The Saint Paul globe. (St. Paul, Minn.) 1896-1905, 1897-01-22
MERCHANTS SALVAGE CORPS
WANTS TO BE REIMBURSED FOR
THE EXPENSE 1T HAS
INCURRED
TRYING TO GET IN WRONG FIELD.
Introduced by Potter, Referred to
POtter's Committee and Potter
an incorporates.

the provisions Of Senator Potter's bill
relating to the salvage corps moneys.
The bill follows the lines of the present
tribute the retadiatory taxes on insur-
ance commissioner to collect and dis
tribute the retatiatory taxes ON insur-
ance companies, but section says:
Wherever. in any city of this state having
a population of 5000 or more inhabitants
there has been formed a corporation or cor
poratlons for the purpose of equipping or
maintaining salvage corps or fire patrols, and
such corporation corporations have ex-
pended money or incurred liability in pur-
CHASING equipment or paying the expenses
OF equipping and maintaining salvage corps
and fire patrols in the city in which is located
the principal place of business Of such corpo-
ration or corporations, or if such corporation
or corporations have paid money to attorneys
or incurred liability to any attorney at
torneys for drawing their articles of ncorpo-
ration or for rendering any legal service for
them in connection with their business of
equipping and maintaining salvage corps and
dre patrols in such city or II such corpora
ton or corporations has expended or incurred
liability for any matter or thing in connection
with maintaining or settling the rights of such
corporation under the statutes of the state Of
Minnesota, then. for all such expenditures
or for all such liability incurred, such cor
poration shall be reimbursed In the following
manner, and by the means provided herein.
The remaining sections of the meas
ure provide then in detail for carry
ing into effect the essential provisions
of the second section. Section gives
the power to reimburse such COM
panies into the hands Of the state COM
missioner Of insurance and provides
that such corporations are entitled to
the benefits Of the act, irrespective of
the fact that officers or stockholders
may or may not have been engaged in
any other branch Of the insurance
Section four outlines the method by
hi OI fho
come within the provisions of the act.
1t provides for the filing of a sworn
statement of expenditures, a hearing
on the matter by the district court and
an order from such court for such sums
as the company may be shown to be
entitled, the order of the court to be
the voucher of the insurance commits
sioner or the sums paid
Section five provides the penalty for
any insurance company Of any other
state or nation doing business in Min
nesOtar which shall not on the demand
of the insurance commissioner pay any
moneys covered by the act. This pen
atty is a fine Of $25 for each day pay
ment is delayed, to be applied to the
benefit Of the corporations in question,
and further a suspension of the license
OF the offending company to do bust
ness in Minnesota during the time the
payment may be in default. Man
daumus proceedings against the COM
missioner to compel him to carry out
the provisions Of the act are also pro-
vided
In nutshell, this is bill introduced
for the sole purpose of having the state
reimburse the Merchants Salvage
corps Of Minneapolis for the expense it
has incurred in carrying on a splenetic
fight against the Minneapolis Under
writer's salvage corps. 1t asks the
state to give the Merchants Salvage
corps money which the supreme court
says it is not entitled to. The Mer-
chants Salvage corps took advantage
Of the loosely drawn bill which passed
the last session of the legislature to
enter a field which the law and custom
If every other city in the United States
have considered as belonging exclu-
sively to the insurance interests. When
defeated in the courts and outgener-
! allied in a final coup of reorganization
on the part of the underwriters, the
merchants now wants the state to pay
for the expense that that organization
incurred in causing the successful or
ganiZation the trouble it did.
The bill was introduced as hereto
fore mentioned by Senator Potter, of
Hennepin. It has been referred to a
committee of which Senator Potter
is a member. And it seeks to have the
state pay the expense of an OrganiZa-
ton of which Senator Potter was one
Of the incOrpOratOrs 1t is therefore
very much Senator Potter all through
For the benefit of the legislators who
will be asked to vote the salvage corps
| money to a corps without legal stand
ing, unless the bill is killed in the
committee, a brief history Of the Min
neapolis fight is given.
Two years ago general act was
passed providing for the establishment
Of salvage corps In cities of a GER
tain size, but it made no provision for
| their maintenance. On the general bill
was tackled on a section taxing inSur-
ance companies 2 per cent Of the
amount Of their business done in the
state for the maintenance Of the corps
The first payment under this law was
not due until January, 1885, but the
Minneapolis insurance men did not
wait until that time to organize
corps. The city needed a corps and
an organization was formed in April,
1895. This organization managed to
get some of the money in advance for
the insurance companies and with ii
began to equip the corps. In Septem-
Der a rival corps was organized known
as the Merchants Salvage CORPS. This
company included c. A. Smith. T. B.
Jumper, H. E. Fairchild, 8. T. john
son and others, including Senator Pot
ter. AS soon as 1t was organized 1t be-
gan to antagenize the underwriters
corps ana It's frSt move was to go to
the city council to try to prevent the
underwriters driver from driving on
| the streets faster than six miles, IAN
hour. Then they had the underwriters
driver arrested for fast driving The
higher court, however, decided that the
underwriters corps had the right I'M
| der the law to drive to fires fast,
err than six miles. Senator Potter's
company tried another tack It brought
suit against the Fireman's Insurance
company of Chicago for the payment OF
part Of the tax which under the law
it was expected to contribute to SAL
wage corps. This was founght through
various courts and finally taken to
the supreme court. The lower court
had awarded half Of the amount to
be paid to each company, but the
supreme court held that neither board
was legally established under the
statute. The supreme court held that
the corps should be formed exclusive,
ly Of underwriters, that only one corps
should exist in a city and that every
| one engaged as an underwater was
entitled to membership in the corps.
| The day this decision was hauded
| down, the Underwriters corps fled
amended articles Of Incorporation COW
| ering the points laid down by the SUI
| preme court. That put final quietus
| on the Merchants corps, which had
| disbanded months ago. It's last act is
seen in the bill Of Senator Potter. This
wants the state to pay for the fun they
| had.
| In every city In the country where
thQrn 10 q NOrYDc n Is 0ny,onacad -