the repayment thereof before the expiration of the eighth year after the organization of the association, or the date of issue of the series of stock in such association on which the loan may have been made, there shall be refunded to such borrower one-eighth of the premium paid for every year of the said eight years then unexpired: Provided, That where the said premium has not been deducted from the loan, but paid in installments, there shall be no premium refunded; and any mutual building, loan and homestead association, which may have heretofore been incorporated under the laws of the State of Illinois, may avail itself of all the powers conferred by this act. (As amended by act approved June 17, 1887. In force July 1, 1887. L. 1887, p. 131; Legal News Ed., p. 107.

Does not apply on foreclosure. M. B. & L. Ass'n v. Tascott, 143 Ill. 305 (314).

Held constitutional. Winget v. Quincy Bldg. Ass'n, 128 Ill. 67.

88. Premiums, Fines, etc., not usurious-Stock and notes not to be taxed.) § 11. Corporations organized under this act being of the nature of co-operative associations, therefore no interest, premiums, fines nor interest on such premiums that may accrue to said corporation, according to the provisions of this act shall be deemed usurious and the same may be collected as other debts of like amount may be collected by the laws in this State; and, all money paid to such corporation being at once loaned out and placed into taxable property, and the shares of stock and notes provided for in this act being simply evidence as to where such money has been placed, therefore such stock and notes shall not be subject to taxation. (As amended by act approved and in force June 17, 1891. L. 1891, p. 89; Legal News Ed., p. 71.

89. Corporate existence not to cease on failure to elect, etc.) § 12. No corporation or association created under this act shall cease or expire from neglect on the part of the corporation to elect officers at the time mentioned in their charter and by-laws, and all officers elected by such corporation shall hold their offices until their successors are duly elected. 90. May purchase, etc., real estate-When.) § 13. Any Loan or Building Association incorporated by or under this act is hereby authorized and empowered to purchase at any sheriff's or other judicial sale, or at any other sale, public or private, any real estate upon which such association may have or held any mortgage, lien or other encumbrance, or in which said association may have an interest, and the real estate so purchased, to sell, convey, lease, mortgage or exchange for

other real estate and to dispose of such real estate so acquired at pleasure to any person or persons whom sover. (As amended by act approved May 16, 1903. In force July 1, 1905. L. 1903, p. 126; Legal News Ed., p. 120.

91. Existence may be extended.) § 14. Any loan or building association incorporated under this act, or any prior act, may extend the duration of time for which such association was organized, increase or decrease its capital stock, or change its name or the number of directors, by a vote of the majority of the capital stock of such association at any meeting of the stockholders of such association; thereupon the board of directors shall transmit a copy of the proceedings of such meeting, duly attested, to the Auditor of Public Accounts, who shall issue his certificate as provided in section 3 of this act, certifying to the extension of time of duration of such association, and the same shall be recorded as provided in said section 3 of this act. And any association incorporated under any prior act, and extending the duration of the time for which it was incorporated, in the manner herein provided, shall be deemed as incorporated under and be vested with all the powers given in this act, the same as if the association had been originally incorporated under it. (As amended by act approved May 16, 1903. In force July 1, 1903. L. 1903, p. 128; Legal News Ed., P. 120.

91a. Annual report to auditor-Penalties for not making, or for making false or wrong reports.) The secretary of every association doing business within this State shall, within sixty days next after the close of each fiscal year of such association, file with the Auditor of Public Accounts of the State of Illinois, with a fee of two dollars, a detailed statement of the receipts and expenditures of such association for one year next preceding the date of such report, its assets and liabilities, including in such liabilities all sums due for gross premium unearned; the number of shares, issued, withdrawn, matured, retired and loaned on during the year; the number of shares in force, number of shares loaned upon, installments per share, profits per share, and the value per share at the date of such statement, which statement shall be in such form as shall be prescribed by the Auditor. Such statement shall exhibit in full each, all and every of the receipts from whatsoever source received, and each, all and every of the expenditures of such association, including all expenses of management. All of such statements shall be sworn to by the secretary before some officer authorized by the laws of this State and certified to by a committee of three members of such asso

ciation not officers thereof or by public accountants appointed by the board of directors. Such statement, and also any other periodical statement, shall be either mailed to each shareholder or published in some paper regularly issued in the county in which such association is located within sixty days. next after the same shall be compiled. Any secretary who shall wilfully neglect or refuse to file such statement shall be subjected to a fine of not less than twenty-five dollars nor more than two hundred dollars for each neglect or refusal to furnish such statement. The same may be recovered in any court having competent jurisdiction in the name of the People of the State of Illinois, on the relation of said Auditor, for the benefit of the county wherein said association is located or in which such secretary may reside. (As amended by act approved May 16, 1903. In force July 1, 1903. L. 1903, p. 129; Legal News Ed., p. 120.

