Delaware state journal. [volume] (Wilmington, Del.) 1870-1883, 1880-12-02
The LIBEL SUIT.



mort upon the reports OF the counsel We
.mnloyed; we did not make the report that
the company was a fraud, we reported that
the credit Of the company was not good /; we
made our investigation into the sworn state
ment of the officers of the company ; our
ranort only refers to those very mortgages
that we're set forth In the statement of the
company into which we were appointed to
inonire: my recollection is that their sworn
statement set forth mortgages so that we
could identify them; as far as the notes were
concerned we made no report OF their value /;
va certainly made no examination at all of
the notes they held, and reported nothing
CONCERNING them double insurance and CO.
Insurance are not the same thing, the former
ID what we call a ''blanket' insurance, cover
ing two pieces of property the examination
WA made sometime in 1878.
GEORGE W. stones EVIDENCE.
George W. Stone, afiirmed-Have been
J;ractor in the Delaware Fire Insurance Com
nany between IL and IL years have also
heen engaged in the insurance business
strictly was member of the committee ap-
nnnted to investigate the d. ). Il. q NJ. Co.;
| think the attention of the board was called
4 10 this investigation by an article which ap-
neared in the Baltimore Urider,orlter l
signed the report containing the concluding
clause, which was practically the same as the
nreoeding witnesses have stated we are more
Interested in reinsurance than coinsurance I;
should say the reputation of the d. s. +.
I'M. Co. during 1871, 1878 and 1873 was bad =,
n would not be- willing to insure in it.
h Gross. examined been solicitor of
Il life and fire insurance to the BEST OF my
recollection this matter did not come up III
our board because OF the attacks Of the EVERY
Il EVENING it came up either upon a report
made BY the secretary as to some matters thai
4 had TRANSFERRED OF upon statement Ill solle
al 4 han M,
II writing communication to the insurance
n commissioner of ONO OF Maryland / Will
81 not spy positively that did not to the BEST
ri of nv knowledge and belief | did not to the
Il beat Of my recollection aud belief did not,
ri II could put 1t any stronger | would /
n made no personal examination of any lands,
n mortgages, records Of mortgages or notes
VI held by the Delaware otate fue ana Marine
II Insurance Company.
"a WILLIAM cANBY's TESTIMONY.
III William Candy, ailirmed-Have been pres-
"a dent of the Delaware Fire Insurance Company
IA for II or II years prior to teat was president
VI of the New Castle County Mutual for about
~ Ii Years the first is stock, the second Il
III mutual company; the reputation Of the
n Delaware State Fire and Marine Insurance
III Company was a matter talked about III our
III Board. and it finally led to our cooperating
III with other companies i'll appointing n com
II tation of the Delaware State Fire and Marine
HI Insurance Company was bad am chairman
E# of the Investigating Committee of the vii
n miugtun Savings Fund, the oldest Institution
I'D of the kind in Wilmington. chartered i'll 1882,
8aud having over Sl,UUO,OOD invested in bonds
:#and mortgages we always require a hre
policy with u mortgage, al collateral, except
s&Ihe amount is very small this whole business
Min done by committee | don't think there
aSis any written rule governing it we take the
A. llicies OF all good companies as collateral
I link we never admitted a policy of the
#f lel., ware State Fire and Marine Insurance
s#5Nnmna,a nv az collateral the order given by
&he cont 1ittee to the secretary was not to take
Inv rolici>s in that company, because the
oinmittee did not consider the company sut1i-
3&5iently respol, 'sIble we were afraid to take
3f1 heir nolicies, there was no other reason j
#{bink the publi, alton of this report was by
#&the authority of tNul company.
& Cross-exanined- The Board of Directors
Tof the Savings Fun d. has nothing to do with
bis matter the woi Is zone ehtiieiy py
H& pnmttee of four til committee consists OF
#kharles Warner, Washington Jones, Edward
Bellah and myself, til y President, William
Cauby il also memD,T OF the committee
gilllam NJ. Candy and mys eli are directors oi
IN be Delaware Fire Insurance Company, MIR.
