New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1905-12-15
PLAN HIS RUIN, HE SAYS.
Precedent Life President accuses
Equitable of Stealing Records.

The production Of file of old letters at the
insurance investigation yesterday afternoon
caused one of the most unexpected and dramatic
incidents that have marked the whole investiga-
ton. The letters. dated 1897, were correspond
ence between James W. Alexander, then vice
president Of the Equitable, and Edward w
Scott who was at time third vice-president
Of that society and is president Of the PTovi-
dent Savings Life. The letters referred to claims
of the Equitable for unsettled balances against
Mr. Scott amounting to about S5S,OOO
When Mr.. Hughes started to read these, M
Scott, who had previously declared that he did
not owe any money to the Equitable, stood up
and made an imprisoned plea that the reading
should not proceed. He charged that the letters
had been supplied by his enemies; that agents OF
the Equitable had been employed to steal records
from his Office, to ipjure his business and de-
stroy his reputation and that of his company.
His bitter outburst was as follows:
These letters are personal matter. They
relate to something entirely foreign to the pur-
pose of this inquiry. They represent a personal
attack upon my character Iugged in here for
purposes of revenge.
81 have been pursued by enemies for the last
| five years, and nothing has been left undone to
injure me and my company In the fall of 1900
our records We're taken out by man who had
been engaged by the Equitable for the purpose
of preying upon the business Of my company.
This man was arrested and indicted The plum
der was found in his But yielded to a
personal plea and, for the sake of his mother.
did not prosecute.
FOLLOWING close on the heels of this came the
case of a traitorous bookkeeper of OURS who was
discharged for gambling. He falsified our books
and stole our records Through these channels
this matter has been dug up. and I am ready to
give proof of what I have said.
'These men went to the Equitable company
and made arrangements to prey upon our COM
pany. In these matters I alone am responsible,
both morally and pecuniarily. I submit they
should not be brought here to injure my family
and the thousands OF policyholders in my com
nanv Thew are entirely foreign to the purposes
of this inquiry and I beg the chairman to rule
that they be not read.
This dramatic outburst caused delay while
the committee inspected the letters and then
ruled against Mr.. Scott. The letters were made
q. public record The most important enc read
as follows:
September %. 1887.
Dear Sir: am in receipt Of your letter stating
F taa9 y nedo UNIT S Sff the society Ter old
called tbe current account city" dated February
20 1886 showing balance on that account Eepr1-
8 86 stated S to to Mr wilson and myself after your
Examination Of the statsm len vo wth Mr. C0fSen
In difference to your request, I viii walt few
ther, naming october next as reasonable length
Of time to wait Yours truly ,-.o-rrg
Vice-Presideut Equitable Lie
The other letters related to this matter In
one Mr.. Scott asked for conference. Then
came one from Mr.. Alexander. practically identi-
cal with the first and then further request for
time and subsequent conference by Mr. Scott
When the letters had been accepted as evil
dence Mr. Hughes calmly proceeded to ques-
ton Mr.. Scott, ignoring his protests, but indi-
eating willingness to permit him 10 ten ms
side of the matter
do you owe the Equitable any money!" ne
inquired
II am ready to meet the Equitable ia open
court" replied Mr.. Scott excitedly. Why has
no claim been made upon me during the last
nine years. If I owe them money!"
Mr.. Hughes then reverted to Mr.. ScottsIprevi-
Gus testimony that he did not owe money to the
EQUITABLE, and asked if he now recalled this ae-
count Refreshing his memory by looking at the
documents, Mr.. Scott declared that he had never
acknowledged the justice of the claim ard had
verbally challenged 1t to Mr.. Alexander, Mr..
Hughes pointed out. however. that the letters
of Mr.. Scott did not directly challenge the ex
istence of the debt. Mr.. Scott explained that
in his previous testimony with regard TO &C
counts he had referred to his Australian account
which was settled up by relinGuishmentof -
commissions. He did not recall, how
ever. that he had ever acknowledged tbs. cor
rectness of the s5sO0O claim although Mr.. Alex
ander. In his letter. declared he had.
f"Sfnce this correspondence no demand or suit
has ever been brought or your attention has
never been called TO this natter"
mo" was the indignant retort.
"Did you refuse TO pay the claim because you
thought you were not under any legal obliga-
lion to settler Mr.. Hughes asked
yes: l refused on legal grounds"
And the matter stands just where this cor
left it?"
Yes
JUST A STUPID BLUNDER
Taking up the reports Of the Provident say
ngs Life to the Connecticut and Wisconsin in
ugance departments. Nj. Hughes hit upon an