Evening star. [volume] (Washington, D.C.) 1854-1972, 1930-02-10
Senate Also Gets Measures
to Control Real Estate liz
censing and Mortgages.
COMMISSION OF FOUR
WOULD BE CREATED
Action on Proposed Legislation Is
Not Expected Until After Tariff
Disposition.

Three bills of far-reaching impor-
lance to the District of Columbia were
introduced in the Senate today by Sen
ator Blaine, Republican, of Wisconsin
One would provide for licensing and
regulation of the real estate business
another for control of the sale of Sc
curities, and the third would define the
method to be followed in foreclcsing
mortgages here.
The real estate bill creates a commits
sion OF three members to be appointed
by the District Commissioners, who,
with the District assessor as ex-officio
member, would have authority to issue
annual licenses to dealers and statesmen
and to suspend or revoke licenses.
The so-called blue-sky measure
would confer on the Public Utilities
Commission the general task of licens-
ing stock and bond dealers and sales
men, and to register securities.
Measures Are Tentative.
In presenting the bills Senator Blaine
explained they we're tentative, and that
their introduction docs not bind any
member of the District committee for
or against them" He said they were
being introduced so that those inter-
ested may have notice of the tentative
legislation his subcommittee has in
mind.
Senator Blaine introduced the bills
as chairman of the subcommittee which
last year was instructed to make a study
of the needs for legislation dealing with
these three subjects in Washington. It
is not expected the District committee
will give much consideration to these
measures until the tariff bill is disposed
of in the Senate.
The real estate license measure out
lines in detail conditions to be COM
piled with to obtain license as broker
or salesman. such license to be at the
rate of SIS year for a broker and So
q year for statesmen.
Provides for Investigations.
The bill provides that the real estate
commission may investigate the holder
OF license and, following a hearing,
suspend or revoke licenses if deemed
practicable.
The bill also contains a general pro-
vision for suspension or revocation
where a licensee has been guilty of
any other conduct which constitutes
fraudulent or dishonest dealing"
The three real estate commissioners
composing the board would be paid at
the rate of SIS day for days devoted
TO board work, but not to exceed $4,000
year. The original board would be
appointed for one, two and three years.
respectively, but thereafter all terms
would be for three years.
All fees collected would be deposited
TO the credit of the District of Column
bia, and all expenses of the board paid
out of such funds.
All applications would have to be
accompanied by bond to the amount
or $1,000, but no bond would be re-
quired OF firm if the applications of
the individual members were accom-
panied by bond.
The real estate bill also provides that
1t would be unlawful to execute a deed
OF conveyance on real property that is
not bona f1de sale, but made for the
purpose OF misleading others as to the
value OF such property. 1t also would
be unlawful TO execute a mortgage or
oeed OF trust that would not in fact
represent security for a bona fide in
debtedness.
The penalty for any person violating
the proposed law would be $500, or not
to exceed six months Imprisonment. or
both. In the case of a corporation. the
fine would be $1,000.
The bill dealing with registration
and sale of securities also sets out in
detail conditions under which the Pub
nc UTILITIES Commission would register
statesmen and dealers and would re-
quire $4,000 bond for dealers. The
measure outlines at length the classes
OF securities and conditions under
which they would be subject to super
vision OF the commission and gives GER
tain exemptions. This bill would give
the commission authority to proceed by
injunction, in addition to other rene
dies to prevent practice of fraud or
misrepresentation in connection with
the dealings in securities.