New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1905-10-07
IGNORANT OF SALARY.
R.H. McCurdy Shoes Extraordinarily
Tith Mutual affairs.

OF
throughout yesterdays session was marked 81
The outset of the day by the startling declaration
az Robert H. McCurdy, director, general mana
ger and member of the finance COMMITTEES OF the
Mutual who soeInnly affirmed that ne ha"
never the slightest idea what his fathers sdlt'i
was Later in the day when announcer onlciai "a
the company met Mr.. Eughess request hoI ~
formation as TO where the company charseo tue
60 6no Maid TO the Republican Congressional
$500. .,,s e++er,pt at justification resulted
IN the first real scene Of the investigation 10 oale
go the bI,1nt demand by Mr.. Hughes that the
80 a., which, it had been entered be produced
Not univ did Mr. McCurdy declare ms own
tsno-snoa OF his fathers salary, but he arnrIneo
ths+ bs knew no one who could tell ABOUT IT.
14fs -vss the significant point OF departure Oh
SSas days proceedings.
rb. NEXT point Of significant ignorance
.,srtss Mr.. McCurdyAs brother-in-law, the
80 ooo ,or+ner Of C, H Raymond & Co. After
reviewing the contracts Of this firm Win the
.rr.ra1 and its remarkable rates Of commission.
M Hughes mildly asked the witness II ne
Ensy7 what the firm was making. AIthough ne
gas directly In charge of this field MI NC
Cur6y promptly replied that he did not kho"
and had never inquired These pronts OF ui7
nrn, Mr. Hughes pointed out, were approx
rnately $4,000. Then he inquired with some
xharpness as to whether Mr.. McCurdy had not
e.. q a ,ert of his duty to find out whether
%hs hro+her-tn-lavy's firm not getting more
snsn the insurance company could AFFORD 10
nsv. Again Mr.. McCurdy ventured & mono
rTflabSo negative He was associated "Atn 4iiS
nrother-in-law IN business and out, hVeo III INC
same town with him and was positive thal Ie
ss6 not the slightest idea what he was making
out of the Mutual Life
WITNESS BLAMEs THE SYSTEM
This nrovoked Assembly7nan Rogers to inquire
ss Mr. McCurdy did not feel. as the CUSTODIAN oL
funds and acting in a fduciary capacity lha'
rs ought TO have some justification Ior suci! "P
-,s-o,,t -,eeIect MI McCurdy laid all the blame
= che system. declaring that not until two
-.o-4bs ago had he any suspicion of the amount
nr tbsse profits large rewards for large
s,biever1ents" being his justification OF 1hls'
This started Mr.. Hughes on new line ne con-
,ceded the achievements of c. H. Raymond q Co.
INT he insisted on finding out just what proHI
shese achievements melted the poIcyhoIoer.
ssven wears Of these achievements, he showed
h,d onlv increased the dividends to pohcyholders
from So 507 .521 to S2.674.207- He asked Mr.. NC
Cz,rdv 10 tell if this was not due to large ex-
nenses and Mr.. McCurdy thought it was not
necessarily the case; that the DIVIDENDS 10
policyholders did not furnish q fair criterion OF
the prosperity Of the company. Mr.. Huehes
maintained however, that there must some
where be a limit to the amount paid agents. ana
& Co
.eDid It ever occur to you to say to Mr..
rbebaud. in your intimate relations with him,
what are you getting out Of this?'"
aT never asked him about his personal affairs
the witness said cotdly.
.sFsut his personal affairs happened to be those
~ fhe Mutual Life" retorted Mr.. Hughes. coun-
tering quickly.
The next line Mr.. Hughes took involved a
comparison Of the percentages allowed agencies,
Along this line the witness testified that the
Texas agency had a similar hiC1 allowance this
and no other agency. Later it developed that
one of these agents was related to former
Mutual official
Don't YOU think If you offered Mr.. Thebaud
100000 instead Of $4,000 for his services you
could have secured them?" ventured Nh
Hughes The witness thought this might have
been possible If Mr. Thebaud had not possessed
a contract, which came of course. from the
company The attorney Of the Mutual then
suggested that Mr. McCUrdy should have q
chance to say that the New-York rates were
higher because the work was harder, not be-
cause Mr.. Thebaud was concerned. This the
witness conceded with sudden readiness But
q minute later he explaining that the
Texas rate was equally high because of difficulty
isn securing business.
MEMBER OF COMMITTEE BEWILDERED.
why life insurance rates Of profit higher
in Texas7" a member of the committee inquired
an evident bewilderInent at the apparent contra
sdiction.
THE risks are extra hazardous" volunteered
Fthe Mutual counsel.
You mean for afidavits,' retorted Mr..
Hughes. abiding to the famous affidavit Of the
lNeW-York Life to Governor CUlberson regarding
Ic@mpaign contributions.
81 understand you" he continued, IF a terri
tory is thicky settled like Manhattan Island it
Necessary rates,
kspersely settled like Texas II is necessary to
give special rates. This brought a hearty
laugh from the audience and protest from the
witness Following this Mr.. Hughes ran down
the list of relatives Of officials of the Mutual
tYho were placed in various agencies, a list
printed IN another column. This emphasizing
lof the nepotism OF the Mutual provoked the
lcoppany's counsel, who interjected the protest:
IF IL is going 10 be declared a crime for a man
to have a brother, a cousin or a niece by mar
tY!age connected with him in business il seems
Ito me the President viii have to modify his
Views on race suicide But again MIR. Hughes
turned the laugh
''Tt's not crime he retorted Its only ridic-
uIous."
- other agencies. While c. H RAYMOND &, co
lsraSe S247.OO0 in New-York, the Chicago agent
i--f,o was not a relative received only $1,000
81 vas declared. Following this Mr. McC,urd,;
l-s.6 an Imposing list of his holdings in various
i1,Tnnanies banks and trust companies In MANY
- ~I,l,icb he was q director. Then he faced the
lea,,,f5s- question of syndicates, and declared
i-,9tbo,,t hesitation that he had never been con-
,,so.aS Nth anv syndicate in which the Mutual
80 s1+ereste8 or from which Il bought bonds
On fhe burning issue of TebatllS Mr.. McCurdy
s-1l hack on his old habit Of ignorance. He was
eloquent ON the evils of this practice, he told a
AZ