The Birmingham age-herald. [volume] (Birmingham, Ala.) 1902-1950, 1906-02-09
Mccall Too is Censured by The
Committee
GOT BIG MONEY IN LONDON
Report Urges That Mccall Be Called
to Account as Soon as He Is
Physically Able to
Stand 1t.

Stand It.
New York, February S.-The special
committee appointed by the trustees Of
the New York Life Insurance company
to investigate the affairs of the company
today made a partial report of its labors
To the directors. This report deals only
with the relations of Andrew Hamilton,
the legislative agent with the company,
and is a severe arragnment of his METH
DDS
John a. Mccall. late president Of the
New York Life. also comes in for share
of the committees criticism. He Is
blamed for his methods in connection with
the Bureau of Taxation and Legislation"
during the last ten years and for allowing
Hamilton to pay out vast sums without
proper accounting.
Special attention is called to remit
tances of $4,000 to Mr. Mccall In London.
and s134.50O to Hamilton in Paris in 1900.
The purposes of these remittanees, the
committee says, It had been unable to
| ascertain and recommends that proceed
ings be instituted against Hamilton ana
Mccall for an accounting or repayment.
The committee adds on this point that
application has been made to Mr. Mccall
for Information regarding the transac-
tions, but that II is informed by Mr.. Me
Calls family that his physical and ner-
vous condition Is such that the subject
cannot be taken up at present. As to
Mr. Hamltons health, which has been
represented as being bad. the committee
says 1t has been informed that he was
physically able to travel and has exerted
every effort to induce him to return to
make fun disclosure OF his payments.
disbursements and transactions but with
out success.
Hamlltons Returns Examined.
The committee states in beginning its
report that 1t has made, with the loyal
and efficient aid of the eompany's Off
GERS a thorough examination Of the re-
turns OF Andrew Hamilton, the executive
agent of the company, and all payments
of money to him. It is believed 1t has OBJ
tanned all information about this subject
that is accessible. The payments of money
to Hamilton were gone into.
For none of these payments. whether
made at the home office or the branch
offices, the committee states is there any
other receipt or voucher than that given
| by Hamilton. and there Is no evidence
| the committee or officers Of the company
can state to whom or by what occasion
or what specific purpose the sums re-
| eeived by Hamilton were paid out by him
| The average annual sum of s6l.000 was
! paid to Hamilton from the years 1894 TO
| 1905 inclusive. Whether this was an IN
reasonably excessive sum the committee
has means of determining. The gen
| eralites OF Hamltons Paris statement
/ s1f4afs IN
| the subject It Is fact. the report con-
! tinues that measures of legislation are
| proposed every year In various states
which IL enacted. would he injurious and
oppressive To life insurance companies
and their policyhoders. These measures
cannot be ignored and neglected and the
expense of obtaining information about
them. of watching them, and of employ
ing counsel or insurance experts to op-
pose them or secure proper amendments
Is obviously a necessity and legitimate
expenditure II may be that the great
bulk Of the sum annually disbursed ny
Hamilton was used for these legitimate
purposes This committee has no infor-
nation that any of 1t was put to ille-
gitimate uses But the fact that there Is
no information In the records of the
company showing to whom the money
was paid nor for what purposes, the
report declares, and condemns the meth
ods and system which have been in vogue
during the past ten years. The expendi-
lures of the company on this account
should be authorized or receipted FOR on
a different method from that OF its other
expenditures For every dollar paid out
there should be a voucher showing to
whom il was paid and for what purpose.
With no subject Is this more neces-
sary requirement than expenditures IN
connection with the proposed measures
of legislation. because OF the suspicious
they arouse and the temptations to I'M
proper use of money appropriated Tor that
purpose.
Commends Special Report.
The committee. therefore practically
eommends the report on this shpJect
made by a special committee on October
1S 1906 which was unanimously adopted
by the Board Of Trustees, The reeommen-
datlon of the committee proYides Tor
full and adequate voucher Tor All sucn
expenditures, a monthly report thereon
by the board. and annual report to the SUI
perintendent of insurance Thls Is the
system now in force in this company
The committee further recommends that
pavments from the office should be con-
fned to matters connected with the OF
6ce and that the charge and conduct or
all action Of the company regarding legs
latlon be committed to the law department
as one Of It's functions.
The committee presents vouchers Tor
sums amounting 70 $3s5oo between 1898
and 1905 and says that they were 10 be
accounted for. but no account was ever
ordered. as to any of them. The commit
tee saws it is advised that an accounting
may be compelled from Hamilton with
resnect TO the money received by him
for the purpose of the so-caled bureau
Of taxation and legislation. that II may
be ascertained to what extent and Tor
what purpose they were used. and to
whom they were paid and proceedings for
such an accounting should be at once
Instituted The committee then consid-
cred payments with which Hamilton was
connected and which are placed In
different category The total Of these
sums is S223 900 for which the commit
tee AYERS Hamilton has not in any way
accounted These transactions were in-
Cured hy the legislative committee and
the trustees say their dates are unnee-
essarv now III Is enough today the
report goes on. that these sums or
money were all paid 10 Hamilton by the
order of President Mccall and the re-
sponsbility for these transactions Is en-
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(cointlnued on Eighth Pags.l