New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1877-11-30
4 WARNING TO LNsrRANcE OFFICERS.

The sentence pronounced by Judge Davis
upon Mr.. Robert l.. Case, though not unex-
pected. was, as the Judge himself said, terrible
Venerable in years, of good social position,
and integrity hitherto unimpeached, it may
well he supposed that Mr.. Case had no eXpec
tation, during his presidency of the Security
Life Insurance Company, that his career
would not end in honor and success. 1t does
not appear that he himself took part in mis-
appropriating the funds Of the company; it
was even alleged that he invested his salary
i'm its stock, as if he felt confidence in its
condition. He doubtless did what many an
officer of bank or an insurance company
has done before him: simply shut his eyes to
unpleasant facts, and signed the documents
that were drawn up in the office, without ask
ing questions. 1t almost passes belief to sup
nose that Mr. Case was wholly Ignorant OF
the falsehoods in the cOmpany's statements.
The instances referred to by Judge Davis, OF
certifying that there was 100000 IN cash on
hand when there was really less than $1,000,
and that the real estate was worth S15OOOO
instead of $1SO,000, cannot be explained by
any reasonable suppOsition of n mere want
of care on Mr. Cases part in examining ac-
counts The strong probability is that in
signing and making oath to these statements,
he quieted his conscience with the notion that
the proceeding was a matter of form; that
the company would survive its embarrass-
ments and make up its losses if 1t could gain
time: that refusal to sign the statements,
coming from its president, would at once pre-
cpitate disaster. Perhaps he reasoned with
himself that his signature and the false state
mentS, by tidng the concern over its sea OF
troubles. would ultimately be of help to those
whose funds had been squandered. In short,
it is but charity to suppose that he did evil in
the hope that good would come.
Yet no such excuses, as Judge Davis rightly
saws in regard to the plea of ignorance, can
mitigate the offence. There is no other course
omen to Justice, than the punishment which
has been ordered. 1t is indeed terrible thing
to send Mr.. Case to prison for five years;
for his family there should be nothing but
words of profOundest pity; but 1t would be
far more terrible for the community ii so Sig
nal an example of the neglect of grave trust
should 90 unpublished. We must have hon
esty in the management of life insurance COM
NAMES and savings banks at any price.
If the private histories OF policy hOlders
and deposit0rs could be written, we should
have volumes upon volumes full of the
details of pinching economics, hard strug-
giles with fortune, and sometimes almost
desperate efforts, by which the premium was
paid, or the deposit in bank was accumulated.
These eflorts-heroic, though unknown to
fame-in the case of life assurances are, for
the greater part, quite unselish. That such
funds, laid aside to protect family in the
event of the death of its bread-winner, should
be squandered, and that new victims should
be drawn into the vortex of ruin by success
siye false statements signed by men of sup
posed probity-this is more terrible than the
imprsonment OF Mr.. Case. If his sentence
shall warn delinquent or careless officials III
similar places of trust if it shall check the
downward course of any company whose otl-
GERS are neglected. of its affairs if it shall
stop what the public has learned to designate
as swindlingn in life insurance, good will
have come ut last out of all this evil.