New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1905-09-28

SECOND CALL PAID BY EQUITABLE.
o.--That entire amount, a1S75Oo. was paid by the
d.EThese payments were made on respectively
eA 4 ShG on 39 gl2 49, the qnitabe Life
MRSe GssS got T 9s0k f59@ aid t no9
got back the whole amount
sir; it got back the whole. arnonnt,
Q-Also received on July J. 1902. interest At per
get that? Al will have to look that up. That is
what believe they got back from the other par
Q~That would imply that the otheE participants ant.
the Equitable Life Assurance Society retained one
third Of 900 1t hardly supposaoe that they
syndica t managers7 Al viii have to look that
up Mr. Hughes i lie do not Ike TO TESTIFY ABOUT some
osNo: understand thai yor are not testfyng
patton. but you are looking these matters up from
the records of the society," ,AA:-;Yes. sir.
which paid in these items of interest-not profit
o.-Have you the letter accompanying the check7
Mr. Hughes offer it in evidence and will read it;
]. P. Morgan & Co..
To the Equitable Life Assurance Society: Chicago
Dear Sir: Referring, to our communication OF
June e. we desire to inform you that the synq he
amount Of this syndtca ate o Is sU. OF TnSn
is 10000 yoar share Of which is sa5oO The total
Of the syndo5a tg5 receipt xe at obe egF
Truly your 0'uSf '0' tic !. p MORGAN < Co..
o-Now. inclosed in that letter was check to
the Equitable Society for SS75OO. was there not? A
show pT 6f o e soo sEp Of s How IS
A.lThat is what appears on the books under the
o-Who got the other $4,000? Ave will aseer-
tain from books how the $4,000 was DIVIDED
PAID HIGHER MARKET PRICE.
Mr. Hughes then reviewed a long series of pur-
chases by the Equitable in the open market OF
these Chicago, Burlington and Quincy bonds.
aggregating nearly $2.OO0,OOO. the purpose OF
this being to show that the Equitable, instead
of being able to keep all the $1.5OOOo0 bonds 1t
originally subscribed for by turning the ma
torty of these to its officers. was forced IL
it desired to invest in this security. as it did, to
go out and buy them at a much higher hgure'
The examination Of this point follows:
Q.-What amount of the Chicago. Burlington and
Quincy Joint 4 have referred 70 are IoT TSaps
you can refer to the published report OF Rseem Pee
g. 1901 for that find on !, that f o dafe tbeT issue
Of bonds and the 10000 had beeE applied from
Tim we to time By the and ggg ds 4 d4Ta TO ~
09s II W. security the 5 gqatssp3s
80 an amoUnt not only equal e The gaFtieipS,
ton originally allotted to 1t OF SSONGW, put 70 h
Tine thew TOOK the allotment they may not have
been Tng we 70 ed ony Conjecture about That Of
neither nor know Whd; was dd IN s ibs
oue au purchase s600oOO of these bonds? A-Yes
nd So fg aS the dGeS
parcelIing out the interest allotted 10 II; n 9oos
larger interest In those bonds. A-That is con-
$50 far as you know there is nothing to
dont 'R Rnow If It was called for The Fck
committee made calls for specific information:
so ihsf Sou s don't n? Know fact it
before them or not? ReeV fban Is fb nV' prob
ably didn't ask for it.
DIVISION OF DEAL NOT AUTHORIZED
The examination of Mr.. Winthrop on this Co.
B & Q. transaction was resumed after the noon
recess as follows, Mr.. Hughes asked;
o.-I asked you If you could refer to any action
tee Of the Equitable Lille Assurance Society author
zing or approving any assignment of its partcipa-
cago Burlington and Quincy syndicate transac-
ton? Al find no such resolution on the mlnutSs
than the mere list which reeites the transfer: A.
We haven't looked through the copy books yet
we have letter from Mr.. Squire in relation to
the matter.
check for $4,000 profits was deposited to the eredt
of the society? I've found that Mr.: squire q hod
the Eautaole's participation of $4,000 That was
on July ?, 1902.
1t was brought out that the amount would
have been 81, 233 SO had not $4604 10. repre-
senting interest at 4 per cent been deducted
It was also developed that when the firm of
Morgan & Co. returned the 1887 500 which it
had received from the society on two calls. it
paid S13, 812 so interest making the amount re-
ceived by the society from the firm OF Morgan
s. Co. S351, 312 90. Mr.. Hughes resumed:
Q.-Three hundred and thirty-seven thousand, five
hundred dollars was returned WHICH the Equitable
Did j p 5i Morgan S5a Co make out the cheek to Mr.
DIS It your idea that the Equitable got the
payment and turned over that check to Mr.. Squire?
A.-Pius the s1s q2 50 interest at per cent. and
gave the total 10 the Equtable7 Ayes.
pe cent on tho oa 70 sqse paying interest at
Q.-Then Mr. Squire took the check for ss7 600
profits, paid one-third of that and per cent in
erest on the other two-thrds, so that the Equita-
B Pf Up the @ Gad f9T 9n he shares Of
panies interested and subsequently received back
profits. whereas the other parties got the profits on
their money less the per cent interest on the
Q,-Instead of the Equitable making division Of
2s an ns let 4anT make the 6e 40
entity
SQUIRE'S DOUBLE OFFICE.
Earlier in the day an interesting point was
made by Mr.. Hughes in the transaction involved
in a sub-participation of the Equitable in a
Union Pacific syndicate deriving it's bonds from
the Mercantile Trust Company The point was
considered as indicating the relation OF George
H, Squire to both companies
O.-Then understand that Mr. Squire as treas,
urer of the Mercantile Trust Company after having
written to General Fitzgerald for a payment by
the Equitable Life Assurance Society Of $4,000 Of
Pagme9t as an 9icer of the Equitable Life Asssur
100000? A.As secretary of the committee He
was never an officer.
Q-AAs secretary, Of the committee? Ayes. sir
Or course that Is minute of the actual