New-York tribune., 1906-07-01
UNTERMYER ASKS MORE
dNT,S ENTIRE REPORT.
sags Significance Lies IN What 1t
Fails TO Disclose.

Fails TO Disclose.
,,,g that the Truesdale housecleanins
5,,sa az the Mutual Life Insurance Company
-,;sb rhe uneKpurgated report OF the account
- with the names oe the directors implicated.
.ssn vres suppressed when The final report os the
v,,,see was made public Friday. Samuel
w...-r,ver counsel for the International Policy
,s.-s. Committee issued a stinglng statement
.o,ssv The chief significance OF She report. he
.s lies in what it fails 10 disclose Referring 10
-. .cknoUledRement in the report that nineteen
,bers OF the Mutual board are stockholders in
- guaranty Trust Company and the same num-
- !, the United States Mortgage and Trust Com
- which carry deposit millions OF the in
.,ranee company's money, he declares that the dt-
,ors will some day be called 10 account for
-, dollar they have made in that way He also
s',-rssts that some OF the money now used for ad-
,.rfising might be probably spent in investigating
-, ,1ra trust companies controlled by the Mutual.
rIa refers 20 the profits made by the directors OF
.ba Mutual as stockholders Of various title COM
.n,rs through which much Of the cOmpany's bond
80 mortgage business is done. Mr.. Untermyers
statement follows:
III. most uncompromIsing enemy OF the present
,osrd Of directors could hardly have dared more
;eII1e %bic6 the report OF the independent expert
accountants have forced from tne TWO sentlemen men
Zrbo sign their names as The Committee" After
sosfponing the evil day to the utteTmost limit and
instead Of gTs % of aSp6sure they have tried to
STeak its by Disgusting the ugly facts behind
q ToIfenness and mismanagement thus tardily
forced are worse than ANYTHING yet exposed IN the
Ss5,TiTv Of the present board, although it is Inn
possible 10 e6lietde Of Messrs Truesdaie and
snrbincloss in suppressing the accountants re-
pot ancafeG Ne are also left in the dark to-
whether Messrs. Truesdale and AuehlncioSss loss are are
being screened behind the polite phrases OF TINS
oIs s as are the facts disguised as they are, the
chief significance OF the commlltees eApuL s Ss'g9 Il
sSS9dn sS60d in q what fails to disclose The document
has also touch OF unconscious hunor cohISneu T
dale and Auchincloss tell US that they have care
fully observed the personal characteristics of the
1resent management Cof which they are no incon-
siderable parD and approve OF II And yer, accord,
names and extent Of holdings carefully omitted
States Mortgage and Trust Company, small num-
Avenue ii rust COMPANY etc Many millions of the
eonpany moneys M are are nov 0a @ePoS P see IN gaIt n
Would be- but FOR the fact that the company's vast
deposits are a mainstay Of the banks and trust
companies in which the directors became interested
for the de6eTaJe PurpSse o6 reapng M that reward.
them on the basis Of the great patronage of the
insurance company and for their personal profit.
r ~ @ SeL ,Iisse StIe
is without limit
AS another concrete instance take the case Of the
interested Chow largely the report again sgnifcanf
companies money was invested in the last two
years on bond and mortgage at per cent. Az
Per cent through those companies. while they were
ieee,ying Fer cent or : per cent on the same in
,erest Tsid ~ H. , @ zen ne ne fatI Yl M
rtSst lalu q Iile mortgages ana Ihat paid over
10y the title company meant the scooping Of in
The insurance company for the benefit Of the gentle
men interested in the title companies. AS the in
suralce company was furnishing so per cent of the
capital for these loans, the title company required
alone would yield dividend OF 20 per cent No
companies became very valuable. and that these
Gentlemen prospered, No wonder they rebel against
oo y the discoveries Of the devious ways in which
history Of the high finance Of Insurance stiil re-
mains 10 be told. Where were the present finance
aetens were going on as contracts for millions in
I29 pe+ cent 1a u, p9a @ Per cent return and loans OF
estate? If they were asleep hypnotized worse
think they should have TO superntend the plunder-
III, ~ nj. Peabody wants the policyholders to know
.l me fruth ABOUT the Mutual Life, as at present
ftor ~ +Ee eilI sIoPsLiu INC puUlIcd-
nelng carried under that misleading title and pub
with the names of the directors implicated He
tst i also a PrGfta6ly s spend part Of the money
gatlng the two trust companies that controlled
by The Mutual. and which have thus far escaped
attention There he Will find the vast loans that
eensbed directors Of the insurance company TO
insurance company placed at the disposal Of the
Information.
There was considerable speculation yesterday
70 who received the loan Of $4,000 which the
port refers 10, saying that the law department had
knowledge Of II, and that no'eydence Of title had
been exhibited. The members Of the finance COM
I'.ee ~ @ oL the Mutual, which was supposed to pass
GGharles X Henderson, Adrian !selin. jr James n.
Jar los Hr a - Juli1sta. " MheLner Lnls paruco+
appear IN the Truesdale report.