The Richmond Virginian. (Richmond, Va.) 1910-1920, 1913-03-30
fContinusd com first Pags.)

e $500 ~ Wv. 3 Il ~ : -
M nnsctanScz, which has limo and
&me xtn4n failed, In tho knowledge
~ thl6 exchange, frcni the lack OF the
11ec>G1Axy capital to carry out these
plnne Many building scheme Tor
&h8 hotkerfnAnt OF the middle classes.
40rs The enlargement Of industrial en-
fexpr11es has been crippled and rem
6ered futile by tho inability 70 Sc
Eur6 the necessary loans, caused by
this onerous Law.
AesselIfs 70 tho Homo Builder.
INT 70 no cinss will the change be
tN0re beneficial than to tho nome
builder. The love OF homo ~ In
nate IN every human breast. It IL es-
pecia1ly prevalent In virginia. whore
the Greasest ambition OF all people.
white or black. 10 to own their homes.
and ~ freed from the anuoyAnco OF
acquiring homes would be greatly I'M
xsfr1ssd BY more liberal usc Of
money IN the way Of loans to the
anodeAt home builder. Many of these
~ frugal economy and self-sacrifice
hAxe managed to save q few hum
dred dollars. and are awaiting an OPP
p0rxtinity to invest In their homes,
but they are unable 70 do no from
tho lark Of money TO hnish paying
1cr their property They could OBJ
tain this by real estate mortgage
hut Tor the obnoxious mortgage tax
\. BENEFIT ~ tho Banker.
Y The change n OF paramount ana
vital importance 70 tho banker. Re-
cent Investigation along this particu-
lar line diaclcses tho appalling fact
tha< In tho city o. Richmond alone
dcilara ware taken out of circulation
from tn banks and sent out OF tho
6tAt0 about the tar return periods to
ovAde the imposition OF tho present
law. IN many Instances this was done
by parties assigning or transferring
thar mortgages into cash. depositing
the cash for a short time. then re-
i5iovfng Il and sending the cash IT.
uelf away from the State. There are
einiAns IN low interest bearing gov
eminent and industrial bonds paving
from two to four per cent. which
funds wotld Immediately BIO turned
into ssncney and loaned upon real es-
tate mortgages IL the law were
amended a. suggested.
The change Of these bonds into
money means Just that much more
capital added to the local banks. II
cannot be destroyed. Deposits have
~ b. made until II IL invested In real
&sfAte mortgage. when tho man bor-
r0ssinG has to redeposit II In bank. We
nannN eAt Il or. destroy It. 1t II kept
m xIis hanks until paid out TO the me-
EhAric, the contractor. tho farmer. or
sAhA home builder. neither one OF whom
can destroy It. When the citizen re-
sreivea the money he has 70 deposit 1t
IN bank. In this way 1t goes from one
hank to smother. adding to the cir
culation Of the State millions now tied
axp with iron bands In low PRICE two
Der cant government and other bonds
IL n thna unQueStionabiy to the In
afefesf OF tho banker 10 add his in
sauence Ia securing an amendment to
this mortgage tax law: and In every
5nstAnce where q banker or financial
3nsfttution has been approached upon
Nhis subject they have agreed to the
AfnrAcy and importance OF amending
II. Later on we append certificates
situations Of the state to this effect
Bene1f TO the Borrower.
Il The proposed law win be OF benett
40 the borrower tn that It will enable
him to Aecure tho funds he needs for
huxiEHm enterprises for building
Separations Tor improvements and de-
Ne1opments Of every kind and char
meter. Thus money will become more
Dfenxifui. easier TO get and less expen-
interest Plainly. II is more refnnnera-
s43vN to land money at five per cent OF
even four and half per cent with
Nuut the tax than to do SO At six per
cent ard Day the tax Where now
the borrower seeks the money. money
awiI ~ seeking the borrower.
The Morality OF the Law.
Tho present law ia evaded by the
s1arRe majority OF our people who are
sa5lyt. but note that estates OF dead
g1nen. through executors. administra-
sp4y-in other words. the present law
n Tor all dead men. and few live
Z Any 1Aw that will tend TO better the
16oxnlA and 10 improve the honesty of
~ people should be welcomed. The
s1S1 ~ X now exists encourages the
people to doubtful and disreputahle
sneAsurea, TO evade the law. and. as
f7tly put ~ sonac Of the grand inries.
Il standinE almost TO perjury itself" II,
4r0tM no other than "a moral stand
p0inE the mortgAxe tax law should be
amended. a. IL will unquestionahiy Inn
prove the morals of the people and
4reS them from an evasion. which.
under tho circumstances, many be-
1feNA ID b. excueahle- II will free them
from the necessity OF stnltifying them
nolyee by rcsorting to nnderhand ard
questionable methods. ~ Is notoriously
new Ia vcEue
The present law puts premium on
- dodgers: the new law will prevent
Injustice, The present law burdens
3S6neS< citizens whose co, science wilt
nn4 allow them to resort To such
Questionable methods, and who have
I4fom year to year been paying their
1nxe4; but this statute does not reach