Evening star. [volume] (Washington, D.C.) 1854-1972, 1890-09-27

vafleties OF trusts ana claims. strong, rich,
brainy, and. ~ o matter Of course, audacious
and unscrupulous--for who ever knew Of cor
poration having scruple where it was carrying
on some interest OR claim of its own? Gentle
men. my opposition to this bill is because be-
heve it to be the beginning Of class Of ma
rouai legislation the most dangerous OF
any concerning corporations that has ever
been proposed. sincerely believe il this bill
becomes law that thirty years from this time
there will be more corruption in American
canfnstitutions in Washington than ever, and
it will become stencil in the nostrils of the
community. That is why 1 oppose the bill.
IL was brought out by Mr.. Grout that the
charter OF the companies was limited to fifty
years.
Mr.. Grosvenor followed in opposition.
MR.. uEMpHILL's REMARKS.
Mr.. Hemphill said he had been surprised by
| the criticisms passed on the bill. 1t
simply followed out the laws of more
than one-hali of the states. The
time had gone by, he said. when
large estates could be handled by an executor.
In reply to question as to why this was SO,
Mr.. Hempbill said:
For the reason that he cannot give the Sc
curity that is required to administer upon a
large estate amounting to million or two mil
lion dollars. There have been instances in
this District and in several of the states of this
Union where gentlemen of large possessions
point some of these corporations their execu-
tor or trustees to administer upon their es-
tates."
Continuing. he said: ''The matter is abso-
lutely under the control of this statute as it
| stands today. and this bill simply provides that
If the widow. or the children, or the creditors
do not como i'll and administer, then the court
may appoint one Of these corporations TO act as
administrator. But 1t will DC observed that the
court cannot appoint the corporation admins
m ~ -. H.
who have now under the law the right to adj
minister refuse 10 do or are unable to do
SO. therefore it Is simply making an addition
OF another person who will have the right to
administer when the necessity arises.
Now something has been said about this be-
ing great monopoly. The bill, which was
read III the presence of the House. provides
that any twenty-five persons anywhere in this
District shall have the right to form a corpora
ton OF this character; and there cannot be
ganlzing companies of this character Is
thus extended impartially to all per-
sons. 1t is provided that any corpora
ton, when organized, shall deposit one-fOurth
OF the amount OF its capital with the controller
OF the currency as security for the faithful
execution OF tho trusts committed to it, In
addition to that. the capital stock OF the
company Is absolutely liable for any
default whatever. If the assets of an
estate are stolen the company must make up
the robbery may have occurred. If the COM
pany has in its charge property which is
burned up it mus: refund the value, no matter
whether the fire occurs by the negligence of
the company or not In addition this the
stockholders are liable in an amount equal
to the capital which they pay into the
company, 30 that each stakeholder il re-
sponSible not only for the money he puts into
the corporation, but for 100 per cent besides
1t is also provided that there shall be constant
supervision of these corporations; the court at
any time it sees fit may call upon them for ad-
dltional security.
Mr.. Buchanan (N.J. offered his amendment,
which was agreed to, combining the companies
to the District.
Mr.. Grosvenor offered an amendment MAX
ing the minimum capital stock s25000O in
stead Of $1,000, COO. The amendme mt was re-
jected.
MIR. GRosvENoR's AMENDMENT.
Mr.. Grosvenor offered the following amend
ment, which was agreed to:
Provided. That the courts Of the District of
Columbia shall not have power to appoint any
trustee, trustees, guardians, receivers or other
trustees OF a fund or property located outside
OF the District of Columbia or belonging to .
corporation or person having a legal residence
or location outside of said District.
The bill was then Rpssed-ayes 81, noes 81