The Madison daily leader. [volume] (Madison, S.D.) 1890-current, 1897-07-22

10
der a law passed by the last Legislature
has unearthed some dirty work in the
former insurance department ofthe state
auditors Office. Cold, calculating rob.
berry seems to have been practiced open
ly by the commissioner, G. H. Anderson,
and whether ex..Auditor Nipple shared
in the proceeds has not yet developed
the investigation not having gone fal
enough. Enormous eXactions for fees
in examining insurance companies APP
pears to have been nracticed by the com
charged as high as $l1131O for a few
days work. The total eXactious in this
line SO far discovered by the investiga.
ting committee is over $4,000. The re-
pubilcans generally have insisted that
the appropriation made to pay this COM
mittee was unconstitut,onally passed by
the legislature and they have made tAis
pretext for treating the committee as if
it were an intruder Illegally constituted.
Some of the state officials we are happy
to say are above taking this vlew, but
others appear so narrowly partisan that
1t is doubtful if their refusal to permit
the committee to investigate their re-
cords will not throw more suspicion
upon their honesty than Their intelll.
gence. Whether an investigating com.
mittee is appointed by the state, is
raised by its fellow citl zens or is even
self appointed, should matter not to
a public official. His books should be
open to public inspection at all times,
such inspection even from his enemies.
But as appears in an interview with Mr..
ID. J. Conway, chairman Of the state in.
v%estlgatlng committee. given IN the
Sioux Falls Press Of the Dist, such
seems not to have been the case with all
of our state officials. Mr. Conway in
part SAYS: 1.-The committee met al
Pierre on last Wednesday for the pur-
pose of Investigating the state offices.
We called OF Secretary of State Roddle,
VINO received us pleasantly and said the
records of tie state department were
open for the fullest examination. He as
signed us a room and extended to US all
the courtesies possible. We next called
on State Treasurer Kirk G. Phillips,
who evidently had no fear of any devel
opments that might be made in an eS
animation OF his office. He said the re
cords were open to the committee and
be would be glad TO have them investi-
gated as much as they liked and told
them to make themselves at home in his
office. They then visited the office Of
the new insurance commissioner. Mr..
kipp turned the books Of the office over
to them and it was there things became
interesting. In examining the records
of the office while it was a department
Of the auditors office they found a ser
les Of charges of from 81 to SIG made for
the publication of insurance statements.
We find 10 authority of law for such
charges being made.
''Mr. G. H. anderson, late insurance
examiner and now connected with the
auditors office, was asked to explain
why the charges were made. He said
he refused to recognize the committees
authority To ask questions, out in an In
formal way stated that the charges
S,+ora m .ia III mont ~ lcrai anfhnrt<v
He said it entalled some work and lie
thought the companies sould pay for it.
He was asked if the state was not pay
ing him at the same time for his work.
He answered in the affirmative but excus-
ed himself ia the ground that 1t did not
cost the state any thing.
While the law distinctly provides that
he may charge for expenses not to ex-
ceed SO a day Anderson admitted that
he had made a business of charging
from $40 to s25 a day as fees aud such
expenses as he might see hit.
Later | talked with Mr.. Anderson
personally and asked him why it was
that he has charged fees and expenses
so different in amounts. He was asked
why some Of the fees for New York and
England companies we're $50 while
other companies a thousand miles near
err has been charged sums ranging up to
as high as s1,773.1O for a single examina-
ton. He denied that he had charged
any company as little as s25 and said
if any company had reported that it had
only paid s2o it was a mistake, it was fol
something else. That gave me q new
lead. l wondered what new scheme hao
been found to bleed the insurance COM
panies and asked Anderson to what be
referred when he sad the charges were
for something else. Anderson refused
to answer, saying he would tell when re
CURED to do so by a properly constitut
ed Investigating committee"
M. Conway further stated that the
auditor and the commissioner of public
lo,,lc bol raf,cal 70 ollor mn ovor,po