New Ulm review. (New Ulm, Brown County, Minn.) 1892-1961, 1895-05-22

Second That the full amount Of the
loans shall at all times be covered By pol
iclea of fire insurance issued by companies
admitted 10 DO business in this state, 70 the
extent of their ability to cover such loans
and then by companies having suft1cleni
eapli aha e h ee SO
OF loss to the bank or holder IT the ware
house receipts.
Sec l6. Contracts made by any bank
established under the provisions Of this
aet, pursuant to authority of the board of
directors Of such bank, shall be signed by
ne me president or cashier thereof, or such
directors, and all actions and proceedings
Drought or prosecuted by and in behalf
OF such bank shall be bought and prose-
cuted in the corporate name mentioned
in the articles made aud fled as hereinbe-
lore required; provided, that all lnstru-
menfs that are to be Of record shall have
thereto.
Sec. II. Such bank may purchase, hold
ana convey real estate for the following
First. Such as shall be necessary for the
convenient transaction of its business, in
Guiding with it's banking office other apart
ments to rent as source of income, which
investment snail not exceed twenty-five per
cent of it's paid in capital stock and perma-
nent surplus; Provided, that this provision
shail not apply to any such investments
effect
Second. Such as is mortgaged to it in
GOOD faith by way of security for loans
mage ml9.. or mon money due to such bank
IQlrd. Such as is conveyed to it in satis-
Iactlon OF debts previously contracted in
the course OF its dealings.
Fourth Such as it acquires by sale on
execution or judgment of any court in its
favor 49, :
The. bank shall not purchase, hold or
convey real estate in any other case or
t tota any other purpose whatever. Real es-
OF the board of directors Of said bank IN
uer the seal of the bank and the hand of
c cashic It's president, vice president or
Of pr against any Se claim thgeen in
as3 person claiming under them No real
estate acquired in the cases Contemplated
aho, ne SECOND. third and fourth subsections
GGuoFe shall De held for longer time than
I've wears unless such period shall be ex-
tended by the superintendent Of hanks.
a pnoys1ae to r that this provision shall only
When this takes effect.
Sec. 70. Each bank organized under the
provisions OF this act shall at ali times
ems, on a. nd 1aaa IN available funds amount
e equ an a.; al least to twenty (2U per centum
u u an It's immediate liabilities One-half Of
- o4tS amount OF available funds may consist
e an oa az Que to the bank from good sov-
III ~ oanKs, ana one-half Of such sum shall
ne AelQ IN reserve in cash on hand Imma-
uiale liabilities shall include all deposits
III na ae by Individual firms or corporations,
or DIV banks, and all items in the nature Of
claims payable on demand; in cash on hand
snail pc counted specie, legal tender notes
ana all bills of solvent banks. Whenever
hao, a' tla i 5 OF any bank shall be
9 9ta twenty (2O) per centum of its inlme-
a i liabilities, such bank shall not make
guy new loans or discounts otherwise Than
cha mos uasco na or purchasing bills Of en-
dividends of it's profits until the rnouiraI
propotllon between its immediate liaDiIitjes
anu It's available funds has been restored
thereof Ii sh.I 20 bank or any stockholuer
H. tln t,,,,,
nnue us banking operations. withdraw or
permit to be withdrawn, either in the
form 1ion Or a dividends or otherwise, any por-
time been Sustained II h losses have at any
equal to or exceeding its undivided profits
a snen on hand, no dividend shall be made
Such n6 6a ulvloeh EMS shall ever be made by any
oucn Dank, While 1t continues its banking
npefa tlons, TO any amount greater than its
R lt then on hand, deducting therefrom
to- to- ,n Losses esni ana BAD debts All debts due
1 Any unpaid Tor period of twelve months,
Unless tne same are well secured, or in pro-
de5s OF correction, shall be considered bad
Put Put nothing in this section shall prevent
Inc reduction Of the capital stock of the
Da sno as 81 provided oI by. this act:
hs Pc ~, ~. IN becoming satisfied that any
accoroance with the terms on which such
ueposlts were received Gf received in ac-
o 90 4ant with the provisions Of this act),
mat It's books and accounts are kent in a
ialse or fraudulent manner or that any
of ofn fhis gas ~ vlolated any Of the provisions
may forthwith take possession of the books
records and assets of every description
OF such bank, and hold the same, and SAID
s oohbks, records and' assets shall not be
SUBJECT to levy or attachment during such
reasonable time as may be necessary for
further examination and to enable the
eoperhte4aent to apply to court Of
OF receiver for such bank. and under
the direction of such court, the receiver
SO hoo appointed shall take possession of the
scrlption OF such bank, collect all debts,
dues and claims belonging to it and sell
or compound all bad or doubtful debts,
ana an s, sen an the real and personal property
OF Sucn bank on such terms as the court
s sh direct, and may, if necessary to pay
the debts of such bank, enforce all in
dlvidual liability Of the stockholders. Such
lected or received upon the orders of the
court, and make report of his acts and pro-
ceedlnss when required, to the superintend-
ent OF banks, in such form and manner as
the superintendent shall prescribe
Provided, that if upon more detailed OK
animation the superintendent of banks
mas 1ha that the condition of the bank is such
tnat all creditors OF the bank other than
nnose represented by the stock can be
tn the superintendent may in such cases re,
proper officers of such bank. And provided
t Eur II at any stage Of the proceedings
me STOCKHOLDERS show to the court that
t tha Da 4hos Is able all creditors other
such showing is approved after due exam
nation by the superintendent of banks
the court may order the return of the
assets to the stockholders for liquidation
OF such other course as the stockholders
may in compliance with law determine to
pursue, and in such case the receiver SHAH
Inv o11n Of tln
Sec. u. Upon appointment as above pro-
vlded the receiver shall cause notice to
be given by advertising in such newspaper
as the court shall direct, once in each
week, for four ~ successive weeks, calling
Oh all persons who may have claims against
such bank to present the same to said re-
celver and make legal proof thereof,
Sec. p. Every bank which shall have
failed to pay up its capital stock, as re-
CURED by law, and every, bank whose paid
up capital stock shall have become i'm
ninety days after receiving notice thereof
from the superintendent of banks, pay the
deficiency in the paid up capital stock, by
assessment upon the stockholders pro rata
Tor the amount Of capital stock held by
each. and If such bank shall fail to pay
IN such deficiency of its paid up capital
ton as provided by this act, ninety days
after receiving notice from the superintend-
ent, "a; receiver ,eye may be appointed to close
manner as in the case of an insolvent
bank; provided that such bank having such
deficiency i'll it's paid up capital stock may
by consent of the superintendent of banks
reduce its paid up capital stock. as pro-
yided by this act, and in case of such re-
duction. should there still remain de-
ticiency in the paid up capital stock, the
superintendent shall require such deficiency
to be paid in before approving the reduc-
ton of its capital stock.
Sec. %. Whenever any shareholder or
his assignee fails to pay any assessment
On the STOCK when the iS nv
the preceding section to be paid, the d.
rectors of said association may sell the
stock of such delinquent shareholder at
public auction, having given three weeks