Certain paper not considered borrowed money What real estate bank may purchase, hold, or convey of state banking board the written consent of the state bank examiner, but the discount of bills of exchange drawn in good faith against actual existing values, as collateral security, and a discount or purchase of commercial or business paper, actually owned by the persons, shall not be considered as money borrowed. SEC. 3. Section forty-one of an act entitled "An act to regulate banking and other matters relating thereto, is hereby amended so as to read as follows: Section 41. A bank may purchase, hold, or convey real estate for the following purposes: first, such as shall be necessary for the convenient transaction of its business, including its furniture and fixtures, but the real estate shall not exceed forty per cent of its capital and surplus; second, such as shall be conveyed to it in satisfaction of debts previously contracted in the course of its business; third, such as it shall purchase at sale under judgment, decree, or mortgage foreclosure under securities held by it, but shall not bid at any such sale a larger amount than is necessary to satisfy its debts and costs. Real estate shall be conveyed by an individual banker as in other cases, or under the corporate seal of the bank, and the hand of either its president, vice-president, or cashier, approved by a resolution of its directors. No real estate acquired in the cases contemplated in the second and third subsections above shall be held for a longer time than ten years. It must be sold at a private or public sale within thirty days thereafter. SEC. 4. Section forty-nine of an act entitled "An act to regulate banking and other matters relating thereto, is hereby amended so as to read as follows: Section 49. The Nevada state banking board is continued Composition and shall consist of the governor, who shall be ex officio chairman of the board, and of four other members, who shall be appointed by the governor, at least two of whom shall be practical bankers and actually engaged in the banking business in this state; but no person shall be eligible to act on said board who is an officer or employee of any national bank. They shall hold office for the term of two years, unless sooner removed by the governor, and shall qualify by taking and subscribing to the constitutional oath of office, which shall be filed in the office of the secretary of state. Said board shall meet at the capital at least four times each year and at such other times as the governor, the examiner, or any two members of the board shall request. The members so appointed shall receive ten dollars per day for their services while engaged in the performance of their duties, and shall be entitled also to their traveling and other necessary expenses incurred in the performance of their duties. Said board shall have, in connection with the examiner, supervision and control of banks and banking in this state, and no persons, firms, associations, or corporations shall be permitted to engage in the banking business in this state save in compliance with this act. Meetings Compensation Powers of board CHAP. 227—An Act providing for the incorporation of domestic building and loan associations, the licensing of foreign building and loan associations, the examination and regulation of all building and loan associations doing business in this state by the state bank examiner, and other matters properly connected therewith, and repealing a certain act. [Approved March 24, 1915] The People of the State of Nevada, represented in Senate and Assembly, do enact as follows: building examiner to SECTION 1. Building and loan associations organized for the Concerning purpose of raising a fund by the collection of dues or stated and loan payments from their members to be loaned among their mem- associations bers may be incorporated under the provisions of the general corporation law of this state; provided, however, that the secretary of state shall not issue a certificate of incorporation to any such association, authorizing it to do business in this state, until the articles of association or agreement shall have been approved by the state bank examiner; and all the rights, priv- State bank ileges, and powers, and all the duties and obligations of such have supercorporations, and the officers and stockholders thereof, shall vision be as provided in said general corporation act, except as in this act otherwise provided. In addition to the other facts required to be stated, the articles of incorporation of such companies shall state the terms and plans of becoming and continuing a member, and of withdrawal, the plans of making loans, distributing profits, equalizing losses, providing for expenses, and of providing a fund with which to pay losses, and the maximum compensation of officers. is deemed SEC. 2. The capital named in the articles of incorporation Capital, what shall be taken to mean the authorized capital, and the association may commence business when five per cent thereof is subscribed and the other requirements of this act have been complied with. such cor SEC. 3. Any such corporation shall have power, subject to the terms and conditions contained in the articles of incorpora- Powers of tion and by-laws, to issue stock to its members; to assess and porations collect from its members reasonable membership fees, dues, premiums, and fines; to permit its members to withdraw any and all of their stock deposits upon equitable terms; to hold and convey such real and personal property as shall be necessary for its accommodation and the transaction of its business, such as shall be mortgaged in good faith by way of security for debts duly contracted, such as shall be conveyed to it in satisfaction of debts previously contracted in the course of its dealings, such as it shall purchase at sales under judgments, decrees, or mortgages held by it, or shall purchase to secure debts due to it; to make loans to its members upon ample real estate security, unincumbered except by prior loans from the association, or upon the stock of such association to the extent Officers to give bonds may repay time; stock 30 days notice of its withdrawal value; to make annual or semiannual distribution of its earnings; and to do all other things that may be necessary to effect its purposes and conduct its authorized business. SEC. 4. The treasurer and secretary, before entering upon their duties shall give good and sufficient bonds for the faithful performance of the same and for the safe-keeping and proper application of all money or property coming into their hands, and the same shall be approved by the board of directors. All such bonds shall be increased or additional surety required by the board of directors when the same becomes necessary to protect the interests of the association or its members, but no directors shall be accepted as a surety on such bonds, and the directors shall be individually liable for loss to the association or members caused by their failure to comply with the provisions of this section. SEC. 5. A borrower may repay a loan at any time upon Borrowers duly complying with the provisions of the charter and by-laws loans at any in relation to the payment of loans; and any stockholder holders may wishing to withdraw from the corporation shall have power to withdraw on do so by giving thirty days notice of his intention to withdraw, when he shall be entitled to receive the amount paid in by him and such interest thereon, or such proportion of the profits