River Falls journal. [volume] (River Falls, Pierce County, Wis.) 1872-2019, 1898-09-15

Section - X shall not be lawful for
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 authorized, both as to amount
and security, by a resolution of the board
of directors. TO be recorded.
Section p. 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 resolution by a two
thirds vote of the board of directors
specifying some larger amount which its
officers may loan upon real estate securi-
ty; provided. that In no event shall any
bank 50 loan an amount to exceed
twenty-five per cent of the aggregate OF
its capital, surplus and deposits; and pro-
ViGed, that banks doing business in
villages or cities having less than six
thousand inhabitants, under the last
official census, may loan sum not to
exceed thirtythree and oue-third per
cent Of the aggregate of Its capital. sur
plus and deposits upon real estate securi-
w 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
further, that any bank having taken real
estate security for such debts so pre-
viously contracted, which shall have
carried its percentage of loans on real
estate above the amount hereinbefore
limited, such bank shall within six
months thereafter, either by sale or col
lection, reduce its real estate loans TO
the amount hereinbefore limited.
Section 20 No bank shall demand or
receive Tor loans or discounts a rate of
interest exceeding that allowed by law
10 be taken and received by individuals.
excepting that ii shall be lawful for any
bank 10 receive interest in advance ac-
cOrding to the ordinary usages of bank
ing Institutions, and to charge for col
lecting foreign or domestic bills or other
evidences OF debt the usual current rate
Or exchange. In the computation or tlme,
thirty days shall be considered a month
and twelve months year.
Section 81. All debts due to any bank,
on which interest is past due and un-
paid for a period of twelve months, un-
less the same are well secured and IN
process. of collection. shall be considered
bad debts, and shall be charged off to
the profit and loss account at the eX-
piration of one year.
Section 30. The board of directors of a
bank may declare q dividend from so
much of its net profits, after providing
for all expenses. losses, interest and
taxes accrued or due from said bank, as
such dividend is declared, not less than
one-tenth Of the net profits of the bank
for the preceding half year. or for such
period as 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 dividend
shall be declared before the capital stock
is fully paid
Section SO. Every president, director,
cashier. officer, teller, clerk or agent of
any bank or savings association, who
plies any of the moneys, funds, credits,
or property of the bank or savings as
ISOLATION, whether owned by it or held
in trust, or who, without authority OF the
directors issues or puts forth any certiti-
cate of deposit. draws any order or bill
of exchange, makes any acceptance, as
signs any note, bond. draft bill of eX
change mortgage, judgment or decree:
or who makes any false entry in any
book, report or statement of the bank,
with intent in either case to injure or de-
fraud the bank or savings association. or
any person or corporation, or to deceive
any officer Of the bank or savings as
ISOLATION. or any agent appointed to eX-
anime the affairs of such bank or savings
association; or any person who, with IKE
intent aids, or abets any officer clerk
or agent in the violation of this section,
upon conviction thereof, shall be i'm
prisoned in the state prison not TO eX-
coed twenty years.
Section a. If the board of directors.
or a 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 pro
visions of this act; and after a warning
from the bank commissioner shall fail to
make good any loss or damage resulting
from such acts, or continue such conduct,
ii shall constitute ground Tor forfeiture
of the charter of such bank. 1t shall be
the duty of the bank commissioner, with
the consent of the attorney-general, to
institute proceedings to enforce such for
feiture and to secure dissolution and
winding up of the affairs of such bank.
Section 80. Inc StOcknOIderS OF every
bank shall be individually liable, equally
and ratably, not one for another, for the
benefit of the depositors 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 hold
ing stock as executors, administrators,
guardians or trustees; and persons hold
ing stock as collateral security, shall not
be personally liable as stockholders, but
the assets or funds in their hands con-
stituting the trust, shall be liable to the
h 90 ffAs ~ 90 to
ward or person interested in such trust
fund would be If living, or 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
transfer of stock.
Section SO. Whenever any deposit shall
be made in any bank and in the name
Of any minor or female. being or there
after becoming n married woman, the
same shall be held for the exclusive right
and benefit of such minor or female, and
free from the control or lien OF all per,
sons whatever, except creditors, and
shall be paid with any interest due there
on, to the person in whose name the
deposit shall have been made, and the
receipt of such minor or female shall be
a sufficient release or discharge for such
deposit to the bank. Whenever any
deposit shall be made by any person in
trust for another, and no other or further
notice of the existence and terms of
legal and valid trust shall have been
given in writing to such bank, in the
event of the death of the trustee, the
same or any part thereof, and any IN
terest due thereon, may be paid to the
person for whom the said deposit was
made.
Section q. All real estate owned by any
bank shall be taxed the same as other
real estate in the town. village or city
where such real estate is situated. The
capital, surplus and undivided profits of
a bank shall not be taxed but the shares
of capital stock shall be taxed to the
shareholders Of such stock where the
bank is located. The value of the shares
to be determined the same proportionally
as that of other property, after deductlng
therefrom the real estate owned by the
bank. The tax of any shareholder not
residing in the taxing district of the bank,
If unpaid at the time for returning the
unpaid tax list to the county, may be
paid by the bank. and such payment shall
constitute a first lien upon the shares so
taxed Any bank may pay the taxes up
on all of the shares of its shareholders,
and deduct such tax from its earnings.
Section 81. Legal process against any
bank may be served upon any officer of
said bank in the county where its bust
ness office is located.
Section 80. In the event that the con-
gress of the United States shall here
after provide for the establishment of
circulation by banks organized under
state laws, any bank organized or doing
business under this act, shall have the
power to issue circulating notes or
currency in accordance with any such
act of congress, and shall have the power
to avail itself of the provisions of any
such act OF congress. Inc provisions or
this section shall not be construed to per-
nit any savings association, or private
bank or banker. or any loan or trust
company, or any other corporation. TO
issue circulating notes
Section 40. The provisions of this act
shall apply to, and govern, all banks or
ganiZed and now existing within this
state. and the powers. privileges. duties
and restrictions conferred and imposed
upon any bank. existing and doing bust
ness under the laws of this state, are
hereby abridged. enlarged. or modified
as each particular case may require. to
conform to the provisions of this act.
Nothing in this act shall be construed to
fore made. or to transactions heretofore
had. pursuant to any provisions of law
in force when such investments were
made or transactions had. All banks now
existing and doing business within this
state shall, on or before the first day of
July next following the time when this
act becomes operative, alter or amend its
articles of organization. if necessary, to
comply with the provisions of this act.
and shall by said time make its business
conform I'm all respects to the require
ments of this act. except where such re-
quirement is expressly waived herein.
CHAPTER III.
Private Banks
Section l. Every person. co-partner-
ship or corporation doing business in this
state. or that may hereafter be doing
business in this state. which shall adj
vertise as a bank or as doing a banking
business, either by signs, circulars, letter
heads or printed matter of any desCFip
ton; or any such person, Co-partnerShip
or corporation; who shall receive money
or funds for deposit or safe keeping as
regular business, or who shall buy or
sell exchange as regular business. shall
be deemed to be doing banking bust
ness and shall be known private
bank. and as such shall be subject to the
provisions Of this act so far as the same