The semi-weekly messenger. [volume] (Wilmington, N.C.) 1897-1908, 1905-12-29

Dollar. He Asserts, Has Been Used
Improperly or for Improper Pur-
poses-Representati Retained at
the Capitals of Every State to In
fiuence Legislation-Public Press
Employed on Occasions for Adyo-
cacy of Certain Views-Other Wit
nesses Testify Before the Inyesti-
eating Committee
New York, December 27.-Andrew
Hamilton, the legislative agent for
the New York Life Insurance Company
who, according to testimony, has been
entrusted with hundreds of thousands
Of dollars by the company, and has
not accounted for $685. 900, has been
heard from by the legislative insurance
investigation committee, but has de-
cllned to make an accounting. A state
ment by Mr.. Hamilton was read for
the record today. 1t was presented
by Secretary John c. Mccall of the
New York Life, who went to Paris to
secure an accounting from Hamilton.
In his statement Mr.. Hamilton says
that he is unable to produce any books
Or accounts but he undertook the leg
islative matters for the Life Insurance
Company with the express understand
ing that he was to make no account
ing. Absolute secrecy was necessary
in retaining assistants, therefore no
checks were used in making payments.
Mr. Hamilton went into an exhaus-
tive explanation of the reasons for the
organizing of this confidential service,
as he characterized it, covering his
methods of work and citing a number
of legislative bills in which he had
been interested. A list of expenses from
1899 to 1904 was appended to the state
ment. The sum of 1926, 900 unaccount-
ed for, he says, would be greatly re-
duced by his running account still un-
settled and open, and as a matter of
facts, pending a settlement, he offers
to deposit 100000 with the company
Mr.. Hamilton in his statement says
that at the time of his employment by
the New York Life. the life insurance
companies feared that unless concert
ed action was taken they might be
practically legislated and taxed out of
existence. THE usual practice of de-
pending alone upon counsel to attend
and present arguments was determin-
| ed to be insufficient" says Mr.. Ham
iltOn. "The very fact that the great
life insurance interests of New York
favored or opposed pending legisla-
tive propositions, would itself often
concentrate the opposition against
their views, so likewise did the knowl-
edge that we were represented at the
capitals of various states lead to de-
| mands that political favorites should
be employed in the role of counsel.
which, if acceded to, placed our affairs
at the mercy of those who did not
possess our confidence. These and
| other considerations led the three
| companies to but one conclusion. We
felt that if secret service was per-
missible governmental agency, con-
fidential service would be the only eff
fective, and at the same time proper.
plan to guard the welfare of the most
extensive commercial interests in the
| world. the life insurance business of
the state of New York. This confiden-
tial secret service was decided upon
as the only feasible plan of protec-
ton
Mr. Hamilton gives long summary
of the various styles Of bills hostile
to insurance companies, many of them
/, taxation measures. Bills to compel
the company's reports to be repeatedly
and unnecessarily published in news
papers are avoided" says Mr. Hamii
ton. ITO gain favor with the press
for increasing their revenues, outrag-
eous propositions, such as the 10 per
cent tax proposed in Arkansas, or ab-
surd propositions like the Michigan
bill, where a doctors certificate of i'll
health would excuse the payment OF
the insurance premium and keep
policy in force; or the Virginia bill.
making it actionable for life insur-
ance agent to enter the Office of a man
with a sign mo agents allowed Is
displayed, find legislative favor. How
ever ridiculous these bills may seem
they demand attention.
AT the capital of every state we
have either retained representatives
for the companies, or are in co-opera-
ton with some one who has retained
representatives duly influential. 1t
has been found advisable, as the result