Rock Island Argus. (Rock Island, Ill.) 1893-1920, 1910-06-09
STEAD is CALLED
BY GRAND JURY
Clash Between Ciiices of At
torney General and Insur-
ance Commissioner.
SHIFTING MERGER BLAME
Potter Claims He Gave Notice of Law
Violation, but No Action. Was
Taken.

There is prospect OF an intei I. ing
clash between the Offices of the llli-
nois attorney general and the state
insurance commissioner as a result
of the story told the Rock Island
| County grand Jury yesterday after
neon by Fred w. Potter, the i1sur-
iIce commissioner. Mr.. Potter was
before the grand jury several hours.
The American Home Circle was
Joined with the FraternaI Tribunes
in March, 1909, but Mr.. Potter stated
that he was not advised of the mer-
! ger until the following November. at
which time he claims TO have orally
notified the attorney generals Office
of the fact. There was no denying
that In the bringing together of the
membership of the two orders there
had been q violation of the state
law applying to the regulation of
the conduct of fraternal societies and
Mr.. Potter takes the position that
it was for the attorney general TO
have proceeded legally against the
officers of the orders involved. While
Mr.. Potter stated that he first learn
ed OF the merger in November. ].
w. Crum, a clerk in Mr.. Potter's
office, is understood to have testified
that he learned of the uniting OF the
two orders three days after the deal
had been closed.
On the strength of the statements
of Commissioner Potter. the attorney
general of the state, w. II. Stead. is
to be called here as a witness, as are
two of the assistants in his Office.
RELATES Facts I'm Investigation.
NJ. j. McEniry, the Moline attor-
ney, occupied the time OF the grand
jury the whole OF this morning. Mr..
McEniry was commissioned by
States Attorney L. N. Magill to in
vestigate the affairs of the American
Home Circle and the Fraternai Tri-
Dunes. Mr.. McEniry gathered some
valuable facts to aid the states at
torney In ferreting out the real GRIM
inals in the wrecking of the Frater-
nal Tribunes, and these he laid be-
fore the grand jury in detail.N
States Attorney L. NJ. Magill is in
receipt of a copy of a report of an
examination Of the Royal Benefit So
ciety and the American Home Circle
by experts employed by the insurance
department of the states of South
Carolina and Virginia. The Amer
lean Home Circle is now merged with
the Royal Benefit society, and the
headquarters are at Washington, d.
G. According to the report the same
methods were employed by the Of
ficers of the American Home Circle
in merging with the Royal Benefit
society that were used with the Fra
ternal Tribunes and the results as lu-
crative in returns, possibly.
States Attorney Magill stated to-
day that it was possible the insur-
ance inquiry here would be continued
for another month.
Correction by Miss scuIIy.
Rock Island, ILL.,, June S.-Editor The
Argus: wish TO make this correc-
ton in regard to statement published
in your issue of June s, 1910. 1 was
not employed by the FraternaI Tri-
Dunes as boolkeeper, but as a stenog-
rapher. Neither was my statement
given TO reflect any discredit upon
Robert Rexdale, with whom was en-
ployed for IL years, in all of which
time failed to observe one crooked
move, he being honest, fair and up
right in all his dealings with the men,
bers of the Fraternal Tribunes, and
my belief has never for a moment
been shaken but that he will yet be
able to vindicate himself TO the salts
faction of his many friends.
NELLY ]. SCULLY.