Los Angeles herald., 1905-12-28
SPENDS VAST SUM
ON LEGISLATION
LOBBYISTS KEEP NO RECORD
OF FUNDS
Andrew Hamilton, Who Refuses to
Return From France to Testify
In Insurance investigation,
Sends Statement
BY Associated Press.

NEW YORK, Dec. 27.--Andrew HAM
ilton, the legislative agent of the New
York Life Insurance company, who, aC-
cording to testimony, has been entrust-
ed with hundreds of thousands of dol
lars by the company and has not ac-
counted for S235,000, has been heard
from by the Legislative committee, but
has declined to make an accounting.
A statement by Mr.. Hamilton was
read today 1t was presented by Sec
retary John G.. Mccall of the New
York Life, who went TO Paris to Sc
cure an accounting from Hamilton. In
his statement Mr.. Hamilton says that
he Is unable to produce any books or
accounts, because he undertook the
Legislative matters for tho life insur-
ance company with the express un-
derstanding that he was to make no
accounting. Absolute secrecy was nee
essary in retaining assistants; there
fore. no checks were used in making
payments
Depended on Hamilton
Mr.. Hamilton went into an explana-
tion for the reasons of organizing this
confidential service, as he characterized
it, covering his methods of work and
citing number of legislative bills in
which he had been Interested. A list
of expenses from 1899 to 1904 was ap-
pended to the statement. The sum of
$235,O00 unaccounted for he says, would
be greatly reduced by his running ac-
count which still is unsettled and open.
and as matter of good faith pending
u settlement he offers to deposit $780,
600 with the company
Secretary Mccall was questioned by
Mr.. Hughes as to what further light
he could throw on the statement of Mr..
Hamilton, but he said he could give no
information. He did not question Mr.
Hamilton's figures, nor the large
amounts for travelling expenses. He
asked Mr.. Hamilton for a full state
ment and relied on his honesty to ex-
plain everything. He did insist that
Mr.. Hamilton produce checks or check
books, but Mr.. Hamilton said he had
none.
Lou Payne Testifes
When Mr.. Mccall was excused Mr.
Henry d. Appleton of the state in
surance department was called. He
completed his testimony begun last
Friday and during the examination was
told that Mr.. Morgan, former president
of the Bankers Life Insurance COM
pany, had testified that Mr.. Appleton
said it would cost the Bankers Life
$50 900 to reincorporate. Mr.. Appleton
said:
IF Mr.. Morgan said that he is n
liar"
Louis r. Payne, former superintend-
ent of insurance of the state of New
York, was called to the stand and ex-
planned large numebr of appointments
of confidential examiners on the ground
of an unusual number of examina-
tions made during his term of office.
Mr.. Hughes produced a list which
showed that in 1897 two examinations
were made and in 1898 two more were
made, while in 1899, the last year of Mr.
Paynes administration, the number had
not been brought out when adjourn
ment was taken.
The affairs of the Mutual Reserve
Life company were taken up with the
witness and during this line of exam
ination Mr.. Payne stated that he had
been opposed to Mr.. Burnham as pres
ident of the Mutual Reserve and said
he tried to get him out.
Mr.. Hughes asked why he had tried
to get him out and Mr. Payne replied,
Because I thought him a crook"
Mr.. Payne will resume testimony to-
morrow