Preble County Democrat. [volume] (Eaton, Ohio) 1857-1859, 1857-05-21

be in notes of one dollar each; not more
than FIVE per cent in notes of two dol
lars each; not more than ten per cent
in notes of three dollars each; not more
than twenty per cent shall be in notes
of all denominations under five dollars;
not more than fifty per cent in notes OF
all denominations under ten dollars.
SEC. 10. IF any branch of the Bank
of Ohio shall refuse to pay its notes Of
circulation, or any of them, in gold or
silver coin, or the lawful currency. Of
the United States, on which payment
shall be lawfully demanded at its bank
ing house or customarysnl ct doing
banking business, during usual banking
hours, such branch shall be deemed to
have committed an act Of Insolvency,
and thereupon all its property, credits,
securities, liens and assets of the Bank
of Ohio for the uses and purposes de-
clared in this act.
SEE. II. The Bank of Ohio, on re-
ceiving information that any branch has
committed an act Of insolvency, shall
forthwith appoint committee of one or
more of its directors, or Others, who
shall make immediate inquiry into the
truth of such information and report
thereon to the bank and if the bank
shall be satisfied with the report Of the
committee that such branch has sus-
pended the payment of its notes in gold
and silver, it shall forthwith appoint a
suitable receiver or receivers, who shall
take immediate possession of the books,
records, money, chooses in action and
property of such branch, of every de-
| o-l ha11 fNr 41,a
| Joint use and benefit of the other
branches of the Bank Of Ohio, and the
creditors of the falling branch; and said
Bank of Ohio shall Immediately provide
money and place the same in such SOL
vent branch or branches as may be most
convenient for the purpose Of redeem
ing the notes of such failing branch, and
shall give public notice thereof in some
newspaper printed in the place where
such falling branch is located, and also
in some newspaper of general circula-
ton Published at Columbus.
Sec II. Each solvent branch shall
contribute, in the ratio of circulation to
which it is entitled, to the sum necess-
ary for redeeming the notes of the fail
ing branch, as provided in the preceding
section, on the requisition of the Bank
OF Ohio, and may-b be remunerated for
such contribution, from the safety fund,
rs soon as money sufficient can be raised
from that fund, by sale or hypotheca-
ton of the stock, funds, or other sccuri-
ties belonging thereto.
SEC. 13. The receiver or receivers
appointed as provided in the eleventh
section, shall be required to give bond
in such sum and with such securities as
the Bank of Ohio, or Executive Com
mittee, shall Judge sufficient, and under
the direction Of said bank, shall proceed
to settle up the a1fairs of such branch,
and convert its assets into money; the
money so made shall be applied:
First-To reimburse all moneys which
shall have been advanced by the several
branches, for the redemption of the
notes OF the insolvent branch, and which
may not have been previousl y reimbursed
from the safety fund.
Second-To imburse all moneys ad-
vanced from the safety fund, other than
moneys derived from that portion Of the
safety fund furnished by the falling
branch.
Third-To the payment and discharge
of all the remaining liabilities of such
branch; and
Fourth-The residue shall be divided
among the stockholders of the failing
branch, in proportion to the stock by
them respectively held.
SEC. II. IF any branch against which
the Bank of Ohio shall have instituted
proceedings on account of any supposed
act of insolvency, as prescribed by the
eleventh section Of this act, shall deny
having committed such act Of Insolvency,
such branch may apply to any court of
competent Jurisdiction for writ of in
junction to said Bank Of Ohio, to sus-
pend all further proceedings against
such branch as an insolvent bank and
such court, after citing said Bank of
Ohio to appear and show cause why
such writ should not be granted, and
after the finding of jury that such
branch has at all times continued, and
still continues to redeem, in gold and
silver coin, its notes Of circulation, shall
make an order cnjoining the Bank Of
Ohio from all further proceedings against
such branch on account OF the supposed
act of insolvency on which such pro
cecdings were instituted, and thereupon
all the property and assets of such
branch shall be restored to its directors
Sec. IS IF the Bank of Ohio shall,
in any case, fail to proceed in the man
ncr prescribed in the foregoing sections
of this act, in providing for the payment
of the outstanding notes of circulation,
and in closing the affairs of any branch
that shall have committed an act of in
solvency, the holder of any of its notes
Of circulation, or other creditors of such
branch may, in case payment of such
notes of circulation or other claim has
been refused when lawfully demanded,
and remains unpaid, apply to any court
of competent jurisdiction for its writ,
commanding the Bank Of Ohio so to
proceed, and it shall be the duty of
such court, after citing such bank to
appear and show cause why such writ
should not issue, and upon the finding
of jury that such act of insolvency
has been committed, to issue their writ
commanding said bank forthwith to
proceed in the manner pointed out in