The Telegraph-courier. [volume] (Kenosha, Wis.) 1888-1946, 1925-04-23
REFUSE CHARTER
FOR STATE KHAN
Attorney General Rules
Khan Cannot File Incor-
poratiOn Articles.
GEORGIA CORPORATION

Madison, Wis. Because the Wis
consin organization of the Ku Klux
Khan is subsidiary of the Georgia
corporation, Attorney General Herman
L. Ekern has disapproved articles of
incorporation submitted by the Wis
consin khan. His disapproval was
made public today in an opinion
handed to Secretary Of State Fred r.
Zimmerman to whom the articles were
submitted.
The situation arising from the at
tempt of the Knights of the Ku Klux
Khan to file incorporation papers is
unusual, the opinion states, due to
the statement that the organization
subsidiary Of" a corporation by sim
liar name existing under and by vir-
tue of the laws of the state of Geor-
gia.
Under our form of government.
the state is the sovereign and is SUI
preme, and the corporation exists as
an entity only as child of the state"
Mr.. Ekern wrote.
Is Second Attempt.
Two attempts have been made re-
Gently by the Ku Klux Khan to incor-
porate in Wisconsin. The first pa
pers were withdrawn after Secretary
of State Zimmerman had requested an
opinion from the attorney general as
TO whether there was any legal rea-
SON why the articles should not be
filed. Amended articles then were
submitted officials in the secretary of
states office said, and the attorney
generals opinion followed.
Attorney General Ekern's opinion
follows in part:
article v (of the incorporation pa
pers) provides as follows:
"tSsid corporation shall be subor-
dinate to and subsidiary of, the
Knights of the Ku Klux Khan, cor
poration organized and existing un-
der and by virtue of the laws OF the
state of Georgia, and shall be known
as a Realm under. the system of or
ganization of said last named cor
poration; said Realm shall be divided
into Provinces and Klans, Province
being any major division of the SAID
Realm. and Khan beng a local sub
ordinate lodge or organization and
the constitution, laws, rules and regu-
usual statement in the case of non
named are adopted for the organlza-
ton, conduct and control OF SAID
Realm, Provinces and Klans.
Must be a Subsidiary.
att appears by the above article that
the proposed corporation is to be sub
ordinate to and subsidiary OF cor
poration by similar name existing I'M
der and by virtue of the laws of the
state Of Georgia. This is a most un-
usual statement in tn cease Of a non
stock organization. 1t appears clear
that such a corporation cannot be or
ganized under the laws of this state
as a subsidiary Of a foreign cor
poration. 1t must have been with
in the contemplation Of the franz
ers of the Wisconsin statutes
that the members OF non
stock corporation in this state should
elect the officers and control the cor
noration. something which is evident
" intended to be prohibited or at
least restricted by Article V Us drawn
"JJnder our form of government,
tho state is the sovereign and is su-
preme. and the corporation exists as
an entity only as child Of the state
When the state creates corporation
as new entity, it thereby delegates
a part Of its sovereignty, and 1t can
not be presumed that it would so
delegate a part of its sovereignty to
be controlled by any outside authori-
~. except the federal government, to
the extent Of the powers conferred
upon such government.
Furthermore, Article VII provides
as follows:
"'The first meeting of this corpor-
alton shall be held on the 18th day
of May, A. D. 1925
"The statutes require, in case of a
corporation formed without capital
stock, that the articles shall fix the
time and place for the first meeting
for the election of officers, Section
1902 (7).
'You are, therefore, advised that
the articles submitted are not en-
titled to filing in your ONCE"
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