The Springdale news., 1914-06-26
FOR ACT No. 2.
 AGAINST ACT No. 2.
Be It Enacted by the People Of the State of Arkansas.

<a'rai-N . Al tSti'
 Be It Enacted by the People Of the
 State of Arkansas:
 Section | The stockholders of every bank, doing business in this State. shall be held individually responsible. equally and ratably 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: provd- ed however, that stockholders of such banks trust companies as have ac cepted and are participating fin the bene- fits of the bank guaranty plan herein after provided for, shall only be liable to it's 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 as executors administrators. guar dians or trustees shall not be personally subject to liability as stockholders, hut the estates and funds In their hands shall be liable in like manner ard to tte same extent as the testator. tntestate. ward or person interested in such trust funds would be If living and competent to act and hold the estate in his own name
 Sec 2 Any incorporated State hank 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 Tn this State. s hereby authorized and empower 
 benefits and to be governed by the regu- iations of the bank depositors. guaranty funds of the State Of Arkansas herein after provided for Before any hank shall become guaranteed hank within the meaning of this act q resolution of its Board of Directors authorized hv It's stockholders. duly certified bv It's president and secretary asking there for. in form to he provided hv tie hank fomr7i issioner shall be filed with said bank commissioner. who shall upon the filing of such resolution make r'gid examination of the affairs nf such bank and if 1t Is found to be solvent to he properly managed. and conduct Ing ts business in strict accordance with the banking law. he shall. after the hank shall have deposited with The State treasurer bonds or mauev as hereinafter provided. issue to sueh bank certfff= cate stating Tn substance that said bank has complied with the provisions of this act and that its depos tors are guaranteed hy the bank depositors. guar anty fund of the State ef Arkansas az herein provided.
 See 3 Before reeeivfas such certf- ficate from the bank commissioners each hank entitled ta the =safne= according ta Section of this aet shall aS an evf- denee of good faAthz=ae deposit and shall at all times maintain with the State treas asurer Subject 10 the order of the bank commissioner =wheH=ea ea4ateHs#gt4ea hv the auditor nf StateA =Iinztea States bonds rkansas State H#eH#fs= #f4f4#84e= uent district bonds maaietnal bonds school district hanaS within tEe State of Arkansas to the amount af ffHe hs}F.}raf dollars for eters=a9sZ haas=IEa=3 tsaaHSarzf dollars or fraction thereaf af Us average deposits ell gthle t9 guaranty Eiess Ite capital and %4rPiHs7 as shown b3. Is last four published statements. provided that each bank shall s6 deposit not less than five hundred dollars and the State treasurer shall issue his receipt there for in triplicatf. me to the bank one to the auditor of State and one to the bank commissioner Such bonds shall bear the certificate of the attorney general of the St8te of Arkansas stat ing that in h3s opinion said bonds have been legally issued Said bonds or cash in lieu thereof shall not be charged out of the assets of the bank. except as hereinafter provided. but shall be car red in its assets under heading Guaranty Fund with State Trea surer'' until such time as said bank shall de- matter provided for. Tn lieu Of bonds the bank at its option may derosft money, which deposit shall be exchange able for aceeptable bonds when the bank elects to make the substitution Tn aa- dItfan t0 ahoVe each hank shall rav n cash an amount eaHd to one-feurth of one per cent of its average deposits eligible to guaranty. less its capital an1 surplus and the sane shall be credited to the bank aep6sjtofs guaranty fund with the State treasurer. subject to the order of the hank commissioner. and the State treasurer shall issue his re cert therefor in triplleate one to the bank. one to the aI1ftar If State and one 10 the bank commissioners provided that any bank seefirS t1 participate in the assessment and benefits of this act after the first annual assessment for the year 1915 shall have been made. shall be assessed amount appr0vi- matelv ea1ai to itS propartenate share of the money then Tn the bank dennst- tors guaranty fund after all losses shall have been deducted. the amount of such assessment to be determined by the bank commissioner The last above mentioned assessment however. shall not be required of new hanks formed hv banks which have previnusfv compiled with the terms of this act Upon the deposit and acceptance ef such bonds Cor money) and the payment of said sesement. then the payment of such de- posits of said bank as are specified in this act shall he guaranteed as herein provided. and the bank entitled to it's
 Sec. 4 The bank commissioner shall during the month ef January If each year make assessments of onefourth Of one per cent of the average guaranteed deposits. less capital and surplus. of each bank until th- cash fund ac- cumulated and placed to the credit of the bank depositors guaranty fund shall be approx imately five hundred thousand dollars over and above the cash de posted 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 may become necessary to maintain the same; provided that not more than six such 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 h the State depository banks provided by law governing other State funds subject to the order of the bank commissioner to be countersigned by the auditor of state for the payment of depositors of failed guaranteed banks. as hereinafter pro. Yided. The State treasurer shali credit tlis fund quarterly with it's HEaRott! ton ate share of interest received from state funds, computed at the minimum rat or interest provided by law upon the aver age daily balance Of said fund
 Sec. 5 When any hank ,l sba4 he fenna ,1, sioner. he shall take charge or satn .n bank as provided bV law. and proceed |. 10 wind up it's efairss and he shall. a' the earliest moment issue to eaca ae positor a certificate. nPon pfooI e' claim. bearing six per cent interest per annum upon which dividends shaH ne entered when paid. except where con tract rate exists on the deposit l9 which case the certificate shall pea