Daily press. [volume] (Newport News, Va.) 1896-current, 1910-06-11

Il
and delay might be prevented by an
admission from the defense that the
defendants are members OF the under
writer's association and that certain
of them are members OF the Virginia
committee, Mr.. Bachelor declined to
make such an admission, saying that
he thought that the attorneys for
the prosecution ought TO earn their
fees
Robert Leckey, Jr, Recalled.
Rober Leckey, Jr., was recalled
when court convened yesterday morn
ing at 1915 O'Clock. After reading
section seven OF the constitution OF
The Southeastern Underwriters Asso-
citation. which provides that al OF the
meetings OF the executive committee
q. the association shall be secret and
confidential. Captain Berkeley handed
the copy of the constitution TO the
witness.
What character OF business Is
transacted by your association that
mas to be kept 90 secret?" asked the
commonwealth attorney.
The witness replied that In this
business as well as any other the pro
ceeings were not allowed TO made by
'he clerks who are taking the proceed
.ngs before such proceedings have
finally been concluded He had never
known OF the association keeping
from the public any of the rates made
or the manner of the making OF them.
As to Legislative Lobby.
Mr.. Leckey was asked II the asso-
citation assists the people in legislat-
ing and II il advises the legislature
of Virginia in order that that august
body may not go awry and he re-
FILED that there was nothing In the
constitution to allow the association
TO advise the Legislature. Asked If
the funds OF the association are used
Tor lobbying before the legislature.
Mr.. Leckey replied that 50 far as he
knew they were not. The witness
said that he had appeared before the
legislature In the interest of insurance
measures and other measures as well
and that other officials OF his com
pany had appeared before the gener-
al assembly.
Replying TO query from Captain
berkeley, the witness said that the
association expends about 5000, 900 an
nually and that about half of this
money is used in the rate making.
The principal items of expense in the
rate making are the salaries OF the
officers. including the manager and
secretary of the association: the sala-
rics Of the engineers in charge of
technical work and salaries of the in
spector who apply schedules and
make surveys. The wisness said that
some of the money goes TO pay law
yers fees. AT this point the witness
began drawing some conclusions from
this expenditure of the money and
Captain Berkeley told him TO con-
fine himself to the facts in answering
the auctions and to allow the court
TO draw the conclusions from the evil
oence.
Regulations for Electric Wiring.
Questioned about the application of
the schedules laid down by the asso-
citation in relation to the regulations
on electrical wiring which are made
by the association. the witness said
that all electrical wiring must come
up TO the regulations made by the ma
tional board of underwriters and
used by the association or the In
surance companies can increase the
rates for DEFICIENCIES. He said that
the wiring in Newport News Is not up
10 the standard as set down in the reg
ulations and that Increases in the
schedules had followed. Witness said
that the rules LAID down by the nation
In In oil 80
the United States and he began a de-
Tense OF this plan. Captain Berkeley
again interrupted him and told him to
confne himself to the facts and not
attempt any stump speeches for the
association. Your counsel Is capable
of making all the speeches necessary
IN the defense of the association"
said the prosecuting officer. Mr. Leck-
~ replied that rs he understood it he
was summoned as witness for the
state and counsel for the defense
could not be referred TO as "his coun-
sell"
Profits Large in Virginia.
Captain Berkeley began questioning
the witness about profits and losses
n different states and the witness
said that there is a larger profit in
collars and cents in New York than In
Virginia. but that the percentage OF
the profit on the amount of business
done Is greater in Virginia than In
New York.
Explaining the operations of the
companies In Virginia. Mr. Leckey
said that the Virginia law requires
that all new Virginia companies dur
ing the first year they are in bush
ness TO put $50 of every 500 OF prem
lums received In a reserve fund. As
this fund grows and strik-s a level.
the percentage premiums necessary
TO Keep the reserve fund al level is
reduced each year. The reserve fund
Is invested in stocks. bonds and real
estate mortgages and the companies
make their money on these invest
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