Cornell University Library Digital Collections

Joint Memorandum on Recent Decision Dissolving the I.W.O. in New York State

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Title:
Joint Memorandum on Recent Decision Dissolving the I.W.O. in New York State
Collection:
International Workers’ Order (IWO) and Jewish People's Fraternal Order (JPFO)
Set:
Cold War
Black Jewish Relations
Creator:
Forster, Arnold
Lukas, Edwin J. (Edwin Jay), 1902-1973
Date:
1951-07-25
Site:
New York, New York, United States
Chicago, Cook, Illinois, United States
Address (Creator):
386 Fourth Avenue, New York 16, New York; 327 North La Salle Street, Chicago, Illinois; 212 Fifth Avenue, New York 10, New York
Identifier:
5276b42f03_01
Recipient:
CRC Offices|AJC Area Offices|ADL Regional Offices
Organization:
American Jewish Committee; B'nai B'rith. Anti-defamation League
Transcription:
Bx. 42 ff3 [pencilled in]; on page 4, the word "Justice" is circled.
Language:
English
Work Type:
memorandums
political ideologies and attitudes
historical figures
national organizations
political campaigns
communism
leaders (people)
organization files
letterheads
legal correspondence
legal documents
law (discipline)
trials
courts (judicial bodies)
Subject:
Postwar Jewish Unity
Postwar Order and Social Contract
Postwar Jewish Culture- U.S.
Soviet Union
Cold War- Red Scare, Jewish Community
Jewish Lodges
Americanization
Communism
Political
Legal Matters- IWO Legal Issues
Communist Party, USA
Fraternal Orders- Lodges, Activities
IWO JPFO Organizational History
Black Jewish Relations- African Americans
Anti-Ordn Campaign
Trial and Testimony
Description:
6 pages. Joint Memorandum regarding the analysis of the recent decision dissolving I.W.O. in New York State. "On June 25, 1951 Justice Henry Clay Greenberg of the New York Supreme Court ordered the dissolution and liquidation of the International Workers Order on the basis of a petition brought by the State Department of Insurance. In his 49-page decision, Justice Greenberg sustained the view of the State Superintendent of Insurance that the I.W.O. had violated the provisions of its Charter, and was conducting an insurance operation that is 'financially hazardous to its policyholders, to its creditors, and to the public'. The I.W.O., a fraternal benefit society, which writes life, accident and health insurance, is comprised of about 1,600 individual lodges, located throughout the United States, has a membership of about 162,000 and has over $6,000,000 in assets. By December, 1949, it had issued insurance amounting to $110,000,000 and had paid out, up to that time, more than $13,000,000 in benefits. The Court acknowledged it as being in sound financial condition." (1) The memo analyzes the evidence that the I.W.O. was a "communist front." Memo states that the crux of the matter is whether under New York State insurance law Section 511 (e) that the IWO is "hazardous to its policyholders." (2). "The I.W.O. urged that the Court adhere to the legislative, administrative and judicial history oi the law, and refuse to use the word "hazardous" in this wholly unwarranted manner. They urged that no dissolution could be ordered while they were in a solvent and sound financial state." (3) "On the law: Critics point out that the I.W.O. is being dissolved because it is deemed to be a political "hazard" to its policyholders, creditors, and to the general public. Yet, the dissolution is being ordered under a statute which, it is recognized on both sides, was never intended to be used in this manner. ... Justice Greenberg's decision runs counter to all previously decided insurance law... to dissolve it is also to destroy America*s most cherished doctrines of due process of law, for the very essence of law is that it be applied equally to all." (6) Memo highlights the financial impact on particular classes of existing policyholders, most especially those who are unlikely to be reinsured: the aged, the disabled, and Negro members who would now face discriminatory rates.
Note:
The Jewish People’s Fraternal Order was the largest ‘national’ section of the International Workers Order (IWO) which focused on cultural awareness and celebration, mutual support especially in health insurance coverage, and anti-fascist activities. The IWO also gave particular emphasis to supporting the rights and interests of African Americans. Documents include language and representations which comprise the historical record and should not be interpreted to mean that Cornell University or its staff endorse or approve of negative representations or stereotypes presented.
Cite As:
International Workers Order (IWO) Records #5276. Kheel Center for Labor-Management Documentation and Archives, Cornell University Library.
Repository:
Kheel Center for Labor-Management Documentation and Archives, Martin P. Catherwood Library, Cornell University
Archival Collection:
International Workers Order (IWO) Records, 1915-2002 (KCL05276)
Box:
42
Folder:
3
Rights:
The copyright status and copyright owners of most of the images in the International Workers Order (IWO) Records Collection (Kheel Center #5276) are unknown. This material was digitized from physical holdings by Cornell University Library in 2016, with funding from an Arts and Sciences Grant to Jonathan Boyarin. Documents include language and representations which comprise the historical record and should not be interpreted to mean that Cornell University or its staff endorse or approve of negative representations or stereotypes presented. Cornell is providing access to the materials as a digital aggregate under an assertion of fair use for non-commercial educational use. The written permission of any copyright and other rights holders is required for distribution, reproduction, or other use that extends beyond what is authorized by fair use and other statutory exemptions. Responsibility for making an independent legal assessment of an item and securing any necessary permissions ultimately rests with persons desiring to use the item. Cornell would like to learn more about items in the collection and to hear from individuals or institutions that have any additional information as to rights holders. Please contact the Kheel Center at kheel_center@cornell.edu

About the collection

This bilingual project conserves, digitizes, and curates a portion of Cornell's International Workers Order (IWO) archives and most especially those of its Jewish division, known as the Jewish People's Fraternal Order (JPFO). The IWO was founded in 1930 as an immigrant fraternal order that provided high-quality, low-cost health and burial insurance and other benefits for members. The origins of the IWO / JPFO arise from a decade of splits (1920-1930) concerning the U.S.S.R., the Bolshevik Revolution and Communism that consumed the Jewish Federation of Socialists and the Arbeter Ring (Workmens' Circle) groups associated with Eugene V. Debs' Socialist Party. While the vast majority of the IWO's members--200,000 at its peak right after World War II--did not belong to the Communist Party of the United States of America, the IWO's politics and leadership were largely aligned with those of the Party. The IWO was legally disbanded in 1953 due to the Cold War "Red Scare." This closure followed on a famous and unprecedented court case: its insurance funds and records were seized by New York State's Insurance Department. The presence of a goodly portion of the IWO's archives in the Kheel Center's 5276 Catherwood Library collection at Cornell's Industrial and Labor Relations (ILR) School is a direct result of that seizure.