The Yakima herald. [volume] (North Yakima, W.T. [Wash.]) 1889-1914, 1905-07-12
INSURANCE INQUIRY
|OIIE COMPANIES uEElY n e
INVESTIGATED.
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New York, July 0.-Astonishing de-
velopmsnts arc, Il sesms, 70 follow
the oloss Of the Equitable Assurance
Society scandal in other dissetaons.
The bad business methods which the
Ryan and Morton control Of the Equit-
able has laid bare and sought - COR
rect ass 20 general among The Life in.
surance companies that they can no
longer escape onaoial rsoognition. Il
Il ssnssally agreed among Ananoters
today that nothing can prevent thor
o1sh overhauling Of The insurance
companies, the sxpos1rs and psniah-
msnt Of their plupdssss and the sstab.
lishmsnt Of new and adequate psoseo-
ton BY law for the holders and benen.
diaries Of insurance policies.
ALREADY there are indications that
Hsndrioks, the New York superintend.
emit If insurance, who tardily took up
tho Equitable scandal altar Il had Ut.
tanned development OF twenty years.
will be compelled BY public opinion to
investigate the New York Life, the
Mutual Life and other companies do
ing business from this city. In his re.
port on the Equitable, Hendricks rec
ognized the fundamental necessity Of
tho situation when he said that Wall
street control must b eliminated from
the insurance business. The ultra.
speculative element Of Wall street has
had tho Equitable BY the throat for n
quarter OF . century, and IL takes
hand In every conndential deal and op-
Grafton carried on with the money Of
most Of the other companies.
Disinterested men 60 further than
Hendricks, and cay that politics, too,
must DO eliminated from the insurance
business. Tho proposition 10 wholly
apart from partisanship ct it, present
stage. Il 10 realized that the whole
financial structure of tho country IL in.
volved no Lees than the political Affairs
Of the cities and states where the gov
erning machinery has sunk under the
domination Of insurance money.
President RooseveIfs Prediction
When President Roosevelt was .
member Of the New York Legislature
the insurance. lobby controlled that
body, and it has controlled It ever
since. The Equitable and tho New
York Life then controlled the insur-
aDoe lobby. Il 70 now controlled alone
BY the New York Life. Roosevelt pre-.
dicted, while In tho Legislature, that
tho insurance scandal would grow IN.
I'll sweeping changes in the general
management Of the business would b.
come . necessity.
In this connection the story of the
rise Of President MCCALL, Of tho New
York Life, in the insurance business 10
interesting. Not many years ago he
was hotel smploye In this city. He
went to Albany and became politi-
Dian and lobbyist. he got to DO state
superintendent OF insurance, from
which position hs was taken to I'LL
the ofioe Of controller Of the Equitable.
When the New York Times forced the
retirement OF Beers from tho New York
Life, Mccall was elected 10 tho vacsn-
cy. He attracted other politicians 70
the New York Life. Among them was
George W. Perkins, who was himself
once . superintendent Of insurance.
Mr.. Perkina went from tho New York
Life to the banking house Of J. P. Nor
gan & Co., where he 10 now q partner.
There 10 growing demaud for the
same sort Of investigation and the ap-
plicstion OF the Same drastic remedies
to cure the evils In other companies -
have bean applied in the CASE Of the
Equitable. The New York World,
Sun and Herald arc daily voicing these
demands. Herbert Ayriek. president
Of tho Orange Judd Company. has
written 10 Superintendent Of Insurance
Hendricks asking for An investigation
Of the Mutual Hfs - we'll, alleging
that he 10 . holder Of . policy for
600. 900, and seating that 10 would
like TO know how the affairs OF the com.
pany are being managed. - would also
doubtless, many other large and small
policy holdsss.
Spotane Suffers else Loss.
Spokane, July l0.-Ths most costly
hrs Of the year ragsd near the center
Of the business distEict Saturday after.
noon and for Hme . great eonhagrs-
tion was thrsatsnds. The Lon u esti.
mated at $50, 900, pgubably two. thirds