128 LAWS OF MARYLAND. [CH. 132

SECTION 1. Be it enacted by the General Assembly of Mary-
land, That Section 164 of Article 23 of the Annotated Code of
Maryland (1939 Edition), title "Corporations", sub-title
"Building or Homestead Associations, " be and it is hereby
repealed and re-enacted, with amendments, to read as follows:

164. The payment of the unpaid installments and the pre-
miums on the share or shares so purchased or redeemed, with
interest on the money paid therefor, as aforesaid, and all fines
and penalties incurred in respect thereof by any member, shall
be secured to such corporation, by mortgage on real or lease-
hold property, or by the hypothecation of stock of such cor-
poration held by such member or by judgment of a court of
law or by a justice of the peace or by a decree of a court of
equity all as may be provided in the articles of association or
by-laws; but in no case of hypothecation of stock no greater
sum of money shall at any time be drawn out by any member
than shall have been already paid in by him on all his shares
at the time of said hypothecation, and all homestead or build-
ing associations organized under the laws of this State are
hereby prohibited from investing in any other manner than in
cash, fixtures, or loans on hypothecated stock of such associa-
tion, judgments or decrees for payment of money received by
courts in this State, mortgages on real or leasehold estate
situate in this State, ground rents issuing from real estate
located in this State, bonds of this State and bonds or other
obligations of, or guaranteed as to principal and/or interest
by, the United States. And any homestead or building asso-
ciation incorporated under the laws of this State shall, in addi-
tion to the foregoing, have full power to become a member of,
or stockholder in the Federal Home Loan Bank in the district
of which the State of Maryland is a part, and to that end to
purchase stock in, or securities of, or to deposit money with
such Federal Home Loan Bank, and to comply with all condi-
tions of membership or credit in such bank; to borrow money
from such bank and to pledge security therefor, including the
right to repledge the shares of stock pledged as collateral secur-
ity without securing the consent of the owner thereof, in ac-
cordance with, and to function under the terms of an Act of
Congress entitled the "Federal Home Loan Bank Act, " ap-
proved July 22, 1932, or any amendments thereto, including
the rules and regulations promulgated thereunder by the Fed-
eral Home Loan Bank, insofar as said Act or amendments
thereto, or rules and regulations thereof apply to homestead
or building associations.

In addition to the powers hereinbefore enumerated any
homestead or building association incorporated under the laws
of this State shall have full power and authority to avail itself