The sun., 1905-12-13

| the company in 1888 aa an Office boy at 70
per week, and had worked up TO his present
| place The Senator'S salary as president
II so, 900 year. He received as president
when he was frat elected S. 900 year and
percentage Of the cash savings OF the com
pany which brought his salary w to about
$4,000 a year. In 1876, when no started
with the company, he got a salary OF 800
Leslie D. Ward first vice-president,
draws a salary Of 100000 year and Edgar
h. Ward. second vice-presdent and
brother OF tssIis sels 1907 bzat bTotbers
also are members Of the Prlldentials board
OF directors and influential factors IN
] the company's management. Anthony h,
! Kuser, a son-in-law Of Senator Dryden, s
also director OF the company.
Mr.. Hughes took up with Senator Dryden
the purchase OF large block OF the Pru-
dentlals stock by the Fidelity Trust Com,
| pany OF Newark, in which the senator ana
other officers OF the Prudential are in
terested.
Senator Dryden said that he had for
several years prior to 1908 been appre-,
hensive lest the stock OF the Prudential,
should fall into the hands Of dangerous and
designing persons. Many OF the old time
stock holders In the company, he said were
dying of, and the danger OF such CON
tingency seemed TO be far more imminent
than it had ever been before. Also some OF
the stock holders were demanding that they
should have increased dividends on the
stock.
1t was in order to guard against both OF
these things that Senator Dryden got some
Of the stockholders in the company to agree
to sell their stock to the Fidelity Trust Com
pany. 1t was planned that the fldenty
| Trust should buy majority Of the stock! /!
paving 5000 share. It was also planned
that the Prudential Life should acquire a
majority interest in the Fidelity Trust Com
pany. The trust company got a ma lorltyr, =,
! more than 20 600 shares--of the PrndentaIs
stock At present the trust company holds
however. only l9, ,993 shares. few shares
were sold because of opposition on the part
Of the minority stockholders. Wit the stock
held by Senator Dryden and other officers
Of the company individually the Fidelity
| Trust Company ia able. though, to control
| the Prudential.
TRUST COMPANY CONTROL.
The pr,dsntial after the Fidelity Trust
bad ac1,ired n ma iority ~ the stock. found
| that II was unable 10 invest sufficient money
! in the trttst con1pany's secrIrities to control
That instit,,t ion The insurance commis-
sioner in Massachusetts object ed to the in
vestment Of a,Ich a large sum in the stock
Of any one institution, and this and litiga-
tion on the part Of a minority of the stock
holders blocked the scheme,
The Prudential holds. however. $3.50 900
Of the Fidelity Trust Company's stock, and
the officers of the Prudential company
are large holders in the trust company,
so tnat tne fTuuentlal ana ltS DlllCtTH are
aole 70 control the slt1a,sotl. mr, nIx;nee,n
at .tde ,,,t u; u, bic , and tba Ward
sooeh IeeioeIJ oid ~ ,me,bar tbay
ihlIiiies. ne sa'h ,nS' S stool, esiiss
Propaoly owneu ,I,l,u u w W. th ,,.o
~ ware ana naeSr Dn,,dot Ma.u ard ta an,honv
I,cf ~ ol ao, ~ ,ha o' prdentini
arc n nu memhera 1, of tbe ooverning board Of the
riHthTG Me- Grabss sbowad that tba pr,dential's
nuges th . 'Ila1 Ft, NJ r r,,s, Tr,,,
oasI @ paiaitoe pd 49, VIZ, ,t , .i.."o n6o since Nav
ooi' t' De- S. D tn tbat 1--WE tba CASH haIance
rou In ~ 10; a;obbnrbond ~ a. Ooo oo0 The
Eitabia T., iFa aiS a,oS largo boiJer in tho
EiLni;t,, Tn'st Tornapu Jasmes u Hvde
ui;ii;ny II MoInt,,ro Gen,or Roaers Win.
,hrn', and - ian,es W AieTandar Heing di.
rantIr "''u
Senator DRYDEN testified that the Pru-
q rar oant - tbe iinderlving bonds ofi the
p,Hi; pHii; Sar,,io ~ Tornnration 6s Eay Iersev
This MY oonensnv,s Te hnnds anotnt ali told 10
ahn',,t t'at ndG 900 esidas III. it, stnck
;ae,,a. a,,l,'nt 10 obout 400 non noo more
Tba pr,ider,iol hos mada n good many
~ nv ~ p,,huo Sar,.i,o f1ornnratinr;
Sann, oais -, Dr,,Iar Wv, 10 drectnr i, tbe rnrnora.
t;nn az ors his son bis son-in-law, Leslie
I,on, W, ae az ,ha l,e ~ McCortnrs Tbn,pas
\ Nccartar is president Of the rornoration.
Uzal H. McCarter is president of the Fidelity
trust company
PRCDENTlALS BANK sToch hoLpiNnS'
The Prudential is a stockhoder in the
Union National Bank to the extent of
s45o 600 The entire stock of the bank is
a. on0 OOo. Senator DRYDEN was of the
oninion that the Prudential and its officers
do not control this hank. The Prudential
has carried a cash balance with the bank
avera oinp 81 500 900 receiving interest at
tha ATE Of . r,er cent The president of
the banI, ia a Director in the Fidelity Trust
Connanv The two Wards the two Nc
Csrtara son DRYDEN and son-in-law Kuser
ara dirsctors In the I:non National Bank.
Ssnatnr Drvden il vire-nresident of the
ITaelitv Tr,;at Comnany
NJ HugbeS hrorght ont the fact that
,ha wi prndaSt;aI rherter as originally PASSED
oaya tbe nnicv cvhoi(lers the right TO yote
st the animal election, This provision
a. az ",T al;,'ainated ahout thirty vars AGO
,rhe, whe e'''i'.'-"v the comnanv was reorganized
Sn., n-,don sad that he regretted
Ie"ti tSat tbe nr6v;s;on had been stricken our
II,a' He sd IA ,bat the chanee was efFected by
.r'aoiaI oot of the Jegsiet,,r,. to enable the
cpr,nan~ to 90 on a stockholding basis
'osnpano ~ nev,ien ~ D testifed thaf the only
o,'.rih,,tio,a ntria,"i whiob The prndentIal Ind
ada for rn,t;rai murnoses was ss 600 70
,ha RenrhIican ratinnal committec in
~ ~ - 60 a.. ~ ,o,,eo ,,,,,,,i,.o 40