Richmond times-dispatch. [volume] (Richmond, Va.) 1914-current, 1917-08-20
WOULD PUT BAN ON ENEMY
INSURANCE COMPANIES
American Defense Society. In Letter
to President, Asks Him to
Take Action.
SOURCE OF AID TO GERMANY
Much Secret Information as to En-
tire Industrial and Commercial
Life Of America Obtained. While
Payment Of Big Premiums Help.
Especial: to The Timos-Dispatch. ]


WASHINGTON. August 10. Disap-
ance companies or allies Of enemy In
surance companies to continue business
In the United States under tho pros
pective enemy trading law Is asked OF
President Wilson by the American De-
Tense Society in a letter made public
to-day. Not only do such insurance
companies obtain and uso much VAL
liable Information against the United
States. says Richard N. Hurd. chair
man OF tho board OF trustees. but also
they use their money for the further
ance OF anti-American propaganda and
activities. and. finally. he asserts. their
assets to protect tho insured arc not
sound. Tho letter follows:
The House of Representatives has
recently passed II. r. 1860, entitled. An
Act to Define. Regulate and Punish
Trading with the Enemy. etc. which
forbids all trading with the enemy. ex-
cept that branches Of enemy or ally
Of enemy insurance companies are per-
United to write insurance in the United
States. Your recent proclamation for
bade the writing OF marine or war In
surance by encmy or ally Of enemy
insurance companies. which prevented
the Germans from obtaining much
secret information as to carEoes OF
ships. munitions plants. etc.
REASONS FOR REQUEST
FOR SUCH PROHIBITION
Tho American Defense Society sub.
mits that this prohibition should be ex-
tended against all enemy or all OF ono
my insurance companies writing any
kind OF risks in the United States. be.
cause these enemy insurance companies
thus obtain much secret information
as to the entire industrial and COM
mercial life OF America. which informa-
ton can DO used against the United
States: also. the payment OF large an
nual insurance premium incomes to enc
my insurance companies is a source
OF financial strength and encourage
ment to Germans everywhere. and
constitutes n direct giving OF comfort
and aid 20 the enemy
The only argument advanced for
this single exception to the Trading
with the enemy act. which. in England
and France. has no exceptions. Is that
America needs the protection Of enemy
fire insurance companies. This is fale.
On December 81. 1916. tho thirteen
German Insurance companies doIng
business in the United States showed
total assets In tho United States OF
only s35.l4i.6o2 TO protect insurance
risks in the United States totaIing
@3,563.792.2oo. The protection Of Cor
man insurance companies thus seems
TO be doubtful. in view Of the fact that
no monies can be received from Ger
many or her allied countries durIna
the war. and also because they prob
ably arc now. or will DO after the war.
either bankrupt or scmibankrupt.
German imperial bonds are about
TO approach 100. 10000 marks,
which bonds have been forced upon
the German corporations. with disas-
trous effect upon these corporations
when tho bonds are scaled or repu-
dated. There will be no difficulty In
having the insurance now carried by
German companies transferred to
American insurance companies or tho
companies OF our allies.
The American Defense Society asks
you to use your gerat power to pre-
vent the writing of any fire Insurance
in the United States by German nre
insurance companies"