Ottumwa tri-weekly courier. [volume] (Ottumwa, Iowa) 1903-1916, 1905-09-23
THOMAS A. RUckNER TELLS OF
NEW YORK LIFE's "NYLlc
ACCOUNTS"

BONUSES TO AGENTS
Superintendent of Agencies and Vice
President Of Company Tells of His
Departments Work-Perkins Test-
fles Regarding Methods Of Hiding
Companys Assets.
Thomas A. Buckner, vice presi-
lent Of the New York Life Insur-
ance company, and superintendent
Of the agents of that company was
today examined in the insurance
Investigation now being carried on
by committee of members of the
New York legislature. Mr. Buck
ner formerly lived in Ottumwa for
q time. being stationed here tenn
porarily as a representative of the
company of which he is now vice
president. He has been with the
concern for twenty years and has
made his way from the bottom to
point near the top Of the ladder.
He Is well known in Ottumwa, as
Is also Mrs. Buckner, who is the
daughter Of Mrs. H. W. Roberts.
Mr. and Mrs .Buckner visited in
Ottumwa last summer.
New York, Sept. 22-Upon the as
sembling today Of the legislative COM
mittee which is Investigating the life
Insurance business. Thomas A. Buck
ner, vice president of the New York
Life Insurance company, who has
charge OF that company's agencies and
who was unable to answer number
of questions yesterday without looking
up the records, was called to the
stand.
The NyIIc Accounts.
The mattev Of the "Nylic accounts"
was taken up and they included the
records of the system Of bonuses
paid to agents. The Nylic, he said,
was a body Of men drawn from the
ranks of the agents who create busi-
ness for his company.
Hamilton Denies Story.
The Evening World today received
the following cable from Andrew Ham
ilton Of Albany, who is in France:
"You can deny for me that the check
for 100000 to me from the New York
Life in March 1904 was, as asserted in
New York, for the purposes of infiu-
encing state legislation or that it was
10 used"
Perkins Tells Of 100000 Deal.
It was shown at yesterdays hearing
before the Armstrong legislative insur-
ance committee that the New York
Life paid interest for two days at the
rate of six per cent to ]. P. Morgan &
Co. on the $S0o,0OO which that firm
paid to the company in acquiring the
much talked of lot of International
Navigation bonds.
The payment for the bonds was
made by Morgan & Co. on December
back by the New York Life two days
had been sold.
The company's annual report to the
state superintendent of insurance had
been made in the meantime. and the
100000 Of bonds was not shown as an
asset in it.
The officers Of the New York Life
however. have contended that the pur.
pose Of the sale and repurchase two
days later was not to keep the item
out Of the report and that the sale
was a bona fide transaction.
The check which the New York Life
paid to j. P. Morgan & Co. on the pur.
chase was produced in evidence yester.
day when George w. Perkins, vice
president of the New York Life, was
on the stand. It was for $500, ,266.67
the excess over 100000 being the in.
terest.
Got Rid Of s1,275,ooo for $ss7, 600.
It was also shown yesterday that the
New York Life on December 81, 1904
sold to W. S. Fanshaw, S1,275 900 book
value of New Orleans Traction bonds
for $937,000, and on January 5, five
days later, loaned him S937 900 on the
same bonds as collateral The fact
was brought out that the New York
Life, when it made the sale to Fan
shaw, had an understanding with him
that he was to be protected against
loss, and was to get one-fourth OF the
profits accruing in the ultimate sale OF
the securities. the remaining three
fourths going to the New York Life.
Mr. Perkins denied emphatically
that this transaction had been car
ried through for the purpose of keep
ing these bonds out of the company
report to the state superintendent for
1904
Mr.. Perkins was the chief witness al
yesterdays session, practically the en-
tire hearing being devoted to his testi
mony. In addition to his testimony
on the subjects mentioned above, he
went fully into the joint account trans
actions Of the New York Life, ir
which the company for the most part
supplied the money, the other party
to the account marketing the securi
ties and finally sharing the profit
sometimes equally and sometimes or
: