" K . T
II A.
Associated
i-Presi.;
Service.
Hi
Fries
-
Service.
Vol. LXXI. No. 103.
The Weather FAIR.
RALEIGH, N. C, MONDAY, MAY 13 ,1912.
LAST EDITION.
PRICE FIVE CENTS.
Dcmble the Numbpr of P&id Siibscribfers in R.aleigh of any Other Newspaper
a '.
MR. POU MAKES REPLY;
MR. BROWNS AWSWElt
Emphasizes Points Made In First Letter With
Reference to Position of Policyholders
In Case of Merger
WILL MEET IN CITY
LATE THIS AFTERNOON
Will DISCUSS I'lllllH Of MCTRPf 811(1
Actioir They Will Take In Case
Companies Consolidate Sir. Pou
. Comes Forward With Spirited
Reply to Answer of President
Brown Saturday Night With lie
gard to Merger Stockholders to
Meet. Saturday at Noon Repre
sentatives of Stockholders and
Policyholders to Have Hearing
Tomorrow Before Commissioner
Young The Latest Developments
In Insurance Merger.
", Mr. James H. Pou, a policyholder
In the Jefferson Standard, today
added another chapter to the contro
versy over the merger of the Ral
eigh concern with the Ureensboro
Life, when he'-' made public his an
swer to the letter of President
Brown, made public Saturday night.
In his letter today Mr. Pou wants
to know if the Jefferson Standard, in
case a merger is effected, will re
turn to policyholders the amount of
money paid out, plus interest, if
such a demand were made, and asks
still other questions.
It was announced today that rep
resentatives of the stockholders and
policyholders : will meet tomorrow
with Insurance Commissioner Young
to discuss the plans of the merger.
The policyholders will meet this af
ternoon at 4:30 in the rooms of the
chamber of commerce and the stock
holders will meet Saturday at noon.
Mr. Pon's letter .and all matters
growing out of the proposed merger
arc given below:
Mr.. Pou's Letter. ,
, Raleigh, N. C. May 13, 1912.
Hon. Joseph G. Drown, President, .
Jefferson Standard Life Insurance
Company, Raleigh, N. C.
Dear Sir: I received your lotter
of the 11th yesterday, Sunday, and
I hasten to reply.
I notice in the second paragraph
of your letter that you assure me
that lt'ls not the "disposition on the
part of the stockholders to do, or
permit to bo done, anything that Will
in the least impair the security of
the policyholders." I Italicize cer
tain words In that paragraph. Would
you understand the withdrawal of a
large part of thy money that Is now
up for tho security of the policy
holders as In the least imparing their
security? If there was a note In your
bank amply secured by collateral,
and the borrower would come to
you and ask you to allow him to
take down part of tho collateral.
would ypu consider that Imparing
your security? As I understand It
the ten or twelve million dollars of
, policies in your company are now
secured:
1. By the legal reserve, which the
law requires your company to keep.
2. By five hundred thousand dol
lars (1500,000) of capital and sur
plus paid in and. now intact.
3. Py the stock liability of your
stockholders similar to the liability
upon stockholders In a bank.
The Marvin of Safety.
At present there Is at least a 20
THE MEXICAN REBELS
CONTINUE TO RETREAT
Conejos, Mexico, May 13. Burn
ing bridges behind them, tho MexU
can rebels continued their retreat
before the federal army of Gen.
lluerta, victorious In the last three
days lighting. Five bridges, span
ning the wide arroyes were destroy
ed by Insurgents, causing delay to
federal troop trains. No lighting Is
expected today. Both sides were oc
cupied with tholr doad and wounded
from yesterday's engagement. The
rebels, It is believed, lost six hundred
In kilted and wounded, " .
Wyoming Convention. -Cheyenne,
Wyo., May 15.--Repub-llcan
and democratic state conven
tions convened here, today, each to
i select alx delegates to the national
conventions. Taft men claim control
of the. republican convention. ' The
majority of the delegates to the dem
ocratic convention are favorable to
Clark. Tim Wilson ndhernnts will
fight for an instructed delegation.
'I..-'.-:'.
per cent. ' margin' of safety to the
policyholders of the Jefferson Stand
ard. Now tell mo how much of this
Is to be taken down. I understand
that In the consolidation of the two
companies is it proposed to Join the
policyholders of the two companies
and then put behind these policies
loss capital and surplus than Is now
behind tho policies of the Jefferson
Standard alone. Is this correct? I
understand that in the proposed con
solidation twenty-two million dollars
of policies are to be combined and
kept in force, but that a large part
of the surplus which now secures
these policies ; in their respective
companies is to be taken down, pars
ed around the policyholders and paid
to the stockholders. Is this correct;
and, if so, how much in dollars and
cents is to be taken down, and to
whom will it be paid? And what
will bo put in the place of this good
money so that the security to the
policyholders of the Jefferson Stand
ard will not in the least be im
paired? "Proper."
1 notice from your letter that the
insurance commissioner, commis
sioner, attorney general and the ac
tuaries have assured you that a
"proper consolidation will inure the
benefit of the policyholders of both
companies." I agree with that state
ment most heartily; but the key
word in that statement is the word
"proper." I would not consider, nor
do I believe the insurance commis
sioner or attorney general will con
sider, any consolidation proper
which increases the amount of lia
bilities and diminishes the margin
of safety. Have these gentlemen
agreed to any such proposition? If
they have, I shall be greatly sur
prised. .
The Capital.
I notice that the committee of
stockholders will recommend, for the
new or consolidated company a cap
ital of not less than the present cap
ital of the Jefferson Standard, which
1 understand Is two hundred and
fifty thousand dollars ?250,000),
with a paid in surplus of two hun
dred and fifty thousand dollars
250,000). I ask you if it is not
proposed in the new company to put
behind the policies of both com
panies to be consolidated only three
hundred and fifty thousand dollars
($350,000) of capital and surplus;
where as there is now up as security
far the policyholders of. both com
panies at leaBt six hundrod thousand
dollars ($600,000)? Please give me
a definite and succinct .' answer to
this.
The Meeting.
Next I notice that you Invite the
policyholders to meet with the
stockholders of the Jefferson Stand
ard Life Insurance Company on Sat
urday, May , 18, 1912, at 12 o'clock
I thank you for this Invitation; and
if you will assure me that the meet
ing Is for the consideration of the
consolidation, and not merely to
ratify a "cut and dried" scheme, and
that your company will genuinely
consider our objections to It, I, and
many other policyholders will glad
ly avail ourselves of the invitation
and attend the meeting. Our only
condition of attendance will be full
freedopi of speech and frankness of
conversation We would not care to
waste the time to enter a formal
protest, which your company will
say it will consider, and which It
will, after we have retired, dismiss
without further consideration. Please
advise me .whether you will see us
on these terms or not.
Should Be Open.
I also note that you say that there
is absolutely nothing in the proposed
consolidation to. "be kept from the
public. I certainly agree with you
in this statement; and I will go
further and say that there Is noth
ing which can, or will be, kept from
the public. The proposed consolida
tion Is a matter of too much im
portance to thousands of people to
trn consummated In a back room or
behind closed doors. It must, and
shall be done In public, if done at
all. '
We will have a conference of a
number of the policyholders In per
ron, and a great number by proxy,
this afternoon at 4:30 o'clock In the
rooms of tho chamber of commerce.
If you ean give us information upon
the following points by that time. It
may simplify matters very much and
may obviate the necessity of litiga
tion, 1 will explain these matters
and will then formulate the ques
tions, which I would suggest that
you consider and answer by that
time, If you can.
Its It Lawful?
It seems .that the consolidation
'. (Continued on Thro Two.)
LSb W'l
- V v.
.. ' -t .V..
AF '. 4 V
WWW
EMPRESS OK JAPAN.
The International Bed i toss Con
ference was treated to a pleasant
surprise when the-Japanese,. delega
tion announced a (jilt I'nini me em
I mill nl' flu- Itisinu: Sun
of $,-O,00O "fur the encouragement
of relief work in the time ot peace-
TRAIN IN WRECK
Norfolk, Va., May Norfolk
Southern train, known ;is the
"Newborn Flyer" was wrecked half
a mile south of Hickory Ground -yesterday
afternoon, while ci route ti
Norfolk. Twenty 'people were slight
ly hurt.
