The sun. [volume] (New York [N.Y.]) 1833-1916, 1905-07-12

3l6 Broadway
and Seward Webb were to guarantee TO the
.. And save 1t harmless from taking those
bondsy A. Yes. sir
Soy WV nv ;Sat nsv ss' ~s ssF ,ho"sh
really don't know.
q Yop agreed to gpsrantss those o SndT1
have to refer, that to the manager and the
lawyer who did IL,
mss ssy do ON yG go sh' Of sny R'D1t
AZ . lawyer don think so. andl am Informed
by the counsel OF the receiver that F" ooes
Further testimony regarding Mr.; De-
Brown, superintendent Of the Equitable's
bond and mortgage department; He said
that, II. b. Anderson, counsel for the
Depew Improvement Company, had gwen
him the impression that Mr.. Webb and Mr.
Depew contended that there WAS no per
said that he had spoken to Mr. Depew on
the subject and that Mr., Depew led him
to believe that he was going to see the
Equitable through without loss.
3 What did he say In sn l sdss a. Hs
into this matter by Walter Webb-who Is now
deceased / believe, brother Of Dr.. Seward
him V wit tho, II. his p consent and that he had
sunk si?6, 900 to $3.50, 900 OF his owp money In
1t, which he was willing to lose II neoe ssary
and get i out without loss. 49,, l.,
s xSsdP IS tie |. MI harmless for the
9 That promise on his part has never been
red"ed ,9 wr,hnfg except 90 snr as 1t ap
personal promise Of the sort was not legally
b1dGns a. ddn knew low II YES pes sT made the
SAME statement to any other person in your
presenceY A.. He made that abatement to the
Y To Mr.. Jordany A. Yes. sir
DEpEw's PART IN SALARY INcRRAsEs-
Mr.. Depew wac reminded tat he and V. P.
Snyder recommended the increase OF the
salaries Of President Alexander and Vice
President Hyde and was told that some per-
sons thought that Hyde was getting
pretty large salary for the work he was
doing. Mr.. Depew declared that at the time
Of the increase the conpany,s business had
salaries were justified. He said that had the
elder Hyde paid more attention to his per
sonal fortune and less to the society he might
have left much larger estate and admitted
that sentiment had much to do IN making
the increased allowance for young Mr.
recommended the increase OF Hyde salary.
to 100000 he was not aware that Mr.
HYDE was receiving about 32s 600 from sub
sidiary companies Of the society.
Jacob H. SchiH was questioned mostly
about the dealings which his firm, Kuhn.
Loeb 4 Co., had with the Equitable, Of which
Mr.. Schif was a member Of the finance COM
mttee. Mr.. Schi1. according to his own
testimony was dummy director for about
twlve years. When he became director,
he said. five shares Of so-caled Hyde stock
were transferred to his name to qualify
him, but when the trouble in the society
came to head he bought five shares of the
association 4 stock from Comptroller Thomas
d. Jordan. He said he paid $4,000 share
for it, Many Of the questions asked OF Mr..
SchiT were prompted by parts OF the records
of the association.
Il note by this paper said Mr.. Hen;
bricks" that on May rs. 1904, you sold
81, Toe, 900 of the Japanese 0 per cent. sterling
loan at 93la and interest, and on June ~
you sold y, 4ss,5so OF that loan at ca and
resold sl.lol 2s3 at s,1> fiat to your COM
pany. Do You think that was good sale
TO them at that timer
.The executive committee decided, unin-
fnenced by any member Of the firm of Kuhn.
Loeb 4, Co.. when they want to BUY ana
Mr.. Sohif. Il have never thought to in
fuenoe officers or members OF the executive
committee as to what they should do. II
they had waited longer they would have
made a very large profit on these bonds:
Perhaps the officers thought they needed
the money; perhaps they thonght' it was a
good time to sell; perhaps they Thought they
could buy them cheaper again
KUHN, LOEB a co, BOND SALES.
The EQUITABLE then bought 81 400 900
of second series bonds from Kuhn, Loeb
A Co. at ssI4 and sold them at 94H.
few days after the sale the bonds went to
par Mr. Schiff made this explanation Of
the companys selling
great victory for the Japanese. want
to repeat that l never asked the officers
of the Equitable society to sell us some
thing that they had; II they wanted to resell
sonnet hing 1t Ia for Some reason which their
own committee has decided, and naturally.
we being dealers In those bonds, when
they said make us an Offer we did, which
was almost the market price. We offered
the bonds to them, but have never solicited
a resale to us.
It was also brought ont that on July 8
Mr.. Schiff's firm sold to the Equitable
81 600 600 In Metropolitan AZ of 20o2 at e7l5.
less one-half and interest. and that these
bonds are now worth only OIL.
Mr., Schif declared that his firm had
never sold any Union Pacific preferred to
the Equitable, or, in fact, any other stocks
RECORD FALsIFlEp. SAYS sCHIrP
O The record sho ws that on Jan. 20. s5oo, 900
of the Union PaclIc preferred STOCK was
purchased from Kuhn. Loeb 4 Co. and au-
thorized by the finance committee Feb. o.
1909 al 100.
4, There are two errors in there. N the
first place the nnance committee could not
aut horize the purchase OF snything + he
other is that the record must be wrong. for
| repeat my statement that Kuhn. Loeb h Co.
never sold Union Pacific preferred stock
to the Equitable Life company.
record or Tie record p%y f Sa false you the
Q 1t was approved Feb !, 1909. by the
finance committee, present krech. wilson;
Depew. Schir. Snyder, the president and
sIrance company may have bought Union
Pacific preferred stock: IL certainly never
bought any from Kuhn, Loeb 4 Co.
o. The statement here Is from Kuhn. Loeb
4 co The statement must DO wrong
q, Ia the Equitable Life in a synd loate %
buy Union Pacific pr eferred stock 4. To
my certain knowledge the Equitable Life Is
not In any syndicate for I'm ion Pacific pre-
ferred which Is under the charge Of Kuhn.
o. Ia James H. Hyds1 A. Wouldn't you
better ask that question Of Mr.. James Ii.
q. The record shows that the Equitable
Life Insurance company paid to Kuhn. Loeb
90. on Jan. %, 1909. s5oo.OO0 for 5000. 900 of
that stock: on July 10, 1909, ii paid 5000 Ooo TO
Kuhn Loeb Co. for $4,000 Of that stock
and on July 20. 1900. they paid $4,000 for
Sss0. 900 OF that stock. They say Snyder and
Deminv were the only men at the finance
committee meeting on July 20. but on the on.'
OF July IB were present Mr.. Squire, Mr.. Scilh.