Chap. 95.—An ACT requiring the Banks of this Commonwealth to go
into Liquidation,

e cosee February 12, 1866.

Whereas the banks of this commonwealth, during the pro-
gress of the war recently waged in the state of Virginia,
sustained such losses that they are now unable to promptly
pay their liabilities: and whereas it is the sense of the gene-
ral assembly that a speedy settlement of the affairs of said
banks should be made, in order to a legal and proper distri-
bution of their assets amongst all persons entitled to share in
such distribution: Therefore,

1. Be it enacted by the general assembly, That it shall be
lawful for thé president and directors of any bank of cireu-
lation chartered by the general assembly of Virginia, to make
or cause to be made a deed, conveying to such person or per-
sons as said president and directors may select, all the assets,
real and personal, of said bank, and providing, in such deed,
that the proceeds of said assets shall be distributed amongst
all persons, corporations and associations entitled to share in
such distribution, according to the legal rights and priorities
of such persons, corporations and associations at the time
such deed shall be executed.

2. Be it further enacted, That whenever any creditor or
creditors of any bank of circulation of this commonwealth
shall, by any suit or other legal process whatsoever, scek to
obtain a judement, decree or order, which said judgement,
decree or order, when rendered or made, would create a lien
in favor of such creditor or creditors upon the assets of the
said bank, or upon any portion of such assets, and thereby
entitle such creditor or creditors to receive more than his or
their just and ratable share or shares in the distribution of
the proceeds of all the asscts of said bank, then, and in that
case, and in order to preserve the just rights of all creditors
of said bank to a fair pro rata distribution of the proceeds of
said assets, and for the purpose of effecting such distribution,
it shall be the duty of the president and directors of said
bank, and they are hereby required to make, or cause to be
made, a deed of conveyance of the assets of said bank in such
manner and form, and for such purposes, as are provided for

in the first section of this act.
3. Be it further enacted, That it shall be the duty of the
banks of this commonwealth, or the legal representative or
representatives of such banks, on the first day of April next,
and quarterly thereafter, until final liquidation, to publish, in
Fome public newspaper ‘of the state, nearest the location of
such bank or banks, a statement, under oath, of their con-
dition, and to make distribution of the assets on hand at the
end of each quarter, according to the provisions of the first
section of this act, so far as the same can be done, consis-
tently with the interests of all the-creditors of said banks:
provided, that nothing in this act contained shall be so con-
strued as to compel the president and directors of any bank
of this commonwealth, or the trustee or trustees in any deed
of conveyance made by the president and directors of any
bank, as provided for in the first or second sections of this
act, to make a final distribution of the proceeds of the assets
of such bank, at any period before three years next succeed-
ing the passage of this act.

4. Be it further enacted, That whenever any deed of con-
veyance shall have been executed under any of the provisions
of this act, the trustee or trustees in such deed are hereby
required to forward, within thirty days after the execution
of said deed, to the governor of this commonwealth. a copy
of said deed, and also a full and correet report of the condi-
tion of the bank, the assets of which have been conveyed by
said deed; and whenever any such deed was made betore the
passage of this act, the trustee or trustees in such deed shall
forward such copy and make such report within thirty days
atter the passage of this act.

5. And be it further enacted, That whenever the legal
representative or representatives of any of the banks, whose
notes are secured, or were intended to be secured by ‘the de-
posit of state or other stocks with the treasurer of the com-
monwealth, shall present the same to the said treasurer in
amounts of one hundred dollars, or any multiple thereof, the
said treasurer is hereby authori ized and directed to deliver to
such legal representative or representatives of such bank, an
amount of the stock deposited with him for that purpose, as
aforesaid, equal in amount to the notes so presented to him.
But such stoek shall be delivered in equal portions of all such
stock so deposited, as tar as the same may be practicable.

6. Be it turther enacted, That if any president, director,
cashier, assignee or trustee of any bank in this commonwealth
shall, with intent to embezzle, make any application or dis-
position of any portion of the assets of sail bank otherwise
than in the payment of the creditors of said bank, or in the
liquidation of its aftiirs, such president, director, cashier,
assignee or trustee shall be deemed guilty of a felony, and
upon conviction thereof, shall be fined not less than one thou-
sand nor more than five thousand dollars, and shall, in addi-
tion to said fine, be confined in the penitentiary for a period
not less than one year nor more than three years.

