Evening star., 1934-08-30
D|SSOLUT|ONPLEA
H|TS3S CONCERNS
u. S. Acts Against Compa-
nies Operating Illegally as
Insurance Firms.

A petition for dissolution of 3o
corporations, most with headquarters
in Texas, and allegedly operating as
insurance companies, although in
corporated under special act of Con-
gress intended to foster the growth oi
bonaflde '-ade unions, was filed in
District Supreme Court yesterday, On
behalf of the United States Govern
ment by Assistant District Attorney
William A. Gallagher.
1t is charged that the principal
means by which the corpora tions
maintain their existence "is by evading
the insurance laws and insurance re-
quirements, of said States by pretend
ing to carry on such insurance under
the trade union act repealed
July %. 1882.
eliminates Investigation.
The defendant corporations are
charged with not operating as bona
flde trade unions and that their
operations never included or con-
templated such matters
Filing of the petition was the
elimination of an investigation by
Gallagher and Postal Inspector Will
liam Chester over period of a year.
The matter first was brought to the
attention of the district attorneys
office by Senator Morris Sheppard of
Texas.
The trade unions act was passed in
1885 for the purpose of permitting
incorporated unions to engage in any
undertaking aimed at bettering work.
ing conditions or the training, educa-
tion or health of union members, and
providing facilities for spare-time
activities.
No Complaint for 80 Years.
No complaint concerning operation
of the act was received for more than
80 years after its passage. 1t was
then, Gallagher explained, that many
companies, which had been carrying
on various types of insurance business,
were forced to close their offices.
Some of them discovered the breadth
of the trades unions act, sought in
corporation under it, and again en-
gagged in the insurance business.
The companies whose charters Gal
lager sought to have revoked are:
Medical Protective Union of America,
Fort Worth, Tex; National Indus
trial Union of America, Fort Worth;
National Trade Union of America (no
address,, National Mutual Union Ono
address,, National Union, Inc, Fort
Worth; National Aid Union, Dallas;
National Homestead Union, Dallas;
Fidelity National Union, Inc, Fort
Worth; National Commercial Union
(no address,, National Service Union,
Waco; American Benefit Union (no
address,, National Reciprocal Union,
Dallas; American Union Benefit As
sociation, Dallas; Commercial Aid
Union of America, Corsicana; Ma
tional Guaranty Union (no address,,
Doctors National Aid Union, Dallas;
American Fidelity Union, Dallas; Fed
eral Trades Security Union, Dallas;
National Agricultural Union Ono ad-
dress), Progressive Mutual Union,
Waco.
Merchants and Planters National
Aid Union of America, Dallas; Ma
tional Protective Union, Inc, Dallas;
American Home Union, Springfield,
ILL.,; National Farm Home Owners
Union (no address,, Veterans Ma
tional Protective Association, Dallas:
American National Protective Union.
Fort Worth; National Mutual Benevo-
lent Union (no address,, National Re-
serve Protective Association, Dallas.
Physicians Protective Union of
America, Dallas; National. Union of
American Citizens, Fort Worth;
Southern Union Association, Fort
Worth; the National Protective Union
OF America, Fort Worth; the National
insurance Union Ono address,, Ma
tional Mutual Assurance Association
(no address,, American Travellers AS
soclation (no address,, National
Mutual Protective Association, Fort
Worth; BARRIERS Interstate Mutual.
McGregor, Tex, and National Trade
Unions Corp, Dallas.