The sun. [volume] (New York [N.Y.]) 1833-1916, 1905-07-26
NOT GUILTY, SAYS HARTMAN.
~rvER COR FAVORS FROM THE
EQUITABLE, me- ADDS.

vecarcs That lie personally hsu uu'
u,c Loan From the society and That
lie Could Have Got That in Other
Quarters on Terms as Good or Better.
rdward H. Hartman issuedia statement
-o,,erday in reference to Equitable ahairs,
doclarinp that there has been nothing IN ms
hu.iness relations with the society which
oil, no, bear the closest scrutiny, and proVl-
;sinc that he will return from Japan in ample
time to give any testimony that may Do
dssirsd Of him. Mr. Hartman will prob
abv leaye to-day on his trip. Here is the
statement
There has been nothing in the relations
II myself or the interests l represent to the
rulitable Life Assurance Society and lts
ollied companies that will not bear the
closes, scrutiny. We have never requested
or received favor from them. The finan-
ciaItransnctions between our interests have
been insignificant and never on terms that
coud not have been readily obtained else
where On the other hand, we have given
,be Mercantile and Equitable Trust oom-
NAMES many valuable trusteeships and all
,hs transactions between us have resulted
in material advantage and profit 10 the
Il personally had one loan with the Equi.
tarle Life which could have been obtained
without difficulty at any other like respon-
slbe institution on as good or petter TERMS
I, was paid because the rate OF interest
was higher than l was willing to pay ana
without my even attempting 10 nave
reduced.
There is nothing in the Union Paclhc
preferred stock syndicate that can DC
criticized. An opportunity was. aValieo Oh
by Mr. Hyde to join myself and associates
IN the acquisition Of Union Pacific preferred
stock on a favorable basis. There was no
nroft or advantage to any one member
Of the syndicate over another, and neither
the Equitable nor any of its allied companies
or any one else was ever requested TO IN
anv way aid in financing the syndicate
Like many other Of the fifty-two dl-
rectors, attended the regular meetings,
which we're held quarterly. but was not
member of any committee nor active in
the management.
The EQUITABLE controversy was started
hv an attempt on the part Of the Alexander
faction to GUST the Hyde faction and 1t was
during that contest that the main body OF
directors became informed for the first
time Of the prevailing methods Of conduct
ing the company's business by both these
factions. This led to the appointment
OF the Frick committee, OF which was
member, and to the Frick report, which
| signed and which fully expressed my
views. I believe the new management
will correct the extravagant methods OF
conducting the company's business poined
ont In that report. In my opinion these
methods involved vastly greater loss to
the policyholders than the particular trans
actions dwelt upon so extensively by the
public press
sJhere has been too much mystery sur
rounding the Equitable affairs. l have
always been ready and willing to answer
sny question asked by any one entitled TO
make inquiry and have never tried in any
way to avoid it. and will return In ample
time to give any testimony that may be
desired.
The personal loan which Mr.. Hartman
admits he got from the Equitable is the
one Of 81. 100000 disclosed by THE Sun
nearly two months ago. 1t was obtained
at Mr.. Har-iman's personal request, Union
Pacific stock BEL, nut up as collateral,
the par value Of which at the time was
$500 600 and the market value 50 $4,000
THE SuN showed at the same time that
thu Equitable society had loaned on Harri-
man stocks aud bonds s5.sSo0oo.
Mr.. Hartman. when the controversy in
the society frat began. was quoted as hav-
ing declared that he had never personally
borrowed any money from the society
When tho news of the q, 7OOO 600 loan was
published he asserted that he had been
bo. ,;rO cot thto
che loan.
hundred Equitable agents attended a
ree,ing in the Offices of General Agent
Archibald C. Haines, at rs Bread street,
Yesterday afternoon. The meeting had
been called by Mr.. Haines for the purpose
OF laying before the agents their prospects
in continuing in the employ of the COM
rany.
Mr.. Tlaines told them that he had re-
quested Mr. Tarbell to modify the provision
OF the agents contract which compels the
agent to devote all his time to the company
under penalty Of losing his renewals The
agents desired this concession until affairs
In the company were entirely readjusted
and confidence entirely restored. Mr.. Tar
bell Mr.. Hanes said, refused to accede
To the request.
According to Agent Algot G. o. Sandberg,
who was one Of those present, and who is
connected with Mr.. Haines's Office, Mr.
Hanes then said that there was limit to
all patience, and intimated very strongly
that he intended to sever his connection
with the company
He told them, however, to try to sci
policies on a commission basis for tenl
days more, to report the results to him,
and at the same time to signify under how
large a salary il unable to continue on
commission tasis, they would continue
to work for the company.
ROCHESTER, n y, July Ex-senator
Armstrong says that the insurance CON-
mittee will meet on Tuesday morning in
the Senate Judiciary Committee room at
at the State Capitol.