Daily Kennebec journal. [microfilm reel] (Augusta, Me.) 1870-1975, 1905-10-06
In the Insurance Business
Almost Beyond Belief.
Astounding Revelations in the
New York Investigations.
Jerome Will Garry the Whole Matter Before
Extraordinary Grand Jury.

| new OTk, OCt. o.-l nat the dStOullu-
ing total of $2,6OO000 has been paid as
commissions by the Mutual Life Insur.
ance Co, to two members of the family
of Richard A. McCurdy, president OF
the company, and the promise oil
District Attorney Jerome that the in
lsurance scandals certainly will be sub
mitted later to an extraordinary grand
jury. were the sensational develop
ments in the insurance situation, today
1t was brought out by testimony be-
fort the legislative insurance commit
tee that Robert H. McCurdy, son OF
Richard A. McCurdy, has received as
commissions on foreign business
81 1889, and on domestic business
$541 So, and that Louis Theabaud SON
in-law of Richard A. McCurdy, has re-
Iceived an aggregate of $920.113 i'll COM
missions from the company. 1t was
brought out that Robert H. McCurdy
lexrected his income, this year, would
be about $4,000.
Previous to this testimony, w. F.
Thummel, an attorney Of the Mutual
Life Insurance Co., testified that he
had paid to the chairman of the Re-
publican congressional campaign conf
mittee the sum Of $500 in cash as a
campaign contribution.
Mr.. Jerome, in announcing in court
that the scandals will be submitted to
an extraordinary grand jury, said the
inquiry by the legislative committee
had shown greater moral obliquity
and moral obtuseness on the part OF
persons important in the business world
than did the shocking revelations in re-
gard to the Equitable Life
| Another incident of the days devel-
| opments was the publication of a let
| ter from Charles r. Hughes, counsel
to the legislative committee, to Sam
uel Cntermycr, counsel for James II.
Hyde, the former controlling stock
holder of the Equitable Life Assurance
Society, in which Mr.. Hughes said the
committee would make no dscrimina-
ton i'll favor of Mr.. Hyde in his eX-
| animation before the committee.
w. F. Thummel, the attorney who
| was associated with Judge Andrew
Hamilton in looking after legislation
| for the New York Life. the Equitable
| Life and the Mutual Life Insurance
Cos. in the so-called legislative pool
| that was exposed. last week. testified
! before the committee that he is now
| employed as an attorney for the Mu-
| tual Life Insurance Co. at a salary Of
| $1,000 year. Mr.. Thummel said that he
| personally placed in the hands of the
| chairman of the Republican congress
| sional campaign committee $500 in
| cash which had been given the witness
| for that purpose by Vice President
| Robert A. Granniss of the Mutual Life
| Insurance Co. Mr.. Thummel denied
| paying any money to any leSiS-
| lator for the purpose of influencing leg
| isiation or to any other person for that
| purpose.
| Robert II. McCurdy. who was called
| next, had number of documents in
his hands he mounted the platform
and when he had been sworn testified
that he was the general manager of the
! Mutual Life Insurance Co. His powers
ne said. We're delegated to him by the
president and vice presidents Of the
company. His duties, he said, were
practically confined to the supervision
| of the agency system of the company
| in this country and abroad. Like Mr..
| Perkins of the New York Life Insur-
| ance Co, he appeared to be the one
| factor that built up the foreign bust
ness of his company. His salary. he
said, was 100000. He had a typewriter
statement Of his career which he asked
| permission to read. This detailed his
| various compenSationS. contracts and
| commissions. There were a number OF
reductions in the commissions, which
he said were made at his own request
owing 70 the unforeseen success of the
| foreign business. This foreign business
was inaugurated because of the sue
| cess attained by the New York Life In
srra nee Co. and the Equitable Life As
surance Society.
Mr.. McCurdy started this foreign
business in 1885 and assumed office OF
general manager in 1903 at salary or
| $4,000.
The most startling part of Mr.. Nc
Curdy's testimony was made just be-
| fore the recess, when he submitted
statement of his profits, or the revenue
from his contracts, on the foreign busi-
ness of the company. From 1886 10
| 1903. while he was a member OF the
| firm of c. II. Raymond & Co. the Met
ropolitan agents Of the Mutual Lie
Insurance Co.. his profits were s2O9'lZ1.
Hinder his contract with the firm ne
| paid one-half, or $104,561, to Mt. Ray
mond. and from 1898 when he left the
firm. down to Aug. 81. 1905, his COM
missions were $1.059261, making
total personal revenue from the for
eisn business from 1886 to 1905 of ST.
| 163,S29.
During the period of his connection
with the firm Of c. II. Raymond &
Co.. Mr. McCurdy. according 70 MS
own testimony, was receiving his snare
Of the profits on the business OF me
Mutual Life Insurance COMPANY writ
80, hv his firm as the Metropolitan
GIANTS This sum Mr.. McCurdy was
unable to give any estimate upon anu
later in the day. when MT Raymond
vas called. it was brought our that
these profits to Mr.. Mccurdy amonhle.,
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