The Ely miner. [volume] (Ely, Minn.) 1895-1986, 1905-12-08

States should in this respect follow the
policy of other nations by providing
adequate national supervision of COM
mercial interests which are clearly ma
tional in character. My predecessors
| have repeatedly recognized Athat the
| foreign business of these companies is
an important part OF our foreign COM
mercial relations. During the admin
istrations of PRESIDENTS Cleveland.
Harrison and Mckinley the state de-
partment exercised it's influence
through diplomatic channels, to pre-
vent unjust discrimination by foreign
countries against American insurance
companies These negotiations Illus
trated the propriety OF the congress
recognizing the national character of
insurance for in the absence of fed
eral legislation the state department
could only give expression to the
wishes of the authorities of the several
states, whose policy was ineffective
through want of uniformity.
I repeat my previous recommended
ton that the congress should also con-
slider whether the federal government
has any power or owes any duty with
respect to domestic transactions in in
surance of an interstate character.
That state supervision has proved in
adequate is generally conceded. The
burden upon insurance companies, and
therefore their policy holders, of con-
| flicting regulations OF many states, is
unquestioned, while but little effective
| check is imposed upon any able and
INSCRIPTIONS man who desires to ex-
ploit the company in his own interest
at the expense of the policy holders
and of the public. The inability of
| state to regulate effectively insurance
| corporations created under the laws of
other states and transacting the larger
! part of their business elsewhere is
also clear AS remedy for this evil
| of conflicting, ineffective, and yet bur-
densome regulations there has been
| for many years widespread demand
| for federal supervision. The congress
has already recognized that interstate
| insurance may be a proper subject for
federal legislation for in creating the
bureau Of corporations it authorized
| 1T to publish and supply useful in
| formation concerning interstate cor
| porations, Including corporations en-
gagged in Insurance.. 1t is obvious
| that if the compilation of statistics be
| the limit of the federal power, it is
| wholly ineffective to regulate this
| form of commercial intercourse be-
| tween the states, and as the insurance
business has outgrown in magnitude
the possibility of adequate state SUI
| pervision, the congress should care
| fully consider whether further legisla-
| ton can be had. What is said above
applies with equal force to fraternal
| and benevolent organizations which
| contract Tor lie insurance.
Under the subject of national revenues
| the president makes plea for the enact
ment of reciprocal arrangements between
| this and other countries, but does not ask
| for any tariff legislation at the present
| time. In the same connection he asks for
economy in appropriations.
Business Methods in Departments.
On the subject of graft" in the several
government departments that have been
| under investigation he says:
At various times 1 have instituted
| investigations into the organization
and conduct of the business of the ex-
| ecutive departments. While none of
these inquiries have yet progressed
! far enough to warrant final conclu-
| sions, they have already confirmed
| and emphasized the general impress
| sion that the organization of the de-
| partments is often faulty in principle
and wasteful in results, while many
| of their business methods are anti
quated and inefficient. There is every
reason why. our executive govern
mental machinery should be at least
as well planned, economical and
efficient as the best machinery of the
great business organizations. which at
present is not the case. To make 1t
| so is task of complex detail and es-
| sentially executive in its nature; prob
ably no legislative body, no matter
with reasonable prospect of success.
I recommend that the congress con-
slider this subject with view to pro-
| vide by legislation for the transfer,
distribution consolidation and assign
ment of duties and executive organiza--
| lions or parts of organizations, and
| for the changes in business methods,
| within or between the several depart
ments that will best promote the
economy efficiency and high character
of the government work.
Federal Elections.
On the subject of federal elections he rec
ommends that it be made unlawful for po-
litical parties to receive campaign con-
tributions from the corporations, and also /
that it be made unlawful for corporations
to give such contributions, and in this con-
nection he says:
Contributions by corporations to any
purpose should be forbidden by law;
directors should not be permitted to
use stockholders money for such pur-
poses; and, moreover, prohibition OF
this kind would be- as far as 1T went,
an effective method of stopping the
evils aimed at in corrupt practices
acts. Not only should both the ma
tional and the several state legisla-
lures forbid any officer OF corpora
ton from using the money or the cor
poration in or about any election, but
they ShOulQ also lolulu sum use "
money in connection with any legisla-
ton save by the employment of coun-
sci in public manner for distinctly le-
gal services.
The Hague Conference.
The Hague conference and the sub
iect of arbitration generally is treated
of at considerable length, and In this
connection an explanation is given OF
this governments connection with the
coming conference in the following
words:
The first conference of nations held at
The Hague in 1S99 being unable to dis
nose of all the business before it, recon-
mended the consideration and settlement
of a number of important questions by
another conference to be called subse-
quently and at an early date. These
I Questions were the following: a. The
rights and duties of neutrals; (0 the
limitatio of. the armed forces on land
and sea, and of military budgets; 90 the
use of new types and calibers of military
and naval guns; a. the inviolability of
private property at sea in times of war;
(5) the bombardment of ports, cities and
villages by naval forces. In October,
1904, at the instance of the Interparlia-
mentary union, which, at a conference
held in the United States and attended
by the lawmakers of 10 different nations,
had reiterated the demand for a second
conference of nations, issued invitations
to all the powers signatory to The Hague
convention to send delegates to such a
conference and suggested that 1t be again
i