The New York herald. [volume] (New York [N.Y.]) 1840-1920, 1877-04-23

cry. &C.,. ACKNOWLEDGEMENTS adm'ed
Total actual assets .s2ss, o2s 81
BONDS AND MORTGAGES
While tho amount claimed by the company.
S47I ana credited under this head, " allowed oy
the examiner yet u IS proper IL clearly
shown that y Was tho common custom OF the company
before making tho annual statement TO the DEPART
mont required by law. 10 Of tho direct
ors OF the company certain worthless accounts aud
city Of New York. Tho books snow, Tor example,
that Mr.. ". w. Sharpe, Of No 20 PARK row, New Yort
csy, ssSckho,der OF the company on tho 3s. dayi
character, receiving his mortgages In return Tor
transfer Of the account within short time AFTER SAID
statements were made ana hed II Is scarcely ncces
sary 70 state that said transactions wero papab!y
fraudulen and made soioy tor purpose OF geslAl
credit tor inadmssible Items.
COLLATERAL LOANS
Twenty six thousand tive hundred and thirteen dol.
lars aud three are Gu. down 10 s7i3 o. being
reduction Of $25s00-this being stock OF the Uuled
States Publishing Company. This stock IL appears.
was gwen to tho company BY Mr.: John !. Trow. o.
change tor bill OF suie OF the company's furniture,
sales, plates. copyrights, &c From inspection Of
OF the Secretary OF state, Il Is found that the
authorized capital stock IL So, 600, while The Ger.
numbered T. s. and Z, having par value or S32 000
Il ~ singular whore the certificates numbered l, and
3are There IS NO assignment Of the securities men
toned by the party IN whose name they stand, .
receipt being simply gwen by Mr. rrow that he was
indebted to the insurance company for money loaned
no money loaned TO Mr.. Trow, and the furniture.
safcs, &C. were returned in tho last annual statement
asset, although entered In sho books sold
Mr.. Trow for The stock above mentioned.
PRxMIuM NOTES AND LOANS
sos 900 Al 10 s Ta a. beng IN cscsss Of '' s%o
reserve charged against tho policies, and therefore,
not allowed, the sum OF $o4, 200 L.
CASH ~ BANK AND oPvcR
From the amount OF $s0,47S 10 sworn to as IN tho
bank aud Office OF the institution tho 31ss day VI
appears that by resolution OF the directors in 1874
conditional certificates were issued stock
holders being portions portions, Of .,, alleged profits and
law or fact Capital stock osr.nca.es were
an additional issue OF stock, $3.50, 700. Such ssock-
holders magnanitnously gave 10 the holders OF such
conditional certificates OF profits tho exchange
therefor and thus the company complied with the laws
Of ohio and Pcnnsyivania, requiring moro than
$l0O 600 capital IRON stock life insurance companies
Tho cash reported TO DO paid, above was used on
several occasions In the imaginary purchase OF stocks
and bonds just prior to. and, IN FACT on the day OF
making tho annual statement, and these securities,
with great regularity, disposed OF within shors
time after the annual statement had been mado to the
On The 3lst OF December last there remained Of this
conditional certificate ISSUE not cancelled, abous
ssd, 900, and this, with some $4,000 Of memorandum
checks Of tho officers, made up the larger portion 81
tho cash la bank anu Office IN last statement Pend
ing .ne INVESTIGATION these certificates Of profit were
were credited as cash in tho First Ma.
uona bank OF Salem, \. Y. when, IN fact,
they were not there, and the officers knew
that no credit would be allowed for the item
when us true character was known The Sl3, 600 IN
hecks amount that had been paid che
officers tor increased saIary, they giving y return
check voucher, subsequently used annual state
ments ''cash hand" On the I'd day OF January,
mcnt, showing that tho company had on hand
$50, ATS 10, II borrowed 81, 900 OF a bank.
HILLS RECEIVABLE AND AGKsrs BALAxcgs
stricken IRON tho assets entirely they being
asscts under tho law.
$50 542 50 10 500 IL Tor the fol-
lowing reasonsof tho lo37 policies representing the
due aud unsolicited portion OF tho above amount all
but three never issued. they were reported by
tho company being existence TOR tho reason that
tho amount OF premiums shown above and claimed az
an asset was SIS 9s. AZ in excess OF tho habsties
charged against SAID policies. No be
made by tho officials Tor this outrageous proceeding,
Ihc whole method beng a deliberate swiudlo.
agents supplies &c, all stricken from the asssts.
neither oi such coming within tho Law.
LIABILITIES.
Liabilities S,oor,s TO.
Net premium reserve .eS0s. OTIS 20
Unpaid losses and endowments. 5000 W
Unpaid bills. OBSERVATION-DISCLOSURES. -
Premiums paid In advance. ................ =
Total liabilities az sworn TO- s344 73y e
actual Lsdbiiitics
Net premium reserve SAB 220 90
Unpaid losses and endowments. sL2ll 81
Premiums paid in advance ............... 3,2ss OF
TctAi labiiitios VA TACT SS44, 900 u
MI yR1MiUh RESERVE
a,csfsa ~, that .as amonnt o. net premium 70.
serve - 20 instead Of only sos 073 Is. being
LIABILITY VI tl33, l52 y greater Than stated
LOssEs.
The examination shows the amount Of unpaid losses
and mutarcd endowments, contested aud otherwise "
be f94,2 81, while the staiolne nt OF the
pany makes IL only $50, 800
claim has been mado ana indmstriousiy circulated
by this company that under It's peculiar ssys-
tenn the rate OF mortality among It's members
Is lar below the average Of other companies.
But, when u known that ,ts rate has been
computed the basis OF falre issue OF policies,
thousands In number aud millions In amount and =
false statement OF incurred losses, tho misrcprcscnta
ton and crime Is al shown by following briefly
1 stated example,
Ratio reported amount OF death claims during ls7s
10 amount OF insurance reported In force according 10
the compsnys statement ~. Ratio OF actual amount
oi death claims during 1876 real amount OF lnsur-
ancc In force as found by examination, L04.
1 coNcLCsios
Tho superintendent has doomed Il his duty TO make
special application 10 the Attorney General in this
caso calling his attention particularly TO H. hoping