nuary, eighteen hundred and fifty-seven, to establish a new oank
and branches, notwithstanding the privilege herein conferred.
Sec. 112. This QCt shall be. taken and received in all courts^
and by all judges and magistrates, and other persons, as a public
act ; and all printed copies of the same, which shall be printed by
or under the authority of the general assembly, ehall be admitteid
as good evidence thereof, without any other proof whatever. .
Sec 113. There shall be created a fund, to be called tbe sink-
ing fund, which shall consist of all unapplied balances of the loaii
or loans procured on the part of the state for its stock in the state
bank, or for the purpose of being loaned to stockholders to ena-
ble them to meet their stock instalments in the bank ; the aeou-
annual payments of interest on the state loans to stockholderst
and the sums that shall be received in payment of said loans, the
dividends that shall be declared and paid by the state bank on
4he state stock, and the dividends accruing on such portions of
the stock belongii^ to the other stockholders,^ as s^II have, been
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pod for by the loaa on the part of the state, aml> which shsjl not
have been reraid by such stockholders*
Sec lrl4. The principal and interest'of .said sinking fund shall
be reserved and ^et apart for the purpose of liquidating and pay-
ing off the loan or loans^ and the interest thereon, that shall be
negotiated on the. part ot the atate for the payment of its stock in
the stale bank, and the second and third itistalments on the shades
of the other stockholders in said bank, and shall not be expended
ibr any other purpose, until said loan or loans, and the interest
thereon, and incideotal expenses, shall have been fully paid, and
after the payment of said ioan or loans, the interest and expenses,
the residue ^f siud fund shall be a permanent fund, and appropri-
ated to the caose of common school eduoation in such manner
as the general assembly shall hereafter direct.
Sec. 115. The president and directors, on the part of the state,
of the state bank, shall eonstitute a standing board of commis-
sioners of the ^sinking fund, and the president of said bank shall
be the president of the boerd, and the cashier of said bank shall
be the derk of said board. They shall have the superintendence
and management of said fund under such povTers and restrictions
aa aie conferred or imposed by this act, or the legislature from
time to- tinne shall, prescribe. It shall be the duty of said board to
loan all moneys belonging to said fund, and examine the title to
all real estate mortgaged to the state-to secure the loans made by
the mate to the stocSlmidera in the stale bank, and the loans, u.'stde
by said board of moneys belonging to said fund ; to ascertain and
determine the value of such reab estate; to take the necessary
bonds and mortgages to secure the payment of any such loaiu
and the interest thereon ; to receive and coUect the amount due of
the principal or interest of any such loans rand in the examina-
tion of the title to veal estate, fixing the value thereof and the
amount for which it is to be nxurtgaged, the amount of the loan,
its duration and rate of interest^ the nature of the mortga^,
the restoring, cancelling, or foreclosing thereof; and in tne
making and collecting any of said loans, with the interest thereon,
the said board shall be governed in all respects. by the provisions
of the several acts authorizing the loaning of the seminary funds;
except oo loans made by the state to stockholders in the state
bank, the time for the payment of the principal and interesi
oC said loaBs shall be regulated by this charter. The said board
shall receive and coUect from the state bank the semi-annual divi^
dend that shall be declared on the state stock, a^d on such por-
tions of the stock of other stockholders as shall have been paid for
through the medium of tlie state loab, and which shall not have
been repaid by such stockholders to said board.
Sec. 116. ]^ shall be the duty of said board to see that the in-
terest is proiaptly paid on the state loan or krans made fiur the
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payment of its stock, or that of the other stookhoMers, in thcf ^mH
hank ; and for this purpose, they shall have the right to ooromaiHl
the services of the president and directors of the state bank, free
of charge, to pay the same ; and it shall be the du^ of said bank
to pay said interest on. said loan or loans, when required by said
board, the said bank to be reimbursed; for the amount of inteiQat
4ius paidy by said board, and all exchange and expenses actually
incurred*:
Sec« 117. Said board shaH make all aeoeeaary arrangemeiito
for meeting any legal charges or requisitiona oo said madt and
pay and discharge the same in the manner prescribed by k^«
They shall keep in a book, to be provkied for that purpose, fiill
aceoaots of all their acts and prooeedinga, and an acoouiU shall
be kept showing in detail the receipts, loans, and disburaemenls
of said fund ; separate books shall be kept, m which shall be ea-
tered the amount of the receipts of dividends on the state stock
in the bank, aud on account of each stockholder that is required
to be paid to said board ; and after the payment of the iaunesi
due CO the loan of any such stockholder to the state* out of said
dividends; or otherwise, the residue of such dividcods^hall be
applied to the payment of his loan, and shall be credited on his
bond and mortgage by said board ; and wlien sudi bond and
mortgage shall be satisfied by said dividends, or. other wise^ the
same shall be canedled« and (be bank dividendsim the stock of
such stockhoMer shall not be paid to said boards but to the owner
of said stock.
