Omaha daily bee., 1911-12-21
INSURANCE EXAMINERS BUSY
Report on Union and Woodman Con-
solidation Comes Soon.
OFFICERS ARE PAID TO RESIGN
Auditor barton Holds This ~ Diver
sion Of Funds nnd May Not Come
Under strict Interpretation
or state Laws.

/ NAlVW correspondent
| LINCOLN, Dec 3O.-Cspeclal.) THE
storm clouds which have been hanging
over the woodmen and Union Fire In
surancc companies are likely either TO de-
velop into a downpour or be dssipated
with the filing Of the report OF the eX-
amlncrs who have been At work on the
books Of these two companies. The re-
port probably will be filed within a few
days The proposed consolidation OF the
two Lincoln companies has been IN the
courts and an injunction issued restrain
ing such consolidation previous to the
annual meeting OF the stockholders Jan
uary T. when they will vote on the ques-
tlon. Auditor Barton objects to the
wording OF the circular which has been
sent 20 the stockholders. which by impli-
cation. says that the insurance depart
ment and the auditor approve the CON
solidation. whereas Mr. Barton a,certs
the fact TO be that neither himself nor
the Insurance department has officially
endorsed or opposed the consolidation.
Whether In the flnallty they will endorse
or not depends upon conditions OF the
companies and whether the terms OF the
consolidation are equitable to all con
cerncd
Payments 20 Officers.
Methods pursued 20 bring about the
consolidation. however. are likely TO pro-
duce the real fireworks and according
70 Auditor Barton may result IN action
against some prominent men In Lincoln
and the state. II appears from the rec
ord In the injunction case that the off
GERS OF the Woodmen company paid the
officers OF the Union, which has been in
existence for about twenty-five years,
$4,000 to resign. that the officers OF the
Woodmen company might succeed them.
This was previous to the Injunction pro-
ceedings and they actually did succeed
the old officers OF the Union. Mr.. aBrton
holds that such payment was a diversion
OF funds OF the Woodmen company and
that those who authorized its payment
must return II to the woodmen treasury
or the Insurance department may be Inn
PEELED TO take legal action to compel
them 10 do so.
Former Governor Sheldon. Mayor Arm
strong OF Lincoln. J. w. Walt and e. IT,
Marshall OF this city are involved in the
| payment or receipt OF the money
Whether the payment OF the money will
have any effect on the fnincial stand
ing of the Woodmen company Mr.. Bar
ton declared, would only he disclosed
by the examination, but whether II did
or did not he held II was al.
version Of the funds OF the company.
Still another act OF the officials in the
proposed consolidation has come under
the ban OF the Insurance department a
considerable amount OF the business OF
the Union company. II Is charged. has
been reinsured in the Woodmen and that
commissions had been paid for such re-
Insurance, which the auditor holds is
contrary to law and In addition he is not
| cal Ia aad x.tltb
tion on the consolidation, as such act, II
the consolidation should fail of approval
by either the stockholders or the insur-
ance department would tend to weaken
the Union company,
Governor 10 Auburn.
Governor Aldrich and Adjutant General
Phelps went to Auburn today, and to-
night Inspected Company / OF the Ne
braska National guard. The governor
win deliver a nonpolitical address in the
opera house at that place.
Inspect TubercuIosis Hospital.
Land Commissioner Cowles is In Kear-
ney today inspecting work already done
and arrangements made for opening the
tuberculosis hospital al that place. Ar
raugements have about been completed
and II is now anticipated the institution
1 VIII ut opSneu january l..
narton 60 Make Speeches.
state Auditor Barton has three speak.
Ing dates for the near future. an Of them
Of a nonpoliticai nature. January he
win go TO Sutton and deliver an address
at the fraternal rally, January to Has
tlugs for institutional work for the work
men. and January 30 to Wilcox. where
he Will speak before the farmers insti-
tute.
Walsh Must Get Petition.
John r. Walsh OF Humboldt who
aspires to be a delegate to the democratic
national convention will find more
trouble in accomplishing his desire than
he anticipates lie sent to the secretary
Of state an affidavit OF his intention sup.
posing that was ali that was necessary,
btu Secretary Wait ha written hi that
regular primary petition is required
and that he will have to obtain 500 sig
natures to the petition and that the
signers must be distributed among two
thirds OF the counties OF the First con-
gressional district. Mr.. Wait / preparing
a circular setting forth in concise form
all OF the requirements of the primary
law, which he wifi send to anyone ap-
plyins for the same, He says he finds
considerable apprehension regarding the
provisions OF the law and that such
circular will be the best and most expe-
ditious way OF setting inquirers right lie
will consult the attorney general before
completing the circular 10 obtain an opin.
ion whether or not the petition provision
applies 20 party committeeman.
County Assessor Law.
In response 20 an inquiry from Seward
county the attorney general has rem.
dered an opinion constituting the law ex-
tending the terms Of county assessors for
one year Under the old law these Off
eials would have given place to new ones
January }. and the question was whether
the old officials simply held over without
any formality or whether Il was neces-
sary to reQuallfy and give new bond
The attorney general rules that the Old
official must requalify and give a new
bond all the procedure being the same
as though he were taking office for a
new term. The decision OF the supreme
court In the case OF Andrew Rosewater
city engineer of Omaha, Is cited by the
attorney general as a precedent.
cafeteria for, students.
/ University authorities are seriously con.
sidering the establishment Of a restaurant
ON. a.