The Minneapolis journal. [volume] (Minneapolis, Minn.) 1888-1939, 1905-07-27
GRAFT IN LOANS
FROM EQUITABLE
Son of Dismissed Controller Made
$4,000 Year-Hyde in
Deal.
TO Get Cash, a Guaranty. and a
Fire Insurance Policy Were s
Required-and Sold.
Special to The Journal.

New York, July 27.-Applicants
for loans on real estate from the Equi-
table Life Assurance society were com
PEELED to pay premiums to Frank B.
Jordan, son of the dismissed controller
of the society, for placing with com
panies allied to the Equitable reinsur-
ance, title and fire, demanded by the
society upon property mortgaged TOR
loans. Mr.. Jordan admits he received
from this source $4,000 a year.
Before the Equitable Life Assurance
society would lend on mortgage, title
had to be guaranteed by the Lawyers
Title Insurance and Trust company, di-
rectors in which are James Hazen
Hyde and William H. Mcintyre, the
Equitable s former first and third vice
presidents; Thomas D. Jordan, former
controller, and George H. Squire, di-
rector.
Then the property, if improved, had
to be reinsured in the Continental Fire
Ha Sufar Hyde e' and William II. Mcintyre
are directors, fifteen per cent Of the
premium going to Frank B. Jordan.
Light on the Jordans.
Light is shed upon the connection of
the Jordan family with the fire in
surance business controlled by the
Equitable Life thru statements made
yesterday by Henry Evans, president
pany, and Frank B. Jordan, son OF
Thomas D. Jordan, recently dismissed
as controller of the Equitable society
Mr.. Evans admitted that thru an
arrangement with James Hazen Hyde,
a director of the Continental, the lat
ter company monopolized the reinsur-
ing of all buildings owned by the Equi-
table or held as security, for mortgages
ioyed lucrative monopoly as broker
for the placing of the insurance.
Frank B. Jordan admitted the fact
also, and, while declaring that he made
not more than 100000 year out OF
the transa ctions, stoutly maintalned
that the scheme was entirely legltl-
mate.
The would-be borrower upon q desir-
able piece Of realty found he had to GO
several things which cost money before
he saw the color of any Equitable cash.
He was told that first Of all he must go
to the Lawyers Title Insurance and
Trust company and pay for having the
Searched scar I'd and nd insured at his expense. -
James Hazen Hyde and William Fl.
MCINTYRE, former first and third vice
presidents of the Equitable; Thomas B.
Jordan. former controller. and George r.
Squire, director of-the Equitable are dl.
rectors Of the Lawyers Title Insurance
> company, The title having been passed
at the prospective borrowers expense
and notice Of the fact having been con-
viewed to him, the man in need OF money
would present himself at the mortgage
and loan department of the Equitable
for his loan.
There he would be told that the prop.
erty must be insured in the Continental
company, even If it already was insured
in some other company, and business
had to be done thru Frank B. Jordan,
broker, upstairs
Only One Company.
Mr.. Jordan would explain that moth.
ing save the Continental would do for
the Equitable, and straightway the
building was reinsured for 80 per cent
Jordan poek as n Is per cent Of the
premium paid.
James Hazen Hyde and William H
Mcintyre are directors in the Cont
mental Fire Insurance company. James
lIazen Hyde gives all the orders to the
broker and has pledged tho president OF
the Continental that he shall have first
call upon the insurance not only Of al
mortgaged property, but Of all the build
ings owned by the Equitable.
But the Continental does not Absorb
all Of the insurance Of the Equitable
altho it has first call upon it. Sucl
by Mr.. Jordan to other concerns. Blu
the borrower has got to reinsure thru
young Mr.. Jordan. on the third floor 0:
the Equitable buillinp ANYWAY