the United States, and the same shall thereupon be forfeited accordingly. And the Comptroller shall immediately give notice, in such manner as the Secretary of the Treasury shall, by general rules or otherwise, direct, to the holders of the circulating notes of such association, to present them for payment at the Treasury of the United States, and the same shall be paid, as presented, in lawful money of the United States; whereupon said Comptroller may, in his discretion, cancel an amount of bonds, pledged by such association, equal, at current market rates, not exceeding par, to the notes paid. And it shall be lawful for the Secretary of the Treasury, from time to time, to make such regulations respecting the disposition to be made of such circulating notes after presentation thereof for payment as aforesaid, and respecting the perpetuation of the evidence of the payment thereof, as may seem to him proper; but all such notes on being paid, shall be cancelled. And for any deficiency in the proceeds of the bonds pledged by such association, when disposed of as hereinafter specified, to reimburse to the United States the amount so expended in paying the circulating notes of such association; the United States shall have a first and paremount lien upon all the assets of such association, and such deficiency shall be made good out of such assets, in preference to any and all other claims whatsoever, except the necessary costs and expenses of adininistering the same.

Sec 48. And be it further enacted, That whenever the Comptroller shall become satisfied, as in the last preceding section specified, that any association has refused to pay its circulating notes, as therein mentioned, he may, instead of cancelling the United States bonds pledged by such association, as provided in the next preceding section, cause so much of them as may be necessary to redeem the outstanding circulating notes of such association, to be sold at public auction in the city of New York, after giving thirty days' notice of such sale to such association.

Sec. 49. And be it further enacted, That the Comptroller of the Currency may, if he shall be of opinion that the interests of the United States will be best promoted thereby, sell, at private sale, any of the bonds pledged by such association, and receive therefor either money or the circulating notes of such failing association Provided, That no such bonds shall be sold by private sale for less than par, nor less than the market values thereof at the time of sale: And provided further, That no sales of any such bonds, either public or private, shall be complete until the transfer thereof shall have been made, with the formalities prescribed in this act.

Sec. 50. And be it further enacted, That on becoming satisfied, as specified in this act, that any association has refused to pay its circulating notes, as therein mentioned, and is in default, the Comptroller of the Currency may, forthwith, appoint a receiver, and require of him such bond and security as he shall deem proper, who, under the direction of the Comptroller, shall take possession of the books, records, and assets of every description of such association, collect all debts due, and claims belonging to, such association, and, upon the order of a court of record, of competent jurisdiction, may sell or compound all bad or doubtful debts, and, on a like order, sell all the real and personal property of such association, on such terms as the court shall direct; and may, if necessary to pay the debts of such association, enforce the individual liability of the

stockholders, provided for by the twelfth section of this act; and such receiver shall pay over all money so made to the Treasurer of the United States, subject to the order of the Comptroller of the Currency, and also make report to the Comptroller of the Currency of all his acts and proceedings. The Comptroller shall thereupon cause notice to be given, by advertisement in such newspapers as he may direct, for three consecutive months, calling on all persons who may have claims against such association to present the same, and to make legal proof thereof. And, from time to time, the Comptroller, after full provision shall have been first made for refunding to the United States any such defficiency in redeeming the notes of such association as is mentioned in this act, shall make a ratable dividend of the money so paid over to him by such receiver on all such claims as may have been proved to his satisfaction or adjudicated in a court of competent jurisdiction; and, from time to time, as the proceeds of the assets of such association shall be paid over to him, he shall make further dividends, as aforesaid, on all claims previously proved or adjudicated; and the remainder of such proceeds, if any, shall be paid over to the shareholders of such association, or their legal representatives, in proportion to the stock by them respectively held: Provided, however, That if such association, against which proceedings have been so instituted, on acount of any alleged refusal to redeem its circulating notes, as aforesaid, shall deny having failed to do so, such association may, at any time within ten days after such association shall have been notified of the appointment of an agent, as provided in this act, apply to the nearest circuit, or district, or territorial court of the United States, to enjoin further proceedings in the premises; and such court, after citing the Comptroller of the Currency, to show cause why further proceedings should not be enjoined, and after the decision of the court, or finding of a jury, that such association has not refused to redeem its circulating notes, when legally presented, in the lawful money of the United States, shall make an order enjoining the Comptroller, and any receiver acting under his direction, from all further proceedings on account of such alleged refusal.