The wreck was caused by the rear
truck on the mail coach leaving the
rails, rausing. the three rear coaches
:o turn over. The track was torn
up for a hundred' yards.' The acci
dent occurred at 3: is o'clock.
The following statements was is
sued by officials of the road:
"Trail, consisting of mail car, two
coaches and parlor car, in charge of
Conductor Ferebee and Engineer
Fields, was derailed and turned over,
tne eiiaches turned completely on
side, parlor car partly over, rear
truck of mail car derailed, about
one-half nille south of Hickory
Ground, Va,"
The in I ii red Were .brought to this
city on a special train and sent to
St. Vincent s hospital. Most ot thorn
were discharged last night and all
of theni will leave the hosuital. to
night, it is stated.
Among the Injured was W. A. Gra
ham. Jr.. of -Richmond,, a soi of
Major V. A. Graham, of Italoigh
His injury is not serious.
Cotton Tariff Hill.
Washington, May 13. Whether
the cotton tariff revision bill will be
Introduced at the present session of
congress probably will be decided
definitely tomorrow at a conference
of the democratic members of the
hjouse ways and .means committee
The feeling among the democrats,
It Is said, is against further tariff
legislation during this session.
TAET BEGINS SECOND
Marlottn, Ohio, May 15. With his
fighting blood up, President Taft be
gan his one thousand miles speech
making tour around Ohio. The trip
will cover practically every corner
of the state and end a few hours be
fore-"the polls open for the voters to
register their preferences for presi
dent May 21. .
HF.BKLH DKl'KATKD
Government Force in Paraquaj- Win
Victory
Buenos Aires, Argentina, May 13.
Official advices from Asuncion
confirm the victory on May tenth of
government troops over a large revo
lutlonary force under the command
of former President Alvlne Jara
Jara' was wounded. The rebels lost
many killed. Five hundrod rebels
wore taken prisoners by Jara. All
artillery and one thousand rifles
holonrclnrc to the rebels wore enp
tu red.
IMPORTANT
: a i
Eyes of Nation Will Watch
Republicans Here
Wednesday
The republican slate convention,
which, will he called lo order in the
miditorium Wednesday at noun, will
attract more ' attention than anv
former republican convention ui -this
state has ever -. done. I he North
Carolina republicans niav decide the
question of the 'republican nomina
tion for president. 1 here is no
douht that the Tar Heels are lined
up solidly behind ( olonel itooscvclt
and the fight will nc made lor or
against instructed delegates. hsur
mun John M. Morehcad will call the
convention to order.
Another matter ol meat interest
will lie the electiiic, ol a national
committeeman. Hon. Iv C. Duncan
of Raleigh now holds mat honor,
but the Morehead -lir: ler laclion
will, it is understood, endeavor to
replace him with ex-M nntor .Marion
Butler A state chairman will also
be elected.
The usual number ol contests will
develop, 'including mat- l mm Wake
county over the maiter m who is the
real chairman of tne county exe
cutive committee, . both .Mr. .Lester
F. fiutler and. -Mr. W. .J. Andrews
claiming - the honor.
The various committees ammint-
ed hv the chamber oi commerce to
look alter tlje com tor's ol he dele
gates and vistors have .-been active
getting everything in -readiness m
time lor the convc.it!o:i.
LING QF
State to Do Honor to (hrl s
Duncan Mm
On Wednesday at noon rialeigh
anr the great assemblage;-of people
from all over the slate, who will he
here for the day. will see unveiled
the statute of Charles Duaean Mc-
ivt-r, which for several months has
stood shrouded in cloth-just within
the capital sipia -c. at the head of
Fayetteville street. It is a beautitul
site and one of .prominence, where
already it has been observed by hun
dreds of visitors, But Jew.- have
asked why it was erected. .F-very
school child and every citizen in
North Carolina knows the story and
many have had a part in the erec
tion of this statue to the great edu
cator, even if only the contribution
Of a penny.
Because Charles Duncan Melvrr
belonged to the tale of North Caro
lina, the event will be attended by
exercises reacliinU in interest fr'im
the mountains to the sea coast.
From the. Stale Normal School will
conio a host of voting women lo join
In a chiriiH -of. the ong he loved the
best, "The Old North Stale." The
High School students will pay their
tribute of graiiiude and respect in
the nation's hymn, "America."
