EMERSON C. HARRINGTON, GOVERNOR. 523

has not first been authorized by the board of directors, or by a
committee thereof charged with the duty of investing or loan-
ing the funds of the company, nor shall any deposit be made in
a bank or banking institution unless such bank or banking in-
stitution has first been approved as a bank of deposit by the
board of directors or said committee thereof and unless the
vote authorizing such investment, sale or loan or approval of the
place of deposit has been duly recorded in the books of the com-
pany.

Section 154S. No domestic company hereafter acquiring
title to real estate under the conditions of any mortgage owned
by it or by purchase or set-off on execution upon judgment for
debts due it previously contracted in the course of its business
or by other process in settlement for debts shall hold it for a
longer period than five years without permission granted in
writing by the insurance commissioner; nor shall any such com-
pany hereafter invest in real estate except to the extent that
may be necessary for its convenient accommodation in the
transaction of its business, and then in no case to exceed ten
per cent of its invested assets, including cash in banks.

Such company shall not engage in buying or selling goods,
wares or merchandise, except articles insured by it on which
losses are claimed, and except in replacing, rebuilding or re-
pairing insured property as provided in its policies, nor engage
in any business other than as specified in its charter or agree-
ment of association and expressly authorized 'by law.

Section 154T. Mutual fire insurance companies, except as
provided in the following section, shall charge and collect upon
their policies a full mutual premium in cash, or notes abso-
lutely payable. Any such company may in its by-laws and
policies fix the contingent mutual liability of its members for
the payment of losses and expenses not provided for by its cash
funds; but such contingent liability of a member shall not be
less than an amount equal to and in addition to the cash prem-
ium written in his policy. The total amount of the liability
of the policy holder shall be plainly and legibly stated upon
the filing-back of each policy. Whenever any reduction is
made in the contingent liability of members such reduction
shall apply proportionally to all policies in force.

Section 154U. Mutual fire insurance companies organized
prior to the first day of January in the year nineteen hundred
and sixteen and now lawfully doing business upon the plan of