New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1891-06-23
INVESTIGATION BEGUN.
MORE RUMORs ABOUT THE NEW'YoRh
LIFE

POLICY HOLDERS BEGINNING TO FEEL ALAH"AD
AT THE QUEER REVELATIONS OF
ITS BUSINESS METHODS.
Deputy superintendent Of Insurance shannoh 49,
Yesterday morning the Investigation INTO inc a".
NJ the New-York Life Insurance COMPANY WIN ',lo
Actnary of the Department, John s. Pat'erSon' no
visited the Offices Of the company ana heId al .
view With the vice presidents. The officers OF INC
expressed themselves ready to do all In ther
mower To expedite matters The examiners are 10
bavs room or rooms for themselves where they can
Gee ALL the books vouchers and records ana MAKE
thorough investigation Of all the company's anairs.
NJ, shannon "a acting under instructions received
from Mr. Pierce the state superintendent Vi iN'"0
az given in the following letter
STATE Of New.York, Insurance Department
Albany, n. Y, June 20. 1891.
r ~. Hon Michael Shannon, Deputy superintendent
~ rn,urapce Department OF the State Of few.foM'
n.,, CIR. The insurance laws OF the state OF Ne"
80 Irh.n,e, .es Sessions Laws 1863 Section I'D pro-
vide as follows; ,. -. a.. srr4,,nt.ndent
n, Tho Insurance Department whenever ne shsi o eVu
go. "a su,n.c the correctness OF any annual statement
- ,h., the affairs of any company required oy IA" 70
make such statement are In on unsouhd conui"on, ~
cause an examination 70 be maoe' iof inc puip -
IN this act into the affairs OF any such hsuiu 80.
n.,x A, any insurance company doing business oi ~.
oanc,.s IN this State; and II shall be che duty OF hs
mcs. or agents OF any insurance company Incorporated
or doing business in this STATE 70 cause ehei' u -
the hooks OF such companies TO be opened Tor toe
~ =, the said superintendent and the person on persons
n,n,I nv him 10 make such examination, anu other'
,v,.A o facilitate such examination 30 FAR as IL n~9 De
In their power 70 do; and Tor that purpose VIZ -.
suporinendent or the person or persons appou W a
MI nave mower TO examine, under OATH the oeers anu
on.s - INV conpany relative 10 the business Oh su
Germany: and whenever the said superintendent sn
dsrm Il for the interest OF the public 80 70 w " ;,
rh.h the result OF such investigation in the sta pap
in
~, .du,sson. Of the officers Of the NewYork Lie lnsu
.nce Company made me personally, upon on'ai ,
made 70 the company's ONCE for the purpose Vi s
the statements made In such publications nave o :,
me ,hst contingency contemplated by the statute Us
an examination CT the affairs OF the company mas
Tbi, situation (. also recognized by the trustees Oh VI.
comnanv as appears from resolution o. us ooSfa VI
trustees requesting the same .,,,S 81 thu
once 4, said company and the earliest possible momeh'
bevln 4 thorough examination Vi the cobo'@0h VI WIZ
company as by law provided 49,. X>.-..,.
Every facility will be offered you by this Department
"a, thorough investigation TO the full extent Oh us "
- and the results Of the examination as the same may
he disclosed Mr.. John 8. Paterson the ao'uaiS u w
Department hereby placed at your disposal ioi ~,
nose OF aiding you IN the examination lou "iu
r,oceed IN obtain the best expert assistance ior e
ton and appraisal Of the real estate owned oS anu O
sae'N JAMES F. PIERCE Superintendent.
II has been repeatedly affirmed that the
WAS to be delayed until President Beers couo eeV odo
trom Enrope. The action Of the Insurance Depart
nt srmcient,v contradicts this rumor. The ofncers
~ the company also deny that they have ta1eo 10 ue
,ov the investigation. Mr.. Beers, however - coming
bark at once He will sail for New-forK oo-hoiIo"
and will be here long before the invesusauoi o"i pc
s,hlv he completed No one can YET pell az" 'oie
the examination will take. 1t Will depeno ih eioo,
measure ON the facilities offered by the COMPANY %
the number Of men that the department puts OIL '"o
work. - ,okod into
The more the affairs of the company arc iooNol ~
the more unexpninable the actions OF ts olhcers 10
come From the first their statements nave peen ooii
tradictorv not only as between the dinerch' oooe VI
the company, but also between the oiheron' aAno ~,
mepts made by the same officer from DAY 70 Jay
~ ono rou knows what to believe, and the poncy
holders are beginning to get frightened Ihey eaiN VI
having an investigation Of their own ana uyiiis "
Get TO the bottom Of all the conhictang s'ories'
o' Among other things they want to know why Merz-
baoher charged with defalcation by the omcolo -, Az
charge Of the companys affairs. and said py tnen 70
~ g., hiding in unknown parts Is really living Oh te
hest Of terms with President Beers In Europe inoS
aJso want to know why he was allowed W ie'''o No
York as he says with the written coneoi'0 Va ~
company Another thing which they oohc sec oi'siIs
s ,vhv the cashier, Theodore NJ. Banta VINO not ions
AGO made serious charges against the management Oh
tha comnany should still be In its employ uhuer Uo
,orv ofacers he accused Of wrongdoing Then' 100
4. ia osaered that a bonus Of $4,000 was voteo 10
President Beers last year and one OF SZoooV " ~
President Tuck. such action Is prohouncoo lee :,
nv GOOD lawyers. The pollcy-holders wahV 10 NM u
II is fact that such bonuses were voted ana IL 'neS
we're on what authority , au.ou,
ara becoming daily more interesting, and II Is hgi
probable that some decided action Will De tahen W
those who hold policies In the company IL couiu no'
he learned Yesterday however, that any definite pan
had vet been formulated by them
when Tribune reporter called to interview the OH
GERS on these points he was unable TO get any sa
tecfinn second NcePresident Welch, as soon as lhe
uhiect was preached, said that he must be excused
sn telling As he lived In Morrlstown and must take
certain that he had st p 1%e to T@e Dr.
T howeyer was In an inner and could not be
nn After the reporter had waited over an hour Dr.
Tuck appeared but II was tsm ssI 10 talk. '' "
ooaS au we r,imors afoat yesterday In Wall street
that the most ADVANTAGEOUS way 10 Sen White the
tae who is trustee Of tie company ana mem,
Ser NJ It's financial committee is ~ aranco
and Colonel sr9H s s fact That few bonds
noratively lad been bought through W. ", tho
Colonel Strong further SAID da ne a details Of the com
psnYs bookkeeping than bank director Woua VI tG
straight so far as he knew, ana ne ""' io" "'
for The result OF the state examination: ,o,v nv q
tut " ett has Seen brought against the company py
Hungarian lawyer Bella Kan for te peon " On The
n Iams The action is said to be based on law pro
hbtng mutual companies IRON rc VnSk life is said
Joint stock concerns which inc NC" YIN Inv
to nave py to inquiries rom Chicago PSsopte maas
direct TO President Beers, lie mas een' "'0 9
cable dispatch, dated Paris juno ~ o ,bat wa are
will lie left undone to prove that We are
~ ~ the Strongest and best companies IN th wor,u
Gisn q. an opportunity TO be Thoroughly mVeSueau'
POLICEMAN NO. e.ool IDENTIFIED.
,,or,,.o n, the Mercerst. station