The Black Hills union. [volume] (Rapid City, Pennington County, Dakota [S.D.]) 1889-1904, 1892-05-06
EUREKA! EUREKA!
The Rapid City Journal is Repub-
lican,

The Rapid City Journal is Repub-
lican.
1t is always a question as to what the Jour-
nal is officially. What it will be, no one
to know, but many out Of curiosity
rs to its present status, But there is
no longer need for doubt. The article on the
Hail Association which appeared in
Sundays issue settled the question. The
Journal is at present an advocate Of republic
an principles.
AS all republican papers are at present in
tersted in this Alliance Hail company, indie
papers may certainly be excused for
d~evoting some space to the subject. Let us
open by giving the following from l.. c.
S. D. Cooley, Secretary Alliance Hail
Association, Huron, South Dakota:
Dear Sir:-The first examination OF
your ASSOCIATION by the Insurance De-
partment OF this state was made by,
Hon. Joseph Frudenfeld. His report
reached this office April IA, 1892.
have given the report u careful eX-
animation and, am sorry to say, l find
it discloses Il condition Of affairs which
can not be justified.
The worst feature discussed is the
gross discrimination practiced in pay
! ment OF losses.
| Your policy holders should stand on
the same footing. Each should receive
his pro-rata Of the amounts collected
and applied to the payments OF losses;
no moreno less.
The examination discloses that the as
ISOLATION has, apparently, had a list OF
preferred creditors. Hundreds have
been overpaid and the o~verpayment
amounts, in the aggregate, to thousands
OF dollars, This overpaymcnt has been
made to q minority OF your policy-hold-
ers. Every dollar thus o%verpaid, has
been at the expense Of the majority.
Had the amount been equitdbly divid-
ed it would have increased the per cent
to all and one class would not have
prolitted at the expense of the other.
Justice demands that the overplus be
recovered and applied to increase the
per cent OF all payments OF all losses, in
an equal ratio, or, if that can not be
done, that the assets OF the Association
be converted into cash, the losses pro-
rated and each loser receive the SAM
per cent.
Until this injnstice Is righted no appli-
cation by the Alliance Hail Association
for a certificate of authority will be
considered by this Office.
Yours Respectfully,
l.. G. TAYLOR,
Auditor OF the state OF South Dakota.
The Ruralist explains:
In 1890, the losses OF the A. H. A.
were greater than the receipts and pry-
ments were pro-rated. In 1891 the d.
rectors thought that 1T would be only
fair to allow the premiums OF 1891 ON
the losses OF 1890. That is, 80 long as
the company was owing a man. they
should be willing to apply the new
no special arrangement or 'discrimina-
tlon," nor could it he classsd as ''pre
ferred creditors unless an auditor was
using his preferred political glasses:
The provision WAS q general one in 4
circular issued April -, 1881, as fol-
lows:
"Where members have losses and wish
to insure this season we will take their
insurance and apply the premium on the
amount due them on 1890 loss as far as
twill 60.
For example, if there is still $50 due a
member on his 1890 loss, we will take
his application for 100 acres without a
note, and apply the insurance on the
loss; if the assessment in the fall is less
than 25 cents an acre then only the
charged to the loss"
We kno" that many in this county were
allowed the amount of last years premium on
the balance due them on losses OF the year be-
fore. While this seemed but just it was il
regular as each years business is expected to
take care o fitself. 1t is certainly suspicious
that this Allinace company is held up while
others have failed in every respect to keep
their obligations. On this subject the
Ruralist says:
The knew and the auditor
should have known that he gave a GER
tifieate to the +. NJ. 2. A. in 1891 when
there had been discrimination. We
gated $777 who never received q dollar.
Thew both knew or should haye known
us the examiner was the secretary OF the
same company that in the losses of 1891
the greatest possible discrimination was
practiced, ana yet the auditor grants
his authority to them to transact bust
ness this year. In response to a letter
from Mr.. Cooley, we have a large num-
Der OF letters before us from which we
select the following:
(Copy.) My loss by hail was $1l5
and the F. M. P. A. paid the loss in full
in cash.
[Signed. JAMES BLOW,
Dell Rapids, S. D., April 8, 1892.
Copy spnARFlsH, S. d., April II, 'e2.
S. u. Cooley, Esq:
This received today. My claim against
the T. M P. A. was $500. They return
ed my note last December. That is all
I have received from them. If you want
this sworn to, return 1T and / will do SO.
X - y Yours truly,
(Signed) j.. E. Cook.