The Washington herald. [volume] (Washington, D.C.) 1906-1939, 1910-04-08

The senate yesterday afternoon passed
the loan shark bill'' as it was reported
from the committee, with the exception
that two amendments suggested by Sen
ator Paynter. OF Kentucky, were written
into the measure.
These amendments. which were ex-
planned by Senator Paynter in an inter-
view IN The Washington Herald yester-
day, are believed TO be highly desirable
Improvements in the proposed law Both
are stringent provisions. One provides
for the increase of the license fee for
the money lending concerns from 500 to
$780, and the other requires that the
lender shall furnish the borrower with a
written statement showing every trans
action in detail as TO rates of inter-
est. &c.
Senator Paynter advocated a reduction
In the rate Of interest 10 be charged by
the lending companies, but this was not
made a part of the bill as it passed the
Senate. owing to objection by Senator
Dillingham;.
Dillingham; Gives Opinion.
7 opposed reducing the rate OF interest
further than as provided in the bill as
it came from the committee" Senator
Dillingham; said yesterday afternoon.
because I think the rates We permit
under the bill are about what they
should be I gathered this during the
hearings We granted on the subject and
I think the bill as We have passed it is
a good one. I have no reason to doubt
that it will work WELL if it finally be-
comes a law. as there is every reason |
why il should. and it will suit the fair
minded lenders. understand. in addi- |
ton TO borrowers"
In addition to the Paynter amendments (
the bill, as il passed the Senate. pro- |
vides that no license shall be granted to
any person, firm, or voluntary assocla- |
ton unless the licensee IS a bona fide
resident of the District. Applications for
license must be filed with the Commits
sloners Of the District. duly approved by
them showing that the lenders have
appointed an agent resident in the Dis
tTict. upon whom judicial and other legal
process papers may be served. The bill /
requires that in case Of death. removal, /
or other legal disability of such agents. |
such legal processes may be served upon |
the assessor of the District.
Applications for licenses under the act |
must contain the full names and adj !
dresses of all members of money-lending |
companies and associations. There is /
provision that these applications must /
contain such other information as the |
Commissioners may desire.
Licenses Expire in October.
Every license granted shall date from /
the first of the month in which it is /
issued and expire on the following Octo- /
Der 81. Licenses shall be kept conspicu- |
ously displayed. Applications shall be /
flied not less than thirty days prior to |
the granting of licenses. Notice of appH- |
cations shall be posted in the assessors |
Office and published twice a week for |
three successive weeks in a daily news /
paper published in the District.
Protest may be made by any person TO /
the issuing Of licenses. and when protests
are filed with the Commissioners the lat
ter shall give notice and order public |
hearings on the question Of whether
licenses shall be granted.
The District Commissioners are to have
the power to reject any application for
e license or renewals Of licenses when
applicants are shown to have violated
the provisions Of the act
Each application for a license shall IA
accompanied by a bond 10 the District
in the sum Of 5000. with two or more
sureties that the license will not violate
the law.
The execution Of a bond by a surety
company shall be deemed equivalent to
It's execution by two sureties.
borrowers May Recover. 4
II any person shall be aggrieved by
the misconduct Of any lender and shall
recover judgment. such person NAV
maintain an action upon the bond. The |
Commissioners shall furnish certified
copies Of bonds filed to any applicant
Bonds shall be renewed and relied an
nually IN October. unless lenders intend
70 quit business or their licenses shall
be revoked. although bonds are 10 re-
main in effect until lenders do actually
cease lending.
Every lender shall keep a register al.
proved by the Commissioners showina
the amount OF money loaned, date loaned
and due. person to whom loaned. propertv
or thing named as security for the loan.
where the same Is located and in whose
possession, amount Of interest, all fees