Rock Island Argus. (Rock Island, Ill.) 1893-1920, 1908-10-29
shall not be construed as a part of the

section 10 the provision that it shall
not be lawful for any hank to loan
TO its president or to any of its vice |
presidents or to it's salaried officers or /
employees, -or to corporations or firms !
controlled by them or in the manage |
ment of which any, of them are active
~ engaged, until an application for
such loan shall have been first APP
proved both as to security and amount |
By the board of directors.
Eleventh. Said amendatory act
strikes out the provision in section IL
that the Auditor of Public Accounts
may in his discretion file Il bill in the
Circuit Court of the county in which
said bank is located in the name of
the People of the State of Illinois
against said bank and its stockholders
for the appointment of Il receiver for
winding up OF the affairs of said bank,
and inserts in lieh~ thereof the pro-
vision that if it appears from the
reports made to the Auditor under
this act or from any examination
made by or ON behalf of the Auditor
that the conditions of any bank or
ganiZed under this act are such that
the impairment of the capital stock
can not he made good or that the
: business OF any such bank is being
conducted in an illegal, fraudulent or
/ unsafe manner. the Auditor may in
his discretion. without entering suit
3, against each stakeholder in the name
| of the People of the State of Illinois
for the use of said bank for his or her
pro rata proportion of such assess
ment, through the Attorney General.
file a bill in the Circuit Court of the
county in which such bank is located
/ in the name of the People of the State
of Illinois against said bank and its
:, stockholders for the dissolution of the
corporation and for an injunction and
for the appointment of 4 receiver for
winding up the affairs of the bank.
And said court upon presentation OF
said bill and upon being satisfied that
the capital stock Of said bank has be-
come impaired to such an extent that
it cannot be made good, or that such
bank is being conducted in an Illegal,
fraudrslent or unsafe manner. shall iin-
mediatcly appoint competent and
disinterested person as such receiver
: and shall determine and fix his bonds
and shall prescribe his duties
Twelfth.-Said amendatory act adds
to section IL the provision tilat
no bill shall be filed nor proceedings
commenced in any court for ti!e dis
, solution or for the winding UP of the
,-... a.,
ceiver for any such banking corpora
ton on the grounds of insolvency Oh
[ impairment of the capital stock OF
= such banking corporation or on the
; ground that such bank is being con
!, Quoted in an illegal, fraudulent OF, un
t safe manner, except in the name ant
< by the authority of the Auditor oi
Public Accounts. represented by the
D Attorney General.
Thirteenth. Said amendatory &C
:. further adds to section IL the pro
: ! vision that when it shall be ascer
| tanned in the course OF the admins
tration of the estate of a bank in til,
: hands of Il receiver that the assets o
= the bank are insufficient to discharg
q creditors and wien the amount o
l. such deficiency is determined. TIL
II court may in its discretion direct tn
n receiver to proceed to enforce the liza
$ bility of the stockholders to creditor
d provided i'm section of this act; ant
when so directed. such receiver shall
70 have the power, and it shall be hi
, duty. to take such action by suit o
. otherwise as the court may direct t
y enforce such liability for the beneti
"a of the creditors and to disburse {
10 creditors the amounts collected there
Y on, in the same manner as disburse
!, ments are made to creditors OF the as
= sets of said bank.
IN Fourteenth. Said amendatory az
N further adds to section II the pro
T. vision that such receiver shall file wit
lr the Auiitor a cops of each repoI
which he makes to the court appoin
ing him, in order that said AuditO
= may have at his command Il cunpiet
'e record of all State institutions who's
business has been so liquidated.
n Fifteenth. Said amendatory az
"A further adds to section II the PR
"a vision that at any time whenever
majority in number and amount of til
creditors of such bank or association
r after any such receiver shall hay
IN been appointed, shall petition til
IN court for the appointment of any pc
II son nominated by them as receive
Mt who is Il reputable person and elect'
rs OF the county in which such bank ,
d. association is located, it shall be I'll
I'll duty of the court to make such al
C. pointment and all the rights an
ne duties of his predecessors shall at ono
Is devolve upon such appointee.
:" Sixteenth. Said amendatory act,
order to become operative. must r
es ceive majority of all the votes ca
at ut the election to be held November
IN A. ID. 1905.
mr. JAMES A. ROSE,
,y Secretary of State.
m Approved:
RS w. II. STEAD, Attorney General.