Deseret evening news. [volume] (Great Salt Lake City [Utah]) 1867-1920, 1905-10-09
Regrets 10 See Various States Ap
ply Drastic Measures Before the
Investigation is Over
SOME COURTESY DUE NEW YORK
Not Right for Any State to Take Action
Before the Committee is
Through

IAu'ItNlrIt ~ - bNi f.~-NeOdt0f
Armstrong, chairman of the insuraucr
investigating committee, left for New
York last night on insurance matters
Before leaving Chairman Armstrong
issued this statement:
II regret very much 90 500 other
states apply drastic remedies i'm adj
vance Of action IN this state. our com.
mittee was appointed to investigate
conditions in the insurance business
and propose remedial legislation. / sin
ccrely hope other states win wait until
we have had an opportunity to complete
our work
These insurance companies arc per-
toctly solvent and are able to carry out
every contract they have made or may
make There is no reason for refusing
TO permit them to continue 10 do bus
mess II Nevada proposes to do one
thing, Missouri another thing, and some
other state still another thing, there
VIII be a chontic condition Of affairs. !
believe there Is due al least the cuur-
tesy 10 New York state 20 wait until
the investigation Is completed and our
remedial legislation is applied
"Our committee win make the most
thorough investigation possible. and
when we are through we shall make II
our business TO adopt such legislation
MS Will safeguard the pollcyholdcrs and
make the Insurance business safer and
suunder and more attractive that II has
ever been before. II other states iump
I'm before lp ,1Ir RtHgVls ,,,s
can adopt any legislation everything
VIII be confusion IN the insurance bust
ness Of the country,
Another point. When a number Of
western insurance commissioners were
IN New York recently We had q confer
ence with them and we promised 20
submit TO them for their suggestion
what remedial legislation II was pro-
posed 10 adopt, In this way we hope
TO secure uniform action I'm all the
states. Il Is not right for other states
10 take action after our committee has
been at work only four weeks and long
before we have reached the end Of our
investigation. Any action they might
take az this time would be premature,
"Our committee was not appointed 10
tear down the insurance bnsiness Of the
country, but to build 1t up. We are
ten timbers TO get the right foundation
on which to build. We are trying to
do this work man fashion, thoroughly
and Conscientiously. II Is not n pleas
ant task at best, but we are not dodg-
ing and shall not dodge any RESPONSE
billy The insurance body Is sound
but IS afflicted with some ulcers. We
are performing a surgical operation for
the removal Of these ulcers from the
body not trying to kill the insurance
body, Because we have discovered some
rottenness, It Is not right for outside
states 10 cripple the insurance business
and handicap our efforts"
SuPT. FRICKE TALKS.
New York. oct Civilian A. Fricke.
superintendent In this city OF the Cen
trail Union Life Insurance company Of
Ciscinnati expressed doubt yesterday
that Insurance superintendent VAN
diver " Missouri would be able to
make good his threat to cancel the
license Of the New York Life lnsur-
ance company TO do business I'm that
state unless President John A. Nc
Cull rccigned and the funds used for
political campaign contributions wore
replaced. For two successive terms
Mr., FrCke WAS insurance commission
er Of Wisconsin. He said Il don't
see how the state Of Missouri can ar
bitrarily revoke the license Of the New
York Life Insurance company 10 DO
business I'm that state on any such
grounds as that mentioned In the let
ter written by Supt Nandiver TO PRIEST
Mccall, No insurance commissioner
has any such right. He can 60 IN and
investigate the affairs OF a company
dclng business IN his state at any time
circumstances seem 10 Justify such pro-
ccdure. He can examine the directors OF
the company and It's officials and the
company must defray the expenses. but
only II such examination should dts
close gross acknowledgement can he or
der q reorganization or decide that the
property must do no further business
IN his state.
1T Is only when an insurance COM
missioner upon examination finds a
company 10 be lnsolvent that he can
take such arbitrary action as is con-
tcmplated IN Missouri
During the four years ! was In.
surance commissioner OF Wisconsin [
took summary action 10 refuse license
20 or revoke licenses Of A. companies
! have no doubt that many Of these
companies could have gone into court
and had me eniolned had they not
lthltA lil+ lNblANllN NlllN NOhll nave lll~
voked When ! resigned during my
second term ! examined my records
and found that Of the AZ companies
had proceeded against, 30 had failed "
Mr.. Fricka told how at the annual
convention Of the National Assoicia-
ton OF Insurance Commissioners, ace
ton was taken TO investigate some
| Of the larger companies by n commit
! tee composed Of the commissioners
from Wisconsin. Minnesota Missouri.
Ohio. Michigan and New York.
"Mr Mccall at that time told us
| about the campaign contributions he
/ had made, adding that he thought lt
I'm the interest OF the pollcyho.ders.
! Nobody took issue with him. lie knew
| also that Robert II. McCurdy had
charge Of the foreign business OF the
! Mutual. and that he was getting an
extra large commission on st."
| II was said yesterday that Senator
| Chauucey NJ Depew might be q wit
| ness before the insurance investiga-
| ton commission when ito sessions are
/ resumed this week.
| Plea for Missions Nets $50 1RS