The representative. [volume] (St. Paul, Minn.) 1893-1901, 1896-05-27

shareholders owning twO-thirdS of it's
stock, or unless It's franchise becomes
forfeited by some violation of law.
Third, Contracts-To make contracts.
Fourth, Suits-To sue and be sued,
complain and defend in any court of law
or equity, as fully as natural persons
Fifth, Oficers--To elect or appoint di-
rectors and by it's board of directors to
appoint president, vice president, cash
ier and other officers, define their duties,
require bonds of them and fix the penalty
thereof dismiss such officers or any of
them at pleasure, and appoint others to
fill their places.
Sixth, By-Laws-To prescribe by it's
board of directors, bylaws not inconsist-
ent with law, regulating the manner in
which the stock shall be transferred, it's
general business conducted, it's directors
elected or appointed, it's officers appoint
ed, its property transferred, and the priv
ileges granted to it by law exercised and
enjoyed
Seventh, Incidental Powers-To exer-
else by it's board of directors, or duly
authorized officers or agents, subject to
law, all such incidental powers as shall
be necessary to carry on the business of
banking; by discounting and negotiating
promissory notes, drafts, bills of ex-
change and other evidences of debt; by
receiving deposits; by buying and selling
exchange, coin and bullion; by loaning
money on personal security; and by OBJ
tanning, issuing and circulating notes ac-
cording to the provisions of this title; but
no ASSOCIATION shall transact any business
except such as are Incidental and neces-
sarily preliminary to its organization un-
til it has been authorized by the comp
troller of the currency to commence the
business of banking.
How these incidental powers" have
been enlarged ard restricted by the
quent chapters:
Banks can be organized by the approx
al of the secretary of the treasury with
$4,000 capital in places where the pop
ulation does not exceed six thousand in
habitants; in places where the popula-
ton does not exceed $4,000 inhabitants
they must have capital Of $100 900; and
if a city exceeds this it must have cap
ital of 100000.
At least so per cent of the capital stock
must be paid in before it can commence
business. The balance can be paid in 10
per cent installments at the end of each
succeeding month, which requires it all
to be paid in five months from the time it
is authorized to do business by the
comptroller: and if default is
made in such payments. the bank may
sell such stock at public auction after due
notice, and if no bidder buys it, it is for
feited to the association, and can be sold
again by the same as It pleases, in the next
SIX months: but if not so sold shall be can
celled and deducted from the capital stock
of the association.
Registered bonds alone are received on
| deposit with the treasurer of the United
| States for circulating notes.
Next comes the comptroller's certifi-
| cate of authority which the association
must publish in some newspaper printed
| in the city or county where the bank is
| located, and every bank must be man
| aged by board of at least five directors
| elected by the shareholders at meeting
| held at any time before being authorized
| to commence business by the comptroller,
and these directors hold their Office for
| one year-at such day in January, as is
specified in the articles of association
| These directors must be citizens of the
| United States, and at least three -fourths
must have resided in the state, territory, or
| district in which the association is located,
| at least one year Immediately preceding
| their election, and must be residents there
| in during their continuance in Office. He
must own at least ten shares of the stock
| of the association; and If he ceases to own