Daily Kennebec journal. [microfilm reel] (Augusta, Me.) 1870-1975, 1895-09-20
"AN AIRING"
CONTINUED from page IL
due. and this amount have disallowed.

due, and this amount have disallowed.
OF the mortgage loans sl23, $50. 90
were in foreclosure, and the association
has real estate, the whole or greater mart
of which was acquired by foreclosure.
which is carried on it's books at so1. 153 AZ
making total of s214 903 As acquired by,
and in process of foreclosure. An attemnt
was made to have the real estate and the
property securing the loans In foreclosure
appraised, aud such leans and pronertv
not containing such DESCRIPTION as to
make them readily locatable by An an
pfalser, a Iu'ler description was requested
of the association, but it has nut vet
(Sept. - been received. However, an ap-
pralsal has been had of certain property
In Denver, Br )oklyn, Washington, II pes a
and Blnghampton, the book value of
Which Is ssS, 700. and the appraisers,
pelng IN each case men with established
regulations as Judges of real estate where
the property is located, have returned as
the 1ull present valuation of this prop
erty, S68, 75O. 90. This is difference of
SIS, $50 90 and the amount covered by the
appralsement is but about one-third of
Che whole amount in foreclosure ard in
real estate, as above indicated When the
TACT Is taken into consideration that about
SOU, 600 OF the associations book assets
are second mortgages or equities and that
many of the loans were made at about
the same time as tht Sc loans now In fore
closure, | believe that IA deduction of
$50, 10000, or $4,000 more than the
amount shown to be the generalization
of the one third, or SSS, 700, appraised, is
a very conservative discount While per-
haps, considerable of the past due interest
and premium is past due and accrued on
the loans now in foreclosure. yet, as this
| discount has been made with reference to
| the face of the loan merely, without con-
| sidering the additional amount to be re-
covered in judgment because of the de-
fault of interest and premium, | believe
that to allow the association, as good
| assets, all of such interest and premium
not more than twelve months in arrears
is the full value Of that item. These last
two amounts, together with the de
ductions practically agreed upon by the
| commissioners, makes the total amount of
| reduction of the assets below the book
value as reported by the association
| $73, 1885, IS. lille the mortgage loans
| If these valuations are correct. are for a
greater amount than the assigned col
lateral, they are allowed as carried
To the liabilities as carried by the asso-
citation, have added the following items
First, II, 90 estimated to be the
amount of dividends to be paid on the
first day of July, which had accrued or
the first day of June.
Second, / find that the association has
paid out on certain shares Withdrawn,
some To- 0G0 in excess of the book value
of those shares at the time of withdrawal.
This amount, having been paid to certain
Withdrawing members ia excess of the
book value of their shares so withdrawn,
must have been taken from the profits of
the remaining members snd is, therefore,
IA liability to the continuing members, 1t
being a settled principle of law that
dividends improperly declared ard paid
may be recovered However, this
amount having been once paid by the
association, l believe its recovery to be so
doubtful that while carried as a liability,
it is not extended
Third, there are outstanding certificates
or shares with the same agreement as to
withdrawal, which now show with
drawal liability of S15, 900 in excess of
their book value. While such contracts
forcible, as such an association cannot
leaglly pay out more than the book value
of shares, ascertainod under its articles
and rules, still as the association has paid
them in the past, and claims the right to
do so in the future, and is under absolute
contract with its members to so pay in
case of withdrawal. this amount has been
added as "a liability
Fourth, The association has carried in
it's assets about SOY 100000 of gross pre-
miums, the unearned portion Of which is
not a profit for the purpose of paying
dividends at the present time, and that
portion, estimated to be fully 500, 000.0 90
has been AIDED to the liabilities
The following statement shows the as
ISOLATION, so far as its dividend paying
properties are concerned, to have an ap-
parent deficit Of $l3, 029.12, as follows;
rN.nctA1 STATEMENT OF THE GRANITE STATE
PRovIDENT ASSOCIATION AS FOR JUNE LIST, lf9o.
ASSETS.
Mortgage loans, in force, -. li5I676 81
Loans in foreclosure, SI15,,Ju W. -. 90, ~.
Rea. estate, LOO 80 loi''o' ~
states lin addition to SI29,O0o OF
mortgages, which is included in 49,
the first item aboye), i'oo' ~
Judgments ,oc ora *
Cash, iN 800 o.,
special deposit, o'ooi *
stocks ana bonds, nD5o,, o o
stock loans. o3'y 9I 61
Accounts receivable, is'lo. ~
Furniture, ,.-'.oS 90
| Acc'd interes t and premium, l',s'e b.
s2,3O6,5l2 s.
LIABILITIES.
| ,.o,,,on+s tock 700, $50 s.
tustallll, 49, epts 26,9gJ %
| Paid up stock, u'-'i5i 81
Mortgages sold, 10 s.;
| accounts payable, .. ''t'' o.
| Permanent shareholders Guaranty .o,ao "a
| Fund, Zoo M
| Dividetds accrued (est.) l%'ooV w
Liabl Ity IN Shares shares $1,000 %
Paid IN '1c ,ren nj DUoA 5000 GO
| S2,3I9,5ll 81
soeoi+ Sl3,O29 II
| Outstanding common STOCK OF e.
manent sharehoi'ei' $1,000
Wben II is considered, as stated above,
that the so.called surplus of the associa
tion for The maturity of its shares, includ
.tsAh FNaS