Evening star. [volume] (Washington, D.C.) 1854-1972, 1912-12-20
ONLY SLIGHT DIFFERENCES
Senate Amendments Displeasing to
Representatives.
INTEREST CHARGES CHANGED
Opportunity Offered at This Session
to Get Action on This Long
Delayed Measure.

Only slight obstacle now interposes
between the loan shark" bill, which has
been one of the most pressing items of
local legislation for several years. and
final enactment. The bill. passed by
both houses OF Congress. is held up in
conference on a difference of judgment
regarding the proper legal allowance of
interest on unsecured loans Probably
this issue could be settled at single
meeting Of the conferees. and the bill,
which has been In their hands for seven
months. sent to the two houses for final
action, which, under the rules giving
conference reports right of way. would
be promptly had.
The conference committee consists OF
Senators Curtis, Dillingham; and Payn-
ter and Representatives Johnson of Ken
lucky. Adair and Dyer. The bill went
into conference the 18th Of May last
Longest Stay in Conference.
1t has been in conference longer than
any other bill. and with very slight rea-
sons for failure to agree. For some un-
known reason there is tremendous diff
Guilty in getting an agreement on this
piece Of legislation, which would be
Godsend to many a man and woman who
has fallen into the clutches of money
lender whose schedules are so calculated
that the least lapse Of interest payments
means an added payment Of a sum which
in ordinary business would pay the whole
charge.
At present there is no way to prevent
a loan shark from operating to the mean
est advantage. The bill as introduced I'm
the House provided that any one who
charges more than per cent on loans
must take out license and pay $500
year for the privilege. The Senate amend
ed this SO as to raise the interest limit
to 10 per cent. The bill, passed by
both houses. makes it necessary for lend
ers who want to go into the hlgher in.
terest charges to file their application
with the Commissioners, so that the city
the business will be conducted right The
Senate added to this. that the bond shall
be renewed every year.
Must Keep Accurate. Accounts.
Probably the best proof that the franz
ers Of the bill We're after a complete re-
vision OF the loan shark business is the
paragraph in the bill which requires that
the business of every one OF the loan
companies Of the class for which the bill
is aimed shall keep set Of books In
such manner that every move they make
can be seen at a glance by the District
authorities. The bill requires that the
lenders shall report yearly TO the Conn
missioners. stating their liabilities and
assets in detail, end laying before the au-
thor.ties a trial balance. The Senate
added an amendment to have these re-
ports published in the newspapers.
There would be no 10 per cent a month
operations under this proposed law. There
the other methods which have proved so
profitable to some Of the sharks. and by
which a few dollars over and above the
12O per cent year interest can be COL
lected. for the fifth section Of the bill
provides that the maximum charge shall
not exceed 1 per cent a month, land this
charge shall cover all fees
The Senate amended this section. When
Senator Curtis had the bill up for dis
cussion April % Of this year. Senator
Hepburn objected to the proposed Senate
amendment to limit loans to 500, and
the amendment was agreed to with 500
as the limit.
Concerning Government Clerks.
Senator Hepburn also objected to the
wording Of the proposed amendment COW
ering government clerks. The bill. as
changed and amended at his suggestion.
now provides that any person i'm the
employ of the government who shall
loan money in violation of the provisions
Of this act shall forfeit his office or posi-
ton and be removed from the same.
The principal difference between the
two houses. however. is to be found in
the Senate amendment which makes the
distinct provision that pawnbrokers are
not to be included in the jurisdiction of
the bill.
However, it is safe to say that differ
ences Of far greater weight and character
have been solved in conference on other
bills.
II the senators and representatives who
have been named by their respective
houses would agree on a compromise
it is assured that this important ieg.sla-
ton would be passed at this session.
Otherwise all the time and effort which
has been spent on it in the past two
years would go for nothing, as the entire
matter would have to be taken up afresh
with the next Congress.