Albuquerque morning journal. [volume] (Albuquerque, N.M.) 1903-1926, 1905-11-15
OPENEDDOOR
OF PEOPLES
TREASURY
Most Sensational Testimony
Committee Has Heard.
HARTMAN AND FRICK
SOUGHT TO EXILE HIN
Petted Son Tells How He Came From
College to $4,000 Job and
How He Was Used by
y Smarter Men.


New York. Nov. 1l.--Jamcs Hazen
Hyde, former vice president of the
Equitable Life Assurance society
whose resignation followed the sensa-
tional disclosures in that company last
spring. which led to the investigation
of the Insurance companies methods
by the Armstrong committee of the
legislature: the man whose presence
as u witness before this committee h;ttl
been looked forward TO In the eXpecta-
tiOn that II would produce the greatest
sensation of the investigation, appear
cd before the committee today.
Mr.. Hyde's manner on the stand was
one Of composure and deliberau1n,
and his replies to questions from coun-
sci we're calm and deliberate and Oft
times studied. He was fortified With
statements and data, and was very
frank in his explanations. Frequently
he would become bitter In his refer
ence to some of his associates while
his entire testimony was of deep in
terest and cleared up many points that
have heretofore remained In the dark,
1t was not until late in the day that
the sensational features of his testl-
mony were developed.
MI. I11ut WIS tdiitN W ltit HAttllb
shortly after the session opened this
morning. and he was under examina-
tion all dav until few minutes be-
fore adjournment was taken.
In anticipation OF his presence as
witness there was greater crowd
than has attended the sessions of the
committee heretofore and extra police
we're stationed in the corridor without
the committee room TO keep order.
The Alexander Loan.
Mr. HYDE cleared un the matter or
the S6S5.000 loan of the Mercantile
Trust company which appeared on the
books of the Equitable Life under the
caption OF the -. w. Alexander No
account" This account has been
under investigation on several previ-
GUS occasions but none of the witness
es heretofore examined had been able
to explain IT,
Mr.. HYDE first heard Of this account
in the fall of 1902 when 1t was called
to his attention by President AleXand-
err who said that he and Mr. Jordan
had incurred the loan to take up stock
that was being bid up to fictitious val
ues to the detriment of the company;
to settle suits that were hampering
the business of the society. and for
campaign contributions This contri-
button was the one to the last cam
paign and was asked by Mr., Frick,
who suggested that 1t was for the ben
eft Of the society, To procure this
money Mr. Alexander had Mr.. Hyde
write a letter to the president of the
Mercantile Trust company, and TINS
letter practically placed him In the po-
sition of a guarantor.
Later when the settlement of the
loan was forced. Mr. Alexander and
Mr.. Jordan raised all they could to-
ward It. The stock purchased with
part of the loan was sold to Thomas
F, Ryan for $212.O0O and the balance,
S2f2,50O MI HYDE paid personally,
He did this because he understood
that Mr. Alexander was financially
embarrassed and In a bitter tone
said:
Notwithstanding the strained rela-
tions with these two gentlemen (Alex-
ander and Jordan). | felt bound to
see that the debt was lquidated, by
reason of the letter Mr.. Alexander ex-
tracted from me-"
Grew Valuable Rapidly.
Mr.. Hyde said that he first received
salary of $40. 900, seven years ago.
In 1909. when he became chairman
of the finance committee, this was ad-
vanced to $4,000 and in 1903 1t was
advanced to 100000. at which II re-
manned until he resigned as vice pres
ident OF the society
Mr.. Hyde presented statement
showing that IN the seven years of his
connection with Equitable Life and
the allied corporations, his average
income had been only a little more
than s3S00O year. This was figured
as seven years salary from the Eqult-
able amounting to S435.000, from
which he deducted his losses in syndl-
cate transactions amounting to $2s,-
61b. and the s2i2,50O paid on the
$685. 900 loam which left balance OF
Ste3.SS4. or an average annual in
come Of 527.697. TO which gas added
the ayere~ 20 income from his offices IN
the trust companies of $10.500. The
witness said he presented this state.
ment 10 show that he had been mis-
Represented.
Didn't Know Legislative Agent.
The instructions OF Mr. Jordan to A
c. Fields the Legislative generalissl
mo-" as Mr.. Hughes referred to hin
today Mr.. Hyde knew nothing about
He said he never consulted with Mr.
Jordan about legislative matters ant
that none OF the legislative measured
affected him or his interests In an,
wav.
The syndicate operations of ]. II
HYDE and associates were gone int
vfrv thoroughly and It was shown tina
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