Evening times-Republican. [volume] (Marshalltown, Iowa) 1890-1923, 1900-03-15
GOV. SHAW SPEAKS UP.
Explains to the Legislature His
Connection With Insurance and
B. & L. Associations.
Holds Only One Official Position
With an Insurance Company
In Iowa.
Incidentally the Governor Takes a
Few Raps at the lnsur-
ance Bill.
Special to Times Republican.


SHAY. in compliance with the resolu-
ton passed few days ago by the house
sent TO the house .his morning the fol-
lowing clear explanation of his connec-
officially and privately. The letter eX-
plains the character of the inquiry, and
con, aims concise statement nf the !
conditions which prompted it, 1t is in
the governor most lue.d style:
TO the House of Representatives of
The Twenty eighth General Assembly of
1owa-o;entlemen: have but very re-
Gently received theresolution passed BY
your honorable body on Feb. 2Sth, in
syhish attention is called To a report
current iii various portions OF the state
that the governor. secretary of state,
auditor OF state and treasurer of state,
hold important Offices in building and
loan associations and insurance COM
panies doing business III the state of
Iowa, which the attorney general is al
legged to have declared oppressive upon
persons whose only crime is their ina
bility to pay: and wherein the governor.
secretary of state, auditor of state and
treasurer of state are requested to re-
| port 10 the house Of representatives as
soon as possible in what building and
loan associations and insurance compa-
| MES they hold official positions, if any.
the name of the company or association,
/ together With the salary they receive;
4 and wherein the committee on compen-
4 sation of public officers is directed to
report bill prohibiting members of the
executive council from holding any off
Hcial positions in any building and loan
association or insurance company doing
business in the state Of Iowa during
istheir term of office or within one year
after their term OF office shall have ex-
pred
1 I'm response To the foregoing, | have
the honor TO report that hold no Off
/ cial position in amy building and loan
or savings and loan association, nor
5l,have | any connection With or interest
lin any institution over which the gov
4 error of the state of Iowa. or the execu-
4 tive council has any oversightgor super
q vision whatsoever.
! ''Conceding TO the general assembly
the right TO inquire into the private
:, business affairs Of such persons as may
have been elected 10 the several Offices
lof this state3even in matters over which
t such officers have 10 supervision OF jur-
isdictjon, and having no objection tc
{ such inquiry. haze the honor To stats
1 tina, / am a stakeholder and director III
4 the National Life aud Trust Company
i a ega, reserve insurance company do
+ ing business In the state Of Iowa. Which
stock | purchased at par, and paie
therefor IS reported in the articles of In
corporation long since made public.
81 have received. since the organization OF
said company, $50 for services RENDERED
as suci, director and as a niemberof tbs
: lscommttre on loans. III is unnecessary
81 10 call tie attention of tits honcrabl,
body TO the fact that neither the gov
7 hernor nor the executive council has an.
supervision Whatsoever Of insf,ranc,
: companies. and the criticism THAI sucl
: institutions are oppressive upon per
: sons Whose only crime Is their inabilit.
9 to pay might be predicated With equa
) force against banks, landlords. lawyer
: and persons engaged ii, many othe
+ branches of Legitimate business.
( The state Of Iowa enjoys a most en-
viabic reputation turnout the nation
her financial institutions have tbs cent
deice Of the people at home, and hav
therefore stood Well abroad. No lega
: reserve company. organized within thi
: state, 50 far as j am able 10 learn Ia
S eyer failed, or violated its contracts 9
& Insurance. The Iowa companies noN
. have III force over s200. 100000 insurance
e about twothir,is Of which has bee
T. written outside Of this commonwealth
a They have thus demonstrated their q hi
II ity to sustain themselves II the HON
: field against all corners, and 10 MAX
.rlquite a respectable showing on thei
merits in othe. states. i do not undel
stand that any one has presumed
eritcse any IONA insurance compan
from II legal standpoint, and the whole
IT sale senii-utiicial criticism from a PEI
Y sonal point of view ought rot - niue
" as to raise q presumption that they al
&c pursuing methods which are inlplact
cal. reekless or unsound. or that the il
l., surance written by these home institl
TORS is essentially different from poi
is lcies sold by older eastern coin,5ani.
Is which are permitted 10 do busine
within this state. Persons can doub
ID less be found who are willing to an
madNert upon the banks of Iona al
al the banking laws of this state: but sue
criticisms generally rest upon person
l., grounds or are caused by lack of e,
n, perience in the actual operations of su,
Institutions. The proceeds of life insu
ance, as we'll as all forms of endoy
nlent and investment policies, are
This state exempt from execution, az
re from the payment of claims against Il
as estates of deceased. and it has nev
ct heretofore been considered breach
he official ethics to be associated vi
nd financial institutions wherein the peol
on of this state have thus been encourag
es to invest their savings.
he For many years it has been qui
nd generally claimed at home. and conce
MS ed abroad. that the insurance laws
or Iowa are among the best and mos 60
air seryative of any in the United State
er and yet voice the sentiment of all go
people when / express the hope tn
il they are found defective in any Z
sential feature you will promptly &c
4 rect and strengthen the same. ha
iie no word to say in behalf of the new
ce companies. 1t is relatively immater
NV what becomes of them, but the old
SITS Iowa companies that have struggled I
so many years with such honor
1ie themselves and to the state. ought i
he to be expelled either by indefinite cri
csms or by hasty adverse legislation
Ter cited thereby. 1t is easier TO tear do,
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