The New York herald. [volume] (New York [N.Y.]) 1840-1920, 1877-05-01
LIFE INSURANCE TROUBLES.

WHAT THE POPULAR LIFE COMPANY REPLIES TO
THE INSURANCE sUPERrNTENDENT's REPORT
REFEREE APPOINTED.
Pursuant 10 previous adjournment the motion TO
continue the temporary Injunction heretofore granted
against tho officers Of tho American Popular Life n
Company. restraining the OF the char
ter and also for the appointment Of a receiver,
before Judge Donohue, IN Supreme Court Chambers,
yesterday The truth ofthe statements OF the Supern
tendent Of Insurance. on which the Attorney General
based his notion aud which have already appeared
In the HERALD were put in ISSUE by affidavit made
vs. Thomas ). Lambert president Of tho company, and
read to the Court oy Mr. George Bliss It's counsel In
this affidavit Mr. Lambert says. In substance, that there
has been Intentional illegal conduct the part OF
the officers OF the company that tho report Of the a.
surance superintendent relates to tho condi-
ton OF the company on the 3lst OF December
last, aud not TO its present condition, IL having
greatly improved. The addition OF $685. l52 % to the
liabilities OF the company what has been stated
by IT'S actuary, no says, Is wrong. This error
rom the TACT that during the past year many OF the
old policy holders surrendered their policies took
new ones for greater amount and with different
ditions. After such surrender the OF reserve
capital red was less than previously whereas the
superintendent, In estimating the amount OF reserve,
proceeded on the basis OF the old policies In this way
he ncreased the fund the estimate OF
the actuary TO The extent OF $l35, l52 -.
TWO POINTS OF ESTIMATE.
The question arise out OF TINS state OF affairs be-
comes OF mixed law and TACT, rs to whether
policies which surrendered for new ones
were "odtstanding' within The meaning OF
the language OF tho law that what IS tcchni-
cally known tho ..rcservc'' should be the
reserve Of tho old policies or OF the new. As 10 tho
assets rejected by the Superintendent the affidavit
says that $50 500 loan Is valid asset ana that other
assets OF tho company rejected by him being wholly
worthless worthless. In proof Of this latter
assertion he alleges that OF them have been paid
since the report OF the superintendent maze. The
form submitted to them tor their report by the super
intcpdcn required them 10 state matters us they APP
pcarcd upon their ledger, leaving him TO say which
items he would admit assets and which reject and
they stated tho facts their report icy appeared
their ledger The statement OF unpaid losses which
the Superin tcDdent alleged incorrect Mr. Lambert
says they intended to make correct, and he names
la detail what the differences AS
other allegations IN tho Superintcndcnps report II IL
charged The part OF tho company that they IN
correct; but they do not concern tho present SOL
vcacy OF the company they not referred further
IL IL added that immediately upon the publication Of
the report the company entered upon
a careful examination Of It's condition down to April
80 all the force OF the oice being work upon IL now
but that u will take the balance of tho week
pietc H. Upon this state Of facts counsel Tor tho
pany asked Tor reference to take Testimony to
facts This the Attorney General did OPP
pose. and Judge Donohuc named William Alien Butler
referee TO take testimony TO the truth OF tho allie
cations OF the Attorney General which II is sought
to dissolve tho company. An order 10 that effect
entered.