Milford chronicle., 1905-10-20
M'CURDY SMARTS
UNDER The PROBE
Refuses to Tell Why Policyholders'
Dividends Were Reduced.
SAYS THEY WANT TO Rim BIN

New York. Oct. 1S.-Tesdmony in
the insurance investigation, which
was resumed after a weeks adjourn
ment Of the legislative committee. was
most exciting throughout the entire
day and only tine repeated threats OF
Senator Armstrong. chairman of the
committee. to clear the room, pre-
vented violent demonstrations Of dis
appreciation of the witness, who was
Richard A. McCurdy president of the
Mutual Life Insurance company.
An attempt was made to obtain
from BIr. McCurdy the reason for re.
ducing the dividends on policies as
the business increased and the assets
piled up. This question was prompted
by the large number Of letters re
ceived from rolicyholders by the com.
mittee, and cited facts as examples.
These letters came from all over the
country Mr. Hughes explained, but
he read a number from policyholders
who lived in this city. The examples
cited were principally on the policies
of the 10 payment life plan. One in
particular for $4,000. that in 1876 drew
a dividend of S55.76. had been grad
ually cut, until in 1904 it received only
So. The writer inclosed tables and
statements from the company's re.
ports. and said this was in the face
of the reserve increasing year after
year
To all the questions on this matter
the witness said he was not fortified
with the information required; that
these were actuarial matters; and.
when pressed for his opinion, replied
that he refused to- discuss the ques.
tion or to enter any discussion. He
would proffer a witness. his actuary
whose business it was to know these
things. but as for himself, he would
not discuss the question" Mr. Nc
Curdy's demeanor was so insistent
and at times defiant that the specta-
tors bent forward to catch every word,
and stod on tiptoe, expecting every
moment to hear him directed by coun.
sci to answer the question His proffer
Of another witness was all that pre-
vented steps being taken toward his
indictment.
Mr.. McCurdy also, during the eff.
fort to induce him to answer the ques.
tions as to the reduction of dividends,
launched forth into a protest as to
the manner in which the investigation
was being conducted. He said the com.
mittee was going beyond the scope in
tended when it was appointed by the
and that the investigation
had assumed the proportions of an in
QUESTION.
He was asked by Senator Armstrong
how he would conduct the investiga-
ton. and told that if he had any bet.
ter method the committee would be
glad to know of it. Mr.. McCurdy
thought that putting a witness under !
oath made him feel he was on the
rack. He said his answers were pub |
Iished in a distorted form, that ap |
Deared like an attempt to ruin him.
After taking up the questions of the
reduction of dividends, Mr.. Hughes
read a long list of policy numbers,
With the amounts of the face of the
policy. what had been paid in, and
he dividends received by the policy
holders. Asked what he had to say
o these, Mr.. McCurdy said, figures
lon't lie, but liars can figure" He then
hastily explained that he meant that
acetiously, and that he would be glad
o verify the figures. The only expla.
Iation for a specific instance of a re.
uction of dividends Mr.. McCurdy
ave was that he supposed the policy.
older had a reduced rate policy.