The tri-weekly standard. [volume] (Raleigh, N.C.) 1866-1868, 1866-07-14
The N. C. Banking Law.
AN ACT TO ENABLE THE BANKS OF THE {
STATE TO CLOSE THEIR BUSINESS.

people of the State, ,..,,,
of the State Of North Carolina, and a. IS He'Hoy
enacted by the autity Of TIE same, Ina5 II te
Stockholders of any of the Banks chartered Dy the
General Assembly of this State shall be unwllnng
to close the business of their Banks by an assign
ment and are DESTROYS to appropriate all the estate
and effects of such Bank tor the benefit Of its
creditors and to close its business ana SURRENDER
their chartered rights and franchises in CONFORM
ty with the subsequent provisions OF TINS ACT,
such Stockholders may by their bill in equity in
the name of such Bank filed in the Court OF EqulS
o. the county in which the principal BANK OF any
o. It's branches may be located, require tile creu
tors of such Bank to prefer and establish tne'r
demands within such time (not less than Lwepe
months after decree therefor as snai inm smcS
bill appoint as commissioner suitable person
acquainted with the business OF such Bank, VINO
shall be paid tor ms cnmmssoner Shall
give bond with ample security, payable 10 inc
State for the faithful discharge OF his duties IN
such sum as shall be approved by the court,
which bond shall be filed in court and may De
sued on for the use of such persons as the court
may allow. r,;,
soner appointed as aforesaid, upon filing the bond
required of him. shall forthwith become and SO
long he shall contlue sucn COMMISSIONS "ti f
no longer shall be vested with all the estate, el
fects and rights of action which such Bank posses
sed, had or held or was vested with, at the Ilne
of filing such bill, and which such Bank could at
that time have lawfully sold, assigned or trans
ferred including all debts due to such Bank or TO
any person for its use and all liens and securties
therefor. The court may require such BANK by
its Cashier or other proper officer TO endorse
without recourse, all such bills or notes. draw all
such checks or orders for money and execute such
other paper writings as the court shall deem ne
cessary or useful to enable the commissioner 10
demand or recover and receive the estate ana e.
fects of such Bank for the benefit of its creditors
The commissioner shall have the like remedy to
recover and receive all the estate debts ana eHects
belonging to such Bank at the time OF hing lis
bill, as such Bank might have had II no proceed
ings had been had under this act; and should any
such Bank have made any sale or transfer OF lis
property effects, fraudulent as 10 It's creditors
but valid as between the parties, i'll such cases
such commissioner shall stand in the place OF the
creditors, and may recover and receive sucn pro
pertyor effects traudulently sold or transferred,
although such Bank could not have done so. In
all suits prosecuted by such Commissioner at
law or in Equity the plaintiff shall be styled me
Commissioner (adding thereto the name of the
particular Bank for which he has been appointed
the COMMISSIONER and if at the time of filing
such bill by any Bank any action ut law or pro-
cecding or suit in Equity snail be pending in the
name of such Bank for the recovery OF any estate,
debt or demand which might or ought to be vested
in such Commissioner is aforesaid, such Commits
sioner shall be admitted to prosecute the same in
like manner and to like effect; and no suit pend
ing at any time for the recovery of any estate,
debt or demand in the name OF such COMMISSION
or shall be abatcd by the death removal OF such
Commissioner, buta Commissioner to be appoint,
ed in such Gas is hereinafter provided) shall
be admitted to prosecute the same in like manner
and TO like effect if the same had been origin
ally commenced by him.
