Verhovayak Lapja, 1951 (34. évfolyam, 1-12. szám)

1951 / Verhovay Journal

May is, 1951____________________________________Verhovay Journal----------------------------------------------------------------PAG

Minutes of the Board of Directors’ Meeting

MINUTES taken at the meeting- of the Board of Directors of the Verhovay Fr aternal Insurance Association held on Monday, April 2, 1951, and the following days, in the Verhovay Building, Pittsburgh, Pennsylvania.

Present are: Julius Macker, Chairman of the Board, Vice-President, Andrew Kovács, M.D., Vice-President, Aloysius C. Falussy, Henry Gross, Joseph Turner, Stephen Nyers, Coioman Kolozsvary, Joseph S. Taylor, Richard Phillips, John A. Hornyak, Michael Korossy, Louis Vizi, Directors; John Bencze, National President, Coioman Revesz, National Secretary, John Szalanczy, National Treasurer, John Sabo, National Auditor and Henry Rettmann Field Manager. Director Stephen Lang informed the Board that due to matters beyond his control he could participate in the deliberations of the Board only1 beginning Wednesday morning. Also present were at certain sessions of the meeting Alexander Nyirati, Gaspar Papp, William C. Kohut. members of the Auditing Committee, Stephen Matassy, Legal Counsel, Samuel Gomory, M.D., Chief Medical Adviser and Charles E. Keene, Actuary.

1. ) National President John Bencze calls the meeting to order at 10 A.M., extending a warm welcome to the assembled directors. He calls to their attention the fact that on February 21st our Association passed its 65th birthday and that with this Board meeting it enters upon the 66th year of operations. He recall^ with satsifaetion the prophecies of our critics who maintained many years ago that the existence of the Association cannot continue for many more years. The prophecies did not come true, for our Association is stronger than ever, thanks to the spirit of self-sacrifice and the untiring efforts of its members and officers. The success of the Association has been made possible by their exemplary cooperation. He requests that this same cooperative spirit may prevail during the deliberations on all matters before the Board of Directors.

2. ) Chairman of the Board Julius Macker opens the meeting by extending a cordial welcome to t,he members of the Board. He recalls the continuous progress made during the past 65 years and reminds the Directors that it now is time to evaluate the results of the decisions made six months ago. He urges the most careful and circumspect consideration of all problems confronting the. Board at this pre-Convention meeting.

3. ) Alexander Nyirati, member of the Auditing Committee, extends on behalf of the committee greetings to the Board of Directors on the occasion ci their semi-annual audit, and announces that a written report will be rendered, in conjunction with their audit, concerning théir recommendations and findings.

4. ) Director Louis Vizi conveys to the Board the sincere and heartfelt greetings of Joseph Miller, Jr., Joseph Miller, Sr., Joseph Toth, members of Branch 59, which are gratefully acknowledged by the Board.

5. ) The Board gratefully acknowledges the telegram of Stephen Lukacs, District Manager, Branch 36, Detroit, Mich., conveying his greetings, the letter of Leslie J. Dus, District Manager, Branch 14, Cleveland, O., conveying his best wishes for a successful meeting to the Board of Directors, and the greetings of George Modock, Manager of Branch 33.

6. ) The Board adopts the schedule of business as prepared by the National Officers, with the provision that additions will be made if necessary.

7. ) The Board takes cognizance of the fine and loyal service record covering a period of 25 years of Home Office employee Gizella Stefurosky and of employees Julia Eszlari and Ethel Chonko who have served the Association with exemplary loyalty and devotion for 15 years each. The Board resolves that these service anniversaries shall not pass by without recognition and, therefore, instructs the Home Office to accord to them proper recognition amid suitable ceremonies and to make the necessary arrangements for this affair. At the same time, the Board authorizes the Home Office to present a reward of $150 to Miss Gizella Stefurosky and $100 each to Miss Eszlari and Miss Chonko. The Board also resolves to extend similar provisions rewarding long periods of service to all Home Office employees who shall hereafter complete 25 or 15 years of service with the Home Office.

8. ) The reports of the National Officers detailing their operations for the past six month period as well as the Annual Statement submitted to the Insurance Department are adopted by the Board subject to detailed discussions.

9. ) The report of the Field Manager on his activities ir. the field and on the methods pursued in organizing operations is similarly adopted for detailed discussion.

10. ) The Board orders that their decisions adopted by mail be inserted in the record.

11. ) The assignment of the branches into Convention Districts, as prepared by the National Officers, is adopted by the Board of Directors who instruct the Home Office to so notify the Convention Districts. Also, the Board instructs the Home Office to call upon the district presidents to call I heir District Meetings in the month of June for the purpose of electing their delegates to the National Convention.

12. ) According to usual practice, the Board divides into committees for carrying out the Home Office examinations. The directors are assigned to the Committees as follows:

ORGANIZING AND PLANNING: Julius Macker, Chairman of the Board, Vice-President, Stephen Nyers, Michael Korossy and Joseph Turner, Directors.

FINANCE, INVESTMENT AND REAL ESTATE: Andrew Kovács, M.D., Vice-President, Richard Phillips, Henry Gross and Joseph S. Taylor, Directors.

REQUESTS AND COMPLAINTS: Directors Louis Vizi, Coioman Kolozsvary, John A. Hornyak and Aloysius C. Falussy.

13. ) For the duration of the examinations, Chairman of the Board Julius Macker adjourns the meeting.

14. ) The Committees having completed their tasks, Chairman of the Board Julius Macker calls the meeting to order.

