New-York tribune., 1911-04-22
MAN'S INFLUENCE IN
EQUITABLE IS TENUOUS
]. P. Morgan May Name New
Directors at Annual Meeting
and Change Officials.
TO DEFER NATURALIZATION
LEGISLATURE Will Get Necessary
Bills, but Other Steps Will
Wait Upon New Manage
ment of Society.

?. the influence Of Thomas r. Ryan
mas effective IN the election OF w. A.
nav as president Of the Equitable Life
Assurance Society on Thursday, observ-
e-s in Wall Street say that he is far from
securely seated in the saddle. The plans
q, J. P Morgan to undo the work OF
,he directors meeting on Thursday are
said 10 be already made. and the
fortuitous circumstance Of the death OF
Paul Morton. so cleverly taken advan-
,ace of. will not be allowed to end Mr..
Norgan's project for the naturalization
~ the Equitable and its permanent re-
moval as a factor in Wall Street affairs.
revolution in the official personnel
~ the society is one Of the promises of
the near future. Mr.. Days tenure of
his Office as president is likely TO be for
onlv a single term. while many OF the
other officials Will give UP with him
nlaces that have been held "for life OF
during good behavior"
T, is probable that the realization of
the naturalization plans that had been
~ be deferred until after Mr.. Morgan
has placed the management Of the So
cietv on a basis satisfactory TO him. In
the meantime, however. all the details
will be worked out, and the necessary
hills will be presented TO the Legislature
st Albany so that naturalization can be
eccorplished as soon os the official per-
sonnel is arranged
A -ealigrment OF the board Of directors
81 the next annual election in Decem-
her is the essential features OF the
mans There are now nine va
cancies on the board. and with the cleo
,iop of thirteen others TO fill the places
=, directors whose terms Will expire at
that tiInes Mr.. Morgan will have twenty
TWO of hfs own representatives on the
hoard Gage F. Tarbell, Eugenius II.
ogterbridge and Charles E. Littlefeld
voted against the election OF Mr.. Day on
thursday, and they are counted on to
vote with the Morgan forces at the next
annual election Of officers.
That gives a total OF twenty-five d.
"A
seven other directors were opposed 10
Mr. Dav but did not cast their votes
against him. as he had clear majority
Of those present At the December meet
ing they are counted on as Morgan ad-
h.rents. and he will thus have not less
than thirty-two members Of the full
board Of ifty-two directors. FIVE more
than q majority. and Will be able to elect
officers of his own selection.
Morosn Men Likely To Be Chosen.
Seven of the thirteen directors TO be
elected in December are policyholders
representatives. while six are representa-
tivAs Of the stockholders. Mr.. Morgan
holds the control Of the stock. and the
general agents of the society. who con-
trol TO great extent the votes Of the
policvholders. are for Mr.. Morgan ana
naturalization. and will do everything in
their power n have the policyholders
elect directors favora BILE to Mr.. Morgan's
plans.
The general agents were strongly op-
posed 10 the election Of Mr.. Day. and
used every argument i'm their power 10
prevent the Office of president being
filed before naturalization was accom-
plished In the last FIVE years the
Equitable has gone down from first place
IN the order Of companies writing new
business 10 fourteenth. The agents find
themselves everywhere confronted with
the argument that the Equitable is
stock company. while the other big COM
panies are mutuals. and the agents have
heen demanding naturalization since
1905. For this reason they are on the
side Of Mr.. Morgan and will lend all their
efforts 70 his success.
Mr. Day was elected for a year. but the
terms Of the other officers expire in De
cemher. Their places will be filled by
new men in Decem Der. and Mr.. Day Will
then find himself alone in the manage
ment Of the society. II the situation
does not force his resignation he will
have only four months more to serve.
but II is believed that he will resign and
permit the choosing OF new president
al the annual election. IN December.
naturalization will then be speedily put
into effect
II was learned yesterday that the de-
tails of the naturalization scheme had
been agreed upon in March. They pro-
vded for the purchase OF the stock from
the holders at cost TO them with interest,
exclusive Of the dividends paid by the
company. This was agreed by al con-
cerned in the negotiations as beirg fair
both 10 the stockholders and the society.
would not mean paying an exorbitant
Price for stock that had cost the holder
s1O or $500 share. nor would it scale
down the price TO holder who had paid
several thousand dollars a share.
That Mr Morgan had agreed 10 these
terms and had not set $1,000 share as
ne price for his stock. as stated by
Thomas sprstt. is shown by the follow
ing statement from Lewis Cass Ledyard,
one OF the voting trustees:
don't know what Mr.. Morgan paid
'or his stock. / have understood that he
took IL over from Mr. RYAN at the price
which II had cost the latter, with in
'erest The only communication which
ne trustees had from Mr.. Morgan on
The subject OF price was that he would
Do glad 70 cooperate in any plan for
naturalization which would be salts
factory 20 directors. policyholders, the