A FAEMEBS' MUTUAL FIRE INSURANCE COMPANY. 23 



annual meeting of the company, and shall perform sut-h other duties as the 

 board may assign to him. 



(e) Duties of the treasurer. — The treasurer shall, under the direction of 

 the board of directors, have charge of all the funds of the company. He shall 

 deposit said funds in the depository or depositories designated by the board. 

 He shall pay all vouchers or orders properly attested by the secretary and the 

 president and shall make a complete and accurate report of the finances of the 

 company at each annual meeting. 



(f) Bonds. — The secretary and the treasurer, before entering upon their 

 respective duties, shall each give bond in such sum and in such form as shall 

 be required by the board. 



Sec. 6. Committees. 



(a) Executive committee.— The president, secretary, and vice president shall 

 constitute an executive committee, which shall exercise such powers and per- 

 form such duties as may be delegated or imposed by the board of directors, or 

 as in these by-laws provided. 



(b) Auditing committee. — The members shall at each annual meeting elect 

 two competent persons, who, together with a third person selected by the board 

 from their own number not later than December 31 of the current year, shall 

 constitute an auditing committee. Said committee shall audit carefully all 

 books and accounts for that year and report their findings at the next annual 

 meeting. A special audit of such books and accounts by an expert accountant 

 may be ordered by the members at any annual meeting or any regularly called 

 special meeting. Such special audit may also be ordered at any time by the 

 board of directors. 



Sec. 7. Salaries. 



( a ) Salaries of directors. — Each director shall receive $2 per day and neces- 

 sary expenses for such time as he actually spends in transacting the business 

 of the company. The compensation for taking applications for insurance shall 

 be equal to the policy fee provided for in section 12, and no per diem shall be 

 allowed directors for such services. 



(b) Salaries of officers and employees. — The officers and employees of the 

 company shall receive such reasonable compensation as the board of directors 

 shall determine: Provided, That no officer who is also a director shall receive 

 pay both as a director and as an officer for the same service. 



Sec. 8. Applications for insurance. 



(a) Receiving applications. — It shall be the duty of the directors, each in 

 his own community, or in such district as the board shall designate, to receive 

 and at their discretion to solicit applications for insurance from all persons of 

 good character and reputation Avho are the owners of property insurable under 

 the rules and regulations of this company. All such applications must be ap- 

 proved and signed by the director before being forwarded to the secretary and, 

 unless otherwise ordered by the board, must be accompanied by the policy fee 

 and initial premium hereinafter provided for. Before indicating his approval 

 of an application the director shall satisfy himself by means of careful personal 

 inspection and survey that the description of the property is correct and that the 

 risk is in all respects a desirable one ; or if serious defects are found he shall 

 see that these are remedied before his approval is given. In case of less danger- 

 ous defects that can not be readily remedied, or that the owner is unwilling to 

 go to the expense of removing, the director shall, if it seem to him proper, give 

 the application his conditional approval, accompanying the application with a 

 full and accurate statement of his reasons for such conditional approval. 



