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NELSON ALDRICH ionetaii MISCELLANY RESOLUTION ADOPTED BY AMERICAN INSTITUTE OF BANKING CONVENTION AT PROVIDENCE, R. I. it has long been apparent to bankers that the WHEREAS, present system of national bank examinations is faulty, tending to produce superficial bank examinations, and WHEREAS, the banking business is based upon the confidence the people generally have in banking institutions, and the present method of examinations weakens this confidence, and WHEREAS, we, as bank men and members of the A. I. B., are and should be, the most deeply interested in seeing corrected any method that reflects upon the business of banking. MERL:TORE, BE IT RESOLVED that the American Institute of Banking favors the following amendments to the National Bank Act: I . The payment of fees to bank examiners in compensation for examination of national banks shall be abolished, and in lieu thereof, the payment of salaries, commensurate with the abilities required of said examiners, and the duties they are called upon to perform. 2. The number of National Bank Examiners shall be increased to such an extent as may be necessary to assure a thorough and competent examination of every national bank twice a year. 3. No person shall be appointed a National Bank Examiner until he has passed a thorough and rigid examination, establi4iing his competency to perfoim the duties required of sUCh Offii e. 4. After an examiner has been appointed, he shall not be removed from office, except for cause, and BE IT FURTHER RESOLVED,that the Recorder of the Associated Chapters be instructed to forward a copy of this resolution to the Secretary of the Treasury, the Comptroller of the Currency and the National Monetary Commission at Washington, D. C. Urteektv financial 'Review No. 14. Vol. 14. J. S. BACHE & CO. Bankers NEW YORK MEMBERS NEW YORK STOCK EXCHANGE AND OTHER LEADING EXCHANGES PRIVATE WIRES TO ALL IMPORTANT CITIES IN UNITED STATES AND OANADA Head Office, 42 BROADWAY, NEW YORK CITY. Buffaio. N. Y. Albany N. Y. Crartch ices: 660 Fifth Ave.. N. Y. City. Troy. N. Y. Atlantic City, N Rochester. N. Y. Montreal. Canada. NEW YORK, April 9, 1910. Low English Bank Reserve. The situation and prospects in regard to money is perhaps the most prominent subject at this time. The English bank reserve has fallen during the week and is now 39.55 per cent., in proportion of reserve to liabilities against .14.81 per cent. last week, 47.4s per cent. the week before, and 4932 the week before that. The highest peraentage in 1910 was in February-53.o3. The rate was 47 per cent. one year ago at this time and 51 per cent. two years ago. With the rate below 40 per cent., which is in a way a limit line, and with New York exporting gold, call money at 4 per cent., and time money advancing fractionally, the immediate future of the money market becomes interesting. So low a figure for the Bank of England a,s this week's has not been reported at this time of the year since 1899, when the ratio was 371. The recent gold engagements have not yet reached the Bank and about 1,500,000 pounds will be added to the reserve upon arrival. The Bank of England did not on Thursday advance its official discount rate, and this may not be done if the shipments from this side continue in sufficient amount. The English reserve is quite small in comparison wiCi thlt held in the other laikge foreign financial capitals, but its close relations with the Bank of France, which is enormously fortified, make the Bank's present position less threatening. It is a fact, too, that all London does not now rely upon the Bank's reserve, many_ of the largest joint stock banks carrying millions of the metal unreported in their own vaults. It is interesting to note in this connection the healthy character of -English trade, the March statement of the Board of Trade showing increases of $3o,000p00 in imports and $12,000,000 in exports. The principal increases in imports are in food stuffs and raw material and in exports in manufactured goods—a most favorable condition— and one just the opposite of our own unpleasant situation as to the foreign balance. London's exports and imports have steadily increased during the last three years. The inactivity of business in the United States—that 4, the part of business which borrows for the nurpose of an- tieipating future sales—makes available money for further exports of gold, and it is calculated that at least $25,000,000 in all will go out on thig, movement. Other sources for building up tile Bank of England's reserve next week are the South African gold and receipts from the Continent which are already taking place, as the continental exchanges now favor London. The drop in the reserve was caused mainly by an increase in liabilities, the loss in bullion being only $1,700,000, while the loss in reserve $2,675,000. It may be expected that these matters will right themselves by reduction in liabilities, and the general opinion is against an advance