Chap. 576.—An ACT to amend and re-enact chapter 49 of the Code of Virginia,
relating to savings banks.

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Approved December 31, 1903.

1. Be it enacted by the general assembly of Virginia, That chapter
forty-nine of the Code of Virginia, relating to savings banks, be amended
and re-enacted so as to read. as follows:
§ 1174. Savings banks, how incorporated._Savings banks, savings in-
stitutions, and savings societies may be incorporated according to the pro-
visions of chapter one of an act entitled “an act concerning corporations,”
which became a law May twenty-first, nineteen hundred and three, and
shall be subject to all the restrictions and shall have all the general pow-
ers in the said act contained, except as otherwise provided in this chapter
and in chapter forty-eight.

$1175. What savings banks are subject to this chapter.—Every sav-
ings bank, savings institution, and savings society which, since the act of
the twenty-fourth day of March, eighteen hundred and thirty-eight, has
been, or hereafter may be, incorporated, shall be subject to and governed
by the provisions of this chapter, so far as the said provisions are not in
conflict or inconsistent with the charter of such bank, institution, or so-
ciety heretofore incorporated, and shall, moreover, be subject to and
governed by the general provisions of the act entitled “an act concerning
corporations,” which became a law May twenty-first, nineteen hundred
and three, not in conflict with this chapter, and shall be subject to and
governed by any future laws which may be passed to repeal, alter, or
modify the provisions of the said act or of this chapter.

81176. Directors and their number.—The affairs of such bank, sav-
ings institution, or savings socicty shall be managed by a board of direc-
tors to consist of not less than five persons. The five persons first named
in the certificate incorporating such bank, institution, or society shall
constitute the first board of directors thereof. They shall continue in
office until the first meeting of the members. At such first meeting and
at every annual meeting thereafter, directors shall be elccted who may be
removed by the members in general meeting, but unless so removed shall
continue in office until their successors shall be elected. The number of
the directors may be fixed by the certificate of incorporation or by-laws,
and may be increased at any general mecting of the members.

§ 1177. Appointment of president and other officers—The directors
shall appoint one of their body president, and may fill any vacancy oc-
curring in the board unless it be by removal, in which case the members
shall fill the same in general meeting. ‘The board shall appoint (to hold
during its pleasure) the subordinate officers and agents, prescribing their
compensation, and taking from them such bonds, with surety, as it may
deem fit.

§ 1178. Powers and duties of board.—The board shall regulate the ad-
mission of members, and furnish proof of their admission. It may re
ceive money on deposit and grant certificates therefor; but no certificate
shall be for less than one dollar, and it may buy, sell, draw, or negotiate
bills of exchange. The board may also make by-laws and regulations for
the management of the property of the bank, institution, or society, and
conduct of its business, and pay its expenses, subject always to the power
of the members in general meeting to repeal or modify such by-laws and

lations, and make others.

§ 1179. How amount of certificate of deposit recovered.—If any cer-
tificate of deposit be presented for payment at the time and in the man-
ner mentioned therein, and be not then paid, with all the interest due
thereon, the depositor, his personal representative or assigns, may, by
warrant or motion (according to the amount), recover from the bank,
institution, or society the whole amount due for principal and interest at
the time of the certificate being presented, with interest on the whole at
the rate of ten per centum per annum from that time until payment.

§ 1180. How funds of bank to be invested.—The money received on
deposit and other funds of the bank, institution, or society may be in-
vested in or loaned on anv stocks or real security, or be used in purchasing
or discounting bonds, bills, notes, or other paper, subject to the following
restrictions: ‘That no security for money or other valuable thing which
may have become payable, other than bonds or certificates of debt of this
State, or of the United States, or of corporations, shall be purchased for
less than the full value thereof, with all interest due thereon; and no
debt or claim to become due, other than such bonds or certificates, shall
be purchased or discounted at a rate of discount or interest exceeding the
rate of one-half of one per centum for thirty days; but the interest in
any case may be received in advance.

§ 1180a. Increase of capital stock—The capital stock of any euch
bank, institution, or society may be increased from time to time to the
maximum prescribed in its charter or certificate of incorporation, and
where there is no maximum so prescribed, then by amendment to its
charter or certificate of incorporation, as provided in chapter one of the
act entitled “an act concerning corporations,” which became a law May
twenty-first, nineteen hundred and three.

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