REPORT ACCOMPANYING H. R. 27473, SIXTIETH CONGRESS, SECOND SESSION

60TH CONGRESS) HOUSE OF REPRESENTATIVES 2d Session

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REPORT No. 2188

AMERICAN NATIONAL RED CROSS

FEBRUARY 15, 1909.-Referred to the House Calendar and ordered to be printed

Mr. AMES, from the Committee on Foreign Affairs, submitted the

following

REPORT

[To accompany H. R. 27473.]

The Committee on Foreign Affairs, to whom was referred the bill (H. R. 27473) to amend an act to incorporate the American National Red Cross, have had the same under consideration and recommend its passage, adopting as its report thereon the following:

This legislation is asked for by the executive committee of the American National Red Cross. The proposed amendments to the organic act of January 5, 1905, are printed in italics. The purpose of these amendments is twofold:

First. To provide for the disposal of the balance of the funds given for special relief purposes.

Second. To restrain the abuse and to limit, as far as possible, the use of the emblem of the American National Red Cross, or the Geneva Cross, for purposes of trade or advertisement to those who may have previously acquired rights through registration at the Patent Office. This is a step in conformity with the requirements of the treaty signed by the United States, in December, 1906, as a result of the Geneva commission.

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PUBLIC LAW NO. 258, SIXTY-FIRST CONGRESS, SECOND

SESSION (S. 6877, APPROVED JUNE 23, 1910)

AN ACT To amend an Act entitled "An Act to incorporate the American National Red Cross," approved January fifth, nineteen hundred and five.

Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled, That section four of the Act entitled "An Act to incorporate the American National Red Cross," approved January fifth, nineteen hundred and five, is hereby amended to read as follows:

"SEC. 4. That from and after the passage of this Act it shall be unlawful for any person within the jurisdiction of the United States to falsely or fraudulently hold himself out as or represent or pretend himself to be a member of or an agent for the American National Red Cross for the purpose of soliciting, collecting, or receiving money or material; or for any person to wear or display the sign of the Red Cross or any insignia colored in imitation thereof for the fraudulent purpose of inducing the belief that he is a member of or an agent for the American National Red Cross. It shall be unlawful for any person, corporation, or association other than the American National Red Cross and its duly authorized employees and agents and the army and navy sanitary and hospital authorities of the United States for the purpose of trade or as an advertisement to induce the sale of any article whatsoever or for any business or charitable purpose to use within the territory of the United States of America and its exterior possessions the emblem of the Greek Red Cross on a white ground, or any sign or insignia made or colored in imitation thereof, or of the words 'Red Cross' or 'Geneva Cross' or any combination of these words: Provided, however, That no person, corporation, or association that actually used or whose assignor actually used the said emblem, sign, insignia, or words for any lawful purpose prior to January fifth, nineteen hundred and five, shall be deemed forbidden by this Act to continue the use thereof for the same purpose and for the same class of goods. If any person violates the provision of this section he shall be deemed guilty of a misdemeanor, and upon conviction in any federal· court shall be liable to a fine of not less than one or more than five hundred dollars, or imprisonment for a term not exceeding one year, or both, for each and every offense."

SEC. 2. That the following section is hereby added to said Act:

"SEC. 8. That the endowment fund of the American National Red Cross shall be kept and invested under the management and control of a board of nine trustees, who shall be elected from time to time by the incorporators and their successors under such regulations regarding terms and tenure of office, accountability, and expense as said incorporators and successors shall prescribe."

Approved, June 23, 1910.

REPORT TO ACCOMPANY H. R. 22311, SIXTY-FIRST CONGRESS, SECOND SESSION (SEE S. 6877)

MAY 3, 1910.-Referred to the House Calendar and ordered to be printed

Mr. DENBY, from the Committee on Foreign Affairs, submitted the

following

REPORT

[To accompany H. R. 22311]

The Committee on Foreign Affairs, to whom was referred the bill (H. R. 22311) to amend an act entitled "An act to incorporate the American National Red Cross," approved January 5, 1905, having considered the same, report thereon with a recommendation that it do pass with the following amendments:

On page 1, line 4, insert between the words "Cross" and "is" the words "approved January fifth, nineteen hundred and five," to conform to the title.

On page 1, line 12, between the words "or" and "display," strike out the word "to," to correct a typographical error.

On page 2, line 13, strike out from and including the word "that" to and including the word "thereof" in line 22, and insert in lieu thereof the following:

That no person, corporation, or association that actually used the said emblem, sign, insignia, or words for any lawful purpose prior to January fifth, nineteen hundred and five, shall be deemed forbidden by this act to continue the use thereof for the same purpose and for the same class of goods.

