Los Angeles herald., 1905-10-05
SOME INTERESTING FACTS ARE
LET OUT
Loaned Money to President of Metro
poitan at Low Rate and Borrowed
Some Equally cheapIy-Low
Rents for Relatives g,
BY Associated Press.


was brought out in the insurance in
vestigation last week, but today Presi-
dent John A. Mccall of the New York
Life Insurance company testified that
he in turn borrowed $4,000 from the
Metropolitan at the same rate. This
was in January 1903; the loan was re-
newed in January, 1904, and ran untp
March, 1905, when the rate of interest
was advanced to two per cent, at which
rate it is still running.
Mr. Mccall testified that he was a
director of the Metropolitan Life In
surance company, but not stock
holder The fact of his being a direc-
tor, Mr.. Mccall continued, did not deter
him from procuring a loan at as low
rate of interest as possible, when II
was to his interest to do so.
Somewhat of a sensation was created
in the late hours of todayS session
of the legislative committee which is
investigating the methods of life insur-
ance companies, when Neill F. ToWner
of Albany was called to the stand and
disclaimed any knowledge of the
whereabouts of Cancelled checks of
Judge Andrew Hamilton of Albany.
Mr.. Towner testified that he was asso-
ciated with Judge Hamilton in the
practice of law in Albany. Mr.. Ham,
ilton's account was again under inVes-
tigation and Mr. Mccall had been ex-
Cused for a few minutes while Mr..
Towner took the stand.
Cancelled Checks Missing
Mr.. Towner testified that he made
deposits for Judge Hamilton, but not
while the latter was in Europe. He
had taken some Cancelled checks from
the Albany Trust company early in
September and had thrown them into
drawer in Judge Hamilton's desk.
He had no occasion to look at them
again until last week, when he re-
ceived the subpoena to appear before
the committee. He was asked to bring
these checks with him, but when he
locked for them they were gone. He
had no knowledge. he declared, of
could have taken them. Pressed by
Mr.. Hughes, he said almost anybody
had access to the drawer in which the
checks were placed.
Mr.. Mccall. resuming, was asked
about a deposit to the credit of Judge
Hamilton of $162,041 on September /,
1905. Mr.. Mccall said the New York
Life Insurance company had paid Mr..
Hamilton no money, but suggested that
part of it might have come from the
state controllers office by reason of an
ccme toe the judge by reason of his
securing the repeal of the tax law
which relieved the New York Life from
payment of taxes. Judge Hamilton was
to have one-third of the amount that
would rebate to the company, sum
Of $272, 900, netting Mr.. Hamilton about
$50 900.
Another interesting point was brought
out by Mr. Hughes just before the COM
mittee adjourned for the day. Edward
Devlin. the real estate manager of the
New York Life Insurance company,
vas again called to continue his testi-
mony of the last week relative to the
real estate values of the company's
property in this country and abroad.
Mr. Devlin had had to consult records.
and presented a number of transcripts
to the records.
1t developed that the New York Life
had acquired by foreclosure an apart
ment, house in one of the most desir-
able residential sections of this city
and the cost, with improvements
deemed necessary was $780, ,SS5, the net
income from this property was found
to be .023 per cent on the investment.
Among the improvements was the
throwing two apartments into one of
nine rooms with two baths. These
were rented fer $500 and $500 a year.
1t then developed that four of the
tenants were the immediate family of
President Mccall three sons and SON
in-law Mr.. Devlin was asked who fixed
the rental of these properties, and he
said he discussed it with Mr.. Mccall.
Contributions for Republicans
Mr.. Mccall enlivened the days pro-
ceedings further when he said that
there was no record on the books of
the New York Life Insurance COM
pany of the S150,000 paid the Republi-
can national committee for contribu-
tions to presidential campaigns. While
he had no personal knowledge that the
money was paid, he assumed it was
because he had told the treasurer to
make these payments.
Earlier in the day Mr. Mccall. in de-
failing the general legislation work OF
Judge Hamilton and the counsel he
employed. denied any knowledge of
the legislative pool which was dis
closed in the examination of Alfred w.
Maine, auditor of the Equitable Life
Assurance society. last week. Mr.. Nc
Call on this question made the state
ment that three-qudrters of the bills
affecting life insurance companies were
in the nature of blackmail. The officers
of the companies were worried at the
beginning of each year. he said, by
the proposal of laws that would ham
per their companies, and these officers
'really trembled at what they would
have to endure the first six months
of each year"
While Mr. Hughes was engaged in
looking up some documents Chairman
Armstrong took the opportunity to
ask Mr.. Mccall If he had ever given
any thought as to the feasibility Of a
standard policy that should be written
by all companies.
Mr. Mccall said that he had and
that he thought II some such policy
could be devised it would be good
thing.
Rufus Wells Weeks, second vice
president of the New York Life Insur-
ance company, was another witness to-
day. He went into the technical de-
sCription of the various forms of poll
cies, the tables upon which the cost
of life insurance is computed and the
various other computations of his de-
| partment.
The committee adjourned until to-
morrow morning. with Mr.. Devln still
explaining the real estate holdings of
| the company.