New-York tribune., 1877-03-10
LOCAL MISCELLANY.
INSURANCE INVESTIGATION.

INSURANCE INVESTIGATION.
WILLIAM FULLERTON ExrIAINs-G. HILTON scRiB-
NER's IGNORANCE or THE CONDITION OF THE
CoNPAEY OF WHICH HE WAS AUDHoR-NoRfi
AMERICA MORTGAGES.
The examination of the Continental Life In
surance Companys affairs continued Yesterday De
fore Referee william Allen Butler at No 20 Nassaust
william Fullerton explained In reference 10 bis action
concerning the OF securities transferred To tho
New,ersey Mutual by the Continental, that he ascer-
famed that there were thee Teceips-Onc FOR Sll0sOo
for bonds and mortgages another for $lO7OOo IN Dohd
and mortgages; aud n third for SIs,ooo, III oh'eu
States bonds with premium. He found that the SlIo'-
500 was fictitious statement no such transfer having
been made or the s1O7 900, coo had been paid, and
of the $4,000 OF United States bonds $4,000 had been
used by the New-Jersey Mutual as collateral for
loan OF AT 600 from the Chemical Bank, and cod not
be recovered The New-Jersey Mutual agreed not 70 rs
sist suit for $G2 900, the balance OF the Slo7ooo IL
was found that this amount was In the STATE ana eouu
he recovered Judge Fullerton then testified generally
as to his work counsel the amount OF his pay oes
objected TO by the counsel for the pocyhoiders'
Mr. Clark former bookkeeper OF the Loaners' Bank
was examined with reference to deposits made by the
Continental in that bank for the purpose OF showing t
ON the first business day of the year fictitious deposits
were made in order TO swell the amount OF cash Ill the
bank as recorded IN the annual statements
q. Hilton scribner questioned In regard 10 INC
vices He replied that he could not tell anything about
it, "a he kent no books On August IA he received from
r. c. Frost receipt for all or his STOCK III the 'oh
mental As to the annual statements OF the company ne
said that he could not state as an onicer ana
director whether they were correct or incorrect,
for he had never read them. They were read
TO the Board of Directors, the different items
being ated in the aggregate by the president and then
approyed by the board. Mr. Scribner was then exam
ined as 10 the dividends paid TO the stockholders ana rs
10 an affidavit made in 1878 by Justus Lawrence, te
former president that the stockholders had agreed not
to accept than per cent dividend on the capt
stock Of 100000. Mr. ScriDDer acknowledged the
truth OF this AFFIDAVIT The books OF the company were
then produced showing that the stockholders suDse
aueptly received per cent Mr. Scrbner was next ex
aminod TO the Pavilion Springs Company a
Saratoga He testified that during his absence III bu
rope Mr.. Frost had invested money for him IN that
propertv and on his return a personal examine
tiOn convinced him IL not a good investment
II WAS shown that subsequently the Continental
loaned $4,000 on this companT's stock ard The loan
was approved by the finance committee, u which Mr
scrlbncr was member During the whole ten years OF
the Connenas existence he had never heard OF an eN
animation being made and while Secretary OF state lie
continued receive his salary of $4,000 as auditor OF
the company. Here number OF checks were exhibited
"A TEMPORARY loans made to him personally. He denied
having received any amount though the checks were in
dOrsed by him. They were a sample OF what the Cont
mental used In making out ITS annual reports. The
% 900 pounds sterling deposited in the United States
Trust Company by the Prudential Company OF London
for the purpose OF rcnsurng risks OF the International
COMPANY subsequently became the property Of the Em-
prc Mutual under contract.
The examination will be continued on Monday, at
p m.
NORTH AMERICA MORTGAGES.
letter was published IN yesterdays TRIBUNE from II.
J. Furber VicePresient OF the Universal Life Insurance
Company denying that the North America Life had
loaned @22j, 900 property worth 100000 John L.
Hill of counsel in the Of Belnap against the North
America Life which will up again to-day In Brook
lyu showed "A reporter of The TRIBUNE yesterday the
orgiua schedules from the insurance Department at
Albany which were certified to By william Smytn Act
ing Superintendent Feb. 10, 1877 In this appears
tie following: -, ,
feet west from E!eyentave, 40 feet by
side " street 200 feet west from
sa Eel u1t 80 by lUO2 Feet ana on nOith sac OF
Sxtysevcu.st 300 feet west from said Eeyeut-ave 200
BY 100 feet ano Of Premises SlOUOJ cost value SlVo
600 mortgage, S220OOD.
Mr.. H said it VIZ. possible the department. had made
mistake in COPYING the schedule but Of this ne could
not be expected to any knowledge, and, as mat
what appeared the papers furnished by the depart
The schedule which IL certified by the Supcrn-
t,ndcnt also contains the description of property on
-iirsSt. between Madison and FOurth-ayes. on
which the company holds u mortgage Tor $1,000, ana
which stated in the schedule Is recorded III Der No.
100 PAGE 377. Upon investigation OF the records IN
the Registers Office il II aSceialned That tnlS mortgage
WAS satisfied May 20 1875. The report OF tie company
20 the Insurance Department in which this mortgage
was included Was for the year ending Dec 81, 1870