238 CORPORATIONS. [ART. 23

1912, ch. 824, sec. 9A.

237. (Funds.) Any association may create, maintain, invest, dis-
burse and apply an emergency, surplus or other similar fund in accord-
ance with its laws. Unless otherwise provided in the contract, such
funds shall be held, invested and disbursed for the use and benefit of
the association, and no member or beneficiary shall have or acquire indi-
vidual rights therein or become entitled to any apportionment or the
surrender of any part thereof, except as provided in section 233. The
funds from which benefits shall be paid and .the funds from which the
expenses of the association shall be defrayed, shall be derived from
periodical or other payments by the members of the association and
accretions of said funds; provided, that no association, domestic or
foreign, shall hereafter be incorporated or admitted to transact business
in this State, which does not provide for stated periodical contributions,
sufficient to provide for meeting the mortuary obligations contracted,
when valued upon the basis of the National Fraternal Congress Table
of Mortality as adopted by the National Fraternal Congress August 23,
1899, or any higher standard with interest assumption not more than
four per cent, per annum, nor write or accept members for temporary
or permanent disability benefits except upon tables based upon reliable
experience with an interest assumption not higher than four per cent.
per annum.

Deferred payments or instalments of claims shall be considered as
fixed liabilities! on the happening of the contingency upon which such
payments or instalments are thereafter to be paid. Such liability shall
be the present value of such future payments or instalments, upon the
rate of interest and mortality assumed by the association for valuation,
and every association shall maintain a fund sufficient to meet such lia-
bility, regardless of proposed future collections to meet any such liabil-
ities.

See notes to this section (as it stood in 1911) in volume 1 of the Anno-
tated Code.

1912, ch. 824, sec. 10A.

238. (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 asso-
ciation 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 incor-
porated shall be held to meet the requirements of this sub-title for the
investment of funds.

See notes to this section (as it stood in 1911) in volume 1 of the Anno-
tated Code.

1912, ch. 824, sec. 11A.

239. (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 pro-