Evening times-Republican. [volume] (Marshalltown, Iowa) 1890-1923, 1905-11-06
The EQUITABLE REPORT
Supplemental Statement Made
by the New York Superin-
tendent Of Insurance
EXPLAINS THE EARNINGS
Mysterious Check for 100000 i. civ.
on Considerable Attention, But Lit
tIe Light 10 Thrown Upon lts Use
or the Purpose for Which II Was
Drawn.


Albany, N. Y. Nov. 6.--Francis Hen
bricks, the state superintendent Of In
surance. has made public a supple
n.entary report by. r. III. Hunter. dep
uty supei in terldent OF Insurance, and
Chief Exufniner lsaac Vanderpool on
the condition OF the Equitable Life AS
surance society Of the United States ut
the close OF business on June 30, 1905.
The report first discusses the real es-
tate Of the society and places the value
OF Its office buildings In various cities
at $2G,3e6,366 or $4.99s,834 less than
the sum ut which they are carried on
the books OF the society. It Is explained
by tho report that this reduction is
made on the basis Of the earnings Of
the buildings. which Yield per cent
on $2G.366.386. TO the book value OF
real estate the company has acquired
under foreclosure the report adis $23.-
7s9.07. making the total estimated
vHlue of such real estate 34,664,b60.23.
OF the loans ON bonds and mortgages
the report says they represent $S3,721,-
222.16, and have an average earning OF
more than AZ per cent and TAT no
period of the society's existence has
this class of investments been In q
more satisfactory condition"
The loans mode by the company ON
tho security Of policies assigned as
collateral amount to t25,s65. $1,000. ac-
coriing to the report and the bonds
and stocks owned by the society have
a par Value Of $1o5,900,587, as against
a book value OF 3219,430, 40s and o cur
rent market value on Juno 1O,1005, o6,
$232.565.562.
Cash on tcpoSit at the close OF busi-
ness June 80. 1905, aggregated 320.S79,-a
552,72. OF this amount $s.s22,319.s2
was on deposit with the Equitable
Trust Company Of New York, $6,425,-
991.47 was deposited with the Mercan Il
tile Trust company and $5.Ab3.S1l.s7
with the National Bank OF Commerce
On New York.
Discussing the debit balances Of
agents, which arc assigned to trust
companies and aggregate $5,S13,1S4.S7,
the report states that they are not con-
stdered az admitted assets and are de-
Quoted from the cash on deposit, bring
Ing the amount down to $24,066, 3s7.85.
Discusses Mysterious Check.
The report discusses at length pay
ment OF 100000 In the form OF a check
drawn by the society to the Mercantile
Trust company and dated Feb. 4, 1904.
As the books Of the society did not
show the consideration for this check
the report says 1t was necessary for
the examiners to consult with the sup
erintendent Of banks who looks into the
accounts Of the trust company. The re-
cords Of the society showed that the
account involving the 100000 check
was charged to profit and loss on the
society's books on Dec. 81, 1904 and II
was learned that the trust company
credited on the "G ". Turner loan"
most of the money realized from this
check. AS this transaction and other
between the Equitable and
the trust com panies do not appear on
the society's1 books the report states
that the collateral for such loans are
not included In the report as an asset,
nor are the society's guarantees In
such transactions charged against 1t
as a liability.
or the society's records the report
says:
Vouchers Arc lncomplets.
I'm the investigation OF other mat
tiers, where 1t became necessary to es-
tablish the title to certain securities OF
which the society was at least the GUS
todian, the incomplete and desultory
~.
thorizations in writing. from which
book entries connected with these tran
sactions were ordered to be made, were
SO battling as to render 1t practically
impossible to ascertain the status OF
these securities as to ownership, until
recourse was had to securities entirely
of the books or records OF
the society"
Computing the assets Of the society
after making deductions noted the re-
port says that the admitted assets are
$4O6 .075,063 and the total liabilities are
estimated at the same amount. In ar
irving at the total liabilities the total
reserve, which includes the present wall
Tie of all outstanding policies and an
nuities is estimated at $33S,s86, 1913 and
the reserve for unassigned surplus
funds is placed at $62,008,624.6S.
A table of interest rates shows that
the society realized the following rates
on it's assets In 1904: on bonds and
4.2s per cent; on stocks and
bonds, ABS per cent; rent rate on mean
real estate. 2.27.
Appended to the report are exhibits
which include reproduction Of the
$500, 900 check of Feb. to the Mercan-
tile. Trust company. and copies of the
guarantees which the officers Of the
Equitable entered into with the Mer-
camille and other financial concerns
in connection with the George v. Turn
err loan. A table is also given which
shows In detail the bonds and stocks
owned by the society. Copies are also
shown of letters written to trust COM
panies and banks by President Alexan-
der and Vice President C.E. Tarbell Of
the Equitable, guaranteeing the renew
al interests OF agents Of the society,
and Offering on behalf OF the society; to
make up notes given by agents with
the renewal interests as security.
There's no beauty in all the land
That can with her face compare.
Her Inns are red her eyes are bright