Vilas County news. [volume] (Eagle River, Vilas County, Wis.) 1896-1927, 1898-08-29


owning two thirds of the capital stock, When
ever vote is taken to go into liquidation, 1t
shall be the duty Of the board of directors to
cause notice of this fact to be certified, under
the seal of the bank by its president and cashier
30 the bank commissioners, and publication
claims against the bank Tor payment shall be
| HS@deSonoe ia each weeds Cor eight sEseessiVe
weeks in the official state paper, and also in
| newspaper published in the village, city or
county in which the bank is located, and If no
1 newspaper is there published, then in the news.
paper published at the nearest county seat.
SECTION "a. Every bank shall keep on band at
all times, at least fifteen ger cent. of it's total
deposits, at least six ffteenthsof which SHALL be
| in lawful money and the balance of sucM per-
centage may beon deposit i'm banks approved by
the bank commissioner as reserve banks except
in the case of banks which shall be approved by
/ the bank commissioner as reserve banks, which
banks shall at all times kesp'on hand at least
twenty-five per cent. of their total deposits, at
| least two-ffths of which shall be in lawful
money, and the balance 1rAaS be f9h Ge;' 'sif IN
i ba axis a uprogeaa by the bank commissioner
| reserve banks.
SECTION Is. Whenever the reserve of any bank
| shall fall below the amount required herein to
be kept such bank shall not increase its loans or
| discounts otherwise than by discounting or pur-
chasing bills of exchange, payable at sight or on
demand, and the bank commissioners shall notify
any bank whose reserve may be below the
amount herein required, to make good suc1a re-
serve, and in case the bank fails for thirty days
thereafter to make good such reserve, the bank
| commissioners may, with the approval OF the at
torney-general, institute proceedings for the
appointments of a receiver, and to wind mp the
hnsiness of the bank.
SECTION Is. The total liabilities of amy per-
son, co-partnership or corporation, to any bank,
| for money borrowed including In the liabilities
of the co-partnership, the liabilities of the sew
! eral members thereof except special partners,
shall at no time exceed fifteen per cent. of the
| amount of capital and Surplus of such bank but
| the discounting of bills of exchange, drawn in
good faith against actually existing values and
the dTcountlng Of eS OF nnslneis paper
same, shall not be considered as money Dor
rowed provided, that by two-thirds vote of the
directors the liabilities of any person, co-part-
/ nership or corporation, may be increased to
/ total sum not exceeding twenty five por cent. OF
| the capital and surplus of such bank.
| SECTION u. No bank shall take for security
/ for any loan or discount lien upon any part OF
| its capital stock. No bank shall be the holder
| of or purchaser of any portion of its capital
stock, unless such purchase shall be necessary to
! prevent Joss upon debt previously contracted
I in good faith. Stocks SO purchased shall 10 no
| case be held by tne bank for longer time than
1 six months, If the stock can be sold for the
amount of the claim of the bank against the
same, and it must be sold for the best price OBJ
tainable within one year, or 1t shall be Cancelled
and shall then amount to reduction OF the cap,
talstock; provided, that it such reduction shall
| reduce the capital stock below the minimum
| required by law, such capital stock shall be
| again increased to the amount required by law,
i as provided herein.
/ SECTIoN Is. It shall not be lawful fer any
bank to loan to any of it's officers, directors,
clerks or employees, any of the funds of the
bank, unless the same shall have been author
ICED, both as to amount and security, by resolu,
i ton of the board Of directors to be recorded.
SECTION %. No bank shall lend an amount
exceeding twenty per cent OF Its capital stock
upon mortgages, or any other form OF real estate
security, except on the adoption OF a resolution
by i two-thirds vote Of the board Of directors,
specifying some larger amount which its officers
may loan upon real estate security; provided,
amount to exceed twenty. Ave per cent. Of the
aggregate OF its capital, surplus and deposits;
1 and provided. that banks doing business in
villages or cities having less than six thousand
Inhabitants, under the last official census, may
loan a sum not to exceed thirty.three ana one.
third per cent. OF the aggregate OF its capital,
surplus and deposits, upon real estate security.
The limitation in this section shall not preclude
] any bank from taking real estate security, upon
any indebtedness previously contracted IN good
faith upon personal security and provided, fur
l ther that any bank having taken real estate se-
curity for such debts so previously contracted,
which shall have carried Its percentage of loans
on real estate above the amount hereinbefore
limited such bank shall, within six months
I thereafter, either by sale collection, reduce
| its real estateloans to the amount herelnbefore
/ limited.
| SECTION 80. No bank shall demand or receive
for loans or discounts rate of interest exceed.
ing that allowed by law to be taken and received
by individuals, excepting that it shall be lawful
| for any bank to receive interest in advance
cording to the ordinary usages of banking insti-
buttons, and to charge for collecting foreign or
domestic bills, other evidences of debt the
usual current rate of exchange. In the compu-
tation of time, thirty days shall be considered
| SECTION 81. All debts due to any bank, on
which interest is past due and unpaid for
period of twelve months, unless the same are
we'll secured and in process of collection, shall
be considered bad debts, and shall be charged off
to the profit and loss account at the expiration
SECTION 80. The board OF directors of bank
I may declare a dividend from so much of its not
profits, after providing for all expenses losses,
bank, as they shall deem expedient; but before
any such dividend ls declared, less than one
tenth OF the net profits of the bank for the pre-:
cedlng half year, or for such period is covered
by the dividend, shall be carried to a surplus
fund, until such surplus fund shall amount to
twenty per cent. OF the. capital stock. No divi-
dend shall! be declared before the capital stock
is fully paid.
Section 49,, Every president director. cash
savings association who embszEles abstracts or
wilfuiiy misapplies any OF the moneys, funds,
credits, or property o fthe bank or savings asso-
who, without authority OF the directors, issues
or puts forth any certificate of deposit, draws
any order or bill Of exchange, makes any accept
ance, assigns any note bond. draft, bill of ex-
change, mortgage, Judgment or decree; or who
makes any false entry In eny book, report or
case to injure or defraud the bank OF savings as
deceive any officer Of the bank savings associ-
affairs of such bank or savings association; or
any person who, with like intent, aids or abets
any of1cer clerk or agent IN she violation OF this
prisoned in the state prison not to exceed twenty
years.
SECTION 81. Il the board Of directors or
quorum thereof. of any bank shall knowingly
violate. or knowingly permit any Of the officers,
agents or employees Of the bank, to violate any
of the provisions OF this act and after warning
from the bank commissioner shall fail to make
good any loss or damage resulting from such
acts, or continue such conduct, it shall consti-
tute ground for the forfeiture of the charter of
such bank 1t shall be the duty of the bank COM
missioner with the consent of the attorney-gen-
eral, to institute proceedings to enforce such
forfeiture, and to secure a dissolution and a
winding up of the affairs of such bank.
SECTION 3d. The stockholders of every bank
shall be individually liable, equally and ratably,
not one for another for the benefit of the depos-
ltors in said bank, to the amount of their stock
at the par value thereof, in addition to the
amount invested in said stock But persons
holding stock as executors, administrators,
guardians or trustees, and persons holding stock
as collateral security, shall not be personally
liza Die stockholders, but the assets or funds in
their hands constituting the trust, shall be liable
IN the same extent the testator intestate,
wa1el person interested in such trust fund
would be if living, OF competent to act, and the
person pledging such stock shall be deemed the
stakeholder and liable under this section. Such
liability shall continue for sixty days after any
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