Sec 118. The said board shall annually report to the IcfpdtL*
ture, during the first week of its session, giving a fill! and d^uied
statement of the operations and situation of nid &nd.
Sec. 1 19. The president and commissioaers of said board, the
clerk and all its i^nts, shall each, before entering on theirdutie^
take an oath or affirmation, faiihitkly to discharge the duties «•»
s^ned ihem, a certified oopy of which shall be filed in^he offiee
<^the treasurer of state. The said president, commi8SMiDen« aod
clerk, shall severally give a bond to the state of Indiana^ with
such securities as shall be approved of by the governor^ to tke
sum ot* fifty thousand dollars, eoq<fitioned for the fottbiul peifor-
maoce of the duties of thehr <rf{ice, the amount of whieh boads
may be enlarged from tinr>e to time, or one or more additiooal
bonds required, as the l^islature may require, whioii bonds
shall also be filed in the office of the treasurer of state.
Sec. 1120. The said commissbners, for each and every <lay
they may be necessarily engaged in the discharge of the doties
of their office, shall each be allowed two dollars per day : and
they shall make such allowance for the services oif their chsfa
and agents as shall be a fair and reasonable compensatioa thte^
for, which suoiSr with the inoidental expenses for s(aH<mtry^ dsc
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fbt fliud board, shall be paid out of said fundf and an aoooant
thereof be embraced in the annual report of said board. Tber
legislature reserves the right of changing the amount of the com-
pensation of any of the officers in this nection mentioned, other
^n that of the president.
Sec* 121. The board of commissioners of the sinking fond
shall bo authorized to employ, as agents, the directors on the part
of the state, in any of the branches, for the purpose of making
and securing any Joan, or to collect the same or the interest
thereon, or the dividends coming to said fund from any branch, of
whtdi agents are directors, the said board being responsible foi^
the acts of said agents.
Sec 122. This act shall be in force from and after its j)a88age^
N. B. PALMER,
Speaker of the Shuse of Representatives.
DAVID WALLACE,
President of the Senate^
Approved 28th January, 1834.
N. NOBLE.
An act amendatory of an act entitled "An act establishmffai
hank^ approved January 28, 1834.
Sec. 1. Be ft enacted by the Oeneral Assembly of the State of
Indiana^ That the president and directors of the state bank of
Indiana, shall be authorized to increase the capital stock of any
of the branches of said bank, by individuat subscriptions, to an
amount by which the capital of each shall not exceed two hun-
dred and fifty thousand dollars. The additional capital to h6
made at such periods, and in such sums as the president and di*
rectors of the state bank shall deem best calculated to promote
the interests of the state, and the tvelfare of the institution. The
subscription and payment of such additional capital to be undet
the direction of the parent board, except that tne state shaH not
be required to furnish any means for payment of such stock s
Provided, however. That the state may subscribe for and take
one half of said additional capital on the same conditions as here^
tofore, except that the same shaH be paid in at the time the indi-
vidual stocK is paid for.
