The Minneapolis journal. [volume] (Minneapolis, Minn.) 1888-1939, 1905-02-04
STATE AFTER AN
EX.COMMISSIONER
ELMER II. DEARTH MUST Elk.
PLAIN WHERE FEES WENT.
House Committee on Public Accounts
!, and Expenditures Closely Questions
Him About Money Collected for Valu-.
ing Insurance Companies Effort Will
Be Made to Recover S63,000.

An attempt will be made to recover
$63, 073.57 collected by Elmer u. Dearth,
formerly insurance commissioner i for
Minnesota, from life insurance compa,
MES for appraising their policies. w.
on public accounts and expenditures yes.
terday afternoon, Mr.. Dearth, r.. D.
o 'Brien, Commissioners of insurance, and
D. @. Lightbourne, deputy under various
administrations, were closely questioned
regarding the fees, and as result, 7. p.
Dowling, A; N; Hayes, ;. : =. Timber dambel,
were named as subcommittee to CON
fer with the attorney general as to the
states right to the fees and also to an
/ other item Of about 500 collected by
Mr.. Dearth for preparing abstracts or
annual statements OF insurance COM N
| panies. 49,.
Whether or not 1t is decided to pro-
coed against Mr.. Dearth there is sure to
| be a bill from the committee, requiring
the insurance commissioner to turn Into
the state treasury all fees for valulng
insurance policies. -.'.'.'-
The, interview with MI: Dearth Was
propounded by Messrs: Bowling, Tim
beriake, Hayes and Jefferson were very
M. Dearth explained that the fees
for valuing the policies Of life INSURANCE
companies had been paid by them and
turned over to the actuarles who nae,
been done by Lightbourne, q deputy IN
his office. Both Mr.. Dearth and MIR;
Lightbourne said that the work had
been done after office hours, on Sun
DAYS end g. little Of it in the office, but
not so as to conflict with his regular
duties. These fees in four years had
amounted to $4,000.
i r MIR. Dearth Evasive.
l "Did you receive any Of these fees
personality asked Mr.: Bowling after
the general situation had been. outlined
"1 don't know as that ISL fal1
utestion. What the actuaries did with
the money is of no public interest, - re-
piled Mr.. Dearth. Later the same ques
ton in different form received the
: same evasive answer. -
| Mr.. Dearth said that the work Of
valuinp the policies would probably
have cost between $4,000 and $25, 900
Tho remaining $4,000 would have gone
!, to the state had the actuaries' WORK
been done by employees In the regulal
t line of their duty.
: It was not insinuated that Mr.. Deartf
r had ever denied that the actuary fee
: ing abstracts Of the annual statements
8 Mr.. O 'Brien declared that the latte
: fees belonged to the state as the worl
3 was done by the clerks in the office.
!. - Not All Examined.
9 It developed that the thirty-nine. for
eign insurance companies doing bushes
in this state last year had policies az
gregating ST., l23, 200, 1872 in force in tn
= State and if the insurance commissions
{ made an annual valuation at the rat
Of one cent per thousand dollars n
could collect fees to the amount, Q
gill 1872 annually. Mr.. Dearth sal
!: that in the case Of the large substantia
: companies annual valuations were mo
necessary and would be an unnecessar
burden, but with small weak companie
valuations at least once a year wer
desirable.