ART. 23] FRATERNAL BENEFICIARY ASSOCIATIONS. 239

portion thereof which may be used for expenses; and no part of the
money collected for mortuary or disability purposes or the net accre-
tions of either or any of said funds shall be used for expenses.

1912, ch. 824, sec. 12A.

240. (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 sub-
title, may make and sign (giving their addresses) and acknowledge
before some officer competent to take acknowledgments of deeds, arti-
cles 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 insurance com-
pany 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 include
more liberal powers than are granted by this sub-title, 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 officers, trus-
tees, 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 issu-
ance of the permanent certificate.

Such articles of incorporation and duly certified copies of the consti-
tution 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 insurance commissioner, conditioned upon
the return of the advanced payments as provided in this section to
applicants, if the organization is not completed within one year, shall
be filed with the insurance commissioner, who may require such further
information as he deems necessary, and if the purposes of the associa-
tion conform to the requirements of this sub-title and all provisions
of law have been complied with, the insurance commissioner shall so
certify, and retain and record (or file) the articles of incorporation,
and furnish the incorporators a preliminary certificate authorizing said
association to solicit members as hereinafter provided. Upon receipt
of said certificate from the insurance commissioner, said association
may solicit members for the purpose of completing its organization,
and shall collect from each applicant the amount of not less than one
regular monthly payment in accordance with its table of rates as pro-