Wood County reporter. [volume] (Grand Rapids [i.e. Wisconsin Rapids], Wis.) 1857-1923, 1898-09-15

CHAP l Elk 5O5, LAWS 1897
AN ACT to revise the laws authorizing the bust
ness of banking.
Tie people Of tie state Of Wisconsin, represented
AT senate and assembly, do enact as JoLLoWS:
CHAPTER I.
BANKING DEPARTMENT.
SECTION 1. There is hereby estab lished in this
state a banking department. which shall have
charge of the execution of the laws relating to
banks and the banking business in this state
Such department shall he designated as the state
banking department, and shall be under the
management and control of a chief officer who
shall be called the bank commissioner.
SECTION 2 The bank commissioner shall be
appointed by the governor, by and with the ad
vice and consent of the senate and shall hold
his office for the term of five years unless sooner
removed by the governor, for good cause, and by
and with the consent of two-thirds of the mem.
bers of the senate. He may Apo int deputy,
and revo Ike such appointment at pleasure. Such
deputy shall possess all powers, and perform the
duties attached to the Office of the bank COM
missioner during vacancy in such office, and
during he absence or inability of his principal
The bank commissioner may also employ, from
time to time, such clerks to assist him and his
deputy, in the discharge of the several duties
imposed upon him by this act, as he shall find
necessary. The salary of the bank commissioner
shall be three thousand dollars per annum. The
salary OF the deputy and such clerks as may be
employed, shall be at such rate per annum as
the bank commissioner shall decide, not, how
ever, to exceed that of the deputies and clerks
of the several state departments The salaries
OF the Dank commissioner, deputy ana CLERKS
shall be paid monthly by the state treasurer,
upon voucher countersgned by the secretary
of state. Vouchers for the deputy and clerks
salaries must be first approved by the bank COM
missioner. All actual and necessary travelling
expenses OF said bank commissioner, deputy or
clerks, incurred in the discharge of their duties
shall be fully ltemlzed upon proper vouchers and
certified III the order indicated for the salaries,
and presented to the secretary of state. If al
lowed, the secretary of state shall counterSign
them. The state treasurer shall. upon the pre-
SpntatIOn of vouchers allowed and
signed pay the amount of such expense. Within
fifteen days from the notice of their appoint.
ment, respectively, the bank commissioner. and
his deputy shall ia Ike and subscribe the oath of
office prescribed by the constitution, and file
the same in the office of the secretary of state.
The said bank commissioner and his deputy shall
each give to the people of this state a bond in
the penal sum of twenty-five thousand dollars,
with two or more suretles, or a surety company,
to be approved by tho state treasurer, cOndi-
toned for the faithful discharge of the duties
of their respective offices There shall be assigned
to said bank commissioner suitable rooms in the
state capitol for conducting the business of said
department.
SECTION 3. The bank commissioner shall de-
wise seal for the use of his office, which shall
continue to be the seal of said department. A
description of the seal, with an impression there
OF, shall be filed IN the Office of the secretary Of
state.
SECTION 4. 1t shall be the duty of tho bank
commissioner and he shall have the power by
himself, his deputy, or by any examiner he may
appoint for that purpose, to examine at least
once III edCn year, the CaSll, DllS, COllatGrdS,
securities, books of account, condition and af-
fairs of each bank, savings association and pri-
waite bank doing business in this state. For that
purpose he may examine oath any of the
officers, owners, agents. clerks, customers or de-
poSltOrS thereof, touching the affairs and buSi-
ness of such institution. The bank commissioner
shall examine, or cause to be examined, any
bank when requested by the board OF directors
Of such bank. The bank commissioner shall
also ascertain neither such bank transacts its
business at the place designated in the articles
of Incorporation, and whether its business is
conducted i'll the manner prescribed by law.
SECTION >. No bank commissioner, deputy or
examiner shall examine bank in which he is
interested as stakeholder, officer, employee or
otherwise. No bank commissioner, deputy or
examiner shall examine bank located in tho
samo village, city or county with any bank in
which he Is interested as stakeholder, officer,
employee or otherwise The bank commits sioner,
deputy, and every clerk in his departmeut and
examiner, shall be bound by oath to keen secret
all of the facts and information obtained in the
course OF such examinations, except so far
the public duty of such officer requires him to
report upon, or ia Ike special action regarding
the affairs of any bank. If any bank commits
sloner, deputy, examiner or clerk in such depart
;ncnt. shall disclose the namn of any debtor of
my bank, or anything relative to the private
accounts or transactions of such bank or shall
disclose any fact obtained III the course of his
examination of any bank, except as herein pro.
vidcd, he shall be subject upon conviction
thereof, to forfeiture of his office, and to the
payment of fine of not less than one hundred
dollars nor more than one thousand dollars, or
imprisonment in the state prison not less than
six months nor more than two years, or to both
such fine and imprisonment
SECTION 8. Whenever it shall appear from tho
report of any bank, or the bank commissioner
shall have reason to believe, that the apita Of
any bank Is impaired reduced below the
amount required by law, it shall be the duty Of
the bank commissioner, and he shall have the
power, to examine such bank to ascertain the
facts, and Ill case he snail find such impairment
reduction of capital, to require such bank TO
make good the deficiency so appearing. If any
bank shall refuse or faI for ninety days after
Atnro 1N+irI
appearing or found to exist, it shall be the duty
Of the bank commissioner, with the approval Of
the attorney general to institute proceedings for
the appointment OF receiver or SAID bank to
wind up its business. In any case, where the
capital of bank shall have become impaired
or reduced below the amount required by law,
the board of directors of such bank shall have
tho mower to make q pro rata assessment upon
MI OF the stock of said bank TO make good such
deficiency, and may provide that TIE amount of
zach deficiency shall be due and PAYABLE at a
time to be fixed by such board of directors which
time shall be not less than ten days after notice
. efSaid assessment; and if any stockholder shall
tlent against his stock, for ten days after the
same shall have become SO due and payable the
directors of such bank may offer said stock for
days notice, to be given by posting copies of
notice of sale in five public places in the Village
or city where such bank is located. Upon such
sale the purchaser shall forthwith pay the
amount of the assessment against said stock.
The amount received from the sale of said stock,
paid to the original owner of such stock.
SECTION. On becoming satisfied that any
bank has refused to pay its depositors, in ac-
cordauce with the terms on which such deposits
were received, or that any bank has become in
solvent. or that its capital has become impaired,
or that any bank has violated any of the pro.
visions of this law the bank commissioner may
forthwith take possession of the books, records
and assets of every description of such bank
and hold the same, and such books records and
assets shall not be subject to any levies or at
tachments, until a court of competent jurisdic-
rion can be applied to for the appointment of a
receiver for such bank, who, under the direction
of the court, shall take possession of the books,
records and assets of every description, collect
all debts, dues and claims and sell or compound
all doubtful debts. and sell all real and personal
property on such terms as the court shall direct,
and if necessary, enforce the individual liability
of stockholders. Such receiver shall pay over
all money by him received under the order OF
the court, and shall also make report to the
bank commissioner, as often as required by him,
of his acts and proceedings.
SECTION g. In the event that any two banks
shall be doing business in the same building,
upon the same floor, and in such close proximity
as 70 interfere with the proper examination OF
either bank, the bank commissioner may require
either of said banks to IenoZeits banking otica