The Indianapolis journal. [volume] (Indianapolis [Ind.]) 1867-1904, 1892-10-06
THEY WILL TAKE ACTION
Meeting of the State Organization Of
Building ard Loan Associations.
A Good Deal to Be Feared from Vicious Legis-
laticn-Addressss Made by Members-A
Legislative Committee Appointed.

A special meeting of the State organiza-
tion of Indiana building and loan associa-
tions was held yesterday in the agricultural
rooms of the State-house. There were about
thirty-five associations represented by Sec
retaries. attorneys or other delegates. The
meeting was called TO consider the inter-
ests of building and loan associations Of
Indiana in reference to the existing laws
and the possible action of the next Gen.
eral Assembly of Indiana in reference
to what is 80 we'll known as the poor
mans bank" The subject was discussed
in relation to taxation and legislation by
the president, Charles Martindale. Judge
Royse, of Terre Haute. and others. and the
president was authorized to appoint legis-
lative committee of seven, who shall look
after the interests of Indiana building and
loan associations before the next Legis-
la ture. The drift of the sense of the meet
ing was that more Is to be feared from
vicious legislation, which 10 therefore TO
be prevented. than is to be gained By cer-
tain legislation about which there is some
unity of approval.
President j. ID. johnson. of Kokomo.
entertained the meeting with O paper
Oh the general interests of building
and loan associations. He said there
are $4,000 people IN Indiana hold
ing membership IN the associations,
and of these zoo. 700 are wa2e-earners. %. 900
ere children and a large number are women.
The rest are capitalists, OF men OF wealth,
seeking safe investments. The actual capl-
tai stock of the associations. he said, Is
S70,G0,000. In order TO foster this growing
source of State and private wealth. ne
urged that there should be more uni
formity of plans. MIR. johnson then
considered the three plans In operation.
En-. AID thu
serial. and then the Dayton" plan. which
is. be said. the best. and is rapidly proving
the most popular. The chief objects. he
said. of the Dayton plan are TO furnish q
the privilege of pay ing as fast or slowly as
the shareholder desires. TO reduce rates or
dividend to reasonable amount. TO provide
q surplus, to allow members withdra wing
all that they have paid In, and To provide
q nickel savings bank. Nh. johnson ad-
vIsed that only q bic rate of inter-
est or dividend be promised investors. 4
high rate, he said, Is a mistaken policy.
In the DAYTON plan the stOckholder be-
comes a series by himself and can mature
his STOCK at any time. The president then
referred to the national associations as u
menace to the State associations and as
promoters OF impossible schemes. lt Is
time, he said, to shutthcm out of the State.
All associations. he said. should file reports
of the business done during each year. OF
the 344 600 members In the State Association
30 per cent. are deposlt0re anu 10 per cent.
are borrowers. The total num-
Der of loans in Indiana Is $500,
averaging 500 each. Of these, 6S.-
500 were made to build or buy
homes. The figures gwen are not such as
give announcement To the calamity howl
ers. Only one association had lost money
by theft during the year. $500 being stolen
from the safe.
A. X. Hovey, of Indianapolis. read a
paper on taxation as il affects associations
in Indiana. He said that the laws OF In
diana on this subject are fair and just.
Under their provisions the total loans had
increased from 49, pa. $40, In 1870. 10 $685.
457 in 1892, or l75 per cent.
Charles Martindale. of Indianapolis, read
q paper ON Legislation. Americans. he said,
rely too much on legislation. but IL would
be well. he said, to provide for compulsory
annual reports. He thought the Legislation
of the future would relate TO three things
security, equality and taxation. He waa
opposed, he said, TO the scheme to create
the office of STATE examiner, and instanced
the ineticiency of the State Insurance
Bureau In rapport Of his position.
Papers were also read by Henry s. Roseu.
thai, of Cincinnati. editor of the CO.
operative News; by A. l.. Gutheil, of Win.
chester, on the Serial VS.. Perpetual PlRD.H
and by A. b. Irwin. of Nashville, on Fines,
Their Use and Abuse" The drift of scuti-
rnent was adverse TO fines. The association
adjourned subject to the call of the presl-
dent.