Evening star., 1939-02-14
BY JOHN C. HENRY.

OF Tr1de Commission experiences
under antitrust 1aD.
BY JOHN C. HENRY.
Scrupulous efforts of Acacia Mu-
tual Life Insurance Co. of this
city to give its l26,oO0 policy holders
a voice in selection of directors of
their company were described to
the Monopoly Committee today.
Electing at least eight directors
yearly, it was explained by Samuel
z. Mooers, secretary, the company
notifies every policy-holder in No
vember of the expiration of certain
terms and of their right to nomi-
nate their own candidates. Such
nominees require only Is indorse-
ments. Mr.. Mooers said.
Said nominations are received in
January and the names of those
with sufdcient Endorsements are
placed on ballots. Ballots and
proxies then are mailed to policy
holders who have four alterna-
tives, namely, to vote in person,
to return their ballot by mail, to
designate the company president as
holder Of proxy rights, or to desig-
nate some other individual as proxy
holder.
Almost automatically, it was ex-
planned, incumbent directors are ac-
corded sufncient Endorsement for
their denomination.
Mr.. Mooers cited as an instance
Of policy holders naming their own
Candidate the choice of James E.
Collifower in 1898 and his sub
sequent election.
26,40o Ballots Cast.
With most Of the votes being cast
In the form of proxies conferring
election rights on the president Of
the company. Mr.. Mooers said there
had been "a ,339 votes in 1884, 20, ,8e4
III 1885, 26,5a7 in 1926, 270OO in 1887
and 26,400 in 1898.
Mail ballots run under 200 yearly,
he said. with very few being cast IN
person. Agents have no part IN the
elections, he explained, except as
they may exercise their own rights
as policy holders.
> Under questioning, Mr.. Mooers ex-
pressed the opinion Acacia's pro-
cedure could be applied by COM
panies having greater numbers Of
pplicy holders.
Acacia, functioning under a Fed
11al charter granted in 1863, has
~, ,OOO, 900 in assets, holds about
adj ,000, 900 insurance and does busi-
hess in "a States, the District Of Co.
lumbia and the Canal Zone.
About $4,000 Of its 126,0OO policy
holders are located in the District,
Mr.. Mooers estimated, and legal
nominations of directors have in
cMded residents from as far away
- Alabama.
- New YeFk Life Procedure.
Earlier 1T today's hearing C. Ever
Stt Judson, assistant secretary Of
the New York Life Insurance Co.,
In charge Of elections for his con-
cern, had testified eight directors
are elected yearly on 25-man
board.
j As in the case of Metropolitan, an
administration ticket is selected by
the board itself and there has been
no contest since 1906.
=. Throughout, the company abides
by New York State law, but does
not notify policy holders of the
right to nominate an independent
ticket.
Mr.. Judson submitted . list OF
votes cast each year since 1908,
showing the maximum to have been
3<S in 1891 and the lowest number
"a in 1909. In 1888, he said, 297 votes
were cast, with 318 being recorded
In 1887.
= All these votes were cast in person,
he explained, none coming in by mail
or proxy.
:, In this connection, he added, no
ballots or proxies are made avail
able to poIcyholders, although they
are printed each year.
Agents Not Used.
Eve would advise we weren't re-
uuired to send out ballots or proxies"
Mr.. Judson replied when asked what
would happen If a policyholder re-
uuested ballot or proxy.
Agents are not used in the election
machinery, Mr.. Judson testified.
Although making no estimate OF
the number Of policyholders or OF
eligible voters, the witness agreed
1t would be more than $500, 900.
Hubert S. Smith, secretary of
Mutual Life Insurance Co. Of New
York, outlined election procedure
of his company very similar to that
Of New York Life.
Contests did occur in Mutual elec-
tions in 1906, 1911 and 1918, Mr..
Smith testified. In the first two
instances administration states won,
but it was not developed just what
did happen in 1918.
Mr.. Smith explained that no COM
pany ohhcial is now alive who is
familiar with the 1913 fight.
Mutual Life has about S0O, 1000
policyholders. In 1888 only n votes
were recorded for 36 directors.