The Montgomery advertiser., 1901-08-20

CTS cannot come here, but they are rep resented by letter and that is the only way they can get here. These fellows that belong to the association as secre- taries. treasurer, attorney and directors they incur these expenses out of an ex- pense fund which is as big as any other fund and they can send representatives down here.
 Mr. Graham (Montgomery)-The mis- fortune which has marked the line of the argument of those who favor the minority report is that they brand all classes of Building and Loan Associa- tions with the same iron. 1t is well known to every lawyer in Alabama, and largely known to great many of the citizens of the State, that there are two classes of Building and Loan As sociations in this State. One is known as national associations whose busi- ness extends beyond the confines of the State in which 1t is organized-two or three associations, possibly more, were organized in Alabama-numbers were organized in the North and in the Northwest they extended their busi- ness over the State of Alabama and these are the associations and these are the causes which led to this debate in this Convention. Unfortunately, MT. President, for some of those who are in this Convention, they were the attor- neys, or local agents, of these foreign associations who solicited for business and those with whom they were sue cessful have lost by mismanagement and they are here attempting to reform the wrong which they have caused.
 MT. Boone-Will you please name the men. When you make broad state- ment like that you ought to name them. MT. Graham-I desired to ask a ques- tion of the minority Committee this morning and they refused to permit me. and l propose to consume my whole time without being interrupted. It would be manifestly improper for me to name any one in this Conventions;
 that I would not do under any circum- stances. There is not a man on the floor of this Convention but for whom I have the greatest respect, that he
 was unfortunate and was the cause of his clients losing money was his misfortune and not his fault, but he makes mistake when he attempts to engraft an amendment to this report for he purpose of trying to cure a wrong which he was Instrumental in committing. Now my friend from Jackson says that he has the papers in his hands to show parties who have suffered by reason of these Building and Loan Associations. I have in my hand, M:. President, and I introduce them at this time because I may want to talk about them hereafter. Here are statements, four or five from the coun- ty of Jefferson, to which are signed 113 names, which read as follows: That the following citizens of Jefferson County being borrowers from Build ing and Loah Association of that coun- ty, are perfectly satisfied with the terms on which loans were made" " There are three others of the same character. and on" from Morgan Coun- ty in which the subscribers state that the undersigned citizens of Morgan County, Ala, being borrowers from Building and Loan Associations of that county are perfectly satisfied with the terms upon which loans were made. That is a contrad stinction and set-off
 to the remarks of the gentleman from Jackson. There l., a class of Building and Loan Associations in Alabama i known as home associations, that is, i those who engage in the business of lending money in the locality in which they are organized and where their principal office is located.
 In the city of Montgomery we have
 two of those. They are prosperous. | They have been prosperous from time | of their organization, and we have | never, down to this time. in relation to either one of those institutions, heard
 a single solitary complaint of the man.
 ner in which their business was con-
 nected. My information is that there
 is one in the town of Tuskegee, one in
 the city of Birmingham. one in the city of Decatur and others in other | cities in Alabama, which have been | conducted by home men, and not a
 word of complaint has ever been made
 of them.
 | I define the two classes in order that l the Convention may draw the distinc- l tion between them. If YOU brand the
 national associations, which you may
 possibly have the right to do, is that
 any reason why you should brand the | home associations? Is it right that you
 should say to these associations which
 have conducted their business right
 and honorably, because some concern
 has come into Alabama and conducted
 its business dishonestly. we will class
 you as dogtray among q crowd of
 scurvY CUTS. This Convention iS as-
 sembled here for loftier purposes and
 loftier motives. We are here to pro-
 tect the whole people of the State of | Alabama, and to brand none of them
 because they happen to have names
 similar to those of others denounced by | n embcrS of this Convention and peo- | pie on the outside as rascals.
 | The conduct of the business of these | associations is entirely different from
 that of any other business ever known. There nay be associations with other | names conducting business in the same
 manner, but they are to all intents and purposes building end loan associa-
 tions. There is no other class of busi-
 ness on the earth that conducts its
 business in the same way that building | and loan associations do. It. Is author | ized by law by the Legislature of the
 State. of Alabama. and by the Legisla-
 lures of other great States of this | Union. and it is idle to say that when
 ever Alabama. or it's Legislature. has | authorized the doing of a particular business and other States have au- | thoriZed the doing of similar business l that that business is rascally and re-
 suits in highway robbery.
 | Their business is conducted by men 1 paying a small amount per month per | dollar on the stock for which they have 1 subscribed And while l think of 1t l
 will answer one question propounded hv the gentleman from Jackson. He l said: Does not every man on this
 floor know that man surrendeFs HIS stock when he makes loan from ! tuilding and loan association: dh@-
 swel him in the negative. The stocK IS
 reouired to be transferred as collateral
 security to the association Tor the pay