Edgefield advertiser. [volume] (Edgefield, S.C.) 1836-current, 1839-01-24
From the Charleston Courier


FREE BANKINa.-The Legislature of
Georgia, at its late session, passed an act
authorizing and aloptine the system of
free banking. The leading provisions of
the law are as fOlluws:-A circulating me-
dIum, in The Similitude Of hank notes, in
| blank, 10 he provided by The Comptroller
| General. aud two Commissioners Ito be e.
lected a! each session of the Legisature)
and 10 be countersigneti,nu Numbered and reg
lsIereh by such person or persons as the
Comptroller and Comm ssi0ners shall an
point. This circulating medium To he de-
l'vered to amy person or association of per-
sons fhr the purpose Of banking, to an equal
amoun, with the value Of stock or bonds
transferred, on the legal transfer To the
Comptroller and Commissioners. | or
stocks of the United States, the State of
'ieorgia, or such other States Of the United
States, as shall bo approved by those Off
GERS, 10 be or TO be made to be equal to
State Stock, producing per cent. per
annum, and not to he taken at a rate above
or below par-the bills or notes thus secu-
red to he stamped on their faces, .secured
ny the pledge. Of public Stocks" 2. or
bonds and mortgages, or unincumbered
lands within tho Slate, worth independent
~ ot the buildings thereon, al least double
the amount for which they are n,ortgaged.
| bearing At least per cent interest. annu-
ally or semi-amnuallv,-bili or notes thus
secured to be stamped secured by pledge
Ut real estate" 3. OF bonds and mor,ea
ges for lands. or town property, or for ne
gr0es, of fourf0id the value of the bills or
notes received. provided such property be
insured. If liable TO injury or destruction
from hire and provided that the negro prop
erty offered do not exceed one half of th-
whole amount of such bills or notes-whicb
when thus secured are TO he STAMPED ..se-
cured by pledge Of real and personal Dron
erty.' The hills or notes. thus delivered
10 persons or assO 'iatiOus, to he executed
anu signed ny them. and made obligatory
proHIIsory notes, payable on demand. u,
their respective places Of business, within
lie STATE, and 10 lie loaned and circulated
ny them as money. according to the u.a
ges OF banking. On failure to redeem such
bills or notes, on demand, nj the place ,f
business, during the usual hours of business.
IN gold or silver coin, Of the standard yoIu.
ot tho United STATES, the holder is author.
lZeh 10 nave the same pr0fested; and the
Comptroller and Commissioners, on re-
| ceIvinS and filing the protest, TO give no.
lice IN wiring TO the maker or makers IN
redeem the same, and il he or they omit 10
DO so. for 6O days after such notice. the
Comptroller and Commissioners (unless
satisfied Of legal defence To such no,esl
TO give notice Immediately in the MiIIedpe.
vile papers, that all The circulating poic.
issued ny such persons or associations will
he redeemed out Of the trust funds in their
hands, and to apply the same in paymen,
ofihe protested noes. with costs protests.
and To adopt such measures for the nav.
ment of ali circulating notes of such die
faultcrs. as will in their opinion, prevcn,
loss TO the holders. The dividends nm
stock aud interest on bonds to be received
by those plcdeng them, unless ,efanI, he
made in redemption Of their notes rs atorc-
said, or the Comptroller and Commission
crs deem the security insufficient. No
shareholder in any such association 10 he
liable III his individual capacity for The en-.
gaSemenls Of the association unless so
specified in the articles of associations
No such association to he organized for
longer term than 20 years. bui cacI, 10
have the right to re-organiZe at The expira-
ton of It's Term. under any law then of
force Oh tn subject. Various provisions,
some of them highly penal, are contained
in the aci.for the examination of the affairs
of these banking persons and assnciations.
and for the security Of the stock, 5oDIs.
and property pledged by them, and The
faithful application of The same TO secure
The circulating medium created by the act.