15. ) Mr. Charles E. Keene, Actuary, appears before the Board to render a report on various pending matters of the Association. He reports that the schedule of dividends on the new certificates valued upon the 2V/c American Men Table, has been completed and the dividend payments will commence as -soon as the checks will be available. After giving further detailed information on various other tasks entrusted to him and being under process, he renders expert opinion as to questions raised by the members of the Board of Dilectors, The Board expresses its sincere appreciation of the interest Mr. Keene devotes to his task for our Association.

16. ) The report of the Committee of Organizing and Planning — (Directors Macker, Nyers, Turner and Korossy), is read and the recommendations contained therein are gdopted by the Board.

17. ) Adopting the Committee recommendation the Board agrees to the appointment of Joseph Toma to Field Supervisor, effective April 1, 1951, over the 16 branches of which he has been in charge heretofore in the capacity* of District Manager.

18. ) The Board adopts the recommendation of the Committee of Organizing and Planning relative to an adjustment of the rates on Payor Benefit clauses in cases of insurance in amounts of over $1,000. Accordingly, when application is made for a $1,500, $2,500, $3,500, or $4,500 life benefit certificate, the Payor Benefit rate on the last 500 dollars of face value shall be half of the rate of the $1,000 Payor Benefit.

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19. ) The Board adopts the Committee recommendation that a membership campaign be conducted for the branch managers of the Association in .this Convention Year which is also the year of the 65th anniversary of our organization.

All membership certificates issued between January 1 and August 31. shall be counted in the contest.

The contest shall be conducted in two groups: one in which the full-time .ocal District Managers, the Visiting District Managers and the Field Supervisors shall compete, participating with their personal production in excess of an 8 month quota to be set by the Home Office; and the other in which all o* the other part-time branch managers shall compete, participating with their production in excess of their respective quota requirements for the 8 months of the year.

In order that the prizes to be distributed may be fairly determined, the Board of Directors resolves that part-time managers shall be required to register indicating their intentions to participate in the contest.

The Board instructs the Field Management department to inform thei branch-managers as to the details pertaining to the conditions of participation -in the contest The Board expresses its sincere hope that every branch manager of the Association will participate in the pre-Convention membershipcontest marking the 65th anniversary of the founding of our Association.

20. ) The Board acknowledges the report of Leslie J. Dus, District Manager, Branch 14, Cleveland, O., concerning the organizing activities pursued in his district.

21. ) The Board acknowledges the report of the Auditing Committee relative to their presently conducted audit and considers the findings contained therein. Concerning the findings of the Auditing Committee in regards to the repayments of tuition loans the Board states that the repayment of outstanding loans is progressing and that the matter of granting further loans is under strict surveillance and control. Efforts to collect on outstanding loans are constantly made. In regards to other points mentioned in the report of thq Auditing Committee, the Board declares its intention of carrying out and enforcing all feasible measures.

22. ) Thb Committee on Requests and Complaints (directors Kolozsvary, Hornyak, Vizi and Falussy), make their report in regards to the recommendations contained therein the following actions are taken:

23. ) By a vote of 6 to 4 the Board is obliged to find that it cannot comply with the request of Branch 8, Johnstown, Pa., that the full death benefit be paid for Andrew Flores who lost his life in the Korean war. In making this decision the Board was led by the consideration that since the deceased had served with the armed forces and his membership certificate carried the legular war risk exclusion clause, the payment of the full death benefit would be contrary to the provisions of the By-Laws. The Board does not exclude the) possibility of reconsidering the matter of paying the full death benefit on membership certificates with war risk exclusion clauses on all members dying in military service, after the conclusion of the present conflict, as has been done after the conclusion of World War II., and if conditions should then permit, to again take such action, but as long as the present conflict lasts, the Board is obliged to keep this matter in abeyance.

24. ) Regarding the appeal of the beneficiary of member Alexander Ondo, Jr., of Branch 348, for the payment of the double indemnity benefit, which was refused by the Home Office, the Board instructs the Home Office to pay the $500 double indemnify benefit provided it be proved that death was caused by an accident.

25. ) The Board adopts the committee recommendation and directs the Home Office to reinstate Charles Borbély, member of Branch 14. into the Maiming Benefit Department, in view of the fact that said member was not advised by the branch manager that he could retain maiming benefit protection after having withdrawn his final sick benefit payment in December, 1948. Conditions- of reinstatement is that the maiming benefit dues payable retroactively to January 1, 1949, will be paid by the member.

26. ) Adopting- the committee recommendation, the Board regrets that itf cannot comply with the request of Alexander Milkovics, member of Branch 90, for the payment of five years’ sick benefits which he has not claimed because he was unaware of being a member of the Sick Benefit Department, even though he actually was disabled. Compliance with this request would be contrary to the provisions of the By-Laws. Naturally, should member Milkovics become disabled in the future, he shall be entitled to sick benefits.

27. ) The Board i egrets but it cannot comply with the request of George Varga, member of Branch 214, to admit him to the sick benefit department retroactively for 2 years.

28. ) The Board regrets but it cannot comply with the request of Joseph Fulop, Manager of Branch 312, for reinstatement in the Sick Benefit Department since member Fulop already has passed the age-limit beyond which such reinstatements cannot be effected.

29. ) The Board authorizes the conferring upon the following members oP the Degree of Illustrious Member with the attendant diploma and the gold service medal in recognition of their zealous*work in behalf of the Association:

a. ) Joseph Marczis, member of Branch 36, Detroit, Mich., who has spent more than 20 years as an officer of the Branch and 35 years in various official capacities in the service of the Association;

b. ) Peter Toth, member of Branch 98, Bethlehem, Pa., who has spent 15 years as President of the Branch;.

c. ) Bela Richtep, member of Branch 98, who spent more than 22 years as auditor and secretary of the Branch;

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