Brookville Inquirer, Volume 1, Number 10, Brookville, Franklin County, 8 March 1833 — Page 1

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r. 0 "f BMOOKVIJL-JLE INQUIRER.

Vol. I.

BROOKVILLE, (IA.) FRIDAY, MARCH 8, 13.33.

' NbMO.

FRINTKD AND PUBLISHED WEEKLY BY C. W. HUTCnE, At $' i advance $2,50 in six months; or $3,00 at the expiration of the year. Advkrtisements. Twelve lineg,orless,willbe inserted once or three times, for one dollar; and 25 cents will be charged for each additional insertion. BANK BILL OF THE HOUSE,

As amended in the Senate. AN ACT for the establishment of a State Bank.

Sec. 1. Be it enacted by the General Assembly of

th" State of Indiana. 1 hat there shall be and here

by is authorized and established a Bank, to be known and styled, "The Bank of the State of In

diana." to be located at Indianapolis, with power

and authority in the Directors first appointed by ibAs act to locate and establish five branches

thereof at such places as may be thought expedient, taking into consideration the public con

venience, places of the most extensive trade,

.mil where it would be most convenient for the

General Government to deposite the revenues collected within the state.

Sec. 2. The capital stock of said State Bank

and Branches shall be one million six hundred

thousand dollars, in shares of fifty dollars each, one half thereof to be taken by the State, and the other half by individuals or corporations.

Sec. 3. The Directors herein appointed, after giving thirty days notice in all the newspapers of this State, shall cause books to be opened for the subscription of stock at Indianapolis, and

at snch places as they may designate for the

location of the Branch, under the direction of

such persons as they may appoint: said books to be kept open between the hours of nine and twelve o'clock, A. M. of each day, for the space

of thirty davs.

Sec. 4. If stock to the amount of fifty thousand dollars shall be subscribed within said time

for the Bank at Indianapolis, or the like sum at

and for either of the Branches aforesaid, it shall

be the duty of said Directors, or a majority of

them, to repair to said places and examine the security offered by the subscribers of stock under the provisions of this law for the payment of their stock, and if by them deemed eufhcient, to make report accordingly to the State Bank and to the Governor of this State.

Sec. 5. If on closing the books at anyone of

said places, it shall be iound that more than eighty thousand dollars has been subscribed to

the parent bank, or any one branch thereof,

the excess shall be taken first irom such as tail to give the required securities, next from such as reside without the State, then from corporations, and should there still be any excess, the same shall be taken in proportion of the subscriptions over five hundred dollars, until all are reduced t' that n mount, and then from all equally until the whole amount shall not exceed eighty thousand dollars. Sec. 6. If a sufficient number of stock shall be taken at Indianapolis, or at any of the places herein designated, it shall be the duty of the said Directors to give notice to the subscribers to pay, in specie, upon their stock, on or before a certain day (which shall be the same day at all Mich places,) such sum as will make the whole sum paid at the Bank amount to thirty thousand dollars, and the like sum of thirty thousand dollars at each Branch, and to secure the residue r-y note and mortgage on real estate, situate in

iliis State, equal in value to the full amount of

the whole stock held by such subscriber, without deduction for the payments made; and also to :i e personal security therefor, to exist and be ti force until it shall be ascertained to the satisfaction of the Directors that the title to such real estate is good and sufficient. Sec. 7. As soon as the above provisions are complied with, and the stock shall be paid and scared as aforesaid, it shall be the duty of said Directorate subscribe on the part of the State fur an amount of stock equal to that so taken and secured by individuals, to notify thereof, and tUo to hold an election for eight Directors for dv1 parent Hank, and the same number for each et 'he Branches, to be voted for by the Slockhol l?rsof the Bank and branches respectively. c held Iheir offices until the next annual election, and it shall be the duty of the Governor forthwith to appoint five Directors for the parent Bank, and the like number for each of the brandies thereof, who shall hold their offices until iue first day of January following, which Directors, when so elected and appointed, shall meet at said Bank and branches respectively Rt such time as said Directors herein appointed shall designate, and after being sworn as hereinafter directed, receive from said Directors herein appointed, the books, papers, monies, or drafts belonging to their respective institutions; and it is herebv made the dutv of the said

Directors herein appointed to pay each board of

"rectors the amount of stock subenbed on be

half of the state in each institutions by drawing 'or the same on the said fund commissioners, the tiount paid them by stockholders, and hand oVfr all books and papers belonging to the said

"-ink and branches, respectively, taking the necessary receipts and vouchers therefor which

shall be filed with the Treasurer of State. Sec. 8. And if it shall be found on closinsr the

subscription books that the requisite sum has not oeen subscribed to the said bank at Indianapolis, the said Directors herein appointed shall de

pute any one of the Branches to be the State ;ik, and it shall be entitled to the same rights and privileges, and liable to the same duties as -"e Bank at Indianapolis would have been.

