The Fargo forum and daily republican. [volume] (Fargo, N.D.) 1894-1957, 1910-03-05
men HIGH UP IN
INSURANCE FRAUDS
STATE OFFICIALS SAY ARRESTS
AND CRIMINAL PRosEcu.
TONS WILL DEVELOP A
SENSATION.

st. Paul, March 5.-Sensational de-
velopments are promised as a result of
the investigation now being carried
on by officers and agents of fraternal
insurance societies doing business in
Minnesota State Insurance Commits
sioner j. A. Harrigan said yesterday
that criminal prosecutions are certain
and that arrests may be expected at
any time.
MIR. Hartigan declined to give out the
names of persons under suspicion and
against whom evidence is being col
lected by his department and the at
torney general. From another source,
however, 1t was learned that complete
disclosures will implicate several per-
sons professionally and politically
prominent in st. Paul and Minneap-
oils.
Mr.. Hartigan has not yet issued any
orders infringing upon the right of
fraternal societies to continue writing
insurance, and will not do so unless
later disclosures make that step neces-
sary. He said yesterday that the de-
partment will demand that fraudulent
policies be cancelled and the books of
each company be squared up before
1910 licenses are issued.
Conspiracy Deity Organized.
That a systematic conspiracy to de-
fraud fraternal companies has been i'm
successful operation for the past three
years has been proved beyond doubt.
The conspirators have worked their
game with an eye to every detail. ana
have covered their tracks SO we'll that
1t has been next to impossible for lodge
officials to get condemnatory evidence
against them.
Several Instances were unearthed
yesterday where substitution Of parties
has been made without detection. A
woman "A years of age. living on Lyn-
dale avenue north Minneapolis, was
found to be insured in Ave lodges. car
rying a policy. of $4,000 in each. She
disClaimed all knowledge of the policies
and said she had never made appliCa-
ton for insurance, had never paid any
premiums and had never been examin-
ed by any physician as to physical At
ness for insurance.
Her application, signed with her
mark, was on file in the lodge offices.
Tracing down the case, IL was found
that a person answering to the name
of the insured, had been examined by
the lodge physician and had been
passed upon as sound. Insurance was
issued accordingly. Who the substi-
tuted person was is not yet known.
Woman in the Case.
From the fact that substitution of
parties has occurred i'm all the lodges
il is believed that the same woman
has acted in all of the cases. and she
is being sought.
In many cases where the physician
has not been In the conspiracy his
services have. been bought by the lat
ter and, 1t is alleged. he has made false
returns for a share of the PROFITS. n
The attorney general is looking care
fully into the cases where II is said
notaries public have made false ac-
acknowledgements. NotaTies are under
bonds and in addition to criminal suits,
can be reached civiIly through their
bondsmen.
Harvey r. Hall. attorney for the
knights and Ladies of Security. as
sisted by officers Of the order, was busy
in Minneapolis yesterday going over
the lodge books and sitting and assort-
ing the evidence that has been sub
mitted by lodge officials and detectives
in their employ.
Attorney General Simpson has in
formed the state insurance department
that he will attend personally to the
prosecution of all coses. An agent
acting for Mr.. Hartigan will commence
work this morning in st. Paul and
Minneapolis, collecting the evidence
upon which the department will rely
to convict the conspirators.