Sec. 2. That the president and directors of the state bank may
from time to time authorize the several branches, or any of them,
to extend their discounts to an amount, the average of which for
each fiscal year shall not exceed two and a half times the capital
stock actually paid in ; and for this purpose the debts due to
them exclusive of deposites and cash balances in other banks
and branches, may be extended to averagis as aforesaid^ twice
toA one half the amount of the capital actually paid in, but shall
21
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188 HOUSE DOCUMENTS.
never exceed that proportiont aod never shall exceed three timet
tbo amount of the capital actually paid in» at any one iimt ; the
power being «till reserved by the state board of restricting the
branches in their discounts to once and a quarter tlie amount ik
capital paid in : Providedf tuncever. That the state reserve the
right of repealing or amending this section, at the session com*
meocing December, 1839, and also at the session commencing ia
Decenaoer, 1845
Sec. 3. That the president and directors of the state baxik may
empower any of the branches at their own expense, to open books
for the tranfiffcr of their stock in any of the cities of the United
States ; and any such branch may authorize transfers of any por-
tion of its stock, without lien or restriction, on which the state
has no lien on said books ; which books shall be kept open for
public inspection, conformably to the provisions of the 28th sec-
tion of the act of which this' is amendatory, and such transfers
shall be regularly ceniiied to the statp bank according to the
charter.
Sec. 4. It shall be lawful for the state bank and branches, in
the computation of interest or discount, to charge according to
the standard and rate set forth in *' Rowlefs Tables ;" ai2l in
computing the time which a note has to run to reckon the daye
inclusively.
Sec 5. The directors on the part of the state in each branch,
shall be appointed by the president and directors, on the part of
the state, of the state bank*
Sec, 6. That the trustees of any congressional township in
this state, by their clerk, on the last day of April or October, in
any year, (or if such day be Sunday, then on the day previous,)
may subscribe for stock in any branch of the state bank, with the
consent of the said branch, which shall be so far a creation of
additional capital in said branch, to be considered as part of the
additional stock herein first provided for ; and shall be rated at
the same amount per share as the original shares, but the whole
amount of the subscription shall be paid on subscribing : on which
tlie dividend shall be semi-annually apportioned in common with
the other capital ; and to be payable to the treasurer of such
township, and certificates of such stock shall be issued accor-
dingly. The said stock to be put on the footing of state stock io
every particular, as to responsibility. The same not to be taxed :
Provided^ however, It shall not be lawful for &uch trustees to sub-
scribe for such stock, unless the majority of the voters, at any
annual election for a trustee, shall, by a majority of all the votes
given at such election, determine that such stock be taken ; which
determination shall be evidenced by the voters writing on their
tickets the words '' bank stock."
Sec. 7. That any branch or branches shall be authorized to
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HOUSE DOCUMBNTS. IM
oootraot with foeh board or officers as the itate may emp owei ,
for the receipt and disbursement of any deposite of pid>lic fimdi
by the state, and for the interest to be paid thereon> subject to the
approval of the board of directors of the state bank.
Sec. 8. It shall not be lawful for the bank or any branch thereof»
to buy at a greater rate of discount than six per cent per annum,
any promissory note» or inland bill of exchange, made by any
person or persons, who, as either principal or endorser, shall havet
within one month previouslyy ofiered any note or bill for diaoooot,
and whicii bill or note has been- rejected or not discounted.
Sec. 0. That the counties of Elkhart and Kosciusko be incite
ded withm the 12th bank dbtrict of the state of Indiana.
Sec. 10. That the directors of the state bank are hereby bu»
thorised, should thev deem it expedient, to locate the tweiith
branch of the state bank on or before the first day of July neit*
at soch place within said district as they may deem expsdient,
whu:b said branch may be organized immediately thereafter, any
thing contained in the third section of the bank charter to tm
contrary notwithstanding.
Sec. 11. Bdbre any of the foregoing amendments shall have
the effect of law, the consent of the branches and state bank
thereto, embracing all of said amendments, shall be given ao«
cording to the provisions of the 108th section of the charter ; evi«
denoe of which assent shall be filed by the state bank in the office
of the secretary of the state, and a record thereof shall be made
in said office ; and the same from such filing shall be taken and
considered as a part of the charter of said bank.
CALEB B. SMITH,
Speaker of the House of Representatii)e$.
DAVID WALLACE,
PresiderU of the SemUe.
Approved, January 35, 1880.
H. NOBLE.
BANK OF TENNESSEE.
An act to establish a State Bank, to raise a Fund for hiermd
bnprwement, and to aid in the estMishmeM of a sysiem €f
mm
Edti
ucatton.