fc'-c. 9. That the mortgages to secure the paymwi of the stock as herein before directed to be taKcn, s.!,all cover property equal in value to the

oIc amount of slock without deduction from

payment made therein, of the sufficiency of j

which the said Directors herein appointed shall judge; and in making a valuation of improvements, reference shall be had to their permanency. But in no case shall improvements be valued and taken at more than twice the value of the land on which the same are situate. Sec. 10. The residue of the stock unpaid shall be paid by the stockholders respectively in ten equal semi-annual kistalments, and on failure to pay any of the said instalments suit may bebro't on the notes given therefor, and judgment for the residue of the amount of stoc k recovered with 8 per cent, damages, also the mortgage given to secure the payment of the same may be foreclosed, and the mortgaged premises sold as in other cases. The stockholders in said bank and branches shall in their private and individual capaci

ties be liable jointly and severally for the debts of the bank or branches in which they held their stock to the amount of stock held by them re

spectively therein at the time such debts were created, and the State shall in like manner be

liable for the debts of said Bank and branches,

to the amount of 6tock held by her in each,

Sec. 11. Certificates of stock shall be issued to

stockholders, signed by the President and Cash

ier, and be assignable by endorsement under

the restrictions herein provided; or such assign

ment may be surrendered and a new cerificate

obtained in the name of the proper holder, signed in like manner, and in case of transfer, the directors may release the mortgage held for such

stock and take other property in like manner

and under like restrictions therefor, in no case however 'essening the security. Stock shall likewise be subject to execution and sale as other personal property, and shall be transferred to the purchaser on the books of the bank on the certificate of the officer selling such stock, but in

all cases it shall be subject to a lien in favor of

the corporation for all debts bona Jide due the same from the owner thereof. Sec. 12. Said stock shall not be transferred unless by consent of the directors signified by permitting a transfer on the books to be kept for that purpose, attested by the cashier or president, nor shall such transfer or sale of any stock be valid until such transfer or statement of sale shall have been registered in such book; which book shall at all reasonable times during the usual hours of transacting business, be kept open to the examination of any person having in his possession any note, bill, or other evidence of

debt issued by such corporation, the payment of

which shall be refused. And in case any olticer having charge of such book shall refuse to permit the same to be examinad as aforesaid, he shall, for every such offence, forfeit the sum of fifty

dollars, to be recovered by the person to whom

such refusal shall have been made.

Sec. 13. It shall not be lawful for said corpo

rations or either of them to take a hypotheca

tion of its own stock as security for any loan or discount made by such corporation, and no person shall be accommodated with a loan while in arrear for stock or discounts had either on his

own account, or as an endorser; nor shall paper of any one pass in Bank, unless he, she or they, agree to pay up arrears to the Bank out of the

sum asked or loaned, nor shall it be lawful for said Bank or any Branch to purchase in or re

ceive in payment its own stock, or the stock of

each other; nor shall there ever be permitted any forfeiture of stock, so as to exonerate or discharge the owner thereof from the payment of all the residue that may be due on said stock.

Sec. 14. Said State Bank and Branches,when

located and organized to be, and each shall be,

a body corporate and politic, separate and dis

tinct from each other, with powor to sue and be

sued, plead and be impleaded, in any court of

law or equity having jurisdiction, and to trans

act all the lawful business herein permitted them

to do, the said State Bank by the name of 1 he

liank of the State of Indiana, and each of the

branches by the name of "The Branch of the Slate of Indiana at as the case

may be.

Sec. 15. The said bank and the respective

Branches when organized as aforesaid,shall have

power to carry on the business ot banking, by discounting bills, notes and other evidences of debt, by receiving deposites, by buying and selling gold, silver, bullion, foreign coins, and for

eign and domestic bills of exchange, by issuing

bills, and other evidences of debt, and by exercising such other incidental powers as shall be necessary to carry on such business. Sec. 16. The real estate which it shall be lawful for said Bank, and each of its Branch

es to purchase, hold and convey, shall be, First: Such as shall be required for its immediate accommodation in the convenient transaction of its business; or 2d: Such as shall be mortgaged to it in good faith by way of security for stock, loans previously contracted, or for monies due; or 3d such as shall have been conveyed to it in satisfaction for debts previously contracted in the course of its dealings, or 4th such as shall have been purchased at sales upon judgments, decrees, or mortgages, obtained or made for such debts, and the said bank or branches shall not purchase, hold or enjoy real estate in any other case, or for any other purpose. And all such real estate not absolutely necessary for the convenient discharge of its business shall be set up at least once a year at public sale, and shall be sold if the same will bring the amount of the debt, interests and costs for which the same may have been bought, received, or taken by the Bank, or the same may be sold at the option of the corporation so offering the same for sale, for the best price it will bring. Sec. 17. In the renewal of notes or other claims in favor of the Barik, the security shall never be lessened. No loan shall be renewed without payment of at least one-sixth of the a-

mount if there are other safe applications for

loans which cannot otherwise be granted.

