New-York tribune., 1900-12-15
FRATERNAL ORDER FAILS.
RECEIVER APPOINTED FOR CHOSEN
FRIENDS - GALVESTON DISASTER
PRECIPITATED PROCEEDINGS.

indianapolis. Dec. 14.-Attorney General Taylor.
accompanied by Auditor Hart and the Supreme
Recorder. T. B. Linn. of the order of Chosen
Friends. with their attorneys. appeared in the Su-
perior Court to-day. where the State asked for
receiver for the Order of Chosen Friends. alleging
that the order is insovent. Supreme Recorder
Linn admitted that the facts out in the appca-
ton are true. The State then asked that Thomas
NOunt. chief secretary in Linn's office, he named
receiver The Court refused TO name Yount be-
cause he was certificate holder In the order. but
named Cirrus J. Clark. of this city as receiver.
His bond was fixed at s. OO0 Clark recently retired
from the Office of Sheriff of this (Marion) county.
Receiver Clark after qualifying sent kilograms TO
the various banks Of the country. directing them
TO hold intact all funds of the order they may have
deposit.
One Of the primary causes of the failure of the
organization was the great loss sustained in the
Galveston disaster The claims arising of the
death Of members i'm the III fsted city aggregated
about $4,000. An excessive loss Of this kind. COM
ing as it did all at time rendered the or
sanization utterly incapable of meeting the obli-
cations except by increasing the assessments OF
the members to such extent as to bring about
their withdrawal from the order The examination
instituted by the State Insurance Department also
revealed that an official had defaulted to the
hnS mount OF about 5000 The order is secured by
lose T,I nothing on account OF this defalcaton.
ago. and Indianapolis has always been the head
quarters At the time of organization no atten-
as the members began, to grow old and the dues
increased il was found that the assessments had
tionS. ~ " S
At various times since the institution of the or
ner IL mas been necessary TO increase the assess
nnents, ana members who had held certificates for
great number of years agreed to pay the in
CIease,, Tor the reason that they had reached
age When insurance in a regular life company
CouIo not be obtained Another inducement that
was he!d out TO them in the matter of the larger
money invested in the orga aniZation that they felt
tney could not afford to lose IL.
no law governing fraternal insurance organiza-
uohs existed in Indiana prior the last
years At that time IL too late TO inst into
the organization any safeguards which might have
resulted In avoidance of present conditions. Ger
uncates or membership ranging from 81 900 5000
were issued by the order. and the death claims
nave been met up to within the last year. In 1899
the order paid out 100000 in death claims The
officers of the Supreme Council follows: H.
New-York; William G.. Morris. Junior Past Su-
preme Councillor, Chicago L. A. Steber. Su-
preme Assistant Councillor. ST. Louis: II. W.
futon, supreme Nice-COuncillor. San Francisco:
I. b. Linn. Supreme Recorder. Indianapolis: Will
lam b Wilson. Supreme Treasurer. Newark. y. J.;
Dr. Henry Jameson, Supreme Medical Examiner.
Indianapolis: the Rev. r. 9. Beharrel. Supreme
Prelate New-Albany. Ind. j. C. Williams Su-
preme Marshal. New-York; s. ". Knight Supreme
Warden. Cleveland, Ohio: P II. OBrien Supreme
Guard. New-Haven. Conn; L. NJ. White Supreme
Clark. jr., chairman New-York; J. II. Hambierck.
secretary. Louisville: William F. Gibson. San Fran
cisco: George w. Callahan. Washington David
Sanders, San Antonio, Tex.