Muscatine weekly journal. [volume] (Muscatine, Iowa) 185?-1890, 1858-04-24

AV Cuplthl StOCk OI CdCl UIduCu
shall be divided into shares Of one hum
dred dollars each, and book shall be
kept by each branch bank (; showing
who are the stockholders, and what
amount is held by each individual or
company, which stock shall be assign
able only on the books of the branch in
such manner as its bylaws shall pre-
scribe, but no shareholder shall have
power TO sell or transfer any shares
held in his own right fer the purpose of
escaping liability when the Bank is in
volved or 50 long as he shall be liable
either as principal debtor, surety, Oh
otherwise to the branch for any debt,
nor shall such shareholder, when liable
to the branch for any debt that is over
due, be entitled to receive any divi-
dends, interest or profit on such shares
so long as such liability shall continue,
but all such dividends, interest or profits
shall be retained by the branch and ap-
piled to the discharge of such liabili-
ties.
5 2a. No branch shall take as secu-
rity'for any loan or discount, a lien on
any part of its capital stock, or any
other than personal security, and the
same security, both in kind and amount
shall be required of shareholders, as OF
persons not shareholders, and no branch
shall be the holder or purchaser of any
Of its capital stock, or Of the capital
stock of any other Incorporated COM
pany, unless such purchase shall be
necessary to prevent loss upon debt
previously contracted in good faith on
security which at the time was deemed
adequate to insure the payment of such
debt, independent c f any lien upon such
stock or in case of forfeitures of stock
for the nenpayment of installments
due thereon, as provided in the twenty
second section; and stock so purchased
shall in no case be held by the branch
so purchasing for a longer period of
time than six months, if the same can
be sold for what the stock cost, or at
par.
) "a. In all the elections of direc-
tors, and in deciding all questions at
meetings Of the stockholders, each
share shall entitle the owner threoi to
one vote; stockholders may vote by
proxies duly authorized in writing, but
no officer, clerk, teller or ok-keeper
of the branch shall act as proxy, and
no stakeholder whose liability to the
branch is past due and unpaid shall be
allowed to vote.
5 rs. The affairs of each branch
shall be managed by not less than FIVE,
or more than nine Directors. Every
Director shall be citizen Of the Uni
ted States, and shall, during his whole
term Of service reside in this State.
Each Director shall take an oath that
he will so far as the duty devolves on
him, diligently and honestly administer
the affairs Of the branch, and not know
lngly violate or willingly permit to be
violated any Of the provisions Of this
act !; that he is bona fide owner in his
own right, Of the stock standing in his
name on the books Of the branch, and
that the same is not hypothecated, or
in any way pledged as security, for any
loan obtained or debt owing; which
oath, subscribed by himself and certi-
fed to by the officer before whom it is
taken, shall be fled and carefully pre-
served in the Office of the Recorder Of
the county in which the branch is loca.
ted but ,,o person shall be President
or Director Of more than one branch at
the same time.
5 rs. The stockholders collectively
Of any branch shall at no time be liable
to such branch, either as principals,
debtors or sureties, or both to an
amount exceeding three fifths part Of
the capital stock of such branch then
actually paid in, and remaining as cap
ital stock, nor shall the directors, COL
lactively, be so liable to an amount ex
cceling onc-6fth part Of the stock ac-
tually paid in, standing in their names,
and Of which they are, collectively, the
bona fide owners in their own right.
5 q. The Directors of any branch
first elected, shall hold their place until
the first Monday in January next there
after, and until their successors shall
be elected and qualified ; all subsequent
elections shall be held annually on the
first Monday Of January, and the d.
rectors so elected shall hold their pla-
ces for one year, and until their sue
cessors are elected and qualified: but
any director removing from the State,
or ceasing to be owner Of the requisite
amount Of stock, shall thereby vacate
his place. Any vacancy in the Board
shall be filled by appointment by the
remaining directors /; the director so
appointed shall hold his place until the
next annual election ; and if from any
cause, an election Of directors shall not
be made at the time appointed, the
branch shall not for that cause be dis
solved, but an election may be held
on any subsequent day, thirty days no.
tice thereof having been given in a
newspaper printed in the county where
the branch is located.
5 %. Every branch authorized to
carry on the business of banking under
this act shall be held and adiudged to
be a body corporate, with succession,
from the date Of its certificate Of asso-
citation until the first day Of July, A.
D. 1873, and thereafter until its affairs
can be closed and by its corporate
name shall be competent to contract,
prosecute and defend actions Of every
description, as fully as natural persons;
and process against such branch may
be served upon the President or cashier