Cameron County press. [volume] (Emporium, Cameron County, Pa.) 1866-1922, 1901-01-17
GRAVEYARD INSURANCE.
Arrests are Made of Alleged PIotters
of n scheme 10 Defraud.

of n Scheme TO Defraud.
New York, Jan. 11.-Warrants were
issued Thursday for the arrest of
four persons who are accused of
swndling the Colonial Insurance Co.,
of Jersey City, by securing insurance
on the lives of persons about to die.
and by other methods. The Journal
says:
sit is said that the Colonial Insur-
ance Co. has been swindled out of
large sums of money secured on bo-
gus policies, and there has been a
wholesale traffic in dead bodies be-
tween Bellevue hospital. in this city.
and certain undertaking establish
ment in Union Hill, y. j."
Thomas j. Kelley, of New York,
said to be an agent of the Colonial
Insurance Co.. has been arrested and
locked up in the Jersey City jail.
The first clew to the methods of
the plotters was discovered shortly
after the death of Thomas Moran,
who died of consumption, in October,
1900
Moran had a policy with the Colo
nial Co. for $270 and this sum was
paid to the beneficiaries. Moran had
been suffering with consumption for
months before his policy was writ
ten. Both his father and mother
had died of tuberculosis and there
were other deaths in the family from
the same cause.
When the insurance people had
paid the amount of Moran's policy TO
the beneficiary a search of the com
L. !
discovered that not one or two, but
many policies had been written for
persons whose identity was doubtful
and many times entirely lacking.
Dead bodies had been placed in
evidence whenever claims were made,
but it has been discovered that these
bodies were nothing more nor less
than common hospital bodies which
had been brought into Union Hill,
many of them from Bellevue, for the
purpose of aiding insurance swind-
Iers in obtaining their plunder.
An official of the Colonial Insur-
ance Co. says that it was discovered
that Kelley had been writing bad
risks and was discharged.
The official interviewed said that
three cases of fraud had come to the
knowledge of the company, and it
was suspected that many more
would be unearthed. In the three
cases referred to all the persons in
sured died soon after the policies on
their lives had been issued.
In addition to Kelley, DR.. Edward
Jahr, of West Hoboken; Thomas Mar
in, newspaper editor, and William
Neckar, an undertaken, were arrest
ed Both Martin and Neckar live in
Onion Hill The four men were re-
leased in $1,000 bail each. Necllar
said he had not been guilty of doing
wrong and that his only connection
with the matter was that he had
puried one of the persons whose life
lad been insured.
DR.. John Neyin, chief medical ex-
aminer for the Colonial Co.. said:
"The appointment of medical eX'
aminers for our company devolves
1pon me. l appointed among others
DR.. Edward Jahr for the Union Hill
district. Several months ago my
suspicious were aroused and | start
ed an investigation. | learned that
Jahr had passed two women in Union
Hill without ever examining them.
at once discharged Jahr. Since then
subsequent Investigations revealed a
plot that we had never dreamed of.
The company intends to prosecute to
the end"
Secretary and Manager Heppen-
hemer, of the insurance company,
said he did not think DR.. Jahr had
been guilty of a criminal intent, but
had been careless in signing papers
presented by Kelley, and so DR.. Jahr
was released.
An indictment had been found
against the four men on the charge
that they had conspired to secure in
surance on the life of Robert Bren-
ner. boy of II years, who was the
brother of Martins wife. The in
surance was secured in August last,
when Brenner was an inmate of
Bellevue hospital Martin was the
beneficiary. Brenner's application
had been secured by Kelley as agent;
he had been examined and passed bv
DR.. Jahr and his body had been
buried by Neckar, the undertaken. 1t
was charged that Brenner was dying
with consumption when the policy
was granted. He died in October.