, 1872-11-24

! required to pay ut the time they received the
dividend Or the premiums would be deducted
from it. The dividend warrants would be pre-
pared by the Assignee and counteraigned by tht
Register, and ready for delivery in about four
teen days. He would send notice TO eacl
| creditor.
Mr.. Kimball eaid a fair proportion Of tht
clainaa before the Assignee were among the poo]
peo;,le who failed to make proof, through ip.
lorarce and who could npt wait for a secon3
dividend. Vas there no"way Of giving them
their money?
| The Register did not see how it con,d ba
done, conformably to the law.
Governor Bross then addressed the meeting as
follows:
REMARKS OF aovERxoR BBoss.
o,e1 GEsx; Tns1.x:a As President Of the Mutual Sc
srca. fire. feel it to bo my duty, with the per
| mission of this honorable Court to give ta ifa
pol!oy~holders d brief history of the COMPANY.
| and to state the reasons why.the dividend made
To-Day to % It's creditors is not instead Of 7per
cent. That reason is found in the fact that
Hon. J. Young scammon, the Treasurer of the
Company, has. IN his hands, some $40, 900 Of ita
| funds, collected in small sums from tie policy
| holders against which he claims the right to
otfs2e tue policies ho holds in common with 9th
| e-s; thereby securing to himself some G6 per
| cent while the other creditors cannot
hope to receive more thau 12. or, at most i5 per
cent. This matter is now before the United
States Court Tor adjustment, and whether
'hl1L IREa6UHfIH ECAGMON
| succeeds Or not, BY a legal fiction or duibb1o.
| based on the arts Of the thimble-rigging" Jug
gler, as as to whether 1lr. Scamuon, as
| Treasurer, can sustain the claim of
| 66 per cent for sfr. scammon as
an lndlylaua bis attempt to do go shows most
this matter With the greatest concern and sor-
row. had known him as q neighbor. and, as
| thought, friend, for nearly quarter Of ccn-
tury. Our associations, socially and politically,
man OF great wealth and the Highest
culture. no man among us seemed
to ne to have q more commanding influence
upon tue Development and the welfare Of our
city and OF the entire Northwest. / have been
On Officer ca With ta him. and am now IL our Histor-
lis h1s5s post|5n as as '@ reaon2s9 ao5ssa
OF this Company now to remember, provided he
had the keeping Of their funds. I may be par
the very greatest reluctance, have been forced
to the conclusion that 1Ir. Scammou is seeking
MEASLY AND DISHONESTY
to appropriate to his own losses the money which,
rs believe he now holds as Trustee
fer the policy-holders Of this Company. Surely
he is morally bound, by tho construction which
the other officers OF the Company and the COM
munity put upon his Official position az Treas-
urer. and not BY any mere legal assumption
which be may choose to advance IN his own be-
half. In this matter Mr. Scammon may deceive
himself, but
lie CAN DECEIVE NO ONE ELSE.
its organization IN 1864 and at the time Of the
fre was its President, and, with the exception
Of Mr. Scam1non, it's largest stock-
holder, 7 beg. leave to group
together few facts IL relation to ita history.
Mr. scanmon had obtained the charter for the Mu-
tua1 Security Insurance Company some years be-
fore 1861 and in the spring or summer Of that year
he invited s number Of our citizens to take
stock in it: The Firoman'a, up to that time,
with only Per cent OF its capital pnid in, had
repeat it. The Company was duly organized;
took rooms in Mr.. Scamnon's building. and the
capital paid in, $40, ,000, vas placed on deposit |
with Mr. scam1non as private banker. In or
ded as special aI3 3sv0T ,s as it Sz thon claimed
he paid 10 per cent for the use Of the money.
As he had organized the Company he Was a. |
lowed to put in 4
HIS SPECIAL FAyoRETEs Is ITS OFFICERS.
and it VAS managed with more or less eff
cheney and success but principally the want OF |
them, until 1868 or 1859, when the Company had |
sunk about all its paid up capital, and an effort
was made to wind It up. # mistake not some |
80 ZOO Or ga, GOO bud been paid to Mz. scanmon
eistedl the winding up policy, and an assessment
Vas made On the stock notes. To savo the
Company from being wound up by the Auditor,
Mr.. Scammon took these assessments, and !
turned oFer to the Company sundry securit1eg,
DAN H. BoWMAB,
8 young, energetic, and excellent insurance man.
ager, was elected Secretary. I Was elected
President in 1868. The company, under Mr.
Bowmars management, began 70 do 9 prosper
GUS business. These assessments and the busi-
ness made the paid up capitd $118,325, with q
sufficient reserve for reinsurance, and largo I
balance in stock notes.
MUCH CONTROL
Of this Company. In 1878 he introduced
goung man into society as the son Of wealthy
nams 1na Of Braastraet. m 'fiGn M2 stsmnon' ssz tns
It is said. gave him position in the Oakwood
Cemetery, where he defaulted for aome amount,
non put lin into the ofaca Of The Mutua1 t S seca-
ity Insurance Company, and before Mr. Officer,
zen managing. tho Company, discovered the
populations Of this pet Of Mr. bcammon,
HE HAD STOLEN SOME 1000.
NJ. Sca1nrnon refused to have him arrested. |
,or has he ever found it convenient to pay the
money. The office Of the Company was kept in |
III. Scaro1non's bank building till IT.
January, 1871, when the Directors :
'oted to remove to No: ~ L. ssl1e lie street-a
ent, instead Of 91,800 to Mr.. Scammon; OF
curse to bis great disgust and against his most
arnes! protest. I
In 1870 Alr. bcam1non YRS elected Treasurer OF
ho Company, and again in 1871. In all the ad-
ertisments and in all the cards Of the Company | :
o was named as the Treasurer. Il, with
THE LOW CUNNING oF 4 sHARpEE.
nder the technicalties Of the law he had for {
ears been roping in his friends to
ornish . capital, and the community
. pay premiums on policies that, the money I
eng deposited with him, he might grab it ali, I
nd indemnify himself for personal loss. it does {
een to me that in accepting the trusteeEhip
I those funds as Treasurer, all his supposed i
[ght Of offsets was waived and DESTROYED. True, {
q vas permitted to have his name used on
hecks drawn by the Company Oh him without ]
le word Treasurer affixed but the excuse he ,
ave for this was that it would not look veil for
i'm as Treasurer to appear to pay interest at 10 /
er cent and his bank could not pay it, for it {
ould appear from that that they were hard {
p. I beg to assure you that this is the true :
aason for the omission Of the word "Treas- |
rer;" for, had the Directors and officers Of the !
o1npany supposed for s moment that there was 7
le remotest possibility tha. 1lr. scammon could
any great calamity
GRAB THE ENTIRE MONEYS !
Ills hands as Treasurer and apply them as an | t
lset on his Own policies, and thus swindle the t
Their creditors out Of their just dues, he never !
ould have had the opportunity to do it. True, !
clalrns and believe come Of the first officers I