Newark evening star and Newark advertiser. [volume] (Newark, N.J.) 1909-1916, 1910-03-19
BARE BIG
YELLOW Dog FIRE
INSURANCE FUND
Republican Gifts Exposure a
Bomb Shell in Camp Of
Lawmakers.

NEW YORK, March 19-With every
indication that further astonishing
revelations would be forthcoming, the
inquiry begun yesterday into methods
employed in influencing legislation at
Albany affecting fire insurance COM
panies was resumed by Superintendent
of Insurance Hotchkiss here today
If a bombshell had been dropped into
the State legislative camp the sb ok
could have hardly been more sudden or
in way more startling in its effects
than was the explosion at the first ses-
sion of the hearing. There was abso-
lutely no warning that anything was
about to develop, and the revelations
that Immediately began to crop out
took everybody by surprise.
Today there was general expectation
that the inquiry might easily rival that
of the Armstrong investigation of life
insurance affairs in 1905-1906.
Testimony already has been pre-
sented to show that the New York
Board of Fire Underwriters, composed
of officers of fire Insurance companies
doing business in New York, spent con-
siderable sums for legislative purpo es
and that for many years the legislative
representative of the insurance com
panies had been Elijah r. Kennedy, an
elderly and wealthy Brooklyn man.
Other testimony was given to the
effect that about $4,000 had been dis
bursed as presents to various persons
with political influence to get the bill
through the Legislature, including $500
to George Ws Aldridge, of Rochester,
member of the Republican State Com
mittee, and that a contribution of $5,0 900
had been made to the Republican State
Committee from funds in Mr.. Ken
nedy's hands. Also that Governor
Odell was opposed to the bill and had
decided to veto it, but, according to
Mr. Kennedy's testimony, had, after a
most urgent presentation of the case
by Mr.. Kennedy, reversed his position
and finally signed the bill.
c. l.. Case, former chairman of the
committee on laws and legislation of
the board of fire underwriters, resumed
the stand when the investigation
opened this morning Attorney Alfred
Hurrel at once presented long string
of bills submitted by various law
firms for legal services rendered in con-
injection with pending insurance legis-
lation at Albany. These bills were
presented to show that the expendi-
ture of large sums of money to OPP
pose objectionable legislation had con-
tinued up until recent years.
Beginning in 1901, Mr.. Hurrell ran
over a list of vouchers showing pay
ments of amounts ranging from $1,000
to $1,700. The latter payment was
made in May, 1905, for work in op-
posing various bills
Mr.. Cases memory was not clear, he
said, as to just what bills these were
This payment of $17,500 was to the law
firm of Sherman & Sterling. In April,
1901, Davies. Stone & Auerbach got ST.
500 and later $500. From the first the
testimony and the records showed that
very large sum of money had been
expended, much larger than was indi-
Gated by the testimony yesterday.
In 1906 $4,000 twas paid to Sherman
& Sterling ''for following the course OF
legislation at Albany, interviewing
committee members and doing every
thing possibleNto protect the interests
of fire companies
MIR. Case could not remember in con-
nection with what bills this work was
done 1t was brought out that although
the committee on laws and legislation
Continued ON second PaBc.)