New-York tribune., 1878-01-05

OF the company not 10 quote IN the Iis Inc nH n"
been formed; it was very close corporations It held
millions Of dosr5 of assets in its grasp with Ete or no
responsibility to any one and did not propose to have
its plans intcrfered with or It's privacy Invaded IL
occasionally happened that stockholders became IN
oulStye or uneasy but 1t not dcult WIN sach re-
sources a. the Ring had draw frOm to sie inqay-
IN other way. By buying up the STOCK AT any il'e
sTRANGLING INVEsTIGATI0N.
Ina, bcre LET me state fact which has not yet ar
,oorsd a. ore Of the results the recent examination
Of the companys books. II lets in flood ol iSht upon
the methods ard practices OF the Walkley management
The Hon Charles II. Pond came in possession by luher
itnncc from his fhers estate, several years ago. oi
sxty-seven shares OF This stock. White he WAS slae
Treasurer he saw enough Of the methods III vogue
among insurance managers TO satisfy him fhat thtle
was great deai OF rogucry in the bu ines Whcu pun
he policy required should be nyesiiEa' ed he ooF""
what the companies call war upOn thein WHICH, III ,"'
or three terms OF service the state Senate he mas
kent up lie WAS not at all pleasant per-
son for the Walkley management 10 nave
or,upA He was very inquisitive and sharp'
and not easy 10 couciliate. In May, 1s'l MI
Vakley bought this whole block OF SiXy-SeNeh s"a.'s
Of Mr. Pond at $3.50 per share. The Doors S"'" ""'
me conpo,s poney paid for The S'oeE little Later
os opprors from the books this stock was dVcd mp rs
fouows Nelson Hoilister, Daniel Phillips RosWci
Dlodcett samuel H. White and H. c. White TOOK cleVcA
ehars each and j. c. Walkey twelve ana they laid lof
the same $50 per shayc To set ria OF Mt f''' "u"
hod secure The secrets OF th, Ring which was piuer
ING IN, company the company itself was drawn On ior
the difference or s30l0 i'll tbe transaction IAs Is one
of m discoveries OF the past few days. There is, OF
course t one thing for the present managers 70 ID III
t circumstances and That is to bring suit against edch
OF those respectable persons for the difference.
Another method Of dividing up surceptitious N0h'S
-os 10 charge TO the policy holders "eonmisSion Tor
I ,rp cf stock, for special service in earning d'l-
dcs This was never credited or charged or accounted
or in any way and entry of il appears anyWueft OF
Tho books II was the habit OF the officers 20 HU' '"'
amount Of this extra dividend in an envelope ana SIP
II into the hands oI the stockholders no questions "lns
asked or answered. It gives an idea OF the bookkeeping
Of fbe COMPANY tlat not scratch Of pen can oe t"
10 show whence m money from, or where II went.
That such dividends were made and were so distributed
although was kept quiet while the business WAS %oN"
on is now matter OF public notoIiety Nhen ten W"
tat the present board Of directors propose TO >t A'
stockholders who received such extra dividends Tor me
policy cykodtrs' money in their posseSsior--as indeed
they must i thev do their dHty-I uecl give You 10 "a-
di,ional r.as, for The fact that sockhoder has yet
hcen found who memory OF those occurrences "t ell
distinct or positive. itis not impossible however I'i
in the uirayyHnI Of the conspiracy cases some ce"
NAV he found by which these extra dividends can 'e d
recy traced, ana ae memories ol those W"o TOOK them
and asked no questions, refreshed
A SERIOUS BLUSDEE.
