The Bridgeport times and evening farmer. (Bridgeport, Conn.) 1918-1924, 1920-09-01

whether of the original certificates or
of certificates issued in cases of trans
fers Of ownership, does not exceed
the number authorized. The registrar
receives the certificates as they are
issued by the transfer agent, deter
mines if they are within the author
lied limits of issue. countersigns
them, makes the necessary entries in
it's records, and returns them to the
transfer agent for delivery to the
stockholder.
The widespread distribution Of Sc
curities among thep ublfc and the
necessity for surrounding their issu-
ance with every safeguard make the
functions of the registrar a service Of
no small importance. If the corpora
ton issues it's own stock and makes
it's own transfers, the services of
competent registrar are highly des1ra-
BILE as a check against over issuance
of stock, and many corporations avail
themselves of this safeguard
The trust company is able to offer a
distinct service to the corporation in
the handling of these operations.
Oftentimes the corporation will find
the preparation of lists of stockhold-
ers entitled to dividends, the draw
ing of hundreds or thousands of
checks, and their milling at in
terest or dividend time con-
siderable burden and inconven-
considerable burden and inconven-
fence to it's clerical force. But to the
trust company, equipped with the
latest mechanical devices and with a
personnel trained in such work. these
are matters of daily routine. The is
suing corporation has then but one
check to prepare-that to the trust
com pany for the total amount-and is
thus relieved of a vast mass of detail
work
The paying agent likewise under
the direction of the corporation pre-
pares and mails notices of meetings,
proxies, and similar forms, and distri-
butes to stockholders annual or other
reports.
There is aim ost no limit to the serv-
ices that the trust department of a
well organized trust company or bank
can render to corporation.
If a corporation desires to increase
it's capital and to offer its stockholders
"rights'' to subscribe to the new stock,
the trust department can take care of
the subscriptions and delivery Of the
rights to the stockholders.
A corporation may wish to offer its
stock in exchange for the stock of
another company: such an exchange
can be put through by the trust de-
partm ent.
In the case of voluntary Hquida-
ton of a corporation. the trust de-
T partment can perform the work and
distribute the securities and cash.
When stockholders or bondholders
desire to pool their interests in a COM
nittee under an agreement relating to
some phase of readjustment or re-
organization, or to form protective
committee in the case of threa tened
insolvency, or to- create a voting trust,
the trust company can relieve such a
committee Of the physical handling Of
the securities.
In case a, corporation is reorganiz-
ing, the trust company may receive
the old securities, issue to the security
holders its receipts, and, at the proper
time, may exchange them for the new
securities. It may also act as agent
and relieve the corporations officers
and security holders Of many details
in connection with the refnancing.
The services of a trust company as
depository and agent are now a we'll
recognized necessity in any reorgani-
zatton plan
Should it be desired to hold cash,