Nashville patriot. [volume] (Nashville, Tenn.) 1858-1860, 1859-12-21

appear from this report and examination that
vno-profts have been made at these periods.
or any one Of them, beyond the Lad and
doubtful debt, then no dividend shall be made
until similar examination shall show that
the profits do exceed the bad and doubtful
debt. and then dividends may be declared out
OF this excess Of profits.
SEC. 8. Re If JurtheT enacted, That no Bank
shall be chartered for a greater period than
fifteen years.
SIC. 10. BE IL further enacted. That each
Bank shall make monthly statements, under.
The oath of its President and Cashier, TO the
Comptroller Of the State. of its true condi-
tion- This statement shall show, under sepa-
rate heads, the amount of coin, the sums due
| from Banks in this State the amount due
IRON Banks out of the State, and the entire
amount OF its bills, notes and other assets.
1t shall alto show the entire extent of its
liabilities, including its amount Of circula
tIoD, &C.; which report, when made and verl-
IL d. shall be PUBLISH d according to law.
SIC. ii. BE ii further enacted That Bank
shall deal in uncurreEt money or pay out tho
notes Of oibeT Banks; and when in a state Of
Suspension, shall not take or receive more
lhan one per cent. for exchange; and shall
pay into the Treasury of the Stale one-halt -
Que per cent. on its capital stock. for every
lnohlh or fraction of month, whilst thus re-
naming in suspension.
shall procure another to give credit to its cir
ealation. through any security or indnmeity
given Tor so doing.
SIC ID. Be IL further enacted, That each
Bank-shall keep be' fer the registry of The
number, denomination, and amount of the
notes intended for circulation, and that be
fore the same are placed in circulation, the
Supervisor OF Banks shall examine the notes.
compare them with the registry, see that they
are orrccIly registered, and certify the fact
upon the book and that he shall procure an
exact copy of the same. and report to the
Comptroller, who shall publish it according
to law; and this shall be done often
any Bank may desire TO increase its crcula-
ton. II the officers of any Bank shall will
fully put in circulation any note or notes
not registered, as herein provided, such Of
ficers shall be guilty of misdemeanor, and
on conviction. shall be severally fined moi
less than five hundred dollars, and imprlson-
I'd not less than six nor more than twelve
months.
SEC. IA. BE IL ttrtlier enacted, That no part
of the capital stock of any Bank shall lie
Withdrawn until its whole liabilities are sal
isied; or any portion Of its assets applied to
any other purpose than that of legitimate
banking as defined and prescribed by the
provisions of this act; and any Board. OF
such members Of the Board as shall permit
the same to be done, shall be guilty of mis-
demeanor, and shall, on conviction thereof,
be fined in the sum of five hundred dollars
each, and imprisoned for not less than two
nor more than ten months.
SEC. 10. Bet further enacted, That no per-
son shall be Director in any Bank, who il
not a citizen of This State; nor shall more
than twO-thirds OF any Bank Directory be
stockholders in the Bank for which they act
as Directors; and no Director in any other
Bank, nor partner in trade of such Director,
nor two persons trading in partnership at
the same time, shall be eligible or capable
Of serving as Directors in such Bank.
SEC. l6. BE further enacted, That all ac-
cOmmOdalions extended to the stockholders
of the institution, shall be upon the came
terms that are exacted from its other Gus
toners; and violation of the provisions of
this section, shall be misdemeanor III the
Directors voting for the same, and punishable
10y fine aud imprisonment.
SEC. H. BE Il further enacted, That no Bank
shall pay interest Oh deposits, nor buy in.
hold or cancel its own stock; but may receive
it in payment of bad and doubtful debts. ct
for the purchase OF real estate; and in such
case the stock shall he conveyed TO Il third
party, i'll trust, TO bs sold by him for the
benefit of such Bank.
Sic. Is. BE IL further enacted. That a person
known as the Supervisor of Banks, shall he
appointed by the Governor and confirmed by
the Senate, who shall hold his Office for two
years, and duly commissioned. whose duty il
shall be to examine aud report under oath,
al least quarterly, the condition of every
Bank in the Stat; showing in his report,
under separate heads the amount of coin,
exchange, bills, notes and other assets of
said Banks, well as the amount of issues
and entire liabilities of the same; such state
ment shall also show the solvent assets. aud
bad and doubtful debts. and any other items
necessary to explain the condition Of the
same; it shall also show whether the capital
stock of said Bank is paid, and any other
fact and circumstance, to give the public
correct knowledge of the Bank; which report
shall he published by the Comptroller accord
ing to law. In case the Supervisor shall die.
resign or remove, between the session of
the General Assembly, it shall be the duty
Of the Governor to appoint for the uneXpired
term.
SEC 10. Be IL further enacted, That when
ever the Supervisor shall desire to make an
examination OF a Bank, il shall be the duty
of the officers of The same 10 afford him every
facility for complying with his duties re-
quired by this Act; and il the Supervisor
should deem il necessary, he may cause all
or any of the officers of said Bank 10 bc ex-
amined under oath, as to any matters ncccS-
sary for said examination. And If any officer on
officers of the Bank shall borrow or otherwise
procure any assets not legitimatcly owned
by the Bank, To he exhibited to the Super
visor as IA portion of the property of said
Bank, it shall be misdemeanor in those
guilty of The same, and punishable by fine
and imprisonment.
SEC. 20 BE II further enacted. That when
any Bank shall have suspended specie pay
ment. and remained In that condition for a
period OF one hundred and twenty days in
any one year, it shall bee the duty of the Su-
a. b.
be Instituted in the Chancery Court of the
District where the Bank is located, in the
name of the State of Tennessee, against the
Bank, 10 have lis assets subjected to
the payment OF its debts. and its charter de-
clar,d 10 bc forfeited Prorided. however. that
if the Governor shall be of opinion that it is
for the public interest that such proceedings
shall not he instituted. he may, in writing.
So declare to the Supervisor, and suspend all
proceedings thereon, from time To time, until
the meeting of the Legislature.
z SIC. 81. BE u further enacted, That the SH-
peryirur appointed under the provisions of
this Act, before entering upon the duties of
his office. shall give bond in the sum of ten
thousand dollars, with good security, payu-
bile 10 the State of Tennessee, aud To b. APP
proved of 10y The Govern for the faithful
Performance of his office shall take an oath
to discharge the duties thereof faithfully
and that he shall receive, rs compensation
for the performance OF his duties, the sum uf
three thousand dulldrs, To be paid 10 him
quarterly out Of the Treasury. Aud If said
Supervisor shall make IA false and traudul IA
reprt in regard to the condition OF any
Bank, he snail forfeit and pay TO the State
the inll peualty of said bond. and shall be
guilty OF the crime OF perjury, aud upon con-
yicIon, shall b. confined ia The penitrntiary
Tor "a period OF not less than three years.
She. %. BE Il FURTHER Haetd. That there
shall b. levied a pro rata tax upon the Banks
in this State |, kept ,he Back of Tenne~scc.)
which are suil ect IT, the provisions of this
law, upon The tenth of January in each year.
30 as To make up the sum IT Ihrte thousand
dolla =; which TX shall be assessed aud collvo-
led by the Treasurer Of this State. To pay the
salary Of the Supervisor and il any Bank