The Jersey City news. (Jersey City [N.J.]) 1889-1906, 1906-01-31
insurance companies or banking institu-

mean notoriety, Mr. Griggs said. nor did
it mean an investigation by committee,
such as proposed by the resolution,
which was in the nature of finding an
Indictment He declared the banks of
New Jersey were more thoroughly inves-
tigated BY the examiners than any other
State in the Union, and that all the pub
hcity that was necessary was made in
the reports to the New Jersey Depart
ment of Banks and Insurance.
Mr.. Griggs then said that if he was
in the Legislature with the laudable OBJ
ject the Colbyites had in view, he would
suggest. since no charges of corruption
or mismanag cement had been made
against the life insurance companies and
no specific suspicion existed against
them, that the Senate and House com
mittees on Banks and Insurance go to
State Banking Commissioner Watkins
and obtain from him all the information
he had in his office on the relation of
the officers Of those companies to other
companies. He then urged that the two
committees make the investigation he
suggested in connection with Senator
Colby and Assemb,ynan Martin but
asked that there be no such public inyes-
tigation as The resolution demanded
Senator Colby sat within arms reach
of Mr.. Griggs as he spoke and listened
with close attention to everything he
said as to why no legislative investiga-
ton should be made.
Assembyman Martin was also seem
ingly Impressed He stated that one of
the reasons why he thought an invest.ga
ton of insurance companies should be
held was to inquire into the participa-
ton of policy holders in the management
of companies, the form of policy, the dis
tiiputioL VI Ihc aSsStS anu Hhe qutSllolS
which the State Banking Department
could not investigate.
Mr.. Griggs replied that he thought
these were matters which no legislative
committee could examine into and they
afforded no reason for legislative inves-
tigation.
Mr.. Martin asked Mr.. Griggs if he
did not think the insurance laws Of the
State should be revised and Mr.. Griggs
taetfully evaded answering by stating
that he did not consider that matter
for an investigating committee.
Mr. Martin then began to grow hot
under the collar. He answered Mr..
Griggs that what was everybody's busi-
ness was nobody's business, and that if
legislative committee such as his reso-
luton demanded was not appointed moth
ing would be done about remedial insur-
ance legislation.
Counsellor Richard " Lindabury, rep
resenting the Prudential Life Insurance
Company. delivered a mastery address
in which he <,resented many excellent
reasons why an investigation should not
be made. The Prudential. he said, had
nothing to fear from an Investigation and
nothing whatever in any connection with
its affairs to conceal. He explained that
the company's S affairs had been searching
ly investigated by the New York investi-
gators and that it had come out of. it
without scratch or blemish to its repu-
tation as an insurance company He
read certificates from various institutions
to show the excellent condition the Pru-
Dental was in and gave many statistics
to substantiate the reports.
Mr. Lindabury declared that all the
stock Of the Fidelity the Prudential
owned was $4S0,0OO worth at par,
which cost 81, TIE, GOO and which Is worth
at the present time S3.600.o00. 1t was
only one-ffth of the Prudential stock.
He emphaticaly declared that the Pru-
deatial had no stock of the Fidelity and
had none Of the securities of any other
Institution in New Jersey, except ma
t.oaal bank, which was not within the
scope Of State investigation. Not
share of any security which the Pruden-
tial owned, he stated. was worth less
than it cost, and the greater part of its
asses We're worth more than they cost
Why there should be an investigation Of
he Prudential under these conditions he
could not see.
Counsellor William H. Corbin. repre-
selting the New JERSEY Title Guarantee
and Trust Company of Jersey City. said
that this institution had deposits amount
ing to $T.0e0.CG0, and there was not a
thing connected with the institution
which the management was afraid to
hang on its outer wall.
Mr.. Corbin then set forth reasons why
legislative Investigation in connection
with the financial institutions Of the
State was to be deprecated and appealed
to the committee not to allow such a
sensational inquiry as the Colbyites pro-
posed He referred to the Republican
Senate Investigation Of 1895. during
which. he SAID. the then Senator Voor-
hees often said to him.: What terrible
weapon is this which We now have in
our handsi'
Former State Comptroller William G.
Heppenheimer Of Jersey City, spoke
against the resolution for the Colonial
Life Insurance Company, of which he
is director. He quoted figures to show
that his company was in a sound fnan-
cial condition and claimed that it was
thoroughly inquired into by the New
York committee. He asked the commit
tee to wait until the report of that COM