The Nevada County picayune., 1914-06-19


 Tor the payment Of denositors af failed guaranteed banks. as lrrsimafter pro vided. The State treasurer shall credit this fund quarterly with it's proportion ate share of interest received from state funds, computed at the minimum rate or interest provided by law. upon the aver age daily balance of said fund.
 Sec 5. When any bank shall be found to be insolvent by the bank commits sioner, he shall take charge Of such bank, as provided by law, and proceed 10 wind up it's affairs: and he shall at the earliest moment, issue to each oe positor certificate. upon prooI oI claim, bearing six per cent interest per annum upon which dividends shall De entered when paid, except where con tract rate exists on the deposit. m which case the certificate shall bear interest at the contract rate; notice 2. the amount of each dividend to be pal1 creditors and the date when such pay. ment Is to be made shall be publlshe'i Tn two consecutive issues of paper or general circulation in the county or city Tn which such failed bank Is located and corresponding notice posted on the door of the receivers office. and interest shall cease on each dividend on the day named in such notice. The bank commissioner shall likewise publish a notice of the date upon which he will make payments of any balance due on such proof of claim, and interest shall cease on the day so advertised. and said proof of claim shall so state. After the officer in charge of the bank shall have realized upon the assets of sucn bank and exhausted the double liability or its stockholders. and shall have palo all funds so collected in dividends to the depositors he shall certify all balances due on guaranteed deposits tii who shall then, upon his approval or such certification, draw checks upon the state trea asurer, to be contersigned by the auditor of State, payable out or the oank depositors, guaranty fund m 1avoe of each depositor for the balance due on such proof of claim as hereinafter provided. If at any time the available funds in the bank depositors' guaranty fund shall not be sufficient to pay all guaranteed deposits of any failed bank. the six assessments herein provided for having been made. the bank commits sioner shall pay depostors pro rata and the remainder shall be paid when the next assessment is aVailable provided. however, that whenever the bank com missioner shall have paid any dividend to the depositors of any failed bank out of the bank depoSitors guaranty fund. then all claims and rights of action or such depositors so paid shall revert to the bank commissioner for the benefit of said bank depoSitors' guaranty fund, until said fund shall have been fully re- imbursed for payments made on account of such failed bank. with interest there on at four per cent per annum.
 Sec s. X penalty of fifty per cent of the amount of said assessment shall be added to the assessment of any bank not remitting aforesaid within thirty days after receipt of notice of such as- sessment from the bank commissioner, and If any bank which shall have been assessed and notified as aforesaid shall Tail to remit the amount of said assess ment as herein provided a sufficient amount of it's bonds Ctogether with the unexpired coupons) shall be immediately sold by the bank commissioner at public n md dn oAd sn anN sV assessment Any balance remaining from the proceeds of such sale aftev the payment of such assessment shall remain to the credit of the bank in the balance. together with the remainder of the bonds Cor cash in lieu thereof), shall be forfeited to the bank depositorS guaranty. fund if the bank does not ment of such assessment remit the and penalty to date. and restore the amount of its bonds or money pledg- the banks failure to remit it's assess ments according to the terms of this act, the bank commissioner shall im- mediately examine such bank. and if 1t solvent. he shall take charge of and liduidate said bank according to law If said bank be found solvent. the bank commissioner shall cancel its certificate
 
 displayed in It's banking rooms. in a conspicuous place. continuously for six months. a card not smaller than twenty inches by thirty inches and in large. plain type reading as follows: ''This bank has withdrawn from the bank de- postors' guaranty fund and the guaranty of its deposits will cease on and after ........" The date on this card shall be a date six months after the first posting of such card. Any bank electing to withdraw from the bank depositors' guaranty fund may do so by giving mo- tice to the bank commissioner and dis playing card as aforesaid. and at tho expiration of the six months as afore- said may receive its bonds provided always that said bank shall have paid assessments in full to date) when the affairs of all failed banks in liquidation a the expiration of said six months shall have been closed up and the said bank shall have paid it's assessments on account of same
 Sec :. Deposits which do not bear interest and the following deposits only shall be guaranteed by this act: Time certificates not payable in less than six months from date and not extending for more than one year. bearing interest at not to exceed four per cent per an mum and on which interest shall ceass at maturity, daily deposits not to exceed a greater rate of interest than three per cent per annum Deposits which arc primarily rediscounts or money bor- rowed by the bank and all deposits otherwise secured, shall not be guaran- teed by this act Each guaranteed bank shall certify under oath to the bank commiss toner at the date of each called statement the amount of money it has on deposit. not eligible to guaranty under the provisions of this act. and in asses- sing such bank this amount shall be deducted from it's total deposit The guaranty as provided for in this act shall not apply to a banks obligation as endorser upon bills rediscounted nor to bills payable. nor to money borrowed temporarily from it's correspondents or others.
 Sec. 8. Each bank guaranteed by this act shall keep a correct record of the rate of interest paid or agreed to be paid to each depositor and shall make statement thereof under oath to the bank commissioner quarterly, If bank displays a card or in any manner adver- tises that it's depositors are guaranteed such bank, if 1t pays or agrees to pay either directly or indirectly. interest at any rate greater than four per cent per annum upon deposits of any kind, class or character. shall state upon or in the same card or advertisement that no de posits are guaranteed which bear a