The first notable biunder OF Those managers after the
original one OF beginning sharp practice Oh policy
holders was in deciding TO erect the costly ana cN-
trayaeaut building which ticir present ofceS are
II wa. one OF thc frs, OF these goa! buildings IN Hart
ford; was begun in 1868. end completed at cost oi
about $500 900. II served two purposes It was per
,nanen investment for that amount Of surplI. and Oh"
erection OF it furnished snccnre positions for some o.
te directors at enormous sal3es, members of TIC
building committee. Exactly what III. Nelson
HoNistcr. Who. / believe chairman OF the
building committee, received for m5 service
/ am unable 10 state. have heard that lie
received salary Of 100000 pcr annun while the onM-
ine was il process o erection II must he sail in bis
favor that be ad struggle dill gently earn Il. u'cl
frequently 70 see him wrestling with derrick "h great
aTcor and hiS coIsu with everybody or tA2 sb-
tect were infinitely varied ana orcn prolonged Tho
names O. toe concutCc and The officers Ie la'cl1ed ol
. marble slab ut the bead Of the first fehlue en-
during monument Upon his OUTLAY o. S7OtoJj 'hcr,
mas probably never been return exceeding per cent
per annun although il is impossible 90 state auvtun.
with accuracy in this REGARD. The books chow
ing a. l an tod, nothing whatever os 20 tie
,cnts. The offices and their equipment a,e on
n gorgeous SCALE FOX tie amount OF bookkeeping which
seems 10 have been DONE they on; OF all manner o.
proportion But tie pretty young men sit 20 the desks
and took occupied and interC Ing. and -e Off r ~ te
conpany have secluded rooms where they E.dAt inter
views to orGiuary folks special favor, and tn res
grand and gloomy air pcryadin- ile establishment.
which to the in0uTperS who come IN 10 realize on ID.
t,uatiou OF tc ciues. 90 not pretend 20 under
stand f Insurance. IL its best phases and most
onrouioeiuc a-pactsI really doubt il anybody does
bat there something in the ,o.cmgijy o. au insurance
oiee tlaJ noycr al1d impro ice. think il is more
nprcs i've 10 the pocvhpldor than 20 the average y
tor II somehow seems TO remind lin OF wa' he lae
got 10 90 T. Gct back lis -,noy and tic suggestion y
no means hilarious. The clerks TOO. always 10 be
saving 20 him by teir department that be j. of no coa
Guencc and never win be thar even when he comes for
Hs rnoncg he hls lot 10 come fee, forcnos, anl b
rapcd on the head to show he is not in trance. Dnt
thcCuartcr Oak ci j. q yecy nice on,c. IcoLul5ut.d
litte something myself toward it adoinmcnt
a RAILROAD ENTERPRISE
A5out ,hc timc the building begun it occurred 70
lIr. Wakley that it would bc good idea to have direct
railroad communication with his residence on tie Con
ucccut River, below ,iidl.cown az Hadlan, believe
lie accordingly set 70 work 10 procure charter Tor thc
Connecticut VALLEY Railroad, 10 run from Hart
iord TO saybrooA on The bank Of the Connecticut
River The charter procured and th, stock sui-
scrihcd in way and anoihc-pgrcpay by sub Grip
tiOns from towns along the lne-aad tue work began
may be said for this enterprise that it set on foot
and carried with unusual prompness and no haljug
or delay why shouldn't It be with the treasury Of the
Charter Oak Life draw from to carry the work forward
Al the end OF IT ALL Mr. WalEey rad hs railroad cOmnt
uication with Haddan, stockholders had invest
lnent that paid nothing and the Charter Oak Lie Il
charge against the OF 81 100 600 advanced for
the construction. For this suIn the company took
81 100000 in second mortgage bonds. They had now
two goodszed elephants their hands in the shape OF
the building and the railroad To make the nIonagcrie
complete, they added the Fcnwick H9ase at
saybrook hotel intended n Summer resort
and feeder 10 thc railroad On this prop rtyhc hotel
and furnture-;he company loaned money, and took n
gage the precise figures OF which have at hand,
but which amount to two Or three times The value Of
the whole establishment. Neither tho road nor he hotel
pad any thing the investment, and things began TO
get in a snal O.hcr speculations turned ont poorly.
Wsey became personally involved ana embarrassed,