The New York herald. [volume] (New York [N.Y.]) 1840-1920, 1877-03-30
INSURANCE REVELATIONS.
Testimony Of the Secretary Of the
Chamber.
Purpose and Character OF the
Organization.
THE CHARTER OAK MATTER

ALBANY, March 20. 1877.
Tho Insurance Committee resumed Its session this
morning.
Nj. Charlton Lewis secretary Of the Chamber OF
Life Insurance, appeared a witness and testified
that he had boon secretary and treasurer that
tuition for about three years; he had heard OF trans
action by which change had been made IN the man
agement OF the Charter Oak Insurance Company; Mr..
wakley having resigned and Mr.. Edward r. wiggin
being made president had heard OF no consdera-
ton being paid tho old president for his retire
ment; be had seen papers relating 10 the trans
action; there something paid witness In the
matter; tho negotiations began in August, 1915; the
change lie the management made in the succeed
ing winter witness had for services carry
ing out the transaction tho OF $4,000, OF which
o. 900 was received from Mr. Samuel II. White, vico
president OF tho Charter Oak; the balance
ceivcd from Mr. jacob Horton, with whom
had boon made by Mr. wiggin for the purchase OF
some stock which was namod, aud other services
II Mr wiggin could enter into life insurance COM
pany Mr.. Horton to receive 100000; the $500
paid witness by Mr.. Horton TOR advice and aid in
tho matter; he had given Mr.. Wisgin
as general counsel throughout the transaction; the
S. 900 was paid by Mr. White for services counsel
tor him my only contract with Mr. Horton but
1t was understood by him that should represent the
interests OF Mr.. White; there some things which
occurred which confidential as between counsel
and client aud tell thom, but II gener-
ally admitted that had saved the company from
parties who wanted to break ~ the interest which
Mr. walkley had IN the Connecticut Valley Rail- Dad
had become adverse TO those OF tho Charter Oak and
that account no reslgned; tho contract with Mr..
Wiggin arrange for him to enter the life insurance
business was made about tour months belore the
change consummated; my connection with II began
about the same time; for services during that time
received tho $l2 500; at the Time acting
Secretary Of the Chamber and receiving my salary,
reservation being made that might al the same limo
transact law business In insurance cases; have re-
ceivod pay In other insurance cases during my Secre
aud half years done by mo In that way was about
$5,500
Tho largest item was tor my services in Iowa. which
led TO the reorganization of the chamber; the Iowa
Legislature had levied limos upon companies tor Ger.
tain alleged attractions OF the law such failure file
their reports within thirty days; the aggregate penal
tics amounted TO 1900 900; saw the state officials
rageous nature Of certain SUITS growing leg,s-
ation, and for that the companies agreed TO pay me
$500; visited Iowa twice and was occupied about
sci fee TO lawyers in Iowa for investigating tho law
either $4,000 or $500; QUO Of the law
securing the legislation needed; know there
ally favored by the newspapers and the officials dis
burscd other small sums, not exceeding 5000, for
ence myself relative to the matter and had printed;
had large number OF persons assisting generally the
agents OF companies affected by the law; they re.
ceived no compensation
rHE CHARTER OAK NATTER.
received other compensation for services In the
his services from Mr.. wiggin Mr. White wrote to me
after the transaction and insisted upon
muneratng me and he sent Inc check for $1,000; tho
change in the management brought about by Mr..
