The spirit of democracy. [volume] (Woodsfield, Ohio) 1844-1994, 1877-09-18

or debt, at the rate of interest allowed
by the laws of the state, on the amount
Of any such note, bill of exchange, or
other evidence of debt so discounted,
and no more; provided, however, that
interest may be received or taken in ad-
vance, at the time of making the loan or
discount, according TO the usual rules Of
banking; but the purchase, sale, or dis
count Of bill Of exchange payable at
another place than the place of such
purchase, sale, discount, at the current
rate Of discount or premium, shall not
be considered taking. receiving, or re.
serving of interest. And the knowingly
taking, receiving, reserying, OF charging
a rate of interest greater than aforesaid
shall be adjudged aud held forfeiture OF
the islerest which the note, bill, or other
Ievidence OF debt carries with it,or which
has bseu agreed to be paid thereon. And
in case greater rate of interest has been
paid, the person or persons paying the
same, or their legal representatives, may
recover back, in any action of debt, the
entire amount Of interest thus paid from
the company taking or receiving the
same.
SEC. 19 The total liabilities of any
person, company, corporation or firm,
for money borrowed, including iu the Ii
abilities of the several members thereof
to any banking company herein author
lied, shall at no time exceed one tenth
part Of the amount of the capital stock
Of such company actually paid in; pro-
vided that the discount of bonafde bills
Of exchange drawn against actually ex.
listing values, and the discount of com
mercial or business paper actually owned
by the person or incorporation or
firm negotiating the same, shall not be
considered money borrowed. ;,
SEC. 20. All transfers of notes, bonds,
bills of exchange, and other evidences
of debt, owing to any banking company,
or OF deposit to its credit; all assign
ments of mortgages OF other securities
in real estate, or of judgments or DEGREES
in its favor; all deposits OF money, bull.
ion, or other valuable things for its use.
or for the use OF any of its stockholders
or creditors; all payments of money TO
either. made after the commission of an
act Of insolvency, or in contemplation
thereof, with view to prevent the ap
plication of its assets in the manner de-
scribed by law, or with the view to the
preference of one creditor to another,
shall be held utterly null and void.
Sec. 81. If the directors of any bank.
ing company which shall have availed
itself of the privileges OF this act shall
knowingly violate, or knowingly permit
any Of the officers, agents, or servants Of
such company to violate any of the pro-
visionsof this act all the rights, privi,
Ieges and franchises Of said company,
derived, from this act, shall thereby be
forfeited; such violation, however, to be
desermined and adjudged by court of
FcoE oEpetent jurisdiction, agreeably to the
laws of this state, and the practice of
such court, before the corporation shall
be declared dissolved; and in case of
such violation, every director who par
ticipated in or assented to the same,shall
be held liable, in his personal and indi-
vidual capacity,for all damage which the
company, its shareholders, or any other
person, body polite or corporate, shall
have sustained in consequence of such
violation. s
SEC o. Every, president, director,
cashier, teller, clerk, or agent of any
banking company, who shall embeszle,
abstract, or willfully misapply, any Of
the moneys, funds, or credits Of such
company or shall, without authority
from the directors, issue or put forth any
certificate of deposit, draw any order, or
bill of exchange, make any acceptance,
assign any notes. bonds, drafts, or bills
Of exchange, mortgage, judgment, or
decree, or shall make any false entry in
any book, report, or statement Of the
company, with intent in either case to
injure or defraud the company, or any
other company, body polite or corpo-
rate, or any individual person, or to de-
ceive any officer Of the company, or any
agent appointed to inspect the affairs of
any banking company in this state, shall
be guilty of an offense, and upon con
viction thereof shall be confined In the
penitentiary, at hard labor, not less than
one year nor more than ten years. 7
Sec. %. If the original capital stock
of any such banking company shall in
any manner be diminished, or any por.
ton thereof be withdrawn for any pur.
pose whatever, while any debts or de.
mands against such company remain un-
satisfied, no dividends shall be thereafter
made on the shares of the capital stock
Of such company until the original
amount of the capital stock shall be re
stored, either by contribution Of the
shareholders, or out of the profits of the
business Of such company; and in case
any dividend shall be made while the
capital stock shall remain 80 diminished
or withdrawn, it shall be the duty Of any
court having competent Jurisdiction, to
make the necessary orders and decree
for closing the affairs of such company,
and dividing its effects among its creGi-
tors and shareholders.
| SEC "a. The shareholders OF each
company formed under the provisions OF
this act shall be held individually respon.
sible. equally and ratably, and not one
for another, for all contracts, debts, and
engagements of such company, to the
extent of the amount of their stock
therein, at the par value thereof, in addi
ton 20 the amount invested in such
Ishares. @ a.a af.d
SEC. 25 1t shall be the duty of the
auditor, treasurer and secretary of state,
or a majority of them, as often as once
in each year, and without previous no,
tice to such corporation,to appoint some
suitable person in the vicinity Of eset
banking company, who shall not be 8
stockholder in any bank Of the state
who shall have power to make thor
ough examination into all the affairs o.
the bank which he may be appointed tc
examine, and in so doing toexamine any
of the officers and agents OF such bani
on oath and such agent shall make de
J tailed report Of the condition of suct
J bank to the auditor Of state; and th'
banking companies herein authorized
, shall be subject to any other visitoria
mower apthoriznd hv law. and ever,