St. Paul daily globe. [volume] (Saint Paul, Minn.) 1884-1896, 1890-01-28
A STOCK SCHEME.
Builders Want Protection Against
the MANY Risks.

The report of the committee on Build
eIs' Surety company was next heard.
The committee had discovered that
several trust companies had already in
c0rporated the idea in their business;
that these companies required "back
bond'' and receive pay while taking no
risk. That new company is in pro-
gress of formation on a proper basis.
The promoters of the latter wanted the
support of the National Association of
Builders ere it could be made success.
The plan which the committee offers
and asks the association to adopt is as
follows:
The National association say to the
promoters of this enterprise: We will
aid and assist in the establishment and
operation of this company, will open up
the avenues which we control, and offer
every advantage which our connection
with many widely separated local asso-
Citations of builders affords, provided
the following general propositions are
asSented to as substantially the basis
upon which the company shall be organ
ganiZed and operated, these propositions
to be subject to notifications by the
committee in charge, said notifications
not to impair the general intent and
purpose erein and herein set forth.
First-The title of the company to
substantially cover the fact that It is a
builders national insurance, security
and guaranty company, and that it is
under the patronage of the National As
ISOLATION of Builders.
Second-Its stock to be limited to, say,
100000 shares, at par value of, say, 81
per share.
Third-These shares OF stock TO be is
sued only to members (either active or
honorary of bodies affiliated with the
National association. ana, if found prac-
ticable, to the said filial bodies them
selves, thus insuring holding composed
of contractors in the various building
trades or persons engaged in similar
pursuits.
Fourth-At least 100000 shares to be
held in trust to allt w for apportionment
as follows: Each filial body of the ma
tlonal association which maintains its
connection Herewith by payment of
the yearly dues required by that body,
to be allowed and apportioned on the
books of the company. stock at the rate
of five shares for each member of the
said filial body, as shown by their pay
ment of per capita assessment to the
national association, the same to be adj
justed annually.
This appOrtiOnment to be without
payment of the value of the stock by the
said filial bodies, but the certificates of
said stock to be held in trust for their
benefit.
Dividends accruing on the stock thus
apportioned to filial bodies, to he paid
over to them through the National
treasurer.
Fifth-Filial bodies in good standing,
which are so Incorporated as to permit
them to hold personal property, to be
permitted to purchase stock, if any be
available, in addition to that appor-
toned as aforementioned, limited
in extent TO an equal number of shares
to those so apportioned, upon condition
that said shares be nOn-transferable,a land
that upon failure to maintain their
standing in the National association,
they to relinquish the said shares to the
said company at a price not greater
than that paid for the same.
SiXth-The board of directors of the
company to always include the directors
of the national association named at
each annual convention by the filial
bodies, as their representative.
Seventh-The officers of the company
to always be members (present or past)
| of filial bodies Of the national assOcia-
ton.
Eighth-There to be a central depart
ment of the company for the general
| conduct of it's business under the direct
management of its president, general
secretary and treasurer; there to be also
| departments with definite territory and
| jurisdiction, each managed under the
| general laws and rules of the company.
through vice president as head Of the
| department..
Nine-In the arrangement of rates of
premium to parties applying for nsur-
| ance or bonds, an appreciate differ
| ence to be made in favor of those who
may be members of filial bodies.
Ten-The books and affairs of the
company to be open at any and all
times to the inspection of a regular
standing committee of the National as
ISOLATION appointed annually for that
| purpose.
The committee strongly recommended
the adoption of the proposed plan. Con-
| siderable discussion as to the advisable
ity or the reverse of any immediate
| action in the matter by the association
led to the postpOnement of the matter
until $3.50 p. m. this afternoon, when it
will be specially brought up.