Bridgeton pioneer., 1891-02-12
AFTER BENEFICIAL ORDERS.
ARE THEY VIOLATING NEW
JERSEY LAWS:
Sscretary of the state Kelsey says
They can do No Business
Here.

They can do No Business
Here.
A special despatch from Trenton, to
the Philadelphia Press of Saturday,
says:
1.-THE Secretary of State, Henry G.
Kelsey. has announced that he regards
the Earnest Workers." the ''Univer-
sal Order of Cooperation, and the
Advance Beneficial Order" as violat
ing the laws of New Jersey, and he
will proceed against the officers and
agents as soon as someone will make
complaint. These orders are doing a
dreds of thousands of dollars are being
carried away by them.
The Universal Order of Co. cooperation
gives $100 for every $50 in seventeen
weeks. It is Incorporated under the
avs of New Jersey, has an office in
Camden, but the principal Office
is in Philadelphia. The Earnest
Workers has membership of 5000
alone, and they propose to give
$l00 for $36 in thirteen weeks. There
are number of others operating in
the State, and it is estimated that 49,
600 people are interested in these hasty
endowment schemes.
COMPLAINTS OF THE COMPANIES.
Letters are pouring in for the Secre
tary of State from the West, asking
about the standing of the Universe
Order of Cooperation" and the Secre-
tary is kept busy making the state
ment that he knows nothing about
their financial status, but that they
have no right to do business in New
Jersey. The same company has flooded
South Jersey with certificates, and
Assemblyman Eugene G. Cole, of Cape
May. has called the attention of the
Secretary of State to its methods.
The Earnest Workers has gained a
strong following in Trenton, Burling-
ton, Bordentown, Camden, Woodbury.
and Salem. The principal office is at
Thirteenth and Filbers streets, Phila-
delphia, and five men monopolize all
the supreme Offices.
Secretary Kelsey was interviewed on
the subject and he stated that these
organizations cannot do a legal busi-
ness In this State. THE law applies to
the Iron Hall, the Sexennial League,
the Earnest Workers, and others of
like character. They have the appear
ance of being beneficial and social or
.,auizations, while really they are do
ing an insurance business on the en-
dowment plan. These three-month
sahemes suggest that there is going to
be fraud committed sooner orlater. 1t
is given out by these agents that they
make up the 300 per cent. which the
premium yields by lapses. Few inves-
tigate for enough to see that they can
make assessments as often as they care
to. After one or two series are paid
off, then the others will be assessed to
almost within q few dollars of the
amount that they expect to get, and
this will cause many to drop out and
there will be enough money to make
the few officers rich. l am sorry to
say that New Jersey is full of these
schemes. If any one will make COM
plant and furnish me the evidence, l
will proceed against them, but l do
not think that am required to go out
as detective and gather this informa'
ton. l now act as the Commissioner
OF Banks and Insurance and in that
capacity ce-a move against these con-
Germs and arrest all who are connected
with the schemes.
How THE LAW IS VIOLATED
The law of New Jersey requires all
companies, or corporations, or associ-
ations, doing an insurance business
here of any kind, to file certificate and
deposit with the Comptroller $4,000
worth of securities. None of these
concerns are doing this. We demand
that there must be sufficient funds to
cover the endowments Of insurance
companies. These cooperative con-
Germs have no funds and have no re-
sponsibility. Therefore, they are
violating an important state law. l
can cause their arrest by cdpias and
or every single certificate they issue,
If convicted they must pay fine of
$500 and all costs Of the suit and stand
| "a ;oG
fine and costs are paid. We will short
ly have in this state distinct branch
OF Insurance and banks. The bill is
now pending and there will be COM
missioner appointed by the Governor
to attend to these matters. The Gov.
ernor will no doubt instruct him to
drive these concerns from the State.
Ii he goes to work right he can bring
their cAraar to an ohrupt end and If