The Jackson standard. [volume] (Jackson C.H., Ohio) 1847-1888, 1877-09-13

and that the same is not hypothecated
or in any [wayl pledged, as security fo
any loan obtained, or for any debt owing
which oath, subscribed by himself, anc
certified by the officer before whom u
was taken, shall be filed and carefully
preserved in the office Of the recorder o.
the county in which the banking compa
ny is located
SEC. IL The directors Of any banking
company first el. cted shall hold theiI
places until the 6r-t Monday in January
next thereafter. aud until their success
sors shsll be elected and qualified al
subsequent elections shall be held annu.
ally on the frat Monday OF January. al
the office of the bank, and the directors
so elected shall hold their places for one
year, aud until their SUCCESSORS are elect
ed and qualified. But any director re.
moving from tie state shall thereby va.
cate his plare Any vacancy in the
board shall be filed 10y appointment by
the remaining directors; the director so
appointed Shall hold his place until the
next annual election; and il, for any
cau,e, an election of directors shall not
be made at the time appointed, the com
pany shall not for that cause he dissolved,
but an election may be held on any sub
sequent day. thirty days notice thereof
having been given. in a newspaper print
ed and in general circulation in the
county where the company is located
SEC. r. No banking company hereby
authorized shall at any time issue, or have
in circulation, any note. draft, bill Of ex
change, acceptance, certificate of deposit
| or any other evidence of debt, which,
from its character, form or appearance.
shall be calculated or intended to circu
late as money; and every violation OF
this section, by any officer or member OF
a banking company. shall be deemed and
Judged a misdemeanor, punished by fine
or imprisonment, or both, in the discre-
tion OF the court having cognizance
thereof as now provided by law.
SEC. IL. Each banking company shall
at all times have on hand. of lawful mon
ey Of the United States. an smount equal
to at least twenty per centum of its de-
posits; and whenever the lawful money
of any company shall fall below twenty
per cent of its deposits, such company
shall not make any new loan or discount,
otherwise than by disconnting or pur
chasing bills Of exchange payable at
sight, nor make any dividend of its prof
its. until the required proportion of its
deposits, and its lawful money OF the
United States. shall be restored and for
such purpose actual deposits with any
solvent bank or bsnker. in the cities Of
New York, Boston. Philadelphia, and
Baltimore, subject to be drawn against at
sight, and payable in lawful money of the
United States. or money actually invest
ed in bonds OF the United States shall be
deemed equivalent TO lawful money Of
the United States
SEC. IL. No banking company herein
ON hal . ha ,Auh I'D
or in any way liable, to an amount ex-
ceediug the amount of the capital stock
at such time actually paid il and remain
ing as capital stock. undiminished by
losses or otherwise, except on the follow
ing eccoInts: first, on account of moneys
deposited with or collected by such com
pany; second. on account of bills Of ex-
change or drafts drawn against money
actually paid on deposit TO the credit Of
or due to such company; third, liabili-
ties of its stock holders on account OF
moneys paid in as capital stock, and divi
dends thereon.
SEC. Is. No banking company shall, |
during the time il shall continue it, op
eratioDs as bank. withdraw, or permit |
TO be Withdrawn. either in form OF divi !
dends, loans to stockholders for a longer |
period of time than six mouths, or in |
any other manner, any portion of its
capital stock; aud If losses shall have |
been ut any time sustained by any bank |
ing company, equal to or exceeding its /
undivided profits then on hand. no divi !
d-nd shall be made; and no dividend 1
shall ever be made by any banking com |
pany, while it shall continue it's banking /
operations, to an amount greater than its 1
net profits then on hand. deducting /
tbereiro.. its losses and bad and sus
pended debts; and all debts due to a /
banking company on which interest is /
past due and unpaid for period of six /
months, unless the same shall be well Sc /
cured and in process of collection. shall /
he considered bad or suspended debts /
within the meaning of this act.
SEC l6 The directors of each banking 4
company shall. semi-snnually. declare
dividend OF such of the net profits of the /
company as they shall judge expedient; |
but such company shall, before the /
declaration OF a dividend, carry one tenth |
part of Its net profit OF the preceding /
half year to its surplus fund. until the |
same shall amount to twenty per centum
OF its capital stock.
SEC II. Every banking company shall /
make to the auditor of state a report. ac-
cording to the form which may be pre-
scribed by him, verified by the oath of |
the president or cashier Of such company,
which report shall exhibit in detail. aud
under appropriate heads such AS he shall
require, the resources and liabilities OF i
the company before the commencement
of business in the morning of the first
Monday of the months of January and /
July OF each year, and shall transmit the |
same to the auditor OF state within ten
days thereafter.
SEC Is. Every banking company de. |
irving its powers and privileges from this /
act may take reserve, receive. and charge /
on any loan or discount made, or upon |
any bill of exchange, or other evidence /
of debt so discounted, and no more pro /
vided. however. that interest may be re-
ceived or taken in advance, at the time |
of making the loan or discount accord |
ing to the usual rules of banking; but /
the purchase. sale, or discount Of bill OF |
exchange payable at another place than /
the place of such purchase, sale, or dis |
count. at the current rate OF discount or /
premium, shall not be considered "A TAX |
ing, receiving, or reserviug of interest. /
And the knowingly taking, receiving. re- |
serving, or charging rate OF interest |
greater than aforesaid shall be held and |
adjudged a forfeiture OF the interest |
~hich the note, bill, or other evidence Of
debt carries with il, or which has been |
agreed to be paid thereon. And in case
a greater rate of interest has been paid
the person or persons paying the same,
or their legal representatives, may re-
cover back. in any action of debt, the
entire amount oil interest thus paid from
the company taking or receiving the
same.
SEC. l9 The total Liabilities of any per-
son, company. corporation, or firm. for
money borrowed, in1luliny in toe liabili-
ties of the several members thereof TO