The daily dispatch. [volume] (Richmond [Va.]) 1850-1884, 1872-04-08

Income during the same period, produces q
ratio at, least as favorable as that OF any life
company Gor the sumo years, from 1860 to
/ 1871 inclusive organized during the year In
| which the Equitable was organized, or since
that time, or even prior TO that time, with
the exception OF two, tue preliminary ex-
penses of those two companies not being
taken into account in the estimate, because
they were organized more than fifteen years
previous to 1860.
4. They further find that no loan was
made on the Goth of September, 1870, or at
any other time, upon New York Central and
Hudson River Railroad stock. But they tind
| on the contrary, that no loan has been made
| by the Society except upon securities au-
thorized by and in accordance with the law.
5. The charge that the Building Commit
| tee or any OF the directors are or were i'm
terested. directly or indirectly, in the quarry
from which the stone for the building was
taken, or pecuniarily interested in any other
| contract Of the Society, was most carefully
| and infinitely examined, and the undersigned
declare the charge to be both false and ma
licious. On the contrary, the undersigned
| find that the erection of the building in all
its details was carefully watched over by the
| directors, and particularly by the Building
I'LL dS uluCu dttSHtlou do
dent man gives to his own business.
6. That the mode Of loaning the money OF
the corporation was particularly examined
and meets the approval of the undersigned,
who find the charges of favoritism wholly
unfoundcd, and other things being equal,
principals are given the preference over
brokers.
7. The Secretary of the Society, who for
In, l,n
agent and general broker, relinquished the
charge Of the fire insurance business Of this
Society when he became connected with il
three years ago. The Secretary has not at
tended to the fire insurance business Of the
Company, and no director or officer is or has
been interested in such business, nor has the
Secretary loaned money OH policies as
charged.
s. 1t is proved to our satisfaction that the
Directors of the Society have not loaned the
money of the Society to themselves upon Sc
curities not allowed by law, and that no loans
have been made through the favoritism OF its
officers and Directors on inadequate security
or contrary to law.
9. In the opinion of the undersigned the
Directors, SO far from having managed the
affairs Of the Society wastefully or eXtraya-
gantly, have managed them pru,iently and
successfully, and have made no false returns
to the Insurance Departments.
10. The rates Of commission paid to agents
as charged. are untruly stated. No salaries
are paid to agents in addition to commissions.
II. They find from the testimony given by
the officers and Directors that the establish
ment Of an agency in Great Britain has not
proved failure ; that the agent sent there
Is not inexperienced in the insurance busi-
tl,af no no Sal
commissions are guaranteed for three years
to an extent Of $4,000 per annum and that
the result Of his laborS in Introducing the
Society's business there has been satisfactory
| to the Board Of Directors
II. The charge that money has been waste
fully spent upon the building is sufficiently
answered by our opinion Of the investment.
Is. They further find that the Society does
moi falsely advertise itself as Il mutual COM
panv. The necessity OF a capital stock arises
from the fact that before the organization Of
| the Society laws were enacted in New York
requiring all companies organized after such
enactment to have capital stock and to make
| deposit of one hundred thousand dollars
| with the Insurance Department, as guaran-
| tee to polcy-holdeiSi The annual dividends
upon this stock arc limited to seven per cent.
| This amount is nearly earned by the invest
mcnt Of the capital; all of the profits are
divided amongst the poiityAholders; the
| stock bears no such market price Is Is
charged, and as no unlawful gains can he
| made thereon the ownership of the stock can
only be desirable for the protection Of the
company. The provision as to stock man
agenient Is not concealed from policy-hol derS,
| but, on the contrary; the Directors are OF
| opinion that it forms one OF the greatest safe.
| guards Of the company.
| Il. III conclusion, the undersigned desire
to say that they are unable to End an honest
motive for the presentation Of charges so To-
tally unt0lmded. This investigation has
shown only al honest and efficient manage
mcnt Of the Society. The Massachusetts
| Commissioner; with Professors Theodore
W. Dwight, of Columbia College Law school,
and Junills h. Wheeler. of the West Point
Military Academy. will at once proceed
to examine the details Of the management
of the Society from its foundation, and
MeSSrS. UPTON, Spaulding; Latasa. Kelly,
Schwab, and Fogy will examine Its assets
and investments, which the undersigned will
reDort upon Is soon as the lnyeStl-
! cations are concluded. From the wide pub
Icity given to these charges it is thought best
to make this report upon them at once, The
undersigned desire to express their unquali.
fled approval of the action Of the Society in
j resisting the attempt to eXtort money from il
under color of these charges. And finally, the
undersigned take great pleasure in bearins
their unanimous testimony to the faithful
and successful management by the trustee
and officers OF the Society Of the great trlls
reposed in them.
Julius J.. CLARKE,
Insurance Commissioner OF the Common
I wealth Of Massachusetts;
Henry +. SPAULDISG,
GUSTAV ScHwAG,
GEORGE b. UPTON, .....
WILLIAM Fl. FoGG,
FE1IcIANo LATAsA,
l EUGENE KELLY,
DAVID DOws,
NORRIS h. JEsUP,
/ JUNIUs B. WHEELER,
/ THEODORE w. DWIGHT.
Fatal Mining Disaster---The Lacikn
wanna Breaker Blown Down alit