Another relief measure provided in Decree No. 280 is that by which judicial auction sales may be suspended at the request of the debtor. The decree provides that in all "executory suits" (summary suits to collect debts due) and suits to sell goods mortgaged or pledged, pending on February 16, 1932, or which might be initiated. up to August 1, 1932, the proceeding may be suspended at the debtor's request at the time the date for the auction sale is set or before such sale. This suspension is to last until the end of the current year. The decree provided that if the debtor made use of this prerogative the attached goods would be put under the control of a third party designated by the debtor, if the creditor so requested. In such a case the net proceeds derived from the administration of the goods were to be delivered to the creditor. When the property attached is a factory or an industrial or agricultural establishment, the debtor may request the court to permit him to continue administering the property, according to Decree No. 420 of March 7, 1932. Decree No. 420 also authorizes commercial banks to convert commercial obligations due them into long-term mortgage obligations, with or without gradual amortization. For such transactions commercial banks will enjoy the privileges of mortgage banks. On those debts which they do not transfer to the Colombian Credit Corporation they are allowed to grant debtors extensions for a period longer than six months, provided the debtor makes fixed periodical payments on the principal. The Bank of the Republic is authorized to make loans to commercial banks on mortgage securities maturing within one year up to an amount equal to 50 per cent of the value of the Bank of the Republic stock held by the respective commercial bank. Decrees Nos. 280 and 420 offer facilities mainly to mortgage debtors; to facilitate the settlement of debts owed to commercial banks President Olaya Herrera issued Decree No. 711 of April 22, 1932, later amended by Decree No. 945 of May 31, 1932. By virtue of Decree No. 711 the Superintendent of Banks was authorized to enter into a contract with the commercial banks operating in the country, as well as the commercial department of the Mortgage Bank of Colombia, by which the banks agreed to receive the internal and external bonds of the Colombian Government in partial or full payment of debts owed them, provided that in each payment the banks received an equal amount in cash to that received in bonds. This provision was at first applied to obligations and renewal of obligations contracted prior to April 22, 1932, and later to obligations contracted prior to January 1, 1932. The bonds received by the banks may be used as collateral for loans from the Bank of the Republic, which is authorized to make these loans up to an amount equal to the value of the bonds at par provided the loans do not exceed 75 per cent of the capital and reserves of the borrowing bank. The external bonds will be received by the banks at a 20 per cent discount from their face value. Payment of debts owed to commercial banks in external bonds will only be authorized while the gold reserves of the Bank of the Republic remain above 14,000,000 pesos. The amount of external bonds which banks may receive in payment of debts owed them during the three years the decree will be in force has been limited to 9,000,000 pesos. The bonds received by the banks, both internal and external, will be converted into new 7 per cent internal bonds, the interest and principal of which will be paid in gold. These bonds will be exempt from all taxes except the income tax. Individuals or corporations who possess internal bonds and do not exchange them for the new bonds will have the difference between the interest (8 or 10 per cent) on the bonds which they hold and the interest of the new bonds (7 per cent) deducted when the interest coupon is paid. For the purchase of external mortgage bonds for the settlement of debts to mortgage banks in accordance with Decree No. 280 and for the purchase of external national bonds for the settlement of debts to commercial banks in accordance with Decree No. 711 the Office of Control of Foreign Exchange and Exports is authorized to issue licenses for the transfer of funds for the purchase of these bonds abroad up to the amount of 300,000 pesos a month. THE CENTRAL MORTGAGE BANK Decree No. 711 also provided for the creation of a Central Mortgage Bank to make loans on mortgage security for the settlement of debts owed to commercial and mortgage