SmcnoM h Beit enacted by the General Assembly of the SUtU
of Tennessee^ That a bank shall be and is hereby established in
the fiame and for the benefit of the state, to be known under tb»
nanne and style of '*The Bank of Tennessee," and the &ith and
credit c^ the state are hereby pledged for the support of the said
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144 HOUSE DOCUMENTS.
bonk, and to supply any deficiency in the funds hereinafter spooi*'
ficaily pledged, and to give indemnity for all losses, arising from
such deficiency.
Sec. 2. Be it enacted, That the capital cf said bank shall be
five millions of dollars, to be raised and constituted as follows :
The whole of the common school fund* wheiher the same is vest-
ed in stock in the present banks in the state, or in the hands of
the superintendent of public instruction, or in the bands of the
(bounty agent or other persons, except so much as may have been
vested in any works ol internal impnivement, as well as the pro-
eeeds of the Ocoee lands, shall constitute a part of the capital of
the Bank of Tennessee ; the surplus revenue, on deposite with the
state, together with the unexpended interest thereon, shall also
C6nsiitute a part of the stock of said bank ; and in addition to
these amounts a sum shall be raised in specie, or funds converti-
ble into apede at par value, on the faith of the state, sufficient to
make the whole capital five millions of dollars : Promded^ That
if the fourth instalment of the surplus revenue apportioned under
the act of Congress, approved 23d January, 1836, should be de-
posited, with this state, the amount received shall be added to, and
aonstitute a part of the capital of said bank, and be an addition to
the capital stock of five millions of dollars above specified : Pro*
vided further, That the stock owned by the state in the Uniofh
bank shall not constitute any portion of the capital of the Bank of
Tennessee.
Sec. 2, Be it enacted. That the money belonging to the com-
mon school fund which may now be in possession o? the superin-
tendent of public instruction, or which may hereafter come into
his possession, shall be handed over to the president and directors
of the Bank of Tennessee as capitol in bank, and said president
and directors, or a majority of them, shall be authorized and re-
quired, for and in behalf of the state, and with a pledge of the
public faith and credit, to issue to the superintendent aforesaid,
state stock or, certificates of debt for such sum or sums as may
be from time to time paid over by the said superintendent to the
said president and directors ; and the governor of the state, the
comptroller of the treasury, and the superintendent of public in-
struction, shall dispose of the stock, in any and all the banks of the
Btate, belonging to the common school fund, whenever the sanie
eaa be sold at par for specie, or funds convertible into specie at
par value, and pay over the proceeds to the president and direc-
tors of the bank, who shall issue certificates of stock to the super-
intendent of public instruction as aforesaid t Promded, That any
dividends on the same which shall not be declared at the time erf
the sale, shall not be sold with the stock, but the same shall be re-
ceived by the superintendent and paid over to the president and
directors of the bank, and shall constitute a part of the contingeDt
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food, la meet the annual or 8emi*annual liabilitiss ttf the hank* as
ahail also the interest and diVidends which may hereafter arise on
any porttoo of the capital of the school fund, before said capital is
pM over to the president and directors of said bank ; and in like
manner the superintendent of public instruction, shall pay over
the proceeds of the sak) of the Ocoee lands as they are received,
and take certificates of stock : Provided, That il a system of com-
mon schools shall be adopted and put into operation by the pre*
sent general assembly, the funds which may accrue after the vear
1887 for the benefit of common schools, from the bonusses of the
jNnesent bank8,and bonusses and dividends arising from other incor«
porate companies, and from privileges, fines, penalties and taxes^
shall constitute part of the annual fund of distribution by the su^
S^rintendent, and shall not be subscribed in stock in the state banL
ut shouM a system of common schools not be adopted as afore*
said, the sakl funds to be vested as stock in said bank until other-
wise directed by the general assembly.
