The San Juan islander. [volume] (Friday Harbor, Wash.) 1898-1914, 1905-07-08
INSURANCE INQUIRY
other COMPANIES LIKELY TO Be
INVESTIGATED.

WIN Probably Follow Probing OF
equltable-Some Talk That RYAN
riay Also Get New York Lite and
fsufual Life, Is He Did Equitable.
New York, July 6.-Astonishing de-
velopments are, it seems, to follow
the close Of the Equitable Assurance
Society scandal in other directions.
The bad business methods which the
Ryan and Morton control Of the Equit-
able has laid bare and sought to COR
rect are 30 general among the life in
surance companies that they can no
longer escape Official recognition. It
Is generally agreed among fnanciers
today that nothing can prevent thor
ough overhauling Of the insurance
companies, the exposure and punish
ment Of their pluDderers and the estab-
lishment OF new and adequate protec-
tion by law for the holders and benefi-
diaries of insurance policies.
Already there are indications that
Hendricks, the New York superintend-
emit OF insurance, who tardily took up
the Equitable scandal after it had at
tanned Developments 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-
mort ~, tho Erui$o h1> do~a-:~Ln -
ognized the fundamental necessity Of
the situation when he said that Wall
street control must be eliminated from
the insurance business. The ultra
speculative element of Wall street has
had the Equitable by the throat for a
quarter Of q century, and it takes q
hand in every confidential deal and op-
Grafton carried on with the money of
most of the other companies.
Disinterested men 60 further than
Hendricks, and say that politics, too,
must be eliminated from the insurance
business. The proposition is wholly
apart from partisanship at its present
stage. 1t is realized, that the whole
financial structure of the country is in
volved no less than the political affairs
Of the cities and states where the gov
erning machinery has sunk under the
domination Of insurance money.
President, Roosevelf's Prediction
When President Roosevelt was q
member Of the New York legislature
the insurance. lobby controlled that
body, and it has controlled it ever
since. The Equitable and the New
York Life then controlled the insur-
aDce lobby. It is now controlled alone
by the New York Life. Roosevelt pre-
dicted, while in the legislature, that
the insurance scandal would grow un-
til sweeping changes in the general
management Of the business would be-
come q necessity.
In this connection the story of the
rise Of President Mccall, Of the New
York Life, in the insurance business is
interesting. Not many years ago he
was hotel employe in this CITY. He
went to Albany and became q politi-
clan and lobbyist. He got to be state
superintendent of insurance, from
which position he was taken to I'LL
the Office Of controller Of the Equitable.
When the New York Times forced the
retirement Of Beers from the New York
Life, Mccall was elected to the vacan-
cy. He attracted other politicians to
the New York Life. Among them was
George W. Perkins, who was himself
once superintendent Of insurance.
Mr.. Perkins went from the New York
Life to tho banking house Of J. P. Nor
gan & Co., where he is now partner.
There is growing demand for the
same sort of Investigations and the ap-
plication OF the same drastic remedies
| to cure tho evils in other companies as
have been applied in the case OF the
Equitable. The New York World,
Sun and Herald are daily voicing these
demands. Herbert Myriek. president
Of the Orange Judd Company. has
| written to superintendent Of Insurance
Hendricks asking for an investigation
of the Mutual Life as we'll, alleging
that he is holder OF policy for
500, 900, and stating that ne would
like TO know how the affairs Of tho com
pany are being managed, as would also
doubtless, many other large and small
policy holders.
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