The news & observer. [volume] (Raleigh, N.C.) 1894-current, 1905-02-10
BUILDING ANDLOAN
A General Law For These
Institutions.
An Agreement Reached and Com
promise Bill Covering Various
Features to Be Intro.
duCed.


There was a large delegation in
Raleigh on yesterday to urge the pas
SAGE of the Building and Loan Dill m
troduced by Senator Duls, OF Neck
lcuburg.
At II o'clock all parties interested
in the bill at the request OF Mr.. ,.
WittkoWslly, President of North car
olina Building and Loan League met
in the BANQUET hall of the Yarbor-
ough House. At this meeting Mr.. Jno.
ID. Bellamy was elected chairman ana
Thos. A. Marshall Secretary.
$1,000, 900 OF stock in Building and
Loan was represented at the meeting
about so per cent of all Building ana
Loan stock in the State.
The Following were some of the
gentlemen present at the meeting:
Messers. Heriot GARRISON, II. n. Pharr,
S. WittkoWsky, A. L. Smith, X. Il.
Cochrane. j. II. Nanness. Chas. Brem-
ger, l.. NJ. Brown, E. l.
Keesleer, Of Charlotte. Messrs
Jno. ID. Bellamy and T. w.
Davis. Wilmington; w. r. Odeli. Con-
cord II. A. Mum, New Bern,
#. G. Follin. Winston; T. A..
Marshall. Wadesboro: w. l.. Marshall,
Lenoir; Dr.. A. II. Kent, /. +. Hill.
Durham.
The parties went over the bill care
fully and unanimously agreed uDon
the main features of the DulS pm
eliminating certain objections made
by Wilmington and other associations.
The meeting appointed Messrs. Jno.
d. Bellamy, Heriot Clarkson and r..
A. Nun TO present to the bill as agreed
upon to the Judiciary Committee.
At $50 the bill was presented be-
fore the Judiciary Committee.
Remarks on the bill were made by
Messrs s. WittkowSky. Jno. ID. Bell
amy and others. The committee OK
pressed themselves favorable TO the
bill. but request that the bill as agreed
upon by the various associations be
re-writtcn as agreed upon and pre-
scented for d favorable report this
evening.
Senators Mason and Fleming were
appointed q subcommittee to nave
bill rewritten.
Provisions of the Bill.
The law, which has been carefully
drawn in the light OF numerous de-
cisions within the past few years by
the Supreme Court limiting and de-
fining the powers of the building ap[
loan associations. provides the meh'
DDS by which both domestic and for
eign associations may be incorpor-
ated and places their control under
the supervision of the Insurance Com
missioner.
Ii is provided that the associations
may exact fines for non compliance
with the bylaws and that they may
collect installments and interest there
ON by the week.
An interesting feature is that which
provides that married women and
minors over twelve years of age may
buy, sell and deal in the shares of
such associations as though they were
feme SoleS or of full age.
The association are required to re-
port annually to the Insurance Com
missioner, who in his discretion shall
have the power to make examinations
OF any concern which may seem to
him to need investigation or to be in
danger of Insolvency. The taxes of
such associations shall be listed by the
Secretary with the State Auditor an
nually and no county, city or town
shall have power to tax any shares
of such associations.
The term building and loan asso-
citation" is defined us meaning only
such companies as loan money to their
members alone for the purpose of en-
abling them to acquire real estate, and
it is unlawful for any company doing
any other line of business to SO desiG
nate itself
Provisions objected to by certain
building and loan companies which
provided that no loan should be made
on real estate for more than two
thirds of its listed value; and that
shares should be received as security
only to ninety per cent of their with
draWal value were stricken out: DIS
were also the provisions preventing
loans for more than four months and
that the money so borrowed should
be used for no purpose than to pay
maturing classes of shares; and also
l., I
exceed twenty per cent of the amount
paid into the association.
The effect of the act will be to place
the building and loan associations on
q safe and certain footing and to pro-
tect them from wild cat concerns
trading on the attractive designation
Of building and loan associations.