The Washington times., 1895-01-10
THE AUDITING COMMITTEE
Reports Show an Excellent
Condition of Affairs.
wAsHINGroS, D. G., Dec. ., 1881.

WASHINGTON, ID. c., Dec. y, 1891.
To the Beard of Directors of the Washington
National Building and Loan Association
Washin gton, D. c.
GENTLEM N
Yocr-Co IN ttee app tinted to make an nves-
tigatiap of taa accouuti and operations of the
Washington National Building a ID Lean Asso-
ciaticn beg leave TO submit the following report.
1t has been our purpose 10 examine carefully
concerning the essential features o. a building
association. to wit:
First, How much has been paid into the Loan
Fund, and whether the same is intact;
Second, As, ertain Expense Fund receipts, ac-
count To- same, and whether iudiciously ex-
ended;
Thi a, Investiya the plan OF making loans
ard whether securities su ticient.
1t Is tEe Inan nj Ills opinion of your committee
that most ezceileni system is practiced in
plating loans ami that the greatest care is used
to protect the shareholders from any possible
loss in this important direction. This is strongly
evidenced by the fact that in making the loans
the association la secure frs mortgages upon
improved real estate, which would bring under
a forced sale at lest 50 per cent over and above
the full amount loaned III nearly every case.
When 1t is remember that each month the
margin ON aiI loans improves becaus the same
are being regularly repaid i'll moataly install
ments, thee can be no doubt as to the absolute
security of the Loan Fund.
We made personal examination of every
mortgage, deed OF trust together with the bond
and iES trance policy IN each case, and found
the Loan Fund intact and we'll invested, the se-
titles mentioned being deposit with TIE
Washington Loan and Tiust Company. of this
city, rs trus ee IA fnanc al ms tuition having
paid-in capital of 81 ,001,000 COY.
Tn ier tie Bylaws these securities cannot be
hypothecatei nor used, under am circum-
stances, as collateral.
We find that the association has received nee
the date OF its organization, in March, 1893, the
Urge amoUns OF Si70, 1888. 2i. and that wo have
been able to trace every dollar of this sum to
either cash and securities on hand, Withdrawals
paid to memb RS (whi,h latter have been
promptly paid demand}, cash dividen Is on
paid-up st )cs or the legitimate expen SO of es-
tabiishing, maintaining and conducting the
business
The Expense Fund has not only besn ac-
counted Tor and judiciously expended, but an
economical policy has permitted the company
TO transfer from this fund TO the Loan Fund as a
profit to the shareho!d srs the handsome sum of
over six thousand dollars.
This is considered unusually good show
ing for the first eighteen months business of a
national building and loan ASSOCIATION.
Before con luding our report, We take pleasure
in stating our satisfaction with the excellent
system OF accounting, tae ability and integrity
of the management, and the general conduct of
the affairs of the Association
(a) v B. DOLLIyER
(b) P. 6. FOSTER
(cl JAMES T. DUBOIS
(d) J. ID. TAYLOR
(e1 j. b. WILSON
(a} Lawye., Hamilton Hotel, Washington, D. c. j:
Fcrt Dodge, Iowa
o. Expert accountant and bookkeeper For
merly with the American Security and
Trust Comprny and the real estate firm
of B. Ii. Warner & Co., of Washington,
DC
tc) Financier and general business man, Wash
ingtsn, d. c.. ana Halstead, Pennsylvania.
a. Banker and financier, Washington, d. c.,
and Cambridge, Ohio
() Ban1er and nancie-, Washington, d. G.