banks. A committee of three members, representing the Government, the Bank of the Republic, and the other banks who wished to become members, was appointed to organize the bank in accordance with the stipulations of the aforementioned decree, as amended by Decree No. 945, already referred to. The contract between the committee and the Government providing for the organization and establishment of the bank was approved by President Olaya Herrera on June 11, 1932. It began to function on July 1, its charter being for 40 years. The bank has an authorized capital of 20,000,000 pesos divided into 2,000,000 shares valued at 10 pesos each. The shares are divided into four series, A, B, C, and D, to be subscribed by the Bank of the Republic, Colombian commercial banks, branches of foreign banks, and other entities and individuals, respectively. The Bank of the Republic shares (Series A) will amount to 10,000,000 pesos; series B and C shares to at least 10 per cent of the paid-up capital and reserves of the banks who wish to become members. In cases of banks which have a mortgage as well as a commercial department the 10 per cent applies to the capital and reserves of the commercial section. On June 6, 1932, when the application for establishment of the bank was submitted to the Banking Superintendent for approval, the subscribed capital of the bank amounted to 11,180,110 pesos, as follows: Bank of the Republic, 10,000,000 pesos; Bank of Bogota, 640,000 pesos; Bank of Colombia, 405,900 pesos; Mortgage Bank of Colombia, 89,210 pesos; and Commercial Bank of Barranquilla, 45,000 pesos. The bank was to begin operations when 20 per cent of the subscribed capital was paid in, the remaining payments for stock to be made in regular installments. The administration of the bank is in charge of a board of directors of five members, of whom one is appointed by the President of the Republic and two by the board of directors of the Bank of the Republic; two are elected by the Colombian commercial banks affiliated with the institution. Should one or more foreign banks become members of the Central Mortgage Bank the board of directors will be increased by two members, one to be elected by the foreign banks, the other appointed by the Bank of the Republic. Provision is also made for the election of another member of the board by the stockholders of Series D shares when 300,000 pesos of this stock has been subscribed. The Central Mortgage Bank is authorized to do all business which the banking laws permit mortgage banks to conduct with the limitations imposed by Decrees Nos. 711 and 945. Loans by the bank are limited for three years to those which are to be devoted to the settlement of commercial or mortgage debts owed to commercial banks members of the institution or to mortgage banks, provided these debts were contracted prior to January 1, 1932. Mortgage loans for other purposes than the settlement of debts to banks can only be made during this period when the borrower is willing to accept the loan in Central Mortgage Bank bonds at par. The bank is authorized to issue bonds up to an amount equal to the mortgage loans it has made. It will cooperate with the Colombian Credit Corporation by making mortgage loans on the real estate acquired by the corporation in its work of liquidating frozen assets. The depression has curtailed Colombia's foreign trade, depleted her gold reserves, contracted the monetary circulation, restricted credit, and lowered values. The measures outlined above constitute the country's reaction to these conditions. A stable government, which has been characterized by its efforts to maintain the payment of its international obligations, to balance the budget, preserve the stability of the currency, and safeguard the banking structure of the country has no doubt been Colombia's principal asset in the fight which the country is waging to solve her economic problems. National Library of Mexico.---The services which the National Library of Mexico offers to its readers, recently supplemented by the inauguration of a periodical room, have been further improved by the addition of a catalogue of portraits. The catalogue contains about 8,000 index cards of portraits to be found in periodicals and books in the library. On each card may be found a brief biographical sketch of the subject and description of the pose and background. It should prove specially useful to historians, students, and journalists. The National Library of Colombia.