See. 5 Be it further enacted That the Commits
sioner aforesaid shall i'll all things connected with
the discharge of his duties as Commissioner, act
under the direction and orders OF the court; and
if any such Commissioner shall refuse or unreal
sonably delay neglect to obey any rule, order
decree of the court, it shall be the duty OF the
court to remove such Commissioner; and upon
such removal or upon any vacancy by death or
otherwise, the court shall appoint some other
person Commissioner, who shall enter into bond
in such sum as the court snail direct in like man
ner and for the like and purposes as provided
in cases of the Commissioner first appointcd
and thereupOn all the estate, property, effects
debts and rights OF action vested III such Bank
after the time of filing its bill, not before lawfully
disposed of by any former Commissioner, shall be
forthwith vested in such new commissioner
legally and effcctually as if he had been the
missioner first appointed; and the court shall have
the power to require any former commissioner
the representative of any deceased commissioner,
to surrender to such new commissioner any such
estate, effects, money or evidence of debt which
of right should be in the hands or possession OF
such new commissioner.
Sec. t. Be ii FURTHER enacted, That all demands
of creditors may be preferred and proved before
such commissioner and for all purposes connect
ed with the investigation of the demands of any
person claiming to be creditor as aforesaid, the
commissioner shall have power to administer all
oaths required in the course of such proceedings.
Any supposed creditor whose claims shall be
wholly or in part disallowed by any commission
er, may appeal to the Court, where the same shall
be determined according TO the course of the
Court, decided at law, as the court may direct;
and in all such appeals the shall be docketed
in the name of the creditor against The Com
missioner of -" adding the name of the Bank
of which lie is commissioner and shall be tried
and determined as like suits between other parties.
In all cases in which any such commissioner shall
be party, whether plaintiff or defendant, and it
shall appear that there has been mutual credit
given by the Bank, and any other corporation
any person who is the opposite party, or there
mutual debts between thein whether such debts
be due and payable not, the account between
the parties shall be stated and one debt shall be
set off against the other and the balance of such
account only shall be allowed paid either
side respectively; and the costs in all cases shall
be paid by either party as the court shall direct.
The commissioner shall from time to time pre-
pare statements in writing of all claims allowed
by him; showing the character of such claims and
the evidence on which their validity is based;
and there shall be no application of any funds in
the hands of such commissioner to the satisfac-
ton i'll whole or in part of any claim whatever,
except under rule or order of the court there
for.
Sec. ). Be it further enacted That the court shall
make all proper orders ard DEGREES for the colIec-
ton of the assets of such Bank, of every nature
and description, and for the pay ment of the
and expenses incident to the proceedings. The
creditors whose claims and demands have been
proved and established as aforesaid against the
estate and effects OF such Bank in the hands of the
commissioner, shall be entitled to payment in
satisfaction of the same out of the assets in hands
of such commissioner, the court shall order
and direct; and all such claims and demands not
prosecuted, proved and established accordng:t to
the provisions of this act within the time allowed
by the decree of the court therefor shall be barred
of recovery by any action at law other proceed
ing in equity and any suit brought for their re-
coyery otherwise than is herein provided shall on
abated, on his motion be dismissed.
Sec. 6. Be it further enacted, That it shall not be
necessary in any bill filed under this act to make
any particular persons or corporations parties by
name, but it shall be sufficient if the defendants
be denominated creditors of the particular Bank
in behalf of which suit may be instituted; and
notice of the bill shall be published for the space
of thirty days as it may be filed in at least
fifteen newspapers, one of which shall be pub.
lshed in the City of Raleigh; one in the city of
Charleston, s. G.; one in the city of Richmond,
Va; one in the city of Baltimore, Md one in the
city of Philadelphia; in the city of New York
one in the city of Augusta, Ga. one in the city of
Montgomery, Ala; one in the city of N. Orleans;
and one in the city of Nashville, Tenn.
Sec. z. Belt further enacted That any one of the
the Judges of the Supreme Court, or of the Su-
perior Courts of law and equity, shall have power
at his chambers, from time to time, to make any
such rules, orders or DEGREES as may be necessary
or required for expediting the settlement of all
CONT OVERSEES between any commissioner appoint
ed under this act and other parties, for the guild
ance and instruction of any Commissioner in any
matter connected with the discharge of his duties,
for the removal or appointment of commission
er, or for the speedy execution of any of the
powers by this act conferred on a courtof equity.