The Miller press. [volume] (Miller, S.D.) 190?-current, 1916-10-26
No.
RELATING TO BANKING AND
FINANCE.

FINANCE.
A BILL For An ACT Entitled Az Act,
Enacting N Submitting to a Vote OF
the Electors of the State a Proposed
Law, Entitled An Act Creating a state
Banking Board and Defining the Pow
ers and Duties; Creating a Bank De-
positors' Guaranty Fund; Authorizing
the Levy OF Assessments against Lang y;
Insolvent Banks; Admitting National
Banks, Prescribing Penalties for Re-
creant Officials: Authorizing Rewards
for Criminals.
Whereas, Under the Provisions OF Sec
ton 4, of Article 3. OF the Constitution OF
the State OF South Dakota, and Article 8
Of Chapter 2, OF the Political Code OF SAID
State, o Petition has been Filled In the
Office of the Secretary OF State, Signed by
More than Five per centum OF the
Qualified Electors OF the State In the
Manner and Form Therein Directed, petit
tion.ng that the Following Proposed Law
be Enacted and Submitted to a Vote or
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 II Enacted by the Legislature OF
the State Of South Dakota:
Section l.. That the following Act be
and the same is hereby enacted and sub
mitted to a vote of the electors OF this
state at the next general election to be
held In the year 1916, for their approval.
AN ACT Entitled, An Act Creating n
State Banking Board and Defining it's
Powers and Duties; Creating q Bank
Depositors' Guaranty Fund: Authorizing
the Levy OF Assessments against Bank
Stock; Providing for the Liquidation OF
Insolvent Banks: Admitting National
Banks: Prescribing Penalties for Re
creant Officials; Authorizing Rewards
Be IL Enacted by the People Of the State
of South Dakota.
Section l. State Banking Board Gre
~ated-There Is hereby created a state
banking board OF the State OF South Da-
kota, to be composed OF the governor,
state treasurer and state auditor. which
board shall have the power and 1t Is
hereby made It's duty. to carry out and
enforce the provisions OF this act. The
governor shall be ex-oficio president of
said board, and the state treasurer shall
be ex-offcio treasurer of said board, and
the said treasurer shall be held account
able under his official bond for all moneys
coming into his hands, belonging TO the
depositors' guaranty fund hereinafter pro-
vided for. The public examiner shall be
ex-offcio secretary OF said board and
the duties required OF him as public ex-
aminer.
Sec. 2. Assessments of Bank Stock to
Create Guaranty Fund-There is hereby
levied an assessment against the capital
stock OF each and every bank, or bank
Ing corporation, organized. existing and
conducting a banking business under the
1--WE % Tue OLdLB OF SOutn DakOta. and
every bank hereafter organized or incor-
porated. under the laws of said state,
during Its continuance in business, for
the purpose of creating a depositors' guar
anty fund; such assessment shall be due
and payable without notice. one per GEN.
fum OF the average daily deposits of every
such bank within thirty days after the
Waking effect OF this act, and two mills
on each dollar of such daily deposits at
the end Of each and every year there
after. The average daily deposits of each
bank during the preceding year prior to
the taking effect, OF this act shall be used
made.
Sec. 8. Bank Cashier to Make Report
1Lredir Assessments-Penalty for Fail
ure-Within thirty days after the TAX
ing effect OF this act. the cashier, or
other officer In charge OF each and
every bank organized and doing bust
shall make a sworn report of the condi,
tion OF such bank In the form now pre-
scrfbed by law n shall Immediately for
yArd said report to the public exa miner,
and shall forward a copy thereof to the
treasurer OF the State Banking Board
Said report shall be supplemented by a
etatement under oath showing the average
ally deposits OF such ank for the pre-
eeding year. or for any shorter period
such bank may have been organized and
doing business. II less than one year. said
4tatement OF daily deposits shall not in
clude funds OF the United States govern
ment, otherwise secured, nor public funds
secured under the provisions of any law
o. this state. and the Depositors' Guaranty
fund created under the provisions Of this
sct not be liable for the loss OF any
secured funds. through the failure Of
such bank At the time OF making such
and statement, the cashier or other
9fncer In charge OF any such bank shall
to the credit Of the State Banking
Board az a deposit, the amount due the
Depositors' Guaranty Fund as the first In
ahmen or It's ASSIGNMENT, and shall for
ward the receipted deposit tickets pro-
ytded FOR by Section Fourteen u4). Any
cashier or other officer In charge of any
panks subject TO the provisions OF this act,
va shall neglect or refuse for a period OF
Ien days 10 comply with the provisions OF
mis- section or who shall wilfuily make q
false report Of the condition of the bank
under his charge. or OF the amount OF its
aally deposits as herein required, shall
oe guilty Ct a rn~isdemeanor and upon con.
yfctton thereof BY a court OF competent
|urtzdtcft1n. shall be fined In a sum not
less tnar s@ev W or more h 5000 90 10 be
into the Depository Guaranty Fund.
" d Imprisonment In the county Jail not
exceeding ak months. or by both such
lne snc Imprisonment In the discretion OF
The court.
Sec Bank Report Deposits-Basis
Ind Adjustment Of AsSessment-One year
after the taking effect OF this act, and
annually thereafter. ZACH bank 6Csng bugI-
hess under the laws Of this stare. shall
Pr 70 rs~ pSs ss s.snzlgsr the amount
eeding year. ans ~ ssch deposits are In
Bxcess OF fh& amount upon which the last
payment ~ the aeTy ~Ssfsinbefore proyId-
~ for o. any special assessment herein
provides for shan hare been com
Zufed. each Aank having such Increased
shall ~ssnfneStatesy pay into the
Dep9s3s0ss Ga1txntr FAn1, = Eum sufh-
10 pay any GsneaeaEY OF said kaNt
or Da grnents &s shown by such
Aeposass. anS " the deposits Of
such bank shall nave decreased dur
nent or assessments skaAi have been paid,
ne excess thereof seal be refunded and
placed 70 the credit OF such bar as shall
10 entitled thereto 1F reasDa 81 such de-
ysased deposit y eomggtlns the aver,
y deducted all funds Of the United Sta ties
otherwise secured, and OF the
IA ts or South Dakota. and Of any coun-
y r-ofhef body polite which ara other
wise secured. AZ provided by law. and
q iiaSsa Ter the loss OF any such funds
Sec. s. Special Observation-Disclosures
fon-Whenever, after the expiration OF
ne year from the taking effect OF this act.
he Depository Guaranty Fund h be-
ONE Impaired or be reduced below n
4 such banks. by reason Of payments to
sposjtors OF failed banks. the State Bank
~ Board shall q the power and II
hall BE- it, dutysto levy 2 special assess-
nent aeaInst the capital stock Of each
20 restore such impairment or re-
l1ction 10 an amount not exccetng two
'3r contum Of the average daily deposits
n said banks. but the a~ggregate Of such
Psclsi asssssmsnss shsl' o no. n , E e. c:s. ons
: ~ G~erfi6cate or indebtedness H.