INSURANCE 2169

tingency upon which such payments or installments are thereafter to be
paid. Such liability shall be the present value of such future payments or
installments, upon the rate of interest and mortality assumed by the asso-
ciation for valuation, and every association shall maintain a fund sufficient
to meet such liability, regardless of proposed future collections to meet any
such liabilities.

An. Code, 1924, sec. 156. 1922, ch. 492, sec. 153.

190. (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 per-
mitted or seeking to do business in this 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 article for the investment of funds.

An. Code, 1924, sec. 157. 1922, ch. 492, sec. 154. 1935, ch. 370, sec. 157.

191. (Distribution of Funds.) Every provision of the laws of the asso-
ciation 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
mortuary or disability purposes or the net accretions of either or any of
said funds shall be used for expenses, except as provided by Section 188
of this sub-title.

An. Code, 1924, sec. 158. 1922, ch. 492, sec. 155.

192. (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 article, may
make and sign (giving their addresses) and acknowledge before some officer
competent to take acknowledgment of deeds, articles of incorporation, in
which shall be stated:

First. The proposed corporate name of the association, which shall not
so closely resemble the name of any association or insurance company
already transacting business in this state as to mislead the public or to lead
to confusion.

Second. The purpose for which it is formed—which shall not include
more liberal powers than are granted by this article, provided, that any
lawful, social, intellectual, educational, charitable, benevolent, moral or re-
ligious advantages may be set forth among the purposes of the associa-
tion—and the mode in which its corporate powers are to be exercised.

Third. The name, residence and official titles of all the officers, trustees,
directors or other persons who are to have and exercise the general control
and management of the affairs and funds of the association 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
no later than one year from the date of the issuance of the permanent
certificate.

Such articles of incorporation and duly certified copies of the constitu-
tion 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