The Omaha guide., 1933-09-02
FINLEY WILSON SEEKS TO GUST
RECEIVERS AND MUTUALIZE
NATIONAL BENEFIT

WASHINGTON 49, (CNS) - In q
determined effort to wrest control OF
the National Benefit Life Insurance
Company from the hands of its two
white receivers and reorganize into
a mutual life insurance company, j.
Finley Wilson, has submitted as in
tervener, a comprehensive plan, 70
the District Of Columbia Supreme
Court.
The plan submitted through his at
torneys is based on a document filed
in that court in July, 1888 and calls
for the operation and management Of
the company by its policy-holders, as
owners.
According to he plan the court is
requested to order the receivers, Gil
brit A. Clark and Frank Bryan, Jr
to show cause why they should not
Immediately file a full report of The
financial condition of the company Up
to and including August IS.
In addition, the petition specifies
that the receivers should also show
cause why they should not cooper
ate to the fullest degree" with Mr.
Wilson to secure necessary author
ization from all policyholders to
carry out the plan of naturalization;
also why they should not utilize to
the fullest extent the present field
agents and employees in furtherance
Of the plan.
The plan, as now submitted by Mr..
Wilson's attorneys, is supplemental
to the one filed in July and is based
on the report filed by the receivers,
December Is, 1882. This report set
forth that the total value of the as
sets distributable as equities to
policy holders amounted to $1,060,-
763.06, as of September 9, 1881.
The Wilson plan is also based upon
the theory that the assets in the
hands of the receivers, remaining af-
ter the cost Of the r~eceivership is de-
Quoted, and all claims are settled, are
the property Of the policy holders. 1t
is upon the value Of these distribut-
able equities that interviewer Wilson
expects to secure the basis for the
working capital in the organization
of a mutual life insurance company.
1t is claimed that the Wilson plan
affords a method for the utilization
of approximately rs per cent Of the
company's assets, listed as real es-
tate, through cooperation Of the
policy holders, to prevent a total loss,
which would likely reclaims on an
equitable basis.
The proposed mutual company, for
which a charter has already been
worked out, would be organized under
the legal reserve plan. Equities dis
tributable to the policy holders would
be the basis for the working capital.
The new company would take over
the assets and insurance business Of
the National Benefit and provide for
the settlement Of all claims against
it.
As a medium for transferring the
assets. business, and claims Of the
National Benefit to the new COM
pany, a contract Of reinsurance
would be entered into between the
receivers and the new company.
In the event that the assets turned
over to the new company are made
quate to meet the obligations, the
plan is to compose the differences
with the policy holders by either Of
the following methods:
(a) BY reducing the amount Of
insurance and the premiums proper
tionately.
(b) BY reducing the amount of
insurance, the premiums remaining
the same.
(c) By increasing premiums, The
insurance remaining the same.
(d) By the imposition Of a lien.
Under a suggested moratorium no
FASH surrender or loan values on any
IF the business ~reinsured, based upon
me present reserve would be paid BY
The new company prior to the ex-
Of five years from the e.
date Of the contract Of rein
surance The said moratorium would
not apply to any values created BY
premiums paid subsequent to the ef-
date Of the contract Of rein
surance.
In the event the court grants In