The Detroit times., 1910-02-08

WASHINGTON. Feb. THE admin.
istration's federal incorporation bill
was today introduced in the senate .!
Senator Clark (Rep.. WashJ immeu'-
ately after the senate convened.
In introducing the blll SeHalu'
Clark, chairman Of the judiciary con-
mittee, made no mention or the I"O'
that the attorney-genera! MAS nv ""
thor. The bill was promptly referee I
TO Senator Clark's committee 10y 1'
vice-presideut. int Senator Ne" 'a l,I
fDem., New objected contehdl"s 'la'
IL should go TO the committee on me
state commerce. and moved us REFER
ence 10 that committee
Clark replied that consu'n''oulN .
questions were involved ana urged us
consideration by the judiciary COM
Newlands then objected TO the sec
ond reading OF the bill u Wll' there
fore. lie on the table until tomorrow
when the question of reference VIII DC
considered.
The hin was also introduced IN the
house by Rep. Parker Rep y -
chairman OF the house cOmmlltee Oh
the judiciary. III,
The terms OF the measure are h''el'
" these:
No corporation will be permitted 10
hold stock IN any other corporation D.
nor could any corporation engased III
any like business hold the stock oil
corno-ation formed uGder this act
and no such corporation would be per
mitted To have banking powers.
Forfeiture OF charter may result II
any corporation organized under 'he
act shalt enter into any 'oatract %.
combination or engage in any conspiI'
acy against interstate or foreign tradS
or commerce, or shall munoNolze OF
atteInnf TO monopOlize any part mere
of contrary to the provisions OF the
sherman act. or shall otherwise VIC
late the laws OF the United States. ne
charters of all corporations are MADE
subject 10 alteration, suspension OF
repeal by congress.
Annual reports must be hieu Win
the bureau OF corporations. AMI the
commissioner OF the bureau may can
for special reports Ten days after
the declaration Of any dividend hnan-
cial statement showing the amount oil
net earnings must be fled with the
commissioner OF corporations.
At least a majority of the directors
of the corporation are required or az
times 10 be citizens Of the United
states and bona fide residents therein
Stock NAY be paid for cash or IN
propertv. but every certificate OF stock
issued in payment OF property must
contain a statement that II is so Is
sued. and before any stock is so issued
a full statement. sworn TO by ma
ioritv of The board Of directors. mast
be filed in the bureau of corporations,
giving complete details OF the prop
erty and all facts connected with
transfer.
No stock with a par value may be
issued in payment of property pur-
chased or acquired By the corporation
to an amount In par value exceeding
the value approved by the commits
sioner after such appraisement
Provisions are made for the increase
or decrease OF the capital stock OF a
corporation and for other amendments
to the articles OF association by vote
OF two-thirds OF the stockholders OF
the corporation.
The approval of the commissioner
Of corporations must be obtained be-
fore the capital stock can be In
creased to the amount necessary I'd
provide for conversion Of bond pTin-
cipal into stock. and this right shall
not be given unless the bonds are Is
sued or sold at par or upwards. or II
for less than par. then for not less
than their reasonable market value as
ascertained by the commissioner.
Whenever corporation shall fail
TO pay any written obligation at ma
turity. or If any execution against its
property shall be returned unsatisfied,
the commissioner of corporations
shall appoint a special agent TO ex-
anime into its condition. II this
agent reports that the corporation
condition IS 50 unsound as 10 make
its continuance In business contrary
70 public welfare. the commissioner
may appoint a receiver with the usual
powers OF chancery receivers.
The real and personal prOuertv OF
corporations are 10 be subject 10
state. county and municipal tax In
corporation fees are 10 be paid
amounting 10 one-tenth of one per
cent OF the total capital mp TO 10000
0f0. one-twenueth of one per cent
from $4,000 .O00 to $4,000 600 and
$3.50 on every million dollars Of CAPT.
tai In excess Of $4,000. 600.