The Minneapolis journal. [volume] (Minneapolis, Minn.) 1888-1939, 1905-09-21
HUGHES PREDICTS
MORE SENSATIONS
New York Insurance Inquiry Is
Expected to Develop in
Interest.
PERKINS, THE MAN OF
TWO JOBS, ON STAND

New YORK Lilies vice ETeSlQeuGS
Partner of Morgan, Is Again
Quizzed. -
New York, Sept. 21.-The probing of
the methods of life insurance companies
was resumed today by the Legislative
! investigating committee.
Before the days proceeding were be-
gun, Charles E. Hughes counsel to the
of more Importance and greater inter,
4Ss than any developed thus far still
Pemair to be brought out. :.
"We have not yet reached the meat
OF this inquiry" said Mr.. Hughes, Gin
fact we have only started it,
Perkins Again a Witness.
George W. Perkins, vice president of
the New York Life, and partner IN
Co., was a witness again today: He
was asked to produce the check for
100000 given to J. P. Morgan & Co..
by the New York Life for 100000 of
bonds of the Navigation syndicate.
These bonds were sold by the New York
Life to J. iPerpont Morgan & Co., at
the close Of the calendar year, Dec. 81,
o.
ness day, Jan. 2, 1904. The check was
offered as evidence.
An accompanying check for 1906, Mr..
Perkins said he did not know about,
but would look it up. The check of
J. P. Morgan & %. for $S0O,O0J, in pay
ment for the bonds, also was asked for.
Mr.. Perkins then presented state
ment of the New York Life Insurance
company's joint accounts frfom 1897
to 1905
Perkins Changes Reply.
Mr.. Perkins also presented number
of other financial statements that had
been requested. Then he said:
"Mr.: Hughes, I think I have every
thing YOU asked for. I wish to make a
correction on the records. / think you
assumed the object of the navigation
syndicate transaction between the New
York Life and J. P. Morgan & Go. was
to enable the former to reduce their
holdings temporarily from $4,oOO,0O0 to
100000. You asked whether our pur..
g.ose was to report $3,200,00Q instead
of $4,0OO,0OO. The record as furnished
me records me as answering, Yes, sir.
] wish to correct that. / didn It NEAR
that. I don It mean it..
sfYou mean to say 'N'?'' asked Mr.
III mean to say mo, - replied Mr.
PERKINS,
Held to the Subject
Here Mr.. Perkins tried to take W
another subject, but Mr.. Hughes woult
not dst the witness proceed, but salt
he woud come to that later. He aske'
Mr.. Perkins to produce all certlhcate
the New York Life held on Dec. 81
1908, showing it's partici patton in tn
navigation syndicate and he particular
Nv wished to know what instrument o
certificate the New York Life del1v
cred to J. P. Morgan on that date.
"I will be glad to furnish the infor
nation" said the witness.
| found a participation of the New Yor!
| Life Insurance company with Z.
| Wing & Co., in which, on the purchas
of railroad bonds to the sum of $1,79O
900, the New York Life received
profit of $32,7O5.
| The witness did not know what prot
| its c. T. Wing & Co. got in the tran
saction.
stFrom this account it looks as
the New York Life put up all tn
money said Mr.: Hughes. "Do 20
know whether that is true or not9'
CT do not. I am not the bookkeepe
but 7 presume the accounts are CO.
Paid Out Million.
Mr.. Perkins was temporarily e.
cused and Milton Monro Madison,
bookkeeper of the New York Life, We
called. He identified extracts fro
ing that in the Wing & Co. account, til
New York Life paid out $500, OO
Sonic bonds weer Withdrawn by the il
curance company leaving $1,2SO,OC
bonds in the joint account.
Mr.. Perkins was recalled and sale
"We went into this transaction
get these bonds as cheaply as possibl
fear sir, that your are under the in
preston, that we went into this bus
ness so as to let others make none
out Of the action, but that is not so.
Hughes Demands Facts.
"We will skip the motive" inte
rupted Mr.. Hughes. 'Let us get
the facts. [ do not wish to discu
the matter. at all you you. Let us ha'
the facts.
"All right. sir. @s''
, "Did the. New York & Security Tru
p company buy any bonds for your col
Il years before ] took charge of Il
finance department of the company.
II Mr.. Perkins said that in 1898 t
L New York Life took $2,10O,0O0 Of CT
osRas in ont aetoant WITH & Refd
Sachs & Co., a portion of which W
sold with profit for the life inst
ance company Of $13,7 TAO.
Losses to Be Shared.
Bookkeeper Madison was recalled a.
testified that the profits were shar
by the life insurance company a.
Goldman, Sachs & Co., and that if the
had been loss it would have be
equally shared.
Mr.. Perkins again took the stand a
said that in another joint account wi
Goldman. Sachs & Co., the latter co
panies bought the bonds amounting
II $1,490,000 and that the New York Ii
Insurance company carried them un
: they were sold. The profits were
vided, each receiving $12,1S4.
It was shown that the profits of
New York Life from 1899 to 1901,
elusive in joint accounts, were $685.
Why Bonds Are Bought.
Testifying regarding another BIO
transaction, Mr.. Perkins said that Go
man, Sachs & Co. bought the bonds
Gontinned on Cd PAGE. 5th Column