Daily Kennebec journal. [microfilm reel] (Augusta, Me.) 1870-1975, 1906-12-29
FORGERY IN THE THIRD DEGREE
Grand Jury Believes, Though, They
Intended Their Acts For The
Good Of The Company.

New York. Dec. 2S.-'The grand jury,
which for the past month, has been
investigating the business of the New
York Life Insurance Co., today return
ed indictments charging forgery in the
third degree against George w. Per-
kris, former vice president Of the New
York Life and Il member Of the firm
of J. p. Morgan & Co., and Charles :.
Fairchid, former secretary Of the
treasury, president of the New York
Security x Trust Co, (noW out of eN-
istcnce) and a member Of the finance
committee of the Insurance co. Mr..
Perkins was in court when the indct
ments were announced He was in
formerly arraigned and entered plea
of not guilty and gave bond in the sum
of $4,000, his Sureties being j. Pierpon.
Morgan. Jr.. who pledged Il city resi-
Gence valued At 100000, and Cleveland
II. Dodge, who pledged unimproved
city property valued At S5o.ly-. MIR.
Fairchild is at present in Europe The
court assured Mr.. Perkins that Il dou-
bic surety was not necessary. but ne
replied that he preferred 1t that way.
When Mr.. Perkins was asked tonight
whether he cared to mank any state
mtnt regarding the action of the grand
jury he replied:
mo, l am more concerned tonight
over the death of President Cassatt
of the Pennsylvania Railroad than with
any personal affairs. The country has
lost a great public servant who de-
voted busy and trying life to the I'M
selfish upbuildinS for public benefit
of our greatest railroad. He died
broken hearted-a heart broken by the
constant bounding of iconoclasts."
Six Indictments We're returned
against each of the two defendants,
but all We're based on the one transac-
ton known as the "Prussian Loan"
the specification under the charge of
forgery being the Justification of book
keeping entries. 1t is alleged that ccr-
tain railroad stocks were transferre!
by the Insurance 60. to the Security
& Trust Co. in order to comply with
the Prussian law. but that the trans
fer was not bonafide.
The grand jury coupled with the in
dictmentS preSentment in which the
jurors placed themselves on record ;ts
being convinced that in doing the acts
charged against them, Mess"s. Perkins
and Fairchild We're Influenced 10y
desire to benefit the policyholdcrS."
The grand jury further says the in
dictmentS Were returned only under 4
strict Interpretation of the law as i;
was laid down to them by District At
torney jerome.
The statement in full. as it was pre-
CO 1,,r pann.ln,, ,,,r E
The grand jury respectfully presents
that in filing Il bill of Indictment
against two persons for offences COM
mittcd in connection with the affairs of
the New York Life Insurance Co, that
accepting the law of these cases as adj
viscd by the district attorney they felt
constrained to find the Indictment this
day filed The grand jurors. however.
desire to record their conviction that
in doing the acts charged the defen-
dants were influenced by desire to
benefit the policyholders of the New
York Life Insurance Co.; that the de-
PENDANTS themselves neither did nor
could any way personally profit from
the acts done and that the evidence
cOnclusivcly showed that a large ne
Culinary DtIltllt WAS derived by the
policyholderS as consequence of these
acts"
This statement was an official con-
frmation of the reports which had
spread about the criminal court build
ing where the grand jury was in SEES
sion to the effect that the jurors were
not at all convinced by the evidence
placed before them that crime had
been committed in the so-cal!ed
"Prussion Loan transaction. Tie
matter was pressed by Mr. Jerome.
however, who appeared before the
grand jury on q number Of occasions
and made several long arguments Mr.
Jerome was with the jury until late
in the evening and again early TODAY.
The trial of w. D. Mann. editor of
Town Topics. on n charge of perjury.
before Recorder Golf. was interrupted
in order that the grand jury might
report. Mr.. Perkins, accompanied nv
his counsel and prospective bondsmen.
was in court three-quarters of an hour
before the grand jurors We're received.
1t has been an open secret for two
days that Mr.. Perkins would probably
be indicted and his counsel had had
several consultations with the district
attorney. The indictment Of Mr., Fair