New-York tribune., 1921-02-04
Land Bank Asks
sl,OOO.OOO
From City Fund
State Institution, Of Which
AZ Building Associations
Are Members, Presents
Scheme TO Aid Housing
Law Sanctions Credit
La Cuardia Will Insist Upon
Hearing Before Board
Takes Up Tax Exemption

The Land Bank of the State of New
York, composed Of fortytseven building
and loan associations, submitted an ap-
plication yesterday to the Commission
ers of the Sinking Fund for the pur-
chase of bonds of the Land Bank to the
extent of $1,oo0000 by the city After
hearing Charles O'Connor Hennessy on
the advisability of the loan the matter
was laid over for consideration until
the next meeting of the conan mission.
Mr.. Hennessy said that the Land
sank did not apply for the loan with
the idea that it was business propo-
sition for the city, but that it was an
application made to help the city out
OF the housing situation. said that
the savings banks of the city were do
ing very little to help out people in
moderate circumstances to build and
own their own houses.
Resources of s35,000,o0o
:, According to MIR. Hennessy, the Land
BANK is composed ofs forty-seven build
ing and loan associations organized
undef the banking laws of the state.
1ne aggregate resources of these asso-
clatlons amount to about $35, 900 900.
ana leach such association is stock,
noiaer IN the bank; each being liable
70 the creditors OF the Land Bank for
double the amount of its shares. be-
siaes oelng liable to the extent of all
les resources for the payment of any
moneys it may borrow from tha hank
NO private. individual has any interest
IN the bank and none can acquire any
under the law, he said.
IN answer to questions as to the
iegai aspect OF the loan, Mr., Hennessv
said that the law specifically provided
that MUNICIPALITIES might loan to the
Land Bank, and that the city of New
burgh already had loaned money. Il he.
ing the only city in the state chat had
Saheh I advantage of the law in order to
he!p It's citizens purchase homes.
Major La Guardia, president Of tho
Board of Aldermen. said later tba, he
would insist that the bankers with
whom he had private conference
wednesday be heard before the Com
mittee on General Welfare of the
board OF aldermen before the tax ex
eempt,on ordinance now pending before
the committee is reported out
La Guardia Has Plan
MIR. La Guardia said that hs had
plan In mind which he thought would
prlng about quicker solution of the
mouse shortage than the exemption of
dwellings from taxation. He said it
would consist of an amendment to the
tax exemption ordinance requiring the
owners of dwellings to immediately re.
port. vacancies to the Department of
Health.
Upon the receipt of this report"
said Major La Guardia, "the depart
ment could send an Inspector to the
vacant apartment, list it and formally
place it under inspection, for which the
owner of the dwelling would be com
PEELED to pay fixed monthly charge
This will show how many vacant apart
ments there are and compel those who
are holding out for higher rents to pay
the city for that privilege.
"The ordinance would remain in
force only while necessary. l am
against the tax exemption ordinance
until receive positive proof that it is
necessary. If / am convinced that
there is an emergency | will vote for
the exemption"