The Richmond palladium. (Richmond, Ind.) 1906-1907, 1906-12-29
Former Vice President and a
Trustee of the New York
Life Company Indicted by
the Grand Jury.
HAND OF LAW FALLS ON
HIGHLY PROMINENT MEN
Perkins Gives Bond in $4,000
for His Appearance and
FairchiId is Now in Europe
Careers of Officials.
Publishers Press.1

New York. Ice. 2S.--George w. Per
kins. formerly vice president OF the
New York Life Insurance company.
and Charles S. Fairchild, a trustee of
the New York Life Insurance COM
pany. were indicted by the grand jury
on a charge of forgery in the third
degree.
The indictments were based on what
is known as the Prussian bond trans
action, in which it is charged that a
false statement was made by the New
York Life Insurance company, in order
to satisfy the government of Prussia
as to the securities held by that COM
pany.
Perkins is a member of the firm OF
J. p. Morgan 4 Co.. and Fairchild was
secretary OF treasury in the Cleveland
cabinet, after the death of Daniel
Manning in 1887, until the end of the
term in 1889.
Perkins appeared in court and gave
bail in the sum of $4,000. Fairchild
is in Europe.
When Perkins was arraigned he en-
the right to withdraw the plea at a
later date. He was given until Jan.
II to file demurrers. Bail for Perkins
was furnished by ]. p. Morgan, Jr..
who pledged the house at 229 Madison
avenue. valued at $500. 900. and Cleve-
land II. Dodge, who pledged six acres
of land valued At $4,000.
The grand jury's investigation OF
the affairs of the New York Life Insur-
ance company, which resulted in the
indictments was a direct outgrowth
of the investigation of the insurance
companies by legislative committee
year ago.
So voluminous was the testimony
taken by the legislative committee
that District Attorney Jerome was oc-
cupied several months examining II.
George w. Perkins. former director
Of the company. was arrested on
technical charge of larceny. but that
proceedings was merely test case.
the highest court in the state without
any opposition from the accused.
The pressure on District Attorney
Jerome to proceed against high ON.
cials increased rather than diminished
as time went on. During the spring
months the public demand for action
was reinforced by Justice O'Sullivan
of the court of general sessions who
in a sensational charge to the grand
jury directed 1t to take up and investi.
cate insurance matters. with the as.
=
choose to give assistance, or without
it il he did not. The question was
considered to some extent by that
jury, but no definite conclusion was
reached, and the work begun was left
unfinished when it was dismissed. BY
request of the district attorney, a spe-
cial grand jury was drawn for the sole
purpose of taking up the insurance
cases. The real activity, however. be
conviction Of George w. Burnham
Jr., general counsel for the Mutual Re
serve company. on the charge OF for
gerry The Indictment OF Burnham and
two other high officials of the Mutual
Reserve followed the insurance inves-
tigation. The verdict against Burn
ham convinced Jerome, so he annourc.
ed that there might be grounds on
which he could proceed against ON.
cials of the New York Life. AS a re
suit the matter was once more placed
before the grand jury and pressed Wig
orously.
Among present and former New
York Life Insurance officials examined
by the grand jury are George w. Per
kins. Edmund ID. Randolph. treasurer:
F. H. Shipman. assistant treasurer;
Woodbury. Langdon and George A
Morrison, who were members of the
finance committee in 10000, and Mil
ton NJ. Mattison, head bookkeeper OF
the treasury department OF the com
pany Another witness was Alexander
Webb, Jr., secretary of the New York
Security and Trust company.
II has been said that when Perkins
was a witness before the grand jury
he was warned of his legal rights. but
1t is understood that he told all he
knew of his connection with the vari-
GUS transactions of the New York Life
c0mpauv