The New York herald. [volume] (New York [N.Y.]) 1840-1920, 1877-04-20
Further Revelations CT Past
Encouragement.
BEN MOVES IMPUTATIONs.
Terms Of the Reinsurance Contact
Suing the Stockho ders

new, Interesting and important points
Gated yesterday TO HERALD representative by gen
tcmar who occupied confidential relations with the
New Jersey Mutual almost since was started These
facts follows About 1860 law vas passed BY
most OF the States, requiring companies before they
started, TO place In the hands Of the state amount
OF money known as guarantee cash capital This
was move on the part OF the old com panes crowd
out new Corners. ostcnsbly II secure
policy holders. When the New Jersey Mutual was
started 500, 900 was deposited at Trenton The
money was advanced by number OF gentlemen
chiefly Ncwarkers, who were assured per cont on
the business done In addition to legal interest. The
persons making the advance were stated. W. st.
Force c. G. Laihrop. Jeremiah Counsellor T. b. Ped.
die. George Peters. DR.. John +. Ward David A. Hayes
Hosea i. Clark 5. X. ". Heath. Aaron Carter Jr
James g. Barnett, James H. Tchcnor and William
Shove. In one or two Instances persons died their
stock was transferred 10 other parties la 1872 letter
was received by the officers Of the Mutual Company
from q company in Chicago Offering hny per cent
bonus for tho guaranteed capiahe $780, 900 at Trcn.
ton. Meetings were held TO consider oiier and,
the ground OF tho offer coming so great dis.
tnncc and not thinking II advisable put the Mutual
affairs IN the hands OF parties lar away, il was de-
clincd
sgEKISG 4 REINSURANCE.
Soon after, however as the HERALD informant dc.
clarcs positively Mr. G. g. Lathrop began on his own
authority 10 open negotiations with Mr.. William +.
plummcr, President Of the Hope Mutual Insurance
Company, looking TO similar offer. Tho offer was
made and meetings held 10 consider It. II was
accepted, and IL IS declared that tho acceptance
adroitlv engineered by Lathrop for reasons
which wi hereafter appear Mr. J. J. Anderson, then
Treasurer OF the Hope, has already admitted 10
HERALD representative that there was paid some
body for the stockholders Of the New Jersey Mutual
the Of 5000 600 for their sJo 900 deposit, Il
Is known that they received only 100000 The
very pertinent question now arises, Who got tho
other $4,000? 1t IS tho general impression many
and the hrm belief Of a cw-incuding tho HERALDs
informant-that Notwithstanding his deniais to no.
portcrs Mr.. Lahrop got that extra $4,000 How
many OF the stock holders hc induced agree 10
plummcr's offer is not known, but certain that no
induce a number Tho late DIR. John y. Ward one Of
the csmabe citizens OF Newark, is SAID to have
stated, after the transaction, that he
whether good or evil would out of tho matter
Mr.. Lathrop has assured HIM II would be good, and
therefore he voted TOR acceptance In this connection
It considered very strange that Mr.. Lathrop
declines to state what he did receive
or receive for his services II Is
further sot forth that at tho time Of the 1872 transac
ton 1t intended originally transfer the Mutual
to tho hope The papers were all drawn ou. Ii was
found, however that u possible objection might como
up IRON the working Of The New Jersey law. Then
the plan was reversed ana the Mutual swallowed
Hope. The si50.0oo paid 10 the ockholdcrs #as
taken from the Mutual iunus, likewise the sac 600
which Mr. iathrop disavows wing received. 'lhcre-
Tore To quote old Mutua officer, ~ quite clear
that whatever oil rotienncss there caused by
the knowledge and COLLISION Of the old stockhoders
EFFECT or SoYEs' LITTER.
Coming swift upon the back OF tho Developments
made in the HERALD Of Tuesday, the statement Of Mr.
