The times and democrat. [volume] (Orangeburg, S.C.) 1881-current, 1906-01-03
Hamilton's Relations With the
New York Life Company.
HE WAS ENTRUSTED
With Hundreds Of Thousands of Dollars
With the Understanding that He
Was Not to Be Required to
Render Account OF His
Expenditures.

Andrew h2mlibUuj clS II ~ Sioiesoi y
agent for the New York Life Comp
any, who, according to testimony, has
been entrusted with hundreds Ct
thousands of dollars by the company,
and has not accounted for 1926. 600,
has been heard by the New York Leg
islati7e insurance investigation COM
mittee, but has declined to make an
accounting.
A statement by Mr. Hamilton was
read for the record Wednesday. It was
presented BY the Secretary John U.
Mccall, of the New York Life, who
went to Paris to obtain an accounting
from Hamilton. In bis statement Mr.
Hamilton says that he is unable to
produce any books or accounts, be-
cause he undertook the Legislative
matters for the life insurance compan-
les with the express understanding
that be- was to make no accounting.
Absolute secrecy was necessary In re-
taintrg assistance therefore no cheeks
we're used in making payments.
Mr.. hamilton Wenu into an eXhaus'
Tive explanation OF the reasons for Or.
esnszlne. this confidential service, as
ne characterized it, covering his moth.
ods of work and citing q number OF
le eglsIative bills IN which be had been
interested. A list of expenses from
1899 to 1904 was appended to the
statement. The sum Of S235 600 un-
accounted for, be says, would be great.
ly reduc by his running acc unit still
unsettled and open, and, as matter
OF faith, pending settlement, he OF
ters to deposit 100000 with the com
pany.
Mr. Hamilton, in his statement,
SAYS that at the time OF bis employ.
nent By the New York Life, the life
insura1 q, companies feared that url.
less concerted action was taken they
might be practically leglslated and
taxed out Of existence.
THE usual practice Of depending
alone upon counsel to attend and pres.
emit arguments was determined TO be
insufficient, says Mr.. Hamilton. THE
very fact that the great life insurance
interests Of New York favored or op
posed pending legislative propositions,
would itself often concentrate the op-
position against their views; so like.
wise did the knowledge that we were
represented at the cspitols of the var.
ious States lead To demands that pol.
ltical favorltes should be employed in
the role OF counsel, which, II acceded
to, placed our r .irs at the mercy of
those who did not possess our coni-
dence. These and other considera-
tions led the three companies to but
one conclusion. We felt that II a Sc
cret service was permissible govern
N entail agency, a confidential service
would be the only effective, and at
the same time proper, plan to gu Ard
the welfare Of the most extensive com
nlercial interests 10 the world-the
life insurance business Of the State OF
New York This confidential secret
service was decided upon as the only
feasible plan of protection"
Mr.. Hamilton gives long summary
of the various styles OF bills hostile to
insurance companies, many Of them
taxable measures. bills to compel the
company 8 reports to be repeatedly and
unnecessarily published In newspapers
are advocated" says Mr.. Hamilton,
Ito gain favor with the press for In.
creasing their revenues. Outrageous
propositions, such as the 10 per cent
tax proposed in Arkansas, or absurd
propositions like the Michigan bill,
where doctors certificate of Ill
health would excuse the payment OF
the insurance premium and keep q
policy in force; or the Virginia bill,
making 1t actionable for life insur.
ance agent to enter the office OF q
man, where the sign no agents allow
ed is displayed fad, legislative favor.
However ridiculous these bills may
seem, they demand attention.
AT the capital Of every State we
have either retained representatives
for the companies, or are in co opera.
tion with some one who has retained
representatives duly influential. 1t has
heeu fnnnd advisable, aS the result of