The Washington times., 1905-11-06
EQUITABLE SURPLUS
RECEIVED BIG CUT
Insurance Report Shows Diff
ference of S18,000,0O0.
yellow DOG" LOANS
New Light Thrown Upon These Trans
actiOns-Many Sums Thr0wn
Out of Assets.

NEW YORK. Nov. 6.-The final report
Of Francis Hendricks. State sUperin-
tendent OF insurance. on his investiga-
tion Of the Equitable Life Assurance So |
clety. has been completed, and official
copies given out for publication.
The final report is practically con-
fined 10 a statement OF the financial
condition Of the Equitable as of June
80. 1895. The report flnds:
First-That the Equitable's valuation
OF its real estate is excessive by $5,OO0O00.
Second-That advances made to agents
amounting 10 $5.S1s, s,1s4.s7 must not be
counted as an asset
Third-That the total assets of the So
ciety are S406, ,G7S. .O6S. IS
Fourth-That the total Liabilities Of the
society are Ss44 O64, 43g.
Fifth-That the reserve or surplus IS
SO. .00S 624.6S
1t is difficult to compare the report
with the society's own sworn state
ment OF its condition as of December 81.
1904. for the reason that n the following
SIX months it received approximately
SS5,eoo,0oO in premiums, dividends, &c.
On December 81, 1904. il claimed to
have surplus Of $50, 10, ,2s9. The insur-
anee departments report reduces this
surplus to S62VJS,624, a shrinkage Of s1S.-
7S5.645.
Reported Surplus.
On December 81. 1904, the society hxed
It's assets at S4l3. .95S OIL Six months later,
when the assets. ike the surplus, should
have shown material increase, the in
suranee department fixes them at $780,
V'5.OoS. a decrease Of $7,S79, ,95s.
On December 81, 1904, the society fixed
Its total liabilities at SS33. .l5s. .752. On
June 80. 1905, the insurance department
figured them at S344 O64. 4S9. an Increase
or approximately Sl1. 600 600.
Ihe hnal report is in the form CT
statement TO Supt. Hendricks. ,gned
Dy X II. Hunter. the deputy superia-
fendent. and Isaac Vanderpooi. chief eS-
aihlher or the insurance department.
yellow Dog" Fund.
Not a single new fact in relation to
Yellow Dog. fund is brought out in
the report, though it is stateI that the
insurance examiners had the assistance
OF The State banking department in an
encrt 10 run down these matters by hay-
ing It's accountants go through the
books and records of the Mercantile
Trust Company and the Equitable Trust
Company.
OF the fifteen office buildings owned
by the society, nine net less than 8
per cent The value OF these buildings
per cent by the examiners. The so
ciety valued the fifteen buildings Al
S5ls5oo UJO- The examiners reduced this
~ ~ S3sss.oSA, bringing The value down TO
OF loans on bond and mortgage made
the report says:
As a result of the examination of
these loans We think il can. without
qualification be stated that AT no Deriod
oI the socIetys existence has this class
u hras4 fr.
tory condition.
Loans on politics amounting TO So
s5o.eso-9o are also found to be in salts
factory conditi0n, the average interest
belns Per cent payable in advance.
100000 Vanished.
The recent report of the discovery OF
the payment by the Equitable to the
Mercantile Trust Company on Febru.
airy 4, l90l, Of S600.e00 and on December
81. lS0f. the report says. this account
was closed into profit and loss" In 9th.
er words, the payment was written OF
the books Of the Equitable.
The report then gives an alleged ex.
plaDauOn which adds nothing to state
ments already made by President Nor
ton. OF the S60J. CO., the account witt
the Mercantile IN the name of J. W
Alexander and Thomas D. Jordan
known as the yellow Dog" fund vs.
credited with 10000 and the re4nain-
1Eg $4,000 was credited to the &c. V
Turner loan
Kuhn-Loeb Loan
Among the exhibits attached 20 tn,
report is a copy Of the minutes Of the
executive committee Of It's meeting OF
February Il 1890. II was at this meet
ing that President Alexander was di
reeted TO relieve the guarantors Of tn,
Turner loan Of their personal responsi
biiity- This had been done by Presiden
Alexander on Nay II, 1899 Iane month!
before the executive committee gave IL
authorization. The minutes also includi
this statement:
''Cn motion resolved. that the societ,
loan Gc3o,Oo 20 Kuhn, Loeb and Com
pany for twelve months At 4 per cent