The Miller press. [volume] (Miller, S.D.) 190?-current, 1916-11-02

Fund, the State Banking Board shall issue
and deliver to each deposition having such
n ness "a af re anp e Ce dsnns;t Q Of c !nGssesde
bearing interest at the rate Of six per
cent per annum, which certificates shall
be signed by the secretary and counter,
signed by the treasurer OF said Board
and shall be negotiable; said certificates
shall be consecutively numbered and shall
be payable out Of the Depositors' Guaran-
State Banking Board. In the order of their
Issue, in like 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
t~iicate, at his last known postoffce adj
dress and three days thereafter interest
shall cease upen al certificates ticat 80 called allied
Certificate of Indebtedness shall be drawn
In payment Of a deposit for which a con-
tract rate OF interest existed between
such failed bank and such depositor, no
higher rate shall be allowed h was
provided for by said contract.
Sec. z. Certificate of Indebtedness Paid,
How-The State Banking Board shall.
as hereinbefore provided, against the cap
ital stock Of all banks, subject to the pro-
visions OF this act. until such certificate
OF Indebtedness, with the accrued interest
until the Depositors' Guaranty Fund shall
be restored to an amount equal to two
per centum OF the average daily deposits
Of said banks.
Sec. 8. Assets Of Failed Banks-How
Applied-As rapidly as the assets Of
failed banks are ~liquidated n realized
upon by the public examiner. the pro-
ceeds thereof shall be applied first after
the payment of the expenses Of liquida-
ton, to the repayment to the Depository
Guaranty Fund of all money paid out OF
said fund to the depositors Of such failed
bank and the remainder. IL any, shall be
applied by the State Banking Board to-
ward ~refundins any Special assessment
levied by reason OF the failure OF such
Guaranty Fund shall be restored TO two
per centum OF the deposits as hereinbefore
provided.
Sec. 8. Assessment Observation-Disclosures
whenever the Depositors' Guaranty Fund
shall reach an amount equal to three per
centum OF the average daily deposits OF
all banks subject to the provisions OF
this act, and after all deposits OF failed
banks have been fully paid and all GER
t~iicates of Indebtedness redeemed. the
State Banking Board may suspend the
payment OF annual assessments as provid-
ed for In Section two ~, until the said
fund shall be reduced to two per centum
of the average daily deposits of said
banks; Provided, that no annual assess
ment hereinbefore 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
faootlC. II otdlt VI OOuIn pdhOlh Sltu
after the expense Of liquidation of anv
such failed bank has been paid. have n
first lien upon the proceeds Of the assets
Of such bank and the liabilities Of all
stockholders. officers and directors there
of. as well his against all other persons.
firms or corporations obligated to the said
bank. and the attorney general shall
upon request OF the public examiner. en-
force the, provisions of this section ~
thA name OF the State OF South Dakota
for tie benefit Of the Depositors' Guar
anty Fund.
SEC II New Banks-Assessment Lev-
ied-How-All banks organized under
he laws OF this state. subsequent to the
taking effect of this act, or less than one
rear previous thereto, shall pay into the
Denositors' Guaranty Fund three per cert
OF the amount OF their capital stock when
they open for business, which amount
sha ] constitute a credit fund, subject t.
adjustment, on the basis Of Its deposits,
as provided for banks esta blished one
| Yer q more, which adjustment shall be
made one year from the date such bark
commenced business, and thereafter the
denos,t computing date Of such bank shalt
bo the same as other banks subject to til
provisions of this act; Provided, said
hree per cent avmen shall not be ia.
quired of new banks formed by the ro-
c. ganization OF banks which have prevj-
ously complied with the terms Of this
aes.
Sec. IL Deposits in National Banks
Guaranteeu-How-Any National Bank
located in the State OF South Dakota.
may secure Cor IN depositors the prolee-
tion PROVIDED for depositors in state
banks. by this act upon m,-Eing applica-
ION In Writing to the State Banking Boari
and submitting Its accounts and assess
to examination by the public examiner
Of this sta tie. in like manner as now Pr
vide0 by law for state banks. II the
pubiiS examiner shall approve of the COZ
| ditioEs OF sucn National Bank, It's presl-
dent and secretary shall, with the approx
al of the boara OF directors thereof. enter
into a contract with the Safe Banking
Board ae:eeins to transmit Reports o.
the condition Of such bank whenever CALI
ed for by the Lublic examiner and to sub
NIT to said pub.ic examiner, as often as
he may require. the accounts and asset,
OF such bank, for examination. The sad
contract shall also condition tina the said
national mnk will honor all assesssment as
for me Deoositors' Guaranty Fund, ano
SUBJECT to the PROVISIONS OF this act. reia,s
me- 10 stase banks. insofar as the Sam.
Ire not In %conriict will the laws OF the
United States; Provided. that II. after
any such contract shall be entered int1
etwee such bank and the State Balm
ing Board. the United States Congress
mall enact a law for the insurance OF ie-
| p~vsitors In National Bank. or II the
comptroller OF the Currency shall pro-
.libit such bank from awaiting itseii G.
me provisions of this Act, or ii sucr
bank. shall. OF Its own v%olition. desire to
lection Of the Deposltors' Guaranty Fund
for Its depositors, any such bank shall be
released Dy the state BANKING Board
from all liability to further assessments
under this Act, and the Depositors'
Guaranty Fund shall no longer be liable
for losses to the depositors OF such bank,
but no such bank shall be released from
the conditions OF this Act or Its contract
with the State Banking Board unit after
II has made application In writing and
form from the State Banking Board
signed by Its President and Secretary,
which shall be issued only In pursuance
OF an examination OF such a by the
public examiner. showing the said hank
to be solvent, Provided further. that all
20 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-
| manning unappropriated. shall be refund
be allowed TO withdraw until all assess
ments levied against II as hereinbefore
provided, an amount equal to Its proper
| proportion OF all outstanding certificate
| Of Indebtedness. and all interest due shall
have been paid as provided by this Act.
Sec. IS. 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 II its depositors, unless IL shall
| have deposited with the Treasurer of the
| state Banking Board, bonds Of the United
states, OF the State Of South Dakota, OF. OF
any county, school district or municipality
| OF said state. In an amount equal to five
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 a
proved by the attorney general, .wher
| they shall be listed and receipted for In
I~k~tl No thn Troo utlror NJ the Gfuta RQU