Yorkville enquirer. [volume] (Yorkville, S.C.) 1855-2006, 1908-12-11
FRIDAY, DECEMBER II, 1908.

officials are usually very dry" read
ing, full of stereotyped expressions and
set phrases hoary with age, large parts
of them being merely revised from
former reports to bring. them up TO the
calendar year. But striking excep-
ton this year will be the first report
of the new insurance commissioner,
Mr.. F.. H. McMaster former newspa-
per man who will make live copy or
practically every page of his report. VI
course the interest will be his comments
en- the outrageous graft that has been
practiced throughout the state for
many years on the poor and Ignorant
by numbers Of irresponsible so-called
industrial insurance companies. he
cOmmends the work OF NUMBER OF
honestly and ably managed home COM
panies, but says their Efforts have been
greatly hampered by the piratical and
irresponsible competition which ran
on unrestrained by supervision" oper-
ating for the most part under elee-
mosynary charters In violation OF law,
one of these, a foreign company,
claiming a capital Of 100000, a home
office in a New York skyscraper and
domestic capital of $1,000 existent all
three only. on the letter and policy
headings of the irresponsible mana
gers" The commissioner estimates
amounted to $161,S44, Of which only
s52422 went to policyholders. the re-
mainder being paid out to agents and
for expenses. The hundred-odd COM
panies doing business last spring have
been reduced to twenty-three. many or
the irresponsible ones fading away Un-
der prospective investigation. But
strong remedial legislation is yet need
ed to protect the public In future and
encourage those honest companies
which are doing a helpful work at
home.
- Columbia special of December s, to
Charlotte Observer: The Seminole Sc
curlties company has an authorized
capital stock of 100000 and the pres
ident is Mr.. John Young Darlington,
formerly of Laurens. The company Is
not an insurance company and Is not
chartered to do an insurance business.
It was advertised to be the original In
tention of the organizers to form the
Sterling Casualty company, the pur-
pose Of which Is indicated by its title.
The securities company was to finance
the casualty company and fer this pur-
pose the stock of the security company
was sold at $3.50 a share, par value
500, the casualty company to be start
ed with a surplus equal to haf the
capital stock. Recently, however, the
securities company advertised a change
IN it's plans and announced that II
had purchased an interest In the South
ern Life Insurance company, OF Fay
etteville, N. c., and that this company
would open headquarters In Columbia
and do q life and accident business.
Shortly after this announcement the
life insurance company did open Of
fees here, in the Skyscraper, and the
headquarters of the Seminole Securi-
ties company was moved to Chattanoo-
ga, Tenn. During the last year the
agents of the Seminole Securities COM
pany have visited practically every
portion of South Carolina and have
Oeen remarkably successful in dispos-
ing of the stock of this company at
prices above par, in fact at $3.50
share, payment being made in cash
and notes. The solicitors Of the COM
pany were several months ago taken
off the road. AS trustees OF the COM
pany three of the most distinguished
and trusted men In the state were
named-Mr. w. A. Clark, president Of
the Carolina National Bank; Gen. WI
ey Jones, president Of the Palmetto
National Bank. and Mr.. T. S. Bryan,
president Of the r. L. Bryan company.
The duty Of these trustees was simply
to hold the money and securities own
ed by the company. and the manage
ment Of the company was the duty OF
the president, Mr.. Darlington, who Is
now in Chattanooga, to which city he
moved his headquarters after the pur-
chase of the Southern Life Insurance
company stock According to the state
ments Of the Southern Life Insurance
company officials, the company on July
1st, 1907, had a paid-up capital stock
# $153,700 and was pledged for $4,000
additional. In September, 1908, through
Nr c. ]. Hebert, the Seminole Secur-
tiles company bought $155,000 Of treas
"rv stock, increasing the paid-up cap
ital to $276,700; and the Seminole Sc
curities company also purchased from
individuals $4,000 Of stock, thus CIV
ing the Seminole Securities company
$150,000 Of stock, on which $4,000 Is
still due. OF this stock 1850 shares
have been delivered and 440 are held.
The Seminole company therefore has
actually purchased 1850 shares, par
value 500 a share. For this stock the
Southern Life Insurance company re-
ceived about $l50,000 net or at the net
rate Of $40 a share Of par value 500.
For this stock, 1000 shares, the Semi
mole Securities company paid at the
rate Of 1915 a share, or $22S,960. The
difference between the amount paid by
the Seminole Securities company and
The net amount received by the South
ern Life Insurance company is $76 a
share. On 1,060 shares the difference
is $SO,560; on 1900 shares the differ
ence is $4,000. Further, under the
terms Of the sale, the Seminole Secur-
tiles company is obligated to sell the
remaining stock of the Southern Life
Insurance company up to $5OO,OOO.
The difference stated above, $76 share
or $80,560 on 1,060 shares, represents
the commission in the transaction.
The stock Of the Southern Life Insur-
ance company Is not in the name OF
the Seminole Securities company, but
in the name Of the three trustees,
Messrs. w. A. Clark, Wiley Jones and
T. S. Bryan. Purchasers Of Seminole
Securities stock say the elegantly
dressed agents from Atlanta, whom Mr..
Darlington employed to sell the stock.
guaranteed them IL per cent dividends
certain with 90 per cent additional to
60 to the surplus fund. Further reve-
lations promise a big sensation
throughout the state.
JIy,e ONrv TouTNc -Our actaamed