The Indianapolis times. [volume] (Indianapolis [Ind.]) 1922-1965, 1935-09-13
INDIANA hole
FIRST TO OBEY
SLOW UP EDICT
Oct. 20 Fixed as DeadIine
on Loans in Line With
'Brathing SPELL

The Indiana Home Owners Loar
Corp under the direction Of Z
Kirk Mckinney as state manager, is
the first Of the New Deals alphabet
recovery organizations in the state
to comply with President Roose-
velt's recent breathing spell" for
business edict.
Mr.. Mckinney announced today
that he had instructed all district
managers of the corporation to ex-
ert every effort to have the re-
naming pending applications fol
leans from distressed home owners
signed and ready for final disburse-
ment by Oct. 20.
Mr.. Mckinney declared that the
financial institutions Of the state
now are in a position to carry on
business without Federal aid. The
corporation has received 1889 APP
plications and acted on all ex-
cept 7645.
Believes Premises Kept
I'VE have striven to keep our
promise that the corporation would
not interfere with private business
he said. Now that SOL 1913 ,004. 10
has been paid ouS to these financial
institutions and private lending
agencies and over $4,000 distressed
homes saved for their owners, it is
time to stop production, as all
eligible applications will have been
refnanced and all extreme financial
distress for the home owner will
have been overcome.
I'VE have received no general
order to this effect, but the result
was arrived at automatically. We
have carried on over a two-year
period to dig out Of thu avalanche
of applications that swanpcd the
Indiana agency when it opened on
Aug. Is, 1888. Our goal Of granting
as much relief as possible to these
harassed home owners and lending
agencies was well in sight when the
general stop production order was
received from the HOLC Board Nov.
Is, 1924. Indiana, however, was
fortunate in that thousands of
cases that could be closed were in
the hands of the legal department,
and these loans were made"
Activity Not to Be CurtaiIed
Mr.. Mckinney stated, however,
tat the activity of the HOLC would
in no way be curtailed because pro-
duction will be over Oct. 20, but
that strict collection and servic-
ing policy. already in operation, will
be expanded.
1--WE have experienced wonderful
results in our collection depart
ment," he said, and it is felt that
as son as the Selected few Dor
rowers understand that the govern
ment means to recollect all mon
eys lent, returns will increase.
Investigations are being made
now on all delinquent accounts, and
where it is definitely determined
that the borrower is spending his
income on non-essentials rather
than on his payments to the gov
eminent, foreclosure suits will be
filed. Already % such suits are
awaiting the opening of courts in
the state.
Largest Lending Organization
Where it definitely is established
that the borrower can not pay, ar
rangements will be made to take
care of him. But the 'chiseler' will
be quickly eliminated" he added.
Under Mr. McKinney'S direction
in Indiana, the HOLC has eStab-
lished a record for efficiency. AL
though the law was enacted in June
it was not until Aug. is, 1888, that
the HOLC in Indiana began to take
applications.
The organization quickly grew
into the largest lending institution
ever organized in Indiana. In the
first six weeks of operation more
than 10000 applications were re-