OCR Interpretation

The sentinel-journal. (Pickens, S.C.) 1906-1909, December 24, 1908, Image 4

Image and text provided by University of South Carolina; Columbia, SC

Persistent link: http://chroniclingamerica.loc.gov/lccn/2012218672/1908-12-24/ed-1/seq-4/

What is OCR?

Thumbnail for

News of Interest -Gleaned !ror
Arranged ror
Southern Life Insurance Company
Mixed up With the Seminole to its
dn accohat of ..being dissatisfied
with the statement made by C. J.
Cooper, general manager of the
Southern Life Insurance Company,
to Commissioner McMaster, the latter
has ordered the o cials of that com
pany to show cause on January 18,
1909, why its license to do a life
insurance business in South' Carolina
should not be revoked.
The commissioner in his letter toic
Mr. Cooper reviews his statements as t
published last week which statement i
goes into the history of the deal be
tween the Seminole Securities com-,
pany and the Jife insurance concern
when the former bought the stock of
the company. This statement, it willj
be recalled, shows that the par value
of the stock was $50 per share and 1
2,300 of these shares were sold at an
average price of $108.331-3 and that
other hares at not less than 150 per
fr. cMasters declares that he,:.1
considers the company's affairs so
hopelessly tangled with the affairs of c
the Seminole company that lie has i
decided on this step. Ir
The Southern Life company was li- I
censed to do a life insurance busi- t,
ness in this State several months ago
and at that time complied with all of c
the conditions required. The law p
governing the conduct of life in
surance companies under the super- I
vision of the commissioner requires r
that 20 days' notice be given when a'i
revocation of a license is contemplat- I
ed. t
Commissioner McMaster. in ad
dressing the said Cooper says: 'r
"A careful consideration of the b
statements contained therein (Coopers a
report) seems to me to show that on c
July 15, 190S, the Southern Life In- p
!kuvanc company, through vourself as a
general manager, entered into an
agreement with Mr. C. J. Hebert to i
sell the capital stock of the company
to the amount' of the difference be
tween $500.000. the authorized cap- n
ital and $165.000 already placed at a f
as of the market and 6
.ite of the stock to .
i other officers and c
-essive commissions agreed r
to be allowed Mr. Behert, the Len- s
iral tenor of the contract of July a
5. and of the letters and telegrams g
vhich passed between the company a
.11d1 Mr. Ifebert convince me that f
his stock could not have been sold t
t the prices at-reed unon between ,
he company and Mr. Ilebert if a true 0
nd honset representation of the con
ition of the company were made to
ie public-the prospective fellow
ockholders of the present officers i
id directors of the company- It
''It seems to me that the facts
lown in this agreement with Mr.
- ebert, to which all of the oficeers
id directors of the company were,
should have been, cognizant. pre-I
ippose and are based upon inten
onal deception of the public as to )
.h actual value of the stock.
, I find that while the contract of
July 15, between the Southern Life
and Mr. Hebert, was an exclusive
cont,ract (and one very profitable to
both Mr. Hebert and the company),
yet it is surpassed and supplanted,
in a measure, by the contract made
on September 23 with the Seminole
eeurities company, whereby the un
old portion of the capital stock of
he Southern Life Insurance company
ar value $50 per share, was to be
old by the Seminole Securities comn
n.any so as to yield the Southern
life not less than $150 a share, and
herein the interest of the Southern
Mie, the Seminole Securities corn
iany and C. J. Hlebert became so
nextricably mixed as to make each
practically a share in the methods as
vell as in the profits to be gained
~rom the public.b
The Commissioner sets forth at.
length that which forces him to sus
noet that the officers of the Southern
fife Insurance Co. were 'guilty of
'x~iipation in a scheme to impose
epon those who would become stock
He eloses. with the following paPa
raph :j
"If this be true, I' am of the
- jnion that so long as the coinpany
mains in the conerol of its 'present
##sand directors it is tiot a safe
tIfable concern.
s#Il, therefore. is to summon yon
wcause before me at my of
tllum2bia, on JTanuary 18. 1909,
Sno~ ~why your license to do blus.
d'ss Ip'outh Carolina should not ho
'ked the ground that the south
* u*trance company is nQt
A k~teliable cen"ern. for,th#
'w tated. This is dti
r All Sections of the Stnte and.
Busy Readers
the insurance department of South
Carolina, tuproved dFebruary 24, 1908.
''Very truly,
,''F. H. MeMASTER,
"Insurance Commissioner."
rho Seminole Company in a Great
Tangle-Seems Ono of Three Com
tined Schemes to Defraud.
The Columbia State of the 17th
ays: "There has been so much talk
Lbout the Seminole Securities com
