The sun. [volume] (New York [N.Y.]) 1833-1916, 1882-04-22
EXPLORING THE RUINS.
The Most Thorough Dob Of Insurance Wreck.
Ing Vet Found-Mr. wendeIi's story.

Before the Assembly Committee yestor-
day. in the case OF the Universal Life. Ex-
state Treasurer Nathan d. Wendell testi-
fed that no WAS appointed receiver by
Judge westbrook in November. 1881. Il came
to New York and served tho order" said
MIR. Wendell. "on g. s. Herrick. President
pro tenn. and took possession. Everything was
terribly mixed. and the company had been
skinned 80 completely that when first went in
oil / could find wns deputy sheriff fiourishing
an attachment over the desks. safes. and Office
furniture. ! kept Herrick. james F. II. Had
den. Secretary pro tenn. Miss Nellie Pierce. and
one or two others for n while to help me
straighten matters out otherwise I would have
had to be dug out Of the ruins. Finally. |
shipped thirty-six dry goods boxes full Of
What did you find in the way Of asscts2 ?"
Mr. Wendell gave list OF property which was
You'd is value. It consisted Of houses ana lots
in New York. Brooklyn. New Jersey. and else
where and included property down in Rich
the Mercantile Trust Company has lien sill
unpaid of $4,000 and those mortgages arc
perpiexing complication here arises, because it
is claimed there that the Uniyersal Life Il the
Company to which these mortgage were as
signed as security for Il loan by the Universal
Life. At different times, the Unlyersal Life
Trust. but has paid off ali bu, ST5 900. for which
country and city mortgages are held rs securi-
one pi hhs H. asseos WI d IN nn 10
about 500. 900.
Well. how much will that fetch'" said AS
y" II won't sell for 100000" replied Receiver
Wendell
ceiySr Wendell summed W by saying:
The cc9mnpnny's valuation OF the entire prop.
taxes on this stuff now amount TO 1924 72S. and
this will he Increased June l.. The Judgments
and tho sale Of t * not sn"SnsE b
$2.200 to- satisfy the Judgment The rest ia
virtually held bY the Mercantile Trust Com.
rany There win be no equity OF consequences
What became Of all the money raised from
m9or5gag!ng all this property = was asked.
49, We'll. IL you want to spend the rest Of your
life trying to find out. you AN do 40. never
cQRd" replied the receiver.
President Herrick claimed il was spent in
losses and Expenses. Tho expenses were
enormous. You sec. they had what they called IA
scaling process, commencing in 1877. BY order
while this was going on. SO all the old policy
holders hsd to pay the "xpenses nGtwiths,and T.
81, 500. SO 900, or t5 900"
:" sec scaling is a 1Titlo different from twist
ing. hut the result appears to be about the
same" said committeeman.
| Precisely SO. i was most damnnble piece
OF business replied Receiver Wendell.
How much cash have you collectedY
Il have 80 200 in cash. 1 collected 800 on
premiums. and some on rents. That goes for
expenses. Then th-rc arc Sl29993 on pre-
MUM notes. They, are worthless. All the FUR
niturc 'yas attached by the ShcriH for a judg-
mant obtained by Sewcil and Pierce against
the company for $4,000. Tho Insurance De
partment have Slm.pNO. which they are paying
out to policy holdors now"
Well, what has become Of tho tl26, 900 IN
Government bonds. $4,000 from the North
America. 500 600 from the. Guardian Life. and
all that S250.OOO from the Mercantile Trust
Company. which appears in q recent report p
said Assembyman Erwin.
II don't know. / tred to find out from Her
rick. pumped him for hours and could get
nothing out Of him. and don't believe you
can: They blinded everybody, by the way they
cooked accounts. and | could not trace any
thing, In fact. could moi. ev find mott,
gage in tho office" Mr.. Wendell expressed
some doubts ~ to his emoluments Ms n re-
c.iver. and "a 20 getting his expenses back in
this case sayin; he had not been long enough
You evidently have not the material TO
work on that some receivers have" said COM
mittpeman.