The Caledonian. [volume] (St. Johnsbury, Vt.) 1837-1867, 1851-12-06


sGuh transferred stock IN trust, NAV, In his
discretion, change or irARsfer the same for
other stockH Of the kinds boldfe specified In
this act, or may trausftr the said stocks or
amy part thereof or the mortRaacs, or Hny NJ
them hereinafter mentioned aud prOyidcA for,
upon recriying and cancciing an equal a.
mount ofsuch circulating notes delivered by
lin 20 such association, 10 such manner that
INC riruuiHttug nutus EhHif always be Errurrd
10 full, either by stocks, or bY stocks and
morigages, ~ in this act provided
Sec. o, Tie billa or notes 20 10 be- coun-
teWigned, and tbs payment of which shall be
so secured by the tTansfcr OF public stocks.
shall be- stamped up0n thpir face. Hsepurcd
by lbs pledge Of public slouEs,"
sec' T. Instead Of transferring public
stocks NJ aforesaid ,tosarure the wholoRNount
of such bills or notes. "a shall ho lawful fnr
.nrh association, Ia case tiNvEhaii M Uieri,
befOro te1ting any or thG said biiis or noios.
TO secure the payment Of one halfof tho whole
amount ~ 10 be Issued, hy transferring ~ tho
treasurer bonds and mortgages upon real cs-
tate, hearing ~ least six per cent interest,
payable annually or scmi,annnhly, in which
case All hnch hills or notes issnod hy tho said
association shaft be stamped on their face,
"se.rurrd ny mo pledge or public uuCkS md
real estate"
'"f.f ~ w AAAh .fNANNf 70 NieFNfNNNNf
must hc improved, productive uninrnmbercd
lands in this state, exclusive NJ any buildiugs
thereon, and the amount for which said lamb
are 20 mortgagod must not exceed two-Gflha
OF the value ofshd lands; nor shall any mort
gage be received for a greater amount than
five ihonsand dollars each, and tho treasurer
shall prcscrlbo.snel regulations flr ascertain
ing the title and value of such lands, ~ ho
may deem. necessary, and such bonds shall be-
payable within such time as the treasurer
may direct
See. 0, The treasurer may. in his discrc.
ton re-assiRn the aid bonds and mortgages,
or any OF thcm, 10 the Asspniation who trans
fcrrcd the Same, on Receiving other approved
bond. aud mortgages, or public stocks of tho
description mentioned iu the second section
Of this act, Of equal amount; mud when any
sum Of the principal Of the bonds aud mort
cages, Transferred 10 the trrasuror, shall Lo
paid 10 him, lac shall notify the association
chat transferred the bonds and mortgages, Of
such payment aud may pay the same "a such
association on receiving other approved bonds
and mortgages of equal amount
See. 10 The association, assigning such
bonds and mortsnocs 10 the treasurer, may
receive the annual Interest 20 colnr thereon,
unless default shall hc made ir paving lhcbills
or notes 10 be- chuntcrsignol ~ alorcuil.or
unless, in the opinion Of The treasurer. the
bonds and mortgages. ar stocks 20 plcdgcd,
shall become an insufficient security for the
payment oc such bills or nolcs.
Sec. ! L. In case such association shall
fail or relusc to pay such bills or notes on de-
mand, in the manner specified ia the fourth
section oC this act, the treasurer, alcr the ten
days notirc therein mentioned, may proceed
20 sell NJ public auction the public stocks 80
pledged or the bonds and mortgages 80 Rs-
gtsfFtsgf W fTFy yTItiJuT ~ tIpIT and ft ~
the proceeds Of such sale shall md cancel
the said bills or notes, dciaulr in paying
which shall have been m.ric as aforesaid; but
nothing IN this act contained shall be cou.id-
urrt ms Implying uny- -p'rtlge on tli- f,-ti ,,f
the state Tor the paNmcnt OF stid bits or
notes. beyond the proper application oi; the
securities pledged TO the treasurer for their
redemption.
Sec. 2. The public stocks and bonds and
mortgages to bc deposited with the treasurer,
hy any sHnh association, shall be held hl him
exclusively for the redemption OF the bills or
notes Of such association as money, until tho
same are pad. p
See. g. Tho plates, dies, and materials
10 bc procured 10y the treasurer for the print
ing and making of tho circulating notes pro-
yidcd for hereby shall remain IN his custo-
dy, and under his directions; the expenses
necessarily incurred ia executing tho provis-
ions of This act, shall be paid by the trcasur-
or out ofnny money in the treasury not 9th
crwisc appropriated; aud for the purpose of
rcimhursing tho samu, the said treasurer is
hereby authorized and required 20 charge n
gainst, and receive from such assoViation, ap-
plying for such circulating notes, such rate
per cent. thereon as may bc sufficient for that
purpose, and rs may be just and Reasonable.
SEE. Ia. II shall not bc lawful for the
treasurer or other officer, 10 countcrsign bills
or notes for any association to an amount in
the aggregate exceeding the public stocks, or
public stocks aud bonds aud mortgages, NJ
their vauc, ms before provided in this act, tie
posted with the treasurer by such association;
and any treasurer, or other officer, who shall
violate tho provisions of this section, shall,
upon conviction, be ndjudged guilty of mis-
demeanor, and shall he punished by fine
not less than five thousand dollars, or be I'M
prisonod not. less than five years in the State
Prison, or by both such Gne and imprison,
mcnt.
Sec. 10. Any number of persons, not less
than ten, residents of this state, may assor-
ate to establish offices of discount; deposit and
circulation, upon the terms and conditions,
and subject TO the liabilities prescribed in this
act; but the aggregate amount of the capital
stock of any such association shall not be less
than fifty thousand dollars nor more than two
hundred and fiiy thousand dollars.
See. 10. Such persons, underthcir hands
and seals, shall make a certificate which shall
speciiy:--l. Tho name assumed to distin-
guish such association, and TO be- used in all
it's dealings, which name shall not be that of
any other bank in this state. 2. The place
where the operations Of discount and deposit
of such association are 60 he carried on, dcs.
ignating the particular city, town or village.
8. The amount of the capital stock of such as-
sociation, and the number of shares into
which the same shall be divided. g. The
names and places of residence of the share
holders, and the number of shares held by
each OF tbem respectively 3. nc period Mt
which such association shall commence aud
terminate; which certificate shall be acknow-
edged and recorded in the office of the clerk
of the county wiIcre any Office OF such asso-
citation shail he established, and copy there
of flied in the office Of the secretary OF state.
See, IL. The certificate required hy tho
last preceding section to be recorded and fled
in the Office of the clerk Of the county. and