Wood River times. [volume] (Hailey, Idaho) 1882-1915, 1890-02-21


what he implies or what it appears on
the face. This is the expenses ac-
cru,ng in the accumulation Of the en-.
tire stock, a million ana \ half dol
lars. lnaSmuch as the stock is for a
certain number Of wears, no more ex.
p"ns- would be attached to the pres
ent stockholders, or ut least it would
gradually diminish until the profit
began TO come in OF course what,
ever new stock above the present is
issued would necessarily incur assess,
ments tor the expense Of securing it,
etc. The whole uproar has been
caused by eastern life insurance com.
panies which have endowment aud
other clauses in their institutions
These are the ones that are egging
the matter on simply because the
building and loan business il injuring
them financially, because it takes
away from them money which they
would naturally get, provided the
building and loan associations wer
not as popular or did not exist. All
these national associations are pat
termed after the old English building
and loan associations. These have
proved successful on mammoth scale
ever since their inception, and case
Of default has never been known in
them.
The remarks of Secretary H F.
Farchild of the Guaranty Building
and Loan association were briefly a.
follows:
think kenyon's report is the most
unfair and, in fact, ridiculous affair
that l ever heard Of. He clearly
shows that he knows nothing about
the building and loan association
business. The long and short Of the
whole thing is this: The eastern life
insurance companies have gotten up
big purse to be divided among those
who show up our business in a de
trimental light. You SEE. 1t has
grown to such proportions that it is
actually running the life insurance
business. | do not mean the straigh,
life insurance companies, but those
which deal in endowments and other
payment affairs. The people now,
instead OF putting their money into
endowments, are investing it in the
building and loan associations. The
American is all right and has done ali
it could be expected TO do during the
first years of its existence.
n. w. Van Norman, attorney for
the Northwestern loan aid building
association:
know nothing about the manage
ment of the American, but from what
| hear vtrything has been conducted
properly and above board. President
Bishop is good business man and
know that he would do nothing dis
honest. 1t any thing crooked has ever
been done in the American, it was
done before he was made president.
If receiver should be appointed and
the action sustained by the Supreme
court, it would work great injury to a
great many Stockholders who would
inevitably lose their money. If the
association could be allowed to run a
year or so more, it would be on its
feet and able to pay everything asked.
The law passed the 22d Of last April
allows an expense equal to one dollar
assessment on each stakeholder. If
before that law came into existence
the American used more money than
that, it would have made no differ.
ence, as no law can be retroactive. l
do think, however, that the association
might cut down some of its expenses
good deal The salary list is large
and the rents high. These mi ght b-
cut down and matters would run
better.
Secretary O. c. Kneale OF the
National Building and Loan Protet.
i've Associations:
30 building and loan association in
the country could have done any
better during the first period of its
existence than the American. 1t
takes time before dividends can be
declared and profits divided, This
affair is nothing but scheme to do
US up. 1t is backed by big moneyed
institutions which imagine themselves
financial losers on account of the
building associations and so want
them done away with. Blu, they will
find out that they have a bigger calf
to kill than they everimagined. Now,
Governor Merriam is banker. H.
was born and bred one and his inter.
ests are all with the banks. So it is
with Mr.. Kenyon. His duties as
bank examiner necessarily throw him
in with banks and associate him more
or less with the banking business.
l went over to see Mr.. Kenyon to-
day, but was told that he had gone
home sick with the gri ppe. Now
don't think he had the grippe at all,
but pretended sick so as not to see
|