BANKING.
Mr. HUBBARD, from the Committee on Corporations, returned Mr. Daugherty's bill [S. 2] authorizing the incorporation of banks of discount and deposit in State. [The bill provides that any number of persons, not less than five, may form themselves into a corporation, and contains, among other provisions, the following: The amount of capital stock to be not less than $25.000, to be divided into shares of $100; no business other than necessary for the organization of the bank shall be transacted until at least fifty per cent. is paid in and a certificate of the fact filed with the Secretary of State; no bills of indebtedness in the shape or similitude of bank notes shall be issued; each director must have at least five shares of stock; fifty per cent. of the stock must be paid in before commencing business and the balance within six months thereafter; capital stock shall be held as personal property which may be increased by a vote of two-thirds of the capital, which increase shall be paid in at the time subscribed; ten per cent. shall be reserved as surplus fund page: 127[View Page 127]until it reaches twenty-five percent. of the stock dividends declared semi-annually; no portion of the stock shall be withdrawn; if losses are sustained exceeding undivided profits, no dividends shall bedeclared while it continues banking operations greater than net profits on hand; the association may be closed by a two-thirds vote of the stock, after which no dividends shall be paid or capital withdrawn until all liabilities are fully paid. The stockholders shall be individually responsible for contracts and engagements of the association.] With amendments of small importance recommending its passage.
The report was concurred in.
