The New York herald., 1877-01-21
CONTINENTAL LIFE INSURANCE.

ARGUMENT OF COUNSEL OVER THE ORDER FOL
THE APPOINTMENT OF REFEREE-THI
RECEIVER SEEKING FOR TIME TO PREPARE
HIS REPORT
The matter OF tho application Of the counsel fol
Stephen English, policy holder in tho Continental
Life Insurance Company, tor the appointmentof of o
referee TO review tho acts OF Receiver Anderson
of that corporation up yesterday forenoon in tho
Kings County Supreme Court. before Judge
Pratt, In pursuance OF the decision OF tho
Court directing the max ng OF an order n
accordance with application. Elk Judge Fullerton and
Mr. Hill appeared counsel Tor the receiver, Raphael
Moses for stephen English and General b. +. Tracy
for fifty other policy holders in the unfortunate CON-
pany From the DRIFT oi the argument 1t became
apparent chat the fight OF tho corporation SO un
pleasantly situated between the 900 policy holders,
backed by public sentiment for timc.
Tho counsel for receiver asked that they
might be given till Monday to prepare
their objection the order sought for by Mr. Eng
lshs counsel Judge Pratt said he would give counsel
until the afternoon to send In their suggestions on
paper ExJudge Fullerton said that there seemed to
be desire to mpute improper motives to tho re-
ccver Tor tho company, and they were entitled to a
reference under the decision OF His Honor. Mr.
Moses said that the reference no sought
was separate one; that it was SIMPLY
as to the money demand upon tho order
ExJudgc Fullerton SAID they supposed the order was
investigate TO the moneys received ana the acts
done by the receiver. Judge Pratt remarked that the
DRIFT OF the argument that there were 20, 900 policy
holders IN tue Continental Lifc Insurance Company
who are all an xious TO what moneys are collected
and where this money goes. lie supposed
had ruars NO rs'eIsun Fullerton sad that when tho
receiver made his report II would state every
dollar received and every dollar paid out Mr Noses
snd that under the statutes the receiver was required
to call general meeting Of the creditors within i0ur
months from the date upon which the corporation
went into bankruptcy, which period woula elapsc on
February o6 Three weeks notice should be gwen 10
cuch creditor OF tho intention OF holding such meetng
and as many OF the policy holders were abroad, now
was tho proper time to ENFORCE such compliance Win
the statute aud capse tho notices To DO issued
A QUESTION or LAW.
Another nice question OF law 10 be decided was
whether tho Continental Company bas ceased 10
exist or not. The policy holders should be also ~,
qulreJ 10 send in their claims without delay. General
iracy said the receiver would mako all these state
menIs when the proper time arrived, and there was
no necessity for counsel making sucn moion =. an
Nor did 1t rcem TO him that the receiver
should make his rst report TO the referee Ihc re.
should make his report direct to the Court ana
1t should be placed die, and then the Court should
recr that report 10 the referee But the report
should be made first to the Court, otherwise tnere
VAS no way OF ascertanng whom shall get the re-
port at ALL The chief in this company centres
around tho past history thereof What the pocy
holders want TO know is in what manner and IN what
way II became bankrupt aud who rs responsible Tor us
becoming bankrupt II such inquiry IS not 10 oe
made there nothing In the motion worth the
making Ot u. no nau an OEucI " Ahc WV
testimony OF any Of reliability as to tho respon-
sby Of the officers OF the company 10 the corporation
or To the policy holders thereof The receiver cannot
call witnesses 10 make the proper answers The Court
SAID the object of the motion was TO ind out what
funds had been received ana what had oeen
paid out General Tracy objected 10 the MOTION
because 1t only provides for controversy winch
may arise What the Court wants 10 10
informed about is whether there are facts which
would require the Court to direct the prosecution o
suits against responsible persons Tho policy holders
snoud not come In and ask Tor reference 10 settle
controversies until such time as controversies may
exist He wanted tribunal TO Investigate The history
of the company and 10 place tho history before the
public and to place the duty OF the receiver
before the court, to make II clear
whether tho receiver Is dong his duly or
not Counsel said he had right 10 appear Tor hls
clients, who are policy holders, and he SIMPLY made
these suggestions 0r the consideration OF the Court
Ex-Judge Fullerton sad the receivers report would
show to a uicety where the moneys had gone, and
that dispute was likely to arise between the policy
holders ana the receiver ihis order was simply TO
load the Court with partcularies which are not ma.
teria. How was IL possible tor the rcierec 10 do'
termine the question of liability or as To the
supposed liability Of any OF tae cmcers OF
the company. The receiver could on or before
January So days hence have prepared report as
to condition OF the company when be would then
submit to the Court II, reflection, the Court then
saw nt lot referee be appointed. The order he be.
licvcd should be made out with that object in view.
Judge Pratt he papers and directed the counsel
TO hand in hts written suggestions before tour O'Clock
IN The aitcrn6on The instructions o the Court were
not complied with up to i've O'Clock last evening, when
the Judge went 10 his home