| Show I INVESTIGATORS MAKE E REPORT New York Legislative Committee Com-mittee Roasts the Big Insurance Companies Legislation Suggested and Enactment of Laws Recommended to Control Operations of Companies and Curb Officials New York Tho committee appointed ap-pointed at the last session of the Now York legislature to Investigate life Insurance In-surance made Its report Thursday The report Is extremely voluminous extending to 319 printed pages It embraces em-braces a long review of tho testimony taken by the committee and Its recommendations rec-ommendations and conclusions ns to I remedial legislation In addition I there Is a chapter devoted to tho stato Insurance department > In which the committee declares It would seem tho superintendent of the department has had ample power to ascertain tho transactions of Insurance companies but tho supervision by tho department has not proved a sufficient protection against extravagance and maladmin Istratlon Instances aro given of reports re-ports made on the affairs of tho Mu ptual tual Life Insurance company the Now York Life and the Equitable Life Assurance As-surance society In which nothing was brought out to show the conditions developed de-veloped In the testimony given before the committee No substantial amplification ampli-fication of tho powers of tho lopart ment seems necessary according to the committee which holds that most of tho ovlls which have been disclosed dis-closed would have been Impossible had there been a vigorous performance perform-ance of tho duties already laid upon tho insurance department Tho remedial legislation recommended recom-mended by tho committee provides for the safeguarding of the rights ol policy holders In mutual companies in the election of directors recommends that stock companies bo given authority au-thority to retire their stock and be como mutual companies in tho election of directors recommends that stock companies be given authority to retire re-tire their stock and become mutual companies that such mutualization shall not bo compulsory A recommendation recom-mendation Is made limiting new business busi-ness to 150000000 a year Lobbying Is condemned the committee favors tho prohibition of contributions by Insurance In-surance companies for political purposes pur-poses The wisdom of economical management Is urged but the committee commit-tee does not deem It advisable that tho legislature should attempt to prescribe pre-scribe the expenditures of Insurance companies Further recommendations are made on tho valuation of policies surrender surren-der values surplus forms of policies and publicity of all facts pertaining to a companys business An amendment amend-ment to the penal code Is recommended recommend-ed to provide that tho person receiving receiv-ing a rebate should bo equally guilty with the one who gives It In Its detailed report of the Investigation Investi-gation the committee says the acts of the Mutual Life Insurance company should be thoroughly examined In order or-der that the extent to which moneys have been misapplied and tho responsibility respon-sibility for such may be shown and determined de-termined Con ernlng the Now York Like company com-pany the committee found that Its transactions with Andrew Hamilton showed extraordinary abuses and that thn stntemci < t pent from Paris by Hamilton was without suitable specifications speci-fications In taking up tho Equitable Life Assurance As-surance society tho committee tells of the dissensions last February which resulted In the reorganization of that society and In tho disclosures which brought about this grave Inquiry Tho syndicate operations of tho Equitable and James H Hyde and the relations between tho society and Kuhn Loeb Co as brought out In testimony before tho committee are referred to as Is the 50000000 Union Pacific pool under the management manage-ment of E H Harriman Jacob II Schiff and James Stillman Participation Participa-tion In this pool by tho Equitable tho committee holds was clearly an Improper Im-proper trnnsactlon for an Insuranco company |
