Deseret evening news. [volume] (Great Salt Lake City [Utah]) 1867-1920, 1905-12-27
AND he DID NOT GIVE ANY.
Cannot Produce Any Books With
These Accounts in Because
He Kept None.
If Government Could Have Secret
Service, Insurance Companies Could
Have 40 Confidential One.

New York, Dec. E.--JOhn &. Mccall, Sec
rotary of the New York Life Insurance
company who few days ago returned
from Europe, where he went TO get an
accounting Of money advanced to Andrew
Hamilton, was the first witness in the IN
surance investigation today when the last
week OF the committees work was taken
up.
Mr.. Mccall said he saw Hamilton In
France and that Mr.. Hamilton was seri-
ously III, though able to walk about MI
Mccall also presented physicians GER
tincate describing Mr. Hamlltons illness,
and stating that the patient coud not
undertake voyage OF leave France with
in two months.
Mr.. Mccall said he asked Hamilton for
his check books. but Hamilton refused
to give them up, saying that the STUBS
related to his own personal business MI
Mccall did. however, get a statement
from Hamilton regarding the expenditures
OF funds entrusted to him by insurance
companies. The statement then was pro-
duced and put in evidence.
Mr.. Hamilton. in his statement, tells
why he cannot produce vouchers Oh
cancelled checks to show to whom and
In what amounts he has paid OUT
money. The statement Is to the eHec,
that in consequence of the accepte1
understanding of the companies inter-
ested with the New YORK Llie III
watching legislation, mo demand was
made by me for vouchers from othel
people, nor were there any books OF
accounts kept by me covering Same 3
1t continues:
Nor are there any OF my CHECKS 70
produce. Payment by my check wouid
necessarily have disclosed the fact tha'
the persons receiving the check was
under retainer by me and would thus
have necessarily hampered that por-
ton of m" work that was most einca-
clous, namely, absolute secrecy Cash
drafts aud certificates were generallI
preferred ! cannot produce my chech
book or cancelled checks which relat'
to affairs other than those OF the New
York Life Insurance company can
NOT produce any hooks Of these partic-
MAR accounts because none ever was
kept by me. Even II ! did possess
them. it does not appear to me tha'
the demand for them would be ram
and honest one. The understanding
that I had undertaken this work was
6istinct and thorough II II had MOI
been so, / would have declined the
task"
Mr.. Hamilton, In opening his state
ment. expresses regret that he cannon
return TO the United States at present
because Of his health. Al the time Oh
his employment in Chicago OF the bu-
reau OF taxation and legislation OF the
New York Life, the life insurance
companies feared that unless concerted
action was taken they might practlcaiiy
be legislated and taxed out OF existence
"The usual practise OF depending
alone upon counsel TO attend ana pre-
sent arguments was determined TO De
insufficient" says Mr.. Hamilton "Thc
very fact that the great life insurance
interests of New York favored or OPP
posed pending legislative appropriations
would itself often concentrate the OPP
position against their views, so likewise
did the knowledge that we were repre-
scented at the capitals of various states
lead to demands that political favorites
should be employed in the role OF coun
sci. which. II acceded 10, placed oul
affairs at the mercy OF those VINO dio
NOT possesS our confidence. These and
CONSIDERATIONS
NAMES to but one conclusion. We felt
that II a secret service was a perms
sable governmental agency. confiden-
tIal service would be the only effective
and at the same time proper plan 70
guard the welfare of the most exten
| sIye commercial interests In the world
the life insurance business OF the
state of New York This confidential
secret service was decided upon as the
only feasible plan of protection. | eN-
planned to the president OF the New
York Life as did the other gentlemen
who were associated with me In this
work to the officers of their respective
companies. that itenlzed accounts by
names, or amounts by separate vouch
ers. details or particulars should no.
be demanded II we were to be held RI
sponsible The protection Of the com
panies under such a plan was ample.
Mr.. Hamilton gives a long summary
OF the various styles Of bills hostile ia
insurance companies, many or them
taxation measures.
"Bills to compel the companies re-
ports to be repeatedly and unnecessary
IN published In newspapers are advo'
Gated" says Mr.. Hamilton, ito gain
favor with the press for increasing
their revenues. Outrageous PROPOSE
tions, such as the 10 per cent tax pro-
posed In Arkansas or absurd PROPOSE
lions like the Michigan bill where q
doctors certificate of ~ health would
excuse the payment OF the Insurance
premium and keep a policy In force,
or the Virginia BILL making II action
able for life insurance agent to enter
tho office of man where the sign No
agents allowed Is displayed, find legiF-
lotlve favor. However ridiculous these
hills may seem. they demand attention,
In Indiana the attempts made to pass
law placing the surrender value OF a
Iife insurance policy upon the list OF
personal property which was taxable
10 the owner.
companies which offered no such ad.
vantages to polcyhoiders supported II
az an attack upon their rivals who
offered this advantage. The measure
however. was defeated. Immediately
the state assessors proceeded 10 tax
policyholders, proclaimng thSt the ex.
istlnx law was broad enough IN H.
terms to cover this. II this was true
OF Indiana, II was probably true OF
many other states In the union. The
New York Life Insurance company
through my department retained EN-.
inent and influential counsel and sue
oeeded by divided cut In defeating