Hg and others vho we're engages
f-.s Rotations. and the Comptrolle
.i hat tho loans Impaired the hank
..... Rather than levy m ass"ssDen
. ..asn good the impa -ne1t the Eqm