Iowa County democrat. [volume] (Mineral Point, Wis.) 1877-1938, 1909-01-07
FORMER DEPUTY COMMlSS IONER
WAITE MAKES COMPLAINT
AGAINST HIS CHIEF.
COMPLAINT TO GOV
ERNOR IDSON-ACTlON
NOT EXPECTED SOON.
Madison, January


ment of Mark w. Waite, former depu
w commissioner, came yesterday
when the latter filed with Governor
Davidson charges against Commits
sioner Beedle.
The charges grow out of the eX-
animation Of insurance companies,
and coincident with the filing of the
alterations against Mr.. Beedle similar
charges have been filed by Mr.. Waite
with the state civil service board
against Special Examiner E. A. het-
cham of the insurance department
These charges against Mr.. Ketcham
can of course be examined by the
civil service commission and passed
upon by that body.
Mr.. Beedle is reported to have SAID
that the charges are baseless and trlV-
ial but when asked last night whether
or not he would reply, he said: H.
after due consideration, | am con-
WINGED that the charges are worthy
OF ICply III ICluIb'1Oii S
accordingly"
The charges having been filed with
the governor, they will probably re
main in his keeping until the meeting
of the legislature when he may refer
the whole matter to that body IN a
special message. Should the legisla-
ture attach sufficient Importance to
them an investigation may be or
dered.
Mr.. Waite first presented the
charges unsigned but Governor David
son refusing to receive or consider
them without they were first duly
signed and attested, that formality
was complied with yesterday.
Following is the text of the
charges:
Dear Sir:-While acting as deputy
insurance commissioner, certain facts
have come to my notice of nature
to Justify the belief that it is my duty
to communicate them to the chief eX-
ecutive of the state. Believing that
the matters herein contained are SUI
ficiently serious to warrant lnVestlga-
ton on behalf of the people of the
state, and believing that it rests with
the governor to initiate such inVesti
gaton and action as may be necessary
to secure a correction Of the abuses,
respectfully submit the following:
1. Sometime during the month OF
January, 1907, the interstate live
stock company of the, state of Wash
ington sought information concern
ing the steps to be taken to obtain
authority to do business in this state
The company was promptly notified OF
the requirements. In due time il
made application for admission, and
filed the necessary preliminary pa
pers, together with draft for $3.50. tC
cover cost of examination. Thereup
on the commissioner of insurance
gave me written notice that the In
| ter-State Live Stock company haC
been examined by him, and directed
me to issue the necessary license. TC
my knowledge, the commissioner haC
not at that time made any eXamina
ton; nor had the company deposited
with the state treasurer the security
required by law. The company haC
no capital or surplus of any kind. II
due time the company moved its heaC
office to Milwaukee, and was permit
ted to operate in this state. Some
time in September, 1907, the com
/ L
said company at Milwaukee, and wa!
! permitted to operate in this state
! Sometime in September, 1907, th'
commissioner called at the Office o
! the said company in Milwaukee, ant
upon his return made out repOr
/ of his examination. (See appended re
port.) This report is now on file il
! the insurance department. | callet
! the commissioners attention to TIT
report made out by him, and showed
! him that it was incomplete. The dis
bursements of the company showet
an item of about $500 for department
! fees, but the department Of the com
missioner of insurance had received
only the S25 for filing, charter ant
statement. The legal filing fee re
! quired from the state of Washington
is s45 There were also charges o
two dollars each for a few agents t
whom licenses had been issued,-th
actual amount received from til
company being not to exceed $50.
also brought to the attention of tn
commissioner that the amount credit
ed to the company for office furnitur
was entirely out of reason. With tn
borrowed money of the company. i
was then insolvent, moreover the con
state treasurer securities in tn
amount of $4,000. as required by Law
The commissioner replied that tn
secretary's wife would try to get
loan for the required amount. Tn
Interstate Live Stock company cor
tinued to do business in Wisconsin
during the next thirty days, and thel
went into the hands of a receiver
The printed report Of the commission
er of insurance for the year 1908 cor
tains no record whatever of thi
transaction. The above case is cite
as an illustration of the practic
which the commissioner OF insuranc
has followed during the past tw
/ years of licensing companies to trans
act business before an examination
had been made.
| 2 The law provides that companie
seeking admission to do business i
this state shall bear the expense o
the examination required by law.