Walkley resignng tie presidency and another member
his dircctorship and Mr. Henry j. Furber and another
Universal reinsurng part OF tho risks OF the Charter
Oak, Mr.. Furber gave me his word OF honor that no
| ho taLo hat rtion
| UNIVERSAL
| Mr. Furber is Vice President OF the Universal; have
great variety OF attacks upon the Universal;
pledge was exactcd from Mr. Furber; IL was simply his
proposition; Mr.. White had refused TO negotiate Tor
Furbers action in the Unlvcrsal Mr. White had an
| impression that The Universal was wrcckng com
pany but that was not the general belief witness had
have grown that tho Universal had taken
impaired risks at lower rates.. but had not
heard such statement HIMSELF Mr. Furber came into
| the negotiation Tor a change OF management of the
Charter Oak, because OF the failure OF Boston railroad
capitalists interested in the Eastern Railroad to help
forward Mr. wlqgn, and the latter thercupon looked
around for some one else, and Mr.. Furbcr was sug-
Of these capitalists Mr. wiggn became President Of
the Charter Oak about December, 1875 and Mr.. Fur
per M so Of tho ne
Mr. Wiggns salary, ! hear, Is $l2 700; do not know
Mr. Furbers salary William Walker is President OF the
Uuivorsal there was other sum paid TO any
OF the change In the Charter Oak management.
The Universal did take dangerous risks on advanced
but they stopped that and have never done u since
am satisfied that Tho charges against the Universal
are unjust.
MEMBERS OF THE CHAMBER.
Tho following are members Of tho Chamber Of
Lie Insurance: THE Atna Massachusetts Mu-
tai, OF Hartford; Travellers Mutual Life New
York Life Equitable, Ge,mans, Un'ysrsal-
pontan, Michigan Mutual, Pennsylvania Mutual, Ma
t,onai United States Northwestern Mutual OF Milwau
kco and the Lie Association OF America the Chamber
was organized 1873 by the OF twelve
New York city companies
THE STEPHEN ENGLISH DIFFICULTY.
became connected with II In November 1878; had
previously been editor OF the New YORK Ecening POST
was also lawyer; had severed my connection with
had experience IN e Insurance MS counsel for various
companies; the difficulty between Stephen English
and the Mutual occurred during 1873; he i'm
prisonod in the spring OF 1878, / think, and
remained in jail until July; the Chamber formed
before that II was reformed however. IN November,
1873; i had connection with any transactions be-
| tween English and the Mutual except that was
! suited somewhat by the Mutual upon the subject;
there were common interests between the Equitable
aud the Mutual; was consulted In regard 10 tho
petition between the two companies by tho officers Of
harmony were completed before The Chamber was
during tho negotiations occurred TO the
officers Of various companies that basis Tor common
action was advisable and the reorgau cation OF tho
Chamber cnsued; tho largest contribution ever made
to tho Chamber was At the rate oil ono hundredth
| OF one per cent OF tho assets.
CONTRIBUTIONS TO THE CHAMBER.
| Tho Etna contributed about $2,lOU; tho Berkshire,
$780, the Brooklyn 800 never more tpa, at any
one tmc though thcro wcrc two contributions,
think 1870; the Charter Oak, 300 and The Con-
nccticut Mutual. s4looi Conneotlcu. General, sloo
Continental. OF Hartford, l think, $500; Equitable,
$500; Gcrnania 500; Globe, $780, KnickerbocKcr,
5000; Massach usets Mutual, 5000; Metropolitan, not
more than 500; Michigan Mutual, 500; Mutual Lie,
500 (AIr. McCurdy must have been mistaken " no
said the contribution last year Sl2 0OO); National
| $500; New York Iiic $4,000; Northwestern Mutual,
xl700; Penn Mutual, 5000; Travellers, 500; United
States OF New York, 500: Universal, $500, aud Iifo
Association OF America, $lO0 tho managing body Of
the Chamber Is AN executive committee; - has dircc
ton OF the Chamber; 1t is composed Of seven mem
hers, and changes arc made every year. tho present
members arc J. W. Alexander, j. g. Patterson, W. II.
Greene, Hugo Wcscndaus EoU,rt A. Grdnnss and H.
| s. Winston; The executive officers arc Mr. Hucy
President OF the Chamber, aud Robert H. McCurdy, OF
| the Mutual Lie The Universal has been n member
since ls7i do not know OF any project for rcnsur-
ing the risks other companies, but Mr. Furbor told
me that he had declined