The Salt Lake herald. [volume] (Salt Lake City [Utah]) 1870-1909, 1903-05-23
CHESNEY TRIED
To- KEEP POLICY
Wanted Alleged Owner Of the
Document to Pay Up.
NOVEL BUSINESS METHODS
DEMANDED Sc. 500 FOR TIE
POLICY ON PAYNE's WIFE.

Under pressure OF a sharp cross
examination a witness in the federal
court yesterday disclosed some peculiar
business methods to which he was a
party when he was in the life insur-
ance business. The case was the suit
OF George @. Payne to recover the
value Of an insurance policy amount
ing TO $4,000. The action is brought
against the Mutual Re Insurance
company, which is represented in this
city by +. w Wells.
+. l. Chesney was in the employ Of
Wells two years ago. when q prize Of
a handsome gold watch was offered
the man closing the most policies.
thesney was am bilious To capture the
prize and he showed considerable en-
terprise in securing patrons for the
company Among those for whom lie
wrote up policy was the plaintiff in
the present action.
In september, 1901. he also wrote
policy insurins Mrs. Payne's life for
me amount involved in the present
case In order TO close up the deal
Chesney paid the first premiusn and ac-
cepted Payne's note for S37S the value
of the policy for one year. Payne tes-
titled that Chesney explained that the
amount Of the policy could be reduced
AT the end of the year If he found the
amount bUrdensome.
Chesney Held Policy.
The Instrument was properly made
out, but was never delivered to Payne.
As the result of a greement with
his employer. Chesney gave up the in
surance business, but before the end
Of the year. he testified. he read an
account in Salt Lake paper of Mrs.
Payne's death The policy was in his
desk, where il had lain since its re-
turn from the company. He put it in
MS pocket and on the following day
went Il. Syracuse. the home of Payne
He met the latter returning from the
funeral of a relative. and told him that
ne mad his Wife's insurance policy with
him.
Payne made a request for the DoIicv
out Chesney, it is claimed. thought he
ought 10 realize something on it to pav
Elm Tor his trouble in carrying the mote
and paying the premium. Payne. so
Doth men testified, was willing to do
something for Chesney, and finally Of
fered him $500
Chesney appears to have come to the
conclusion that he had struck a rich
claim for, according to his own testi-
mony. he asked Payne for 50. 500. He
told Mr.. Payne that the document had
not been delivered yet and that Mr..
wells would pay this amount TO have
IL returned TO the company.
Agreed to Pay 50, 800.
Payne agreed to pay the amount
asked but afterward changed his mind
and went TO his attorney. +. b Critch-
low The latter made a demand for the
IoHcy, and assured ChesueV that unless
il was turned over to Mr.. Payne legal
steps would be taken 50 recover the
document This communication an
pears to have frightened Chesney. who
Went to his old employer and made a
clean breast of the whole affair. He
1esuned that he turned the policy over
10 MI Wells, who made good the
amount of the premium and returned
the instrument TO New York, keeping
simply a copy of it.
Inc. company now. refuses. to DaV-the
amount of the policy on the ground
that it was never turned over TO the
plaintiff. At o'clock last evening ar
Euments were submitted touching the
liability of the company in the matter.
These arguments Will be resumed this
morning