New-York tribune., 1879-09-01
INSURANCE IRREG UL4RITIEs.


A TALK WITH SUPERINTENDENT sMYTH-THE COM
PANIRs HE REFEKRED TO RECENTLY.
lYHoM AN OCCASIONAL CoRRRsfoyDsST OF rHa TRIBUNE.
ALBANY, Aug. 31.-.ln response to inquiries
relative to the disclosures recently made as 10 the CON
dit:on OF certan IRE companies IN New-York
CITY aud Brooklyn, Superintendent smyth said to-day
that lie believed the publication was necessary
IN order to secure watohiulncss and caro- on the
part OF officers and directors of companies Tie was
cutie sure that the publication had had that effect,
cl,y As Il had proved that state supervision IS keen
aud ant enough TO detect irregularities III companies
whch officers and stockholders knew nothing Of
He had however, received large number Of letters
from the officers Of various companies protesting that
{, was unfair leave unpublished the names of the
companies referred TO- the article thereby directed
suspicion at every other company, ana was in
furious those which had conducted their business
uprighty and without irregularities. There was,
lie said considerable justice IN this. aud he believed II
would now fair and jldicous to publish the results
of the examinations OF fire companies made since jan
nary / 1s79 and firstly the names OF the companies
in which irregularities had occurred. Under
these circumstances the superintendent permitted
the following details Of late examuaio US 10 be copied
from the notes OF the examiners, 10 being understood
that four companies following Include al referred
90 ~, that interview:
The OF the cashier of the Atlantic Fire. OF
BrcoRyn whose name escapes the recollection of the
superintendent, but who IL under arrest In New
York CITY, was about $4,000 The company
has reiusured It's risks in the Home OF New
York AID j. not transacting busness. The
eompany claimed surplus, before the examins-
ton IN its report the Department. Of S37,5+5 Is
while the examination showed an impairment OF
S56s45 23 as follows Assets. SS5e575 ls; Liabilities,
including capital, S4l6,l22 O4
There was defalcation in the Adriatic, OF SewYoIk
on e part OF former secretary Charles D. HarIshorne
,o about 81 5000 OF this So 600 was made good In
q
In nart by cash. and the remainder by note
for ii 900 which yet remains unpaid This company
has rensured It's risks In the LOndC7hd Lancashire
Insurance Company. and will not transact further bust
ness The last statement Of the company 10 TIE Depart
neu sho we'd a surplus OF S7.lO6 9s while the exami-
nation showed not only wpiuS out OF ts surplus Dut
an impairmeDt OF the capital as io!lows Assets
72e 27 liabilities, Including capital S25262l 80;
Dparune1t S94 coo -,
The funds Of the KnickcrbOcker Life Insurance Com
pany Of New-York. were purloDed by former presi-
dent, Joseph L. TOTnsend. who Is now dead HIS
necuiatlops extended ten years snd we've never
isrsled or discovered bY the directors Of the com
pany or by the Auditing Committee wnich passed on
VERY quarter The books were manipulated BY the
pesden 50 that he & SaaIses T0ua III. 2oW dss M
Board OF Directors gave hs widow bonus OF $1,000
snnonpcjnc tsat the bonus gwen because
Of his useful and rneritorious SERVICES IL Is es,l,
and $4,000. The last statement OF tine company 10 the
Department exhibited surplus OF S27,ss4 - The ex-
animation reduced that surplus 10 be rZls 90 sesii-
ipE the real estate OF the compsay NO. S4 "slst.'
New York, 70 be worth $1,000 ,,oS Tue saper
rnade M an esry moment. The assets and liabilities are
Reported by examination follows: Assets.
1921 SIS 81 liabilities, inc,udDe capital -23 / - ~ %
The Broadway Fire Insurance Conn p2ny. OF Sow-York
has been mentioned those hSv ncSeen eramncd
nv the w6 the result OF hnding some rregu
laitics This Is true but the rregllarltiss were very
fyBiug the ann fully restored. and the cnploye
vino had committed tae irregularities upon restoration
aad confession and IN view OF his havinx large family
doueudips on him was retained Deputy superintendent
John A Mccall. jr., himself recommending mercy -
really good policy The COMPANY Is In a ino.t excellent
copdtIon according 10 the EXAMINATIONS OF tho depart
uepI and its officers Of sterling integrity It's
surplus over all liabilities according 10 the last eXani
naon S2s5 1O1 Ia its assets. SOIL 274 o. and its
uzbuities, S22t ,l72 90
me following table shows the condition OF ninO other
con- Dnnies upon examinations recently made, as com
pared with statements made by the sao companies
last Winter their surplus: