, 1863-02-24
TIE NATIONAL CURRENCY
BILL,

shall he paid over to the shareholders Of such
or their legal representatives, IN
to the stock By them respectively
held: Provided, however, Tint If any such
against which proceedings have
|stcn so instituted on account Of any alleged
refusal to redeem its circulating notes aforc-
eaid, shall deny having failed to do. SO, such
association nav at any time within ten days
after such association shall have been notified |
Of the appointment Of an agent, as provided |
in this act, apply. to the nearest Circuit. or
or nte' Te192 Court o. inc Gnitsd
premises; and such Court, after citiag the
Controller Of tho Currency to show cause why
therproceedings should not be cDjoined,
and after the decision Of the Court or finding
Of jury that such association has not re-
fused to redeem its circulating notes, when
legally presented, in the lawful money Of the
United States, shall make an order enjoining
the Controller, and any receiver acting under
his direction, from all further proceedings on
account Of such alleged refusal.
SEC. 50. And be it further enacted, That
the bonds transferred to the Treasurer Of the
United States, ~ hereinbcfoH provided. BY
any banking association for the security OF
rs circulating notes, shall be held exclusively
for that PURPOSE, until such notes shall be re-
deemed, except as provided in this act; but
the Controller Of the Currency may give to
any such banking association powers Of attor-
ney to receive and appropriate to its own use
The interest on the bonds which shall have
been so transferred to the Treasurer byit; but
such powers shall become inoperanFe When-
ever such banking association shall fa1i 10 re,
deem its circulating notes as Aforesaid; and
said Controller may direct the return Of any
Of said bonds to the banking association
which transferred the same, upon the surTen-
tionate amount Of such circulating notes !:
Provided, That ninety per ccntum Of the cur
rent market value Of the remaining bonds
wiiea shall have been transferred by the
banking association offering to surrender such
circulating notes shall be equal to the
amount Of all the circulating notes retained by
such banking association: And provided
further, That there ehall hare been no failure
by such association TO redeem its circulating
notes, and that there shall hare been no
other violation by such association OF any OF
the provisions OF this act for the security q
the creditors Of such association; nor sha!l
the Treasurer be required to surrender saca
bonds In frac'ionnl suius Of less than one tnon
sand dollars; and II, at any time atser sad
bonds shall be deposited with the treasurer
Of The United States, as aforesaid, the market
or cash value shall be reduced, the Controller
Of The Currency is hereby authorized to de-
mand and receive the amount Of such depre-
ciation in other United States bonds at cash
Yalue or in money, from the association re-
cciyiig said bills, to be deposited With the
Treasurer Of the United States, a6 long as such
depreciation continues.
SFC- 81. And be Il further enacted, That
Whenever the price of any of the bonds plcdg-
ed as aforesaid for the redemption OF the cir
c11latinp notes If anr such banking ass0cla'
tion shall he. at the Stock Exchange, In thu
City Of New York. for four rconsecutiy weeks
ut rate less than that at which they shal
have been estimated when SO pledged, aul
such depreciation shall not have been mad
good by deposit of-other bonds OF money
Il shall be the duty Of the Controller Of th.
Currency to notify the Treasurer Of th
United States of such tact, and the paJmen
of Interest upon such deprecated bonds shal
tained By said Treasurer until the same, wheI
added to the current market value Of tn
bonds SO pledged, to be ascertained as betor
provided shall be equal to the amount to
which such bonds were pledged: Provided
That it shall be the duty Of the Controller G
the Currency, at the expiration OF ever
period Of three months, to cause the whole {
The sums SO retained, and then remaining /
treasury of the United States, to be inyeste
In United States bonds, in the name Of tn
Controller Of the Currency, In trust for tn
. respective associations by which the bonds o
which such interest shall have accrued aha
have been pledged; and whenever the prit
Of such Deprecated bonds at the Stock E:
change in New York shall rise to the pricet
which they were pledged, and SO remain fOt
consecutive weeks, ench Investment shall l
assigned to such association, md all accruir
interest On such pledged bonds shall thereatt
be paid to such association on demand thereo
Sec. 81. And be it further enacted, That
shall be the duty Of the Controller of Il
Currency to receive worn out or nuti1att
circulating notes fssued by any such banklI
association, and to deliver in place thereof
such association other blank circulating not
to an equal amount; and such worn out
mi n
have been entered In the proper books, In q
cordance with such regulations as may
established by the Controller, rs well as
circulating notes which shall have been pa
or surrendered to be Cancelled, shall be burn
to ashes in presence Of three persons, one
sury, one by the Controllcr Of the Currcn,
and one By the Treasurer Of the Uni dstat
under such regulations, as the Secretary
the Treasury may prescribe; and IN case 81
notes shall have been delivered to the G.