- ellah il, | think, director In the New
~ hstle Insurance Company; .Nessrs warner
L
"a by insurance company the ID elaware Fire
# 'bd New Castle County Mutual are repre-
N ented on our committee, the Della ware state
ire and Marine Company is not; talked
WI equently with DIR. Tantum and Mr. Bright
III bd think DIR. Tantum has extended an IN
tation to our company to appoint com
( N bittee to go to their building and ex amlnt
II eir books and securities perhaps after ane
III erhaps previous to the examination W hicl
b. made; | never accepted the invitation
MT cause | thought it was unnecessary tue
MI Rmmlttee took up the sworn statement of tht
1cers of the company and we did not think
necessary to go any further.
SS# At LEO the court took a recess till o'clock
.s AFTERNOON SESSION,
81 #Court reassembed at o'clock, and the cast
Il n the Delaware State Fire and Marine Com
E Any w. William /. Croasdale was Resumed
WILLIAM TATNALL.
4 #William Tatnall, atlirm3d-Am President o.
+ "a New Castle. County Insurance Company
I've been President OF the company for thu
lat II years prior to that was u director .
"a company altogether have been con
3cted with the company as director am
Wesldent for about % years ; as President u
New Castle Insurance Company had hl
/ cations made to me several tunes by I'll
laware State Fire and Marine lnSurauc
&mpany to do business with them. Ines
H.
ev were Refused 10y order uf the Board q
Il SIrectors pi the New Castle Insurance con
f. Xuy: did not consider the DelaMar
~ o Fire and Marine -urance Gompall
u l. | had u suhge' ii III made to III
8fDr Tantum to Investigate the COMPANY
Fl re. used to comply, hecause, as 1t cam
IN fro N a private Individual, | did NJ
8 TX it would be proper to do anything
R matter. | never received any appllcatiu
k M the boz wd OF directors of the Deawai
III ~ e Fire ami Marine Insurance Company
81 Se,tlgate it: had received such reque
III BIN the office, rs of the company, l wuul
Nc laid the luatter before our board
EsXectvrs; AZ il came from DIR. rantum on
EX A private ind vidual, | did not thulk
| nth while to do anything; | knew the rep
| H6un of the Delaware State Fire and MART
n urance Company for financial sonndne
Nilmington during the latter part of u
IN 1877 and during the years 1878 and 1877
Mas bad.
sCross-examined- know DIR. Tantum to
b president of the Delaware State fire al
&4rine Insurance Company the office
III company is at 602 Market street Il
ENC of DIR. Tantums company ls on u
zek6er side of Market street opposite the Vi
~, about half square away 40 not J
Me4mber that DR.. Tantlim said 10 me that
ppany would be glad to have our conpai
&+stgate it he did not ask me 10 nave
bmittee appointed for the purpose of
Mitigating it cannot remember what Z
Hfct0r said to me exactly but know that q
presson he left on my mind was tilat ne
ATrivate individual asked me to investlga
~ company our company would nave DC
~ glad to have investigated
Dpany If we had been request
4oflo so, but you see it would have been
S1fy delicate matter for us to go over the
q "a proceed to examine their books at [
re request of a private individual, a
M&hout any official request to do so. kn'
At the general reputation OF the compia
Y&B bad, but cannot now name any partlt
~ person who has said anything against
has been 30 long ago that cannot rene
~ any of the particulars and then the wh'
Nng has died out of late. | did not get a
"a of ita bad reputation from EVERY EVE
4 | seldom read it il was from men WI
eom | came in contact in matters OF On
&N WILLIAM A. LAMoTTE.
William A, I.amotte, sworn-Am secrets
- treasurer of the Farmers Mutual Insl
ee Company have held that position
~ years Our company have refused
fSdnsure with the Delaware State Fire a
1rine Insurance Company /; the reason
&lfused to do SO Is because we regarded
{mmpnny az unsafe the reputation OF
&pmpany in Wilmington for financial soui
Aess is bad ours il a mutual company;
Ave what IL called premium notes, and
EbQblish statement of the condition OF
4Qnpany every year: we most assureuly
not set forth the premium notes as CT
eeeets the amount of risks i'll the Farmt
Nptual is in the neighborhood of I'll 900. Q
3auo annual premium on that amount il alb
- 600; heard Mr.. Bright statement 5r
~ witness stand of the loss by his comp,
~ 1880 900 the risk at the rate lie q
WGlld be 10 cents on the Sl00 our FISK