PHILLIPS LEE GOLDSBOROUGH, ESQ., GOVERNOR. 1603

SEC. 10A. (Investments.) Every association shall invest
its funds only in securities permitted by the laws of this State
for the investment of the assets of life insurance companies;
provided that any foreign association permitted or seeking to do
business in the State, which invests its funds in accordance with
the laws of the State in which it is incorporated shall be held
to meet the requirements of this act for the investment of funds.

SEC. 11A. (Distribution of Funds.) Every provision of
the laws of the association for payment by members of such
association in whatever form made, shall distinctly state the
purpose of the same and the proportion thereof which may be
used for expenses; and no part of the money collected for mor-
tuary or disability purposes or the net accretions of either or any
of said funds shall be used for expenses.

SEC. 12A. (Organization.) Seven or more persons, citizens
of the United States, and a majority of whom are citizens of
this State, who desire to form a fraternal beneficiary association
as defined by this act, may make and sign (giving their ad-
dresses) and acknowledge before some officer competent to take
acknowledgments of deeds, articles of incorporation, in which
shall be stated:

1st. The proposed corporate name of the association, which
shall not so closely resemble the name of any association or in-
surance company already transacting business in this State as
to mislead the public or to lead to confusion.

2nd. The purpose for which it is formed, which shall not in-
clude more liberal powers than are granted by this act, provided,
that any lawful social, intellectual, educational, charitable,
benevolent, moral or religious advantages may be set forth
among the purposes of the association and the mode in which its
corporate powers are to be exercised.

3rd. The names, residences and official titles of all the offi-
cers, trustees, directors or other persons who are to have and
exercise the general control and management of the affairs and
funds of the associations for the first year, or until the ensuing
election at which all such officers shall be elected by the supreme
legislative or governing body, which election shall be held not
later than one year from the date of the issuance of the perma-
nent certificate.

Such articles of incorporation and duly certified copies of the
constitution and laws, rules and regulations, and copies of all
proposed forms of benefit certificates, applications therefor and
circulars to be issued by such association, and a bond in the
sum of five thousand dollars, with sureties approved by the