Evening star. [volume] (Washington, D.C.) 1854-1972, 1912-12-26
COMMISSIONER JOHNSTON
TARGET OF QUESTIONS
Denies Statement About Local COM
panies Was Issued to the Press.
VALUE OF SOUTHERN BUILDING
Tells Why Consent for Examination
of Conditions Was Given to New
York Department-Brushes
With the Attorneys.

commissioner Johnston. on the stand
lor three hours this morning. was the
hfst witness in the investigation into
the insurance situation i'm the District
Oh Columbia, conducted by subcom-
mittee of the House District committee
with Representative Johnson of Ken
lucky as chairman. With Mr. johnson
was Representative George Other
committeeman We're absent rhe i'm
vestigation follows the resolution
adopted by the House to look into the
methods of the Commercial Fire In
surance Company. the First National
Fire Insurance Company. the firm of
Tuttle, Wightman & Dudley, inco,po-
rated, and into the affairs of the de-
partment of insurance of the District OF
Columbia.
According to the plans of Representa-
tive Johnson, the hearing will be con-
Quoted i'm form quite similar to the trial
in court, with George c. Ingham, super
intendent of the department of insurance.
acting the part of the accused who will
have the opportunity to so on the stand
last
That the investigation will be hard
brushes between Commissioner Johnston
and two of the attorneys James Easily
Smith and Charles A. Douglas.
That attorneys have planned a battle
royal with Commissioner Judson, who
was the leading spirit at the District
building, as far that end of the present
insurance developments are concerned,
is evident from the way they stood on
their toes ready to spring on him every
! time he opened his mouth this morning.
commissioner Rudolph, In whose juris-
diction the department of insurance Hes.
| was not a witness this morning, although
he was present with a sheaf of papers.
Inquiry With Three-Sided Aspect.
| aspect; and questions by Representa-
| tive George OF New York today indicated
| that hrs hobby. the assessment of valua-
ton of property here, is going to have
plenty Of exercise before he gets through
| with the Commissioners. II was due to
| a series of questions by him that the
committee requested that a chart he pro-
duced at the hearing showing the prop
erty ownership and valuation of all par
GELS i'm the four squares which touch At
| 15tn and ii streets northwest
Present at the hearing were the three
Commissioners, George 1ngham, super
| intendent of insurance; +. ii. Stephens.
kasby-Smith, counsel for Supt. Ingham:
Ralph Pratt Charles F. Carusi, Charles
| A Douglas. the latter two representing
| the fire insurance companies: Robert X.
Tuttle F. S. Dudley and Richard
Wightman.
johnson States the Charges.
Representative Johnson said in OPEN
ing the hearing:
There are two charges: That the in
surance companies are carrying property
for more than it is worth, and the other
is that the insurance methods OF the
| companies are not what they should be.
New York accountant has been en-
ployed to go through the books. Ihat
will begin tomorrow morning IL mad
| been able / would nave ADVISED the coH-
panies before now
The accountant will be representative
| Of Price Waterhouse & Co. OF New YORK.
James Easby-Smith. attorney Tor
| George c. Ingham. superintendent OF IN
surance for the District of Columbia,
asked Representative Johnson whether
any charges had been preferred against
Ingham. either TO the committee OF lo
any individual on il.
Mr. Johnson replied. but did not make
a direct answer.
Mr.. Easily Smith persisted. asking to
see certain letters sent by commissioner
Johnston to the committee.
The chairman said the papers would
be introduced at the proper time
lanes Easby-Smith also asked Tor
full inspection of all papers I'm the DIS
trict building relative to the insurance
department Representative Johnson said
the District committee has full power
to get all such papers and would get
them il necessary.
Action Taken by Commissioners.
Commissioner Johnston was the frst
witness He related i'm narrative form
what he knew of the insurance matter.
He said the assessors. at the Commis-
sioners' instruction. Were making a re-
valuation of the Southern building and the
insurance department was making an I'm
spection of the books of the company.
That instruction WAS given about De-
cember or December y.
The Commissioners passed a resoiu-
tion,'' said Commissioner Johnston. the
effect of which was that the insurance
department of New York state be grant
ed the help of the District of Columbia
insurance department in a proposed In
vestigation here. 1t was signed by my
self and Col Judson.
Were all three Commissioners present
when that vote was taken! asked KEEP
resentative Johnson.
Yes" replied Gen. Johnston.
Commissioner Johnston read letters to
the New York state insurance depart
ment They were signed by Commissioner
Johnston "acting president of the board
of Commissioners OF the District OF Co
lumbia.
Under whose jurisdiction does the in
surance department IaH! asked Hepre.
sentative George.
Under Commissioner Rudolph an
swered Commissioner Johnston.
Commissioner Johnston continued to
road letters or copies to and from the
New York state insurance department He
also read letter to the Commissioners
from Charles F. Carusi. counsel for the
i'm which the statement is made that the
insurance company would resist any at
tempt at reapprasal OF the Southern
building unless under congressional SUI
pervision.
Appointment of brakes Successor.
James Easby-Smith, attorney for George
c. Ingham. began to question Commits
sioner Johnston. He asked whether he
any OF the candidates for