The Jersey City news. (Jersey City [N.J.]) 1889-1906, 1890-09-03
Questions that the Various
Loan Associations Must
Answer for the State.
SUPERVISION NOT FAVORED.
Protest Against the New Mechanics
Lien Law---Jersey City's Part
in the Consultation.

an invitation from Mr.. James Bishop,
Chief OF the Bureau and Labor Indus
tries representatives of the building and
loan associations of the State of New
jersey met yesterday at the State House.
The convention was held in the Assem-
bly, Chamber and was called to order at
eleven a. m. by Chief Bishop, who greeted
the 200 delegates present in a few well
chosen words, in which he referred to the
beneficial character of building and loan
associations and stated that in New Jer-
sey alone there were 10000 shareholders
in these associations with SIS, 900 cap
ital.
The convention was organized with
Judge Armstrong of Camden, in the
chair, and Prof. Furman, representing
the West End Asso citation of Newark, as
secretary.
PURPOSE OF THE MEETING.
The chief clerk of the Bureau, Mr.
Fisher, in presenting a proposed blank to
be furnished to each association for fill
ing up with the necessary information to
comply with the act passed at the last
Legislature, aid;-.'This is draft of
statistics; it is substantially the same as
that sent out in 1888. with few exceptions
and few additions and amendments.
After this year l assume it will be neces-
sary to adopt some fixed date on which TO
make these returns to the Bureau, but it
is too late to do that now for the present
year it is to be based upon the latest an
nual reports of the associations. | think
it the various associations would adopt
system of monthly reports, like that in
force in the Rutherford Association, it
would save a great deal of labor.
ia nj
monthly audits, and in fact it is not
necessary to have these monthly
reports printed, but simply to extend the
scope of the information which is given
by the secretary to the monthly meeting
of the Board of Directors. This, OF
course, will be in addition to their an
nual reports. My experience with the
reports Of the secretaries has been that
they leave a great deal to be desired.
Some are very fair, while others are ex-
tremely poor, and think that they could
be improved in several ways What is
necessary in report Is to have it as
simple rs possible, and have it also as
complete us it can be made. don't
think report can be too full. 1t ought,
in fact, to include even the amounts paid
by the stockholders, of course, by book
number Ii that plan had been adopted
in one of the New Brunswick assoeia-
tions, at least the amount of the defalca-
ton would have been lessened which
heard occurred there few years ago.
SOCIOLOGICAL INFORMATION.
''There is another point want to talk
about, and that ID the returns OF the oc-
cupation of stockholders There has been
a great deal of objection to that, because,
as the secretaries say, it has not hing to
do with the financial condition of the as
Sociation, and that OF course is so; but 1t
has great deal to do with the value of
the reports from sociological standpoint
and also to base legislation upon. 1t is of
great Importance. for instance, to know
how many and what class of stockholders
are simply putting their money into a
building association for the purpose OF
investment, and what class put 1t IN for
the purpose of borrowing to build homes
with or speculate upon think that is a
point that ought to be taken into consid-
GRAFTON; it would give very little extra
trouble if the association secretaries
would follow plan similar to this
when a new series is formed, and
John Smith comes in to subscribe for
number of shares, to have on their biotter
several extra columns ruled off in which
this information is given; John Smith
subscribed for five shares; is he doing
this in his own right or as trustee? and
whether he is a butcher, baker or candle
stick maker. That would require very
little trouble; it would give occupational
statistics, and would be, as | say, of i'm
mense sociological Importance. But that
has been omitted in this draft, as 1t is of
no use to have any guess work, and we
have all the information we are likely TO
get by that means"
On motion of Mr.. Frank o. Cole, repre-
senting the Phoenix Association of Jersey
City, the chair appointed two committees,
Que TO consider and report upon the ques-
tions which the proposed blank report
should contain, and the other as to the
adyisability of the formation of State
League. Mr. Cole secured the passage of
a resolution that the convention disap-
proved of the lien law passed at the last
session of the Legislature, as being ln1uri-
GUS to the interests of building and loan
associations, and that memorial be
transmitted to the Governor and both
branches Of the Legislature requesting
its repeal.
STATE SUPERVISION.
Mr.. Harmsted. representing the Lafay-
ette Association of Jersey City, moved
that the convention consider the question
of putting the associations under State
supervision, and examination of their
books by State officers. The point was
vexed one, and the general disposition to
resent interference by State officers was
very marked Mr.. Harmsted opened the
discussion by reference to the want Of
attention to duty shown by directors in
some instances, the result of which was
looseness in the conduct of affairs. Mr..
Cole referred to the association he repre-
sented, as showing that State in
reference was unnecessary; this
brought Mr.. Haynes, representing
Association, to his feet, with the rejoin-
der that if all associations had been man
aged as Mr.. Coles there would be no rea-
son to bring the subject up; but the New
Brunswick Association and another in
ed to the extent of $4,000, were strong
ax,idanca in favor of State control as ma k :