The New York herald., 1870-11-30
INSURANCE. ASSURANCE.
The Alleged Kings County
Insurance job.
;Ehs Insurance on the County Baildings-The
Law COMMITTEES Of the Supervisors Look
ing Into the Matter-No Regard
Z g7 for the Taxpayers.


Through the Introduction OF resolution In the
Board OF Supervisors at their last session, at the
instance OF Mr. E. ]. Lowbcr. President OF the Corn
Exchange Insurance Company, OF New York, who
wished TO make transfer OF the policies Of insurance
on the county buildings 1t has been discovered
that fifteen per cent or more might bo
saved for the taxpayers OF Kings
county. Yesterday the Law Committee Of the Board,
to whom the matter was referred TO investigate,
met In the Supervisors room. General Crooke,
chairman OF the committee, presided and called the
meeting TO order. t.sr s A0
Mr. II. J. LowBER was called upon, and made the
following explanation as 70 his object In having
the resolution intrOduced:-Two months before
the expiration OF the policy the county property
asccrtained that George g. Herman was the agent.
called on Mr.. Herman. and he Informed me that he
was such agent, being appointed by the Superln-
tendents Of the Poor then asked him to allow
me. as President OF the Corn Exchange Company,
70 place the risks, and told him that would make
ar the forms, &c.. necessary. and charge him
nothing for It, and that the only benefit expected
to derive from the matter would be the exchange
OF business for the company of which / am presi-
dent, &c. The various insurance companies
were in the habit Of acccpting exchanges nd
paving dve per cent for exchanges among them
county Of Kings iu the least. Mr.. Herman said that
he would
sEE ABOUT THE MATTER
and let me know in few days. few days after
he said he had consulted with the Superintend dents
OF the Poor and that there was no objection, and
which ne had. He did So and sent a surveyor
TO examine these. The buildings wero then
dents wanted TO put 100000 more insurance
on them. Tn surveyor was employed on the build
directed him TO call all the insurance companies
which had risks on the buildings and inform them
basis or exchanges. All the companies ~ assented ted
TO this and either exchanged business or paid five
per cent Lex except the Kings County Insurance Com
tendents Of the Poor was made payable to the
Corn Exchange Insurance Company, and we paid the
premiums TO all the other companies IN checks ON
the Corn Exchange Company, making o rebatcmenC
'or 10 per cent. which was made to Mr.. Herman,
agent OF the saperintendents Of the Poor. It has
beon customary Tor the last year to make rebate to
all parties either the insured party or the broker
collected from the companies was credited on the
books y OF tue Corn Exchange Company. Personally
Mr.. Lowber hele produced resolution of the
noafa @ o. a. @Underwriters providing for the payment
l !"c nve 81 per r, cent o one company to another
Kings County Insurance Company were members Of
the Board OF Underwriters. ana used to
70 December Is, 1851. o'sAsns WIsn hqa'e founS up
that the Kings County Insurance Company Would Would
to get G policy bic ossclsa oss Rss 'sns sna
applied TO the Supervisors and put the risk at tile
would not be possible for persons not acquainted
Win the business TO place the property on large in.
Edward briggs ex-President Of 4 the Ufns Williamsburg
CITY Insurance Company, testified follows:-I had
no more objection to this matter Than the i've
per cent: thought this business should be done by
the companies in this county, and then the county
ta could have the insurance wthous any rebate
here; my company alone paid $4,000 in taxes tSs
last year; the aggregate capital OF the insurance
lions Of dollars, with surplus OF as much more and
f the business OF insurng Kings county institutions
1s taken aw from here and given over TO New
York considerit wrong. The entire business should
be done with BROOKLYN companies. ]. myself, Will
undertake to do ali the insurance for the institutions
IN Kings county, and place II IN Brooklyn companies
TWENTY PER CENT TO THE COUNTY;
and can take $4,000 or over detailed risk in my
/. Mr. r. +. Backus was next called, ard made
statement as tollows.In 1861 the Board OF Super
vsors OF Kings county directed insurance 10 be put
On me county IN GTossn Te
1851, which was got up under the advice Of
Mr.. briggs ana the County Treasurer who gave his
snce Our policy continued TO be PAID up from
shat time. A few years since it was Thought de-
form note Of risk the county buildings, and Mr..
Klrby, then superintendent OF the Poor, was EN-. I
70 1 by is @
trouble. These policies made then continued In
force until July, 1870, when an order came from
the Commercial Exchange Company FOR the re.
insurance and check sent from tho Com
merciai Exchange Company less fifteen per cent re-
talned by them. Afterwards they demanded Ave per
cent additional demurred as taxpayef. l saw
that the county was being chiseed out Of
$500. and / felt il my duty to expose It.
The whole thing Is humbug from beginning to
end. Tue fifteen per cent is lrandnlentiy taken
from the county, When / refused TO pay the five
per cent to the Corn Exchange Company they sent
me an order to cancel the policy, which refused to
do, on the ground that they had no authority TO
cancel It, hold my company liable on this policy,
aud -" f'1l~S
If WE LOSE WE ARE BOUND TO PAY. s !.
This concluded the statements taken In the case,
and at the conclusion Of Mr.. Backus' statement SUI
perysor Crooke, aney sn9r. cpnsa!tailoh with his
ended ana that q report woud be made TO the Board
OF Supervisors on Friday next.
After the adjournment an angry discussion arose
among the parties Interested One OF the counsel
talked loudly OF the meanness Of a man VINO would
call man "blackmai!er'' behind his back and be
afraid to do so before his face. Mr.. Backus OF
tho committee, called the aforesaid counsel 'peL.
ttf0ggern >, ~ .s..A .ss-~s~~
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