The Birmingham age-herald., 1907-07-20
ONE BILL PASSES
 THE LOWER HOUSE
tcoNTINUED FROM FACE ID

fees for circuit clerks, passed in the house. will not apply to Jefferson county, as the fees of this class are already over the stipulated sum of $l0,000
 The Tunstall bill in the house to enforce the assessment of taxes at 50 per cent had a lively time on sure road to defeat in the house today, landing on the rocks of being tabled by motion of MT. Pette by a large majority. Speaker Carmichael, Messrs. John, Maner and Urquhart spoke against the measure with telling effect.
 In the house the bill to allow the governor to suspend such part of tho general taxes as are not needed was adopted, as was the measure putting money lenders back to their old status. Eastern Star property was excused from taxes and slot machines in large numbers were given a lump license.
 Stock Certificates.
 In line with the holding of the Georgia attorney general the Alabama insurance department has notified tho State Mutual Life of Rome, Ga, that it cannot issue in this state any more stock contracts. The following state ment has been issued by the depart ment:
 The insurance department has for maly notified the State Mutual Life Insurance company of Rome, Ga, that no more stock in the Comparative Agency company of Georgia must be sold or issued in connection with it's life insurance policies In this state This rule on the part of the depart ment is laid down in accordance with the ruling on the part of the attorney general of the state of Georgia to tue effect that the contract existing be- tween the said life insurance company and the said agency company is, in his opinion, illegal. The attorney general of Georgia states among other things In his opinion that, This life insur- anee company's contract with the agency companyis an illegal contract engaging the insurance company in business other than that of life insur- ance for which it was incorporated, ana clearly falls within the condemna- tion of the law
 "The insurance department of Ala bama has also carefully examined the contract and concurs in the opinion of the attorney general of Georgia in the main. The department exercises it's privilege of closely scrutinizing the stipulations and agreements in such contracts, and it will, whenever mat ters of this kind arise, always endeavor to protect people in this state from
  the peculiar nature of such contracts It is contended by some that these agency companies are separate and dis tinct institutions from the life insur- ance companies of which they are aux iliaries and In a sense should not be under the control or supervision of the insurance department.
 "The department. however takes the position that 1t should at all times be in position to advise the people with reference to investments in any agency companies or other corporations with which insurance companies licensed in Alabama are directly or indirectly con- nected. It may be stated that the of- ficlals of the Alabama department who have presided over it at different times for the last few years have been opposed to any auxiliary propositions 10 the sale of life insurance, unless such propositions are boni fde and not in conflict with laws relating to rebates and determinations, and that there should be safe guards around the same for the protection of parties who see cause to invest therein.
 The department would much rather see straight insurance written, and dividends actually earned by insurance companies paid to policyh olders rather than the method of paying benefits indirectly, as is the case with the board contract or the agency stock scheme.
 The department has no hesitency in stating, in it's opinion, that the State Mutual Life Insurance company is a solvent corporation and that it firmly believes that it Is entirely able to carry out its contracts, and that 1t Is com mendable on the part of the said com nany that it has decided to abide by