The Springdale news., 1914-06-19
Be II Enacted by the People Of the State of Arkansas.
FOR ACT No. ..
 AGAINST ACT No, 2.

Be II Enacted by the People or the
 State of Arkansas:
 Section l. The stockholders of every bank, doing business in this State, shall be held individually responsible. equally and ratab1y and not one for another for all contracts, debts and engagements of such bank. to the extent of three times the amount of their stock therein. at the par value thereof. in addition to the amount invested in such stock provtd- cd, however. that stockholders of such banks or trust companies have ac- cepted and are participating in the bene- fits of the bank guaranty plan herein after provided for, shall only be liable to its depositors in addition to such stock held by said stockholders one time the par value thereof and no more; pro- vided. further. that persons holding stock IS executors. administrators. guar dians or trustees shall not be pers 5naty subject to liability as stockholders. but the estates and funds Tn their hands shall be liable in like manner ard to tEe same extent as the testator. fntestate, ward person interested in such trust funds would he. if living and competent to act and hold the estate in his own name.
 Sec. 2 Any incorporated state bank. trust company or savings bank. doing business in this State under the general banking laws of Arkansas and any bank which may after the passage of this act be authorized to do business in this State is hereby authorized and empower ed to participate in the assessments and benefits and to be governed by the regu- latiens of the bank depositors guaranty funds of the State of Arkansas herein after provided for Before any bank shall become a guaranteed bank within the meaning of this act resolution of It's Board of Directors authorized kx it's stockholders. aUfv certified hv it's president and secretary. asking there for. in form to he provided by the bank commissioner, shall be filed with said bank commissioner. who shall. upon the filing Of such resolution. make rigid examination Of the affairs Of such hank and if it is found to be solvent to be properly managed and conducting it's business tn strict accordance with tha Iankine law, he shall after the hank shall have deposited with the State treasurer bonds or money as hereinafter provided. issue ta such bank certiff- cate stating in substance that said hank has compiled with the provisions of this act, and that its aenos tors are guaranteed hy the hank depositoHs' guar antv fund of the State of Arkansas as
 See .. Before reeeivfne such csrtf- ficate from the bank eommissi iaHer=eaeh hank entitled to =t7e sa reza =zera.=ltf=g - Section of this art sfIa't# #a@ l1 e2f5 denee Of good faith depstt and staI at all times maintain with the State trca surer fsubieet "a the order os tf#s hE the auditor of State4= =Ehtted States bonds. t trkansas State bonds. improve nent district bonds munieipaf bonds school district bonds within the Staff af Arkansas. to the amount Of five hurzlired dollars for every =are hundred tA#1zISan4 dollars or fraction thereof If it's average ieuasits eligible t0 guaranty Hess Is capital and safpftSf as SH9NE hA Is last four published statements provided that each bank shall so deposit not les fhar five hundred dollars and fhe cfata for in tripiicate one to the bank one to the auditor of State and one to the bank commissioner. Such bonds shaa bear the certificate of the attorney general Of the State ef Arkansas stat ing that in his opinion said bonds have been legally issued Said bonds OF cash In lieu thereof shall not be charged oat of the assets of the bank exeeut as hereinafter provided but shall be ear ried in it's assets under q heading "Guarantv Fund with State TreaslIrer't until such time Us said bank shall de- fault iu payment nf aSsesSmerts her matter provided for, Tn lieu of bonds money which deposit shall be exchange able for aceeutahle bonds when the In vl; elects te make the substitution In a4- d3tian to ahuve- each bank shaIl pay n cash an amount equal to one-f fourth of one Dor cent of it's average depasf Is eligible 10 guaranty. less its capital and surplus and the same shall be credited to the bank aep8s tors guaranty funa with the State treasurer. subject to the order of the hank comm tssioner and the State treasurer shall issue his re eeipt therefor in tripltcate.= one to the bank one to the auditor of State and one ta tho bank cafar#sSioner. provided that auy bank seeking ta participate in the assessment and benefits of this act after the first annual assessment for the year 1915 shall have been male. shall he assessed an amount apnroxf- matflE equal co ttN pfol 1of ttohitte share of the money then in the bank deposit tors. guarantv fund after all losses shall have been deducted. the amount of such assessment to be determined by the mentioned assessment however shall not he required of new banks formed hv the reoreaniZattou or consolidation Of banks which have previously camplie4 with the terms Of this act U-pon the deposit and accordance of such bonds Cor money) and the payment of said as sesement then the payment of such de- posits Of said bank as are specified in this act shall be guaranteed as herein provided. and the bank entitled to its certificate
 Sec 4 The hank commissioner shall during the month of January of each year. make assessments of onefourth of one per cent of the average guaranteed deposits less capital and surplus of each bank until the cash fund ac- eamdiate3 and flacea to the credit of the bank deposit0rs guaranty fund shall be approximately five hundred thousand dollars over and above the cash le- posited in lieu of bonds. when he shall discontinue such assessments should such fund become depleted, the bank commissioner shall make such additional assessments from time to time as may become necessary to maintain the same; provided. that not more than SIX SHcH as sessments of one fourth of one per cent each shall be made in any one calendar year, The treasurer Of the State of Ar kansas shall hold this fund n tie State depository banks as provided by law governing other State funds subject to the order of the hank commissioner. to be conntersipned hy the auditor of State. fot the payment 0f Gepos5tuls ' .at-Ai guaranteed banks as hereinafter rro- 1lded The State treasurer saaiI cfedt s3s iHna quarterly Wt5 its tHaRett ttIe}f- ate share of interest received from state ihAasi eemp9tcd at the minimum rate or interest provided hs. law uren the aver aEe daily balance of said fund
 sec When any bank shall he foHna te be fnsoiveHt bF the bank commls- sioner. he shall take charge of such bank, as provided nv law, and proceed to wind un it's affairs, and he shall at the earliest moment, issue te each de. poSitor certificate. upon proof Of claim, bearing six per cent interest per ahnum upon which dividends shall be entered when paid, except where con tract rate exists on the deposit in which case the certificate shall hea" interest at the contract rate; notice of