Evening star., 1912-12-26

9
the position Of superintendent OF fnsur
ance after the death Of Mr.. Drake. tn.
former Superintendent of insurance. Com
missioner Johnston said he didn't remem
Der any candidates.
do you remember the Commissioner
were undecided as between Daniel Curry
an employe of the office, and Mr.
Ingham?''
Commissioner Johnston took the oppor
tunity to review the situation in the In
surance department two years ago.
'.Mr. Drake was two years behind II
his work Congress took note of 1t. Mr.
Drake claimed that he was not properly
assisted. He claimed that Mr.. nghan
could not be trusted to formulate CORE
spondence. / mean that he was not SUI
ficiently we'll equipped"
Commissioner Johnston said later
that he had caused an investigation 70
be made by Daniel Donovan. deputy
auditor of the District of Columbia, ano
that after the report was made the
Commissioners appointed Ingham 10
the position made vacant by the death
of Mr. Drake. He also said he had no
reason to distrust George lngham al
present but that he realizes the I'M
portance of looking into his report on
the two fire insurance companies IN
volved in the hearing.
Commissioners Statement.
The statement issued by the Commits
sioners December IL was prepared by
Col. Judson, he said. Commissioners
Rudolph would not sign it or vote for
it. The statement was a detailed
charge against the insurance depart
ment and the insurance companies.
ITO whom was this statement Is
sued?' asked MIR. Easby-Smith.
ITO no one.
wasn't it issued to the four news
TT was not. Not to my knowledge"
'If four copies Of this statement were
issued to the papers, that was without
your knowledgeT'
cit was a public matter. and If the
press secured the copies, they were oo-
tained from the secretary'S ONCE.
Mr. EaSby-Smith asked seVeral otner
questions as to the making public of the
statement.
Commissioner Johnston was asked what
valuati the assessors had made on the
Southern building He could not recali II,
would be instant in his desire to nave
his department Investigated under the
circumstances.
Mr.. 1ngham nodded
Mr. Easily Smith asked about the con-
pection of the New York state insurance
department Commissioner Johnston SAID
ne supposed the companies wanted to DO
business in the state of New YORK.
Mr.. Rudolph's Attitude.
Charles a. Douglas, attorney for the in
surance companies, asked about Com
missioner Rudolph's attitude on these In
surance matters as they developed in the
District building.
II don't recall anything except that Mr..
Rudolph thought 1t inexpedient TO pass
these various resolutions.
Didn't he say ii was unfair to preclpi-
tate an investigation of these companies
without any further data?'
Not to me-"
Allowing Inquiry From the Outside.
"You knew that when you gave con-
sent to the New York state insurance
department you were doing 1t over the
head of your own insurance Super1n-
tendent?''
I'VE had the right"
Mr.. Douglas pressed this point. and
Commissioner Johnston said that the
report of Ingham on the Southern
building needed explanation.
"The valuation of the building was
enhanced $450000 over night" said
Commissioner Johnston, in further re-
ply to questions.
cation in allowing a foreign insurance
department to come here and make an
investigation without consulting your
own insurance superintendent.
my answer is this" said Gen. john
ston: IF any insurance department OF
any state wanted to satisfy itself as 10
the status Of any Insurance 81 ia company
Mr.. Douglas made the point that the
Commissioners reflected on Mr. Ing
ham.
Commissioner Judson endeavored to
make a suggestion. and Mr. Douglas
asked the committee that Col, Judson
be not allowed to interrupt. =
Declares Order Unwarranted.
Mr. Douglas after considerable colloauy
pointed his finger at Commissioner john
.ton and said: "I'n tell you that we pro-
pose to show that the Commercial Fire
insurance Company had made no applica-
ion to do business in New York state and
hat there was no reason for the inves-
igation."
Mr.. Douglas drew from Commissioner
Johnston that he had received most OF
1is information from Commissioner Jud-
son. Mr.. Douglas had read again Mr..
-arusfs letter In which appraisal OF the
Southern building was made. The argu-
nent was over who first suggested con-
,ressional investigation; also as to the re-
appraisal of the building property.
would you open the books OF the COM
,any simply to reappraise property"
Certainly"
Mr.. Douglas produced letter written
1y Robert ]. Wynne, president OF one OF
he insurance companies. The trend Of
he letter was to show that criticisms
rad been made against the companies by
-alous agents of other companies and
y what is known as the real estate
ng" Mr. Douglas wanted to know II
ON issioner Johnston had seen that
otter before he took action IN the in
surance matter. The letter referred to
he insurance troubles here "whis-
oered slander" and of f1imsy character.
The letter also begged that no publicity
De given. as ii would be detrimental to
;he companies, in just the manner that
4 bank would be hurt by such an inves-
tigation.
Had Not Seen Wynne's Letter.
Commissioner Johnston said he had not
ieen the letter.
Mr.. Douglas produced other letters. One
vas addressed to Supt Ingham, requesting
hat he delay making an investigation of
he Commercial Fire Insurance Company,
because Of an examination made only a
month previous and because all employees
we're hard at work getting up the annual
'eport. A similar letter was read from
he First National Fire Insurance Com
,any. missioner Johnston said he
aad seen one Of them.
Ignorant Of "Real Estate Ring"
Representative George took up the
real estate ring letter, and asked what