New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1900-10-09
INSURANCE FRAUD CHARGED.
CHICAGO WOMAN SECURES POLICIES
FOR $4,000 AND DIES IN FORT
NIGHT-BODY CREMATED.

Chicago oct. s.-with insurance upon her IRE
amounting to $4,000. Marie Defenbach' twenty-three
years old, died August % in boardlhs hoNSe "
LasaIIe-ave. under conditions which the ponce DC
eve indicate a plot to swindle an insurance N0''
pany and two insurance societies, II they 40 ho'
noint to murder Upon bench warrants issued py
Judge Gibbons three persons. said to De lInpio8v"
in the case-Dr. August NJ unger' FraIiN =.
Smiley and F. Wayland Brown-have peeh aileSteu
The latter is assistant manager OF oetect'e
agancv He was arrested to-day on his return from
Virginia. =
When Miss Defenbach died there were three poll
cies on her life all of recent date. as folo"s-
York Life Insurance Company, S,eo0; CANADIAN VI
der of Foresters $ OOO and Knights and Lades OF
Honor 5000 The alleged conspiracy has been IN
vestigated with by private detective agency
by the attorneys and detectives of the insurance
companies and latterly by the States Attorney
himself.
On Sunday at a meeting between States Attor-
ney Deneen and Assistant Attorney W. NJ Mckwen
on one side and the attorneys representing the m
surance companies and detective agency, the case
was discussed and it decided TO cause the i'm
mediate arrest of the suspected persons The de-
tectives believe that a conspiracy was concocted
and that Miss Defenbach originally one OF the
quartet Of alleged conspirators. She had expected
that her death be feigned and that another
body was TO play the passive role of her corpse;
instead of that real death came to her.
Last April Miss Defenbach applied to the New
York Life Insurance Company for a $4,000 pohcy
application $1,000 policy, on the ground that
she was not possessed of sufficient property inter
ests to warrant large risk, although she was
examined and declared to be in perfect health. In
July Miss Defenbach succeeded in obtaining from
the New-York company policy for 5000 ana this
formed part of the estate she left
About the middle OF August Miss Defenbach also
secured insurance in the Canadian Order OF For
esters to the amount of 5000 About the same
time she took out a policy in the Knights and
E for 'WO
was dead, leaving a will which directed that the
policies should be paid to Frank H Smiley her
'affianced husband and that her body be Gre
mated. Her death. a boarding house in Lasale-
ave. was attended with the most horrible agony
Drs Leonard and Schroeder. the latter represent
ing the knights and Ladies of Honor were called
They refused to issue certificate of death, but
the Coroner's jury later and after the body had
been embalmed found a verdict Of death from dys-
EMERY. The next day the body cremated and
the ashes scattered to the winds
without much delay proceedings were begun to
recover the value of the insurance policies Miss
Defenbach had left Owing to the unusual cir
cumstances surrounding her demise. the hurried
embalmng of the body followed the next day by
cremation, payments of the policies were refused,
and immediate steps were taken TO trace the
woman's career in the last few months Of her life
An unusual incident was connected with the max
ing of Miss Defenbach's will On August q Miss
Defenbach called a the office of lawyer in the
Unity Building named Johnson and told him she
wanted TO make ner Will. some Gays Garner Dr
Unger had. it is stated, told this lawyer that
woman would call on him for this purpose. and she
announced that she had in accordance with
the appointment She told Mr.. Johnson she wanted
to leave her property to Frank H. Smiley, her
afianced husband, and then she went away. Two
days afterward she returned. and Mr.. Johnson had
the r6 S b p a she her haa a
to go TO Smiley, but she then wanted another FRO
vision inserted. 1t was that after her death her
This somewhat surprised Mr.. Johnson he
| could not understand how young and handsome
woman could wish her body burned after death,
| but he Complied with the REQUEST He was so
| struck with the circumstances, however, as the
cremation clause had not been in the original in
| joining offices a matter of protection. Miss
Defenbach then signed and executed the document.
! Two days later she was dead.
The three men under arrest were arraigned be-
fore Judge Gibbons and in default Of $4,000 bail
each were committed to jail. -
| It learned to-day that besides the policies
| taken Miss Defenbach's life several others
| had been applied for. In each case $4,000 was
sought.
| George ". HubbeIl, the head OF the law depart
| ment of the New-York Life Insurance Company
when at his office, said that the contents OF
the dispatch entire news to him. After
sultng the records he said that the company had
issued policy for the and had been in
I formed of her death, and that investigation
| was in progress He added:
NO claim for payment of the insurance has
| yet been made on this company, nor have we re-
/ sisted such payment" When asked whether i was
usual for the company to investigate all deaths or
: IF this was an exceptional case and in such case
, why, Mr.. Hubbell replied: No; under ordinary
| like this, where policies from a number of com
| panes have been issued short time before
! death, I suppose this would be done az a matter
| of safety. However, l am without information
| tail"