The semi-weekly messenger. [volume] (Wilmington, N.C.) 1897-1908, 1905-11-17

= Ycar-Syndicate Operations of j. p.
Hyde and Associates Gone Into.
Reasons for tie Settlement OF n
shipbuilding Company Suit by the
Mercantile Trust Company.
New York, November Thames
HaZeu Hyde, former vice president of
tie Equitable Life Insurance Society,
whose resignation followed the sensa-
tional disclosures in that company last
spring which led to the investigation
Of insurance company methods by the
Armstrong committee of the legisla-
lure; the a whose presence as a wit
pess before this committee has been
looked forward to in the expectation
that it would produce the greatest SEN
seton OF the investigation. appeared
the committee today.
Hyde's III on the stand was
o(e Of composure and deliberation,
and his replies to questions from
sci were calm and deliberate, and Of
the times studied. He was fortified
with statements and data. and was
very frank in his explanations. Ere
4uently lie would become bitter in his
reference to some Of his associates. and
while his entire testimony was Of deep
interest and cleared up many points
that nave heretofore remained in the
dark, it was not until late in the day
Ikatthe sensational feature of his tes-
Wchy were developed.
MIR. Hyde was called to the stand
shortly after the session opened this
morning and he was under. eXamina>
ton all day until a few minutes be-
fore adjournment was taken. In an
ticipation of his presence as a witness.
there was a greater crowd tina has at
tended the sessions of the committee
heretofore, and extra police were sta
toned in the corridor without the COM
mittee room to keep order.
Mr.. Hyde cleared UP the matter OF
the $3.50, 600 loan of the Mercantile
Trust Company, which appeared on the
books of the Equitable Life under the
caption of the u. w. Alexander No. )
account" THIS account has been I'M
der Investigation on several previous
occasions, but one of h witnesses
heretofore examined has been able to
explain it.
Mr.. Hyde first heard of this account
i'll the fall of 1902 when it was called
to his attention by President AleXan-
der who said that he and Mr.. jordan
had incurred the loan to take up stock
that was being hid up to fictitious
values, to the detriment of the COM
pany, to settle suits that were hamper
ing the business of the Society, II
for campaign contributions, Th1s
contribution was the one to the last
empaign, and was asked by Mr.. Frick,
NnO suggested it for the benefit OF the
Society. To procure this money Mr..
Alexander had Mr.. Hyde write a letter
TO the president of the Mercantile trust
Company, and this letter practically
placed him in the position OF a guar
anteer.
Later, when the settlement of the
loan was forced, Mr.. Alexander II
Mr.. Jordan raised all they could TO-
ward it. The stock purchased, Win
part of the loan, was sold to Ihomas
f. Ryan for $4,000, and the balance
$212,5O0, Mr.. Hyde paid personally:
He did this because he understood that
Mr.. Alexander was financially en-
barrassed and in a bitter o said:
Notwithstanding the strained rela-
lions with these two gentlemen, Alex
ander and Jordan. l felt bound to see
that the debt was liquidated by reason
OF the letter Mr.. Alexander extracted
from me-
Mr.. Hyde said that he first received
Il salary of 10000, seven years ago.
In 1902 when he became chairman or
the finance committee, this was ad-
yanced to $4,000 and In 1908 it was
advanced to 100000, at which it re-
NAMED until he resigned as vice pres
ident of the society.
Mr.. Hyde presented a statement
showing that in the seven years of his
connection with the Equitable Life.
and the allied corporations, his average
had been only a little more than $4,000
q year. This was figured as seven
years salary from the Equitable
amounting to $435,0O0 from which he
deducted his losses in syndicate trans
actions, amounting to $2S,615, II the
S212.5OO paid on the S6S5,0OO loan
Bkhich left a balance of $193,SS4 or an
Arage annual income of S27,69l, to
which was added the average income
from his offices in the trust companies
of S1O.5OO. Witness said he presented
this statement to show that he had
been misrepresented.
He was asked to make an allotment
Of certain bonds of a syndicate 70
GEORGE III. Squire, trustee, but his curl
was not aroused. He had Silce
ed, however, that the account was
L. T~~In~