, 1864-08-15


culating notes issued bt ahy such banking as
soeiation, and also, on due proof Of the de.
struetion Of any such circulating notes, 10 de-
liver in place thereof to such association other
oahk circulating notes to an equal amount.
And such worn-out or mutilated notes after q
! memorandum shall have been entered IN the
! proper books, In accordance with such rcaula.
tons as may be established by the Comptrollcr,
as well as all circulating notes which shall have
been paid az surrendered to be cancelled, shall
be bGtncd TO ashes In presence Of four netsons:,
one 10 be appointed BY the Secretary II he
Treasury, one by the Comptroller Of the Cur.
rency, one by the Treasurer Of the United
States, and one by the association, Under such
regulations as the Secretary Of the Treasury
may prescribe. And certificate Of such burn:
ing, signed by the parties so appointed, shall
be made in the books Of the Comptroller, and
duplicate thereof forwarded to the associa.
tIon whose notes arc thus cancelled.
Sec. 25. And be 10 further enacted, That It
shall be the duty Of every banking association
having bohda deposited in the olIice 6f the
Treasurer Of the United States, once or oltenef
in each fiscal year, and at such time or times
during the ordinary business hours as said
officer or officers may select, to examine and
compare the bonds so pledged with the books
Of the Comptroller and the accounts Of the as.
sociation. and, II found correct, to execute 70
the said Trrasurcr-a certificate setting forth
the different kinds and the amounts thereof,
and that the same are in the possession ahd
custody Of the Treasurer at the date Of suell
certificate. Such examination may be mado
by an officer or agent Of such association, duly
appointed in writing for that purpose, whose
certificate before mentioned shall be Of like
force and validity as if executed by such presi.
dent or cashier; and duplicate signed by the
Treasurer shall be retained by the association.
Sec. &c. And1e Il further enacted, That the
bonds transferred TO and deposited with the
Treasurer Of the United States, as hcreinbelofu
provided, by any banking association for the
security Of its circulating notes, shall be held
exclusively for that purpose, until such notes
shall be redeemed, except as provided 10 this
act; but the Comptroller Of the Currency shall
give to any such banking association powers
Of attorney to rcceite and appropriate to its
own use the interest on the bonds which it
shall have so transferred to the Treasurer; but
such powers shall become imperative when.
ever such banking association shall fail to re-
deem its circulating notes as Aforesaid When
ever the market or cash value Of any bonds de-
posted with the Treasurerof the United States,
as Aforesaid, shall be reduced peloW the amount
Of the circulation issued for the same, the
Comptroller Of the Currency is hereby author.
lied to demand and receive the amount OF such
depreciation in other United States bonds at
cash value, or in money, from the association
receiving said bills, 10 be deposited with the
Treasurer Of the United States as long as such
depreciation continues. And said Comptroller,
upon the terms prescribed by the Secretary Of
the Treasury, may permit an exchange 10 be
made Of any Of the bonds deposited with the
Treasurer BY IN association faF other bonds Of
the United States authorized by this act TO be
received as security for circulating notes, Il be
shall bo Of opinion that such an exchange can
be madewithout prejudice to the United States,
and he may direct the return Of any Of said
bonds to the banking ASSOCIATION which trans.
ferred the same, In sums Of not less than one
thousand dollars. upon the surrender 70 him
and the cancellation Of proportionaie amonnt
Of such circulating notes: Provided, That the
remaining bonds which shall have been trans
ferTed by the banking association offering to
surrender circulating notes shall be equal 10
the amount required for the circulating notes
not surrendered by such banking association,
and that the amount Of bonds IN the hands o.
the Treasurer shah not be diminished below
the amount required to be pton deposit with
him by this act And PROVIDED, That thtro
shall have been no failure by such association
to redeem its circulating notes, and no other
violation By such association Of the provisions
Of this act, and that the market or cash value
Of the remaining bonds shall not be below the
amount required for the circulation issued for
the same. s5ssi;
Sec. %. ARd BE- u further enacted, That Il
shall be unlawful for any officer acting under
the provisions Of this act to countersign or de-
liver to aay association, or 10 any other com.
pany or person, any circulating notes contems
plated BY this act, except as hereinbolore pro-