91b. Duties of Auditor-Fees.) § 16. It shall be the duty of the Auditor of Public Accounts, in person, or by one or more persons, to be by him appointed for that purpose, not officers or agents of, or in any manner interested in such assotion, except as stockholders, at least once in each year to examine into the affairs of every such association, incorporated in this State or doing business by its agents in this State, and it shall be the duty of the officers or any agents of any such associations to cause their books to be opened for inspection of the Auditor or person or persons so by him appointed, and otherwise facilitate such examination so far as it may be in their power to do so, and for that purpose the Auditor or person or persons so appointed by him shall have power to examine under oath, the officers and agents of such association, relative to the business of such associations, and whenever the Auditor of Public Accounts shall deem it for the best interests of the public so to do, he shall publish the result of any investigation in one or more newspapers of general circulation, published in the county in which the principal office of such association is located, and annually on or before the first day of December of each year, the Auditor of Public Accounts shall report in writing to the Governor the financial condition of all such associations doing business in this State. The Auditor shall receive for such examination made by him in person or by deputy, his reasonable compensation and expenses, and said compensation and expenses shall be paid by the association so examined. (As amended by act approved June 19, 1893. In force July 1, 1893. L. 1893, p. 85; Legal News Ed., p. 59.

91c. Auditors-Duty-When assets are impaired, etc.) § 17. Whenever it shall appear to the Auditor of Public Accounts that the assets of any association doing business in this State, are impaired to the extent that such assets do not exceed the dues paid in on the shares, with interest thereon, at the rate of three per centum per annum, for the average time invested or that it is conducting its business in a fraudulent, illegal or unsafe manner, he may at once, in either case, appoint a custodian for such association, and shall require of such custodian a good and sufficient bond with sureties to be approved by such Auditor. (1) (As amended by act approved June 16, 1897. In force July 1, 1897. L. 1897, p. 170; Legal News Ed., p. 129.

91d. Auditor-Custodian-Special meeting of stockholders-Report.) § 17b. The Auditor of Public Accounts, at the time of the appointment of a custodian for any association as herein provided, shall, within ten days next after having appointed such custodian, convene a special meeting of the shareholders for the purpose of considering and acting upon such matters as to such special meeting shall seem best. Notice of such special meeting shall be given in the manner and form provided in section 20 of this act, for the calling of special meetings of shareholders. At such meeting said Auditor shall present a full report of the affairs and condition of such association, as found by him from his examination thereof, or as made to him by the custodian. (1) (Added by act approved June 16, 1897. In force July 1, 1897. L. 1897, p. 170; Legal News Ed., p. 130.

91e. Custodian-Duties of - Reports - Compensation.) § 17c. Such custodian, under the direction of the Auditor, shall take possession of the books, records and assets of every description of such association, and pending the further proceedings specified in this act, shall prepare, or have prepared a full and true exhibit of the affairs, property and condition of such association, including an itemized statement of all the assets and liabilities; and shall receive and collect all debts, dues and claims belonging to it; and may, if necessary, by and with the consent and approval of the Auditor, pay the immediate and reasonable expenses of his trust, including his own compensation at not to exceed the sum of ten dollars per diem. Such custodian shall also receive, and receipt for all monthly payments becoming due after the date of his appointment, and shall keep the same separate and apart from the other moneys and effects of such association. (1) Added by

act approved June 16, 1897. In force July 1, 1897. L. 1897, p. 170; Legal News Ed., p. 130.

91f. Meeting of shareholders-Reorganization-New management.) § 17d. If, at the special meeting of the shareholders to be called as herein provided, the shareholders of such association shall vote to reorganize said association then and in that case, the said cutodian shall, upon the consummation of the reorganization thereof, and when the said Auditor shall so order and direct, turn over to the new management all the books, papers and effects of every description in his hands belonging to such association. (1) (Added by act approved June 16, 1897. In force July 1, 1897. L. 1897, p. 171; Legal News Ed., p. 130.

91g. Voluntary liquidation-Duty of Auditor and Custodian.) § 17e. If, at the special meeting of the shareholders to be called and held as herein provided, such shareholders shall vote to go into voluntary liquidation, or to otherwise close up or discontinue the business of such association, such custodian shall, when the said Auditor shall so order and direct, return to the shareholders all monthly payments received and receipted for by him, and which became due and payable after the date of his appointment; and all books, papers and effects of every description in his hands, belonging to such association not so returnable, shall, when the Auditor shall so order and direct, be turned over and delivered to the person or persons entitled thereto. (1) (Added by act approved June 16, 1897. In force July 1, 1897. L. 1897, p. 171; Legal News Ed., p. 130.

91h. If the Auditor finds that the association cannot be reorganized-To report to Attorney-General-Duty of Attorney-General-Proceedings.) § 17f. If the Auditor of Public Accounts, after having called a meeting of the shareholders, as in this act provided, shall find that the association cannot be reorganized, or that voluntary liquidation by the shareholders cannot be had, or consummated, he shall report the same to the Attorney-General, whose duty it shall then become to at once apply to the Circuit Court of the county in which the principal office of such association may be located, or to any of the judges of said court in vacation, in the name of the People of this State, on the relation of said Auditor, for an injunction restraining such association from doing further business, and for the appointment of a receiver of such association, and for the dissolution of such association, which application may be made and granted either in term time or in vacation of said court, in the manner now provided for ob