The Forest Republican. [volume] (Tionesta, Pa.) 1869-1952, 1910-03-23
HAD POOR MEMORIES
Paid Large Sums of Money But
Did Not Know For What.

Although Superintendent Hotchkiss
Could Not Find Out What Legis-
Iators Got the $8,311 Paid Out by
Elijah Kennedy He Got Trace Of
Of Another Fund of $4,000 Paid by
Various Fire Insurance Companies
to the Late George Sheldon.
New York, March 22.--The astonish.
ingly bad memories of the half dozen
witnesses that Superintendent of In
surance Hotchkiss called for the in
yestigation did not aid him in find
ing out where the remaining $4,000 of
the $8,3l1 paid out by Elijah Kennedy
to push through favorable legislation
went to The fact of another fund
did come out, however.
1t was testified that $4,000 was
given by various companies to the
late George Sheldon, president of the
Phenix Insurance company of Brook
lyn. The donors could not remember
for what purpose Sheldon asked the
money except for vague legal ex-
penses. That was in 1904-05. when
the companies were fighting the anti
compact bill in Albany.
kremer Paid Sheldon $500.
William NJ Kremer of the German
American remembered giving Shell
don $500 in three installments; Vice
President E. H. A. Correa, Of the
Home Fire contributed $4,000, ana
Marshalls Drygoods of the Williams
burg City Fire Insurance company
said that he presented the remaining
$l,50O to Sheldon.
Although Mr. Hotchkiss secured no
knowledge from Mr.. Correa's testi-
mony to help find what Legislators re-
ceived the gifts, he did draw the wit
ness out B the extent of saying that
Sheldon practically succeeded Ken.
nedy as the board of underwriters
legislative agent in Albany. Sheldon
had worked for the repeal of the
Grady reinsurance bill of 1904. Super
intendent Hotchkiss said that his de-
partment is trying to get it repealed
now.
In connection with the Grady bill,
which is said to have benefited three
fire insurance companies and proved
detriment to more than 200 others,
the superintendent issued subpoena
on Carl Schreiner, manager of the
Municipal Fire Insurance company,
so that he can explain how the bill
was pushed through. Mr.. Correa tes-
titled that Schreiner spent a large
sum probably for legal expenses.
Colonel Alexander H. Wray, man.
ager OF the Commercial Union Assur-
ance company, limited, of London,
told Mr. Hotchkiss that the foreign
companies paid $4,000 to Davies,
Stone G. Auerbach in 1908. This was
their share of a larger fund for SER
vices that law firm devoted to protect
ing the interests of foreigners. Other
than that, Colonel Wray added moth
ing to the records.
The minutes Of the laws and legis-
lation committee were laid out be
fore Mr.. Kremer. They revealed that
Sheldon had run up hill of $4,000
for legal expenses. The committee
would not pay It, so Sheldon had to
collect it on his own hook.
Objection to Valued Policy Bill.
What is the objection" the wit
ness was asked, ito the valued policy
bill?"
1T practically puts premium on
the destruction Of property-or arson.
So the statistics show. This law had
been passed in some states where
the companies had to increase their
premiums in order to Offset the ef-
fects Of the statute"
Marshails Drygoods, president OF
the Williamsburg City Fire Insurance
company, was the next witness. He
said he was chairman of the finance
committee. Witness in reply to a
question said unfortunately he knew
Mr. Sheldon very well.
A receipted bill for $4,000 paid to
the national board of fire underwriters
on June 3, 1901, was placed on the
table. 1t was for services in the re-
peal of the stamp tax in congress.
Mr.. Correa could not throw any light
on the Kennedy gift fund and said
that he was proud to state that he
never knew any legislators at all.
The two amounts of $2,5OO each that
he paid to Sheldon he was unable to
account for, or their destination. The
second one was paid in cash, reasons
unknown, said Correa.
nENIhI RY r. p TAFT