The Indianapolis journal. [volume] (Indianapolis [Ind.]) 1867-1904, 1897-09-05
NOT MEANT TO BE PAID
PREMIUM NOTES GIVEN BY FOUN-
DERs OF AN INSURANCE COMPANY.
Charges Made Against the Interstate
Assurance Concern of This
Cfty-Denied by 1t.

manded that the auditor of state investi-
gate the methods of the Interstate Life In
surance Company. This company was or
ganized under the law of 1865 requiring $780,
900 in bona fide premium notes. The COM
pany showed premium notes as follows:
William Palmer, Columbus, o. $1l,9S4; w.
c. Doubleday. Columbus, o., $685. w. II.
Holdeman, Goshen, Ind, $9,616; w. H. Nus
baum, Auburn, -; William Bosom, In
dianapolis, $3.50; e. j. Robson, lndianap-
oils, 81, us; w ]. Carter, indianapolis, $9,Ol9;
II. r. Stauffer Nappanee, Ind, $780, 0. Il.
Hubbell, Goshen $6,62e; j. K. Pollard, Co
oils. $71sS; Ernest ". spicer $3.50; J. f.
Slater, ,270: I: M. Bosom, indianapolis,
$LlSS; n; l.: Doubleday, Columbus, o., $6,2SS;
total 100000.
These were nearly all from officers of the
company, as shown by the following list of
officers: President, Willis Palmer; secre-
tary, William Bosom; directors, j. K. Pol
lard o. q. Hubbell, William Bosom, II. r.
Stauffer. William Fl. Holdeman, w. j. Car
ter, William Doubleday, E. J. Robson, w.
H. Nusbaum, Willis Palmer and r. G.
Light.
Now the following form Of agreement,
dated June 1, has been shown to the auditor
of state as having been entered into by the
makers of the premium notes:
Private Agreement - Entered into this
day between each and every one of the I'M
derSigned which agreement is to facil1-
tate and complete the organization of the
interstate Life Assurance Company. we
mutually agree to take out, each for him.
self, a policy of $4,000 in said Interstate
Life Assurance Company, and for which,
each and every of us, the undersigned,
do agree to give a stock note or premium
note for an amount equal to twenty annual
premiums for said amount or insurance,
computed upon the rates for such policies
as charged by the company, at our several
ages. 1t is further agreed, each with the
| a a hnTCf a aG INK iG
by acknowledged, that, whereas we are sew
orally and mutually interested in the sue
srowth I we seree That dno each and eVerv
of the installments of the said premium
notes, when the same shall fall due by
reason or maturity, the payment as stlpu-
lated in the condition of said note. With
each and every said installment, as they
shall fall due from year to year, to be re-
sideration of the payment of the net NOR
tality experienced by the company during
the preceding year, and that the difference
between the sum total of the instalments
due, under the condition of said note, and
the actual amount which is to be paid in
the terms of this private agreement snall
be declared to be dividend earnings, and so
receipted, said receipts to declare said in
stallments to be paid in full and duly signed
by the president and secretary of the COM
pany. That in case of death of either of us
the company shall deduct from the
amount of the policy the sum total of the
difference between what we have actually
paid on mortality call and the expense load
ing WHICH during , our lives s ISL Is her 1s64
willis Palmer, William H. Holdeman,
William ]. Carter, j. K. Pollard, r: 9.
H Hgh E n stausp Rrnest W. sper I'd
J. Robson, ], II. Slater, William c. Double
day, M l.. Doubleday.
Willis Palmer, president of the company,
| yesterday denied that any such agreement
had ever been entered into. The only agree
ment they had he declared. was that on
en-
| Il. This note is made payable annually
| in twenty installEents of Dollars
| ($.). to meet annual assessments on a
policy of insurance to be issued by said
| company upon the life of said payer.
| The application for said insurance policy is
| hereto attached
at any time to meet any loss or expense
| which may arise by reason OF any risk
| or risks of insurance upon the company
books. But said liability does not carry
| further than specifically stipulated in said
| policies OF insurance.
| payer, his heirs, assigns and successors are
members of said company, to share all
! profits, participate in its management, to
| have and to hold said membership, and to
! have one vote at all annual meetings of
| said company, either in person or by writ
| ten proxy. Said rights and privileges to be
a. That in case Of death of the said pay
! err the company may figure the balance due
| on his note and discount the same upon
| such terms and conditions as the board of
| control may adopt at the time, and sub
| tract the same from the amount of the
| policy, and place the same, so subtracted
| to the credit of this note; provided always.
| that said amount does not exceed one full
| annual installment hereon.
| '5. 1t is further provided that the rights
| and privileges given in this note shall not
be annulled VOided after the said twenty
| installments, or settlements otherwise, shall
have been paid All other conditions and
obligations entailing perpetually upon the
heirs, assigns or successors of said payer
Since the company opened its books on
June 10, it has written $1,25O,OOO of insur-