Washington standard. [volume] (Olympia, Wash. Territory) 1860-1921, 1863-09-05


ceiving such admission, shall forthwith for
ward such admission or notice of protest to
the comptroller Of the currency; and after
such default it shall not be lawful for the ~
sociation suffering the same to pay out any
of its notes, discount any notes or bills, or
otherwise prosecute the business of banking,
except to receive and safely keep money be.
longing to it, and to deliver special deposits
Pr0rided, howevev, That if satisfactory proof
be produced to such notary public that the
payment of any such notes Is restrained by
order Of any court of competent Jurisdiction,
auch notary public shall not protest the same,
and when the holder of such notes shall cause
more than one note or package to be protest.
ed on the same day, he shall not receive pay
for more than one protest. 'f- -
Sec. 20. And be it further enacted, That
on receiving notice that any such association
has failed to redeem any of its circulating
notes, as specified in the next preceding Sec
tion, the comptroller of the currency, with the
concurrence of the Secretary of the Treasury,
may appoint special agent, (of whose ap.
pointment immediate notice shall be given to
such association who shall Immediately pro.
ceed to ascertain whether such association
has refused to pay its circulating notes, in the
lawful money of the United States, when de.
manded as aforesaid, and report to the comp.
troller the facts so ascertained; and if, from
such protest or the reports so made, the
comptroller shall be satisfied that such asso.
citation has refused to pay its circulating
notes as aforesaid, and is in default, he shall,
within thirty days after he shall have received
notice of such failure, declare the United
States bonds and securities pledged by such
association forfeited to the United States, and
the same shall thereupon be forfeited accord
ingly; and thcreupon the comptroller shall
Immediately give notice, in such manner a.
the Secretary of the Treasury shall, by gen.
eral rules or otherwise, direct, to the holders
of the circulating notes of such association
to present them for payment at the treasury
of the United States; and the same shall be
paid as presented, whereupon said comptrol-
lcr may, in his discretion, cancel an equal
amount of the bonds pledged by such asso-
citation, equal at current market rates, not ex-
ceeding par, to the notes paid; and it shall
be lawful for the Secretary of the Treasury
from time to time, to make such regulations
respecting the disposition to be made of such
circulating notes after presentation thereof
for payment as aforesaid, and respecting the
perpctuation of the evidence of the payment
thereof, as may seem to him proper; but all
such notes, on being paid, shall be cancelled;
and for any deficiency in the proceeds of the
bonds pledged by such associations, when
disposed of as hereinafter specified, to REIN.
burse to the United States the amount 90 ex-
pended in paying the circulating notes Of
such association, the United States shall have
first paramount lien upon all the assets Of
such association, and such deficiency shall be
made good out of such assets in preference
to any and all other claims Whatsoever, ex.
cept the necessary costs and expenses of ad-
ministering the same.
Sec. 27. And be it further enacted, That
whenever the comptroller shall become satis-
fed, as in the last preceding section speci.
fed, that any such association has refused 70
pay its circulating notes as therein mentioned,
be may, instead of cancelling the United
States bonds pledged by such association, q
provided in the next preceding section, cause
80 much of them as may be necessary to re-
deem tho outstanding circulating notes Of
such association to be sold at public suction
in the city of New York, after giving thirty
days notice Of such sale to such associa.
ton. ''.F'
Sec. %. And be IL farther esa<ted, That
the comptroller of the currency may, il hs
shall be of opinion that the interests Of the
United States viii be best promoted thereby,
sell at private sale any of the stock 50 trans4
ferred to him by such association, and receive
therefor either money or the circulating notes
of such failing associations Prorided, That
no such bonds shall be sold by private sale
for less than the par, nor less than the mark.
ct value thereof at the time Of sale And
provided further, That NO sales Of any sueh
stock, either public or private, shall be com.
plete until the transfer thereof shall have beep
made with the formalities prescribed in this
act.
Sec. 20. Asd be it .f.rsAer enacted, That
on becoming satisfied, ~ specified in this act,
that any such. association has refused TO pay
its circulating notes as therein mentioned.
and is in default. the comptroller Of the cur.
rency may forthwith appoint receiver, and
require Of him such bond and security ~ he
shall deem proper, who, under the direction
of the comptroller. shall take possession Of
the books, records, and assets of every de.
scription of such association, collect al
debts, dues, and belonging to such associa.
ton, and, upon the order Of court Of record
Of competent Jurisdiction, may sell or com.
pound all bad on doubtful debts, and, On .
like order, sell all the real and personal prop
erty of such association, on such terms ss
the court shall direct; and such receiver
shall pay over all moneys 90 made 70 the
treasurer of the United States, and also
make report to the comptroller Of the cur
rency of ali his acts and proceedings. Ths
comptroller shall thereupon cause notice 70 be
given, by advertisement in such newspapers
"a he may direct. for three conaecutiYa month";