The Emporia news. [volume] (Emporia, Kan.) 1859-1881, 1861-10-05

HAY be reed upon IN the article organizing such
bank, and everT person becoming a stakeholder
therein shall in proportion to his interest sue
coed to all the rights and be subject to all the liza
biliies of prior shareholder shareholders; no
change shall be made IN the articles organizing
such bank, whereby the rights, remedies or Sc
eurites OF existing creditors shall be any man
ner impaired, and any association. constituti ng
such bank shall not be dissolved by the death
or insanity Of any one OF the shareholders there
lin.
4 SEC. IL If the maker or makers of any such
circulating note notes. couHtersigned and regis
tered aforesaid, SHALL at any time hereafter;on
lawful demand, during the usual hours of bnsi-
ness, at the place where such note or notes is or
are made payable, fail refuse to redeem such
note or notes, in the lawful money of the United
States, the holder holders of such note or notes
making such demand may cause the TO be
protested, for non payment, by notary public
under his official seal; but the maker maker of
such note notes shall not be liable for the ex-
pense of protesting the same, unless on such
demand and refusal SO to redeem the same, he or
they shall refuse to waive protest and notice Of
protest thereon, and such waiver of protest shall,
in all cases, be deemed equivalent to the regular
protest thereof; and such notary SHALL pro-
testing the same, forthwith forward notice of such
protest to the Auditor Of STATE; the notary max
ing such protest shall certify in his notice of pro-
test the number of notes on which said paving
was refused, and describe them by their numbers
and letters, and shall also certify 10 the aggregate
amount of said notes. The Auditor of State, en-
receiving and filing in his Office such protest, to-
d,
forthwith give notice in writing to the maker or
ma kers of such note notes, pay the same; and
it they shall omit to do so for twenty DAYS after
such notice, the Auditor shall Immediately there
upon, unless he shall be satisfied tn re Is good
and legal defense against the payment of such
note or notes, give notice that all the circulating
notes of such person association of persons
and countersigned and registered as aforesaid
will be redeemed out of the trust funds in his
hands for that purpose, which notice shall be
given by publishing the same in some newspaper
printed In the county where the business of such
bank is established, and in some newspaper
Printed at the seat of government of this State
and the Auditor of State shah be required to ap-
ply the said trust funds belonging to the maker
or makers of such protested note notes to the
payment OF all circulating notes, whether pro-
tested Or not, put in circulation by the maker or
makers of such protested note notes, pursuant
to the provisions of this act, and to adopt srch
measures for the payment of such notes as will,
in his opinion, most effectually prevent loss to
the holder Of such notes; and to this end the
Auditor of State may, after the expiration of sa i'll
twenty days and after giving thirty days notice
OF government of this State and in daily news
paper printed in the city of New York, proceed
to sell, at the Merchants Exchange, in the city of
New York, at public auction, the securities 81
pledged and out of the proceeds of such sale shall
pay pro rata and cancel all bills and notes which
have been issued and put in cir cuation by such
bank under the provisions of this act; but moth
ing in this act contained shall be considered
the payment of such bills notes, beyond the
proper application of the securities pled Jed to the
! Auditor of State for their redemption
SEC. Is Such bank or banking as citation shall
be liable to pay the holder of every bill note
put in circulation money the payment of which
shall have been demanded and refused, at the
banking house usual place of business of such
| association or bankers, damage for non-payment
thereof, from the time of such refusal until the
payment of such evidence of debt, and damages
| thereon.
SEC. 16. 1t shall not be lawful for the Auditor
of State or his deputy, TO countrrsign bills or
notes for any association or banker to an amount
IN the aggregate exceeding the securities at their
I value, before provided in this act deposited
! with him in trust by such association or banker,
or to use or dispose of such securi les in any
ner other than provided for in this act; and any
Auditor of State, or deputy, who shall violate the
provisions of this section shall, upon conviction
! be deemed guilty of misdemeanor, and be pun
ished by fine not less than five thousand dol
| lars, be imprisoned not less than five Years in
the States prison, or by both such fine and i'm
prlsonment.
SEC. II. 1t shall be lawful for any person or
association of persons organized under the pro-
visions OF this act by his their articles of
citation, to provide for increase of their capital
stock and of the numbers of the association, from
time to tim, as they may think proper.
SEC. Is. Contracts made by any bank bank
| ing associations established by the provisions Of
this act, and all notes hills issued and Put in
circulation as money, shall be sgned by the pres.
|
! and proceedings brought prosecuted by and in
| behalf OF such bank or banking association shall
be brought and prosecuted in the corporate name
mentioned in the certificate made and filed as
| herein before required
! SIC. 10. 1t shall be lawful Cor such bank or
banking association to purchase, hold and con
vey real estate, for the following purposes First
Such as shall lie nece ssary for its Immediate
| accommodation in the convenient tran sactions of
its business. Sccond-Such a shall be mortgag
ed to it in good faith by way of security for loans
made by, or money due to- such bank. Third
Such shall be conveyed to it in satisfaction of
debts previously contracted in the course of its
dealings. Fourth-Such it shall acquire by,
sale execution decree of any court in its ia
vor Tho said bank shall not purchase, hold
convey real estate in any other case for any
! other purpose whatever. and all convevances of
such real estate shall be made to the corporations
| and which real estate the president and cashier
may sell, assign, grant convey. under the di-
rectlon of the associntion, free from any claim
thereon in favor Of or against the shareholders
or any person claiming under them.
| SEC. 20. The presideat and cashier of every
| bank formed pursuant to the provisions of this
act, shall at all times, keep true and correct
list OF the names of all the shareholders of such
bank, with the amount of stock held by zach.
the times of transfer and to whom transferred.
and shall file copy CT such list in the office of
! the register of deeds of the county wherein such
bank may be located, and also. in the Office of the
Auditor of Stat, the first Monday in January
and July in each year, and the stoc Kholders in
| equal to double the amount of stock owned by
them, for all the debts of srch bank. and such
individual liability shall continue for year
alter any transfer sale of stock by any stock
holder ockholders.
! SEC 81. In the event of the insolvency of any
bank established under the pr visions of this
act, the bill holders thereof shall be entitled to
preference In payment over all other creditors of
such bank.
| SEC %. 1t shall not be lawful for any bank
formed nndgr the provisions of this act to make
any of its bills, notes to be put in circulation
rs money, payable at any other I'll. &c than the of
| fee where the business of the bank Is carried
and conducted, nor to issue OF the same at any
other place. and said bills notes shall be made
payable demand and without intenst.
| SIC. .. When the owner or owners of any
bank, DESTROYS, of reliHqushing the banking
! business, shall notify the State Auditor of such
| intention then and in eurh case. it shall be COM
petent for said bank or bankers TO redeem and
deposit with the Auditor of State, from time To
tiula of tIl.r ciLc which