The San Francisco call., 1897-08-25
THE RECEIVER
is IN CHARGE
Massachusetts Mutual Ben
eft Life Association
Collapsed.
A Combination of Circum-
stances the Alleged
Cause.
Fifteen Hundred Policy Holders in
This State Are in Quandary
Over Their Losses.

The Massachusetts Mutual Benefit Life
Association has collapsed and by its fail
ure over $4,000 policy holders are in
quandary to the result.
The failure of the parent office in Bos-
ton on the 17gh of the present month has
led to the placing of a receiver in charge
of the Office at that place
This compulsory act was instituted by
the action of the insurance commissioner
in notifying the board Of directors to cease
further operations in the issuing of poll.
cies. On the date mentioned the follow
ing notice was served on President Rol-
ker:
In accordance with the provisions of law,
having become satisfied upon investigation
that your corporation has refused or failed to
make payment OF claims lawfully due, after
thirty days and upon proper demand, hereby
notify you TO suspend business until such in
debtedn ess is fully paid. Please understand
that, in accordance with the provisions of the
statute, while this notice is in force. no officer
or agent OF the corporation shall make, sign
or issue any certificate OF insurance, nor issue
any notice of nor call upon the mem bers for
the payment of an assessment and all monevs
received from this date from any source by the
corpora ton, its agents or officers must be
fort hwith deposited in some bank or trust
company to await final decision, as provided
by law.
On the same day the Attorney General
also received this information:
Having, in accordance with the provisions OF
law, notified Massachuse etts Mutual Benefit Life
Association of its failure TO meet legal claims,
and ordered the association, as the statute
provides, to suspend business, | hereby, as the
law requires, apply to you asking that you
Immediately make application to me supreme
judicial court for an injunction against said
corporation and for the appointment Of re-
ceiver to close its affairs
The cause which led TO the failure OF the
association is given by its officers as the
jealousy Of rival insurance companies and
an uniriendly press, together with a
change in the law of Massachusetts,.
passed in 1890, which prohibited insur-
ance on the assessment principle, but
permitted the natural-cause line of insur-
ance to continue under State laws
AS it now stands it is believed that the
association is dead from this time on;
there is nothing left of it of consequence
to the policy holders. The assessments
due should bring in about 100000. or
that i'm mense sum not over 20 per cent
has been paid in, and half of that has
been conditioned upon the payment of
the whole or of enough for the association
to continue business upon. Hence there
is not shadow of possibility that the
association will be able to 60 on. The
ready cash at the disposal of the associa-
ton is said to be not over $50 OoO The
New York Life Insurance Company has
made the policy-holders Especial offer''
OF Its policies, which is nothing but its
regular terms, and there is no dou BIT that
it will get portion of the policy-holders
OF the association. They must, however.
pass an examination before they can b.
come poncy-hoIders of the New York