tro1lcr by m officer or agent Of such ASSOC
ton, then in the presence also, Of such off
or agent and certificate of such burnt
signed by the parties SO appointed, shall
made in the books Of the Controller, m
duplicate thereof given to such officer
BEc. 50. And be it further enacted, Tha
shall be unlawful for any officer acting unt
the provisions Of this act to conntefsigu
deliver to my such association, or to .
other company or person, any circulate
nQtes contemplated by this act, except
the true intent and meaning Of this net; {
any officer who shall violate the provisions
this section shall be deemed guilty Of 4 h
mIsdenleanor, and on conviction thereof 81
be punished by fine not exceeding double
amount SO countexsigned and delivered, :
the discretion Of the Court in which he 81
be tried.
SEC. 81. And be 1t further enacted, Thai
a fees for protesting the notes issued by
such banking association shall be paid by
person procuring the protest to be made,
such banking association shall be liable n
for; but no part Of the stock pledged W S
banking association, As aforesaid, shall be
plicd to the payment Of such fees; aud all
penses OF anv preliminary or other exam
lions into tie condition Of any associa
shnll be paid by such association; and all
The assets Of such association before dist1
tioh Of The proceeds thereof
SEC. IS. And be it further enacted,
the stockholders, collectively, OF any sucl
ISOLATION shall at no time be liab1e>to sucl
sociation, either as principal debtors OF t
ties, or both, to an amount greater than t
ffths Of the capital stock actually paid In
remaining nndiminished By losses or oi
wise, nor shall the directors be go liable,
cept to such amount and in such mRnnc
shall be prescribed by the bylaws Of sucl
sociation. adopted BY It's stockholders to
ulnte such liabilities.
SEC. 38- And be ii further enacted, THAI
capital stock Of any association formed u
this net shall be divided into shares Of
hundred dollars each, and shall be assign
on the books Of the association in such /
ner 90 Its bylaws shall prescribe; but
shareholder in any association under this
shall hare power to sell or transfer any 8
held In hfE nu n rfUhf Jnnr ha GI,r
liable, either rs principal, debtor, surety
otherwise, to tile association, for any
which shall have become due and remain
paid, nor in any case shall such sharcholde
entitled to receive any dividend, interest
profit, on such shares, 80 long IS such lis
tics ehall continue, but all such dividends
terests, and profits, shall be retained by
eneh sbie s;o ana npse no stoek sG 'hi sha s se
ferred without the consent of majorit
the directors while the holder thereofis
indebted TO the association.
SEC. II. And be it further enacted, Til:
banking association shall take, Us sccurit
any loan OF discount, lien upop any pa
it's capital stock; but the same security,
shareholders as Of other persons; an
such banking. association shall be the
chaser OF holder Of any portion Of its ca
stock, or Of the capital stock OF any {
Incorporated company, unless such pur1
shall be necessary 10 prevent loss upon a
previously contracted in good faith, on
MY which, at the time, was deemed adc
10 insure the payment Of such debt,
pendent Of any lien upon such stock:
case Of forfeiture Of stock for non nav
or 1nstalimcnts due thereon, aud st1,
porchased OF acquired shall in no case bt
By such association 80 purchasing for !
ge9 period Of time than Elk months, /
same can, within that time. lie snld fnr