in the discount rate to 5 per cent. next week. Attention is more acutely directed to the rubber speculations in London by this situation in money there. This danger point is being _carefully watched, but English speculation of this character is most stubborn, and it will probably be some time before liquidation and losses ensue heavily. It is said that the bulk of this speculation is not being carried on through bank credits, but largely by the people who have drawn their small holdings from the savings and other banks, and are buying a few shares each. When the inflation is crushed, the losses will fall largely on the rank and file and be all the Inc crippling to the investinv market because of this Extravagance. Only in periods when pursuit of the dollar becomes difficult. does the American mind turn to a consideration of general underlying- conditions affecting the nation and the individual. The present is one of those periods. The high price of living high, has brought up forcibly the subject of national at“ individual extravagance, and the community is giving the matter more or less serious thought. The observations of an 14;np,rlish writer on American Finance, in 1006, two years ago quoted recently in the Swiss Bankyerein Review, is of interest here: "A good many surprises may be awaiting the Americans in the sphere of international finance. \\Then their Western States cease to be the granary of Europe, when their mineral resources begin to feel the terrible strain of prodigal demands on them, when their home consumption begins to trench on their exportable surplus, and when their imports of foreign luxuries and other articles they cannot produce at home begin to disturb the favorable balance of trade which they regard with so lynch complacency, then it vill be time enough to speculate on their proper place anion the nations. . . . Americans are prodigal not only in their personal and social expenditure, but in their whole economy. They are prodigal of human brains and muscle; prodigal of machinery ; prodigal of currency ; prodigal of banking facilities; prodigal of legislation. “They hold the record both as creators and destroye rs. They have to destroy ruthlessly, in order to produce enormously. In their engineering- works they scrap more machinery than would fit out an ordinary nation. *In order to save a tenth of a cent per ton mile, they pound a railroad to pieces with monster cars and locomotives, so that it has to be practically rebuilt every eight or ten years. For the sake of 'licking creation' as iron and steel producers, they gut their iron mines with demoniacal energy. In their paroxysms of speculation and money-making, they wear themselves out long before their time. "Thoughtful men find an alloy of sadness in the joy of industrial prosperity when they remember how much waste of life and of natural resources is involved in it. The principal factors in a boom—coal, iron, and other minerals— represent wealth which cannot be replaced. Once consumed they are gone forever. This should qualify the pride of industrial states in the growing output of their mines and iron works. The old Mexican mine-owners were wiser in their generation than the go-ahead Americans, who arc pushing them aside. They fixed the amount that should be taken yearly out of each mine, and rarely, if ever, exceeded it." • • • Restricted Suffrage. Every citizen of age in the United States is entitled to a vote and we have been taught to pride ourselves on this as one of the great heritages of liberty, and to look with feelings of superiority upon other countries whose franchise freedom is limited. In Canada, for instance, the property qualification is necessary. No man there may vote unless he shows some evidence of thrift, and thrift cannot be attained without thought. In other worcis, the intention in Canada is to have the nation governed in the ultimate resort of the vote, 1)\- its thinking people, and behold ! Canada is not overriddcir w ith foolish laws and buried in over-legislation as we are. A correspondent, commenting on the Review of last week, which set forth the disabilities of a great community laboring under the disadvantages of politically-passed laws of noxious effect, writes: "I have read with interest and approval your Review of April 211d. "But what of it? You are merely in the right. You have no might to enforce it against the grafter, gambler, legislatures, and horde of saloon wielded, ignorant, socialist, foreign voters. You merely represent the hopeless minority of business men, who fatuously try by being in the rip:ht, and having the best interests of the community at heart, to protect themselves and uplift our country. Your attitude reminds me of Aesop's Lamb, which, while drinking from a 1)rook, was hailed by a wolf who said, 'T am going to eat you because you have muddied my water.' Ile lamb called attention to the fact that the brook flowed from the wolf to him, not from him to the wolf, but the wolf replied, 'I am going to eat