-According to the latest annual report of the Director of the National Library at Bogota the broadcasting of radio programs by station HJN of that city and the work of the International Bureau of Exchanges were among the outstanding activities of the library during the fiscal year 1931-32. The radio programs, which began March 5, 1932, included concerts and discussions of current events and economic topics, as well as reports on modern literature. As a result of these programs, readers' attendance at the library increased by 23%1⁄2 per cent. New books were exchanged with libraries within the Republic and abroad. The report states that the library now possesses 85,000 volumes, of which 26,958 have been catalogued. During the year 39,372 readers used the main reading room and 8,186 the children's library. The work of reorganizing the library is progressing under the direction of Dr. Daniel Samper Ortega. Accessions. Among the many books received during the past month the Diccionario de Americanismos by Augusto Malaret deserves special mention. This volume, a revised second edition, is a valuable addition to Spanish lexicons. Among other accessions were: 8o. Ensayo literarios e históricos, por Carlos Martínez Silva. Bucaramanga, Imprenta del departamento, 1932. 196 p. (Biblioteca Santander, vol. 3.) Sobre economia social americana, por Enrique Jimenez. Santo Domingo, Tip. de "La Nación, C. por A." 1932. 120 p. 12o. Las escuelas del Uruguay, por Victor Cabera Lozada. [La Paz.] Editorial López, 1931. 98 p. 12o. Encuesta sobre la biblioteca escolar infantil verificada por iniciativa y bajo la dirección de Antonio Morello. La Plata, Revista de Instrucción Primaria, 1932. 80 p. 8°. O cacao, por Gregorio Bondar. Bahia, Imprensa official do estado, 1925–1929. 2 vols. illus. 8°. pt. 1, A cultura e o preparo do cacao; pt. 2, Molestias e inimigos do cacaseiro no estado da Bahia, Brasil. The Library has vol. 1 of the 2d edition, 1929, and vol. 2 of the 1st edition, 1925. 655 p. Código civil para el Estado de Veracruz-Llave. Edición oficial. Jalapa-Enríquez, Talleres Linotipográficos del gobierno del estado, 1932. 8o. Babel y el castellano, por Arturo Capdevila. Buenos Aires, Compañía IberoAmericana de Publicaciones, S. A., [n. d.]. 244 p. 129. Los buscadores de oro. (Cuentos, narraciones, puntos de vista) por Juan Carlos Dávalos. Buenos Aires, Libreria y editorial "La Facultad" [n. d.]. 277 p. 12o. Los gauchos, por Juan Carlos Dávalos. Buenos Aires, Libreria y editorial "La Facultad," 1928. 229 p. ilus. 8o. Romancero de las calles de Lima, por Arturo Montoya. Lima, Imprenta A. J. Rivas Berrio, 1932. 8°. 2 vols. Rodó en la cátedra, por Juan Carlos Sabat Pebet. Montevideo, Publicación de la Asociación "José E. Rodó," 1931. 102 p. 12o. Exploraciones arqueológicas en el Rio Uruguay medio, por Antonio Serrano. Paraná, Talleres gráficos casa Predassi, 1932. 89 p. ilus. 8o. Juan Manuel Blanes, su vida y sus cuadros, por José M. Fernández Saldaña, Montevideo, Impresora Uruguaya. S. A., 1931. 257 p. ilus. col. plates. 8o. Biografia del General Francisco Morazán. Segunda edición, por E. Martínez López. Tegucipalpa, Tipografía Nacional, 1931. 523 p. ilus. 8°. Por tierras calientes; impresiones, anécdotas e iniciativas referentes al Beni y Noroeste. La Paz, Imp. "Atenea" [n. d.]. 190 p. 12o. Manual de tráfico; guía de información, comercial, industrial, y profesional de La Paz. Imp. "Atenea," 1930. [143] p., incl. ilus. Fold. maps. 12o. Documentos del tercer congreso postal Panamericano, Madrid, 1931. Oficina Internacional de la Unión Postal de las Americas y España, Montevideo. Montevideo, Imp. E. Lagomarsino e hijo, [1931] 376 p. 4o. Historia do Brasil, por H. Handelmann. Traducção brasileira do Instituto Historico e Geographico Brasileiro. Rio de Janeiro, Imprensa Nacional, 1931. 1006 p. 8°. Diccionario de Americanismos. 2o edición extensamente corregida, por Augusto Malaret. San Juan, Imprenta "Venezuela," 1931. 520 p. 4o. The library has received for the first time during the past month the following periodicals: Social, Lima, Perú. (Aparece los días 5 y 20 de cada mes.) Año 2, número 34, 27 de julio de 1932. ilus. 8 x 11 inches. 60 p. Minerva. (Órgano de publicidad de la Sociedad de Maestros "Minerva.") Mazatenango, Guatemala. (Revista mensual.) Año 1, núm. 1, septiembre de 1932. 12 p. 84 x 104 inches. Revista Critica de Jurisprudencia. República Argentina. 1932. 28 p. 81⁄2 x 11 Buenos Aires, Calle San Martín 235, (Publicación quincenal.) inches. Revista de Economia y Finanzas. La Paz, Bolivia. (Revista mensual.) Año 2, núm. 11, Junio de 1932. 36 p. 71⁄2 x 10%1⁄2 inches. |