Pierre weekly free press. (Pierre, S.D.) 1889-19??, 1916-10-26
No. 4.

~ tSIdture * tnrOuBn the initiative anu
Approved March 18th, 1915.
No. 4.
RELATING TO BANKING AND
81. FINANCE.
Enactlng and Submitting to a Vote of
the Electors of the State a Proposed
Law, Entitled An Act Creating a stale
Banking Board and Defining the Pow
ers and Duties; Creating a Bank De-
posttors' Guaranty Fund: Authorizing
the Levy of Assessments against Bank
Stock. Providing for the liquidation of
1nsolvent Banks; Admitting National
Banks, Prescribing Penalties for Re
creant Officials; Authorizing Rewards
for Criminals.
whereas. Under the Provisions OF Sec.
h State of South Dakota, and Article 3
OF Chapter 2, of the Political Code of SAID
State, q Petition has been Filed In the
More than Five per centun of the
Qualified Electors Of the State in the
Manner and Form Therein Directed, petit
ttioning that the Following. Proposed Law
% Enacted and Submitted to a Vote of
the Electors of the State at the next
General Election, Certified Copies of Said
Petition having been Transmitted to the
SENATE and House of Representatives by
the Secretary of State.
Be 1t Enacted by the Legislature of
the State of South Dakota:
Section !. That the following Act be
end the same is hereby enacted and sub
mitted to a vote Of the electors of this
etate at the next general election to be
neld N the year 1916: for their approval
State Banking Board and Defining it's
Powers and Duties: Creating Il Bank
Depositors' Guaranty Fund; Authorizing
the Levy of Assessments against Bank
- GknaIx. 1DrnvstdtrYn fnr TIM r In ryf1n finn nf
Insolvent Banks: Admitting National
Banks; Prescribing Penalties for Re-
creant Officials; Authorizing Rewards
for Criminals.
8o It Enacted by the People Of the State
OF South Dakota.
Section 1. State Banking Board Gre
Ated-There Is hereby created a state
banking board of the State Of South Da-
state treasurer and state auditor. which
board shall have the power and 1t is
hereby made its duty. to carry out and
enforce the s. PROVISIONS " e. this act The ae
said board, n the state treasurer shall
DO ex-Off1cio treasurer of said board, and
the said treasurer h be held account
coming into his hands, belonging to the
depository guaranty fund hereinafter pro-
vlded for. The public examiner shall be
~ex-ofhcio secretary of said board and
the duties required Of him us public ex-
SEC. ~ Assessments of Bank Stock to
Create Guaranty Fund-There is hereby
levied an assessment against the capital
stock Of ach and every bank, or bank
Ing corporation. organized, existing and
conductinE = banking business under the
every bank hereafter organized or incor-
porated, under the laws of said state,
during Its continuance in business. fol-
h purpose Of creating IA depositors' guar
AntV 1llnds QInhE AQaQSamanf shall he due
And payable without notice, one per CEN
such bank within thirty days after the
On each dollar Of such daily deposits at
the end OF a and every year there
after. The average daily deposits OF eacl
s asnt ta eH1ans str ens Fl sSis nst y ssail P pa ast st
a the basis for computing the amount Of
the first payment Of the levy hereby
made.
Credit Assessments-Penalty for Fail.
tre-Within thirty days after the talk.
dng effect of this act, the cashier, Oh
e eveey p onnK %or n saars and q ao aaeh bn aae
ness under the laws OF this state
shall Irake a sworn report of the condi
ton Of such bank in tile form now pre-
acribed by law and shall Immediately Tor
ward said report to the public examiner
and shall forward a copy thereof to tn
treasurer of the State Banking Board
6dtu report SIldI ne supplemented DIV
statement under tn showing the averag
daily deposits OF ich bank for the pre-
HcedinE year, or II any shorter perio,
such bank may have been organized an,
doing business, II less than one year. Sal
statement of daily deposits shall not in
clude funds of the United States govern
ment, Otherwise secured, nor public fund
e secured tl,e s,s a ~ snd ne 81 proylsions Of any Ia,
Fund created under the provisions OF thi
act shall not be iiable for the loss OF an
such secured funds. through the failure {
report and statement. the cashier or otle
Officer in charge of any such bank sha
tpass to the credit of the State Bankin
Deposltors' Guaranty Fund as the first ii
etAllment OF its assessment. and shall fol
ward the receipted deposit tickets pre-
vided for by Section Fourteen (14). An
L bark. subject to the provisions Of this ac
who shall neglect or refuse for a period
ten days g comply with the provisions {
this section or who shall wilfully make
Under his charge. or of the amount Of Il
daily deposits. as herein required, sha
pc guilty OF 9 ~misdemeanor and upon cor
viction thereof by a court OF compete,
jurisdiction, shall be fined in a sum n,
less than $4,000 90 or more than $4,000 to |
paid Into the Depositors' Guaranty Fun,
or by imprisonment in the county Jail n,
exceeding six months, or by both sue
the court.
Sec. I. Bank Report Deposits-Bas
n Adjustment Of Assessment-One yea
after the taking effect OF this act, or
annually. thereafter. each bank doing bus
ness under the laws of this state, sha
report to the public examiner the amour
OF Its average daily deposits for the pre-
oedtng year, and, II sue deposits are
excess OF the AMOUNT upon which the la.
Myment Of the levy hereinbefore proviG
% for Or any special assessment hereir
after provided for, shall nave been con
S pnted, eac bank, having such increase
deposits. shall Immediately pay into Ii
Depositors' Guaranty Fund, IL sum suff
Client to pay. any deficiency of said la.
I payment or payments as shown by sue
increased deposits, and II the deposits {
gany such hank Ghall have decreased du
Ing any year In which such assess
ment or assessments shall a been .pait
tho excess thereof hall be refunded an
placed TO tile credit OF such bank as sha
81 entitled thereto by reason OF such de
S0roAsedsdeposits. In computing the aver
AeegdAfly deposits of any bank. there sha
~ sdAdncted5ali funds Of the United State
30OVdrnmHnt, otherwise secured, and of tn
tntS of Soltll Dakota, and of any coun
stYssor other body polite which are other
Wise secured, as provided by law, al
#theSDepoHlt0rs' Guaranty Fun shall nc
&ho llabieefOr the loss nf any such funds.
lHoc,R6 Special MISUNDERSTANDING
4i6ja-=Whenevcr. after the expiration 3