Sec. 4. Be it enacted, That it shall be the duty of the comp<>
troller of the treasury, to draw from the Union bank, the Planter's
bank, and the Farmers' and Merchants' bank, the amount of the
surplus federal revenue, now on deposite with said banks, in two
yearly instalments : the first instalment to be drawn on the first
day of January, 1839, each instalment to be drawn in specie, at
par value ; and as soon as each instalment is received, he shall
Cy over the same to the president and directors of the state
nk, and receive certificates of stock, which shall be kept by him
for the benefit of the state : Provided, That if the said hanks or
either of them, shall fail or refuse, upon demand made as aforesaid,
to pay over the surplus, or any part which may be demanded at the
thnea aforesaid, then the comptroller shall direct suits to be insti-
toted, by the attorney general of the state, for the amount so with-
held, together with the ten per cent authorized by the charters ;
and QntU such instalments are demanded^ the present banks shall
hold the surplus at the rate of six per cent per annum, payable
half yearly, and the interest so accruing shall constitute part of
the sinking fund hcreitiafter designated.
Sec. 5. Beit enacted. That it shall be the duty of the governor
of the state, on behalf of the state, to execute the bonds of the
state ior two and a half millions of dollars, which bonds shall be
signed officially by the governor, and countersigned by the secre-
tary of state, with the seal of the stale affixed, and payable thirty
years after date, to the president aud directors of the Bank of
Tennessee or their assigns, bearing an interest not exceeding six
p^ centum per annum, which shall be payable semi-annually at
the office of the treasurer of Tennessee, or at such other places
within the limits of the United States, as the president and direc-
tors may select, which said bonds shall be delivered to the presir
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dtnt aad iRreotors of nid bank : Pnmded^ The goveniof thill
execute said bonds, of any amount not less than one thousand
dollars each, and payable in such denomination of money as the
president and directors may require, which bonds, and al«o those
hereafter directed to be issued to pay lor stock in internal itnpTOT&-
ment companies, shall be made payable to, and be sold and dis*
posed of by the president and directors of said bank, for speob,
or funds convertible into specie wilhoat loss, and shall not be told
at a discount. And whenever any state bonds may be issued for
the benefit of any internal improvement company, as hereinafter
directed, the governor si'iall deliver them to tlie president and di«
rectors of the bank, and the full amount thereof, at their nominal
value, when the proceeds are received by the bank, shall be placed
to the credit of the company, for whose benefit such bonds may
have issued. And any premium for which such bonds may be
soldi shall ensure to the benefit of the state : Promded^ That i^
at the end of ninety days after any bonds may have been delivered
to the banks, such bonds have not been sold at par, as herein pro-
vided for, then the president and directors of the bank shall, oq
application of the president and directors of the internal improve*
ment company, for which such bonds were issued, deliver the
same to them, upon their securing them in payment of the stale
subscription at their nominal value, or the said president and di«
rectors of the bank, may, at their election, pay such internal im*
provement company, the amount of such bonds, at their nomkud
value, and retain the same, to be kept or disposed of for the
benefit of the state.
Sec. %. Beit enacted^ That immediately after the location of
the principal bank and branches, the governor of the state shall
nommate and appoint twelve persons to act as directors, more
than one-third of whom shaH in no case be merchants ; and which
Domination and appointment, shall be subject to confirmation, or
rejection, by the general assembly, and the twelve persons to
nominated and confirmed, shall constitute the directors, one of
whom shall be the president, who are hereby incorporated and
made a body politic and corporate, by the name and style of
"^ The President and Directors of the Bank of Tennessee," and
shall so continue until the first day of January, 1888, and by
that name shall sue and be sued, plead and be impleaded, and they
are hereby made able and capable in law, to have, receive, par*
chase, enjoy, and return, to them and their successors, lands, renta,
tenements, hereditaments, goods, chattels, and efl^ts, of what
kind, nature or quality soever, and the same to sell, grant, denute,
alien or dispose of, and also to make, have, and use a comnKMi
seal, and the same to break, alter and renew at their pleasure^
also to ordain, establish and put in execution such by-laws, ordi-
nances and r^alations, as shall seem necessary and cbnvenitnt for
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HOUSE DOCUMENTSL 191
&e govermneiit of said corporatioii» nol being contrary to the lawt
and constitution of the state, or of the United States.
Sec 1. Be it enacted^ That the president and directors as
elected, shall continue in office for two years, and until their suc-
cessors are nominated and confirmed as aforesaid.
Sec 8. Be it enacted^ That of the dividends which shall bo