The news & observer. [volume] (Raleigh, N.C.) 1894-current, 1905-09-30
LAWS SHAPED BY
LIFE COMPAN
Pool Formed by a CoIos-
sal Trio.
THE OBJECT WAS THIS:
To Look After Legislation Before the
Various State Legislatures. Checks
Paid Andrew Hamilton, Chief
Member of the Legal Staff for
This Combination,
This Combination.
lBy the Associated Press. }


New York, Sept. 29-When the leg
islative committee on the insurance
investigation adjourned to-day until
next Wednesday it concluded week
in which greater progress has been
made than in any week since the in
vestigation was begun. The testi-
mony of witnesses that have been
called during the week has been re-
plete with sensations and that of to-
day was no exception to the rule.
1t was during the afternoon session
today when Alfred w. Maine, an au-
ditor of the Equitable Life Assurance
Society, was called to the stand that
it was disclosed that. Andrew Hamil-
ton, to whom President Mccall, of the
New York Life paid several checks,
the purpose of which the counsel for
the committee, Md. Hughes, has not
vet brought to light was one of the
chief members of the legal staff for
these companies and was employed
and received money for services from
the Equitable. Mr.. Maine told of the
division Of the country to be looked
after by Mr.. Hamilton, in conjunc-
ton with +. l.. Short and w. L.
Thummel Witness presented vouch-
ers for moneys paid by his company to
MI. hamilton, and these showed that
in the eightys from 1885 to 1903 the
sum of $65,596 was paid to MIR. HON.
mon for legal services Mr.. Maine
could not give any details of the du-
ties performed by Mr.. Hamilton nor
of the committees he appeared be-
bore, beyond that fact Mr.. Hamilton
looked after legislative matters for all
three companies in states west of the
Ohio river.
He was followed in the afternoon
session by Edward L. Devlin. the real
estate manager of the New York Life
for the United States and Canada. Mr.
Deylin was called to testify as to the
cost of the building in Paris. 1t was
brought out that the Paris building
was carried on the books of the COM
pany at a valuation of $1,1O2,604,
wherets with the original cost and i'm
provements on the building, actual
money to the amount of 81, 533, 1O4 was
paid, over one million being charged
off the valuation on the books of the
company Mr.. Delvin said the net
income on the building to the New
york Lite was one and onc-haf per
cent on the actual amount invested in
the building. or between three and
three and a half per cent. on the
amount at which the building was
carried on the books of the company.
Schiff i'm Passion.
The most important development of
the day was the appearance on the
stand of Jacob II. Schiff, head Of the
banking firm of Kuhn. Loeb & Com
pany. Most of the time Mr.. Schiff re-
clined leisurely in the chair on the
witness stand, but as one point after
another was brought out he grew eX-
cited and vigorously defended his at
titure while a director of the Equitable
Society and claimed his firm had acted
in a conscientious manner in all its
dealings with the society
At the conclusion of his testimony,
and before the committee could adj
journ, Mr. Schiff asked to be allowed
TO make a statement. He was permit
ted. and he stepped briskly forward
on the platform toward small table
and made an impassoned attack on
the State superintendent of Insurance
and statements he had made concern
ing Kuhn, Loeb & Company during
the investigation of the Equitable. Mr..
Schiff emphasized his remarks with
rappings on the table and frequently
he raised his voice until it was almost
shout.
During his testimony, too. Mr.. Schiff
made the charge that the minutes Of
certain meeting were false. He later
qualified this. however by saying if
thn transaction under consideration,
one in Union Pacific preferred, was
actually made he did not hear it,
though he was present at the meeting.
Again during his testimony regard
ing the power of the finance commit
tee of the Equi1lbfe Society, Mr..
Schiff was warm in his explanation,
and said that the entire committee
was at the mercy of one man. 1T
was all Hyde" said Mr. Schiff "all
HYDE and Alexander. Mr.. Hyde wrote
the messages regarding the offers
made by my firm for participation in
syndicates, Mr.. Hyde signed all the
receipts. Mr. Hyde wrote all the let
ters. The vice of the entire insurance
cituation. said Mr.. Schiff, "has been
irresponsible power.
In the matter of the James Hyde
syndicate Mr. Schiff hotly accused Mr.,
Hyde of trying to shield himself. He
said the position of q director in the
Equitable was the of a negligible
quantity and that the directors were
mere figure heads. He said further
that he had never asked any favors of
the Equitable Society. L have
granted many favors,' he said, I have
not done, as a director of the Equi-
| table amy wrong of commission.
may have done some omission. II is z
case of hindsight and not one OF fore
sight But my conscience frees me Of
i my bond. ] have been as good di-
| rector as l knew how TO be and | did
my duty