Forest City press. (Forest City, Potter County, D.T. [S.D.]) 1883-19??, 1916-11-01
nor more h three hundred dollars 4

Sec. IS. Checks-Certiaed when-It
shall be unlawful for any officer. CLERK xd OF
agent Of any bank doing as.o business INES " @no oer
der drawn upon the bank unless the per-
son. firm or corporation drawing such
s @isS the ar sank or at G the tim mas such oa 'e draft.
check or order is certified an amounI 81
money equal to the amount specified CT ard IN
such So e%es ehfski b ANY the ehe duiy a aathor Gz PROF. or
fcer shall be a good and valid oolsatloh
against such bank.
Sec; 80. Bad Debts-An debts due 10
due and unpaid for a period of six months,
unless the same are we'll secured or IN
process of collection, shall be considered
bad debts and shall be charged off to
profit and loss account. In no case shall
an overdraft of more than sixty days
standing be allowed as an asset OF any
bank.
Sec. 40. Undivided Proats-Surplus
Observation-Disclosures board of directors
of a bank may declare a dividend from
ing for all expenses. losses, interest and
taxes accrued, or due from said bank. as
they shall deem eNpedient; but before
than one-tenth of the net profit of the
bank for the preceding half year. or for
such period as is covered by the DIVIDEND;
such surplus fund shall amount to twenty
per cent of the capital stock. Any losses
sustained by any bank in excess of its
undivided 1.,, profits may 90 De + Snar its s, TO n,s
fund shall thereafter be reimbursed from
it's earnings, and no dividends shall be
d its s1sa,s Or p fsna By Shall any be such faI,y pan rest oneiI
to the amount required by law.
Sec. II. Dividends Not to be Declared.
When-No dividends shall be paid to any
stakeholder of a bank except out of the
net profits properly applicable. thereto.
and which shall not in any way impair or
diminish the capital; and If any such shall
same shall be liable to restore the full
amount thereof unless the capital be sub
sequently made good; and if the directors
the corporation is insolvent or in danger
of insolvency, or when they do not nave
good reason to believe that there are SUI
thereto. without impairing or diminishing
the capital. they shall be Jointly and sew
orally liable to the creditors of the corpo-
dends. to double the amount thereof.
Sec. AZ. Officers Liable-Excessive
Loans; overdraftswEach and every officer
personally liable for all excessive loans
made by his bank. in such amount as
such loan may be in excess of the amount
shall be the same as though such paper
was endorsed by him. but to the extent
only OF the excessive amount: He shall!
all overdrafts allowed by his bank.
Sec; 43. EnbeZzlement Punished
Penalty-Every president, director, CASH
Ter. officer, teller, clerk or agent of any
fully misapplies, or wrongfully diverts to
his W use through the use of
CATION notes or credits, any of the money
whether owned by 1T or held in trust.
or who ~wrongfully withholds payment or
remittance of the proceeds of any collen-
who without authority of the directors is
sues or puts forth any certificate of de-
post. draws any order or bill of exchange.
bond, draft, bill of exchange, Judgment
or decree. mortgage, or who makes any
false entries in an book, report or state
provided for or contemplated within the
provisions of this act. with intent in either
case cas- to injure or defraud the bank or
any officer of the bank, or any other per-
son, or anyone appointed to amir the
affairs of such bank; or any person who
clerk or employe in the violation of this
section shall be likewise guilty. and upon
conviction thereof shall be imprisoned in
than tha sf fave pr, prison odor Tor "a a period of not less
Sec. "A. Charter-How Forfeited-If the
board of directors or a quorum thereof,
ly permit any of the officers. clerks Or
employees. of the bank to violate any OF
the PROVISIONS Of this act. such directors
the amount of the loss sustained thareby:
and if after a demand made by the pub
nc they shall fail for a period
OF thirty days to make good any loss or
damage resulting from such acts, or con-
tinue such conduct, it shall constitute SUI
neie na reason for the forfeiture of the
charter OF such bank, and. it shall there
upon be the duty of the public examiner
to institute proceedings to enforce s,r.l,
forfeiture and to secure a dissolution of
it's existence and thereafter the business
and affairs of such bank shall be disposed
OF IN the same manner as herein provided
for the disposition of insolvent banks.
open for business within one year from
the date on which its charter wa issued
or any bank that has %liquidated its liza,
be deemed to have forfeited it's charter.
an 81 10 AZ nave no further legal existence.
vidually liable, equally. and ratabiy. not
one for another for the benefit Of the
OF their stock at the par value thereof
IN addition to the amount invested in such
stock: Such liability shall continue for
to the. affairs of the bank at the time
and prior to the date of the transfer. Rnt
persons holding stock as executors, ad-
persons holding stock as collateral secHr-
!ty which stock Of such Institution his
not been transferred OF record upon the
oooks tnefeoi 70 the name Of the person
or persons holding the same or where a
not been foreclosed and Judgment ens
tered thereon. shall not be personaIIv
liable as stockholders, but the assets or
trust shall be liable to the same exte ent
as the testator, intestate, ward or ner.
son interested in Y trust fund would
person pledging such stock shall 'hh he
deemed the stakeholder and Liable nndec
this section, ~ oAtue1
Sec: Is. Shares of stock-wh.n not