The Leon reporter. (Leon, Iowa) 1887-1930, 1900-03-01
ND AFTER THEM.
4 ~ Eays His Respects to Iowa
Nh Inc and Loan Associations.

~ eAys His Respects to Iowa
elng and Loan Associations.
S.; ~ a1QlHAs. Feb. ai.-Atsorney Gem
MI Remley's opinions regarding tho
Visiting Nyils in tho laws governing
80 building and loan and insurance
eaeipSessof Iowa, and the needed REM
tiea therefor, were presented to the
toEa sszats yesterday, In reply TO :
sseQuest from that body made over :
eteek ago. SThey,are even more sweep
Ing than has been expected. Accord
1T 20 Mr. Remley there are many cor.
saonss which may be classed undes
these heads now doing business of an
Illegal kind In the state and swfndling
~ poorer classes of people every day
4 NJ. kemley does not point directly At
any particular corporation, but the
gelements Ct his charges are SO sweep
u ing and OF such q nature as to assure
she bringing out OF many prominent
men In the state who are connected
4 with large associations of the kind,
and who will undoubtedly refuse to
Srest under the charges which have been
!. mSde. Mr.. Remley expresses the opin-
- 1880 AAStVAAOk V15 6ttkSC CN0CuSlNO
4 eouncll nor the attorney general has
she power which should be given "a
these authorities in passing upon the
business of the corporations involved
His criticisms on the building and loan
business do not SO mach. apply to the
domestic associations doing business il.
the state es to the larger associations
j where stock Is purchased in large
amounts by capitalists who desire to
obtain exOrbitant interest rates on
their Investments and are thus crush
ing the poorer classes, the ones which
she law was intended to benefit and
q protect. His criticisms on insurance
organizations are aimed at the class of
eompanies known as the farmers
mutnals, and some of the larger life
/ Insurance organizations. Many OF
y these companies, according to Mr..
Ncmley, are conducted in decidedly
loose manner, thus bringing all the
Iowa companies into ,disrepute. The
Recommendations OF Mr.. Remley for
\ changes in the laws explain largely
I ehe fault he has to find with the pres
ONT methods governing these corpora
attnns. a. - Z
His Recommendations in brief relat.
ing u baiidf6g and loan associations
: Ire. A. follows:
Nlet, The law should forbid any part OF the
principal paid In by the stock holder to be usct
ecrexgenses.4 Second. There should be 9 limi
Upon the expenses OF the associations. Third
Al guaranteed stock or preferred stock undel
sysnd aii,names which receives f4ed divi
eend, whether profits have been earned or not
should be eliminated. The power to impos.
& nnes and .forfei lures upon persons who fail Il
p4y the inNt1umentS on their stock ought to b%
removed Fifth. The exemption of building
Ind loan associations from the law OF usury
works . hardship which the former genera
assemblies could not have SEEN in MIR. Rem
ley'e opinion Sixth. The executive council
eu3ht to be Given more pienary power, includ
fngithe power to revoke the certificate author
Wing the association to do business. Seventh
Provision should be made on which money
nAid on stock BY the party who has borrowed
theron, In case OF Foreclosure should be treated
% an absolute payment on the money borrowed
together with che profits, II any. credited OF
such stock. Eighth Some provisions shoult
Be made 10 enable associations 70 go into vol
antary Humiliation. with suitable provision fo,
the protection OF the borrowing lne1nhass -
4 might;be well also te,authorize the e s3E Il:
Of loans made by the zfs,es