BUILDING SOCIETIES.

Evening Star, Issue 4147, 12 June 1876, Page 4

BUILDING SOCIETIES.

{From the Southland Times)

.-. A BiR to consolidate and amend'the laws [ relating to Building Societies, which is to be ; introduced this session, has been printed, [ and a copy sent, to the Secretary of every [ such institntion in.'the Colony, with the intimation that “the Government will be glad to consider any suggestions which your society may wish to make.” It is announced that the Bill is ah adaptation of the English . Act of 1874 to the circumstances of the Colpuy. There are 44 clauses. The Act is to commence and take - effect from the Ist j Jaupary, 1877 i Clause 8 provides “that every.; Society now subsisting, or hereafter established, -shall,'--upon certificate of incorporation under this Act, become a body corporate by' its registered name, having perpetual succession-uhtil terminated of dissolved in manner herein provided, and a common seal.” A considerable addition to the power to borrow money, is provided. 4by the first three sub- sections of clause 14,: which-fread as follows:— “Any Society under this Act may receive deposits or loans, : jat interest, within the limits of this section:provided, from the members or other; ■ persons br from corporate bodies, joint stock" companies'," of from any terminating buildingsociety, : to be applied to the purposes of the society. In a permanent society the total amount so. received on deposit or loan, and not repaid by the society, shall .not at any time exceed two-thirds of the amount for the time being secured to the society by mprtgages from its members. In a terminating society the total amount so received and not repaid may eithev be a sum not exceeding such two-thirds as aforesaid, or a siim not exceeding'twelve months’ silk crip tions,on the shares fbr the time being inforce.’--Under the existing Acts, building societies are restricted to raising money, by debentures only, to the amount of the estimated receipts for one year. The extra facilities proposed to be given in this matter cannot fail, with careful management, to add greatly to the success of these popular institutions. Another decided improvement is contained in clause 17, which provides that “ any society under this Act, certified previously to the. passing of this Act, may alter or rescind any rule, or make any additional rule, by the vote of three-fourths of the members present at a special,meeting called for the purpose, of which meeting notice, specifying the proposed alteration, rescission, or addition, shall be given to the members, in the manner provided by the rules of the Society, or in the absence of such rules, by letters sent through the post t*v-n 1 days previous to such meeting.” Clause 28 | -reads as follows : - Whenever a member of i a society under this Act having executed a | mortgage to the society shall die intestate, ; leaving an infant heir or infant co-heiress, it shall be .lawful for the said society, after selling the premises so mortgaged to themj to pay to the administrator or administratrix of the deceased' member, any money, - to the amount of Ll5O, which shall remapi in the. hands of the said society, after; paying the amount due to the society and the costs and expenses of the sale, without: being required to pay ~ the same into the Colonial Treasury, as provided by the Trustee belief Act,: 1862. The said sum of Llso' to be considered as persoiial estate, and liable to duty accordingly.” All documents required by the Act or the rules of any society are to he exempt from stamp dirty, . The second part of clause 41, provides that if any society under the Act receives loans . deposits in excess of the limits prescribed by the Act, the directors or committee of management of such society receiving Such loans or deposits on its behalf shall be personally liable for the amount so received in excess.