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

be held in lne month of January of each
year as hereinafter provided, and shall
hold office for one year and until sue
cessors are elected and qualified, unless
sooner removed by the board.
All officers and employees having ac-
cess, to or care OF the funds and assets
OF the bank, must furnish a surety COM
pany BOND in the minimum amount Of
five thousand dollars (SS, OoO. O6) which
examiner before it can be accepted; and
when. the same shall nave been accepted
by the board of directors Of the bank or
trust company, 1t shall be filed with the
public No bond having been
approved and accepted as hereinbefore
provided for, may be altered, cancelled
thirty days written notice of the intcn-
ton so to alter, cancel or terminate such
bond, shall have been served upon the
public anil and no liability of any
bonding company which shall nave ac-
crued prior to the time above mentioned
Shall terminate within less than one year
after such bond shall have been cam
celled.
Sec, II. Directors Meetings-Reports.l
The board of directors shall hold at least
two regular meetings each year and these
shall be held on the second Tuesday in
January and July. or any day thereafter
within such months, to be fixed by the
bylaws, and at such meetings a thorough
examination of the books, records, funds
and securities held by the bank shall be
made by the board, or by a committee Of
the stockholders appointed by the board,
and a report prepared giving in detail all
items included in the assets of the bank
which they have reason to believe are
not of the value at which they are being
carried by the bank, and giving the value
or each OF such items as they may nave
determined. Such report shall be made
under oath and shall be recorded in the
minute book of the bank, and a duly certi-
fled copy thereof to the public
examiner within ten days.
ns Sec, - Must Report Dividends-Wheg
semi-annually, shall be declared at a
meeting of the board of directors to be
held on the second Tuesday in January,
or any day thereafter in that month az
provided by the bylaws, and if paid semi
annually, at meetings to be held in Janu-
airy and July as herein provided. y full
and complete record of the proceedings
and business of all such meetings shall
be spread upon the banks minute book;
such record shall show the disposition Of
or worthless items charged out and tho
amount Of the same, the amount Of ex-
pense charge out, the amount carried to
the surplus, if any, and the amount of
dividend declared, and shall also Indicate
the amount of net undivided profits re-
naming. Within ten days after any
such meeting, the president or cashier
shall transmit to the public examiner q
certified copy of such record.
Sec. IA; Referring to By-Laws,l Before
any bank or trust company shall be auth
orized to business, the stock
holders of such Institution shall prepare
and submit TO the public examiner for
us dppIONdl suitable bylaws lOG inc
government of the institution. If the
public examiner approves of them, he
shall file the same in his office and
notify such institution Of his approval
thereof, whereupon such bylaws shah
be adopted by the stockholders and spread
at length upon the minute book of the
meeting at which they are adopted. II
the public examiner does not approve Of
such bylaws, or any of them, he shall
notify such institution of such fact and
any bylaws not approved shall not be
adopted by the stockholders.
Upon the adoption by the stockholders
Of such bylaws, they shall be trans
cribed into a book which shall be and
become a permanent record of such in
stitution and shall be known as the
Book of Bylaws"
from time to time shall be adopted, re-
corded, and filed in the same manner as
provided for original bylaws and all of
the same shall be subject to the approval
Of the public examiner.
In all cases where a banks bylaws
provide for meetings on dates which con-
act, such bylaws must be properly
amended at the next regular annual meet
ing of the stockholders.
Sec. 10. Stock Book.1 Every bank
shall keep a stock book, which Shall at
all times during the regular hours of
business be subject to the Inspection Of
he stockholders and creditors Of the bank.
Such book shall show a fun and correct
list of the names and addresses of all
stockholders in the bank and the number
Of shares held by each.
n list Of the owners Of private banks
shall be kept in like manner. A refusal
by the officers Of a bank TO exhibit such
book to any person rightfuily demanding
inspection thereof, shall subjuct such Of
ficer to a fine Of fifty dollars. Ia all ac-
tons, suits and proceedings such books
shall be conclusive evidence of the facts
therein stated. a copy of such list as Of
date June Goth of each even numbered
year, verified by oath Of the president
be transmitted to the public examiner
Sec: 16. Stockholders Right to Vote
At all stockholders meetings., each share
Of stock shall entitle the owner of record
to one vote. A stakeholder may vote at
any meeting of the stockholders by proxy,
Sec. II. Articles May be Anended-A
bank may amend it's articles of incorpora-
ton in any manner not inconsistent with
the provisions of law, at any time, by a
vote of it's stockholders representing two
thirds of the capital stock, such vote to
be taken at a meeting called for that pur-
pose. Such amendment, certified by the
pr ssident and cashier, shall be recorded
corporation. Unless the required surplus
will permit. no increase of capital shall
be valid until the amount thereof has
been subscribed and actually paid in.
No reduction of capital shall be made to
a less amount than is required under this
valid or warrant the cancellation of stock
certificates or diminish the personal liza
bility of stockholders until such reduc-
ton has been approved by the public ex-
aminer. Such approval must be based
upon a finding by him that the security Of
the existing creditors will not be i'm
paired by the proposed reduction.
Sec. Is. Real Estate-How Acquired-A
bank may purchase, acquire, hold and
convey real estate for the following pur-
poses only:
First. Such as shall be necessary for
the convenient transaction of its business,
INCLUDING with its banking offices, other
apartments to rent as a source OF in
come.
! Provided, however, that no bank shall
invest in a banking office, furniture and
fixtures, an amount greater than forty
per cent Of the capital and surplus, as
herein provided, Of such bank.
This limitation need not apply imme-
diately to present holdings of banks now
doing business, bot they shall reduce the
book values Of such holdings at least five
per cent annually until such values are
brought within this limit.
Second. Such as shall be conveyed to
1t in satisfaction of debts previously con-
tracted In the course of it's business; pro-
vided, however, that no bank shall invest
in real estate so acquired. any amount In
excess of the, amount Of such indebted
ness; and provided further, that real
estate 80 acquired shall be disposed Of
within one year. either by gale or by be-