The tri-weekly standard. [volume] (Raleigh, N.C.) 1866-1868, 1866-05-03
The N. C. Banking Law.
AN ACT TO ENABLE THE BANKS OF THE
STATE TO CLOSE THEIR BUSINESS

Government adopted to maintain the national
credit, with the heavy taxes imposed by that GOV
eminent on the Banks of the State, makes 1t abb
solutely necessary that said Banks should close
their business, and renders further continu NICE
of their corporate exist idle and useless to the
people of the State,
Section l. Be it enacted By tile General assembly
IF the iState Of -North- Carolina, and il is hereby
enacted by the authrity Of the same, That If the
Stockholders of any OF the Banks chartered by the
General Assembly of this State shall be unwilling
to close the business of their Banks by an assign
ment and DESTROYS to appropriate all the estate
and effects of such Bank Tor the benefit OF Its
creditors, and to close its business and surrender
their chartered rights and franchises i'll conform-
ty with the subsequent provisions OF this ACT
such Stockholders may by their bill in equity III
the name of such Bank filed in the Court of Equity
of the county in which the principal Bank or any
of its branches may be located require the credl-
tors of such Bank to prefer and establish their
demands within such time (not less than twelve
months after decree thcrefor) us shall be allowed
by the Court. The Court shall upon filing such
bill appoint commissioner suitable person
acquainted with the business of such Bank, who
shall be paid for his services such sum as may be
allowed by the court. Such commissioner shall
give bond with ample security, payable to the
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 be
sued on for the use of such persons as the court
may allow.
Sec :. Br it .J,t,ther e,utcted That the commits.
soner appointed as aforesaid, upon filing the bond
required of him, shall forthwith become, and so
long he shall contiue such commissioner ana
longer, shall be vested with all the estate, ef-
fectS and rights of action which such Bank posses
, sed, had or held vested with, at the time
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 and all liens and securities
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 the court shall deem ne
cessary or useful to enable the commissioner to
demand recover and receive the estate and C.
fects of such Bank for the benefit of its creditors
The commissioner shall have the like remedy to
and receive all the estate, debts and effects
belonging to such Bank at the time of filing its
bill, as such Bank might have had if no proceed
ingS had been had under this act; and should amy
such Bank have made any sale or transfer OF lis
property effects, fraudulent us to its creditors
but valid us between the parties, i'll such cases
such commissioner shall stand i'll the place of the
creditors, and may recover and receive such pro-
peryor effects traudulently sold or tr'lIsfcrrcd
although such Bank could not have done so. In
all suits prosecuted by such Commissioner ut
law in Equity the plaintiff shall be styled The
Commissioners" (adding thereto the name OF the
particular Bank for which he has been appointed
the Commissioner and if 1T the time of filing
such bill by any Bank any action ut law or pro-
cecdin% suit i'll Equity shall be pending i'll the
name of such Bank for the recovery of any estate,
debt or demand which might or ought to be vested
III such Commissioner as aforesaid, such Commls-
sioncr shall be admitted to prosecute the same i'll
like manner and to like effect; ard no suit pend
ing at any time for the recovery of any estate,
debt or demand in the name of such Commission
shall be abated by the death or removal OF such
ed i'll such las Is hereinafter proVldcd) shall
be admitted to prosecute the same in like manner
and to like effect us if the same had been origin
ally commenced by him.
See ) l.. it .rinfltc, c.,nctcd, That the Commits
~ioncr aforesaid shall il I'll things connected with
the discharge of his dIlti-s as Commissioner, act
under the direction and orders of the court; and
if any such Commissioner shall refuse or unreal
sonably delay or neglect to obey amy rule, order
decree of the court it shall he the duty OF the
court TO remove such Commissioner; and upon
such removal or upon any vacancy by death or
otherwise, the court .i.sI appoint some other
person COMMISSIONS, who shall enter into bond
such the court shall direct in like man
and for the like uses "a purposes provided
in cases of the Commissioner first appointed;
and tlcreupon all the estate, property, effects
debts and rights of action vested i'll such Bank
after tine time vi filing its bill not before lawfully
disposed of by former Commissioner, shall be
forthwith vested in such new commissioner as
legally and ctfcctualy IS if hc had been the COM
missioner first appointcc. and the court shall have
the power to require former commissioner or
the representative of Any GcceaScd commissioner
to surrender TO such Lew commissioner any such
cS.!te effects money o. evidence OF debt which
of right should be il: tie hands or possession of
such new commissioner
Sec /. B. il tu5fi.ey "a ,~ted, That all demands
of creditors may be pTre.'fed and proved before /
such commissioner, ard .,'r all purposes connect
cd with the investigator of The demands of any
person claiming to be creditor rs aforesaid, the
commissioner shall have power to administer all
Oaths required i'll the course of such proceedings /
Any supposed creditor whose claims shall be
wholly or in part dsallo,:ed by any commission
CIR, may appeal to the Court, where the same shall
be determined according TO the course of the
Court, or decided at law the court may direct
and i'll all such appeals the case shall be dockcted
i'll the name of the creditor against The Com
missioner of -" (aGding the name of the Bank
of which he is commissioner and shall be tried .
and determined H. 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 utuaI credit
given by the Bank and any other corporation or
any person Who is the opposite party, or there
mutual debts between them, whether such debts /.
be due and payable or not, tine account between
the parties shall be stated, and debt shall be
set of against the other, and the balance of such
account only shall be allowed or paid on eithcir !
side pcctvcly; and the costs i'll all shall
he 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 i'll
the hands of such commissioner to the satSfac- /
ton in whole or in part of any claim whatever, !
except under Il rule or order OF the court there .
for
Sec 5 Bet FURTHER e,sartcl, That the court shall
make all proper orders and DEGREES for the collcc
ton of the assets of such Bank, of every nature
and description, and for the payment of the costs
and expenses incident to the proceedings. The |
creditors whose claims and demands have been !
proved and established 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 i'll hands
of such commissioner, the court shall order
and direct; and all such claims and demands not
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-
covery otherwise than is herein provided shall on
the plea of the commissioner of such Bank be
abated, on his motion be dismissed.
Sec =. Be it further enacted, That it shall not be
necessary in any bill filed under this act, to make
any particular persons corporations parties by
name, but it shall be sufficient if the defendants
be denomnatcd creditors oil 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 it may be filed in ut least
fifteen newspapers, one of which shall be pub.
lished in the City of Raleigh; one in the city of
Charleston, s. C.. in the city of Richmond,
Va; one in the city of Baltimore, Md; one in the
city of Philadelphia; one in the city of New York
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. 7. Bet further c''acte' 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 DEGREES may be necessary
or required for eXpeditng 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 cOnnecie d with the of dutieS