The evening times. [volume] (Grand Forks, N.D.) 1906-1914, 1912-03-28
HIGH FINANCE
SCHEME FAILED
Will Ask a Receiver for Re-
public and Dominion In
surance Company.

Minneapolis. Mimi. March e7.-The
story OF how two promoters who had
made a personal profit, said to be
$4,000. in the flotation in an insur-
anee company in San Francisco. and
who came to Minneapolis fresh from,
their western success with a $4,000
600 proposition in which expense and
promoters profits would have been
~s1.5o0.0O0, were turned down by the
heads of the three largest banks here,
was told today. following the an
rouncement that the Republic and
Dominion Fire and Marine Insurance
company, incorporated last October,
is to dissolve. probably through petit
ton of stockholders for the appoint
ment Of a receiver.
How It. NJ. Prince, president Of the
First National bank. Frank a. Cham
berlain. president of the Security Ma
tional bank, and Z. w. Decker. presi-
dent of the Northwestern National.
with former Congressman James a.
Tawney. who had considered hecom-
ing president of the company, but re.
considered 1t. met and analyzed q plan
by which. II 1t succeeded. the two men
from afar, without risking their own
capital. would have pulled out a per-
sonal profit of anywhere from $780,
900 to $1,000, 900. makes one Of the
most interesting chapters in the finan-
cial history of Minneapolis.
w. G.. Nye, who was made president
of the company, said today that the
officc would be vacated soon. There
is no financial statement available at
this time. Nye said.
"A receivership is probable" said
Mr.. Nyc, but there will first be con-
sultation with the attorney for the
make it go and two weeks ago began
to down expenses as much as pos
sible.
1t is now n question of getting to-
gether the company's assets and pay
ing back the stockholders as much as
possible"
Mr.. Nye declined to make a state
ment as to the number of stockhold-
ers. but said he believed the total
than 100000, and that ii was held
principally by people outside of Min
neapolis.
Into the bg downtown banks of
Minneapolis walked J. r. Plat and w.
E. Brigsby n day in October. short
~ after the incorporation of the COM
pany. They met President Prince and
Vice Presidents G. T. Jaffray and
George F. Orde at the First National.
introduced themselves to President
Chamberlain. Vice President Perry
and Harrison and Cashier J.. S. Pome-
roy at the Security National and went
Yer to the Northwestern and met
President Decker and Vice Presidents
Joseph Chapman. Jr.. and j. A. Lat
ia. They bore a letter of introduce
ton from the assistant cashier of a
San Francisco bank.
When 1t was reported that James
A. Tawney was to become president.
there was a meeting of bankers called,
because Tawney wanted to know If we
thought the plan would succeed"
said Mr.. Decker.
1T looked. to the bankers like a
promotion proposition pure and sim
pie. We did not believe that condi-
tions warranted the organization here
Of a 100000 company put through
as planned. 1t would be very profitable
for the promoters. who are not Min
neapolis or Minnesota men. We did
not think we ought to help finance
their promotion plan.
The company was incorporated by
w. s. Taffinder. and Mr.. Tafiinder was
its first president.
Wallace c. Nye resigned as COM
missioner for the Minneapolis Com
mercial club to become secretary
treasurer Of the insurance company,
Jan. 10. and after MT. Tawney an
nounced that he would not accept the
presidency, Nye became president.