Omaha daily bee. (Omaha [Neb.]) 187?-1922, 1905-10-18
Refers Inquisiiisn to the AOtuary
Of the Company.
USlNtsS OF BIG FOREIGN BANKS
Statement oOntradiOting Testimony Of
Their Assets as Compared with Mutual
FORMER AGENT or COMPANY BRlBtO
MIR. McCurdy says 10000 was Paia
Thomas II. BowIes 10 settle suit
AIIeRinE MismanaEement of
COmpany's Affairs.

NEW YORK. oct. l7.-Testimohy in the
insurance investigation which was resumed
today after a weeks adjournment of the
Legislative committee. taken because Of
the death last week Of s. Fred Nixon.
speaker Of the assembly of tho state OF
New York. was most exciting throughout
the entire day and only the repeated threats
Of Senator Armstrong, chairman of the
committee to clear the room prevented
violent demonstrations of disapprobation
of the witness, who was Richard a. Nc
Curdy president Of the Mutual Life Insur-
ance company. As It was. however. there
were jeers at several periods of the days
testimony that temporarily interrupted the
proceedings. These came when Mr.. Hughes,
counsel for the committee, asked ques-
tions that Mr.. McCurdy was reluctant 90
answer or evaded and were made by the
crowd that stood at the back OF the room,
which long ago proved inadequate 20 ac-
commodate the counsel and witnesses sum
moned and the crowds OF spectators that
increases with every hearing.
Assets of Mutual Life.
Before the witness was called James Me-
Keen associate counsel to the committee.
put in evidence for the records a statement
Of the assets of the Mutual Lite Insurance
company and of the Banks of England,
France and G Gsrmany.
James NJ. Beck OF counsel for the Mutual
Life Insurance company claimed last Tues
day before the committee that the assets
Of the Mutual Life exceeded the combined
assets of the Banks of England, France and
Germany
BY cable, Mr.. McKeen said, he had ascer-
tained the combined assets OF those institu-
/ tions were 81, ,226, ,574,725, while those OF the
Mutual Life were s44O97S,S71. Further, said
/ ~ -
! the president of the Bank of Germany to
| be $4,000 per annum and that of the chief
governor of the Bank of England to be
$4,000. He had been unable to ascertain
! the salary OF the president of the Bank of
France
! Where this important investigation is
going to lead or where II will end has
caused no small amount OF conjecture and
douhtleT- in some quarters anxiety. with
/ the many threads that have been taken up
and dropped before they have been followed
to their ends, in order that some new lead
may be taken up and with the additional
| features that are disclosed with almost
every days hearing the interest grows more
intense.
Money for Literary Bureau.
| In Mr.. McCurdy's testimony today fca-
ture entirely new was discovered, and this
was that the Mutual Life Insurance COM
pany employed literary bureau TO send
out to the press of the country news mat
! ter that was of benefit to the company.
This information was ELECTED during the
probing of the legal expense" account. It
came out when a voucher for the payment
of $3.50 to Joseph Howard. ir.. in 1904, was
produced. Another voucher for the same
amount, paid in May, 1904 was marked
| "Repayable on demand" and for profess
sional services" Mr.. McCurdy had vised
the vouchers and explained that Mr.. How
ard was a newspaper correspondent and
that his professional services consisted in
syndicating news stories. Pressed further.
Mr.. McCurdy said: MT. Howard was a
correspondent for the Boston Globe and sew
eral other papers" Mr.. McCurdy further
said that he paid Mr.. Howard about 81 500
a year for these services and that the
voucher for May 1905, was really loan
or an advance.
witness PrOfesses Ignorance.
During the earlier session of the day an
attempt was made to obtain from Mr.. Nc
Curdy the reason for reducing the dividends
on policies as the business increased and
the assets piled up. This question was
prompted by the large number of letters re-
ceived from policyholders by the commit
tee and cited facts and examples. These
Mr.. Hughes explained. He read but few
OF the letters, received from policyholders
, who live in this city. The examples cited
, were principally on the policies of the ten
II payment life plan. One in particular for
5000, that in 1876 drew a dividend of 1876,
had been gradually cut until in 1904 Il re-
ceived only SO. The writer inclosed tables
and statements from the companys rep
resentatives and said that this was in the
face of the reserve increasing year after
year To all the questions on this matter
the witness said he was not fortified with
the information required. that these were
6 actuarial matters, and when pressed for
his opinion replied that he refused to an
I swer the question or to enter any discus
sion. He would proffer a witness, his ac-
tuary whose business it was TO know these
things but as for himself, he would not
discuss the question" Mr. McCurdy's de-
: meanor was so insistent and at times de-
hant that the spectators bent forward to
4 catch every word and stood on tiptoe ex-
: pecting every moment to hear him directed
e by counsel 20 answer the question. His
proffer OF another witness was all that pre-
vented steps being taken toward his indict-
% ment. When Mr.. McCurdy would not ofrer
70 the information himself Mr. Hughes started
4 on another line Of inquiry.
Attitude OF the COMMITTEES. =
Late in the day Chairman Armstrong ex-
y planned that since the information declared
e by the committee could be obtained by an
j other source It was agreeable TO the com
mittee TO let Mr.. McCurdy place himself ir
the position he did. Had he been directed
= TO answer and knowing the Information de-
. sired. and then refused, Mr.. Armstrong
n said, steps would have been taken to indie
him for a misdemeanor which is the Of
n fense Of a witness refusing TO answer ques
n tions before legislative committee while
B; the legislature was not In session. while
the legislature Is in session the failure
" would have constituted contempt.
n Mr.. McCurdy also during the effort 10 in
duce him TO answer the questions 10 IN,
reduction Of dividends, launched forth into
n a protest as TO the manner In which the IN
vestigat tion was being conducted. He saic
the committee was going beyond the aeon,