The Saint Paul globe. (St. Paul, Minn.) 1896-1905, 1901-04-19
CHAPTER COS. F. NO. 4se.

CHAPTER cots. F. NO. 4S6.
AN ACT to amend section 2o62 Statutes 30 OF
ings banks and their investments
Re it enacted by the Legislature Of the state
of Minnesota:
hundred sixty-two 2562l, Statutes Of Minnesota
1894, amended, relating to savings banks
and their investments, be, and the same is
Section 1862 It shall be lawful for the trcs-
tees of any savings bank to invest the moneys
deposited therein only follows, to-wit:
l. In the bonds or other Understanding
obligations of the United States, or in securi-
ties for whose payment of principal and inter
est the faith OF the United States Is pledged:
2. In the bonds of any state in the United
States which has not defaulted in the payment
Of any bonded debt within ten years prior to
the time of its making such Investment
3. In the bonds of any city, county, town,
village, school district. drainage district or
public purposes Improvements in the States
of Minnesota, Wisconsin, Iowa, North Dakota
est-bearing obligation issued by the state, city
Cor any city board, or county within which
such bank is situated; or in the bonds of any
city, county, town. village, school district.
drainage district, or other district created
pursuant to law for public purposes or improve
ments in the United States which had at least
thirty-fve hundred $500 inhabitants de-
terInined by the state or United States census
taken next preceding the issue Of such bonds;
provided the bonded Indebtedness of such city,
county, town., village, school district, drainage
district other district shall not exceed ten
per centum upon Its assessed valuation.
In notes secured by mortgages on unin-
numbered real estate situated in the states of
Minnesota, Wisconsin, Iowa, North Dakota and
South Dakota, worth, when improved, at least
twice, and when unimproved at least thrice
the amount loaned thereon; but not to exceed
| seventy per centum Of the whole amount OF
the moneys OF the bank, shall be loaned
and no such investment shall be made except
upon the report Of committee charged with
the duty Of examining the same, who shall
report to such bank the value according to
their judgment, of the premises to be taken as
security, which report shall be preserved
3. In notes secured by at least two surestes.
or by such bonds and mortgages by the
terms of this section savings banks are au-
thorized to invest their moneys in, but no such
bond or mortgage shall be taken as collateral
security for more than its par value, nor shall
| the aggregate amount of any such securities
be less than the full amount loaned thereon.
No Endorsed loan, or loan secured by collateral,
shall be made for longer time than one year,
nor n greater amount to any one
person >.lan one-half of one per centum Of the
total deposits OF the savings bank making the
loan. Nor shall any savings bank loan under
this paragraph in the aggregate to exceed one
fourth Of its deposits.
6. In the bonds of any railroad company, or
the successor of any railroad company, which
has received a land grant from the govern
| ment of the United States and which are Sc
cured by first lien upon g railroad actually in
the possession of, and operated by, the COM
| pany issuing said bonds; provided, that nc
shall ever be invested by any such bank in
the bonds of any railroad or railroads at any
one time.
7. In the bonds Of any other railroad COM
| pany which secured by first her upon a
railroad within the United States and actually
in the possession of, and operated by the com
| pany issuing said bonds; provided, that the
railroad company issuing said bonds has not
within ten years prior to the time of making
such investment by said bank failed in the
payment of dividend upon Its entire capital
! stock outstanding, Of not less than four al
| per cent per annum each fiscal year during
! said ten year period; and provided. further
| that said railroad company issuing said bonds
| has not within ten years prior to the time Of
making such investment by said bank, de-
| faulted in the payment of any part of the
| principal or interest of any debt incurred by
| it and secured by mortgage lien or trust deco
upon its railroad, or any part thereof; anC
provided, further, that more than twenty
| 600 per cent of its deposits shall ever be in.
| vested in the bonds of any railroad or rail
roads at any time.
Sec 5. All acts and parts of acts inconsistent
| herewith are hereby repealed.
Sec. 4. This act shall take effect and be In
| force from and after its passage
| Approved April IS, 1901.