Evening times-Republican. [volume] (Marshalltown, Iowa) 1890-1923, 1904-08-24
REGULATION 0F
G operations
State Officials Iowa Practic-
ally Called ION to Estab-
lish a Precedent
NEW TNvEsTMENr" CONCERNS
It Is Believed the State Officials Will
Not Approve Of Any Of the Plans
Submitted, They Having Thus Far
Refused to Charter Any Of the Com
panies-state News.
to Times-Repuhlican.

Des Moines, Aug. 24.-State officials
of Iowa are just now up against a
which means the setting
OF a precedent in the matter OF regu-
lation of corporations for the protec-
tion of the public which may have
lasting effect in the state. Several corr
porations have recently filed articles
of incorporation under which they ask
the right to do business in the state.
but this is not under the general law
regarding corporations, but a special
law passed last winter by the legis-
lature. These companies all purpose
to do business in 'investment'
schemes OF various kinds. The law IS
one which was adopted as substitute
for one which would compel all
home cooperative" Investment con-
Germs to be classed as building a loan.
1t provides for regulation of all such
companies, but before they can be in
their plan of doing business
must be approved by the state execu-
tive council. and the council is au-
thorized to reject them IL it is found
that the plan Is one which is unfair
or contrary to the public interest. The
feature of all these new Investment"
concerns is that they provide for in
yestment on payments and for forfeit
ure of all paid in If a payment is not
made. Some of them provide that
there shall not be a forfeiture after
three years. but 1t is we'll known that IN
such companies forfeitures occur. IL at
all, before three years. Thus far the
state officials have refused to charter
any of the companies. II is believed
they will not approve of any of the
plans submitted They are much like
the old building and loan companies.
which, under former state laws of Iowa.
became so scandalous that the laws
We're repealed and all building and loan
business is now done on the strictly
mutual plan. with ample restrictions.
Two years ago a law was passed, which
shut out all these invest
ment" companies which had started in
as home co-operatives. or on similar
lines. Now the promoters believe that
they will be able to get in under the
law last passed. They claim the law
not only authorizes their chartering but
requires the state to charter them
when they comply generally with the
law. The supreme court has recent
ly upheld the law of two years ago and
delivered strong opinion in favor of
the absolute right Of the state to reg
ulase and control all concerns which
invite the public to investments or deal
generally with strangers.
The prohibition party campaign
managers in Iowa have decided that
they will take no chances on irregu-
larity in the matter of the nomination
of their congressional tickets. Some
time ago the fact became known that
a contest would be made to not allow
the names of their congressional candi-
dates to go on the ticket, because the
nominations We're not made IN the
manner contemplated by law. This fact
was published and it alarmed the pro-
hibitionists. They had held state
convention at Boone and nominated a
state ticket and at the same time the
delegates to the state convention, with
out any separate conventions being
called, met in district caucuses and
the candidates for congress-.
1t was found that nominations made IN
this. way would not likely get on the
official ballots ii a contest should be
made The question had never been
raised before the state elections board,
but members had expressed themselves
as confident this was irregular. Now
~ IA pnnYnjffpa has
decided on holding separate conven-
will go thru the form of having the
nominees nominated again. This Will
DISPOSE of all contests. The first of
these district conventions is to be held
in Oskaloosa September 10. In the
Sixth district Ira D. Kellogg, Of Oska-
loosa, was nominated and he will be
again In only a few Of the dis
tricts of the state is the prohibition
vote of any Importance whatever.
The populist state convention Is to
be held i'm this city on Thursday, and
all that the men in charge of the party
hope to do Is to maintain an organl-
zation in the hope that conditions will
change and make it possible for the
party to gain some strength again.
Those who are remaining with the Or
ga anization are in fact the old fiat
money people. Leonard Brown, of this
city, one of those who participated in
the populist conference held a few
weeks ago, said: I'VE can hardly hope
to do anything this year other than
to keep UP an organization. The popu-
list party will not come to the front
again until the financial question be-
come acute. Then it will become an
important factor. The time will come
a gain. as the result of some crisis when
we VIII realize that our gold standard
is all wrong. We have no need of
gold standard. This thing of requiring a
specie basis is all nonsense The gov
ernment has power to make money In
any way desired. There is no money
OF The world, but every nation has Its