The Bismarck tribune. [volume] (Bismarck, N.D.) 1916-current, 1923-06-30
NEW LAWS GO
) INTO EFFECT
AT MIDNIGHT
Many Important Changes in
Banking, Industry, Taxa
tiOn Laws Noted
NEW APPOINTM E NTS
Supreme Court Commissioner
At $500 Per Year Is
Provided For
NEW APPOINTM E NTS


1923 legislature of North Dakota
which lacked an emergency clause
become effective on July I, the most
far-reaching of which affect bank
ing and taxation in the state.
A marked change in the banking
situation may come about through
senate bill No. 152, which will per-
nit banks in the state to consoli-
date. 1t was predicted at the time
Of enactment that within two years
more than so banks in the state
would avail themselves of the law,
reducing the number of banks and
increasing the strength of others.
Another measure provides that the
directors of bank may assess the
capital stock not exceeding 100 per-
cent for period of three years, a
measure designed to give banks an
opportunity to strengthen them
selves.
The entire method of administer
ing the affairs of insolvent banks
Nwas rewritten by the legislature.
Senate bill No. 267 provides that
given, and requested to exercise, or
- iginal jurisdiction in insolvency pro-
ceedings to liquidate and wind up
the affairs of all insolvent banks at
the time of taking effect of the act.
Supreme Court Jurisdiction
1t is provided that after July l
the state examiner shall certify to
the Attorney General list of all
insolvent or closed banks and the
Attorney-General shall institute
proceedings to have the banks de-
cared nsolvent and affairs wound
! up. The supreme court is required,
on the taking effect of the act, to
appoint Court Commissioner, at a
salary of $500 per year-the same
as supreme court justices-to whom
it may refer all matters with re-
spect to insolvent banks to hear evil
dence and make findings of fact.
The supreme court may on petition
name receivers to supercede any
receiver heretofore appointed.
The Depositors Guaranty Fund
Commission act was rewritten to
provide greater and more definite
powers in administering the fund
and supervising banks. The COM
mission is given authority to ap-
point secretary who shall receive
not more than $4,000 a year.
Much power over state banks is
Jiven the commission in the provi-
sion that "it shall be the specific
J,,%, Mt
Fund Commission to pass upon the
qualifications of each and every
bank for admission under the De-
positors' Guaranty Fund and their
Nctions shall be final, both as to i'm
mediate admission or what shall be
further required of any bank in or
der to place it in a condition salts
factory to the commission so that
it may be admitted later.
The commission may appoint two
inspectors to inquire into condition
of banks and it is made the duty
of the commission to keep SO in
formed. If the commission finds
that bank is in shaky condition it
may require that future deposits re-
ceived be set aside in trust fund
as Especial deposits" until the bank
does not meet requirements, it may
institute proceedings in district
court to have it declared insolvent.
The commission is also permitted to
determine the maximum rate Of in
terest, if above percent, that a
bank may pay on deposits. It has
been announced that the present
maximum of percent would not be
disturbed.
Taxation Law
The most far-reaching of the tax
alton laws provides that real proper
ty in the future shall be assessed
on rs percent basis, and all other
property, not otherwise specified,
on the same basis. Another law re-
peas the $500 exemption heretofore
allowed on city homes, farm equip
ment, $500 on household goods and
working tools, but all structures
and improvements on agricultural
lands, such as farm buildings, are
still exempted from taxation.
A new income tax law becomes, ef-
fective, which greatly increases the
income tax on individuals in the
state, which is expected to provide
a great portion of the states gen.
eral revenue. The tax begins with l
percent on all net incomes above
= exemptions and not in excess of $2,-
900, the exemptions being $1,000 for
unmarried persons, $4,000 for mar
ried persons, with additional ex-
emptions for children, and increased
to tax of percent on all net in
comes above $500.
A new gasoline tax law, increas-
ing the tax, also was enacted and
the inheritance tax clarified.
Levies Limited
The tax limitation law has
5 Wrought much comment throughout
tfSa state because of the severe lin.
itation it puts upon counties, cities,
villages and school districts.
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