>any that a number of people have
xpressed an interest to see the char
er of that company. In 'that connec
ion there are two other companies
>rotnoted by Mr. Jno. Y. Garlington.
The first of these, in point of time,
vas the Carolina Agency company,
'he second was the Seminole Securi.
ies company and the last is the Blue
tidge Investment company. Mr. Gar
ington had been State agent for the
tate Mutual Life of Rome, Ga., and
2d made a remarkable record as a
elera of insurance. The Carolina
kgency company was organized to
andle his renewals of premiums.
The original officers of the three
ompanies named were: J. Y. Gar
ington, president;; J. S. Young, see
eary. Mr. Young is from Laurens
nd is a first cousin of Mr. Garling
on. However, there has been a
rholesale change in the liF'; of offi
ers of the Carolina Agency com
The first of these was chartered
farch 25, 1907; second, Jan. 7. 1903,
nd the third Nov. 6, 1908. The ob
ects had many features similar. J.
Garlington was the chief figure in
lie three companies.
The general purpose of the Semi
ole corporation and the nature of
usiness it proposed to do was: "To
et as agent and manager for finan
ial corporations and insurance com
anics of all kinds, and to buy, sell
nd own stocks and bonds and other
ecuritices of other corporations,
oth domestic and foreign.
Motions with reference to the Sem
iole Securities company have been
inde in the courts and there was of
lcial action with reference to the
outhern Life Insurance company,
rhich is now a subsidary corporation
f the Seenrities company.
The complaint is a caustic arraign
lent, and if the charges can be sub
tantiated will reveal a sad state of
ffairs. However, most of the alle
ations are based upon "information
nd belief" and may not be credited
or the full face value of the accusa
ions until the refense gets its turn
efore Judge Watts, before whom oum
f the complaints was made.
It seems that the names of unsus
ecting good men were secured to
ive tone to the enterprise and solie
ing agents used these names for all
hey were worth.
After describing the offices and dui
ies o fthe several defendants, the
omplaint says: ''Plaintiffs now be
ieve, and on information and belief
liege, that the real purpose of the
ippointmnent of said trustees was to
end tone, standing and credit to the
cheme of the managing officers of
he said defendant company, and in
luence the unsuspecting public to be
ome subscribers to its capital stock.''
It is further alleged that the char
cer itself was obtained fraudulently,
'upon false arid fraudulent certifi
~ates'' of the corporators ''procur
d'' by the said J. Y. Garlington, and
hat if 50 per cent of the st6ek was
~ubscribed, as is required to get a
-harter, it was done fictitiously, and
0O per cent had not been paid in un
ess it had been paid in by the pre
ensive services of the said Garling
The plaintiffs allege that such iros
ato prospects were held out that
toekh in thme company were sold
hove par and premiums for insu
aince were paid in advance of poli
ies which wvere not issued accord
ng to promise. Notes were accepted
md these notes dicounted at the
ianks at as much as 40 per etn.
The company is alleged to be in
olvent and the records r moved from
he State of South Ca olina. The
>laintiffs pray the court to Amjoin
ertain banks from paying out sums
o the credit of the company.
Glarlington, the chief figure, claims
'eadiness to fight out the matter in
he courts.
Aetna Mills to Resume January 1.
Union, Special. - Aetna Cot ,n
Wfills, of this city, which were sold at
a special meeting of creditors t : a
iyndicate headed by Lewis W. P k
lr and Ellison A. Smith, promiii t
tnill mn,n Il resume full operatio s
in14 It hthe names.of th
resi ,r hAyw e7
five Attempts 4Gillng in Spattan
burg County JA Two Days-To
succesful A ts.
Spartanburg, Ojecial.-Since\Sat
urday night Spartanburg county has
been- the scene 6f two killings and
three attempts at murder. Both the
men killed were niegroes, m4e being
Will Cox, an Atlanta negro, who was
shot to death last week by an un
known negro at a railroad camp oil
the line of the Carolina, Clinchfield
& Ohio railroad, near the North Caro
lina line, while the other was Jesse
Leake, who was killed late Saturday
night by Dump Dorrqh' as they were
returning from a negro frolic near
Switzer. Dorroh is in jail.
The murderous assault on Mrs. Sal
lie Green, th~e acd woman residing
near Campobello, will probably result
in her death. Geprge Mintz was ar
rested in Greenville county on the
charge .of comm-itting this crime by
Special Constable Moss Ha vnes, and
is now in jail here. . ,It is said he has
made a partial confession.
Two other attempted killin:gs oc
eurred on tie line of the ('. c. & 0.
near the city. The first was a diffi
culty at the Leonard & Beckman
camp, near Cowpens, when Foreman
Cliarles Carter was perhaps fatally
