New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1893-04-13
JNSURED PEOPLE VINO DID NOT EHIST

FRAUDS DISCOVERED IN TIE WHEELING oFElOE
OF A NETWORK INSURANCE COMPANY.
Wheeling. W. Va April IL (spcciaDe-Four or five
DAYS ago f.. Lyons OF New York. representative %
the Metropolitan Life Insurance Company, came "
this city TO make quiet Investigation OF tue wheeling
Office Of the company. The ONCE was III chaTs' q
b. A. Wilson and several subagents and assistants
1t occupied one Of the best buildings In the city ana
appcarcd TO be doing a splendid business. MI Lyons
had I'm his possession a number OF policies wIcl bh
been allowed TO lapse after the first payment, bat upon
which Wilson had been paid lis commissions an"
bonuses Tie Investigation o! these lalsrd policies
showed that they were issued 10 persons VINO ma
no existence except in the Imagination Of the agent
The facts alleged by Lyons In hi, formal conp"lh'
are that Wilson and Others engaged with MN
had for year more been insurins
p.ope VITO did hot exist for large amounts
Dr. r. L. Ashbro0k, the examining physician In
dorsed the imaginary applicants a. perfectly sound
On this Endorsement n large policy was Issued Will
son paid up the first premium, and wheh lie aeo'h'
was due allowed it lapse and 50 reported II TO Tie
company. Iy Issuing enough Of these he brought
the business up such volume ttat th' company
paid him a fat bbus for good service. This bonus
and the commission allowed BY the company amounted
TO considerably more than the first payment 10 inc
company, and this difference was the gain OF inc
agent.
Another plan Of the agent was To arIah2" WIN
for the lnslrlnC OF th'F HushiHu9 iN'' WIN
out the husbands knowledge consent. Tbs scheme
was successful being novelty, and tn mere S"S'
cc,tion Of /, usually catching the women. In these
cases the policies were issued 10 the wives upon the
paymcnt of the first premium. THIS was tih'i lh'p
the company but after this payment the p'hcy was
reported lapsed for payment Of premium ANA re
moved from the books Of the home Office. MI sub
scaucnt premiums p,cketed By the local agent,
so long as the unsuspcc,ng wives conh raise the
money. some cases OF THIS Kind have been running
for two years. In these cases. In those purely
imaginary the reports OF physical condition were
made out without examination, and signed By DR..
Ashbrook.
To-day warrants issued for T.. \. Wilson. the
agent; Charles Stenningcr, solicitor and assistant.
and Dr. r. L. Ashbrooh, the medical examiner All
Of these were arrested and locked ~. Warrants
were issued for three Others connected with thc
case. but as they could not be found the police re
fused TO give ont their names. They are thought TO
he ont oft0yn agents who have been working through
the Wheeling ,...>c tie same line. Mg Lyons
also discovered that the companys general agent ior
hi, district, Brown, has no existence ana That
wilson was conducting his work also and rcpoi, ting
his local business through him. IL was also found
that Browns surety and recommendations we're also
forger1es.
Haley Fske vice president OF the Metropolitan
Life Insurance Company, was seen last evening at
his home, NO. 30 West SEVENTEEN ST., by Tribune
reporter, In relation to the foregoing Dispatch Mr.
Eiske said that hc knew Of no trouble at the com
panys agency In Wheeling. and that II any had been
reported to tie home Office he would have known
of 1t. lie said that he at the c0mpanJ's ONCE In
lark Place. up 10 O'Clock last evening, and that no
news had reached him OF any trouble, such u
rumOr he added might have been started by Il small
rival company In Wheeling, which had annoyed them
considerably at different times by circulating false