| Released under the John F. Kennedy Assassination Records Collection Act of 1997 (44 USC 2107 Hotey. DATE :: 11-14-2017 = 25 December 31, 1960 Cefry says he got #200 ,000 more extra capital ' thru soliciting 30 agents. (See April 1960). December 31, 1960 Central Casualty's annual statement disclosed an advance $392,725 from Central Casualty to Homer Bray Bervice.. Gerber insisted it be returned (See September 19, 1961). December 31, 1960 | ‘Financial statements in Guaranty Bank's files: Bray - December 31, 1960 Assets Liabilities Cash ------<- $ 2,300 Notes Payable - $ 16,300 Investments ~ 295,800 Acc't Payable - 150,000 Real Estate - 68 ,000 Mortgage -~--=- 40,000 Car cwcenoce= 1,500 New Worth ----- 177, 300 _ Pers. Prop.-- 16,000 $ 303,600 $303, 600 | Homer Bray Services, Inc. - December 31, 1960 Assets Liabilities Cash o--nnenncenenene-=~ § 18,100 Accts. pay. - $ 129,800 A[R ennecencnennce noone 497,200 Notes pay. -- . 249,900 Deposits ---c+e----2+--0 4,500 Dfts. pay.--- 166,700 Stocks & Bonds -------<< 804,300 ? Desposits - 518,900 Due from Cert. of Acct. taxes - 18, 800 Contribution ==-2-----= 100,000 Com. Cap.«=-<-- 25,000 Leasehold improvements - 800 Pid. Cap.---- 200,000 Good Will ------------+-- 5,000 Surplus ----- 120 , 800 $1,429, 900 $1,429,900 Income $184,200 . Net Operating Loss $29,100 ° _ February 2, 1961 Twin Food Products. closed by City of Chicago. Firm had failed to get permit; had been operating since 1957 without a license. City Collector William C. Prendergast said $900 application fee from the firm was received in 1958, 1959 and 1960 but the records only show such fee in 1960. There is no provision for keeping the fee money if the application was not approved. Prendergast said his office did not have manpower to check on licenses but there are 61 investigators on the payroll. Health department had closed the firm for one month in 1959. Samuel Andelman is city health commission. Leo Rugendorf is president of the firm which employs as ‘salesmen’ Battaglia, Frabbotta and Alderisio. Weiner believed to be connected with firm. 3 Doclda: 32329636 Page 39
Released under the John F. Kennedy DATE: 11-14-2017 e * . = 26 - February 6, 1961 HBS Inc. note signed by Charles W. Bray, director February 1961 April 1, 1961 May 1, 1961 May 1961 June 1961. June 1961. for $150,000 from Guaranty Bank and Trust, 6760 Stoney Island Ave., Chicago (formerly the Southmoor bank; this is the bank where Orville Hodges cashed his state warrants). Secured by 206,000 shares CC stock. Due August 5, 1961. (2) Best's shows CC sustained losses in 1958, 1959 and 1960 with the 1960 losses exceeding those in 1958 and 1959. Expenses were 118.3% of premiums received. Report shows about $467,000 in uncollected premiums from agents while CC reports about $350,000 in premiums due. Shows additional $300,000 put into the business in 1960; assets increased $90,000 with an office building in Alburquerque, New Mexico. (Previous Labor investigation shows only $15,000 value for building.) (Wright had said CC salaries out of line.) summit Fidelity and Surety Company is sold to Milwaukee group for mortgage guarantee. , Jordan, District of Columbia Superintendent of Insurance did not renew United Benefit's license. UB had an underwriting loss of $260,103 in 1960 and losses in each 5 previous years of more than $150,000. D. C. felt this made the company insecure. Also the account "Surplus Notes" in UB's statement, according to D. C. law should be listed as a liability and this would reduce UB's surplus from $401,585 to $151,585. Other things noted by the D. C. department were that UB was under reserve in one area and that the value of acquired stock was unable to be détermined by D. C. Earl E. Cefry is fired from United Benefit. Cefry later wrote BIMR explaining that he was hired by George Stewart for UB in 1953 and at that time did not realize that Hopps dominated UB. He stated he subsequently learned that 90% quota reinsurance was written thru Leadenhall, Ltd., owned by Hopps and that two of UB's largest agencies, Heidelberg in San Francisco and Hooper in Los Angeles were controlled by Hopps. Bray said UB was happy until summer of 1961 when expressed dissatisfaction with CC because of U. S. Government pressure. Wright and James &. Burch of United Bonding say that Cefry contacted them about taking over as primary surety on the Teamster bonding, and that Cefry said he was acting for Bray. The proposal was that 10% of premiums received would go to HBS as brokerage fee and 25% to HBS as agent with Lloyds insuring losses between $100,000 and $00,000. ahd aN Docld: 32329636 Page 40 Assassination Records Collection Act of 1992 (d4 usec 2107 Hotes.