An occasion wli ich calls together
such -men, who will pay their tribute
in words of .oratory, as Rt. Rev.
Robert Strange, bishop of the dio
cese of Kastern Carolina; Dr. ('. Al
phonso Smith, ol the University of
Virginia; His Fxcelleiicy Hon
W. W, Kitchin, governor of North
Carolina; President J. I. Foust,
State Normal and Industrial Col
lege; Hon. J. Y .loyner, state super
intendent of public instruction; and
President 'Henry' Jerome Stockard,
of Peace Institute, is necessarily an
event of deepest interest to a whole
state.
The statue will he unveiled by Dr.
Mclver's daughter, .Miss l.ula Martin
Mclver.
Program.
1. - Music,
2. -Invocation- .My Rt. Rev. Robert
Strange.
3. Address -!! Dr. C. Alphonso
Smith, I'nlversily of Virginia.
4. -Song "America,' by Raleigh
School Children and College
Students.
5. Poem-Ily Henry Jerome Stock-
ard.
6. Address Hy President J. 1.
Foust, State Normal and In
dustrial College.
7. Presentation of Statue to the
State--Hy J. Y. Joyner, chair
man of the committee.
8. Acceptance of Statue for the
State By His Excellency
Hon. W. W. Kitchin, governoJ
of North Carolina.
9,
I'n veiling By Lula Martin Mc
; Iver. -Song. "The Old North
State" Py Students of State
Normal and Industrial Col
lege.
A man Is never more anxious to
take his wife on n trip than when
tiho doenn't want to go.
3
1 4&&
i:i'Ki; oi si tiii:i:lam.
ho.lias ins) :ti rived in New t ork,
oni' ot the most prniiiiiient ol t lie
exodus ol sirilisli nobles who are
lorsakin.'j, then' liiilive heath anil
iiiiL'i'aling to ( aiiiiila. ulr-.'-e thev ex
peel lo rebuild (heir lolluoes ol
tiieir ,'iiico.t'irs hv (leveloiiii e
('. ii.mic 1 it c in lands in the soulliwesl
ei n pact ot (lie Dominion.
ST. MARY'S SCHOOL
The seventieth, annual 'commence
iiieni of St. Mary's school will be
held Mav i!fi-LX. This will lie a
shortening of the commencement
week by two d-iyi', as it. has long
been the custom -to extend through
Thursday. The baccalaureate sermon
will be preached in the chapel Sun
day morning, May -'i, by liev. R,
T. -Alsop. D. !., of !!rooklyii, N. Y.
On Tuesday the eommencetneiit ad
dress will be made .by Dean -Graham,
of 'he '. I'niversity of 'North 'arolina.
The following is tin- commence
ment program ' .
Saturday,' Mav' 2.". Kloeiiihm re
cital,' "Taming the .shrew. "
. Sunday,. May M, 11 a. m..' Scr
iiiiiii, i;C, it. T,''Als'.ii. D.-D., ilrooli-
lyn. .N. X.: a p. m.. Alumnae ser
vice in the chapel.
'Monday-,'; May :!",. I 1 a. in.,: Class
Day; ;i p. in., An 'xHibii ; t : Mo p.
"i.. Alumnae meet in;;; S:::o p. in.,
Concert; 9 : :.!! p. in.. Hector's recep
l ion.
Tuesday, May ., 1 l a. in., uradu-
ating I'Xeiiises in a udiiotiu m, ad
dress by Dean Graham of I niversily
of Xo''l h, ( 'a rolilia . ' lo:,i:i c, i.'M ri'ise;;
in t be chapel,
SAW Ol ANT K ;i',i:i:(i
Thousand I'cet Long anil ir0 I'eel
llijih.
New York. May 1:1.. A Kiaul ice
berg one thousand fed lung and one
hundred and fifty. .feet high, 'fifteen
miles away, gleaming and flashing
brilliantly in the .sunlight was sight
ed by passengers of the steamer
George Washington, reaching hen
today. Tlie berg was estimated to
be one hundred and fifty miles south
of where the Titanic went down,
FAVORABLE REPORT
FOR SHE TERM
Washington, May T:t.- The senate
jiidtcary cominitteo decided to re
port favorably the Works ' resolu
tion restricting the presidential
tenure of olllce to a fingle term of
six years. The minority report fav
oring a single term of six years will
be made from the committee. The
reports are expected in a day or
two. ' 1 . .
