The Brookings register. [volume] (Brookings, Brookings County, S.D.) 1903-1971, 1916-10-26

EtIN per dIAllulDg with 80
be signed by the secretary and counter,
signed by the treasurer OF said Board
and shall be negotia Bile. said certhcates
shall be c~onsecutiyely numbered and snaII
be payable out Of the Depositors' Guaran-
~ Fund upon ca!l Of the treasurer OF the
State Banking Board. in the order Of tAelr
issue, In Ike manner as state warrants
are paid by the state treasurer, a copy OF
said call shall be mailed under FIRST class
postage to the holder Of every SUCH GER
tihcate, at his last known postofhce ad-
dress and three days thereafter interest
shah cease upon all certificates so called
for payment. Provided, that II any such
Certificate Of Indebtedness shall be drawn
I'm payment OF a deposit for which q con-
tract rate Of interest existed between
such failed bank and such depositor, no
higher rate shah be allowed than was
provided for by said contract.
Sec. T.. Certificate Of Indebtedness Paid,
How-The State Banking Board shall,
from year 20 year levy special assessments
as hercinbefOre provided, against the cap-
tia! stock Of al banks, subject to the pro-
Visions Of this act, until such certlhcate
Of Indebtedness, with the accrued Interest
thereon, shall have been fully paid, and
until the DeposItors' Guaranty Fund shall
be restored 10 an amount equal 10 TWO
per centum Of the average daily deposits
VI said banks.
Sec. 8. Assets Of Failed Banks-How
Applied-As rapidly as the assets OF
failed banks are liquidated and realized
upon by the public examiner the pro-
lteNS lleItOI NItil Dc hppllFu uiSA olL'h
the payment of the expenses Of liquida-
ton, to the repayment to the DepositOrs
Guaranty Fund Of all money paid out OF
said fund TO the depositors. OF such failed
bank and the remainder, II any, shall be
applied by the State Banking Board to-
ward refunding any special assessment
levied by reason OF the failure OF sucn
liduidated bank, after the DepOsltOrs'
Guaranty Fund shall be restored to two
per centum OF the deposits as herelnbefore
provided.
Sec. 9. Assessment Suspended-When-
Whenever the DepOsitOrs' Guaranty Fund
shall reach an amount equal to three per
ccutum Of the average daily deposits OF
al bants subject to the provisions Of
this act. and after all deposits OF failed
banks have been fully paid and all GER
tiICates Of Indebtedness redeemed, the
state Backing Board may suspend the
vmc Of nHunl assessments as prOVld-
cd for in Section two (2), until the said
fund shall be reduced to two per centum
banks; Provided, that no annual assess
ment hcreinhcfDre levied shall be suspend
ed until notice Of such suspension shall
have been issued by the State Banking
Board to said banks subject thereto.
Sec. 10. State to Have First Lien on
Assets The state OF South Dakota shall.
Tfter the expense Of LIQUIDATION Of any
such failed bank has been paid. have a
first lien upon the proceeds OF the assets
of such ban and the liabilities Of all
stockholders, officers and directors there
OF. as wen as against all oIlpT DFfSpilS.
Hrms or corporations obligated to the said
bank. and the attorney general shall
upou request Of the public examiner. en-
force the provisions Of this section IN
TIA name Of the State Of South Dakota
for the benefit Of the Depositors' Guar r
antv Fond.
Sec II New Banks-Assessment Lev-
ie~d-How-Al banks organiZed under
the laws of this state, subsequent to the
tating effect Of this act, or less than one
wear previous thereto. shall pay into the
Deuositors' Guaranty FUND three per cert
Of the amount of their capital stock when
they open for business, which amount
shat constitute n credit fund. subject 10
adjustment, on the basis Of It's deposits.
as provided for banks established one
year o more. which adjustment hall be
commenced business, and thereafter tbs
deposit computing date Of such bank shall
b. the same as other banks subject to the
provisions of this act; Provided, saia
hree per cent payment shall not be re-
CURED OF new banks formed by the ro-
o4ganiZation OF banks which rave previ-
ously compiled with the terms of this
act.
Sec. IL. Deposits in National Banks
located in the State OF South Dakota,
ton provided for depositors in STATE
banks, by this act upon m1King applica-
ION in writing TO the State Banking Boari
and submitting its accounts and assess
10 examination DN the pubic examiner
Of this sta tie, In Ike manner as now pIJ-
vided by law for state banks. II the
pubic examiner shall approve OF the con-
dltions OF such National Bank, Its presi-
dent and secretary she'll, with the approx
al OF the boaru OF directors thereof, enter
into a contract with the Sate Banking
Board agreeing to transmit reports OF
the condition Of such bank whenever CALI
ed for by the pubhc examiner and 10 sub
nit to said public examiner, as often as
he may require, the counts and assetz
Of such bank, for examination. The said
contract shall also condition that the said
for me Depositors' Guaranty Fund, ano
In all other respects comply with and &c
subject to the provisions Of this act, reiat-
ms 10 sta.e banks, insofar as the sarrs
ere not In conflict with the laws OF the
United States; Provided, that II, after
any such cohtract shall be entered into
between such bank and the State BanA-
ing Board. the United States Congress
snail enact a law for the insurance Of ie-
p~ositors In National Bank. or II the
comptroller OF the Currency shall pro-
me provisions OF this Act, or II sucn
bank shall. Of its own v~olition, desire to
withdraw and no longer claim the pro-
lection OF the Depositors' Guaranty Fund
released by the State Banking Board
from all liability to further assessments
under this Act. and the Depositors'
Guaranty Fund shall no longer be liable
" itHSEH W allC dCUUSiAOIS vi SDCil III
but no such bank shall be released from
the conditions OF this Act or It's contract
with the State Banking Board until after
II has made application in writing and
shall have received a release In regular
form from the State Banking Boar
signed by its President and Secretary,
which shall be issued only In pursuance
OF an examination OF such bank by the
public examiner. showing the said bank
to be solvent. Provided further. that all
assessments which shall rave been paid
10 the Depositors' Guaranty Fund, by
any such National Bank, so withdrawing,
which have not been paid and are not
due to depositors of failed banks, less
ten per cent OF such assessments, so re-
naming u~nappropriated, shall be refund
ed to said bank but no such bank shall
be allowed TO withdraw until all assesse
ments levied against II as hereinbefore
provided, an amount equal to its proper
proportion of all outstanding certificat ties
OF Indebtedness, and all interest due shall
have been paid as provided by this Act.
Sec. 10. National Bank Must Deposit
Bonds-No National Bank shall be ad-
mitted to participate in the benefits of
the Depositors' Guaranty Fund for the
protection IL Its depositors, unless IT shall
State Banking Board. bonds Of the United
States, OF the State OF South Dakota, or OF
any county, school district or municipality
Of said state, In an amount equal to hve
per centum Of the average daily deposits
Of such bank, during the preceding year.
| but such bonds shall not be accepted until
after they have been examined and ap.
proved by the attorney general, wher
| they shall be listed and recelpted for In
detail by the Treasurer Of the State Bank.
ing Board The bonds so deposited may
| he replaced from time to time by othel