Released under the John F. Kennedy Assassination Records. Collection Act of (592 (44 USC 2107 Hotes. DATE; 11-14-2017 1 : | 3 _. / . 4 - 27 - June 29, 1961 "Letter from United Benefit to United Bonding with statement of account for May 1961 showing United Benefit got 25% commission and 10% override on earned premiums. ' Override is usually paid to originator of business. United Benefit and Bray controlled the entire operation and gave reinsurers little or no information. (source: Frank Wright). June 30, 1961 Breakdown of 10% Reinsurance Accepted by United Bonding from United Benefit ‘Thru June 30, 1961 $56,103.46 Excess of loss dep. prem. 60 5000 . Excess of loss dep. prem. 61 2500 Total : 7500 23% tax retained 14.02 .50 . 9,902. 229 $l: ,200 .87 Premiums earned thru 6/30/61 $27,369.05 ; 25% commission 6,842.26 10% override 2736-91. $ 9,579.17 | $37, 21.70 Claim adjustment expense 43.38 | . Loss paid - Le .32 — 5.70 Balance $37,536.00 Received from United Benefit $56, 336.00 Refunds already paid Dd 2952.09 $40, 393.91 | 2,847.92 (2) | $37,535.09 | . é | June 30, 1961 Notes of Bank Examiner in Guaranty NationalfBank reveal. “pime c/D 6/30/61-12/30/61-no interest. Resolute Credit Life Insurance said to be compensating balance for above loan.” (450,000 loan to HBS Inc. = see 2/6/61) “Amount of certificate not shown. Neither is maturity year showm.” Juky 6, 1961 Titan Company incorporated by Albert Marks, Robert S. Blatt and Michael Freeman, 11 S. La Salle Street, (Weiner, President). Officers of Titan became Weiner, Pearls, Slickenmeyer and P. J. Nolen. ? July 1961 Central Guarantee Insurance Company formed by Bray and : Weiner. Oxford had written group H & W on Central Guaranty forms. Doclda: 32329636 Page 41
[ Released under the.John F. Kennedy Assassination Records Collection Act of 1992 (44 USC 2107 Hotey. DATE : 11-14-2017 , ~ 28 = ? July 1961 Oxford shows $3,460 in trust account at Guaranty Bank and $5,502 on deposit in commercial account at same bank. July 15, 1961 Bonds rewritten into Resolute Insurance Company. (Charles Lieck, formerly associated with Bianchi in Summit now in Resolute.) Best's 1961 gives Resolute Insurance Company of Providence, Rhode Island an At policy holders rating and a financial rating of AAA; firm is principally engaged in financing auto loans and home loans which it insures. Chairman of the Board is Lewis Morganstern; President is Edward K. Scribner. Houston Fire and Casualty (30%) United Bonding (254) cc (45%) carry primary reinsurance up to $100,000 with Lloyds handling the excess. Provision for 10% override to United Bonding on earned premium. Bray is getting 25% commission and 10% override. Cefry employed by Bray in HBS. Schwartz and Weiner still in picture (getting kickbacks?). Also reported that Oxford is to get 25% on earned premiums (one report indicates the percentage on the reinsurance to be: 50% CC, 25% each United Bonding and Houston Fire.) April 5, 1961. HBS Inc., note to Guaranty of February 6, 1961 due this date is extended in new note due February 1, 1962. (see September 11, 1961.) — August 1961 Gerber ordered CC to stop soliciting business for a bee bonding plan for Teamster Union officials. The plan would have covered litigation fees for union officers - which is illegal. August 1961 . | Wright said Cefry was let go by United Benefit because | of large losses UB sustained on construction bonds written: | through Cefry's efforts. One bond of $100,000 Cefry failed to reinsure and UB suffered the whole loss. Wright often asked 2 for list of locals anddetails of premium processing, but never got them. Bray told Wright Bray would get West Coast bonding. Wright said Bray had a company on the West Coast named Sunshine. | 3 he Docld:32329636 Page 42