Hiram Schoonmaker, Robert H. Atwater, Nathaniel Booth, Edward Tompkins, Frederick Stephan, Jacob Hermance, Thomas Murray, Henry D. H. Snyder, and their successors, shall be and they are hereby constituted a body corporate and politic, by the name of the "Ron- Corporate dout Savings Bank," to be located in the village of Rondout, and county of Ulster, and by that name shall have perpetual succession, and may sue and be sued in any court of this State.

§ 2. The real estate which it shall be lawful for the said corporation to purchase, hold and convey, shall be

as follows:

1. Such as may be requisite for its immediate accommodation for the convenient transaction of its business. 2. Such as shall have been mortgaged to it in good faith for money lent in pursuance of this act.

3. Such as shall have been purchased at sales upon judgments or decrees obtained or rendered for money so lent; and the said corporation shall not purchase, hold or convey real estate in any other case, or for any other purpose; and all such real estate as is described in the second and third subdivisions of this section shall be sold by the said corporation within five years after the same shall have been vested in it by purchase or otherwise; and the said corporation shall not, directly or indirectly, deal or trade in buying or selling any goods, wares or merchandise whatever, except in the cases in which it is authorized to do so by the terms of this act, and except such personal property as may be requisite for its immediate accommodation for the convenient transaction of its business.

name.

Real estate pricin

which corporation may hold.

Corporaden to en

tion forbid.

agein

trade, etc.

not to re

§3. The trustees of said corporation shall not, directly Trustees or indirectly, receive any pay or emolument for their ceive sala

services.

ry.

manage

and elect

§4. The business of said corporation shall be man- Trustees to aged and directed by the said board of trustees, who business shall elect from their number a president and vice-presi- officers. dent. Seven of the said trustees, of whom the president Quorum. or vice-president shall be one, shall form a quorum for the transaction of business, and the affirmative votes of Vote requia majority of the members present at a meeting shall be make inrequisite to make any order for, or to give authority to

site to

vestments.

trustees

duced.

make any investments of moneys, or to sell or transfer any stock or securities belonging to the corporation, or the appointment of any officer receiving a salary therefrom. Number of § 5. The board of trustees may, by resolution, reduce may be re- the number of trustees to any number not less than nine, to take effect when vacancies occur by death, resignation Vacancies; or otherwise. All vacancies by death, resignation or otherwise, in the office of trustee, shall be filled by the board by ballot, without unnecessary delay; and a majority of all the members of the board shall be necesMeetings of sary for the election of any trustee. The said trustees

how filled.

trustees.

Removal

of trustees for cause.

General

business of corporation.

of deposits.

of deposits.

shall hold a regular meeting at least once in every three months, to receive the reports of their officers as to the business and affairs of the corporation, and to transact such business as may be necessary; and any trustee omitting to attend the regular meetings of the board for six successive months, may thereupon, at the option of the said board, be considered as having vacated his place, and a successor may be elected to fill the same. The supreme court may remove any trustee at any time, for due cause, on proper notice to said trustee, and affording him an opportunity to be heard in his defence.

§ 6. The general business and object of the corporation hereby created, shall be to receive on deposit such sums of money as may be, from time to time, offered Investment therefor, and to invest the same in the securities or stocks of this State, or of the United States, or in the stocks or bonds of any city, town or county, authorized to be issued by the legislature of this State, or in such other manner as is authorized by this act, for the use, interest and advantage of the said depositors and their Limitation legal representatives. The said corporation may receive on deposit all sums of money which may be offered for the purpose of being invested as aforesaid, but not to exceed the sum of five thousand dollars from any individual, which shall be invested as soon as practicable, according to the provisions of this act, and shall be repaid to such depositors when required, at such times. and with such interest, and under such regulations, as the board of trustees, from time to time, shall prescribe; which regulations shall be put up in some conspicuous place in the room where the business of the corporation

Regula

tions.

to borrow

of deposit

tion.

of deposits.

