The sun. [volume] (New York [N.Y.]) 1833-1916, 1906-12-29
GEORGE ". PERKINS INDICTED
Continued from First Paos.

the acts charged the defendants were sOlely
Influenced by a desire 70 benefit the policy
holders Of the New York Life Insurance Com
pany that the defendants themselves neither
did nor could in any way personally prort
from the acts done, and that the evidence
eOnclusively showed tina. a large pe9uniary
benent was derived by the policyholders as
a consequence OF these acts.
When the meaning Of the language Of
the presentment struck those in the our
room there were expressions OF surprise.
The Recorder made a short speech in which
he reviewed the work that had been done
by the Grand Jury, n said they were to
be commended.
You are discharged" said the Recorder
to the Grand Jury.
Immediately Mr.. jerome stepped up
Perkins. was in court. and il might facili-
tate matters IL III question OF bail was
settled at once. Mr.. Delafield and Mr.. Per-
kins walked to within a few feet of the
Recorders seat. Mr.. Delaield said that he
would like first TO look over the indict-
ments, but when Mr. jerome informed him
Of the stock transactions on which the in
dictments were based Mr.. Delafleld said
he didn't oare to know any more.
Then Mr.. jerome suggested that ball be
fixed at 81 600 on each of the six indictments.
He added that OF course no amount of bail
would keep the defendant in the jurisdic-
ton II he cared to go away, 80 fixing the
bail was mere formally. Mr.. Delafield
seemed to thiRk that Mr.. Jerome wanted
too much bail.
The District Attorney has apparently
not taken into consideration the Grand
Jury's presentment.' said Mr.. Delafeld.
There Il no charge of moral obloquy, and
IL ia stated that whatever was done was for
the benefit Of the ~policyholders. =
The presentment forms no part OF these
indictments said the Recorder, interrupt
ing Mr.. Delafeld. at does not mean any
official action by the Grand Jury. II is
simply a resolution. and has no more effect
than a recommendation for mercy in passing
sentence"
MIR. Delafeld made no attempt to say
anything further, and the Recorder asked
il $40, 600 rail would be satisfactory to both
sides. There was no protest.
Let the defendants be arraigned in an
ordeSly manner " said the Recorder.
Mr.. Perkins had beer standing inside
an enclosure, next to Mr.. Delafield. He
walked around to the front OF the court
room and stood in the little space where
prisoners are always arraigned. Clerk
Edward Cowing asked the usual questions
and Mr.. Delaield said:
-The defendant pleads not guilty, with
leave TO withdraw and make any motions
that may be deemed necessary"
Mr.. Delafield said he would want about
twenty days to make up his mind on the
matter. and after q little talk IL was finally
decided TO fix January 81. 1t came out
later in the day that Justice Greenbaum
NOuNl ell III NbV DuphVhAC Jul
Branch, on that date, which undoubtedly
means that Mr.. jerome will move these
insurance cases before him.
Mr.. Perkins started out of the court
room, got a little confused but managed
TO find the way TO the Office Of Assistant
District Attorney Miner, who is in charge
of the bail department. Mr.. Delafield and
Messrs. Morgan and Dodge went with him.
After a few formalities the necessary papers
were made out.
As security for Mr.. Perkins, appearance
Mr.. Dodge gave six acres of ground at
Riverdale which was worth $50 900 in 1902
and Mr.. Morgan, Jr., gave his house at 22s
Madison avenue, which was transferred TO
him by his father in 1905 and which is
worth $500 goo. They were told by Mr..
Miner that il was not necessary for both
of them to go or the bond, but they said
that was their wish.
Questioned by the reporters Mr.. Della
field declined to make any statement ex-
cept to mention the fact that Mr.. Perkins's
/ bondsmen would be Mr.. Morgan, Jr., and
Mr.. Dodge. Mr.. Perkins declined TO say
anything about the charge against him.
When everything had been settled il was
found that Recorder Goff had adjourned
his court for Don recess and couldn sign
the papers. Mr.. Perkins went away in the
custody Of Mr.. Delafield and came back at
4 O'Clock, when he was formally baied out.
The indictments show that the records
of the transaction on which MIR. Perkins
is accused of forgery were made in the
books of the New York Life Insurance
Company on December 81, 1901, which
means that there was only three days
left in which TO file indictments, a. the
charge would have been Outlawed in five
years under the statute Of limitations.
That was one reason why Mr.. Jerome was
so insistent that action should be taken by
this Grand Jury.
Mr.. Perkins was chairman Of the finance
committee of the New York Life and Mr..
Fairchild was a trustee of the company
and a member Of the finance committee
Mr.. Fairchild was also president OF the
New York Security and Trust Company
at the time. IL ia charged that they felo-
niously made in the books of the company
blotter, ledger and cashbook- fal se entries to
conceal the true nature Of the stock trans
action. In each book were entries showing
the sale Of 10000 shares OF Chicago and
Northwestern preferred stock and $500
shares of Chicago, Milwaukee and ST. Paul
preferred stock.
Eight thousand shares of the Chicago
and Northwestern we're down on the books
as a sale 10 the security company an
5000 shares of the Chicago. Milwaukee and
st. aul were down as having been sold
TO the same company. There was another
record of 1000 shares OF the Chicago and
Northwestern and 800 shares Of the Chicago,
Milwaukee and St. Pau having been sold
10 the Central National Bank of thisc city.
The six indictments are accounted for
by the fact that there were two entries
in each book and there were three books
Each indictment, however, simply carries
out the transaction from book to book.
On January 20, 1902, the sale OF the stock
TO the security company was converted
into a loan, two employees OF the New
York Life-M. H. Mattison, a ~bookkeeper.
and George Marshall, a negro-giving
notes. The Mattison note was for 81 500 900
| and Marshall's note for sl,547 900. The
stock was supposed to be put up as col
lateral.
In May the same year the Northwestern
stock was sold by Mr.. Perkins TO different
factions which we're trying TO get control
OF the road. The st. Paul stock was sold
in lots until December, 1903. IL was odd
through T.. q G. Randolph, brokers. who
are relatives of Edmund d. Randolph, who
il the treasurer of the New York Life. On
the Northwestern stock the company made
a profit OF $3.50 600 and on the 81. Paul stock
the mpan lost $40 900, the whole transac-
ton resulting in a profit Of about 100000
to the company.
At the time Of the transaction he New
York Life had control Of the security COM
pany, and il was at the sam time that the
Pruseian Government refused to allow in
surance companies which carried indus
trials TO do business in its territory. II is
charged that the transaction was made in
the manner IL was 20 that the stock would