Sec. 18. Said Bank or any branch which may not declare a dividend of six per centum per

annum upon the capital stock paid in after the

first year may be discontinued, and its affairs

brought to a close, if deemed expedient by the General Assembly, in such way and manner as is herein directed in case of an insolvent corpo

ration. And after all demands against the same are liquidated and paid the State funds therein

shall be divided amonsr the other corporations

herein created, and shall constitute a portion of

tne state stock therein, and the funds belonging

w individuals snail be paid over to them, liut

if the General Assembly shall at any time sodis-

continue the principal Bank for the cause afore'

said, or if by any other cause it shall be discon

tinued, the General Assembly shall designate

one of the remaining branches as the state or

principal liank.

oec. iv. ine liank and liranches shall re

spectively redeem with specie, if demanded, when presented within the usual banking hours,

at the liank or branch which shall have issued the

same, and a failure so to do shall entitle the holder of the notes, which shall have been so paid, to 12

per cent, per annum until payment is made. All deposites shall be paid in current money, or in money equal in value to that deposited at the

time the deposit was made, except in cases of

special deposit, which shall be paid agreeably

to the understanding had when such special de po?it was made. A failure or refusal to pay, in ei

ther case when requested so to do in banking

hours shall subject the Bank or Branches to 12

and a half per cent, on such deposits and interest until paid. The Bank and Branches, or ei

ther of them, failing to meet and pay any of its

obligations, may be closed in the manner provid edfor in this act in case of insolvency.

Sec. 20. There shall be no stay of execution on judments against the Bank, or a Branch

thereof, for notes issued, or deposites made

therein.

Sec. 21. There shall be no stay of execution

on judgments against attorneys, or other collectors or agents, holding money or property belongingto the Bank, or a Branch. Sec. 22. The said State Bank shall be respon

sible for all the debts, notes and engagements of

its liranches in manner as is herein provided in

the sixty-sixth section of this act and not other

wise, and each Branch shall be responsible for

all the debts, notes and engagements of the State

Bank ano the other liranches, m like manner and

not otherwise.

Sec. 23. The profits arising after payment of

expenses, safety fund, and reservation lor a con

tingent lund.ihail be divided between the Mate

and Stockholders according to the amount of

stock paid in by each; and in making this calcu

lation and division of profits, the State Uank

shall be independent and unconnected with the

branches, and the branches in like manner un

connected and independent of the State Bank and of each other; the dividend accruing to the State to be applied as herein directed, and the dividend accruing to the Stockholders to be divided amongst them in proportion to the amount of stock actually paid in by each, and to be carried to the credit of their stock until the same is paid up. after which it shall be paid over to the stockholders. Sec. 24. The Cashier of said Bank, and of each Branch, shall give bond with five freehold securities, in the sum of sixty thousand dollars, to the satisfaction of the Directors. Sec. 25. Said Bank and Branches shall charge and receive no higher rate of interest than six per centum per annum, but the same may according to Bank rules, be discounted and taken in advance out of the sums loaned. Sec. 20. The notes issued by said Bank and branches, shall be signed by the respective Presidents and Cashiers, and shall be payable to order or bearer: if to order, shall be endorsed by the person to whom made payable. The notes issued by the Bank or branches shall be of the same plates, and no note of a less denomination than five dollars shall be issued by the Bank or either Branch. Sec. 27. There shall be in said Bank and Branches, an account eroated in favor of the State of Indiana, to be called the surplus fund, which shall consist of the net semi-annual dividends of the profits accruing to the State on her stock, after payment of interest on the state loan, which sum shall be passed to the credit of the State, and kept and preserved as a fund to aid in paying and redeeming the bonds of the State, and to be kept in the Bank and Branches as a permanent deposit until the bonds become due. And on the amount of such surplus there shall be allowed five percent, interest per annum by the Bank and Branches respectively in which the same may be. the same to be carried to the credit of the State every six months, and added to the surplus fund, and to remain in Bank for the purposes aforesaid. Provided, however, that it shall be lawful for the State to draw out such surplus at any time to establish thereon, or to pay the State stock in any Branch herein authorized which may have failed to organize as herein required: the State in such case drawing from each a proportionate amount of such surplus. Sec. 28. That the interest accruing on the state bonds shall be paid by said bank and branches respectively according to the amount of state stock held in each, and the said branches, shall in due time pay into the parent bank their respective quotas of such interest, and said bank shall trasmit and pay over the same to the holders of the state bonds, according to contract. Sec. 29. The profits arising to the state, after redemption of the bonds, shall be devoted to the