Sec. 51. And be it further enacted, That all fees for protesting the notes issued by any such banking association, shall be paid by the person procuring the protest to be made, and such banking association shall be liable therefor; but no part of the bonds pledged by such bauking association, as aforesaid, shall be applied to the payment of such fees. And all expenses of any preliminary or other examinations into the condition of any association shall be paid by such association; and all expenses of any receivership, shall be paid out of the assets of such association before distribution of the proceeds thereof.

Sec. 52. And be it further enacted, That all transfer of the notes, bonds, bills of exchange, and other evidences of debt, owing to any association, or of deposits to its credit; all assignments of mortgages, sureties on real estate, or of judg ments or decrees in its favor; all deposits of money, bullion, or other valuable thing for its use, or for the use of any of its shareholders or creditors; and all payments of money to either, made after the commission of an act of insolvency, or in contemplation thereof, with a view to prevent the application of its assets in the manner prescribed by this act, or with a view to the preference of one creditor to another, except in payment of its circulating notes, shall be utterly null and void.

Sec. 53. And be it further enacted, That if the directors of any association shall knowingly violate, or knowingly permit any of the officers, agents, or servants of the association to violate any of the provisions of this act, all the rights, privileges, and franchises of the association derived from this act shall be thereby forfeited. Such violation shall, however, be determined and adjudged by a proper circuit, district, or territorial court of the United States, in a suit brought for that purpose by the Comptroller of the Currency, in his own name, before the association shall be declared dissolved. And in case of such violation, every director who participated in, or assented to the same, shall be held liable in his personal and individual capacity for all damages which the association, its share holders, or any other person, shall have sustained in consequence of such violation.

Sec. 54. And be it further enacted, That the Comptroller of the Currency, with the approbation of the Secretary of the Treasury, as often as shall be deemed necessary or proper, shall appoint a suitable person or persons to make an examination of the affairs of every banking association; which person shall not be a director or other officer in any association whose affairs he shall be appointed to examine, and who shall have power to make a thorough examination into all the affairs of the association, and, in doing so, to examine any of the officers and agents thereof, on oath; and shall make a full and detailed report of the condition of the association to the Comptroller. And the association shall not be subject to any other visitorial powers than such as are authorized by this act, except such as are vested in the several courts of law and chancery. And every person appointed to make such examination shall receive for his services at the rate of five dollars for each day by him employed in such examination, and two dollars for every twenty-five miles he shall necessarily travel in the performance of his duty, which shall be paid by the association by him examined.

Sec. 55. And be it further enacted, That every president, director, cashier, teller, clerk, or agent of any association, who shall embezzle, abstract, or wilfully misapply, any of the moneys, funds, or credits of the association, or shall, without authority from the directors, issue, or put in circulation, any of the notes of the association, or shall, without such authority, issue, or put forth, any certificate of deposit, draw any order or bill of exchange, make any acceptance, assign any note, bond, draft, bill of exchange, mortgage, judgment, or decree, or shall make any false entry in any book, report, or statement of the association, with intent, in either case, to injure or defraud the association, or any other company, body politic or corporate, or any individual person, or to deceive any offi cer of the association, or any agent appointed to examine the affairs of any such association, shall be deemed guilty of a misdemeanor, and, upon conviction thereof, shall be punished by imprisonment not less than five nor more than ten years.

Sec. 56. And be it further enacted, That all suits and proceedings arising out of the provisions of this act, in which the United States, or its officers, or agents shall be parties, shall be conducted by the district attorneys of the several districts, under the direction or supervision of the Solicitor of the Treasury.

Sec. 57. And be it further enacted, That suits, actions, and proceedings. against any association under this act, may be had in any circuit, district, or

territorial court of the United States, held within the district in which such association may be established; or in any State, county, or municiple court, in the county or city in which said association is located, having jurisdiction in similar cases: Provided, however, That all proceedings to enjoin the Comptroller under this act shall be had in a circuit, district, or territorial court of the United States, held in the district in which the association is located.

Sec. 58. And be it further enacted, That every person who shall mutilate, cut, deface, disfigure, or perforate with holes, or shall unite or cement together, or do any other thing to any bank bill, draft, note, or other evidence of debt, issued by any such association, or shall cause, or procure the same to be done, with intent to render such bank bill, draft, note, or other evidence of debt, unfit to be reissued by said association shall, upon conviction, forfeit fifty dollars to the association who shall be injured thereby, to be recovered by action in any court having jurisdiction.

