The Monitor. [volume] (Woodstown, N.J.) 1884-1892, 1891-02-20
DOUBTFUL ..BENEFIeIaLuscH

leeting small amounts and promising TO
pay 300 per cent. in ninety days or less.
Letters are pouring in on him from every
part Of the State and from nearly every
other State in the Union, asking about the
legal standing of certain concerns which
are doing business under the State law
and making extravagant offers.
The companies that are under fire are
"The Earnest Workers, . ''The Order Of
the World, - ''The Universal Order of &C.
operation" 'sThe Advance Beneficial, -
and others too numerous to designate by
title. In the opinion of the Secretary of
State, these associations are liable for the
violation of the insurance law, because
they are doing an endowment insurance
business without having the requisite
amount Of capital or filing the required
statements. There are upward of 20, 900
people in New Jersey who are investing in
these basty endowm ent schemes, the num-
Der having doubled within the last four
months because of the multiplication OF
these scc;eties. Over 500. 900 is weekly
taken cut of the State by them.
The Order of the World is a Boston
concern. which has recently gained a foot
hold principally in Jersey City and New
ark. Charles F. Thompson, of Boston,
is supreme secretary. The order is cir
c~ulating much Literature, and copies of all
its circulars and documents have been
secured by the Secretary, and are on file.
1t has several insurance schemes, and q
graduated endow ment. The plan is seven
years. The sum of $3.50, it is promised,
will yield 81, 600, while lesser investments
Will prove profitable in proportion. This
company is dong a big business all over
the country, but its plan being clearly that
of endowment insurance is not legal in
New Jersey.
Letters Of inquiry are flowing in from
the west asking for the standing of the
Universal Order Of Cooperation" which
is incorporated under the laws of New
Jersey, with the principal business Office
IN Camden and suh-ofices in Philadelphia.
There is an operating agent in every county
in this State. A weekly assessment of 81
for seventeen weeks, and some other as
sessments amounting in all to $50 are said
TO insure four months from the date of
taking of certificate tire payment of 400
by the order. To secure the benefits the
applicant must become a persistent
member. That is, pay dues regularly and
rot grow weary in paying. Each member
is pledged to bring into the society two
new members, or else he forfeits Gel
rights. This order has created much ex-
element in all parts Of the State, and its
membership is probably 5000 by this time.
The beneficial order of Earnest Work
ers'' in another Philadelphia concern
whose chief field of operation is New Jer-
sey. l. has members in every city and
borough in the State. 1t promises to pay
800 for S36 in thirteen weeks. It holds
out even better Inducements, because for
every new member brought into the fold
it allows s., or the deduction of one weeks
assessment Of %. The supreme officers
are five Philadelphians. Two brothers
hold five Offices. One A. H. Harris is
president and manager, as well as director.
This order has a membership of 200 in
Trenton, 100 in Burlington and $50 in
Salem, with fl Furnishing branches in Prince
ton, Newark, Elizabeth and New Bruins
wick.
The Advance Beneficial Order IS also
working New Jersey. A check has been
put On their business BY several exposures.
Within the past month a new scheme
has been concocted, in which the endew-
ment is made payable in thirty days. For
SIT paid in assessments and tax, the sum
of $50 is to be paid at the end of each
month.
The Secretary Of State was asked what
action the State proposes to take to put a
STOP to these fraudulent concerns.
'sThese people are violating the law"
was his emphatic answer, land I, as the
Bank and Insurance Commi ssioner of the
State, stand ready to prosecute their
officers and agents. 1t is not my duty to
become a detective and secure evidence.
Let any one make a formal complaint, see
how quick | will issue a capias for arrests.
I have so informed all the parties that
write here for information. | have decided
long ago that neither the Iron Hall, the
S~exenhisl Leagues nor any of the later day
schemes have a right TO do business here.
l am not without ample law to justify this
decision, but l must have some one to
complain that the law is being violated.
THE claim is set up that these are secret
and beneficial orders, but they are really
doing an endowment insurance business
without capital, and are securing money
by false p~retences. They make people be-
lieve that they thrive on the profits OF the
lapses. That may be possible in the long
term concerns. but not so in three-month
orders. People 60 in them well prepared
to pay the small amount demanded, and
no doubt the first series of payments will
be made. They can, however, for a time
make assessments ON new investors sufi-
cient to make up the lacking 300 per cent.
Later on it will be found if the concerns con-
tiuue in business that ssessmentsw will come
frequently and collections will be made
almost to the mou OF the endowment