The Birmingham age-herald., 1910-04-02
BUCKLEY CHARGED WITH
 JUGGLING THE BOOKS
Interest He Had in the Insurance Matters Was As Friend
 to Buckley


 p.sined today his financial transactions
 with William H. Buckley, legislative
 agent for the fire insurance companies. Alter the days hearing was over, Justice Mccall met Superintendent Hotchkiss of the state insurance department, at the I City Lunch club and gave him state- ment which satisfied MT. Hotchkiss that personal friendship accounted sufficiently for the questionable aspect certain in- < cidents had first seemed to wear. Earlier in the investigation evidence was found in the books of the Phenix Fire Insurance company, of Brooklyn. which induced MT HotchlSiss to say 1t } looked as if Justice Mccall had been a party to an attempt to deceive the insur- snce department. After reading the Justices explanation tonight MT. Hotch- kiss said he was satisfied that the juggled
 books of the Phenix had placed Justice Mccall in a false light.
 The statement first takes up the s35, GOO check issued to Buckley which the
 justice indorsed with Buckley's name and deposited in his own bank account.
 Buckley owed s37. 600 to the North Amerl-
 can Trust company. which he had bor- bowed from the International Banking
 and Trust company.
 When the International was taken over
 by the North American, the loans were
 called. Mir. Buckley, according to
 Justice Mccall. induced the Phenix to loan ss5.000 to him on the collateral held bv the North American company. There was balance which, with interest,
 smeunted to s2731 This amount Justice Mccall, who was then Q practicing law yer, agreed to advance As Buckley had to leave town, he arranged that Mir Me Call should receive the $35000 from the Phenix and take up the loan. MT. Me Call accordingly deposited the ,0oo check to Buckley's order In his bank, drew his own check for ss7.731 to the North American company, paid the \ loan and obtained the securities, which he turned over to the Phentx as security fer the new loan of s35o0O,
 McCaII's statement
 My connection with the transaetion. he said in his statement. was nothing more nor less than loaning MT, Buckley the sum of E, 731 under the circumstances
 stated. and which, l may add, he paid.
 Justice Mccall then takes up the mat
 ter of the sls.0O0 check Buckley 1ao borrowed sl3,0O0 from the Phenix on Feb ruary 16 1900 and $l3.0o0 on January 29 1901. Mccall had no knowledge of either of these loans. Buckley went to him II December, 1900, and asked for $S46 to pas interest due on loan. He got the money On January IA. 1901, Buckley again wen f to Mir. Mccall, this time for s1296S, anc
 again got the money. Justice Mccall says
 that it never entered his mind that tht annual statement of the Phenix was Tn volved and he could not have known tha such was the case, ss the statement por' the date of December 3i, 1900, whereas | H uary II following. It was disclosed, how ever. that Buckieys payment was en tered on the books of the Phenix as hay K ing been received on December 3l, and thi' constituted what MT. Hotchkiss referred s as to the juggling of books to deceive th' G insurance department.
 My only interest in the entire sub 1ect.'' says the justice, was that friend was in need of money. l had I and on his request loaned 1t to him. or A January 29 1901. MT. Buckley paid mt back sl3,0O0 of these advances and did i by giving me the check or the fneh' Insurance company. l beg to advise vol that l never in my life had any connec f tion or relation with the Phenix Fir. Insurance company was never II z its offices and never knew the nam' of any person connected with it, excep 4 Mir Sheldo. with whom l had slgh < scouaintance. and l never considered ol rave any thought to said company for {
 moment in any of the transactions Tn
 volyed. I knew Mir. Buckley only and m, 4 friendship with him dates from boyhood.
 An Adroit Witness
 Aside from the statement of Justice Nc N f.all the interest of the day centered upoi f Stewart Browne. private banker, pro H moter and sef-styled devil Of the In
 ternational Banking and Trust company who called himself "woodshed Ia" 1au Sut with no right to practice. made n'
 attempt to conceal the fact that he an' Justice Mccall then a practlclng la" yer) had drawn up the bill to mcorpora, + the American Bond and Mortgage Guar E antee company, the parent or the in'er nauonal, in way designed 'o eonses {. |E from the legislature. Governor RooseVsi N and the people the true purpose or th M bill. He conceded that heavy charges 10 Nfurpiture- on the books of the compah. covered other expenditures not expiaihso that the company's directors were lrahk ly dummies. some of them hanieo U
 rive the bill local color at Albany N end that he even owned some of the stoel which stood in these directors names. In chronicling the genesis of the Tn
 ternational, Mir. Browne amditted free 1y that he had formed the compan
 while he was receiving salary q
 confidential man for the late John 4
 
 York Life. Edward Mccall. who helpe
 him form the company, was real estat
 counsel for the New York Life. An
 drew Hamilton. who got the bi
 through the legislature was legisla
 tive agent for the New York Life
 Several of the directors were einploye
 of the New York Life. The birth 0
 the company was in the New York Tiff
 building.
 fa Names on the Books
 Az soon as the new corporation wa
 on its feet the names of Edward Mo
 Call, Buckley and State Senator Loui
 T. Goodsell appeared on the books q
 owners of 100 shares. each worth s45
 GOO in all. Mr. Browne insisted the
 each of these three had paid for hi
 0tock.
 Furniture for the international wa
 costly The report of the company .t
 the superintendent of banks, made De eer,ber sl, 1899. showed an item c
 Asss.oS5 for furniture and fixtures.
 Re books of the company showed $664
 bent for furniture.
 I.Then you. as president of the com