, .SOCIALIST CO.W KNTION
Nom ill Session Will Choose Presi
dential Candidates Krida.v.
Indiantipolis, May IS. After
erecting a platform aiid appointing
resolutions 'committees the socialist
national .convention began the con
sideration of the -reports of special
commutes, Including that upon the
campaign for votes of wonien In the
states that have granted them the
ballot. Candidates for president and
viie prc.iilout Kill be honcn Kriduv,
PLOT AGIST
KIR. ARCHBALO
- ,
Plans Were Laid to Entrv'cers of North Carolina National
Ilifo In Discreditable
Transaction
ashing I .mi. May Ki.-'A purport
ed .deliberate plan of W. P. Roland,
the Scrauton coal dealer who origi
nated the charges against Judge
Robert W. Archbald, of the com
merce court, to entrap the jurist in
an embarrassing transaction, was re
vealed beiore the house .'udiciary
c.unrnil tee investigating the case to
determine whether impeachment
proceedings shall be instituted by
the senate.
Allan Cockroll, confidential secre
tary' ol the interstate commerce com
mission.' read to the committee his
memorandum of Roland's original
statement ot the charges against
Archbald. liolaiid. according to the
memorandum, told Interstate Com
merce' .Commissioner Meyer, he' pur
posely sought lo entrap Archbald in
the Katydid culm bank transaction,
alter the demurrer in: the suit
again..) ins coal company was decid
ed against him in Archibald's court.
Roland declared he sent E. J. Wil
liams to Archbald to lure him into
l he Katydid culm option deal with
Hie I'.rie Railroad after .Williams
came to linn w-jth Archbald's $000
note tor discount.- Holand refused
to discount the note and subsequent
ly Ins demurrer' was decided against
him. In makiiig; charges Roland
immediately, according to Cockrell,
used Williams in an effort to involve
the judge hi a .discreditable- trans
action. " WOOl M K.N OKG.WIZi:
To Have New .Camp at Scotland
Neck Simiii.
Scotland. Neck, May .13. '-District
Deputy A. O. Kin',, of Ahoskie, was
here several days the past week in
Hie interest of the Woodmen of the
World in an effort to organize a lo
cal lodge. He secured the required
number of applications for member
ship. and at a meeting Friday even
ing, the following officers were
elected, pending a permanent organ
ization upon receipt, of a charter,
which lias been applied for: Consul
Commander.. Stanley 1!. I l uighton ;
Adviser Lieutenant, .1. W'. Austin:
Clerk, W. I!. Strickland. Jr.; Rank
er, ('has. N. Jialone; Kscorl; J. W.
Hlylhe; Watchman, T. J. Williford.
Mr. Kill' says tie expects the
charter, wiiliin a few weeks, when
he will come hack and perfect a per
manent orgainzat ion.
RICHKSON RKARING I P W KLL
I'epi't of Alienists i:pectcil to be in
Covet n.ii 's Hands hy Weilnesday.
I'-islon. Mass., May l:!. -"Riche-son
is standing up well under the
alienist fii'bal." said Attorney
.Morse, leavitig the Jail at'ler a call
upon the man condemned Id die next
week for murdering . A vis Ljnnell
Morse raid If experts the reports
probably v. ill lie m the governo "s
hands In-fore in regular council
meeting WediK-sday. 'Sheriff (.iuinn
iiiinoiineed Iticheson would not lie
removed to the state prison 'chamber
to await death until after the coun
cil .meeting Weilnesday.
flrikers l!io al Itiillinioii-.
Halt iinore, .May 1 Pistols were
used and stones thrown In a riot, the
outgrowth of the stevedores strike
for wage increase and union recog
nition. " The .trouble followed the
strike-breakers attempt 'to start to
work. The strike-breakers wen
taken across the harbor under police
escort. .None were seriously hurl
Kd. Callahan lltiiieil.
Jackson, Ky.: May ". Kscorted
by a hundred; armed clansmen the
body of Kd. -Callahan, feudist, re
cetitly shot from anihush, was buried
this afternoon at Crorketsville. The
mountaineers' temper indicates a r
opening of I lie Callahaii-Deaton
feud. .
