The tri-weekly standard. [volume] (Raleigh, N.C.) 1866-1868, 1866-07-17
The N. C.. Banking Law.
N ACT TO ENABLE THE BANKS OF THE
STATE TO CLOSE THEIR BUSINESS.

tOva adOpted
redit, with the heavy taxes imposed by that COY
rnment on the Banks of the State, makes IL an
oIutely necessary that said Banks shouid close
heir business, and renders further contlnu'n n
their corporate exist idle and useless 10 inc
people of the State, ,,
Section 1. Be it enacted By the General AsSenaGsy
the STATE of North Carolina, and 1t IS here0y
aacted 6y the authrty Of the same, IhaI II tn
stockholders of any of the Banks chartered by the
General assembly OF f6f siat Banks bv an assign
ment and are DESTROYS to appropriate all the estate
and effects of such Bank tor the benent OF us
creditors, and to close its business and surrender
their chartered rights and franchises in conforml-
ty with the subsequent provisions OF TINS ACT,
such Stockholders may by their bill In equity Ia
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 creol-
tors of such Bank to prefer and estapnsn taeia
demands within such time (not less than twelve
months after decree therefor) as snail pc allow Gu
by the Court. The Court shall upon fling sucn
bill appoint as commissioner suitable person
ACQUAINTED with the business of such Bank, who
shall be paid for his services such sum as may De
allowed by the court. Such commissioner snal
rive bond with ample security, payable to the
State for the faithful discharge OF his duties IN
such sum shall be approved by the court,
which bond shall be filed in court ana may pe
sued on for the use of such persons as the court
Sec. 2. Be it further enacted, That the commits,
sioner appointed aforesaid, upon filing the BOND
required of him. shall forthwith become, ana SO
long as he shall contiue such commissioner ana
no longer shall be vested with all the estate eI-
fects and rights of action which such Bank posses
sed had or held or was vested with, at the tne
of filing such bill, and whi.h 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 ana securities
therefor. The court may require such BANK oy
its Cashier other proper officer to endorse
without recourse all such bills notes, draw all
such checks or orders for money and execute sucn
other paper writings as the court shall deem ne
cessary or useful to enable the commissioner to
demand or recover and receive the estate and 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 and effects
belonging to such Bank ut the time OF fling ITS
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 It's
property or effects, fraudulent as to its creditors
but valid as between the parties, IN such cases
such commissioner shall stand in the place of the
creditors, and may recover and receive such pro-
pertyor effects trauducnty 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 The
Commissioner adding thereto the name ot the
particular Bank for which he has been appointed
The Commissioner and if NJ the time of filing
such bill by any Bank any action at law or pro-
ceeding suit in Equity shall 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 a aforesaid, such CommlS-
sioncr shall be admitted to prosecute the same IN
like manner and to like effect; and no suit pend
ing 1T any time for the recovery Ct any estate
debt or demand in the name OF Such Commission
CT shall be abatcd by the death or removal OF such
Commissioner but a COMMISSIONERS be appoint
ed in such (as is hereinafter proNided shall
be admitted to prosecute the same in like manner
and to like effect as II the same had been origin
ally commenced by him.
Sec ). & IL further enacted, That the Commits
soner aforesaid shall in all things connected with
the discharge of his duties as Commissioner, act
under the direction and orders of the court; and
it any such Commissioner shall refuse or unrea
sonably delay or neglect to obey any rule, order
or 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 the court shall direct in like man
and for the like uses and purposes as provided
in cases of the Commissioner first appointed;
and thereupon all the estate, property, effects
debts and rights of action vested in 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 as
legally and cffcctualy as if he had been the COM
missioner first appointed; and the court shall have
the power to require any former commissioner or
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 possession of
such new commissioner.
Sec. l. Be IL 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 dsallowed by any commission
be determined according to the course of the
Court, or decided at law, as the court may direct
and in all such appeals the case shall be docketed
in the name of the creditor against The Com
missioner of - adding the name of the Bank
Of which he is commissioner and shall be tried
and determined like suits between other parties
In all cases in which any such commissioner shall
be party, whether plaintiff or defendant and il
shall appear that there has been mutual credit
given by the Bank, and any other corporation or
any person who is the opposite party or there are
mutual debts between them, whether such debts
be due and payable or not, the account between
the parties shall be stated, and debt shall be
set off against the other, and the balance of such
account only shall be allowed or paid on either
side respectively and the costs in all cases shall
be paid by either party 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 in whole or in part of any claim whatever
except under rule or order of the court there
for.
Sec. 3. Be further enacted That the court shall
make all proper orders and DEGREES for the collec-
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 in hands
of such commissioner, as the court shall order
and direct; and all such claims and demands not
prosecuted, proved and established accOrdinG.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-
covery otherwise than is herein provided shall on
the plea OF the commissioner of such Bank be
abated, or on his motion be dismissed
Sec g. Be 1t 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 soon it may be filed in at least
hfteen newspapers one of which shall be pub
lished in the City of Raleigh; one in the city of
Charleston, s. C.; one 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 ork;
one in the city of Augusta, Ga; in the city of
Montgomery, Ala; one in the city of N. Orleans
and one in the city of Nashville, Tenn.
-, Sec; = Beg trther enacted That any one of the
perior Courts of law and equity, shall have power
at his chambers, from time to time, to make any
such rules, orders or DEGREES may be necessary
or required for expediting the settlement of all
controversies between any commissioner appoint
ed under this act. and other Darties the ouid-