The San Francisco call., 1906-07-29

N IJohn S. Partridge, representing
the policy holders OF the Trad
ers Insurance Company of Chi
the company, had resigned and that the
State Bank of Chicago had been ap-
pointed receiver to succeed him.
The new receiver has filed notice Of
the appointment of Noble B. Judah and
Charles H Hamill as attorneys.
Smith was made receiver on petition
of the leading stockholders of the COM
pany, several Of whom were in court
when his appointment was made. Since
then he has been bombarded with ques-
tions almost daily by the policy holders
of the Traders Company in this city,
and his task has been anything but "a
bed of roses.
1t was shown by letters received from
Chicago that Attorney Bates, who came
to California TO represent the stock
holders at a meeting of the policy
holders that was held in the synagogue
at Webster and California streets, also
represented Receiver Smith. In this
double connection the sincerity of the
advice of Bates to the policy-holders to
take 60 cents on the dollar of their
claims under policies was questioned.
Letter followed letter and telegram
succeeded telegram on the way to Chi
cago.
The policy-hoIders considered that
they had made discoveries that indi-
Gated a much larger amount of avail
able assets for the payment of losses
than had been mentioned by Bates, and
this fact excited the suspicious of the
people in San Francisco more than ever
regarding the arrangements made at
Chicago for the administration of the
affairs of the Traders Company.
The story told at Chicago by certain
interested stockholders was that they
tried to have an assessment of 5000
share placed upon the Traders stock
before they applied for receiver, but
that majority of the stockholders re-
fused to submit to the assessment, and
that their only recourse was to have
receiver appointed.
UNEASY BED FOR SMITH.
With the threatening OF suits to test
the individual responsibility Of the
wealthy stockholders to the San Fran
cisco policy holders for fire losses the
situation of the stockholders became
more unpleasant than before. Smith
may have grown tired of holding on as
receiver under all the circumstances.
The following letter has been re-
ceived:
City Editor Call. City:
Dear Sir-We have recently received
some very strong intimations that If
this association can represent the ma
jority of the claims against The Trad
ers Insurance Company, some action
will be taken to secure speedy ADJUST
ment and settlement and thereby stop
the great expense incident to the re-
ceivership proceedings which are now
pending in Chicago, and for that rea- %
son, we would like TO have you give
publicity TO this letter.
The Traders Policy Holders Com
pany was organized as result -ot a
Commissioner and is not for profit in
any sense of the word. Our only OBJ
ject is to enable those who hold poll
cies to enforce the same at the least
possible expense The directors are
giving their services absolutely free of
charge. We have engaged well known
are making Investigations and report
ing to us from time to time.
The officers of the company are Mar
shall Hale, president. John S. Partridge.
and the directors in addition are JOS
eph S. Tobin, W. II. Metson, J. H. Ben
nett. w. H. Linforth, w. B. Cope. w. F.
Humphrey, c. H. Garoutte and H. G.
w. Dinkelspiel.
WARNS AGAINST COMPROMISE.
The method of procedure which has
been adopted thus far is for policy
holders who desire to cooperate with
. the company 10 MAKE a power Ol dllOT-
ney TO one of the officers under which
he is authorized to settle and collect
This power of attorney may be, of
course, revoked at any time. The ex-
pense at the time of joining is one-half
of l per cent of the face of the policy,
and the association guarantees that
the expense will not go above per
cent in any case. 1t is hoped that the
expense will be very much less, and If
there is any overplus. 1t will all be
returned proportfonatsly TO the policy
holder.
We have definite Information that
many persons. ignorant Of insurance
matters. are submitting to a horizon
tai cut by the adjuster in Oakland.
These persons believe that they are
making a settlement, whereas this cut
merely amounts to an adjustment and
they will be submitted to another pro-
portionate cut when it comes to a dis
tribution of the assets.
We would like to warn all persons,
whether they join with US or not, that
If they submit to cut under the guise
of an adjustment or settlement, they
are simply making present to the
company without helping themselves
in any way.
MARSHAL HALE, President
JOHN S PARTRIDGE. Secretary,
S27 Eddy street.