eut by a white man whose name is
not known here.
The second difficulty was Saturday
night between negroes of the Ross
camp at the edge of the city. Ed.
Johnson had his throatt cut by a
''new negro" who has disappeared.
Johnson will get well.
-Greenville, Cherokee and Laurens
counties all report killings last week.
Farmer's Union.
Chester, Special.-The Chester
County Farmer's Union met here, the
principal purpose of the meeting be
ing to elect officers for the coming
year. The meeting was fairly well
attended. The election of officers re
sulted as follows: J. G. L. White,
president; J. B. Atkinson, vice presi
dent; C. C. McAliley, secretary and
treasurer; Walter .Simpson, door
keeper; H. T. Boyd, conductor; J.
A. Hope chaplain; Mr. E. H. Killian
declined reelection As secretary and
treasurer. Mr. J. S. McKeown also
declined reelection as business agent.
but will continue to perform the
duties of the office until the first
meeting in January, at which time
the place will be filled.
At the meeting on the second Mon
day in January Ira Williams of the
United States department of agricul
ture will be present and will make
an address, as will B. Harris, presi
dent of the South Carolina State
Farmers' Union. It is planned to,
have a big rally at this time, the gen
eral public being invited.
The Union passed a resolution en
dorsing the public cotton weighers of
the county and expressing the hope
that the system will be continued.
State News Items.
Laurens, Special.-A jail delivery,
in which five white men secured 'their
liberty for about two hours, occurred
here this morning at about 8 o 'clock.
The escape was effected by burning
the wooden door around the bolts
which held the locks, a poker being
used for the purpose. Four of the
prisoners were captured in less than
two hours, among them being W. A.
Foreman, who is ina .1ail for beating a
ride on the train and is being held for
deserting the United States army.
The only one not yet captured is
Albert Riley, the young man from
Greenwood, who was arrested for
stealing a suit case and some clot,bes
from the Owings boarding house.
It is reported that Y. C. Duncan
has organized a company and has
bought the Aetna Cotton Mills. lHe
has been ,living in Tennessee since
his noted connection with the Buffalo
and Union cotton mills.
It is estimated that about $900,000
a year has been lost to the State by
the Texas fever tick among cattle.
A vigorous educational and quaran
tine campaign is being carried on by
co-operative State anid Federal vet
erinarians. Instructive and persuas
ive efforts when unavailable, will be
followed by the strong hand- of the
law to effect the eradication of the
Lexington county enjoys a rare
reco d of. longevity. "Aunt'' Ma
Iti,6a Wise died on the third instant
t the age of 117 years. She was ohne
of the good old timers and was mnuch
beloved for her good characteristics.
It is announced authortttively
that the two large cotton ls at
Fort Mill will resume work gular
ly January 4. These mills h ye been
shut down sirie the first o August.
Most of the help has Ino d awvay
so as to obtain employmen and It
eId oubtful whether there li be suf
fleient-help to rnn &lI.au maina
Pennsylvania Senator Ac
Highest Place in Cabinet
fter- Receiving a Telegram From.
Philander 0. Knox, Signifying His
Willingness to Aceept, Mr. Taft
Announces His Appointment as
Secretary. of State.
Augusta, Ga., Speelal.--William H.
raft, President-elect of the United
States Friday night announced the
tppointment of United States Sena
:or ,Philander C. Knox, of Pennsyl
-ania, as Secretary of State in his
T)ie announcement followed the re
-eipt by Mr. Taft of a telegram,
Which came late in the afternoon,
-onveying the information from Mr.
K<nox that he would accept the pre
niership of the Taft Cabinet. Mr.
Paft without delay made the an
iouncement that the matter was set
led. In giving the details of the ne
)otiations he said that the offer was
nade to Mr. Knox last Sunday morn
ng in New York. That since the
offer he had not heard from Mr.
K(nox until the telegram lie received
Friday. After a consultation with
Secretary Root in Washingtou last
Sunday afternoon, Mr. Ta,ft said he
nade an effort to see the Pennsylvan
a Senator there but was informed
ie was in New York to attend the
linner of the Pennsylvania society.
Efe wired Mr. Knox to see him at the
Elenry W. Taft residence Sunday
norning. The appointment was kept
9r. Knox concluding his visit in time
ror Judge Taft to attend morning
!hurch services, but remaining at the
raft residence until after Judge Taft
iad gone to church.
"I feel that I am to be congratulat
Bd in securing the services of Sen
ator Knox in my Cabinet," Judge
Tatf said in making the statement
wit)- 'he understanding that he was to
be ( oted. "In selecting a Secretary
of tate I wanted first a great law
yer, and, second, a man who would
