New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1905-09-09
GREAT INTEREST IN THIRD DAY OF INQUIRY.

The deep interest displayed in the third ses-
sion of the legislative insurance investigation
committee reached a climax late yesterday
afternoon with the testimony OF EDMUND -
Randolph, treasurer of the New-York Life. VINO
was the last as he was likewise the first Wit
ness of the day.
Mt Randolph testified that large blocks OF
shares of the Chicago and Northwestern pre-
ferred had been sold for 250. and OF chicago
Milwaukee and ST Paul ct 200. They hao 10 De
removed from the assets of the New-f orA Lie
to satisfy the Prussian government Tney were
taken from the insurance company by the New
York Trust Company. he said. the purchase
price being placed to the credit or poth tle
New York Life and the trust company. Later
the transaction. at the wish of the trust com
panv. was changed into collateral loan fronl
the trust company to the life insurance com
many Then collateral notes were signed by
two employees of the company. one OF Whorn oe-
nosad witness was named Marshall.
who is MarshaIl? asked Charles T. Hughes.
suddenly
"Oh. he is a messenger of the company. re-
piled Mr. Randolph, "and he gets $500 year.
o-Wbv did YOU select Mr.. Marshall? Avery
customary in banks for employees 70 sign ho'eS
20 oAre % notes involving millions often made by 3g
clerks and messengers A'-Quite trequer''iS III
al suppose PTayspt r the inIosg names So of the
In another transaction involving 1.S1,o0D
United States Steel bonds said MI. Randolph,
Marshall gave note for s1.OOOOo0, and John
A. Newburg likewise appeared. not in his or
dinary capacity as clerk. but as note signer
for 81. 900.
Rv means Of these notes witness testified the
bonds were removed from the assets OF the
Nev-York Life They appeared on the BOOKS
as a sale but had really been given as collateral
10 the New-York Trust Company for a loan on
the signature of Marshall and Newburg- The
money borrowed was deposited with the New
York Trust Company.
..Tben the transaction was not SALE? asked
Mr. Hughes.
No Mr.. Randolph answered.
put if an examiner had come in there was
nothing TO show him it was not bona hde saie'
was there?" persisted the committees counsel
No" said Mr.. Randolph.
NEw-YORK LIFE SESSION.
Hev-york Life session yesterday. the
dav being given to examinations of John Chafiin
and Woodbury. Langdon, both members OF the
finance committed and Mr.. Randolph the treas
urar The committee adjourned until 1890 a
m on Tuesday Before leaving town last night
Senator W w Armstrong. the chairman of the
committee. said that he understood that W1lllam
n Mcintyre ex-fourth vice-president OF the
Equitable was in the White Mountains Inc
committee he added. had no knowledge OF the
toraa hours Of ex-ControIIer T D. Jordan, o;
the same society The committee desires the aO-
tendance of both these men partly. it is said III
convection with the mysterious S6S5.ODO loan
carried by the Mercantile Trust Company
Alexander f Orr. president of the Rapid
Transit Commission, was present, and said ne
,,od baan s11bpoanaed as 9 committeeman of the
1Cavr-Yorl Life Mr. Randolph testified that he
had held his office since 1898. A list was sub
,,,t++ed of officers of the New-YOrk Life ana
their salaries since 1871
The table showing the saary Of the president
was as follows:
1s77-so-PresiIent. Morris Franklia s3125o' vice.
president. "; Beers s5i 20 sc.,- s,5 eco y,es-rrss
ident " H Beers. 5000 t,.sr. $4,000
11ssS9-PTssisnt PTssdsTt. " + Beers Beers $1,000
1892 January 10 June)-Psesiaeh'' 'o'" - 'Ae''
5000 800 .ru, to Deesber,-presdeut John Mccall
S'ssS Gsas s5Preedet John Meal Li, $50 s5 oS9 900
S1 Prls5eTt Jo2n = Mccall s1oOooo
George w. Perkins. who rose from third to
e-st ,,ice-president. received from 1898 to 1885
yearly salary of $4,000 from 1896 to 1897.
So5 coo. in 1901. $4,000; in 1902 and since.
So 900 Mr.. Randolph said thai Mr. Perkinss
ss1arv was reduced-''at his own request. 50 to
eneaE~-when he went down to J. P. Morgan &
90 and ceased TO take his former active part
il, the insurance company's affairs
The increases of the different salaries from
year 10 year were shown TO be somewhat irreg-
uIar. but on the whole. were consistent. Mr..
Randolph's salary since 1901 was fixed at
S30Oe1
Mr. cLAFLyN's TESTIMONY.
Mr. CIafin was the second witness.
The finance committee. ne said. meets once a
week. The investments. a rule. are prepared
rot by individuals but oy d great number OF
financial neutrality-suspicious. the whole
financial community The proposals are first
passed on by sub committee. which eliminates
the Impossible" ones. II the proposals come on
the day OF the finance committees sitting tine
whole committee considers the proposals
The subcommittee is composed of Msssrs
Woodbury. Langden. f. F.. Perkins and Edmund
u Randolph
Does the New-York Life from time 20 time