The news & observer. [volume] (Raleigh, N.C.) 1894-current, 1901-02-07

on demand apen warehouse receiptsg bills
of laden certificates of stock certificates
of deposit, bills OF exchange. bonds, notes
or other negotiable instruments pledged
as collateral security for such repayment
any bank organized under this act may re-
ceive or contract 10 receive and collect
as compensation for making such adj
Vances Of any sum to be agreed upon in
writing by the parties to such transac-
tion.
Sec Z. provides before the banks notes
are nut in circulation it shall deliver to
the State Treasurer, county or city bonds
having a market value at par or over; or
State or United States bonds, or such
other marketable bonds as the board of
bank appraisers may deem sufficient.
Sec. s, creates the board of bank APP
praisers making the attorney general and
the State Treasurer the board
Sec. 3, provides for the description of
bonds deposited, etc, TO be signed by the
bank appraisers.
Sec. 10. provides that the amount of
circulating notes shall not be more than
the paid in capital stock and shall not be
less than one third thereof.
Sec. H. such banks shall be entitled 10
issue it's notes for circulation to an
amount equal to the appraised value of
the bonds deposited; and in addition may
issue upon the basis of the credit of the
bank without bonded or other security an
amcnnt equal to one third of it's capital
stock actually paid in but the circula-
ton shall not exceed the amount of capt.
tai stock actually, paid in, in any case.
See. II, provides that the State Treasur-
er shall cause plates and dies to be en-
graved in the best manner to guard
against counterfeiting, etc, in order to
furnish suitable notes for circulation and
shall have printed therefrom and num-
bered such quantity of circulating notes
in bank Of tho denomination of 81, 50. 81.
IS, $40 $50, $50. 800, $500, as may be re-
CURED to supply the banks entitled to
receive the same. Such notes shall ex-
press unon their face that they are Sc
cured by the deposit of bonds OF approved
value with the State Treasurer; also the
promise of the corporation to pay on de-
mand, etc. The expense of such circula-
ton, plates. etc, to be borne by the
banks.
Section 10. exacts that 50 per cent OF
the capital stock shall be paid in cash
before beginning business. the balance OF
capital stock shall be paid in cash in in
stallments on call, the entire capital stock
to be paid in in IL months after the be-
ginning of business.
Sections II and 10 relate to bylaws,
increase Of capital stock and circulation;
reduction OF capital stock, etc.
Section 16. provides for winding up the
business of any bank, the withdrawal Of
its outstanding circulation. etc.
Section It provides for the return Of
securities by the State Treasurer when
the defunct banks notes are destroyed
Section 10 applies TO the destruction of
plates and counterfeit notes
Section IS. When the bonds deposited
to secure circulation decline in market
value as much as 10 per cent and remain
so for months such banks shall be re-
quired to furnish other bonds or money
sufficient to bring the value of the original
bonds to par.
Section 20. Failure to comply with sec
ton 10 for 30 days will mark z forfeiture
Of franchise.
Sections 81 and % provides for holding
of real estate by banks and makes the
minimum capital of any bank under this
act $4,000 paid up in cash.
Sections % and "a relate to organization
Of such banks.
Section % makes every stakeholder in
these banks individually responsible
equally and notably, and not one for an
other, for all contracts debts and engage
ments to the extent of their stock therein
at the par value thereof, in addition 10
the amount invested in such share. (This
applies not only to registered stockhold-
ers whose names appear on the corpora
tion books but to every actual owner OF
stock even though held in the name of an
other person; but not to those holding
stock as collateral security.)
Section &c limits the liability of stock
holders.
Section q provides against embezzle-
ment, etc, by bank officials.
Sec. rs, stipulates when reports OF
banks condition shall be made (twice a
year, and publication of same.
Sec. % empowers bank appraisers 10
employ bank inspector to examine and
report their condition.
Sec. so provides machinery for adding
savings department to these banks and
authorizes paying interest on deposit.
Sections 81, 3D. SO, "a and 80 define
crimes of bank officials and provides for
their punishment.
Section 80 provides when national banks
may become State banks.
Section SO says minors and married wo-
men NAV deposit in the banks to their
own credit and withdraw the same on
their individual checks.
Section 80 repeats sections 2l91, 2f92,
2493 and 249f of the Code.
Section 3S requires the payment of the
tax before its formation
Section 80 provides that any State bank
now in existence or hereafter to be or
ganized and chartered shall have the right
TO avail itself of all the provisions Of this
act by filing a copy of its charter with the
State Treasurer together with statement
furnishing the information required by
section q Of this act whereupon such
bank and its share holders will be held
liable as other banks and share holders
organized under this act
Section 40. This act shall be in force
from and after it's ratification.
FIRST SUBMARINE CABLE
Which was made from an ordinary wire