Custer weekly chronicle. [volume] (Custer City, S.D.) 1890-1931, 1916-10-28

thousand dollars shall Increase their cap
ital to not less than ten thousand dollars
and such further amounts as are naces-
sary to comply with the foregoing require
ments as 10 capital and populations, wnsu.
ever their deposits average ten tines
their capital stock and surplus for Q
period OF SIX months and provided fur
ther, that no bank shall receive deposits
in excess Of fifteen times its capital and
surplus, the same to be determined bT
the average Of its deposits for six months.
Sec. g. Articles of Incorporation-Con
tents The person so associated shal
make sign and acknowledge written ar.
ucles Of Incorporation containing:
First. declaration that they associate
corporation or trust company under this
act
Second. The name Of sucn bank, which
name shall be in no material respect sim
iiar to the name of any other bank in
the same county.
Third. The name of the particular
town and county where such bank Is ie-
Gated.
Fourth, The amount of capital stock,
which shall be divided into shares Of ons
hundred dollars each
Fifth. The names and places OF resi-
dence OF the shareholders and the num-
Der OF shares held by each.
Sixth. The period for which such panA
is organized, not exceeding twenty years,
and the date on which il shall commence
and terminate its corporate existence
seventh. The names and places of resi-
dence of the several officers and di-
rectors, and the number OF shares of the
capital stock OF such corporation owned
and held by each of such officers and
directors.
Sec A. Filing Articles-certified
Copies. Such original Articles of In
corporation, verified as such, by the af-
fidavit of two of the sgners thereof shall
be recorded in the office of the register
OF deeds in the county where such bank
is 10 be established and Immediately after
being recorded thew ed
to the Secretary Of State who shall re-
cord and file the same in his office.
A like verified copy of said Articles OF
Incorporation certified by the register Of
deeds OF the county where such bank V
to be operated, shall at the same time
be forwarded to the public examiner.
Sec. 5. Power of State Banks. Upon
making and filing Of Articles OF IncoT.
poration as required by section four Of
this article, and the receipt of authority
from the public examiner to commence
business, the bank shall become a bodY
corporate and as such shall have the toE-
lowing powers:
First. To make all contracts necessary
and proper to effect it's purpose and soa-
duct its business.
Second. To sue and be sued. to appear
and defend in all actions and proceed
ings under it's corporate name to the
same extent as natural person.
Third' TO have a common seal ana
alter the same at pleasure.
Fourth. To elect or appoint all neces-
sary officers, agents and servants, define
their duties and obligations. fix their
compensation, dismiss them, fill vacancies
and require bonds.
Fifth. To make, amend and repeal by
laws and regulations, not inconsistsn<
with the law or Its articles of incorpora-
ton, Tor It's own government, for the
orderly conduct OF it's affairs and ths
management OF Its property. for determin-
ing the manner of calling and conducting
its meetings, the tenure OF office of IL
OffiHarGs n "a
be necessary or convenient for the ao-
complishment OF its purpose.
Sixth. To exercise. by its directors,
duly authorized officers, or agents. all
such powers as shall be usual In carry
ing on it's business OF banking; by buying,
discounting and negotiating promissory
notes, bonds, drafts, bills OF exchange,
foreign and domestic, and other evidences
OF debts; by receiving commercial and
savings deposits under such regulations az
1t may establish; by buying and selling
ing exchange. foreign and domestic; issu-
ing letters of credit, and by loaning
money on personal and real security, as
provided hereinafter.
No bank shall transact any business, ex-
cept such as is incidental or necessarily
preliminary to Its organization, until IL
has been regularly authorized by the
public examiner to commence the busi-
ness of banking.
Sec 7. Minute Book to be Kept.l A
complete record showing In detail the
nature of all business transacted as con-
remplated by the provisions of this section
and Of all meetings OF subscribers for
stock and officers, and directors shall
be kept in the minute book of such bank
and form a part OF the permanent records
OF such institution.
Sec. s. Subscriptions TO stock-How
Taken.] The subscriptions to capital
the corporation prior to the election Of
directors shall be in conformity with the
statute relating to corporations regulating
such matters. so far as the same may be
applicable.
Sec. g. Certificate Of Authority--whsn
Granted.l Whenever Articles OF Inoor-
poration are filed with tho public exam
iner. as herein provided, and the bank
transmitting the same notifies the public
examiner that It's capital stock has been
duly paid in, In cash, and that such ba nh
has complied with all the provisions Of
this act required before the bank shall
public examiner shall within thirty days
examine into the condition Of such bank,
ascertain whether or not the capital has
residence Of each Of its directors, and
whether such bank has complied with all
OF the provisions OF the law required to
entitle 1t to engage in ths business Of
banking. IL, upon such examination, 10
appears that such bank Is lawfully en-
titled to commence business, the public
examiner shall forthwith give to such
official seal, that such bank is authorized
to commence business IL the public OK
aminer has reason to believe that the
stockholders have formed the same for
contemplated by this act, he may. with
the ad vice and consent OF the attorney
general, withhold the certificate herein
provided for, and 1t is further provided
that The public examiner may withhold
the Issuance of such certificate to a bank
seeking to engage in business In town
which IN his Judgment does not Justify or
where It is evident that the application
for a charter and certificate Of authority
TO do business is prompted by malicious,
speculative, or any other than honorable
motives
Sec. 10, To Publish Certificate Of
Authority.l The bank shall cause the
certificate of authority as herenbefors
provided for and issued hereunder to be
published in some newspaper, printed ia
the town where such bank Is located,
within ten days after receiving the same.
If no newspaper Is published in such
town, then such publication shall be made
in one published nearest thereto. Proof
OF such publication shall be made and
executed under oath by the publisher on
appropriate blank for that purpose and
the same shall be filed with the public
Sec IL ors-Officers--Duties Of
The affairs and bust.
ness o.s of b bank shall shall Be managed and
five directors, a majority of whom shall
be residents OF the State OF South Dakota
and shall be elected by the stockholders
at their regular stated annual meetings.
which shall be held on the second Tues
day, or any day thereafter, in January OF
each year, as provided in the banks by
laws. Provided, that not less than three
of the directors of bank shall reside
within the immediate county in which
such bank is located, or In counties ad-
Joining such county. within the state Of
South Dakota.
No person shall be eligible TO serve as
listing under the laws Of this state, un-
less he shall be a bona fide owner OF
at least five shares Of the stock of such
bank, fully paid for and not hypothecated
Any vacancy in the board OF directors
shall be filled by the board, and any di-
rector so appointed shall hold office until
the next annual election.
Any director, officer, or other person
who shall participate in any violation OF
the laws Of this state relating to banks
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