Lancaster gazette. [volume] (Lancaster, Mass.) 1828-1830, 1829-05-26

ing TO IL, on loan on pleuge Vi It's own
Stock, greater amount than fifty per cen
tum its Capital Stock actually paid in ;
and no part of the Capital Stock of any
Bank shall be sold or transferred, until the
whole amount thereof shall have been paid
in.
SEC. A. Be itfarther enacted, That the
amount of Bills issued by any Bank shall
not at any time exceed twenty-five per GEN.
tum, beyond the amount of the Capital
Stock actually paid in, and no loan or dis
count shall be made, nor shall any bill or
note be issued by said corporation, or by any
person on their account, in any other place
than at the said Bank.
SEC. 5. Be 1t further enacted, That the
total amount of debts which any Banking
Corporation shall at any time owe, whether
by bond, bill, note or other contract, shall
not exceed twice the amount of its Capital
Stock actually paid in, exclusive OF sums due
on account of deposits, nor shall there be
due to said Corporation at any one time
more than double the amount of Capital
Stock actually paid in. In case of excess OF
debts so due from said Bank, the Directors
under whose administration it shall happen
shall be liable for the same in their private
capacities and an action of debt may In
such case be brought against them, or any
of them, their or any of their heirs, execu-
tors or administrators, in any court proper
to try the same, by any Creditor OF Credl-
tors of said corporation, and may be prose-
cuted to final Judgment and execution, any
condition, covenant or agreement to the
contrary Notwithstanding But this shall
not be construed to exempt said Corporation,
or the lands, tenements, goods or chattels
of the same, from being also liable for and
chargeable with said excess. Such of said
Directors who may have been absent when
said excess was contracted or created, or
who may have dissented from the resolution
or act whereby the same was contracted or
created, may respectively exonerate them
selves from being so liable, by forthwith
giving notice of the fact, and of their alb
sence or dissent, to the Goveruour and
Council, and to the Stockholders at any gen.
eral meeting which they shall have power
to call for that purpose.
SEC. 6. Bet further enacted, That no
Banking Corporation within and under the
authority of this Commonwealth shall vest,
use, or improve any of its monies, goods,
chattels or effects in trade or commerce /;
but any Corporation aforesaid may sell all
kinds of personal pledges lodged with it by
way of security to an amount sufficient to
reimburse the sum loaned with interest and
expenses. Every Banking Corporation as
aforesaid may hold real estates, lands, and
tenements requisite for the convenient
transaction of its business, not exceeding
twelve per centum on the amountof its Cap
ital Stock, unless they have been or shall be
speedily authorized, exclusive of what it
may hold on mortgage, receive on execution,
or take as security for, or in the payment of,
any debt to said Corporation, and no more.
SEC. 2. BE 1t fitrtherenacted, That none
but member of the Corporation for which
he is chosen as a Director, being citizen
OF, and a resident in this Commonwealth
shall be eligible to that Office and a MAORI
ty OF Directors in any Bank shall be resi-
dents within the County where the Bank is
located; and no person shall be a Director
IN TWO Banks at one and the same time.
No Bank shall have less than FIVE, nor more
than twelve, Directors, to be determined by
their bylaws. The Directors shall choose
one of their own number to act as President
and in case ofthe absence of the President
Chairman may be appointed for the time
being. A majority of the Directors shall
always be necessary to constitute quorum
for doing business the Directors may
make the President such compensation as
shall appear to them reasonable.
Sec. 8. BE 1t further enacted, That the
Directors shall be chosen by ballot annually
at a meeting to be holden on the first Mon
day in October, by the Stockholders, at suct
time and place, within the city or town where
! said Bank is established, as the President
and Directors for the time being may desig
nate, by giving public notice thereof four.
teen days previous thereto in some newspa
per printed in the County, and if there be ne
newspaper printed in said county, then ir
some one in the City of Boston. The mum.
Der OF votes to which each Stakeholder shall
be entitled, shall be according to the mum.
Der of shares he shall hold, in the following
proportions, that is to say-for one share
one vote, and every two shares ebove one
share give right to one vote more, provid.
ed no one member shall have more than ter
votes, and absent members may vote by
proxy, such proxy being authorized in writ
ing vacancies occurring in the board of Di-
rectors before the expiration of the term for
which they were chosen, may be filled at a.
ny meeting of the Stockholders called fol
that purpose as herein before provided In
like manner the Directors shall have power
to call special meetings of the Stockholders,
as often as they think the interest of the
Corporation may require it.
SEC. 9. Be It further enacted, That the
Directors shall make half yearly dividends
OF the profits of the Bank. The Directors
shall have powert to appoint Cashier, Clerks
and such other officers for carrying on the
business of the Bank, with such salaries as
to them shall seem meet, and such Cashier,
Clerks, and other officers shall retain their
places until removed therefrom, or others
are appointed in their stead.
SEC. 10. Be 1t further enacted. That the
Cashier, before he enters upon the duties of
his Office, shall give bond or bonds with two
or three sureties, to the satisfaction of the
board of Directors conditioned for the faith
full performance of the duties of his Office
Provided that in no case shall bonds be ia