8 dred shares of said stock shall have been subscribed

9 for, and paid in, or secured, as required, the said cor10 poration may exercise all the powers and privileges 11 conferred by this act.

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SECT. 4. The capital stock of said corporation 2 shall be invested, at the discretion of the directors, 3 either in loans secured by mortgages on unincum4 bered real estate, of the value of at least fifty per cent. 5 more than the amount lent thereon, or in stocks of 6 the United States, or of the Commonwealth of Mas7 sachusetts, or of any bank in this Commonwealth, or 8 in loans to towns. Said corporation may hold real 9 estate, to an amount not exceeding ten thousand dol10 lars, for the purpose of securing suitable offices for 11 the institution.

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SECT. 5. The directors of said corporation shall, 2 on the first Monday of June, annually, cause a state3 ment to be made, and a balance to be struck, of the 4 affairs of said corporation; and if there shall be any 5 ascertained profits, after paying all the losses and 6 expenses of the year preceding, and providing for all 7 outstanding risks, they shall first set apart from said 8 profits, and divide among the stockholders, a sum not 9 exceeding six per cent. per annum on the amount of 10 capital stock actually paid in, in proportion to the 11 amount held by them respectively, if so much remain 12 after paying said losses and expenses, and providing 13 for said risks; and in case said dividend shall not be 14 paid in any one year, it may be made good at a sub15 sequent period, when the net resources of the cor16 poration shall be sufficient for the purpose.

1 SECT. 6. After providing for risks, losses, and 2 incidental expenses and dividends, as is set forth in 3 the preceding section, one half of the remaining 4 profits, if any there be, shall be reserved by the 5 directors, and applied toward the payment of the 6 capital stock which shall have been subscribed be7 fore the striking of the balance of the affairs of said 8 corporation as aforesaid; and the other moiety of 9 said remaining profits may be divided among the 10 stockholders and the insured, one half among the 11 stockholders, the other half among the insured: 12 provided, however, that said annual dividends, ap13 plications of payments on capital stock, and divis14 ions of profits among the stockholders, shall never 15 exceed eight per cent. per annum on the capital 16 stock already paid in; but such surplus of profits 17 over eight per cent., if any, shall be divided among 18 the insured. But no dividend whatever shall be 19 made whereby the capital stock of said corporation, 20 subscribed for and paid in, shall be reduced or im21 paired.

1 SECT. 7. All dividends remaining unpaid more 2 than one year after the same have been declared, 3 shall be advertised, by publishing the amount thereof, 4 and the names of the persons entitled thereto, for at 5 least three weeks, in some newspaper published in 6 Newburyport, or, in case no newspaper is published in 7 Newburyport, then in some newspaper published in 8 the county of Essex; and if said dividends shall not 9 be called for within one year from the date of such 10 advertisement, shall be forfeited to the corporation.

1 SECT. 8. The directors shall have power to re

2 quire every person, subscribing to the stock of the 3 corporation, to effect insurance therein, either upon 4 his own health, or upon the health of some other per5 son, for such length of time as they shall prescribe; 6 and every person, effecting insurance in said corpora7 tion, shall have the privilege of subscribing for at least 8 one share of said stock, until the whole number of 9 shares authorized by this act shall be taken up; but 10 insurance may be made and risks taken, by said cor11 poration, at the request of applicants, without their 12 becoming stockholders.

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SECT. 9. Suits at law may be maintained by any 2 stockholder, or person insured, against said corpora3 tion, for losses or damages insured against by them, 4 if payment shall be withheld more than thirty days 5 after the same shall be due and payable by the terms 6 of the policy of insurance, and after said corporation 7 shall have been duly notified of such loss or damage; 8 and no stockholder, or person insured, not being in his 9 individual capacity a party to such suit, shall be 10 deemed incompetent as a witness.

1 SECT. 10. On some day, within the first thirty 2 days after the expiration of two years from the time 3 when the said company shall issue their first policy, 4 and within the first thirty days after the expiration of 5 every subsequent period of three years, the directors 6 of said company shall cause to be made a general 7 balance-statement of the affairs of said company, 8 which shall be entered in a book prepared for that 9 purpose. Such statement shall contain, first, the 10 amount of premiums received during said period, and

11 the amount of interest received from investments and 12 loans; second, the amount of the expenses of said 13 company during the same period; third, the amount 14 of losses incurred within said term; fourth, the balance 15 remaining with said company; fifth, the nature of 16 the securities in which the said balance is invested, 17 and the amount of cash on hand, and an account of 18 the existing policies. The president of the company 19 shall, within thirty days after said statement is com20 pleted, transmit a copy thereof, signed and sworn to 21 by the president and a majority of the directors, and 22 also by the treasurer, actuary, or secretary, to the 23 secretary of the Commonwealth, to be by him laid 24 before the legislature.

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SECT. 11. Nothing contained in this act shall be 2 so construed, as to authorize said company to engage 3 in life insurance, or in any thing save assurance upon 4 health; nor is it permitted to insure more than four 5 hundred dollars per annum on any one risk.

HOUSE....No. 174.

[Reported by the Committee on the Judiciary.]

Commonwealth of Massachusetts.

In the Year One Thousand Eight Hundred and FortyEight.

AN ACT

In addition to an Act to provide for the Government and Management of Houses of Correction in certain

cases.

BE it enacted by the Senate and House of Representatives, in General Court assembled, and by the authority of the same, as follows:

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SECT. 1. The keepers of the several jails and 2 houses of correction, in the several counties in this 3 Commonwealth, (excepting the county of Suffolk,)