The Sentinel=record., 1914-01-03

Mayor Dr. J. w. McClendon has received from Mayor Simon Bloom of Pine Bluff, letter relative to the Insurance situation there, in which the Pine Bluff mayor discusses the insurance trust" in Arkansas in the plainest and most emphatic of terms and sets forth the situation in the following:
 Pine Bluff, Ark, Jan. 1, 1914. Hon J. w. McClendon,
 Hot Springs, Ark.
 My dear Mayor:
 Replying to your favor of yester day, relative to increased fire insu-- ance rates. ] will not delay answer. ing your communication, for the req son that l am somewhat posted on the new Insurance Trust in Arkan- scs. When the various Insurance companies called me into a meeting with them several months ago and tried to convince me that Pine Bluff would save from ten to fifteen thou sand dollars if the city would in- crease the fire department by adding on two more mep and purchasing twenty-five hundred dollars more hose and other equipment. I simply put this question back to them; Will you, gentlemen, guarantee if the city complies with this that our insurance will be decreased all along the line or will you make certain reductions in places and increase in others and in the end take more from us than you arc now getting, by raising the rates on the congresses, cotton ware houses, lumber mills, etc?
 This question was evaded. l would not go into any promises. They then went before our commercial bodies and made this statement which looked good and was indorsed by them and the matter placed before the city council who without giving much thought passed an ordinance appropriating twenty-five hundred dollars to make the purchases Being chairman of the Board of Public Af- fairs and knowing our financial em- barrassment, did not comply.
 In the early part of December the adjusters came down here from Lit tie Rock. and another meeting of the Chamber of Commerce was held. At this meeting Mir, Mccain explained that the new rates were being printed and they didn't want to leave Pine Bluff out If we wanted to come in under the new rates now being print ed we would have to say so without further delay or the rates would be so increased that they would be pro- hibitive
 At our very next meeting this mat ter was again brought up and with out a dissenting vote the Board of Public Affairs was told to make pur- chase.
 Now l find that after we have com piled with their instructions and made our fire company stronger and more efficient in every way that we have the following results: The cot ton congresses have been raised from $2.60 per thousand to $713 per thou sand In fact l find that all special hazards have been raised from one hundred to three hundred per cent.
 In taking this up with our local agents they claim that when the peo- pie comply with the rules and regu- lations of their companies and spend lot of money for more protection the rates will adjust themselves to the advantage represented.
 The thing that has not appealed 70 me in this insurance rate is the fact that the State of Arkansas through Senators Rainey and Rodgers passed the bill in our last legislature and slipped one over the people in Arkan- saw. creating one of the most gigan- tic trusts ever thrust upon our peo' pie. ENTIRELY ELIMINATING ALL COMPETITION.
 Just at this time it would be hard to advise just what action to take My opinion would be that every com mercial body in the state go into thf proposition with a view, if the rates are not adjusted satisfactorily in reasonable time, that the agitation will be so general and strong that we can go before our next general as sembly and get relief.
 could mention many things more and hope this will be of some good to you and your city; and if car he of any further service trust yoI will command me. l will be readl