7. This act shall be in force from its passage.
Chap. 95.—An ACT requiring the Banks of this Commonwealth to go
into Liquidation,

e cosee February 12, 1866.

Whereas the banks of this commonwealth, during the pro-
gress of the war recently waged in the state of Virginia,
sustained such losses that they are now unable to promptly
pay their liabilities: and whereas it is the sense of the gene-
ral assembly that a speedy settlement of the affairs of said
banks should be made, in order to a legal and proper distri-
bution of their assets amongst all persons entitled to share in
such distribution: Therefore,

1. Be it enacted by the general assembly, That it shall be
lawful for thé president and directors of any bank of cireu-
lation chartered by the general assembly of Virginia, to make
or cause to be made a deed, conveying to such person or per-
sons as said president and directors may select, all the assets,
real and personal, of said bank, and providing, in such deed,
that the proceeds of said assets shall be distributed amongst
all persons, corporations and associations entitled to share in
such distribution, according to the legal rights and priorities
of such persons, corporations and associations at the time
such deed shall be executed.

2. Be it further enacted, That whenever any creditor or
creditors of any bank of circulation of this commonwealth
shall, by any suit or other legal process whatsoever, scek to
obtain a judement, decree or order, which said judgement,
decree or order, when rendered or made, would create a lien
in favor of such creditor or creditors upon the assets of the
said bank, or upon any portion of such assets, and thereby
entitle such creditor or creditors to receive more than his or
their just and ratable share or shares in the distribution of
the proceeds of all the asscts of said bank, then, and in that
case, and in order to preserve the just rights of all creditors
of said bank to a fair pro rata distribution of the proceeds of
said assets, and for the purpose of effecting such distribution,
it shall be the duty of the president and directors of said
bank, and they are hereby required to make, or cause to be
made, a deed of conveyance of the assets of said bank in such
manner and form, and for such purposes, as are provided for

in the first section of this act.
3. Be it further enacted, That it shall be the duty of the
banks of this commonwealth, or the legal representative or
representatives of such banks, on the first day of April next,
and quarterly thereafter, until final liquidation, to publish, in
Fome public newspaper ‘of the state, nearest the location of
such bank or banks, a statement, under oath, of their con-
dition, and to make distribution of the assets on hand at the
end of each quarter, according to the provisions of the first
section of this act, so far as the same can be done, consis-
tently with the interests of all the-creditors of said banks:
provided, that nothing in this act contained shall be so con-
strued as to compel the president and directors of any bank
of this commonwealth, or the trustee or trustees in any deed
of conveyance made by the president and directors of any
bank, as provided for in the first or second sections of this
act, to make a final distribution of the proceeds of the assets
of such bank, at any period before three years next succeed-
ing the passage of this act.

4. Be it further enacted, That whenever any deed of con-
veyance shall have been executed under any of the provisions
of this act, the trustee or trustees in such deed are hereby
required to forward, within thirty days after the execution
of said deed, to the governor of this commonwealth. a copy
of said deed, and also a full and correet report of the condi-
tion of the bank, the assets of which have been conveyed by
said deed; and whenever any such deed was made betore the
passage of this act, the trustee or trustees in such deed shall
forward such copy and make such report within thirty days
atter the passage of this act.

5. And be it further enacted, That whenever the legal
representative or representatives of any of the banks, whose
notes are secured, or were intended to be secured by ‘the de-
posit of state or other stocks with the treasurer of the com-
monwealth, shall present the same to the said treasurer in
amounts of one hundred dollars, or any multiple thereof, the
said treasurer is hereby authori ized and directed to deliver to
such legal representative or representatives of such bank, an
amount of the stock deposited with him for that purpose, as
aforesaid, equal in amount to the notes so presented to him.
But such stoek shall be delivered in equal portions of all such
stock so deposited, as tar as the same may be practicable.

6. Be it turther enacted, That if any president, director,
cashier, assignee or trustee of any bank in this commonwealth
shall, with intent to embezzle, make any application or dis-
position of any portion of the assets of sail bank otherwise
than in the payment of the creditors of said bank, or in the
liquidation of its aftiirs, such president, director, cashier,
assignee or trustee shall be deemed guilty of a felony, and
upon conviction thereof, shall be fined not less than one thou-
sand nor more than five thousand dollars, and shall, in addi-
tion to said fine, be confined in the penitentiary for a period
not less than one year nor more than three years.

7. This act shall be in force from its passage.