| Show EQUITABLE LIFE SUED O DY YORK ORI Action Brought rou hl on Behalf of cr vie pie of the st und In the Interest DIRECTORS MUST ACCOUNT Complaint Clunks ThaI Thit Defendants Wrong ron lul hit Acts ct to 10 he be Done New NCI ew York Vork Jul SI An action wn b by Atty M r Mayer IA yet In the court of t Ne New York county In n the of f the ople of ot the lit lit of or j Nt YOlk the this II ltd anti ami of or t the Iho ami t nil tH of It which ar are named Mined In Iii the tho com coin S DIWI The fhe lIt am 1110 the Ito O of or th tho and W V I 11 LouIs S J IX u i top w Henry C J 4 N I 31 JI I Ii trIo in J JI hl ii 4 Churles ht f P I P tI Ir I iV iw II 1 lC ll f 1 Mci noh H ii I I Ludy id Urit 1 Ivl I ic H I It II Hyde Ihle J 1 JUO II If J 1111 ft rr iri Al M Jon Antor Actor C t II Ill e E E C II Marvin ti I Charles harIe B 11 A ii Th am amlie n lie I DI Witt VItt Miu I Hartley a Jute Jore I F K I Ie Ih ro I 1 P A Stew Slew iut rd I H I I I P Mor 1011 t O 0 1 T 2 Lincoln J 1 John George e r T lIeou Thorn Thom H IM T I William II Henry W V Alexander Henry C Fric M I 1111 tOil Henry C e trek click Das David Id II U ond Henry 11 It A weck PK Ill igo before tin the were oro completed II U on Ull the thc eo eve of ot hi till ide di i for Cor or J pan ti n of or thu Ihl lii III In the e n nl t lou t today ItY ninny lOftilY ot t t Ot other do ten dant e h h ti Jo ine til Ut Hyde Hyds were their irl ilo coun l ore ID O from lilt III i time lIme o of tier ner Alco to tile lie their THE COMPLAINT The rile complaint ph i I t tit hii ll t 1 sections ti oIls 33 i of oC r la to thu Trick Frick import mid the tile II I by SUIt Hupt of nr It JH N im oil I ii Ion ami be bellot lot II nil tty hui ell Meyer In hIs to the thu 1 ourt th the nt lion brought mi 1111 of ut tho the people leode lc of lit thu Ihl tute i of Nel Neut York ork In the tho public to the of cut li hwy H II ilu n Hie thiu defendant each oC ot them other othor Ih tilL the I he i Life of ot th United Recount for their I In III thi th tilt und ciul of ot the tho funds and torn coin to th their lr charge That the Iho Individual I nil I defend and oid cacti of tit them hi be III to toIny Iny the the 11 Life ur society liny uny ana iund the tha I o of ot n oily any y property rt which the they or 01 orn orny to 10 them n ny iy of them hue huc r Ies or to 10 others or lo loch l lion of oC the duties III nr r wanted b by a n viola violation defendant or III defend now nul director or directors or ur ir Pc In the thu upon proof ot of i misconduCt b ue be munch that a II 14 lie I e held bold by hy the tM board loard l ot of the tho defendant middy purely author authorized Zeh hed to hold hohl caine In order older to 10 supply HuppI th Ih thu thua the Hie vacancy or vacancies by a the tho net lIet of ot do ell ll cu after ji Jl s ur id nt amount to rover cover nil alt be lie paid to OP Dich R and o to or applied for or the time benefit or of orI tl hr In I In lii with the l and with the law the tho plaintiff have other further relief an ilK may be Just l lt and m Im Tho Iho complaint that t the he disregardIng r duty ty to 10 th lh the society nf or which they thues uro directors neglIgently Improperly unil 11 i ich and base III and done or lo to b be e done wrongful rill Improper whereof th thu thim pod pt t linn hue suffered treat great JOI nn and 1 damns The Ih I Individual a ii R II ua I h oh e n nr rp ro fur further ther II a with lIt a to fl or I or Inbe lo to lobe tobe be to In III violation of oC thuIr mooney money proK the value of or property to tu time the If dp rl I III II II t Section 10 of tit time the with time the louse lease of In New York to 10 the Safe HotI Deposit com coin PUll pan till the rental of which hu IH cI ed to tohmo hmo hao bc n and nih the terms ernie nf ot the thio INHO ii emithy to 10 the disadvantage of or the tile 1 furthermore that Jamnie 11 H Hyde Janice Jamen W ilex lex II under E Fl and other othor de were In the Mercantile tile Safe o lt company and thereby derived a I profit In III violation ot or their duty dilly to 10 the tho Equitable society s STOCK to the tho I purchase of or the hmo cap ip lock ot or the tho Bate IntI Deposit r for fr r which time the paid WO UGO for or liar pur value tho the day elev eleventh erith section of ur the complaint that the tho I but 1 a nom nominal hid inal i cut Int iK for or the Iii occupied h by bythe bythe the deposit thoU that at lit tho the time of ur the stock chock 1410 shares out of ur a II t