you anyway.' "Why not drop the lamb-like character, since you must he fleccud and eaten anyway, and get out in the open and attack our social rottenness at its root, which is universal suffrage, and become a leader for a property qualification for the franchise. In oilier words, 'No pay taxes on a reasonable sum,' 'No vote.' Thereby you would turn politics into statesmanship, make officeholding honorable, and get the conduct of the country's affairs from the hands of hoodlums into those of the truly safe and sane. Have you got the nerve to move the first shovelful of earth in this mountain? Whether you have or not, permit me to paraphrase a French proverb by saying that eloquence in the rags of defencelessness was never true. Yours very truly," WOULD THE WHOLE COUNTY NOT HAVE BEEN BETTER OFF MATERIALLY, AS WELL AS MORALLY AND POLITICALLY: of Congress had been called to revise session If no extra the Tariff? if at the regular session, a Tariff committee had been appointed to take up scientifically and deliberataely the whole subject of revision looking to reduction—conclusions to be acted upon by Congress from time to time, as presented? If Mr. Taft had adhered to his declared intentions of making this a business man's administration, putting the legitimate prosperity of the country before every other consideration, thus fostering the confidence •of American and European capital? If, when the Standard Oil decision was announced in November last, Mr. Taft had at once declared his purpose to put through Congress an amendment of the Sherman AntiTrust Act, which would allow legitimate business to continue without disturbance? There would have been avoided thus the long period of waiting for the extra session's Tariff changes, during which business was partially stagnated. The excessive imports in anticipation of rising duties in luxuries, would have been avoided and our trade balance would have been more favorable. The possibly unconstitutional Corporation Tax would not have annoyed and antagonized the business interests. The Tariff would not have been revised upwards on a downward _promise and the split in the Republican Party would have been avoided. Mr. Taft would not have found bitter enmity in the West from disappointment at failure of Tariff promises and would not have felt compelled to take up the Roosevelt policies fiercely in order to endeavor to win hack favor. The whole country would have ignored the Supreme Court decisions, and business instead of being overshadowed with the threat of dissnlution as at present, would have gone on actively in the development of legitimate prosperity, which has been halted. The Situation. The Ciovcrnment report on \Iv inter Wheat issued Friday is favorable. The indicated percemave of yield is lower, but the acreage is higher. 418 millions was the yield indicated a year ago at this time. For this year the crop report estimates 43; million bushels. Future business cannot rely upon either courts or legislatures and must look to the crops for stimulation or discouragment. There has been little change in the general situation, and the prices of securities swing back and forth with bonds neglected. J. S. BACHE & CO. OP.direiliiiirmXiallir ergo. — 417 — 1910 i § 30 nuevnte eller et mindre belop, kaii aktiernes paalydende 19 juli. Nr. 1. sum ikke yderligere formindskes. For det tilfaAde, at et aktieselskap ved na,rvaTende lovs ikrafttrden bestaar av herre end tre medlemmer og disses antal derefter synker, skal antallet bringes op til det ved lovens ikrafttreeden bestaaende eller selskapet oploses overensstemmende med de i § 74 givne regler. § 106. Har utenlandsk aktieselskap oprettet forretningsavdeling i Norge for nmrvaerende lovs ikrafttrwden, blir anmeldelse at avgi efter de i § 103 givne regler. Iovrig finder §§ 88-91 anvendelse paa saadan forretningsavdeling. § 107. Forskriftene i § 103 finder tilsvarende anvendelse paa allerede bestaaende kommanditaktieselskaper, saaledes at hvad der i neevnte paragraf er bestemt om styret, aktieeierne og aktiekapitalen ansees at gjlde henholdsvis de ansvarlige medlemmer, kommanditisterne og kommanditkapitalen. Endvidere kommer bestemmelserne i nrvaarende lovs §§ 93 og 94, § 95, jfr. §§ 104--106 samt §§ 96-102 til anvendelse paa allerede bestaaende kommanditaktieselskaper. 14de kapitel. Slutningsbestemmelser. § 108. For skifterettens medvirkning efter §§ 68, 70, 74, jfr. § 95, betales til statskassen ti kroner. Lov om betaling for offentlige forretninger av 6 august 1897 § 36 kommer i tilfwlde til anveudelse. § 109. Denne by tra,der i kraft 1 januar meste aar. Fra samme tidspunkt ophves enhver bestemmelse, som strider mot den. Ti bar Vi antat og bekrwftet, likesom Vi berved antar og bekmfter samme som by, under Vol. liaand og rikets segl. Git paa Kristiania Slot den 19 juli 1910. Haakon. (L. S.) K 0110W. Norsk Lovtidende. Hesselberg. 1,te. avii. nr. 29. 