Pittsburg dispatch. [volume] (Pittsburg [Pa.]) 1880-1923, 1891-12-22
LUPER LETS LOOSE.
The State Insurance Commissioner
After Several Frauds.
LEECHES on BUSINESS HOUSES.
he Says They Have No Existence Except
on Elaborate Paper, and
DEMANDS THAT THEY BE PROSECUTED

FSFECIAI TELEGRAM THE D1SPATCH.1
HARRISBURG, Dec. 21.-Insurance Com
missioner Luper, of this State, is in hot
pursuit of fraudulent insurance companies
having their headquarters in Pennsylvania.
Two months ago he directed the attention
of Attorney General Hensel to the devious
methods pursued by IA fire insurance COM
panies of this State, which had victimized
people in different portions Of the country,
especially in the Western States, and to-
day the companies were cited into court to
show why they should not be dissolved.
Judge Simonton to-day made decree
dissolving the Farmers and Mechanics Fire
Insurance Company, of Millersburg, the
Merchants, of Altoona, and the Dauphin
Life Insurance Company, of Dauphin, and
appointed receivers. The companies were
mutual life insurance companies, and are
insolvent.
A number of the IA companies referred to
have been found to possess very small pro-
portion of the necessary assets to meet their
large liabilities, and to have violated their
charters by taking other than mutual in
surance, to which business they were legally
confined. In his letter to the Attorney
General, the Insurance Commissioner ex-
pressed the hope that some means might be
devised to protect this and other States
from the ravages of companies "whose
operations, under the name of insurance,
have been and are a disgrace to the fair
name of our State"
Mr. Luper Hot After the Foreigners.
The Insurance Commissioner has within
the past few months secured the arrest of
four agents of the Peoples Benefit Society,
of Elkhart, Ind, who secured large
amount of insurance in this State, although
the Insurance Commissioner refused to
license it because of its bad reputation.
Within a recent period it has. come to the
knowledge of Mr.. Luper that risks were
being taken in the Western and New En-
gland States in mythical companies, and to-
day he addressed the following to the At
torney General:
HARRISBURG, Dec. 81 1891.
Hon. W. U. Hensel, Attorney General:
DEAR SR-The attention of this depart
nent was recently called to the operations
OF two notorious Insurance. firms located in
Philadelphia. One does business at $40 Wal
nut street under the name of ). 5. Lindsey
& Co., and the other at Room 513 Penn
Mutual building under the name of Mans
field 4 Co The former pretends to repre-
eeHb tie 9uSiTdliau Ilrc lHsuTdICe COUl-
pany, of Sidney. New south Wales, and the
the Victoria Fire Insurance Company, of
Melbourne, Victoria. By circular letters
they advertise the Australian as having a
paid-up capital stock of $500 900, assets of
81 233 692 10: liabilities S407 797 So and clear
surplus to policy holders of sss5, ,s9i 80.
The financial condition OF the Victoria is
modestly stated as follows Capital stock,
paid up in cash, $500, 900; assets, ss41, ,2lS IS;
liabilities, S253722 26; surplus to policy
holders, S531,496 II. Lindsey & Co. advertise
panies on this continent, with full powers.
The policies are signed IS. r. Beecham,
President "James A. Short. Secretary"
and IS. S. Lindsey, Agents." The signatures
are all in one handwriting.
Can Find No Such Companies.
This department has failed to find that
any such companies exist, even in Australia,
except in the teeming imagination of this
brace of worthless who modestly assume to
themselves the dignified position of Mama
gers OF their United States branches" If
any such companies really have an exist
ence, certain it is that they have not regu-
larly and legally entered the United States
to solicit business. In confidential
letter to gentleman in Springfield, ILL.,.
these agents say: These companies are not
as vet licensed by your Insurance Depart-
ment. You can, however, easiIy avoid all
responsibility under the insurance laws OF
your State against handling unauthorized
insurance by getting the assured to make
application himself to us. then have the as
sured remit the full amount of premium,
when we will forward you your honor
aTium." Il suspect "honorarium" is the
Australian for commissions The above,
in connection with the fact that these
"United States Managers" with their princi-
pal Office in Philadelphia, have persistently
refused to place any insurance on property
located in this State is satisfactory evidence
of their thorough understanding of the
criminal side of the insurance laws OF Penn
SNlVdnia. Their office the le r. "a rt nf
10, is usually in charge of woman, who
never forgets her instructions. and who has
the rare accomplishment of being able to
"hold her tongue under the most trying
circumstances.
Another of the Same Sort.
Mansfield & Co., Bankers and Brokers
Penn Mutual Building, Philadelphia" is the
unpretentious heading this enterprising
firm uses on its letter heads and circulars.
This is the same Mansfield who elected him.
self Secretary of the Farmers and Mechan-
les Mutual Fire Insurance Company. This
firm represents the "Columbia National
Fire Insurance Company of Philadelphia"
Its policies are signed 81. Edward Gordon,
Secretary" and civilian T. " Wharton, Pres
ident." The financial condition of this COM
pany, as given by the literature quietly dis
trfbuted by Mansfield & Co.. is as follows:
"Paid up capital, $500 O00: reserve for rein
surance, etc, s., ,64l o.: liabilities $780,
4O2 81; surplus to policy holders ST. 7s7 23S Is
1t is useless to add that no SUCH company
exists in Pennsylvania. 1t is n fiction pure
and simple. The Legislature OF 1869 incor.
porated the Columbia National Fire In
suranee Cumpany of Columbia, but that
company never organized and never re-
ported to either the Auditor General or In
surance Commissioner. The names of the
honored President and Secretary of this
company are unknown in Philadelphia A
skilled detective was employed by this de-
partment and instructed to locate this COM
Dany and its officers, but his efforts were
fruitiess. He reports having one interview
with Mansfield, who, he says, seemed some
what confused and ill al ease
Children OF the Same Parentase.
Mansfield & Co. also represent the Mer-
chants and Me chaaics' Mutual Fire Insur-
ance Company of Washington, ID. c. The
former, like the National Columbia is the
product of the creative genius of its agents.
and the latter, if not of the same parentaee.