Fayetteville observer. [volume] (Fayetteville, Tenn.) 1850-1966, 1858-02-11
/ FAYETTEVILLE, TRNN THURSDAY, FEBRUARY II, Is

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such acceptance, failing to compl
) with such provisions, such failur
!; shall be, and is declared cause 3
! forfeiture of charter. All contrac.
made by it after the time when i
shall have failed to comply witt
the terms Of the first section Q
: this act, are hereby null and void, ant
no suit in law or equity shall b,
Laintained by any such bank O.
banks, upon any contract or demand
SO made. And it is hereby mad.
the duty Of the Governor, on salts,
factory information being given te
him that any such accepting bank OF
banks as aforesaid, have failed to
comply with the provisions of the
the first section OF this act, to direct
| the Attorney General for, the Judi.
cial circuit in which such offending
bank may be located, to take all leea!
steps in the name and at the suit of
the State, to have the charter Of said
bank declared forfeited and annulled
by judicial sentence, for non-compli-
ance with the provisions Of the first
section Of this act, before accepted
I by il as aforesaid. If, on the trial,
| 1t shall appear that such accepting
bank, after its acceptance has failed
to comply with the provisions Of the
first section Of this act. Judgment
of forfeiture, shall be entered against
it, thereon said bank snail go into
liquidation, by the appointment of a
Receiver to be made by the court
rendering such Judgment; and it
shall be the duty of such court to
take bond and ample security from
said Receiver, conditioned to faithful.
ly. collect all the debts of such bank.
to take safe and proper care of its
effects and assets of any kind, and
to render true account Of the same.
Said Receiver to apply the effects
of such bank: first, to the payment
of its notes or bill-h holders; secondly
to the payment of its depositors and
other creditors. pro rata. II, after
payment Of all the costs Of its liuui-
dation, there remains any surplus,
then the same shall be paid to the
stockholders of the bank, or those
entitled to the same.
Sec. s., BE it further enactsd BY
the authority aforesaid, That any
President, Cashier, Teller, Clerk,
Agent, or employee Of any bunk who
shall knowingly violate its charter,
or amendments thereto, or eha!l re-
move or secrete the effects of such
bank, or in any way conceal the
debts, liabilities, or assets of the
bank for the purpose Of avoiding or
defeating any judgment Of the courts,
or for the purpose of defrauding any
Of the creditors Of the bank, the
person so offending shall be deemed
guilty of high misdemeanor, and
ou convection shall be fined 10 a sum moi
less than Two thousand dollars, said
fine TO go to the use Of the common
school fund; and also shall be impri-
soned at the discretion of the court,
not less than one, nor more thar six
months.
SIC. 4. Be it enacted by tie au-
Mority aforesaid, That an act pass
ed on the 18th February, 1852, and
entitled "An act to authorise and
regulate the business of banking"
be and the same is hereby repealed,
SO far as to prohibit and take away
all right, after the passage Of this
act, for any one individual or assocha-
ton Of individuals, to avail them
selves Of the psoyision Of said act, or
any other amendatory Of it, for the
purpose OF creating any new bank
ing company, bank, or association,
not now in existence. Said act is
also repealed, so far as to prohibit
any bank now in existence under said
acts to increase its capital stock or
circulation.
SEC. 5. Belt further enacted by
the euthofity aforesaid, That it is
hereby required Of the several bsAks
lin this State to make quarterly re-
ports to the Comptroller, verified
by the oath Of the president and
cashier thereof. of the true condi-
tion Of said bank, its assets and
liabilities, stating particularly the
capital stock, the amount. Of such
IL l.