Year: 1863

United States by the Secretary of the Treas
ury in pursuance of law.


Sec. $. ind be it ftrtAer enacted, That
associations for carrying OH the business of
banking may be formed by any number Of
persons, not less in any case than five.


Sec. 6. Ind be it .ftrthcr enacted, That
persons unitingto form slch an association
Shall, under their hands and seals, make a
certificate which shall specify


First. The name assumed by such associ-
alton.


Second. The place where its operations
of discount and deposite are to be carried on /;
designating the State, Territory, or district,
andalso the particular city, town, or village.


Third. The amount of its capital stock,
and the number of shares into which the
same shall be divided: which capitol stock
shall not be less than fifty thousand dollars ;
and in cities whose population is over ten
thousand persons. the capitol stock shall not
be less than one hundred thousand dollars.


Fourth. The names and places of resi-
dcnce of the Shareholders, and the number
of shares held by each of them.


Fifth. The time when such association
shall commence.


Sixth. A declaration that said certificate
is made to enable such persons to avail them
selves of the advantages of this act.


The said certificate shall be acknowledged
before Judge Of some court of record or a
notary public, and the acknowledgement
thereof certified under the seal of such court
or notary, and shall be transmitted together
with copy of the articles of association
which shall have been adopted, to the comp
trollcr of the currency, who shall record and
| carefully preserve the same in his office.
Copies of such certificate. duly certified by
the comptroller, and authenticated by his
seal of Office, shall be legal and sufficient
evidence in all courts and pl 'ces within the
United States, or the jurisdiction of the Gov
crnmcnt thereof, of the existence of such as
sociation, and of every other matter or thing
which could be proved by the production OF
the original certificate.


Sec. 7. ind be II further enacted. That at
least thirty per centum of the capital stock
of such association shall be paid in at the
time of the commencement of its banking
business, and the remainder of the capital
stock of such association shall be paid in
installments of at least ten per ccntum each
on the whole amount to which the associa-
ton shall be limited as frequently as one in
sta!lmcnt at the end of each succeeding two
months from the time of the commencement
of its banking operations, until the whole OF
the capitol stock shall be paid in.


Sec. 8. And be it .farthcr enacted, That il
any shareholder, or his assignee, shall fail to
pay any installmcnt on the stock when the
same is required by the foregoing section to
be paid, the directors of such association
may sell the stock held by such delinquent
shareholder. at public auction, having given
three weeks previous notice thereof in a
newspaper published and of general circula-
ton in the city where the association is loca-
ted, if the same be located in city, and il
not so located, then in a newspaper printed,
or of general circulation, in the county where
the same is located, to any person who will
pay the highest price thereof, and not less
than the amount then due thereon, with the
expenses of advertisement and sale; and
the excess, if any, shall be paid to the de-
linquent shareholder. If no bidder can be
found who will pay for such stock the
amount due thereon to the association, and
the costs of advertisement and sale, the
the amount previously paid shall be forfeited
to the association, and such stock may sub
scquently be sold as the directors may order.
Sec. 8. And he 1t .t3rthcr enacted, That
whenever certificate shall have been trans
mitted to the comptroller of the currency, as
provided in this act, and the association
transmitting the same shall notify the comp
troller that at least thirty per centum of its
capital stock has been paid as aforesaid, and
that such association has complied with all
the provisions of this act required to be COM
piled with before such association shall be
authorized to commence the business Of
banking, and that such association is desir-
GUS of commencing such business, the comp
trollcr shall immediately proceed, in such
manner as he shall by general rule prescribe,
to examine the condition of such association
to ascertain especially the amount of money
paid in on account Of its capital stock; the
name and place of residence of each of the
directors of such association, and the amount
of the capitol stock of which each is the
bona tidc owner, and generally whether such
association has complied with all the require
ments of this act to cntitle it to engage in
the business of banking; and shall cause to
jority of the directors and by the president
or cashier Of such association, statement
of all the facts necessary to enable the comp
troller to determine whether such association
is lawfully entitled to commence the business
of banking under this act.


Sec. 10. And be IL .turthcr enacted, That
if, upon a careful examination of the facts
so reported, and of any other facts which
may come to the knowledge Of the comp
troller, whether by means Of q special COM
mission appointed by him for the purpose Of
inquiring into the condition of such associa-
ton, or otherwise, it shall appear that such
association is lawfully entitled to commence