Chap. 306.—An ACT Amending Third Section of the Act passed April
Twenty-seventh, Eighteen Hundred and Sixty-seven, Incorporating the
Real Estate Savings Bank at Lynchburg.

Approved Jaly 11, 1870.

1. Be it enacted by the general assembly, That the third
section of the act incorporating the Real Estate Savings Bank
at Lynchburg, passed April twenty-seventh, eighteen hundred
and sixty-seven, be amended and re-enacted so as to read as
follows:
Ҥ 3, The capital subscribed to the stock of the said bank
may be secured by a pledge of unencumbered real estate, equal
in value to the subscription so made, and shall constitute a lien
upon such real estate and be liable for the debts and obligations
of the corporation. The real estate so subscribed shall be so
described with metes and bounds as to be clearly identified ;
and the pledge of the real estate so subscribed shall be recorded
in the clerk’s office of the county or corporation in which the
land lies, and constitute a lien upon such real estate; and no
deed of trust, mortgage, or judgment lien, shall in any manner
affect the liability of such real estate so pledged to the preju-
dice of this corporation. But the owner of such real estate
may at any time discharge the lien thereon by payment of the
amount for which it is pledged; such payment to be made to
the bank: provided, said lien shall not have been transferred
by said bank. But if such lien shall have been so transferred,
then payment shall be made to the party or parties holding
such lien, or to their trustees. But if, after organization, said
bank shall desire to proceed upon a cash basis, it may accept
surrenders of its secured and unpaid stock, and execute re-
leases of the real estate pledged to secure the same: provided,
that the minimum capital of the bank shall not thereby be re-
duced below three thousand dollars.”

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

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