Evening times-Republican. [volume] (Marshalltown, Iowa) 1890-1923, 1909-10-15
SECRETARY OF STATE FINDS
MANY COMPANIES LISTED THAT
DO NOT EXIST.
NEVER GOT FURTHER THAN
FIRST FORMATIVE STAGES
Letters Sent to Directors Show That
Many Corporations Have Been For
sotten-Ryers' Opinion Regarding
Auto Drivers Insurance Not as Far
Reaching as Supposed.
Especial Correspondence

I'es Moines, Oct. 15.-Wllen the Sec
ctary of states office finishes It's work
Iowa will have scores less corporations
than were recorded in the card index
system when the work was begun. The
last legislation made available an ap
preparation for getting after the cor
porations to make them report. Since
then it has been discovered that In
scores. almost hundreds OF cases cit
liens who We're nominally on the boards
of directors did moi in fac. know tha'
they We're on the ouards and had IN
many cases ever forg 4tten that there
were such corporations.
Thousands of letters We're sent out
to the corporations to the address and
names given in the card index. Hun
dreds of them came back, the post
masters having marked them on the
outside Of the envelope that no such
corporation was known. Then the sec
rotary of the state addressed letters to
the members of the board of directors.
Answers from these are now bein re-
ceiyed and some interesting informal
ton is contained in their answers.
For instance Ernest L. Hart, of Coun-
ell Bluffs, whom the card index said
was president of a recently organized
corporation, writes back that he does
MT know of the existence of such cor
poration and didn't know he was on the
board.
Many others of similar nature are
when the corporation laws of Iowa We're
not as strict as they are now and did
not require that all the stock be paid
for in cash or its actual equivalent, the
equivalent to be approved first by the
executive council of Iowa.
An Interesting letter has been re-
ceived from EX- Congressman Thomas
Upedraff. The card index said he was
one OF the directors of the McGregor
& Waullon railroad. Mr.. Updegraff
writes:
Il have not the slightest memory Of
this company. l know no such COM
pany has been in any business for more
than twenty years 1t is not unlikely
that there was such company organ
lied and that I was nominally in it.
ago we did great many foolish and
vain things; but have entirely forgot
ten this. 1t was a big hill if we did
not build "a paper railroad over it. But
it is dead now; much deader than
Caesar. would bet that not one of the
incorporators If living could recall his
connection with it. l don't think any
OF these 'pious frauds went beyond the
publication of the articles in the local
paser and the next election
First published reports that At
torney General Byers in an opinion Civ
en- al the request of Auditor of State
Bleakey. had decided that automobile
1&sers could not be Unidentified by in
sance companies against loss by court
Judgment fer damages to the person or
properly OF Others, We're incorrect The
Written oIinion of Attorney General
Eyer says that much insurance can be
issued j! almost every case except for
damages arising from the careless or
nesligea. handling of the machine by
the owner of it.
Auditor Bieakley refused to allow
such insurance companies to do bust
ne&s in the state on the grounds that il
Aas against public policy and his ac-
ion was governed by opinions given By
Attorney General Mullen in similar
cases, such as regarding insuring doc
tors against suits for malpractice
Under liability Insurance General
RTers believes that under aliberal con-
struction of the employers liability
clause (and the clauses hould have a
liberal construction) the automobile
owner may be Unidentified against al
most every possible liability except in
the case of accidents occurring while
the owner is operating his machine for
1 pleasure"
AT the close of his letter General
Byers says: Our conclusion. therefore
is that casualty insurance companies
may make such insurance contracts as
you refer to in your letter only il
cases where the person seeking sucl
insurance comes within the term EN-
ployer' as used in the so-called en-
ployers' liability clause, and in deter
mining this question the broadcast ant
most liberal construction should be pu
upon the term employer"
Des Moines is fast becoming famou:
for its advocates of the simple life
Not to overlook the governor of the
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