total of or 2000 were owned 1 tJ bi bu biJ J nines H 11 H ie and the remainder I II I t of oC I the lie I Individual ild ii some come of oC were In the tIme 1111 ai and In the time I that at lit tho the time ot oC tho the PU rc hum v the Ihl en safe earl te do t company hind had no mw 10 I ho tim lease good w Will 11 of oC the Iha b by virtue of oC the tho Ione The rhe matter maLter of or loans to which were ere ii lined to 10 the Commercial Trust company ot of Philadelphia In Is set forth foith time the charge being boing made that for Cor tho the money advanced on Oil such assignments C G per Jer cent Interest was 1111 paid while shIlo the trust company at the tho same time held large sums ot Of tint thu monc moncor mooney money for or which It ll paid but 3 per cent Inter IntereSt Interest est esl to 10 the In III ISn of uC the Western National bank of or the Ihl city o of New ew York In which the tho g society wn woe was the owner of or shares with the National II hank II Ilk ot of the United of or New York the complaint the society I no In III cash 0 ii ii iHO I HO 4 0 In stock o of f tho the Id itt eu bank In for far each MOO par parMillie Millie of or thu the stock h In Iii th tho Western Na Nn National bank mouthing making the total amount received 1210 UIO for or each share the mar market hot ket mille of tut which nt tho the time from Crom OO to 62 per hare i iA A schedule ot or thu tho salaries paid dur I hue time the last few von to the tho principal of ur thu tIll society Is III appended cd to tot t the hue tub I ut which hm trim declares such mien salaries to 10 have been largely In III excess of ur the value of or the services of oC th time the per pcr 1 soils 1111 It t that hill the of oC such rh I salaries resulted In him substantial loss to tIn society odet It U is also nho charged that Ihal In addition to th the salaries reformed t to 10 0 I the hit I 1 Individual mud hid V III an defendant an i em POd member of committees trustees 8 or permitted tho tIme su society lety to pay to many of or the thu above I an und ml directors and lo u others large an i sums as ns Incurred b by such perron In III Inthe Inthe the service of ur the time society and suld sums Ruins were paid without vouchers without proper proof of oft t their hid r mm and imd w without it I It II t bed being mug pro properly shun a mm that tim the e smi wild Multi Id ut defend defendant Rill nut society In him any way IY by hy Much or was ails legally or properly chargeable therewith IA PAY Y The rho nl alco 1110 o flout the d cau 1 th tho defendant society and 1 n it number of oC other societies and corporations In 1 the defendant society was largely a It stockholder tier a und In III w I h 1 Mine latin Ut lr sold mild Individual defendants were werl also to my iY lIlT largo large sums of ot money to 10 or In to some come of or their number mid to tn other l persons CIllO 11 11 under the guise of oC salaries nod fees reea for Cor attending to tm their duties III illS n as 11 and Ant und of committee o of nr alit and of tiC sc several other code tics n and amid 1111 corporations B mention In III of oC the re to receipts reo e by hy Mr Hyde of ot calorIes RII rl annually from tIme the able Mercantile and Trust In III all elI or of which the Life Ift he Interested Allegation Is hi also nl o mot mimetic of or the time p y of ot Illegal and tumid 1 e et s I lve pensions loM to tn p person and 1111 of time the of lIr Improper aol and muted Hums to various and anti th the II aggi RI amount of or which far exceeded eded and was entirely t to tho time ser cr vices 10 LOAN TO W COMPANY Of or the time loon loan to the Depew Improve muni the time charges That fliRt th the defendants Improperly 11 lin un providently mind and red the tIme defendant 1 society to lu loon loan the limo th lIum coin of or to the lit COmI 1 n it In III the tIme stile of ot New NewYork NewYork York orle I In n pm t the ImP do defendant y M I II und others othere of it time the individual defendant were HIre I r IC which loan of ur U OW Wila imide upon security Iud anti bli h said Mid loan wu WiLl ul In lii by time the In de dt of oC the time at state t le of or New York atthe attile at nt tile the sum of or That Mid Depew e ew torn COUl pany It II ill I the Ihu secured wild loan bait muus nil bid hili In III U ut at t foreclosure sale le te tom foi 01 about I thereby In him a 11 great greot amid una loss ot of the time of time till defendant society That the lime decil for Cor