The Salt Lake herald. [volume] (Salt Lake City [Utah]) 1870-1909, 1905-11-11
HOWARD WANTED
MORE VOUCHERS
Mutual Life Employe Believes He
Was Underpaid.
SMITH IN THE SAME BOAT
LATTER PAID $4,000 A YEAR FOR
WRITING BOOSTS.

IN sessions Of the week To-Day the
Armstrong investigating commit
tee has behind it a mass of details ana
figures which, while of apparently
little interest to the laity. is OF IN
estimabIe value to the committee. The
greater part of the week has been de-
voted 10 the Metropolitan Life Insur-
ance company. the examinations OF
President Hegeman and James n NJ
Craig. the actuary of the company,
being of a most technical nature.
When adjournment was taken today
the committee had not finished the eX-
animation of President Hegeman, ana
he viii be called again next week.
Just before the hour of adjournment
today Mr.. HegemaE was excused ana
Joseph Howard, jr., writer VINO mas
been employed by the Mutual Life. was
called 10 the stand He ldentlned
vouchers that he had signed for money
received for writing advertisements
and reading notices tor the MuIual
Life. Mr.. Howard afforded much
amusement by his declaration that his
only regret W 3 that he could not sign
more of these vouchers. His only COM
plant was that he was not paid enough
for his work. This, too, was the COM
plant on the witness stand of Charles
Smith. who also does writing for the
Mutual Life and receives $4,000 a year
for H.
Thirty Years in Harness.
Mr. Howard said he had been en-
ployed thirty OF forty years by the
Mutual Life. but the vouchers went
back only TO 1899 There were ten OF
these vouchers, aggregating $l6,625.
Mr.. Howard denied that he had ever
sent any dispatches by Wire and was
very strenuous in his assertion that
he had never written II line about in
surance for any paper on which he
was employed, characterz:ng 1t as
dirty trick"
William Barnes, ST, formerly of AL
bany, who now resides at Nantucket,
appeared before the committee at his
own request and was the first witness
of the day. Mr.. Barnes name appeared
in the investigation seVeraI weeks ago,
when vouchers We're produced for le-
gal services. Mr., Barnes explained his
connection with the Insurance compa-
MES. He answered the questions put
10 him, and when his examination had
been concluded, asked TO be allowed TO
make a statement. He was given the
privilege and had proceeded but little
way when he was stopped by Senator
Armstrong because Mr.. Barnes state
ment was an argument in defense of
brought out i'm the investigation.
President John r. Hegeman of the
Metropolitan company was recalled to-
day
Letters of complaints that policies
We're paid to undertakers by industrial
companies were read TO Mr.. Hegeman,
and he sad he could not say that his
company had ever made SUCH payment.
Helped Two Campaign Funds.
Mr., Hegeman said his company had
made hut TWO campaign contributions.
and they We're both i'm 1896. One thou
sand dollars was given to the Palmer
and BuclIner gold Democratic man
ayers and $500 10 the national Repub-
llcan committee. These contributions.
Ny. Hegeman said. were made with the
approval of the finance board. and
were more moral than a political
move to assist in defeating the six
teen TO one heTeSy."
statement was produced showing
that Andrew Hamilton had been under
an annual retainer Of $1,000 from May
II, 1892, ond from that date to May ..
1904, had received for special services
and retainers the aggregate sum of
$780,
Mr.. Hegeman said the Metropolitan
Lie Insurance company obtained
bonds for its agents from either the
American Surety company or the Ma
tlonal Surety company Mr.. Hegeman
holds ten shares of the National. The
oond required Of agents is $50 and the
premium Is recovered from the agent
by the company.
II was shown that the Metropolitan
Life made loans of 100000 to 5000. 600
al ~. per cent interest to William
Reade of the firm of Nermilye & Co.,
on various dates from 1901 to 1908 The
market rate Tor call loans was at the
time from AZ TO 8 per cent. Vermilye
& Co. were the bankers of the Metro
politan at that time, and when Mr.
Reade resigned from Nermilye x Co.
ana went into business for himself he
became the COmpany's banker. MI
Hegeman's explanation for making
these loans below the market rate was
thar valuable services had been rem
dered the company and il sought to re-
pay favors where il could. Mr.. Hege-
man said that through the watchful-
ness Of Nermilye & Co. the Metropol-
ltan Life Insurance company has now
SS,086000 or $4,000 600 which could be
burned up without impairing the solv-
ency of the company"
Made Money on Bonds and Stocks.
on bonds and stocks the MetroDol-
ltan has cleared. according to Mr.
Hegeman. about 81 POO. 0O0, and on syn
dicates in which Vermilye & Co. in
Vited the company 20 participate the
company has made about $500 600.
In describing the investments Of the
company Mr. Hegeman said that the
Metropolitan Life Insurance lpany
owned 6,325 out OF 10000 shares of the
National Shoe < Leather bank of this
city. No dividends are paid as the
bank is accommodating its surnlus.
Witness detailed the organization of the
Metropolitan bank. and said the officers
ana clerks of the company were StOckhold- I
erS. II was organized five or six months |
ago, so has not yet paid a dividend It |
was organized with the expectation that /
II would handle the checks of the Metro
pulitan Life, OF which there are several /
thousand day az times, further, In or |
rtabie tenant in its new building and I
because il was thought an admirable To- /
cation for a bank. The Metropolitan Life /
owns about 20 per cent of the shares of :
the Metropolitan bank.
Just before closing the examination Mr. I
HeSemdn was temporarily excused and
Joseph Howard Jr was called. lie testi-
fled that his profession was that OF a
writer since 1860 He is correspondent for
number Of papers and is employed by
the Mutual Life Insurance company and
has been for about thirty or forty wears.
HIS first service was 70 direct the adver-
tising Of the Mutual from the daily pa
pers 10 the religious papers, Witnes%
stated that he curtailed the lone advertise
ments and attached reading notices there
TO. A number OF vouchers were shown
the witness. Ihev were on various dates
from March 10. 1899 70 Nav II. 1874 Odd
aggregated d6.625. Witness acknowledged
signing three vouchers and expressed "A
desire 10 sign more He was never on a
fixed retainer and these moneys were paid
for services as a writer.
Howard Loses One job.