Alexandria gazette. [volume] (Alexandria, D.C.) 1834-1974, 1910-02-12
BANKING BILL.

BANKING BILL.
Examination of banks is embodied in
the Williams bill reported favorab!y on
Thursday BY the joint committee on in-
surance and banking ofthe two houses Of
the'Iegislalure. Aft.r long deliberation by
the Joint committee and by The .suocom.
nit ee, the report of the latter was
adopted on Thursdsy sttsrDoon subject
70 formal rs / 6cation latt.r when some
incidental amendment, offered by Geo.
BRYAN, attorney for the State Bankers
Ascocis tion, have been incorporated into
the present draft.
Among the new features OF the pro.
posed act are: No loan shall be made by
s bank or other financial inslit ltion to
1t ,ckholder on bis stock as security,
; unless his shares have been fully paid
for ia cash: No dividends or pro6t'
OF a higher rate than 6 per cert. per ar :
mum on the cspi al stuck pad 10 shall be
declared until the bank shall have tu..
D II, or cou,iDgeut fund arising from 'e
profits of at least 10 per cert. of its
capi,sl, nor shall sny dividend or prof
re made by which such iuod Is reduced
below the said 10 per cent. Tnis last
provision raises tbe per cent of the re-
quired surplus to 10 instead OF 5 per
G nt.
Uuder the old law financial inst :
IN ion Has given thirty dass in which
to make the report required BY the
State Corporation Commission. The new
ia~ cas- the time down to fifteen
a's.
A special examination of auy 6nar-
cisl iustitl tion may b. had upon the
application of stockh ders represent
log twc-6rhs If the cspitsl stocks. Now
oily ope-fith rs r quired.
The rekular examination Is to be
ordered not le.s than ones in each and
very yesr by the Ststs Corp pMatlon
Commission. Examinations msy be
ordered, however, whenever the coG-
mission deens it nee. assry. Fall ac-
cess mus. be given to the examiner to
all tho money, books, papers, notes,
bills and other evidences of indebted.
ue.s due the institution. The officers
are required state truly all iofor
nation desired by the exsmiu"r, and
be may take evidence uader oath frou
them.
No pregitu, notice of the examination
s to De given to the los itliions or any
mo connectpd q ith them
IF the examination revesls a iailurs
TO observe the bs, king laws or irrel-
ulsri,ies, or tbst the capital has beeu
,r is in danger OF being impaired, i'm
mediate notice is given to the iust til lop.
1t sfte t,Irty days from the time OF
n, tice lh~ defects are not corrected the
cou m s,ion may apply for receiver to
AXE charge of and wind uo such in
slit ton.
T. case The commission fnds nat any
inst lion designated as STATE depos-
,ry is iusuveut and unable to meet the
demands IL pcn it, The commission nur
notify tho sulitor and treasurer of the
ommuuwealtb, who must discOptiL ue
deposit OF s;st, u Ids, aud take such
,ttup as mny be necessary t pr CT the
st tie deposits already made in such az
-utut m.
Examiners and clerical assistance for
bis work are to be sppointed by the
S. ts Corporal on Commission. The
xsmintrs Bu | be [ Ems OF the stat,
''exp renceo and killed in the science
NJ book kkeepipg, and shall have bad at
least tarre years service 10 some bank"
They uu, give bond 10 penalty OF s5,-
900. the premium on the bond being
paid out OF the III ID raised from the
fees charged hanks for their exam
Inst 90. The commission will fix the
salaries. All expenses are TO be paid
lit al the iuad crested by the receipt OF
exam,rat on fees from the banks.
rh4 fees t be paid BY the inst tutions
x-m,ued are On the following scale:
FIR banks bavlpg capital, .urp!us
tund no uadiv ded prof: of 500. 900
or less, $780, more tran 500. 900 ~nd
oct over 5000, 600, s45; more than 5000
600 snd not over $500, 900, $50; more
tla0 fOUU, UUU d w hut OFCi SIoVy WV,
$50; more tran $400. 900 and not more
t ap $500, 600, 500; over s5O0,O
Sl55. All fees so assessed shall be a lien
on the asst, of the baok, and II not
paid in Thirty days after nttlce, may be
recovered In civil suit.
F.ilure t, furnish the commission
stst.mep as qaired or to comply With
the demsuds made by the Stats CoFpors-
ton Com mission under tee act subj acts
the institution violating to fine OF net
less than 800 nor more than 1000.
Any officer t.iliog i give the intorma
ton tae examiner is to be fined net
less than $25 nor more than 800. q
kuoTipgls false statement OF the oondi'
ton of ,uch financial institution by an
officer makes him 8 felon, and, upon
conviction, be is to be 6ued not less
| than 100 nor mora than IS, 600, and be
imprisoned in the penl!entisry not less
than oue nor mere than ten years.
Brarch banks will pay q small sum
Il r. Al -