National Republican. (Washington City (D.C.)) 1872-1888, 1879-02-17

Balance whleh Should be ON hand


January ], Observation-Disclosures. 19i 726 81
NoTE.-ln the above statement no account is
taken of the rents received from real estate or the
interest on the sl79l02l invested This interest at
the specified rates amounts IS 0i04l. The amount
OF me rents does not appear Excess Of receipts
oyer expenditures for ISIS, including in receipts
SSOlO.il interest Sl7,lI7.27.
Mr.. Wilson then proceeded to discuss the
statement in detail. He said he could not I'M
derstand the first item, the purchase of the
Marble Building" 1t was no benefit to the
company The board of managers had shown
disposition to help each other, and the pur-
chase of this building was on a par with some
of their other transactions
A voice in the rear of the hall Call it a
dickcr"
Mr.. Wilson-"Very well l will furnish facts
and gentlemen can give names.n
The second item showed that the board of
managers had loaned $4,000 to one of their
number, which was more than One-fiith of the
capital stock Of the company. The gentleman
who borrowed the money was capitalist, and
it seemed strange that he should appear in the
role Of borrower. But upon examining fur
ther it was found that the rate of interest
charged was but per cent.
Salaries amounting TO $500 had been paid
for the collection of $4,000 more than % per
cent The losses last year were S11 ,ls0.2G and
only that amount Should have been contributed
by the policy holders. Instead, however, $3i,-
COO had been wrung from them He hoped the
policy holders would first get rid of these man
ayers and then compel them to return the
amount they had drawn for this purpose.
Nh, Shiles said that the assessment on the
premium notes, which represented 81 1898, $50
at per cent. amounted to $26,797, and the
real estate and notes, stated at $1G3,0iO at
per cent. yielded $9,7S2, making altogether
receipts amounting to $36,570. He found in
the charter that the company was allowed to
hold real estate amounting to $50 900 and cash
and notes amounting to 100000. He thought
the directors had gone beyond the charter.
member of the meeting stated that the
charter had since been amended increasing the
amount of capital and real estate.
Mr., John Joy Edison said it was important to
proceed deliberately and firmly. lie was OPP
posed to the passage of the resolution at this
time. The committee TO report to-day, he said,
was going to make good report. Every de-
tail will be shown. 1t would be time after
hearing the report to adopt the resolution lie
| then moved that the resolution of censure be
laid upon the table and that q committee OF
five be appointed to attend the meeting to-
day aud see that the report of the examining
committee is reid, received, and ordered TO be
| printed, and that meeting adjourned for one
week, when an election Of officers should be
| held from ten a. IN. to ten p. IN.
| Mr.. Nicholas Watkins favored the adoption
of the resolution and the appointment of the
committees of five suggested, Tho board Of
managers he said, had been sclf-perpetuating
| concern. The original chartered managers are
| still managers. All vacancies are filled by the
board. In one instance member died and his
sOn-in-law took his place, One partner died
and the other succeeded him. He did moi
know much about property, but was sure the
Marble Building was not worth more than one
half the amount paid for lt.
The amendment TO the charter allowing the
| board TO purchase real estate was procured by
managers in the interest of fellow member
| None of the policy holders knew anything
about the transaction. Mr. Milburn said the
Marble Building was sold at a trustees sale fol
$iS600, and the treasurer Of the company
bought II and said II cost $4,000, thus making
81 400 by the transaction. He had been in
formed of this fact by one Of the Oldest mem
beers of the board.
Mr. c. b. Clark spoke against adopting thu
resolution until after the report Of the exam
lining committee was heard lie did not thinl
the present board had done wrong intention
ally.
Mr. Manning argued that the adoption o
the resolution at that time would have q ten
deucy to rc-CeCt the present board, as the,
would use all their influence to secure re'eluc
ton as a vindicatiOn
Mr. b. II. Warner also urged the meeting L
wait for tho report The Investigation com
mittcc was composed Of good men and tho.
would make everything clear There Were II
specific charges made against Che preseu
board,
Mr., WNrnerreUd a memorandum stating tina
five Of the seven managers received qaOO each
aud ono Mr.. King, of GeorgctOwn) 5000. Tn
latter said that was all he earned and turnet
the other $500 into the treasury OF the com
pany. The president did not receive two sala
ries. According to his figures the amour
paid for salaries was $4,000, aud not $1,000, "