Noyes and his letter secretary OF state kelsey
genuine sensation IN Newark yesterday IL may
added, with TRUTH too that u accustomed quaking in
quarters winch heretofore have borlo a smooth sur.
lace. DEVELOPMENTS ia
HERALD during the last lew days convinced tho
pubic that tho probe OF has not hall nm.
ishcd its work the matter OF the New Jersey Mutual
aud the acts OF tho men who managed u before tho
Noves-Steadwcll era: Tho Newark Grani Jury ad-
journed yesterday till Wednesday How they
have progressed IN their investigation Of insurance
matters is 70 DO conJcc,nfcd IL is known only that
they have not yet finished their work that
Among the people OF Newark the demand tor n thor
ough fearless and unsparng exposure increases every
day.
In his statement printed yesterday Mr. Noyes spoke
Of certain Ncwarser who CAME to him at the Park
House, just before he was removed 10 jail and
gcsled way out OF the difficulty. II is now known
that this person was Mr. Lathrop, tho gentleman who
negotiated The union Of the Hope with the Mutual,
ana, as is alleged, received tor his services 100000
Lathrop asked Noyes II there way OF getting
out OF tho trouble He answered himself as stated. by
suggesting a plan. THIS was tor Noyes take the
Mutual into his Washington Capitol Company and
tire nom The presidency. AT least until the storm blew
over Tho plan included putting up by Noyes OF
100000. Noyes rejected This proposition promptly.
athrop then offered TO raise $50, 900 Of tho amount,
and. this being refused finally the entire sum. but
Noyes not 10 be charmed out OF hts POSITION and
his certainty OF gong TO jail, even though assured
that 'Governor Parker had been consulted Tho
matter" Lathrop at time member Of the
New Jersey Legislature and at another member OF
the Same body In LOUISIANA In Newark he has been
very prominent IN conducting gospel meetings, Sunday
SUITS AGAINST STOCKHOLDERS
Tho attorney tor Receiver Parker stated yesterday
that action would be commenced against the stock
holders who transferred their stock to tho Hope
within period OF i've days II Is barely possible that
some OF the defendants. whose names we're gwen
the HERALD OF yesterday VIII return tho money
without process OF SUIT From general Indications,
those who decline make the return Will nnd
selves In much The position as Mark Twans fellow
traveller. who shot niue with his comprehensive
Alien revolver. lie didn't want the mule, but tho
owner came out with double oarrcllcd gun and per-
suadeu him 10 buy IT, II has been stated by several
OF the stockholders for the acceptance or
Their own mortgages tor the stock that The Hope
managers asked them al the last moment take such
payment The following copy OF the hrst reinsurance
contract between The Hope and the New Jersey VIII
show that the mortgage plan Of payment was ono or
tho earliest considerations.
rng RESsrRAxcE CONTACT.
Ths agreement made TN. day hcrcinaer stated by and
york the a part na he the Nsw ee, Mpan IN
sny.nes Company Of New Jersey % ne second par,
aud agreements hereinafter stated 10 hereby
mutually covcnant and agree each with the other rs FOL
ina, .o and IN consideration Of 81 in hand paid the re-
cept for which IL hereby acknowledged AMI urthcr vau
able considerations hereinafter mentioned tire said .opo
rs; part, doe. hereby rep,re al polee, force ssnsa ~
e second part With the assumption Of al iiabty q non
forfeiture on same and al policies issueG BY said
snmes ~ LIABILITY Tor c,,cnd declared BY said company
party oi the policies IN the -
this agreement ami also all other liability said
policies
The said company party OF the first part also all
liability OF the raid party 81 the sccond tor
losses unpaid contested otherwise with all
Cured N settlement oi same.
said Germany. party o. the frs, part also assumes al
liabity u SAID company, party ~ the second under
contracts vito agents and to made
In good faith
Said company. party Of tho FIRST part and
all claims aud indebtedness OF the company
parry OF the second part Tor losses incurred and unpaid
wc other liabilities a. shown p, Md New Jersey Mutual
Late Insurance Company, 81 the second
party Of the hrst hereby continue
the officers and employees OF said company party
the second pnt to the Jist day % December A. H. 1872,
inclusive whose shall party y!
hr,t perfect the Of business
said party tile second said company party
first part.
snd party Of the first part TO Offices
and ANY other Inability that be due said
pany. party o. the second part.