The Birmingham age-herald., 1907-12-23
States of America, in Congress assem-

1 leNleu upon Ile average amount or Qe- posits of every character held by na- ! tional banks, the amount derived from said tax so levied and collected to con 1 stitute a special fund to be held by the treasurer of the United States for the
 better protection of depostors and
 creditors of national banks.
 It shall be the duty of the comptrol- Ter of the currency on July 1, 1908, or as soon thereafter as practicable, and
 annually thereafter, to ascertain the average amount of deposits held by each and every national bank reporting to him. This shall be ascertained by adding together the amounts shown by the five reports made to him in 1907 and each year thereafter and dividing
 such sum by five; when the amounts are thus arrived at the comptroller shall notify each bank of its liability under this act, estimating the amount
 of tax due on such average amount of | deposits at one-tenthA of one percentum per annum, and proceed to collect the same under regulations to be formu- lated by said comptroller. An accurate account of all sums of money collected under this act shall be kept by said comptroller. and the funds shall be certified into the treasury of the United States to be held as sep arate fund.
 If upon the failure of any national bank the amount realized from the col lection of its assets. and the assess ment levied upon it's stockholde shall not be sufficient to pay depositors and creditors in full of the face value of their claims against said bank, then the comptroller of the currency shall | certify said amount of deficit as as-
 certained by him, and the treasurer Of the United States shall proceed to draw | his warrant upon such fund Tor the
 amount so certified and payable to the
 receiver of said bank, to be used in
 settling the balance of said deposits or other proper claims.
 l Provided, however, that the comp | troller of the currency shall. when l such fund is sufficient to enable him to 1 do so immediately pay the depositors 1 and other proper claims in full the l amount so paid to be returned to said | fund from the collection of the bank assets and the assessment levied upon l it's stockh elders to the extent tn ereof. l When the fund created by the pro- visions of this act shall aggregate $10- l OO0 GOO, the comptroller shall cease to | levy such tax until the amount of the | fund shall in his judgment, require | further collections in order to maintain | a minimum of such amount of $10,- l 000, 900.
 Upon the liquidation of any bank l contributing to the fund herein author | ized the comptroller shall ascertain if | any portion of the fund contributed by | said liquidating bank should be re- | turned to said bank after ascertaining 1 its proportion of losses sustained and l expenses properly chargeable to said | fund.- and if any balance is due said
 bank he shall certify the amount to | the treasurer, who shall draw his war
 rant for the amount so certified in | favor of parties to whom such amount | is legally payab1e.
 | Sec. g. That no association organ
 ized under the national bank act shall | pay interest on it's deposits of any na- | ture or description, except public | funds of the United States, on which | they are authorized to pay interest at | the ratee,of 2 percentum per annum: | Provided, however, that said association l may continue to pay interest on de-
 posits heretofore made until the first | day of July. 1909.
 | Sec. g. That any national banking association now organized, or hereafter | organized desiring to withdraw cir- | culating notes, upon a deposit of law | ful money with the treasurer of the | United States, as now provided by | law, is authorized to deposit lawful l money, and, with the consent of the | comptroller of the currency and the | approval of the Secretary of the | Treasury, withdraw b proportionate | amount of the bonds held as security | for it's circulating notes in the order l of such deposits
 l Sec. A. That the comptroller of the currency, with the approval of the Sec | retary of the Treasury, may auth orize Iany national bank association, now re- uuired at all times to have on hand in 1 lawful money of the United States an l amount equal to at least 25 percentum | of the aggregate amount of its deposits l in all respects to reduce said amount | of lawful money so held for a time ex- | pressed in his order not to exceed six months to an amount not less than IF | percentum of it's deposits; and any as- sociation now required at all time to | have on hand in lawful money of the | limited States an amount equal to at | least 15 percentum of its deposits in all | respects to reduce said amount or | lawful money so held, Tor tune ex- | pressed in his order, not to exceed four | months, to an amount not less than (
 percentuIn of its deposits.
 | Sec k The affairs of each national 1 bank association shall be managed by | not less than five, nor more than fifteen | directors, who shall be elected. by the | stockholders at a meeting to be held | at any time before the asSoclatlon IS l authorized by the comptroller of the 1 currency to commence business of 1 banking: and, afterwards, at meetings to be held on such day in January of | each year as shall be specified there l for in the articles of association The
 directors shall hold office for one year
 and until their successors are elected 1 and have qualified
 Every director must, during his whole 1 term of service be citizen of the
 United States, and at least three 1 fourths of the directors must have re-
 sided in the state, territory or dis | trict in which the association is located | for at least one year immediately pre- | ceding their election, and must be res
 idents therein during their continuance l in office.
 No person shall be eligible as direc- | tor who shall be an officer or director | in any other bank. trust company, in surance company, or financial or bank | ing association. Every director must | own in his own right at least '25 shares | of the capital stock of the association | of which he Is a director; unless the
 capital of the bank shall not exceed l $25. .oo0. in which case he must own in | his own right at least 10 shares of such capital stock. Any director who | ceases to be the owner of the required | number of shares of the capital stock. | or, who becomes in any other manner | disqualified shall thereby vacate his | place.
 Section 6. No association orgapizea 1 under the national bank act shall re l ceive or accept deposits in excess of an l a r,o,,nt eoual tO 10 times the combined