purpose of education in each of the counties of

the State by equitable divisions according to population, under such provisions as the General Assembly may hereafter prescribe. Sec. 30. The said bank and branches shall declare semi-annual dividends. Sec. 31. Each and every stockholder may at anytime pay up the amount of his stock and release his real estate, and when so paid up shall be entitled to draw his dividend. Sec. 32. The books of said corporations shall be open during all business hours to the inspection of tne stockholders of such corporations respectively. Sec. 33. That no stockholder shall be entitled to vote for Directors, either in person or by proxy, who shall not be a citizen of this state, and, after the first election, who shall not have held his stock for which he votes for three calender months previous to the day of election; and the number of votes to which stockholders shall be entitled in voting for Directors, shall be according to the number of shares he, she, or they shall respectively hold, in the proportion following: that is to say, for each and every share not exceeding four shares, one vote; for every two shares above four shares and not exceeding thirty, one vote: and for every four shares above thirty and not exceeding ninety, one vote ; and for every six shares above ninety and not exceeding one hundred and fifty, one vote; and for every ten shares above one hundred and fifty, one vote. But no person, copartnership

or corporation, shall be entitled to agrealernum-

ber than one hundred votes. In all elections

votes may be given either in person or by proxy, but no person shall vote by proxy more than five hundred votes; and no individual stockholder who shall be a resident of the county where the

election is to be held at the time of such election, shall vote by proxy unless in case of unavoidable absence except females or minors.

Sec. 34. lhat any stockholder owning ten

shares in his own right, and not in trust, and being a citizen of the State of Indiana, may be elected Directors by the Stockholders, unless such person shall, at the time of such election, be in arrears to such bank or branches, or any instalment due on his stock, or for any debt or

demand due said bank or branch, either on his own account or as endorser or security for others, and if during his term of office any Director shall so become in arrears, or fail in business, remove from the state or cease to own ten shares of stock, it shall be the duty of the Board of Directors forthwith to vacate his seat, and appoi nt another in his place, and the act of so vacating

his seat shall be conclusive evidence of the ius-

lice and necessity of so doing. Provided, That no person shall be a Director in the parent Bank

and a Branch, or in more than one Branch at the same lime; nor shall two partners be at the same time Directors of the same bank or branch.

Sec. 35. There shall be thirteen directors for

the parent bank, eight to be elected by the stockholders thereof, and five to be elected by the General Assembly of this State as follows: three by a vote of the House viva voce, and two by a

similar vote of the Senate. There shall also be

13 directors for each branch, eight in like man

ner to be elected by the stockholders of each branch respectively, and the other five by each

House of the General Assembly in manner afore

said, all of whom shall hold their office for one

year and until their successor are chosen and

qualified. Before entenng.on the duties of his office each director shall, before some person authorized to administer oaths, take and subscribe the following oath: 44 You do solemnly swear that

you will faithfully, diligently, and impartially execute and discharge the duties of a director of the Bank of the State of Indiana, (or branch of the bank of the State of Indiana at , as the case may be,) according to law, and to the best of your ability," which oath and th' certifi

cate thereof shall be entered on the minute book of such bank or branch.

Sec. 36. No Director chosen by the General

Assembly as aforesaid shall be elected more than twice in three years, and no Director shall receive compensation for his ordinary services in Bank, except the President.

Sec. ot. JNot less than eight directors, ot

whom the President shall be one, shall constitute

board for the transaction of business: Provi

ded, That in case of the sickness or necessary

absence of the President, his place may be sup

plied for the time being, by any other Director

whom the Board may appoint.

Sec. 38. The directors elected, as soon as

mayr be after their election, shall proceed in like manner to elect one of their number by ballot to be their president.

Sec. 39. All elections by the stockholders

shall be by ballot.

Sec. 40. lhe president and directors shall

have power to appoint a cashier and such other

officers as may be deemed necessary, whose com

pensation, together with that of the president,

hall be fixed by the directors.

Sec. 41. The Directors lor the time being

shall have power to make and prescribe such by

aws, rules and regulations as they shall deem

needful, touching 1st the government of their re

spective institutions, and the management and

disposition ot its stock, business, property, state, and effects.

2. The time, manner and terms at and upon

which discounts and deposits shall be made and received in and by the same. 3. The duties and conduct of the officers clerks, and servants employed by the same; and 4. All such matters as may appertain to the concerns of said institution. Sec. 42. The President and Directors of the State Bank shall annually make report to the General Assembly on the first week of its session, setting forth the situation and condition of

i t