fill the public eye, not only here but
abroad, as man who stands out pre
eminently as a great American.
''Mr: Knox was a great Attorney
General; he was a prominent candi
date for the presidency, aqd lie is
recognized in the Senate and else
where As one of the great lawyers of
that body."
Judg Taft also feels that from a
political viewpoint the selection *
Mr. Knox is most happy. He ex
plained that there was often a feel
ing that the State of Pennsylvania,
with its assurred Republican major
ities, often was slightly in the mat
ter of recognition in the high coun
sels of the party. That this will not
be the case in the next administration
was* indicated by the announcement
by Mr. Taft that he should invite
Senator Knox to come to Augusta,
Ga., that he might consult him freely
with reference to filling other places
in his Cabinent. In fact, he said
that he felt the need -of such advice
a she should be able to obtain from
Mr. Knox regarding not only the Cab
inet, but many matters preliminary
to the beginning of his administra
tion. That Mr. Knox's influence will
he potent was freely admitted by Mr.
The hesitation of Senator Knox to
make a more speedy decision is inter
preted here to his desire to arrange
with due regard for the interests of
the party and his State for relin
anishing his seat in the Senate. Mr.
Taft evinced many evidences of grat
iflcantion at the decision which has
been reached.
Root Will Not Resign.
Washington, Special--Reports that'
Secretary Root contemplates resign
ing his seat in the Cabinet in the im
mediate future because of the trouble
which lie is experiencing from his
knee which was in.jured while he was
in ,the West making a speech in be
half of Mr. Taft, are denied in re
sponsible quarters.
Harriman Case Decided.
Washington, Special.--In -deciding
the cases of Edward H. Harriiman
an,d Otto H. Kahn vs. the Interstate
Commerce Cormmission, the Supreme
Court of the United States held that
the commission is not entitled under
the interestate commerce law to press
qnestions relative to private trqnsae
tions, even though they involve deaf
ingts in the seeuribies of inter*tatq
xailro d, when the -inveusfjt1 oi
4on theo.o11ni ~In.
How can a man
Be a cheerful giver,
When what he has
Is a sluggish liver?
- -Birmingham Age-Herald.
"Is she a well-preserved woman?'
"Yes, guaranteed under the Food&
and Prug act."-Town and Country.
Regiuald-"Uncle died in Europe
last week, and they are bringing his.
remains home on the steamer."
Marjorle-"You -mean remnants."
"I see they are to have a hookless
waist," said his wife.
"And just as I had got to be at
exper. in hooking them," he growled,.
being a natural kicker.-PhiladelphiQ
Patience-"That grocer of ours is
asking thirty cents apiece for cab
bages. Isn't that rather ridiculous?"
Patrice-"Well that family always.
did hold their heads high."-Yonkerg
Mrs. McCall-"They haven't been.
keeping house very long, have they?"
Mrs. Hiram Offen-" Gracious, no.
Why, she can recall the names of all
the servant girls they have had."
Philadelphia Press.
Agent (hailing newly arrived
steamer)-"What have you got for
Captain-"There's three hundred
cases o' gin. And there's a couple o'
missionaries! "-Punch.
"Mr. Bliggins nev
of anything that i: , -
said one young won
"I don't know about that," replied
the other. "He certainly never says
anything that seems worth thinking."
-Washington Star.
"You don't seem much concerned
aver the service of those divorc,
"Too soon yet," replied the actress
"I don't'know whether it's a schem(
of my husband or of the press agent."
-Philadelphia Ledger.
"How's yer husband arfter the ac
cident, Mrs. Ginnerty?"
"Faith, sumtoimes he's betther an'
sumtoimes he's wurse, but frum the
way he swears and yills an' takes on
whin he's betther; 01 think he's bet.
ther whin he's wurse. "--Puck.
"He never parts with a cent."
"He'll never get any experience
that way."
"He'll never need any. Experience
merely consists of parting with money
unwisely. "-Kansas City Journal.
"I wonder whar that gal is?I
hain't seen her this hour an' a h'alf."
"She ain't fur," replied the old
man. "Last time I seen her she wuz
killin' a couple of rattlesnakes to
git rattles enough to make a necklace
to wear to the party! "-Atlanta Con.
"Why don't you ever write any new
"Wouldn't be any use," answered
the contributor to the humorous
weeklies. "These editors aro a foxy
lot. They would recognizo and throw
them out at once."-ILouisville Cour.
"I' didn't know young Snobberly
really .took any interest in politics."
"Nonsense. He doesn't."
"But I just heard him talking for
thg. past ten minutes ai,out 'party
ties.' "
"Oh! He meahs white lawn bows."
--Catholic Stapidard and Times.
SMrs Henpeck (to her husband)
"What wiould you do if I were to
I'enpeck-"It would dia o
Mrs. Henpe9k-"Would you~ ,ary
Henpeck.--"I don't think.-i would
i~.as orasy a. that."--Pioneer Press.

xml | txt