Willmar tribune. [volume] (Willmar, Minn.) 1895-1931, 1917-03-07

cent of the paidlup capital stock,
a. and remain permanently in such
account until the final dissolution
OF the company, but available for
use in operating the business, or
apporttoned as capital, when in the
judgment Of majority of the d.
rectors, the financial condition of
the company warrants such ap-
portionment.
60 No fluids or property of the CON-
pany, exceeding per cent of. the
subscribed. capital, could be used
In the payment of organizing, in
promotlon. salaries or expenses
OF any nature, directly or indi-
rectly.
(g) Promoters or organizers should
be prohibited from having anv
voice or choice in the selection of
appraisers directly or indirectly.
'(h) It should be made q misdemean
or for any promoter or organizer
to secure or obtain subscriptions
for capital stock by false pretense
and Misrepresentation.
O After transferring at least Is per
cent OF the annual net earnings to
A00OA w 0NNOVUIs yuV UlCeCtOIS
should be authorized to determine
the amount of capital stock divi-
dends, and to determine the ap-
portionments, and the manner
and time, to be made on patron
age; the non-stockholder patron
to be allowed one-half the pro-
rata as the rate allowed the stock
holders on patronage.
The aMuuocfi0no fou 1ou,
make, will prevent the promoters
from taking worthless notes for
shares, or notes with strings attach
ed, In order to put over" a company
and get away with fat commission.
Limiting cost of organizing to per
cent OF the subscribed capital will a.
so be a death blow to the unscrupu-
ious grafters. There may not be so
many companies started for a while,
as the promoters will be hard hit, but
companies properly and honestly
started and conducted will succeed.
Heretofore companies have been
started by promoters under a handi-
cap OF from 10 per cent to so per cent
expense for starting them. In many
cases property was unloaded on the
farmers at exhorbitant prices. The
promoters saw to that, as the amount
of their commission depended upon
such valuation. What chance could a
company have to succeed?
The Johnson bill is defective in
principle, defective in practice, defec-
tive In emitting provisions for safe
guarding investors, and in no way
prohibits or prevents the continuance
of the professional exploiters from
victimizing the farmers and others.
The Wisconsin Cooperative law in
stead of being considered the best in
force In any State, is on the other
hand considered by recognized auth
critics capable of judging, to be- about
the poorest, and this is proved by the
immense number Of failures that have
resulted from attempts made to oper-
ate according to its provisions.
The recent failure of the Co-opera-
tive Terminal Packing Company at
Lacrosse, Wis.,, is one of many illus
trations of the need of real legisla-
ton. $3.50, 900 in farmers money abso-
lutely confiscated. Over 10000 known
to have gone into the pockets of the
promoters.
There are few political farmers"
in the legislature posing" as the
friends OF the farmers, but who are
in reality using their political prerog-
atives to farm" the real farmer good
and plenty for their personal aggran-
dtzement, and strange as it may seem,
they somehow manage to get away
with it. But the real farmer will wake
up soon and discover that these "pre-
tenders" are counterfeits and manip-
ulators for private advantage.
It is passing strange, that, these
misrepresentation" should be al
lowed to usurp the garb of farmer
patriots when they are wearing the
cloak of the political hyprocrite."
The cooperative bill offered by
Representative p. H. Frye recently,
III. F. 602) is a real bill and those
interested in wanting to secure the
best law obtainable should write the
members of the legislature to support
the measure.
Respectfully,
JAS. H. HOWARD.