The Washington times., 1910-02-04
Citizens Propose Heavy
Punishment and Fine for
Convicted USuTeTS.
ASK MINIMUM FINE
OF IS BE MADE SIS
Senate Committee Requested TO
Issue Licenses Only TO Resi-
dents Of District.

Imprisonment in jan or worzhouse for
the loan shark who imposes usury on
his victim is proposed by the citizens
committee now opposing the practice
IN one Of several amendmsnts TO the
s0-Called West auti-loan shark oil, now
in Congress. the citizens, urge that a
sentence Of from I've 10 thirty days be
imposed on the loan shark convicted Of
UsUry. It is also proposed, as a further
punishment. that the minimum fine as
provided in the present West bill be
increased from s. to 50
Present Amendments.
These proposed amendments, prepared
D. the legal members OF the citizens
COMMITTEES. headed BY Frederick l. Sid
dons. were submitted today 10 Senator
Dillingham;. chairman Of the Senate sub
committee Of the Committee On JU-
delay. They were drawn Up by the
citizens committee after q month Of
labor. after many loan sharks and some
Of their victims had been examined
The EreaI need OF such punishment Is
urged 10y the Citizens CO7umiJe, II the
respect Tor the i2E is to be paid " itu-
out such penalty, IL IS argued tne force
OF { law would be destroyed. On this
pCin- M SiddOns sa-s-
1t is proposed TO raise the minimum
hue from $ 70 50 and provide for I'M
less than FIVE or more than thirty days
as an alternative penalty 70 the nne, or
n addition thereto in the discretion OF
the court
These amendments the committee be
heves, are necessary The imposition OF
small fines for violation OF the act
could readily be counted by licensees
VINO would deliberately violate the law
A larger minimum fine and the fear OF
imprisonment viii do more TO insure the
observance Of the law thar anything
b.. H~4rHr-
ire amendments.
Resident Necessary.
IN another amendment, II IS also pro
posed that ali Incorporated loan com
Panies and individuals, doing a loan
business. shall have an actual residence
Of the District upon whom service may
he made in a suit Explaining this pro
vision. Nj Siddous says
1T Is intended to prevent the issuance
Of licenses TO do the business proposed
10 be regulated by this bin, TO any in
civjdUals, whether acting alone OF as
mem berS OF a cO-partnerShlp or q vol
unLary association who are not bona
fds residents OF the District OF Colum-
bis. and is also intended 10 forbid the
Issuance OF a license 20 any form Of an
incorporated company without such
company first having appointed q resi-
dent agene IN the District upon whom.
all judicial OF legal notice intended for
such company, can be served
le = ? additional. Amendments.
-Four additional amendments are pro-
posed by the Citizens Committee. They
prohibit the issuance Of a license TO
any person once convicted under the
penal clause of the proposed measure.
provide that no interest shall be COL
lected in advance when a loan is made
that no more than . per cent interest Per
month shall be charged. covering all
notariaI fees and other charges, and
that the time for the issuance Of a
license, between The time Of application
and Issuance. shall be made thirty days,
instead Of five, as provided in the orr
gineI bill
Of The matter OF The loan man making
advance charges. Mr.. Siddons says
we propose that no interest shall
be deducted in advance when a loan is
made. The original biil permits this 10
lba done The citizens committee Is
strongly Of the opinion that TINS per
mission should not be given. That
under il. II II IS given, many Of the
abuses Of the present situation can be
have been made to the committee by
some of those engaged Iu the business
that this provision allowing the dedrC-
ton Is not AT all neceSssr
While the rate Of interest allowed to
be CHI rEed by this Bill may appear .
b large to some people the committee.
afte- a careful invesJig cation. is con
only a fair return on capital invested
proviGed II is made 10 include. as the
committee proposes charges. and OK
penses Of every character"