, 1881-11-19
ILLEGAL INSURANCE,
The Auditor After Some Offend
ing Chicago Agents.
Tho Companies They Represented and
Penalties They Are Sub.
iect To.

1lo companies They Represented and
Penalties They Are Sub.
ject To.
Yesterday afternoon suit wns begun Ia tho
nhtno Ut the rcopo by Str. F.. Il. Sherman, rep
fesenttng AttoFhcy-Gcncral Mccartney nud
stntc-Attlltor swIRert. In an nclon OF debt
nRa'nst y. isush Harris. Ootnrius flnrcct md
oehfRe a. Johson. to recover penalties for ylo-
lasion Of tho Htato Itlauranco Inv. Thcro uro
nins cases Of violation agaEnat Harris, flyo
nxntnat Pierce. and three against johnson.
Ihefo arc four counts in eaoh charge, and tho
Attorncy.GenorAt sues 10 collect from tho DO.
foiidanta tho tutAl sum Of $4,000.
TIT; butt IS 1RouHtrr
under tho provisions Of tho twenly. second scc-
t'on OF tho insurance law, which reads az fol-
lows:
C1Mrr.fASch WITH Tmrs ACT cTNEcEasAuY,-Nor
nhhl It ho lawful for any agent or agents to act
t. S sscianp sHinpaay testv o1 ,SieTe e II
rjsks Or trnsactins te Isless u re ~ r ina
nnygaton insuranco IL this Sate without pro-
eerttticnts Of authority atasinK that such con-.
m mpany has cnInPlicd Win NIL tho rcousttions IT
a, 1n's nct whch Apply 70 such comranlcs, at,t tho
oo,nsnnv Nv 'o attorney appointed to act for tho
rsyxiry:-Any violation of tho PROVISIONS of
sauo TO penalty Of s5oo for eas @ yioIasoms erd .
9f tbs additional sum OF el0o for eaoh n.ontG
III Tx, wmGn t'n any snsh aren't shall neglect to
| required. s'
| IN ORDER TO OBTAIN TIE FACTS
p tho case, which waro not disclosed In tho pre-.
called Upon M Sherman at s oco IN ~ TepGtsr ;aS.
~ W. @ lnstrnetcd,". said ,ir. Sherman, "by
tne suits nKalnst Hnrfts I'lurcc, nndfJohnson for
aoaS ;nS an nSnrce nc business contrary 10 tho
:. ~ WHAT way WaB thu law yfD1ated7r
uh,a.. .ney ~ "luls poacies Tor several companies
thls atate, and collected tho premium tluru-
".vI "wh%t compsqtes did they represent in their
-. "we ~, tave evidence TINT Harris wrote policles
STANDARD Of }ianliito o.t., Louioa 4 HiatPara. mu
shtro Of England. und tho .Atlas Of Hartford.
1nens OF New Crleans. mud Atlas OF Hartford.
E q o1ssa s' aas At'1 e
~" "what oihor facss aro thors connected With
"Nothtns, Of any Importance. somo months
ago the Auditor leurncd that
a GREAT DEAF. OF ILLEGAL INSURANCE
wns being placed IN this city, and be ordered an
Investigation. Tho cases mentioned wcro
been fully dovalopch." @'~'
t"! naxS 6een tntered TINT fuy 1000 Of
this city. roprescntlng ::*::5O,lUU In pTcnliums.
From !'hat you haro learned OF tho Auditor's
1ny.ast9aatlons' do you resaE the figures
mo. shoula not"
Roo Rat 1S,S 9uso
"Ait tho!r business dons Ia Chlcago cscapes
tn1ation for State. county, and city purposes.
no. Incorporated under tho laws Of tIis .ta;c@
dolnR business In this city nro taxed . per cent
~ nSs ts nS sTTsaxs whqa tax they
for not doing SO is a tlno Of $l,Ux3 or Inprison,
inent for six months. or both: in lssV tho tax
premiums amounted to s2,,od5, % snowiaR tr1hsS tnae
The H. MT business aERreeated Sl.lGlGN |
only obliged to pay this per cent tax, bus, IN IN
auaaon' tn'1' taoy ~ uss report every Mny tholr nct
fss S e nn3
stato. COUNTY, town, and municipal, to which
other personn! property ts subject. The ritai
Mt income, Thou. In addtion to tho special
otty ta1 hnd tho regular taxatton, the compa-
n'es uolnE business according to law
VOLUNTARILY CoST1t1nuTE Sa7,OOO
towards sustaining tho frc.patrol for the beng
III OF both the compantea aud tho public
hera on tho quiet escape ali those taxes and
% not contribute QUO cent to the public reyo.
,le,; r." Tnie is whoro shey net ID injury on
fns eompantes nan, mononod Us dong IN Illegal
"sfy Information ts not accurate, Thcro Ia
no 1nsurnnce department in Louisiana or Coto-
n,,ty toGro M is ~ slatp supervlson and conso
p1n'cs themselsea SEQ lit to Rlve out"
WHAT @ ABOUT THE CANADA COMPANIES e'
,"They are very ANAL concerns anu cotiid not
The e.; Ganada Fire and Murine, u Hamilton. his
bNaaces Tho iaGties a9o o1 si afs go eksnts 1r rs
I tho p0!lcyhol,isrs nra concerned the complny Is
SsfsS S r eEss Tss s,sasa ss' as sapH e ass
sS'fS ao,ies, is e:sa sal sa?'ts, 81:
e. t5 TGo Atas of rurti has stees19ts eapItal
ot *l1io Thu aesots are siSs0l0: liabilities,
"lt the companies bo solvent and unwsltfnr In
pay% % how eau nnything 1v COLLECTED FROM taotif!'
l.. They hayo 10 attorney hero to accept sorv-
Now Orleans. uenvGr, or Hartford.
"Do tho people who patronIze these follows
"1 ,mSniEn ,uSmEi'sTnSD IA TIL TIE ,slTuATloN%'
auonE tho snal! manufacturers and people of
s,na!! mcans' who know nothing OF tho Insurance
" Then they got 20 tsst-class mercantile or
mo: for tho roason Tint tho merchants aua
buy Insurance. As thoy buy any
tn!tE @ csc, and thoy know usaotly whit ttioy are
those w,ideattng tG assneas s ei'' 10 te'o'esff0"
an ok iho onlnlnt ttat when tho .agcnt
snows t W. h9 ~ to aoing m cga' nsnoss and does
ind tho premium tnay bo recovered from hm
sssenaly s TX t2 fssa
loltcy wins vold.' '~s"'
"GSn ia .9o no!aer seeoyor On tho pol!oy2
,assctl directly on this question. Ths court viii
,,t ,t f'a SthoT hIn nsFty y void
loIs will hold tho company cstopned tr1n p,cu,i.
~ q IN that the policy Was void. What tho coArta