Los Angeles herald., 1905-10-08
MISSOURI AFTER
NEW YORK LIFE
DEMANDS RESTITUTION OF
CAMPAIGN FUND
II Is Further Made a Condition Of
company's Doing Business in
State That the Present
Officers Resign
By Associated Press.

By Associated Press.
JEFFERSON CITY, Mo-, Oct. l.
State Superintendent of Insurance van
diver today sent a communicating u
President John A. Mccall of the New
York Life Insurance company delnahu-
ing that the $14S,702.50 campaign fund
contribution be replaced in the treasury
of the company under penalty of reVo-
cation of the company's license TO
transact business in Missouri for ran
ure to comply with the demand In the
communication superintendent Nandl-
YER also informs President Mccall that
the Missouri department of insurance
will insist on a new president vice
president and financial committee TOT
the New York Life Insurance company
lust as soon as the directors can pos
sibly effect the reorganization.
JEFFERSON CITY, Mo-, Oct. T.
The letter in full follows:
ITO Mr.. j. A. Mccall, President of the
New York Life Insurance Company
THE recent startling disclosures in
regard to the management of the funds
of the New York Life Insurance COM
pany and particularly the testimony
of yourself and other officers of the
company given before the investigating
committee of the New York legisla-
ture make it my duty as superintendent
of insurance for the state of Missouri
to communicate to your company the
views and requirements of this state
to the end that the policy holders in
this state may not be defrauded of
any portion of the dividends or surplus
earnings that are justly due them on
the premiums they have paid.
Funds Are In Trust
"The public has been very properly
taught by yourself and other ofticals
of great insurance companies that the
funds of a mutual company constitute
a fiduciary trust, held and administered
for the sole use Of those named as
beneffciaries. many of whom are, or
will be, widows and orphans; and many
thousands of people have taken insur-
ance in your company because of this
very fact and the assurance that every
dollar of assets belongs to the policy
holders. That any portion of the policy
holders premiums, or profits on pre-
miums. could be diverted to political
purposes or other uses not contemplated
when the premiums were paid in, ana
not consistent with the avowed pur-
pose of a life insurance organization,
must be considered by all right think
ing people as Il gross violation of a
sacred trust, if not embezzlement as
defined by the statutes.
This department holds, therefore,
that all moneys taken by your order
from the treasury of the New York
Life Insurance company and donated
to any political campaign committee OF
to any legislative agent or lobbyist fol
aiding or defeating legislation, whether
audited or unaudited on the books OF
the company, were taken without war
rant of law or morals and without
proper appreciation of your RESPONSE
bilities as trustees of the funds COM
mitted to your keeping. And therefor5
this department must insist that all
funds so used by you or by your or
der, especially the sum of S14S, 7O2.5O,
which amount you confessed to hay
ing contributed out of the funds of
the company to the Republican cant