Year: 1863

notes after presentation thereof for payment as
aforsaid, and respecting the perpetuatOn Of the
evidence OF the payment thereof, as may seem to
Sm proper; but all such notes. being paid, shall
Be cauceIled and for any deficiency in the proceeds
of the bonds pledged BY such association when dis
posed Of hereinafter specified TO rel mburse TO the
! United States the amOunt so expended IN paying
the circulating notes Of such association the United
/ States shall have first and paramount lien upon
all the assets of such assOea ton and such deficiency
shall be made good out of such assets in preferences
to any and all other claims whatsoever except the
necessary costs and expenses Of administering the
same.


! Sec. p. And be It further enacted. That when
ever the comptroller shall become satisfied as In the
last preceding section specified, that any sash assO
citation has refused to pay its circulating notes as
therein mentioned. he may, instead of eancelling
/ the United States bonds pledged by such ass0sia-
ton. as provided Ia the next preceding section
cause so muen of them as may be necessary 70 re-
deem the outstanding circulating notes Of such
sOcatOl TO be sold az public auction IL .he city Of
New York, after giving thirty day notice Of tuch
sale to such association.
Sec. %. And be it further enacted, That the
comptroller Of the currency may, if ne shall be Of
opinion that the interests Of the United States will
be best promoted thereby, sell at private sale any
of the stock transferred to him by such association
and receive therefor either money OF the eirculat-
ing notes OF such failing association Provided, That
such bonds shall be sold by private sale for less
Lu6 nor less Ludu ulA1Aeb Nlu6 Luef6OI
at the time Of sale. And provided further nat no
sales Of any such stock, either public privste
shall be complete until the traSer thereof shall have
deem maie with the formBlities prescribed in this
act.


Sec. %. And be It further enacted, Thai on be-
coming satisfied, as specified in this act that any
such association has refused to pay its circulating
notes as therein mentioned and Is in default, the
comptroller of the currency may forthwith appoint


receiver, and require of him such bond and secur-
Ity as he shall deem proper. VINO, under the diree-
tlOn Of the comptroller, shall take p0ssefsiOn OF the
books, records, and assets Of every description Of
such association, collect all debts, dues and claims
belonging to such association, aud, upon the order
Of court Of record of competent jurisdiction, may
sell or compound all bad or doubtful debts, and, on
like order, sell all the real and personal property
of such Association such terms as the court shall
direct; and such receiver shall pay all moneys
made 20 the treasurer Of the nited States, and
also make report to the comptroller Of the currency
Of all his acts and proceedings. The comptroller
shall thereupon cause notice to be given, by adver-
tisement in such newspapers as he may direct for
thre consecutive months ceiling on all persons who
may have claims against such association to present
the same ana to make legal proof thereof and from
time to time the comptroller after full provision


hall have been first made for refunding to the IN
tied States any such deficiency in redeeming the
notes Of such association is mentioned in this act
shall make ratable dividend of the moneys 50 paid
over to him by such receiver all such claims as
may have been so proved or adjudicated IL q eOuIt
of competent jurisdiction and from time to tine


the proceeds Of the assets Of such association shall
be paid over to him, he shall naked further dvid-
ends, aforesaid, all claims previously proved or
ajudicaed; and the remainder Of such proceeds, if
any, shall be be paid over to the shareholders of
such association their legal representatives, in
proportion to the stock by them respectively held;
Provided however, That If any such association,
against which proceedings have been instituted
on account Of any aIledged refusal to redeem its
circulating notes aforesaid shall deny having fall
ed to do so, such association may at any time with


in ten days after such association shall have been
notified of the appointment Of an agenE provided
in this act apply to the nearest circuit district,
territorial court of the United States to enjoin
further proceeding in the premises; and such court,
after citing the comptroller of the currency to show
cause why further proceedings should not be en-
Joined and after the decision of the court finding
of jury that such association has not refused to
redeem its circulating notes. when Legally pEesentrd,
in the lawful money Of the United States, shall
make order enjoining the comptroller, and aLy
receiver acting under his direction from all further
proceedings on account Of such alleged refusal.


Continued on third page.)