Mineral Point tribune. (Mineral Point, Wis.) 1869-1938, 1898-09-15
KIDD REPORTS.
BANK EXAMINER ON LOAN AND
BUILDING ASSOCIATIONS.
A Few Recommendation Are Made
More Uniformity Is De-
sired
Madison, Sept. u.

Madison, Sept. II.
The frs. annual report of Bank
, Examiner L. /. Kidd Of the condition
OF the loan and building associations
OF Wisconsin has been submitted to
GOV. Seofeld. AZ the presenJ time
there are no foreign loan and build
ing associations authorized to trans
act business In Wisconsin. The num-
Der or domestic associations doing
( business is SO. Chapter 36S, laws of
1897, paced all loan and building
associat ons under the supervision of
THIS department, requiring that ar
tlcles cf incorporation, bylaws.
4 amendments and all papers relating
thereto, and annual reports, to be
! lled with the bank examiner, and
! providing for aa examination of al
such associations once in every two
years. The report is In general en-
couraglng. Examiner Kidd recon-
4 mends uniform system of bookkeep-
( ing and reports.
The Polish National Loan & BniId-
ing association of Milwaukee has not
nled report and from an examina-
I ton recently made it was found that
! all of the books and records of this
association are kept in the Polish
language. No provision was made
In the present law requiring that the
books, documents and papers of all
kinds of the loan and building asso-
Citations be kept in the English Ian
guage, while the examinations made
have developed the fact that it is
quite important that they should be
SO kept.
He also recommends that such leg
slation be enacted as will protect
loan and building associations and
the public from the operations of all
bogus associations or companies.
which can under existing laws trans
act business in this state.
Section 20, of chapter 36S, makes
provision for the bank examiner to
report to the attorney general when
the affairs of an association are found
70 be in an unsound condition. EX-
aminer Kidd recommends that the
law should be so amended as to give
the bank examiner authority to take
charge of the affairs of such associa-
ton, and TO make such immediate
action as may be necessary for the
protection of the interests of the
shareholders, until a report can be
made to the attorney general and
action commenced by him. The re-
port closes:
AS will be noticed from the Alb
stract of Reports which follows, the
assets and liabilities of the fifty
three loan and building associations
of Wisconsin amount in the aggre-
gate to $3,56S, 44e 05; the total num-
Der OF shares L. force being 122 ,022.
The primary object Of a loan and
building association, as shown by
chapter 36S, is the accumulation of
savings. usually for the purpose of i
enabling the member to procure
home. And when we remember that
the major part of the large aggregate
above named represents the savings
ard accommodations Of years OF ardu-
Gus toll, it is Of the utmost import /.
ance that these institutions have +
thrown around them every possible F,
safeguard The army of honest and /
industrious wage-earners who largely .
compose their membership, and who :
from week to week lay by a small
portion of their earnings for use IN /
case OF sickness or misfortune, de- /
mand that these associations snail be .
honestly conducted on correct and APP /
proved business principles. In thu !
connection | cannot too strongly urge F.
upon the directors Of these associa-
tions the necessity for a rigid dis I.
charge of their important duties .
Their examinations of the affairs Of .
their several Institutions should be
frequent and thorough. They should .
throw aside the too prevalent dispo-
sition to take it for granted that the t
statements of the secretary are cor
rect, since he is believed to be an (
honest man and has the utmost con-
hdence Of the stockholders. An hon
est. faithful official will court
thorough investigation of the affairs
of his association The official who
manifests a desire to postpone or
avoid such an investigation may well
be looked upon with suspicion. In
word. the directors should direct the
officers manage, and the auditing
committee audit the affairs of the as
ISOLATION which are supposed to be
under their charge In no other way
can losses arising through careless
ness, defalcations and Illegal practices
he reduced 20 the minimum.