Los Angeles herald., 1905-11-15
BY Associat ted Press.

BY Associated Press.
NEW YORK, Nov. 14-James Hazen
Hyde, former vice president of the
Equitable Life Assurance society, whose
resignation followed the sensational dis
closures in that company last spring
which led to the investigation of the
insurance company methods by the
Armstrong committee of the legisla-
ture, the man whose presence as wit
ness before this committee has been
looked forward to in the expectation
that. it would produce the greatest SEN
sations of the investigation, appeared
before the committee today.
| Mr.. Hyde's manner on the stand was
one of composure and elaboration, and
his replies to questions from counsel
were calm and deliberate and ofttimes
studied. He was fortified with state
ments and data and was very frank in
his reference to some of his associates,
while his entire testimony was of deep
interest 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 tes-
tmony were developed. Mr.. Hyde was
called to the stand shortly after the
session opened this morning and he
was under examination all day until
taken. In anticipation of his presence
as a witness there was a greater crowd
than has attended the sessions of the
committee heretofore and extra police
were stationed in the corridor without
the committee room to keep order.
Mr. Hyde cleared up the matter or
the $685., 900 loan of the Mercantile Trust
company, which appeared on the books
of the Equitable Life under the caption
of the j. w. Alexander No. account
This account has been under investlga-
ton on several previous occasions, but
none of the witnesses heretofore ex-
amined had been able to explain 1t.
Mr.. Hyde first heard of this account
in the fall of 1902, when it was called
to his attention by President Alexander,
who said that he and Mr.. Jordan had IN
Cured the loan to take up stock that
was being bid up to fictitious values to
the detriment of the company; to settle
suits that were hampering the business
of the society and for campaign con-
tributions This contribution was the
one to the last campaign and was
asked by Mr. Frick, who suggested II
for the benefit of the society. TO pro
cure this money Mr.. Alexander had
Mr. Hyde write letter to the presl-
dent of the Mercantile Trust company
and this letter practically placed him
in the position of guarantor.
Later. when the settlement OF the
loan was forced, Mr.. Alexander and
Mr.. Jordan raised all they could
toward it. The stock purchased with
part of the loan was sold to Thomas
F. Ryan for S212.000 and the balance,
1912, 500, Mr.. Hyde paid personally. he
did this because he understood that
Mr. Alexander was financially empar-
rassed 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 liquidated by rea-
son of the letter Mr.. Alexander eX-
tracted from me-"
Mr.. Hydes Salary
Mr.. HYDE said that he received a
salary of $50, 900 seven years ago. In
1902. when he became chairman OF the
finance committee, this was advanced
TO SIS. 900 and In 1903 it was advanced
to $780, 900, at which it remained until
he resigned as vice president or the
society.
Mr.. Hyde presented a statement
showing that in the seven years or
his connection with the Equitable Lire
and the allied corporations his average
income had been only a little more
than S3S, 900 a year. This was figured
as seven years salary from the Equit-
able amounting to $4S5, 900, from whlch
he deducted his losses In syndicate
transactions, amounting to s2s,e15, and
the $212. 500 paid on the $6S5,00O loan,
which left balance OF $193 SS4, or an
average annual income of SS7,6s1, to
which was added the average income
from his offices In the trust companies
of S10,500. Witness said he present
ed this statement to show that he had
been misrepresented.
Eclipsing all the sensational testi-
mony, however. were the statements
of Mr.. Hyde concerning former Gov
ernor Odell and Mr.. Hartman rela-
tive to the settlement of the Ship
building company's suit by the Mer-
camille Trust company. Mr.. Hyde said
that Mr.. Hartman came TO him and
advised the settlement of Odell's suit
as he feared that powerful influence
at Albany would be invoked in re-
taliatory measures. Mr.. Hartman sug-
gested as one OF these measures the