The Mankato free press. [volume] (Mankato, Blue Earth County, Minn.) 1879-1924, 1901-08-16
MAKES AN APPEAL.
Building and Loan Assn
Seeks to Exist.
County Board of Equalization
Gives Its Representatives
and Friends a Hearing
This Afternoon.

their grievances rlgnIeu. No action
of any general interest was taken, and
only few slight changes were made.
This afternoon the Mankato Mutual
Building and Loan association was
given a hearing on its application to
have its assessment of $50, 500 restored
to last years figure or some similar
relief given. Several of the officers
and members of the association were
present, as we'll as several who are not
connected with it, but who believe that
it is a splendid thing for the city and
should not be crippled or driven out
of existence.
Thomas Hughes was the first
speaker, and he read the following
letter:
To the Board of County Commits
sioners of the County of Blue Earth,
MINI. Gentlemen: Having an en-
gagement away from home on August
the 10th, 1901, the day set for hear
ing in the matter of the taxing of the
Mankato Mutual Building and Loan
association, l have presented the fol-
lowing brief paper, giving some of
our reasons why the Mankato Mutual
Building and Loan association should
not pay a tax as heavy as that which
has been arbitrarily assessed against
it by the assessor of the city of Man
kato.
We contend that it is not the duty
of the association to pay taxes on any
thing except its personal property and
real estate, any more than it is the
duty of the banks to pay taxes for the
depositors.
We obtain our money entirely on the
deposit system of the banks. We take
deposits and loan them out and at the
end of each six months, our books are
balanced. We then know how much
profit we have made in the six months,
and pay out every cent of it to our de-
positors, except the legitimate ex-
penses, which are very light, as we
have no paid officers except secretary
and treasurer.
The money in our hands is constant
ly changing. Some withdraw their
money, others put in money. Between
the first day of May, the day upon
which taxes are supposed to be as
sessed, and the 27th day of June, the
day upon which the assessor served
notice on our secretary that he had as
sessed the association for $57, 800 90,
4 3, 725. 90 had been Withdrawn. Besides
that no doubt much had been disposed
of by sales to other parties land much
more has been withdrawn since).
I ask in the name of common sense
and justice, can any but the rightful
owners of this So, 1885, 90 which was
during that time Withdrawn, be asked
to pay the taxes thereon2
Yet this same money is taxed; and
if the tax as levied is permitted to
stand, the. widows, the orphans, the
working girls, the clerks. the school
teachers and others, who are our de-
positors, are going to be asked to pay
the taxes on the So, 90 which was
thus withdrawn. as we'll as on sums
subsequently withdrawn.
Besides this, every borrower has
some stock, which is put up as COLA
teral security, ranging in amounts from
81. 90 to 5000. 90 and more. These bor-
rowers already pay the taxes on their
real estate the same as if there was
no mortgage on it, and yet they are
asked to gay taxes on their debt.
I ask if this is justice2 is it right2
Does the law contemplate such injus-
tice? There is one party who has on
deposit $500. 90 with the association,
and has mortgage of So, 500. 90
against him. Another party has on
deposit So, 800. 90 and has a mortgage of
81, 300 against his property. Yet both
parties pay full taxes on their pro-
perty, and are asked to pay taxes upon
this $500 and this 81, 800 which they
owe the association. These same par
ties are at the same time. asked to pay
their share of the taxes on the So, 725
withdrawn between May LIST and June
9th, thus paying treble taxes, first on
their, property, then on their debts and
next on money which was in the asso-
Citations hands May list, but with
drawn before June 27th.
Such taxation is so unfair that I do
not believe there is court in the
country would sustain it.
But we do not want to go to the
courts and incur all the expense We
look for justice at your hands.
1t is no doubt the intention of the
constitution that all shall pay taxes on
personal property and real estate and
also that a person shall pay tax only
on what he actually owns himself. In
stead of that, the land is taxed at it's
value regardless of how large the mort
gage is taxed also, provided the man
lives in this state). If the mortgage
is held in another state it is not taxed.
Oh, no. Such is Justice.
Why does not the assessor tax the
Savings bank also? 1t has many mort
cages on record Why is the Mankato
Mutual Building and Loan association
singled out as target2 Is there not Just
as much reason that the banks should
pay the taxes of their deposit tors, as
there is for the Building and Loan
should pay the taxes of its depositorsi
The deposits of the four banks in
this city amount to over one million
dollars, and no attepmt is made by the
assessor to get taxes from these in
situations.
But the Mankato Mutual Building
and Loan association is singled out az
target, although it has always paid
as much taxes in proportion to it's
business as the banks.
The Mankato Mutual Building and
Loan association is a Mankato and a
Blue Earth county institution, gotten
up and run for the poor, to enable
them to get homes of their own and its
deposits are mostly in small amounts,
and nearly all of it by people of very
limited means
We have at the present time 1853 de-
positors with deposits from 81 to $4,000.
The largest amounts were not taken
of the association itself, but some
starting with quite small amounts have
allowed the interest to accumulate,
while others have bought up other de-
posits. It is the aim TO take deposits