Evening times-Republican. [volume] (Marshalltown, Iowa) 1890-1923, 1905-12-27
HAMILTON SHEDS
No LIGHT ON ACIS
Legislative Agent of the Insur-
ance Companies Tells Nothing
in His Statement
SAYS HE GAVE NO CHECKS
Admits That All His Work Was Done
Secretly Thru Others and That the
Fact That 1t Was Secret Was What
Made IL Efficscious-MccaI on the
Stand.

New York, Dec. 27.---John G. Nc
Call secretary of the New York Life
Insurance Company, who few days
ago returned from Europe, where he
went to get an accounting Of the money
advanced to Andrew Hamilton, was the
first witness in the insurance investi-'
cation today. Mccall said he saw
Hamilton in France, and presented the
physicians certificate describing Ham
ilton's illness, stating the patient could
not undergo a voyage or leave France
within two months. Mccall said he
asked Hamilton for his. checkbooks,
but Hamilton refused to give them up,
saying the stubs related to his own
personal business. Mccall did, how
ever, get a statement from Hamilton
regarding the expenditures Of funds
entrusted to him by the insurance
companies. The statement was put in
evidence
Hamilton in hts statement tells why
he cannot produce the vouchers or
cancelled checks to show to whom and
in what accounts he had paid out the
money The statement is to the effect
that in consequence of an accepted
understanding of the companies inter-
ested with the New York Life in
watching legislation, no demand was
made by me for vouchers from other
people. nor were there any books or
accounts kept by me covering ths
same, nor are there any of my checks to
produce. Payment by my check would
necessarily have disclosed the fact that
the person receiving check was un-
der retainer by me, and would thus
have necessarily have hampered that
portion of my work that was most ef-
hcac1ous, namely absolute secrecy"
Cash, drafts and certificates were
generally preferred. I cannot produce
my check books and cancelled checks
which relate to the affairs other than
those Of the New York Life Insurance
Company. cannot produce any books
or these particular accounts because
none were ever kept by me. Even il
I did possess them it does not appear
to me that a demand for them would
be fair and honest ONE. The under
standing that I had undertaken this
yyyoc dicti, 49,, X
had not been SO, / would have de-
clined the task
Secret Service.
Hamilton says at the time Of his
employment in charge of the bureau of
taxation and legislation the New York
life insurance companies feared that
unless concerted action was taken thew
might be practically legislated and
taxed out Of existence. "The usual
practice OF depending alone upon coun-
sci to attend and present arguments
was determined to be insufficient. .
said Hamilton. 1.-THE very fact that
the great life insurance interests of
New York favored or opposed pending
legislative propositions, would itself
often concentrate opposition against
their views; or likewise, did the
knowledge that we were represented
at the capitols of the various states
lead to demands that political favor
ties Should be employed in the role
of counsel, which, If acceded to, placed
our affairs at the mercy of those
who did not possess our confidence.
these and other considerations
led the three companies to but one
conclusion. We felt that if the secret
service was permissible government
agency, confidential service would be
the only effective and at the same time
proper plan to guard the welfare Of the
most extensive commercial interests in
the world-the life insurance business
of the state of New York This con-
fidential secret service was decided up
on as the only feasible plan of protec-
tion. I explained to the president of
the New York Life Insurance Com
pany, as did other gentlemen who were
associated with me in this work to the
officers of their respective companies,
that itemized accounts by names or
amounts by separate vouchers or par
ticulars should not be demanded If we
were to be held responsible. Protec-
plan was ample"
Hamilton gives long summary of
various styles of bills hostile to the in
surance companies many of them tax
alton measures. and says:
AT the capital of every state we
have either retained representatives for
the companies, or are in cooperation
with some one who has retained rep
resentatives duly influential. It has
been found advisable. as a result of
experience, to avoid. as far as possible,
any exact public information as to who
represents US. The known presence Of
a corporation representative at legis-
lative halls is signal for renewed
vigor in the attack of blackmailers
and cranks, and unfortunately mem
bers of legislative body are fire.
quently deaf to reasoning where a
non-voting or corporate interest is at
stake. Many movements that would
otherwise be unknown until they be-