The Harrison times., 1914-06-20
FOR ACT No. 2.
AGAINST ACT No. 2,


Therefor, and Penalties for the Viola
tion thereof"
FOR ACT No. 2.
AGAINST ACT No 2.
BE II Enacted by the People OF the
State of Arkansas;
Section I, The stockholders Of every
bank, doing business in this state shall
be held individually responsible equally
and ratably and not one for another TOT
all contracts debts and engagements OF
Fuch bank, to the extent Of three tines
che amount of their stock therein, at the
par value thereof, in addition to the
amount invested in such stock proVld-
ed, however that stockholders OF such
banks or trust companies as have ac-
cepted and are participating In the Dene-
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 holdSng
stock as executors, administrators, guar
dians or trustees shall not be personally
subject to liability as stockholders but
the estates and funds In their hands
shall be liable In like manner and to the
same extent as the testator, intestate
ward or person interested In such trust
funds would be, If living and competent
20 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 TINS
state, Ia hereby authorized and empower
cd TO participate In the assessments and
benefits and 10 be governed by the regu-
iations Of the bank depostors guaRntv
funds of the State OF Arkansas herein
after provided for, Before any Nank
shall become n guaranteed bank thin
tho meaning Of this act resolution or
its Board OF Directors, authorized by
its stockholders, duly certified by It's
president and secretary asking there
TOR In form TO be 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 bank,
md II II Is found 10 be solvent to be
properly managed and conducting It's
business I'm strict accordance with the
banking law, he shall after the bank
shall have deposited with the state
treasurer bonds or money as hereinafter
provided Issue TO such bank certifl-
cate stating In substance that said bank
mas compiled with tho provisions Of
this act, and that Its depositors are
guaranteed by the bank depositors guar
anty fund OF tho state Of Arkansas, as
herein PROVIDED,
Sec, 3, BeforeS receiving such oertl-
fIcate from tho bank commissioner, each
bank entitled to the same according to
Section 2 Of this act shall, as an evi.
dence OF good faith, deposit and shall
at all times maintain with the state
treasurer, (subject to the order Of the
bank commissioner when countersIRned
by the auditor Of State) United States
bonds Arkansas state bonds, improve
ment district bonds, municipal bonds
school district bonds, within the state Of
Arkansas TO the amount OF five hundred
dollars for every one hundred thousand
dollars or fraction thereof Of It's average
deposits eligible 70 guaranty Ooss It's
capital and Rurplus) Ms shown by ~
last four published statements provided,
that each bnnk shall so deposit not less
than five hundred dollars, and the Stute
treasurer shall Issue his receipt there
for In tripllcate, one TO tho bank one
10 the auditor OF state, and one to the
bnnk commissioner, Such bonds shall
bear the certificate of the attorney
genoral OF the state OF Arkansas, stat
Ing that IN his 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 M
hereinafter provided, but shall he enr.
ried IN itB assets undor n heading
"Gunrnnty Fund with state Treasurer
until such time Ms said bank shall de.
fnult III payment OF hhNphNWenlN OeIN7
inafter provided for, In lieu OF bonds
the bank at It's option, may deposit
money, which deposit shall be exchange
able for acceptable bonds when the bank
elects 10 mako the substltutlon. In ad'
dltlon 10 above, each bank shall pay In
cash an amount equal to one-foHrth OF
ono per cent OF It's average deposits
siigible 10 guaranty, less ils capital and
suFplua, and the same shall bo credited
10 the bank depositors' guaranty FUND
with the state treasurer subject TO the
order OF the bank comm missioner, and
the State treasurer shall Issue his re,
esipt therefor In trplcate, ono to the
pnnk, one 90 tho auditor OF state, and
one 10 the bank commissioners provided
that any bank seeking to participate In
the assessment and benefits Of this act
after tho first annual assessment f0I
tho year 1915 shall have been made
shsIl be assessed an amount approKl'
mately equal TO lts pfoportlohate share
or tho money then In the bank deposit
tors guaranty FUND after all losses shall
have been deducted, tho amount Of such
aaaeaHment 10 be determined by the
bank commissioners The last above
mentioned assessment, however shall
not bo required OF new banks formed by
tho reorganization or consolidation Of
banks which have previously compiled
with tho terms or this act Upon the
deposit and acceptance OF sueh bonds
aesament then the payment or such de.
poAlta Of said bank M ara specified IN
This act shall he guaranteed M nereln
provided and the bank entitled TO Ia
ase / The bank commissioner shall
.durina the month or January OF eaeii
year, make assessments OF onef0urth OF
one per cent OF tho average guaranteed
deposits, lsss capital and surplus, OF
each bank until the cash fund nc,
,oumulnted and placed 20 the credit OF
the bank depository guaranty FUND shall
he approximately five hundred thousand
deliaFa over ana above the cash de
o6aiied In lieu OF bonds, when he shall
dlHeontinua such assessments Bhould
eueh fund become depleted, the bank
,oomtnihaioner shall make such additional
nasenHmentH from time 10 time M may
beeome necessary 10 maintain tho same
provided that not more than six such m
easements OF onesfoufth or ono per cent
'seeh shall be made In any one calendar
year, Tho treasurer or the state OF Ar
kansas shal hold this fund N the STATE
depository banks aB provided by las
.Eovsrnng other state funds, auhieot tt
Tho 6rdar or the bank oommlaHlonet, u
be oounterhlgnod by the auditor of state
for the payment OF depoaltofh or Failed
guaranteed banks, aH hereinafter pro,
yided The State treasurer shall efedl'
this fund quarterly with ita pfopottioh.
ate share OF interest received from Htht'
funds, computed AZ the minimum rate ol
interest provided by law, upon thn aver
ane daily balance ~ said fund, 49,.
Heo, o. When any bank HhAl he touhV
70 he inHolyent by the bank COMMITS
sleneF, he shalt take charge OF hu9l
bank, as proyi1ed by law, ana proceed "
Nal