New-York tribune., 1909-12-09
SHELDON INDICTED
LARCENT Is CHARGED
Denial That Pheni.r Vas Sim
gLed OHt for Examination.

The grand jury took quick action yester-
day IL The case OF the alleged pecuiaticns
from the Phenix Insurance Company by
sndicring IT'S former president. George P.
sheldon. On ths charge OF larceny in the
srst degree.
-Four specific counts OF rlisappropriation
of the funds OF the company are made out
against the former Official who is stin said
30 he in a precsrious condition al his home
a. Greenwich. Lorn.
sheldon IS accused OF having N his ca
pacity as president Of The company drawn
from Carter. Wilder & Co. 3 brokerage
nrul az No. 20 Wall street. AZ various
ffues Sss .000. 6epos;ting against the drafts
collateral belonging 10 the insurance COM
Dany and placing the funds thereby OBJ
rsmeo 70 his own credit II the Chatham
National Bank.
This amount was no sn drawn out ~
one time There was one draft of Sl5.ooo
snd three of Slo.cso each. The proceeds. il
s supposed. having been devoted by Shell
don 70 his mining and other speculative
ventures
ONLY SHELDON EVIDENCE N.
10 further evidence was placed before
the grand jury yesterday. that already pre-
scented by the Superintendent of Insurance
aad The four witnesses examined Tuesday
hsing sufficient 70 md The Indictment.
The amount named IN the Indictment II
81 generally believed. does not approach the
amount o. the compAny's funds which has
been ulisused by its e1-presideut. but il is
sufficient 10 insure his being called 10 ac-
count should lis condition permit Of his
heinE removed 70 this state
Inquiries az The Naples IN Greenwich.
yesterday brought the information thar the
health of sIr. Sheldon had not improved.
but despite tins Ihe District Attorney
once viii take no chances ano vii go
shead a. once with the extradition pro
ceedinEs.
50 Ear as could be learned no evidence
Feudlns 70 Inlplicats other oficials OF the
s-ornuzuv has Vet been disclosed. and future
sction of Tho District Artorney's office viii
depend upon the result ~ The eNamlna-
fion of the company's affairs. which is still
being conducted by the Insurance Depart
rnent. sven men. about half OF the de-
a.srrmeuts examining force assigned 70 The
snvestiEatiou of hre insurance companies,
sre now at work completing the eXsmina-
sion
C0MPANST WILL CONTINUE.
Although II Is estimated that the Phenix
ronupauv may have 10 shoulder losses sp-
TTUN1rflaTlllE tL.Nft.rH. Inc N--lrL - A6l
vas that the company under the super
-1sion OF SIS new officials Henry Evans and
T. W. T Gray. would SIM continue its
SEPARATIONS.
Tntl rhe examination rs ceuplered. Il
pas said a. the Office ~ the state super
fureudeut of Insurance yesterday. nothing
further could be done by the department
sunless evidence OF criminal action should
d. uuearrhed IN yhe progress of The in
a-estiGaIior-
The iutimation thar the revelations n
she Pheuix Coulpany's management were
size result n wei founded suspicious that
other state officials besides James r Pierce,
isaac Tanderpoel Robert =. Hunter and
William D. Buckley had applied 70 insur-
ance companies while in ofticc for financial
accommodation 20 a greater or less extent
was NOT rrcarcd seriously 10y The officials
~ the Insurance. Department yesterday.
The reason. and the only reason. u vas
E1id why rhe Pheuix had been subjected
20 examination was heoause n vas one Of
the companies rhst had gone the longest
vfthou- such scrutiny from the STATE De-
partmenL
DEPARTMENT WAS SURPRISED.
Charles = Fowler. the deputy in charge
a. me New York Once. said yesterday that
rne discoveries q irregularirles came with
~ great suru-ise 10 rhe department as
old rhe Superintendenr's report on me Phe-
nix m the general public The FheniZ had
been singled our for examination. ne said.
because n was one ~ the companies which
lsd br- force of Circumstances been LETT
rnrxau1ined for rhe longest pe-o6 by rhs
cepa rrnert-
The examination - the F'henlE mas been
roing on since last October. and q Is rs
80 impossible 10 tel how soon me investi-
Esfors VIII complete rheir work. During
Fhe present yeaE some fifteen domestic and
s-ve foreign corporations engaged IN tho
--s Insurance business have been subjected
- e1amlnsrion.
The fo~ce. hCweTe-. ar re disposition ~
slle Insurance Department IS far from be-
suE adequate 70 make as frequent exarni-
ss-iors ~ rhe COMPANIES as ls desirable
" was made plain yesterday a. the local
rH1ce q the department that The Phenix
ha6 nor been marked for examination either
s. crusade against certain companies or
hecause - a determination 70 discover how
ssr former osicials or rhe state Insurance
Department had profred bv rheir oHscisl
positions IN the matter ~ making easy
5osns c-on the corporations under their
sur1s6ic-c1-