The Minneapolis journal. [volume] (Minneapolis, Minn.) 1888-1939, 1906-02-09

New YORK Lite insurance company 10
investigate the affairs Of the company
to the directors. This report deals only
with the relations Of Andrew Hamil.
ton, the legislative agent with the
company, and is a severe arraignment
of his methods.
John A. Mccall, late president Of
the New York Life Insurance com.
pany, also comes in for share Of
the committees criticism. He IS
blamed for his methods in connection
with the Nbureau Of taxation and leg
islation" - during the last ten years,
and for allowing Hamilton to pay
out vast sums without proper &C
Special attention is called to re-
mittances of 100000 to Mr.. Mccall IN
London and $134,500 to Hamilton in
Paris in 1900. The purpose Of these re-
mittances, the committee says, it has
been, unable to ascertain, and t recon;
against Hamilton and Mccall for an
accounting or repayment. 81. -,
Mccall Is Sick. r - :.e~es
The committee adds on this point
that application has been made to MI.
Mccall for information regarding the
+ transactions, but that it is informed
| by Mr.. MeCall's family that his -phyd-
cal and nervous condition is such that
the subject cannot be taken. up at
| present. -~
! As to Mr.. Hamilton s. health, which
has been represented as being bad, the
committee says it has been informed
that he was physically able to travel
and has exerted. every effort to induce
him to return to make q full disclosure
Of his payments, disbursements and
transactions, but without success.
The committee also holds both Nc
Call and Hamilton responsible for $751;
900 advanced to Hamilton to pay the
clares was used by Hamilton for his
own purposes. The committee is adj
vised that both are liable for this sum
The committee maintains also that it
is matter for legal adjucation as te
whether George W. Perkins Of the firm
Of J.:P. Morgan & Go. is not liable fol-
the payment Of Hamilton s notes fol
$50 $40. Mr.. Perkins paid this account
the committee holds,x out Of the New
of profits in it's participation in s
F.. United States Steel corporation syndi
cate. 49, -.,.@z
Payment Not Warranted. H.
The committee holds also that thu
payment Of these notes by the compan,
was unwarranted. It is only just to MI
he acted in the matter in entire goot
; faith, that he derived no benefit from
the transaction, and that his liability
if any, is a technical one.
The committee recommends that tn
, law department Of the company lnsti
, tute appropriate legal proceedings t
: carry into effect the findings and con
: illusions Of this report. y r..-..
3 The report is signed by T. P. Fowler
Norman B. Ream, Hiram B. Steele, Al
: gustus G.. PLANE, Clarence H. MackaJ
8 and was unanimously adopted.
For none of the payments to Hami
ton, whether made at the home office o
e the branch offices, the committee state:
h is there any other receipt or vouehe
is no evidence from which the commit
tee or the officers Of the company ca
state to whom, or on what occasion, Q
for what specific purpose, the sums re
ceived by Hamilton were paid out b
him.
IS The average annual sum of $61 90
il was paid to Hamilton from the year
8 1896 to 1905 inclusive. Whether thi
was an ,unreasonably excessive sum til
v committee has no means of determi1
+ ing. -.-.. s.. s. X
4 Hamilton's Statement.
8 The generalities of Hamilton g Pari
= statement furnish no aid in forming
3 conclusion on the subject. Measures 9
! legislation are proposed every year !
= various states which, if enacted, woul
be injurious and oppressive to life il
= surance companies and their policy
holders. These measures cannot be is
! nored and neglected, and the expense
~ of obtaining information about then
20 % Of watching them, and of employin
70 counsel or insurance experts to oppos
. them or secure proper amendments,
% obviously necessary and legitimate 9:
- penditure. It may be that the gres
- bulk of the sum annually dlsbursed b
:, Hamilton was used for these legitimat
$ purposes The committee has no Ii
:, formation that any Of it was put s
= illegitimate uses.
But the fact that there is no, i
:. formation in the records OF the cor
= pany showing to whom the money W.
~ :, paid nor for what purposes, the repo
: 4, declares, condemns the methods an
q system which have been in vogue du
7 ing the last ten years.
The expenditure Of the company
j, this account should not be authorize
- =, or receipted for on a different methC
- from that Of its other expenditures.
. Queer Vouchers
The committee presents vouchers fl
lie sums amounting to $38,5OO betwee
in 1898 and 1905, and says that they we
to be accounted for, but no account W;