The daily morning journal and courier., 1905-07-28
CHARGES MADE AGAINST
 MUTUAL RESERVE LIFE
CONCEALMENT OF JUDGMENTS
 BACKGAMMON OF SURPLUS.

Chief Examiner of Insurance of New
 York State Bitterly Arraigns the
 COmpany-Declares the Judgments
 Against Concern Were Not Mentioned
 in the Item of Liabilities for the Year
 19O4-Some Peculiar Workings of
 the Society.
 Albany, N. Y, July 27.-Concealment of judgments against the company amounting to $1S2,767, exaggeration of its surplus by over s3OO,OOO and a set tied policy of delay in paying claims, are some of the charges made against the Mutual Reserve Life Insurance company by Chief Examiner Isaac Vanderpoel in his report submitted to State Superintendent of Insurance Hendricks and by him made public to- day. The examination was begun last December and covers period back to 1899. The company has headquarters in New York city and claims assets of between five and six millions.
 Examiner Vanderpoel says that the management of the company made no mention of these judgments in the item of liabilities reported for the year 1904.
 "Of the $1S4,913.25 reported by the company in its last annual statement as being due or accrued for salaries, rents, office expenses, taxes, bills, ac- counts, etc.," says he, $102, S72.92 con- sisted of judgments entered against this company. I am constrained to believe that the return of this item after the manner stated could not have been the result of an inadver- tence, and certainly constituted a con- cealment of facts sufficient to render the company's sworn statement for 1904 materially inaccurate in its fail- ure to return these judgments under their appropriate title.
 Further variations, in addition to those appearing in credit assets and policy reserve, as between the figures published in the company's last annu- al statement and similar items embod- jed in this report, are produced in the item of unpaid death claims Dec. 31, 1904. They are returned in the annual statement of the company at $796, ,704.- S1. As the result of this examination the amount is shown to be $S31, ,429.59." {"
 The company's last annual state- ment, says the report, produces a so- called surplus of unassigned funds amounting to $359,211.5S. The examin- ation just completed fixes this item at 0S8,492.16, the difference. being due to reduction in real estate values on ap- praisal, rectification of reserve data from which policy or certificates yalu- ations were made. and further to the reduction in various credits by bring ing the net amount of same within the respective reserves charged against the policies upon which these credit assets rest"
 The report shows in detail how in- surance at one time amounting to S1,- 92S,OO07S finally yielded it's beneficiaries 906,656.4, there having been deducted $293'655.3O on account of an indebted ness a.sCertained by the company to exist against the assured, with. a fur ther deduction of $722,6SS retained by the company for the various alleged violations of contract by the insured.
 Making due allowance for the time it may occupy to thoroughly investi- gate all questionable death claims, |" says the examiner, q think that as the result of this examination 1t is quite clearly in evidence that the com pany has adopted a settled policy of delay in withholding the approval ne- cessary to constitute an admission by it of the receipt of satisfactory evil dence of death in the case of all claims under policies or certificates is- sued while the company was operating under article of the insurance law. From the date of such approval nine ty days is the specified time within which payment is to be made. The average period elapsing between the filing of proofs of death, which were upon investigation ultimately found to be valid claims, is so lengthy as to
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