The Chipley banner. (Chipley, Washington County, Fla.) 1893-1943, 1897-08-21
WANT Receiver FOR B. 81.
STOCKHOLDERS FOR HUNTSVILLE
CONCERN MAKE APPLICATION.
The COMPANY CLAIMS SOL YENCY.
Has Assets That VIII Amount to More
Than Million Enthusiastically
Would AFFECT Many People.

A bill asking for a receiver for the
Southern Building and Loan associa-
ton, of Huntsville, Ala, was filed in
that city Wednesday morning. The
bill is prepared by Glenn & Rountree
and Lawrence r. Brooks, of Atlanta,
Ga, and Marion w. Ha ris, of Macon.
The assets of the company thus put
in the receivers hands are more than
one million dollars.
These attorneys for their clients ask
that the receiver be appointed owing
to the fact that the association is in
solvent. They allege that their clients
have made repeated demands upon
the corporation for withdrawal and
that as the association has refused to
grant them this privilege within the
time allowed by the law, they declare
| themselves insolvent of their own
motion.
The PARTIES who own stock in the
company and who are the movants in
the present action are j. d. Abel and
Mrs. Mary Straton, of Macon, and
Mrs. Matte j. Lyon and L. ID. Will
son, of Atlanta. These Stockholders
hold several thousand dollars worth of
the stock of the association.
The Southern Building and Loan
Association is one of the largest cor
porations of the kind in the United
States, with assets considerably over
81 100000. 1t does business in eleven
states and the present bill will practi.
cably tic up this vast sum that is scat
tered in small amounts over these
states.
The bill is known as stockholders
or administration bill" and purports
to be filed in behalf OF all the stock
holders of the association. The cor
poration being insolvent, they say it
is right that all the shareholders should
be protected before the association
becomes wholly defunct. 1t is alleged
by the compliments that they bought
the stock of the association with the
understanding that at the end of six
years it was to mature and they were
to receive the principal and earnings.
The company was formed in 1889
and the prospectus of it at that time
stated that for each thousand dollars
worth OF stock the applicant wanted
he could pay into the association 81
per month for six years, at the end OF
which time the stock would have ma
tured and the stockholders would own
thousand dollars worth Of the stock
OF the association, having made earn
ings to the amount of 1896.
A large number of people went
into the arrangement thinking that
they could double their money in the
six years. The bill continues, alleging
that in the case of the present movants,
at the end of six years they asked the
association for their principal and
earnings. They claim Chat the asso-
citation replied that the stock had not
matured, but they could withdraw the
amount they had put in with s per
cent for the average time.
Then o number filed their applica-
tions and were notified that they must
wait their turn until reached, which, as
they stated, would be from six to twelve
months, as there were many applica-
tions ahead OF them.
Judge Bruce, of the United States
district court of the middle and north
ern district Of Alabama, signed the
rule nisi, md fixed the hearing of the
case for the fall term Of the court.
The effect OF this receivership will
extend over the entire south and the
indications are, that many bills OF O
similar character will be filed as soon
as it is known that some one has taken
the initiative. The association has
loans to the amount of 1888, 085 and
with their other resources they
amount, according to the statement
of the association on June 3Oth, to
Isl, 0O4,9 43.
These extended over every manner
of assets and are owned by several
thousand people. The liabilities
amount to the same. They have re.
ceived a total return during the last
twenty-four months of $3.50, 843. ii,
with q total profit for the last SIX
months Of $41, 036.74.
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