The New York herald. [volume] (New York [N.Y.]) 1840-1920, 1866-03-02
Another Insurance Company Colls pssti-
What Nexil

Another Insurance Company CoIls pssd-
. What Nexil :.
In 1857 the laundering Of the Ohio Life
and Trust Company Of Cincinnati was the
forcrunncr Of the great financial crisis and
panic of that year. That corporation held
enormous amounts Of money in trust, and when
IL suspended the distress created thereby was
unusually widespread and severe. So, but
upon smaller scale, arc the effects OF the sus-
pensions OF insurance companies Of these
days. The smoke and dust from the ruins of
the Columbian Insurance Company have not
cleared away when the explosion of another
corporation-thc Morris Fire and Inland Insu-
rance Company-startles policy holders and
unseitles all kinds Of insurance business.
The sound insurance companies are more o.
less affected by these failures OF the rotten or
badly managed ones. The public conf iencc
in them Is shaken, just as the public conf
dence is shaken in the character of stock
jobbcrs when cases occur like that of a
Bank Note Company, where the stock of the
company was represented 10 be worth but
sixty dollars per share 10 the ADM nislrator Of
an estate, when 1t was privately known that IL
was worth over three hundred dollars per share,
and sui In court Is the consequence. The same
with other stock companies, particularly bogus
petroleum companies, where those who invest
ed small sums were made TO see their little
means swallowed up, and they had no reco.rse.
The same with many glittering mining compa-
MES and other joint stock concerns, which
were made to inhale the financial atmosphere OF
Wall street and kindred localities for a while
and then burst, leaving the pockets Of their
swindling getters-up well lined with pro-
ceeds feeced from innocent outsiders. All
sound and substantial companies are affected
by the operations Of these unprincipled rogues
II In the same with bank, insurance, petroleum
mining or any other stock that really has a
solid foundation. The public confidence in all
Of then !: more or less disturbed by the fraud
ulent transactions Of these financial cracksmen.
This should not DO tolerated; and II Is the duty
OF the officers appointed by the Legislature to
look after the condition Of insurance and other
corporations, and see that the great CONNER
cial and monetary interests OF the community
are not ipjuEiously affected BY the Intrusion Of
bogus companies into regular and legitimate
financial business The sound companies of
al kinds will Of course stand, while the hum
bugs are swept away. But was II not curious
70 see, as we did In the case Of the Norris In
surance Company, the President Of that corpo.
ration, In It's present condition Of suspended
animation, II not Of total insolvency and col
lapse, appointed the receiver Of its property
Here Is company brought 10 insolvency
through the mismanagement of It's officers,
and yet one Of the officers selected to
wind mp the affairs Of the concern. But
we understand that the order appoint
ing the President the receiver Of the pro-
perry Of the company has been vacated, and
that another and far more suitable person
has been appointed in his place. This IL
all right and proper; aud now. while