thereon, less all fines and other charges, as the by-laws may determine; provided, that at no time shall more than one-half of the funds of the treasury of the corporation be applicable to the demands of withdrawing stockholders without the consent of the board of directors, and that no stockholder shall be entitled to withdraw whose stock is held by the association for security. Upon the death of a stockholder, stockholders his legal representatives shall be entitled to receive the full amount paid in by him on all shares not borrowed upon or pledged to the association as collateral security and legal interest thereon after deducting all charges that may be due on the stock; but no fines shall be charged to a deceased member's account from and after his decease, unless the legal representative of such decedent assume the future payment of the dues. Regarding deceased Unlawful acts of when SEC. 6. It shall be unlawful for any building and loan association, not organized under the laws of this state, to transact association, business in this state unless such association or company shall have first complied with the statutes of this state relating to foreign corporations, and shall have submitted a statement of its conditions and affairs, subscribed and sworn to by the manager or an officer of the company, showing: What statement shall show 1. The amount of authorized capital, and the par value of each share; 2. The number of shares sold during the year; 3. The number of shares canceled and withdrawn during the preceding year; 4. A statement of receipts and disbursements during the preceding year; 5. Salaries paid each of its officers; 6. A statement of its assets and liabilities at the end of the year, and the nature thereof in general terms; 7. Any other fact which the state bank examiner may require. Upon receipt of all such instruments as are required, and the Secretary of filing thereof, the secretary of state, upon the recommendation state to issue of the state bank examiner, shall issue a certificate authorizing when such corporation to do business in this state. filed March 1 each year SEC. 7. On or before the first day of March of each year, Statement every building and loan association doing business within this state, whether domestic or foreign, shall cause to be filed in the office of the state bank examiner a statement of its affairs as is required in the next preceding section, and shall cause a copy thereof duly certified by the state bank examiner to be published at least four times in some newspaper in this state and having a general circulation therein, such publication to Published by be completed on or before the first day of May and proof thereof May 1 each filed in the office of the state bank examiner. year examina attorney SEC. 8. If any domestic building and loan association shall Refusal of refuse to submit to an examination by the state bank exam- tion, iner, he shall advise the attorney-general thereof, who shall general proceed to wind up its affairs; and if any foreign association to act shall refuse to submit to such examination, the bank examiner shall so advise the attorney-general who shall then proceed by quo warranto to prohibit any such corporation so refusing from continuing to do business in this state. tion to do SEC. 9. When, in the opinion of the state bank examiner, Illegal acts forfeits right any such corporation is conducting its business illegally, or in of corporaviolation of its articles of incorporation or by-laws, or is prac- business in ticing deception upon its members or the public, or is pursuing Nevada a plan that is injurious to the interests of such members, or if he is satisfied that its affairs are in an unsafe condition, he shall notify the directors or managers, and if it shall not immediately amend its course, or put its affairs upon a safe basis, he shall, in the case of a domestic corporation, advise the attorney-general thereof, who shall take the necessary steps to wind up its affairs; and in the case of a foreign corporation he shall also advise the attorney-general, who shall thereupon proceed by quo warranto to prohibit any such corporation from continuing to do business in this state. tions must ments with SEC. 10. Within sixty days after the taking effect hereof All associaeach building and loan association doing business in this state immediately shall file with the state bank examiner the statement herein- file statebefore required, and each such foreign association shall file a bank copy of its articles and by-laws with the secretary of state and shall obtain its certificate of authority, or on failure or refusal to do so, shall forfeit its right to do business in this state. SEC. 11. Any officer or agent of any building and loan examiner Officers of association liable for illegal acts Penalty Annual license, $100 Licenses constitute fund for expense of association who shall do or attempt to do any business for any such association which does not hold a certificate of authority therefor, as in this chapter provided, or which shall fail or refuse to file with the state bank examiner the annual statement herein required, shall be guilty of a misdemeanor for each and every such offense, and shall be personally liable on any and all contracts made in this state by him for and in behalf of such company during the time it shall remain so in default. SEC. 12. All foreign building and loan associations doing business in this state shall, on or before the first day of March of each year, pay into the office of the state controller an annual license of one hundred dollars ($100). SEC. 13. All moneys received from such annual licenses by the state controller shall be paid into the state treasury to constitute a fund to be used by the state bank examiner to defray examination the expenses of examination of building and loan associations. SEC. 14. An act entitled "An act for the regulation of Previous act foreign building and loan societies doing business in the State of Nevada, approved March 13, 1905, is hereby repealed. repealed dormitories Wells CHAP. 228-An Act authorizing the board of county commissioners of the county of Elko to issue bonds to provide for the construction, equipment, and furnishing of high-school dormitories in the towns of Elko and Wells, Elko County, Nevada, and providing for the ratification thereof, by special or general election, before the issuance of any bonds, and authorizing the county board of education of said county to construct, equip, and furnish said building. [Approved March 24, 1915] The People of the State of Nevada, represented in Senate and SECTION 1. The board of county commissioners of Elko High-school County is hereby authorized, empowered, and directed to preat Elko and pare and issue bonds of said county, said bonds to be issued $55,000 bonds on or before the first day of January, 1917, for an amount not to exceed the sum of fifty-five thousand dollars, exclusive of interest, for the purpose of providing funds for the construction and equipment of high-school dormitories in the towns of Elko and Wells, in Elko County, upon a site to be chosen by the county board of education. Question submitted to popular vote, how SEC. 2. Before issuing said bonds or incurring any indebtedness or commencing the construction of said dormitories, or either of them, the question of the issuance of said bonds shall be submitted to a vote of the electors of Elko County, either at the next general election or at a special election to be held as hereinafter provided. |