Daily Kennebec journal. [microfilm reel] (Augusta, Me.) 1870-1975, 1905-10-05
STAND IN FEAR
Of Detrimental Legislation
Through Every Year.
President Mccall Of Equitable
Also Makes the Assertion
That Many Of the Legislative Bills Are in
The Nature Of BIackmajI,

New York, Oct. 4.-That John r.
| Hegeman. president of the Metropoli-
! tar Life Insurance Co, borrowed $50. :
| 900 from the New York Life Insurance
Co. at IL per cent. interest, a rate be-
| low the market rate. was brought out
| i'll the insurance investigation. last
week: but, today President John A.
| Mccall of the New York Life Insurance
Co., testified that he in turn borrowed
$4,000 from the Metropolitan at the
Same rate. This was in January. 1903;
the lean was renewed in January. 1904
and ran until March, 1905 when the
rate of interest was advanced to . per
cent, at which rate it is still running
Mr.. Mccall testified that he was di-
rector of the Metropolitan Life Insur-
ance Co.. but not a stakeholder The
fact of his being director. Mr.. Mccall
continued, did not deter him from pro-
curing loan at as low a rate of inter-
est as possible when it was to his inter
est to do so.
Somewhat of a sensation was caused
in the late hours of today's session OF
the Legislative committee which is in
vestigating the methods of life insur
anCe companies which Nellie F. Tow
ner of Albany, was called to the stand
and diSclaimed any knowledge of the
whereabouts of cancelled checks of
Judge Andrew Hamilton of Albany. Mr..
ToWner testified that he was associated
with Judge Hamilton in the practice of
law in Albany. Mr.. Towncr testified
that he had made deposits for Judge
Hamilton, but not while the latter was
i'll Europe. He had taken some cam
cclled checks from the Albany Trust
Co. early in September and had thrown
them into 4 drawer in Judge Hamil
tons desk. He had had no occasion to
look at them again until last week.
when he received the subpoena to APP
pear before the committee.
He was asked to bring these checks
with him. but when he looked for them
they were gone. He had no knowledge
he declared, Of where they could have
gone or who could have taken them
Pressed by Mr. Hughes. he said almost
anybody had access to the drawer in
which the checks were placed.
Mr.. Mccall. rcsuming. was asked
about a deposit to the credit of Judge
Hamilton of $l62,0H 81. Sept. 1, 1905. Mr.
Mccall said the New York Life had
Paid MIR. Hamilton no money, but sug-
scst"d that part of it might have come
from the state comptrollcrS office by
reason Of an assignment to Judge
Hamilton Of tax moneys to be repaid
the company as the result of the repeal
Of the tax law which relieved the New
York Life from payment of taxes.
Another interesting point WAS
&c
The committee adjourned for the day.
Edward f. Dcvlin. the real estate man
agcr for the New York Life. was again
called to continue his testimony of last
week relative to the real estate values
OF tho companys properties in this
country and abroad. Mr.. Dcvlm had
had to consult records and he presented
4 number Of transcripts of the records.
1t developed that the New York Life
had acquired by foreclosure. apartment
houses in one of the most desirable res
i1ential sections of this city and the
cost with the improvements deemed
necessary. was 5000 The net income
from this property was found to be .023
per cent. Oh the investment.
1t then developed that four of the
President Mccall, three sons and a
son-in-law Mr.. Dcvlin was asked who
fixed the rentals of these properties
and he said he discussed the matter
with Mr.. Mccall.
Mr.. Mccall cnlivcncd the days pro-
c"cdings further when he said that
there was no records on the books of
the Nov York Life of the $150.000 paid
the Republican national committee fo-
contributions to Presidential cam
!,aignG. While h had no personal
knowledge that the money was paid.
told the treasurer to make these pay
mcntS.
Earlier in tho day, Mr.. Mccall in
Gctailir ( the general Legislative work
Of Judge Hamilton and the counsel he
employed denied any knowledge of the
Legislative pool which WAS disclosed in
the examination Of Alfred w. Maine.
auditor Of the Equitable. last week.
Mr.. Mccall on this question made
the startling asset ton that three quar-
tcrs Of the bills affecting life insuranca
companies were in the nature Of black
mail. The officers of the companies
wer" worried at the beginning of each
year, he said, by the proposal of laws
that would hamper their companies
and these officers "really trcmbIed at
what they would have to endure the
first six months Of each year"