New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1905-05-18
EQUITABLE MEN TESTIFY.
TELL or BONDS BOUGHT.
Millions of Profits in Society's
DcucIoped branches.

Investigation Of the Equitable Life Assur-
,,oa society h, the State Department of In
surance was resumed yesterday, the questions
M being directed 10 bring out the facts about
the purchases Of securities by the society
e,lner;Dtendent Hendricks himself was not here
hut Deputy Superintendent Hunter ana ms
.,,,rsel M Driscou took his place
-rtrAa witnesses were called-Arthur NJ Ken
- assistant e,lpse~intendent OF the securities
sanart17ent. whose chief. John Gilbert Is
,er1,evy OF President Alexander; Henry Rogers
zvirtbrop the Eouitable's financial MANAGE
o,7 Ia-nas IIazen Hyde. Their stimony was
practically all in explanation OF transcripts Oh
records furnished b. the securities department
- .to a-anca and executive committees.
~ ryo7nedv was called 10 tell how the de-
,-+7,an+ kent account of the securities MI
winthrop showed from his minute DOCKS "1ei1
securities were purchased, from whom they were
acquired and how much was paid for them M
15,5a was with the Investigators only a lie"
minutes ,o+
r,,a Investigation by the Insurance Depart
roent so far has hadto do only with the llalcil'i
-, c4 the Fouitaa,le's management and 1t Is
understood that Superintendent Hell0'ioNS -,
continue along that line until he has cleared
M all the charges of acknowledgement OF 1uhuS
a,5 illegal profits from underwriting syHoI-
-. That il is expected. will take seVeral
7s got In the mean time IL is unlikely tha'
-, T 7-arrell. second vice-president, VIII De
called as a witness.
samuel T7nterrnyer, Mr.. Hyde's chief OF couh-
sci. william c. CULVER and Mr.. HYDE heiu
long conference IN Mr.. Hyde's office yesterday
af-ernoo,,. mapping out the plan of campaign
Afrer the conference Mr.. Untermyer was asAeu
about the stories that there was friction De
tween him and Elihu Root as 10 the policy 10
"
story a fabrication from beginning to end ana
said there was not the slightest difference be-
tween Nj Root Mr.. CULVER and himself. He
said that so far as he knew there was absolutely
no truth in the stories which have been IN cir
c1,lation that William Nelson Cromwell was 10
he brought into the Equitable situation as a
..pourer of healing oil" or Soothing syrup"
MYSTERY AS TO ONE SHARE OF STOCK
An Investigation is being made by some OF
Mr.. Hyde's lawyers and friends 1t became
known yesterday, 10 find out where Mrs Mary
yorne The plaintiff in the suit brought by Sen
ator Bracket. acquired the one share of stock
which enabled her TO begin suit with effective
standing IN court Single shares OF Equitable
stock were not floating around the country II
was said by one Of Mr. Hydes friends. Mrs
Young's name did not appear as an owner or
stock on the books OF the company, 1t was al
Iieved that the share of stock had been trans
fe-red TO Mrs. Young by some one unfriendly to
the young vice-president TO strengthen her ac-
ton against the society
The Prick committee held a session yesterday.
which was devoted mainly 10 analysis and audit
ing Of the records of the underwriting transac-
tons and a comparison OF the results with Mr.
Hydes testimony. No witnesses We're exam.
ined. far could be learned. Schedules OF
the eight transactions carefully analysed ana
annotated by accountants. were presented 10
The committee for Mr.. Hyde
These showed that in the eight syndicates IN
which the Equitable afterward bought bonds
the total amount Of undertakings was S144, OOO,-
600 OF this amount the Equitable purchased
$40, 400. 600 Mr.. Hydes interest, averaged for
the eight syudicates, was ne-ffty-seventh part.
Almost every large banking house and many OF
The chief hnanciers IN the city were among the
underwriters 10 these syndicates, II was said.
II the bonds had been turned back TO these
because the public refused to sub
scribe for them, Mr.. Hyde's share Of the re-
sponsibility for the S144.000,000 would have
amounted to just $4,000, the accountants
figured.
EQUITABLE'S PROFITS IN OFFSHOOTS.
In connection with the analysis Of the syndi-
cate undertakings II was said yesterday that
the Equitable had accumulated profits of be-
tween S15,OOOO00 and S20O00OOo from the pur-
chase and development Of banks and trust COM
panies. There are about ten such institutions,
really offshoots of the society, II was learned.
The chief ones are the Equitable Trust Com
pauy and the Mercantile Trust Company. The
Equitable and the National Bank Of Commerce
are closely allied. The society also holds large
blocks Of stock Of the Lawyers Title Insurance
Company. the Lawyers Mortgage Company, the
Fidelity Trust Company and the Union National
Bank OF Newark \. J.
4 meeting VIII be held at the Waldorf-Asto-
ria to-day at D. N. TO form national associa-
ton Of polcyholders in the various insurance
companies for mutual protection" Phelan, |
Toomey & Phelan, lawyers. OF Bridgeport, |
Conn. are behind the movement.
Papers IN the suit brought by Colonel Alex
ander s. Bacon for Rowland D. Buford, OF Vir-
ginia, against the Equitable, were served yes
Jerday on c. 3. Alexander OF Mr.. Eyde's coun-
sci a. Edward Woodruff for Herbert C. Tull |
OF Philadelphia, expects 10 appear in the Su-
Irerne Court to-day 10 argue in favor of being
allowed 10 examine President Alexander, Mr.. |
Hyde and Mr.. Tarbell.