The sun., 1909-12-09
SHELDON OF PHEEIK INDICTED
HOUSE WATCHED PENDING EN-
TRADITION PROCEEDINGS.


Larceny and the Amount Is s4s. 600.
from the presidency of the Phepix In
surance Company and 10 now III in his
country home at Greenwich. Conn. was
indicted yesterday by the Grand Jury
OF this county on charges Of grand lar-
ceny to the extent OF $4,000. How much
more than s4S. 900 Of the Phenix company's
money he may have used for his own
benefit has not developed. District At
torney Jerome's Office has acted In con-
junction with the Grand Jury only upon
snch evidence as has been turned over
to his Office by the Superintendent Of
Insurance. Mr.. Jerome's once will now
wait. berore proceeding to further Grand
Jury inquiry. upon the offering OF further
evidence OF irregularity by Supt. Hotch-
kiss. The New York District Attorney
has no ofEicial knowledge that Mr.. Shell
don is III or OF the extent or seriousness OF
his Illness. The usual routine OF extradi-
ton is therefore to be gone through.
OF course IL he is dying he will not be re-
moved 10 this StateL In the meantime
MIR. Sheldon's house 10 being adequately
guarded.
The testimony. on which the indictment
was found was to the effect that sheldon
had used the company's funds on four
occasions in 1908 for his own speculative
purposes. One transaction involved sls.-
900 and there were three other transac-
tions Of $4,000 each. The statement 10
made that Mr.. sheldon conducted =
speculative account, purpCrting TO bc on
behalf OF the company. with the brokerage
firm OF Carter. Wilder a Co.. with which
he deposited securities Of the company;
that he drew drafts against this deposit
as president OF the company and do
posted them to his own private credit
with the Chatham National Bank. The
witnesses who testified before the Grand
Jury were Edwin II. Carter Of the BROKER
age firm. r.. I. Doremus. note teller Of
the Chatham National Bank; Frederick
Cutter. clerk OF the brokerage irm, and
Charles 8. Roster, secretary OF the Phenix
company.
be made against other men besides Mr..
sheldon may become known when Supt.
Hotchkiss presents further evidence to
Mr.. Jerome.
GkEESwIcH. Conn. Dec. s.-The con-
dition OF George p. Sheldon to-day 10
the same as il has been for ten days
past. He is constantly taking medicine
to keep his heart in action. So far he
has had no word conveyed to him OF the
actions taken in New York against him.
No one hpt his immediate karnily and
physicians see him. lie may linger q
family said Tonight that his death might
come at any minute.
INDIANA rolls. Ind. Dec. Sin reply TO a
query sent by John &. Billheimer. Auditor
Of State. to William II. Hotchkiss, Super
intendent OF insurance OF the state OF
New York. as to whether the affairs OF
tho Phenix Insurance Company. now
being Investigated in that state. are
in such condition as TO warrant Mr. Bill-
heimer in stopping the operations Of the
company in Indiana Mr. Hotchkiss
has sent the following telegram:
Il would not advise adverse action on
your part relative to the Phenix COM
pany A change in officers has been
effected which meets with tho approval OF
the New York department. The present in
dica ations are that the capital Of the COM
pany viii Oe unimpaired, and IL has q
surplus over and above its capital.
believe that the interests OF the policy
holders viii be safegiIarded.'
The company has placed about S5s.-
600 900 in fire insurance in Indiana and
a large Number OF polioyholders have
written to the State department to in
Quire IL their policies are safe. They
are being assured that they are in no
danger.