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The bill when thus amended will read as follows:

Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled, That section four of the act entitled "An act to incorporate the American National Red Cross," approved January fifth, nineteen hundred and five, is hereby amended to read as follows:

"SEC. 4. That from and after the passage of this act it shall be unlawful for any person within the jurisdiction of the United States to falsely or fraudulently hold himself out as, or represent or pretend himself to be, a member of, or an agent for, the American National Red Cross, for the purpose of soliciting, collecting, or receiving money or material; or for any person to wear or display the sign of the red cross or any insignia colored in imitation thereof for the fraudulent purpose of inducing the belief that he is a member of or an agent for the American National Red Cross. It shall be unlawful for any person, corporation, or association, other than the American National Red Cross and its duly authorized employees and agents and the army and navy sanitary and hospital authorities of the United States, to have or to use within the territory of the United States of America and its exterior possessions the emblem of the Greek red cross on a white ground, or any sign or insignia made or colored in imitation thereof or of the words 'Red Cross' or 'Geneva Cross' or any combination of these words in connection with the said emblem or without connection with it for any purpose whatsoever: Provided, however, That no person, corporation, or association that actually used the said emblem, sign, insignia, or words for any lawful purpose prior to January fifth, nineteen hundred and five, shall be deemed forbidden by this act to continue the use thereof for the same purpose and for the same class of goods. "If any person violates the provisions of this section he shall be deemed guilty of a misdemeanor, and upon conviction in any federal court shall be liable to a fine of not less than one nor more than five hundred dollars, or imprisonment for a term not exceeding one year, or both, for each and every offense."

SEC. 2. That the following section is hereby added to said act:

"SEC. 8. That the endowment fund of the American National Red Cross shall be kept and invested under the management and control of a board of nine trustees, who shall be elected from time to time by the incorporators and their successors, under such regulations regarding terms and tenure of office, accountability, and expense as said incorporators and successors shall prescribe."

Section 1 of the bill as amended amends section 4 of the act of 1905, that portion of the language of the original section intended to be amended being as follows:

Nor shall it be lawful for any person or corporation, other than the Red Cross of America, not now lawfully entitled to use the sign of the red cross, hereafter to use such sign or any insignia colored in imitation thereof for the purposes of trade or as an advertisement to induce the sale of any article whatsoever.

The sign of the red cross may be used under existing law without criminal liability by the following persons and corporations and for the following purposes:

(1) By the Red Cross of America.

(2) By persons or corporations lawfully entitled to the use of the emblem prior to the date of the approval of the act.

(3) By any person or corporation, for any purposes except for the purposes of trade or as an advertisement to induce the sale of any article.

It soon became apparent that the language of the original section, as above set forth, was not sufficient to prevent the indiscriminate use of the emblem by unauthorized persons. For instance, at the time of the San Francisco earthquake, anyone who desired to cross the so-called "dead line" affixed to his arm the sign of the red cross and was permitted to pass, nor was there any law to prevent his doing so. A great deal of confusion resulted from this unrestricted use of the emblem, and one man, displaying the sign of the red cross without authority, was shot and killed while attempting to cross the line. Similar con

fusion was created by the unauthorized use of the emblem in connection with the Cherry mine disaster, the American Red Cross having no legal authority to prohibit the use of the sign of the red cross by irresponsible persons over whom it had no control.

That the necessity of preserving the protective powers of the symbol is of the utmost importance is readily apparent, and the pending bill was introduced for the purpose of affording to it as much protection as is legally possible.

The act, as amended by the pending bill, will permit the use of the symbol by the following persons, corporations, and associations:

(1) By the American National Red Cross and its duly authorized employees and agents.

(2) By the army and navy sanitary and hospital authorities of the United States.

(3) By such persons, corporations, and associations as actually used the emblem prior to January 5, 1905, for the purposes for which they were so entitled to use it and for the same class of goods.

The section, as so amended, grants to the American National Red Cross the fullest protection it is possible to afford it by congressional enactment and at the same time amply protects the concerns possessing vested property rights in the emblem.

The original act is further amended by the first section of the bill, in that the words, "The fine so collected shall be paid to the American National Red Cross," have been stricken out, the society not believing it proper that it should profit by the fines collected as a result of pros ecutions under the act, and such fines will in the future be paid into the United States Treasury.

Section 2 of the bill adds a new section to the original act, providing for the election, by the incorporators and their successors, of a board of trustees to manage, control, and invest the endowment fund of the society, under such regulations as the said incorporators and their successors shall prescribe. Such a board of trustees has, in the opinion of the incorporators, become necessary to handle the endowment fund, which in all probability will eventually be a large fund, as it now contains approximately $500,000 and is steadily increasing. Under the act an annual accounting is made to Congress of all funds, and the proposed board will be directly under the supervision of the incorporators of the society.

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