Bitter Conditions in I'l I Distiicls.
'New Orleans, May 1 :!. -Kncourag
Ing reports were received from the
rtood districts, army engineers as
sert that unless there are more seri
ous rain storms they hope Lr-hold
1 he .-r inn in inn levees;
Ne Taxes for- Indians.
Washington,' May IS. Many mil
lion d.illars In taxes were lost by
Oklahoma, by the supreme court de
cision that the stale cannot tax the
land allotted to about eight thou
.sand less than half-blood Indians.
Safe Blowers Oct KCiOO.
St. Louis, May 13. Safe blowers,
using nltro glycerine, wrecked
Clayton postnfflce and escaped with
loot valued nt n couple of hundred
dollars.
IMP READY
Gather Here For Cgurse
'v of Training
WILL LIVE IN TENTS
Will Be Drilled in New Regulations
of 1' nited Statra Army and Car
ried Thioutfli Course, of Training;
and Lectures Calculated to Help
Ouanl Army . Oflieers Here
Ctuiip Opened Vp Today -Xearly
tr,u Oflieers to lie Here Vair
Weather in Prospect.
With ideal weather in prospect,
the camp of instruction for omcerB
of tho North Carolina National
Guard, to be conducted near the, fair w
grounds this week, should provp of
inestimable benefit to the leaders
of the state's military forces. Ffve
regular army officers are on tiand
to give instructions and 150 guard
officers will be drilled in the new
army regulations. '
The van guard of the officers ar
ived in the city today and by. to
morrow all will be occupying tents
in the grove. Instruction began to
day. The course Includes all the de
tails of an army camp, such as san
itation,, drills, target practice and
so on. ,
The officers of the First, Second
and Third Regiments will be organ- ,
ized . into three provisional Com
panies: and from reveille until' the
close of the drill period at 9:15 a.
m., they will live the strict military
life of a cadet. During this time
each officer will be taught to ' per
fect himself in the commands of
the new infantry drill regulations.
Officers will not only be drilled,' but
will be requied to drill others under
the direct supervision of the regular
instructors. The drill will be prac
tical, and will culminate in a field
firing problem on Friday. In this
problem each company will have
about 20 rounds of ball cartridges
per officer, and will advance over the
local target range firing at concealed
silhouette figures which will appear
and disappear at the command of
the directors who will have direct
telephonic' .directions with all the
pits.
Map Heading.
The balance of each morning will
be devoted to instruction in company -administration
and tp Bpecial in
struction in the making and reading
of military maps. Major W. v, ..
Peirce of the state engineer depart
ment has just completed an excel
lent topographical map which will
be used in this class. Each evening
during the camp will be devoted to
a "tactical walk." Here the officers
will again be divided into regiments.
Kadi regiment will be assigned to
a certain road, not. over two miles
in length. .Each will have a regular
instructor". who.. will furnish the situ
ations which in war would be de
veloped by the enemy. As each situ
ation is slated an officer or officers
will be required to give his decision
on the ground.
(lit Friday evening the whole
brigade will lie together, tinder com
mand of Brig. (Jen. B. S. Royster.
It will march as per Instructions
contained in a march order issued
from brigade headquarters. Various
sitautions will be given which will
require the Issue of an attack order
by the brigade commander, and the
disposition of troops for the attack.
Lect'ires.
During the camp there will be de
.' (Continued on Page Five.)
Washington, May 1 ;. Describing
as "something awful," his two-yesr-observallons
of packing house cbn
ditinis In Philadelphia, J. W. Bur
roughs, a former federal meat In
spector, told the Moss Investigating
committee in his investigations he
observed lard containing worms,
scrapple made of bad meat, and re
volting sanitary conditions. Bur
roughs supposed the Nelson resolu
tion for an Investigation of the
meat1 inspection servlre. Burroughs
declared the Philadelphia packers
violated the law by refusing the In
spectors access to certain parts of th
plants.
j Suit Against the Steel Trust.
New York, May 13. Daniel 'O.
Held, a railroad financier, and di
rector In the United States 'Steel
Corporation appeared ' as a witness
before the hearing in' the govern-:
incut suit to dissolve the corporation.
V