Omaha daily bee. (Omaha [Neb.]) 187?-1922, 1905-11-29
PREMIUM STATED ON FIRST PAGE
On Second Holder iS Required to Pay Any
Amount company Calls For.
GEORGE H. SoUlRES' DEPOSITION READ
Equitable officials Buy Stock from Society
ALTA andl it Back at 80
RiNooLPH TELLS OF BORROWING STOCK
says tie Thinks Bank Wanted Nom
Taxable Securities for the Use
OF some of Its Gus
toners

NEW YORK, Nov 2S,-Just before the
Insurance. investigating committee ad-
iourned today Charles r. Hughes, counsel
for the committee. produced a policy writ
ten by the Mutual Reserve Life Insurance
company upon the life Of a man whose
name was not given which policy stipulated
on the FIRST page that the insured should
pay a hxed ana stated premium Subject
10 other BENEFITS and requirements else
where stated
On page Two Of the policy Mr. Hughes
read a clause that the executive committee
Of the company could require tho holder OF
the policy TO pay any multiple of the
amount of the premium stated on the first
pase which the committee saw fl George
Eldrege. vice president and secretary of
the company, to whom Mr.. Hughes read the
policy. said that :he number of such policies
issued was small
Randolph TeIIs of stock Deal.
Previously Edmund D. Randolph, treas
urer of the New York Life Insurance com
pany, had said that it was true that he
removed $4,000 worth of New York City
stock from the vaults Of the company and
put check of the Central National bank
tor that amount In the place of it on
that the bank wanted tho stock for clients
one Of which was the Merchants Trust COM
pany. He promised 70 give the committee
later the names of any officers of the New
York Life company then in the Merchants
Trust company.
Squire's Deposition Read.
The deposition of George H. Squire, for
merly financial manager Of the Equitable
Life Assurance society, in which he de-
scribed some of the operations of the syn
dicates which included officers of that
society, was read to the committee. Mr..
Squire said in it in 1901 the Equitable
society bought 1000 shares of the stock of
the Lawyers Title Insurance company
ana resold 1900 shares to several of it's
officers and directors at the purchase price,
i7L Some of the Equitable men sold their
stock later, said Mr.. Squire. ana subse-
quently large blocks Of the stock were sold
back to the EQUITABLE society at $40 TO
-'JsU' BY the firm OF Williamson & Squire.
That firm might have bought it from the
officers of the Equitable society. Mr..
Squire said, but he did not know. Mr..
Hughes also brought out that a profit of
500 900 had been paid to Mr. Squire from
the sales of stock of the Lawyers Mort
gage company to the Equitable society and
that Mr.. Squire had divided profits from
an unknown Operation, aggregating S1S,SeO
among four officers of the Equitable So
ciety-James W. Alexander, James H.
Hyde, Thomas d. Jordan and W. II. Nc
Intyre.
Another Payment 10 Hamilton.
rhe fact that the New York Security and
company paid $4,000 TO Andrew
the legislative agent, out of
-. J belonging TO the New York Life
Insurance company was also brought out
today by Mr.. Hughes.
w. H. Fanshawe. a dealer In investment
securities, told the committee that in 1904
he bought New Orleans Traction bonds
Of a face value of 81, $4,000 from the New
York Life Insurance company and George
w. Perkins. trustee of the Nylic fund,
giving them his checks. amounting to
ses7 800 In payment and then borrowed the
s937 500 from the New York Life company,
using the bonds as collateral, He then sold
the bonds, giving the New York Life COM
pany s5 per cent OF the proceeds and keep
ing per cent.
VIII Collect Taxes.
Frank A, o'Donnen, president OF tho
Board of Taxes and Assessments. today
took steps 10 collect S2S,5O0 from either the
New York Life Insurance company or tho
central National bank as taxes and inter-
est on the S7OOOO transferred 20 avoid the
pay ment, according to testimony before the
insurance committee last Monday. Mr..
O'Donnen said he had referred the matter
90 Corporation Attorney Delaney, with In
struetions to bring suit for Sl7 see, together
with interest for seven years, AMI had laid
the matter before Comptroller Grout as
he Is charged with the responsibility for
the collection OF all arrears Of taxes.
uan.s -
PHILADELPHIA, Nov. 2S.-Charged with
unlawful discrimination IN favor of Ben
iamin C. Warwick of this city, in connec-
ton with the Issuance Of life insurance
policy for 500 600 Harold Peirce, the gen
eral agent in Philadelphia for the New
York Life Insurance company, was given
hearing before Magistrate Te:nar today
and held in $500 bail for his appearance
in court Peirce, It is charged. caused to bC
issued a policy on the life OF Warwick for
which the latter did rot have TO pay the first
years premium, which amounted TO S2.5O5
The principal witness In the case Is War
nick. He said Il man named f. A. Reilly
came 70 him and told him that he could gel
Warwick $4,000 policy in the New YorI
Life Insurance COMPANY through Pearct
without Warwick having 20 pay cent OF tn,
hrst years premium. Reilly explained
WaTnick said that by obtaining this polic,
Peirce would be able TO get a special bonu.
from the company and thus get more com
missions than no could otherwise obtain
To this Warwick assented, making IN,
proviso that It must be regular and within
the law as he would not accept IL other,
wise AbouI a month or two laUer tn,
receipted policy was delivered to him with
,ut his paying any premium thereon. War
nick sUd re subsequently decided that the
transaction was not regular, and requested
the company 10 take back the policy IA,
informed his attorney about the matter
and added that he knew nothing OF thi.
prosecution until ne was summoned To- an
rear in the case.
Agent Peirce declined 20 discuss th, cas-,
after the hearing Tie said tia, he woul,