Sec. 59. And be it further enacted, That if any person shall falsely make, forge, or counterfeit, or cause, or procure to be made, forged, or counterfeited, or wil lingly aid, or assist in falsely making, forging, or counterfeiting, any note, in imItation of, or purporting to be in imitation of, the circulating notes issued under the provisions of this act, or shall pass, utter or publish, or attempt to pass, utter, or publish, any false, forged, or counterfeited note, purporting to be issued by any association doing a banking business under the provisions of this act, knowing the same to be falsely made, forged, or counterfeited, or shall falsely altar, or cause or procure to be falsely altered, or willingly aid or assist in false ly altering, any such circulating notes, issued as aforesaid, or shall pass, utter, or publish, or attempt to pass, utter, or publish, as true, any falsely altered, or spurious circulating note, issued, or purporting to have been issued, as aforesaid, knowing the same to be falsely altered, or spurious, every such person shall be deemed and adjudged guilty of felony, and, being thereof convicted, by due course of law, shall be sentenced to be imprisoned and kept at hard labor for a period of not less than five years, nor more than fifteen years, and fined in a sum not exceeding one thousand dollars.

See. 60. And be it further enacted, That if any person shall make or engrave, or cause or procure to be made or engravd, or shall have in his custody or possession, any plate, die, or block, after the similitude, of any plate, die, or block, from which any circulating notes, issued as aforesaid, shall have been prepared or printed, with intent to use such plate, die, or block, or cause or suffer the same to be used, in forging or counterfeiting any of the notes issued as aforesaid, or shall have in his custody or possession any blank note, or notes engraved and printed after the similitude of any notes issued as aforesaid, with intent to use such blanks, or cause or suffer the same to be used, in forging or counterfeiting any of the notes issued as aforesaid, or shall have in his custody or possession any paper adapted to the making of such notes, and similar to the paper upon which any such notes shall have been issued, with intent to use such paper, or cause or suffer the same to be used, in forging or counterfeiting any of the notes issued as aforesaid, every such person, being thereof convicted by due course of law, shall be sentenced to be imprisoned and kept to hard labor for a term not less than five or more than fifteen years, and fined in a sum not exceeding one thousand dollars.

Sec. 61. And be it further enacted, That it shall be the duty of the Comptroller of the Currency to report annually to Congress, at the commencement of its session :

First. A summary of the state and condition of every association from whom reports have been received the preceding year, at the several dates to which such reports refer, with an abstract of the whole amount of banking capital returned by them, of the whole amount of their debts and liabilities, the amount of circulating notes outstanding, and the total amount of means and resources, specifying the amount of lawful money held by them at the times of their several returns, and such other information in relation to said association as, in his judgment, may be useful.

Second. A statement of the associations whose business has been closed dur ing the year, with the amount of their circulation redeemed, and the amount outstanding.

Third. Any amendment to the laws relative to banking by which the system may be improved, and the security of the holders of its notes and other creditors may be increased.

Fourth. The names and compensation of the clerks employed by him, and the whole amount of the expenses of the banking department during the year. And such report shall be made by or before the first day of December in each year, and the usual number of copies, for the use of the Senate and House, and one thousand copies for the use of the Department, shall be printed by the public printer, and in rediness for distribution at the first meeting of Congress.

Sec. 62. And be it further enacted, That the act entitled "an act to provide a national currency, secured by a pledge of the United States' stocks, and to provide for the circulation and redemption thereof," approved February 25th, 1863, is hereby repealed: Provided, That such repeal shall not affect any appointment made, acts done, or proceedings had, or the organization, acts, or proceed ings of any association organized, or in the process of organization, under the act aforesaid And provided, also, That all such associations so organized, or in process of organization, shall enjoy all the rights and privileges granted, and be subject to all the duties, liabilities, and restrictions imposed by this act, and, with the approval of the Comptroller of the Currency, in lieu of the name specified in their respective organization certificates, may take any other name preferred by them and duly certified to the Comptroller, without prejudice to any right acquired under this act, or under the act hereby repealed; but no such change shall be made after six months from the passage of this act: Provided, also, That the circulation issued or to be issued by such association shall be considered as a part of the circulation provided for in this act.

Sec. 63. And be it further enacted, That persons holding stock, as executors, administrators, guardians, and trustees, shall not be personally subject to any liabilities as stockholders; but the estates and funds in their hands, shall be liable in like manner, and to the same extent, as the testator, intestate, ward, or person interested in said trust funds would be if they were respectively living and compe tent to act and hold the stock in their own names.

Sec. 64. And be it further enacted, That Congress may at any time amend, alter, or repeal this act. -Approved, June 3, 1864.