The Salt Lake herald. [volume] (Salt Lake City [Utah]) 1870-1909, 1905-09-08
Money on the Side.
FACTS BROUGHT OUT.
Mutual Life Officials Get in on the
Ground Floor.

New York. Sept. William Alex
ander. secretary of the Equitable Llfe
Assurance society, was the tirst VII
ness examined at the hearing before the
legislative committee today. MT.
Alexander is a brother OF former Pfesl-
dent ]. w. Alexander. Mr.. Alexander
said the naturalization of the Equitable
had been prevented by the suit brought
by Francis E. Lord, stakeholder
1t was brought out that MI. HYDE
had bound himself with Mr.. Ryan TO
return the s.. 500 900 paid for the Equit-
able stock provided full delivery was
not made at the expiration OF the
trust. Mr.. Alexander was questioned
as TO the Whereabouts of Thomas ID.
Jordan. formerly comptroller of the
FauitabIe. He said ne did not know
where Mr.. Jordan was. The commit
tee desires to know where Mr.. Jordan
is because he is one of the men VINO
knows about the unexplained $6s5'9VV
loan of the Mercantile Trust company
to the Equitable.
Value of Equitable Stock.
On the subject of former prices OF
Eouitable stock. Mr.. Alexander said II
had sold at 81 900 a share fifteen years
ago. Recently Marcellus Hartley
Dodge had told him he had purchased
four shares at more than $4,000 each.
The HYDE stock was sold TO Mr.. Ryan
at approximately $4,000 a share.
Questions regarding the relation OF
the Mutual Life Insurance company 10
the Guarantee Trust company were
asked of Frederick Cromwell, treasurer
of the Mutual. He said that every
member of the finance committee OF
the Mutual, with the possible exception
of Mr.. Grannis, was stockholuer' III
This trust company. Mr.. Cromwell
quoted a transaction III WIlicH inc
Mutual had purchased several millions
of Cuban bonds while the Guarantee
Trust company had bought Sl,OOO.OOO
worth.
Asked why the Mutual did not pur-
chase all the bonds itself, Mr. Crom-
we'll replied that the insurance COM
pany did not wish to assume all the
responsibility of possible loss. Mr..
Cromwell said in reply 10 questions
that the Mutual which owned nearly
half of the Trust company STOCK.
would have lost through any losses OF
the Guarantee Trust company.
Mr.. Hughes remarked. I do not
understand what advantage trust COM
panies are to the insurance com
Asked to describe the Mutual Ali
ance Trust company, $4,000 worm OF
whose stock was owned by the Mutual.
Mr.. Cromwell said it was a small COM
panv organized for business in the
east side of New York and serving to
aid the Mutual in buying large stocks
of bonds, but that it never paid a dlVl-
dend.
Herbert NJ. White, secretary of the
Connecticut Mutual Life Insurance
company. gave the salaries Of the Con-
necticut Mutual officers as: President
81. 500: acting vice president Sl,2OU'
secretary. $3.50. and treasurer, $4,000
He said that his company only made
advances TO agents when new agency
was started.
William II. Kingsley, secretary
treasurer of The Pennsylvania Mutual
Life Insurance company of Pennsyl-
vania. said that the society's chaIJer
does not permit voting by proxy. The
management takes no steps, ne said'
further than 70 secure itself from De
ing put out of office by an irresponsible
majority of policy-holders
Cromwell Recalled.
Frederick Cromwell, treasurer OF the
Mutual Life, was recalled he eX-
pIained that in a syndicate IN when
the Mutual Life was concerned the IN
surance company got all the proht. II
any members of the nnance COMMITTEES
went into it privately il was through
some banking house and not through
| the Mutual
ne Mutual he said, has 2.0OO shares
! in the Morton Trust company, ana
| keeps deposit there right along Of
! 500 eco or $500 900 against which il
/ does not draw Ii has not been drawn
/ against since 1893
| Mr.. Cromwell explained these large
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