unlit 1111 jno 1110 pelt WO was not recorded by hy said defend defendant Rill ant society until about Jan I 12 IM 1903 that In III the time meantime proceedings lI ware taken to cull collect t I tilt the judgment fur Cur or the und tIme tho muni u mil IIII lies bus cv over CHI er ci since mice remit title due and amid mm unpaid ml lull Iti That salt raid und and others of oC the I Individual I I do ula mm mu greed agreed my with th time thu society that they Ihy would save mi M defendant ocl y from loss 1088 hy by of ot sold loan If Ir said so MU society would refrain from Crom I deed and rimmi fi omit said suld judgment Hint sold said society lId did ill HOIl so HO Il I II but wild have neg h let lcd a and refused t to 0 1111 pay lIlLY I tho Iho amount t of or ohl losses wild society hud KO so suf tor d MANIPULATION MAN OF It IM flirt further her bulged that time the dc do h mu y iou iii ami it a 1 I ly I tt etI t the lie d defendant mm it for tor n a number of ut past t to keep during he time whole hole of each year yea r iuie mm ry and Ii un i iu u d sunn of or money on deposit with u I I It time the National at I Hank of uC Commerce New Nell York the Mercantile Trust coma coin om puny New Ness o York tile the 1 Trust company New Neu York Trim and at 01 11 least 1 H 11 ot other her banks a t must Co II nl emu ell In volume route or nil all of or If which time the Individual do tie or 80 some I of or them were stork holders directors or ll w Sure re del nt mit of or Instead of ut investing I them I In III mm ja o item mu and ii ii mote moore t Ie of m t I nt lIt o nil i d wild defendant wul ty regularly for rol 1 u a number of or Years IJa past II I to conceal title thU tint fart tumid md pulley policy M of tho timo In thor thereto lu luby by hi on Oil 1 ii 2 27 I to tov oJ loaning ap on collateral se AI security mm nt y uv which Sit said huh iou loans mis Ima have Vt been IWIn 11 reg mm iii t I y railed mu I loth I In III n on out Jan 3 or Jan fi 6 a and t HIP ii t Cu funds mm mis I tel I In mm I three hm rico depo l tories from which time they lund had been toni tem temporal lly withdrawn for this purpose After Arter i pelting reciting that the hn has imas Ii nt itt t the time cud end of or ouch year caused 11 IL hal bal balance n ance II to be III struck purporting to 10 show I tilt Hit hit net hot during the time pro pre preceding LedI ceding mm g yell yetti ear I t th till I is i n t declares tim thul at atthe th the defendants have Imae failed to tm divide among the flue nil an equitable ulnae of or tho time net mist surplus nt at the time expiration thou lion of oC each Illch live lIe you is as provided by bythe time the charter The con com t I miti Plaintiff further alleges that time the timeto to rules lee and m I ego III hum thou m adopted n and amid here hore e net acted ed U upon by lIy tIm till the defendant Madel so Ma soi i del thet lety y and amid It Its H with tile the a approval und consent lIt of uC time the d director for far time the of or time tho equitable suture share of or tho timo surplus title due to lo each policy policyholder holder lint anti and ore are Incorrect Illegal ml und mm ml i Improper imm lint t that hint of oC tim Urn thA mu surplus us now hell held or purporting to be he held hlll by bythe time the defendant society us aim shown II by Its lis a mu Hum approximating 10 Is Ic held by time the society Orlet In which said eald sum sum time the present In lit violation of or time the law tho limo c priM of or the time chatter Intro have no In under sold rules regulations Ann MILLIONS That hunt the defendant society and the time Individual vi I defendants is u is ii and amid ii di dl directors I rectors thereof hold held mind and reported In lit tim Ih reports to the time tux tax commissioners of ut tutu IliA city It of oC New ems York that time the en entire entire entire tire surplus belonged to time the policy policyholder hO holder That time the present of the defendant Society ue Lii entitled to 10 time tho thov v hole of or Iha lIt hot surplus of or time the Society mutter after deducting n a mu amount it t I to 0 cov ir r a nil all Ii on out Handing u a rIsks links mm ml ii cm other t her obligations bl I In mm accordance with the tIme charter and arc aie entitled to tn an nil e share of oC suld net surplus credited to or paid to or ot applied ap imp plied for COl or the benefit of or each policy policyholder holder In imm accordance with the time charter ml with lIh lay law |
