Democratic messenger. [volume] (Snow Hill, Md.) 1869-1973, 1905-12-30
LOBBY TO FIGHT
BLACKMAILERS
Insurance Probers Receive Statement
From Judge Hamilton.
REFUSE TO MAKE ACCOUNTING

hon, the legislative agent for the New
York Life Insurance company. who.
according to testimony. has been en-
trusted with hundreds Of thousands OF
dollars by the company and has not
accounted for s235. 900. has been heard
from by the legislative insurance in
vestigating committee, but has declined
to make an accounting.
A statement by MIR. Hamilton was
presented by Secretary John c. Nc
Call OF the New York Life. who went
to Paris to secure an accounting from
Hamilton. In his statement Mr.. Ham
iltOn says that he Is unable TO produce
any books or accounts because he un-
dertook the legislative matters for the
life insurance companies with the ex-
press understanding that he was to
make no accounting. Absolute secrecy
was necessary In retaining assistants.
therefore no checks were used In max
ing payments.
Mr.. Hamilton went into an exhaus-
tive explanation for the reasons for
organizing this confidential service as
he characterized It. covering his meth
DDS Of work. and citing number OF
legislative bills In which he had been
Interested. A list Of expenses from 1899
to 1904 was appended to the statement.
The sum of s235.O00 unaccounted for.
he says. would be greatly reduced by
his running account still unsettled and
open. and. as a matter Of good faith
pending a settlement. he offers to de-
posit 100000 with the company.
In six years. Mr. Hamilton admits.
he expended s720.550 in this work. but
these expenses. He said that lobby
was maintained In nearly every state
in order TO fight attempts to blackmail
the big insurance companies.
Secretary Mccall was questioned by
Mr.. Hughes as to what further light
he could throw on the statement OF
Mr. Hamilton, but he said he could give
no information. He did not question
Mr.. Hami!ton's figures nor the large
amounts for travelling expenses. He
asked Mr.. Hamilton for a full state
ment and relied on his honesty to ex-
plain everything He did insist that
Mr. Hamilton produce checks or check
books. but Mr.. Hamilton said he had
none
When Mr. Mccall was excused Henry
ID. Appleton. OF the state insurance de-
partmcnt was called He completed his
testimony. begun last Friday. and dur
Ing the examination was told that Mr..
Morgan. former president OF the Bank
ers' Life Insurance company. had tes-
tiled that MIR Appleton had said II
would cost the Bankers Life $4,000 to
r.incorporate. Mr.. Appleton somewhat
heaicdly said: 'lf Mr.. Morgan said
that he IL Il liar" He was called To or
der by Chairman Armstrong.
I.onia r. 'ayn. former superintendent
of insurance of the state of New York,
was called 10 the stand and explained
largn number Of appointments of con
iidential examiners ON the ground that
nm unusual number Of examinations
were nlade during his tenure of Office.
MI. tl"tH'S Ih'uF''u ist Wui'H
showed that In 1897 Two examinations
we're made and In 1888 two more were
made. while in iS99, the last year OF
Mr. Payn's administration. the number
had not bern brought out when ad-
jouinment WIS taken. The affairs OF
the Mutual Reserve Life Insurance
conpany We're taken up with the wit
ncss. ?nd during this line OF examina-
tion Mr.. payn stated that he had been
opposed 10 Mr. Bnrnham as president
ol the Mutual Reserve. and said he had
tried 10 get him out.
Mr. Hughes asked why he had tried
10 get him ont. and Mr. Payn flatly
stated. because thought him a
crook"