shall be transacted, but shall not be altered so as to affect any deposit previously made, and shall also be posted in the bank book of each depositor. No presi- Officers not dent, vice-president, trustee, officer or servant of said funds. corporation shall borrow, directly or indirectly, the funds of said corporation, or its deposits, or in any manner use the same, or any part thereof, except to pay necessary current expenses under the direction of said board of trustees. All certificates, or other evidences of Certificates deposit, made by the proper officer of said corporation, binding on shall be as binding on such corporation as if they had corporabeen made under its common seal. It shall be the duty Rate of inof the trustees of the said corporation to regulate the terest. rate of interest to be allowed to the depositors, so that they shall receive, as nearly as may be, a ratable proportion of all the profits of the said corporation, after deducting all necessary expenses. No money deposited Investment in the said bank shall be invested, except in the securities of stocks mentioned in this section, in opposition to the vote of any three trustees; but money may be loaned by it on unincumbered real estate, worth at least double the amount to be secured thereby. In all cases of loans upon real estate, a sufficient bond, or other satisfactory personal security, shall be required of the borrower; and all the expenses of searches, examinations and certificates of title, and of drawing, perfecting and recording papers, shall be paid by such borrower. It shall be the duties of the trustees of said corporation to invest, as soon as practicable, in public stocks or public securities, or in bonds and mortgages as provided for in this act, all sums received by them beyond an available fund of not exceeding one-third of the total amount of deposits. The trustees, at their discretion, may keep said fund to meet the current payments of said corporation, and which may by them be kept on deposit, on interest or otherwise, or lent by them on call or notice, not to exceed thirty days, on stock and securities of the United States, or of the State of New York, in no case at more than their par value, or within ten per centum of their market value, in such available form as the trustees may direct. Temporary deposits may be made in any of the

5

Reserve fund.

establish by-laws.

incorporated banks, or in any of the associations which are now or may hereafter be formed under the general banking law of the State of New York, or in any incorporated trust company in said State, or in any National bank in said State; and interest may be received thereon at such rate, not exceeding that allowed by law, as may be agreed upon. The said corporation is hereby authorized to accumulate an amount not exceeding twenty per centum on the amount of deposits therein, to meet any contingency of loss in its business, which amount shall be invested for the security of the depositors in said corporation; and thereafter, at each annual examination of the affairs of said corporation, any surplus over and above the said sum shall be divided, in addition to the usual interest, ratably among the depositors, in such manner as the board of trustees shall direct.

Trustees to § 7. The board of trustees of said corporation shall have power, from time to time, to make, constitute, ordain and establish, such by-laws, rules and regulations as they shall judge proper for the election of their officers, for prescribing their respective functions and the mode of discharging the same. for the regulation of the time of meeting of the officers and trustees, and gener ally for transacting, managing and directing the affairs of the corporation, provided that such by-laws, rules and regulations are not repugnant to this act, or to the Constitution and Laws of this State or of the United States.

Subordinate officers.

Report to banking depart

ment.

Books to be

open for inspection.

§ 8. The board of trustees may appoint such subordinate officers and agents of the said corporation as they shall deem necessary, who shall, respectively, give such security for their fidelity and good conduct as the board of trustees may, from time to time, require; and said board, from time to time, shall fix the salaries of such officers and agents.

§ 9. The said corporation, in every year hereafter, shall make a report to the Superintendent of the Banking Department of this State, as required by law.

10. The books of said corporation shall be open at all times during its business hours, for inspection and examination, to the superintendent of the banking department of this State, and such other persons as the legisla ture or superintendent of the banking department shall

designate or appoint, as their or his agent for that purpose. Whenever any agent shall be appointed to make any such examination, he shall be paid for his services, by such corporation, such sum as the Superintendent of the Banking Department shall certify to be reasonable and just.

minors and

women.

11. Whenever any deposit shall be made by any Deposit by minor, the trustees of said corporation, at their discre- married tion, may pay to such depositor such sums as may be due him or her, although no guardian shall have been appointed for such minor, or the guardian of such minor shall not have authorized the drawing of the same; and the check, receipt or acquittance of such minor shall be as valid as if the same had been executed by a guardian of such minor, or the said minor had been of full age, if such deposit was made personally by the said minor; but this provision shall not apply to deposits made by others in the name of minors. And when any deposit shall be made by any female, being or thereafter becoming a married woman, the said corporation shall pay to such last-mentioned depositor such sums as shall be due to her, and her check, receipt or acquittance shall be a sufficient discharge to said corporation.

§ 12. The misnomer of said corporation in any instrument, shall not vitiate the same, if it be sufficiently described to ascertain the intention of the parties.

amination.

13. The supreme court may, at any time, on the When suapplication of any trustee or depositor in said bank, and court may on reasonable cause shown therefor to the satisfaction of order exsaid court, appoint one or more persons to examine into the investments thereof, and its affairs and business generally. The books, papers and business of said corporation shall be open and subject to the examination of such person or persons, and the trustees, officers and clerks thereof, or any other person, may be examined on oath by such person or persons so appointed; and the said court may confer such further power on the person or persons so appointed, as they may consider necessary for the more thorough and perfect examination of the affairs and business of said corporation. The said person or Report, persons so appointed shall report the result of their investigation to the said court, which if satisfied thereby