1910 — 418 — 19 juli. "Nr. '2. Lov out vernepligt og utskrivning. Vi Haakon, Norges Konge, gjor vitterlig: at Os er blit forelagt Stortingets beslutning, av 13 juli 1910 saalydende: lete kapitel. Om den vwbnede magts inddeling og opbud. § 1. Den webnede magt inddeles i landvwbuing og sjovwbning. Landv a bningen bestaar av 2 opbud : Linje og landvern. Sjoymbningen bestaar av 1 opbud. § 2. Linjens bestemmelse er at tjene til forsvar 11V landets interesser, hvorsomhelst det krmves. Landvernet har samme bestemmelse som linjen, men kan alene anvendes med den begreensning, som grundlovens § 25 foreskriver. § 3. Sjowebningens bestemmelse er den samme som linjens. § 4. Styrken av de forskjellige vaabenarter, avdelinger og organer i hvert opbud bestemmes av Kongen med Stortingets samtykke. § 5. I krigstid, eller naar krig er at befrygte, kan mandskaper utenfor vernepligtsalderen likesom ogsaa mandskaper indenfor denne alder, der ikke tilhorer noget av den vwbnede magts opbud (§ 1), ophydes som krigsforsterkning (d. e. landstorm ved landvbningen og kystforsvar ved sjowebningen). I denne er enhver vaabenfor mand, som ikke efter § 8 or fritat for vernepligt, tjenstpligtig fra det fyldte 18de til det fyldte 55de aar. Av krigsforsterkningen kan — i den utstra.kning, som hjemles i grundlovens § 25 — det fornodne mandskap anven des til utfyldning av opbudene; iovrig opbydes og organisere s krigsforsterkningen efter bestemmelser, der gives av Kong en med Stortingets samtykke. 2det kapitel. Om vernepligten, fritagelse for vernepligt, vernepligtstidens v arighet, frivilliges tjene ste saint om de vernepligtiges forhold med hensyn til bortreise, utvandring eller sjofart. § 6. Enhver indfodt norsk mand, som liar den fornodne tjenstdygtighet, er pligtig til efter utskrivning at avtjene vernepligt, saaledes som i det folgende bestemmes. -- 419 — 1910 Andre mwnd, som or hjemmehorende her i riket, kan paa- 19 juli. lwgges vernepligt i samme omfang, forsaavidt ingen konvention Nr. '2. med fremmed stat eller noget undersaatlig forhold til en saadan maatte were til hinder derfor. Dog skal saadanne vernepligtige were fri for militrtjeneste, saalwinge staten er i krig med deres fodeland. § 7. Fritat for vernepligt er geistlige embedsmeend, prester eller forstandere for ordnede dissenterm enigheter utenfor statskirken, lodsoldermEend og faste lodser . I tilfwlde av, at en bror i felten or dod eller blit vanfor, er derhos den nste bror fritat for utskrivning. Kongen beste mmer forovrig, i hvilken utstreekning geistlige, der ikke er embedsmeend, kan fritages for utskrivning. § 8. Vernepligtstiden er for alle utskrevne mandskaper 20 aar. Herav uttjenes ved landvmbningen de 12 forste aar i linjen, de 8 sidste i landvernet. Vernepligt ige, som stod i landstormens faste opbud, da loven av 18 septe mber 1909 traadte i kraft, henfores til landvernet og forbli r staaende der, til de har staat i 20 aar i begge opbud tilsa mmen. Ved sjowebningen blir, saavidt omsteendigheten e tillater det, de wldre aarsklasser at anvende ved kystforsva ret, om saadant maatte bli opsat. § 9. Enhver befalingsmand og enhver utskr evet vernepligtig er forpligtet til at motta livilkensomhels t grad eller kommando, som tildeles dem. Ingen kan dog anven des i lavere grad end den, han for indehar. Vernepligtige, der besidder seerlig fagdannelse, kan anvendes ved den vw.bnede magt paa den maate og i saadan stilling, som or stemmende med deres seerlige utdannelse. De kan uttages til tjeneste av samme varighet som de stridsdygtige, selv om de efter reglerne om tjenstdygtighet i almindelighet kun tilhorer dygtighetsklassen hjwlpedygtige (§ 29). Paa den anden side kan ogsaa mandskaper, der besidder fuld stridsdygtighet, i fornoden utstrwkning uttag es til indseettelse som ikke-stridende. § 10. Naar en avdeling skal swttes paa krigsf ot, er enliver av de avdelingen tilhorende personer forpligtet til at forbli staaende i sit opbud, saalwnge Kongen finder det fornodent. Dog maa saadan forpligtelse ikke utstrwkkes lamge r end 6 maaneder, medmindre Stortinget dertil har git sit samtykke. I krigstid eller paa togt kan ingen paa grund av alder eller forutgaaende tjeneste gjore fordring paa at avgaa , forinden han erstattes av en anden. Kongen kan i krigstid, eller naar krig er at befry gte, bestemme, at de utskrevne rekrutter skal indkaldes til opovelse for den sedvanlige tid. 3* 1910 — 420 — — 421 — 19 juli. § 11. Ti! vernepligtens opfyldelse krseves av frivillige Sr. 2. befalingsmamd, spillemsend, haandverkere og andre frivil lige det samme antal vernepligts-aar som for utskrevne bestemt. De frivillige av landvaabningen, som maatte ha tjent i linjen i mer end 12 aar, skal derhos were forpligtet til alikevel at staa 8 aar i landvernet. Har vedkommende staat som fastlonnet i landvernet og overgaar til vernepligtig stilling, betragtes han med hensyn til vernepligt, som om den frivillige tjeneste var utfort i linjen. § 12. Den, som onsker at utdanne sig til officer eller fastlonnet underbefalingsmand, kan, forutsat han besidder forwiden tjenstdygtighet, antages som kadet eller underbefalselev og indfores i saa fald straks i rullerne. Han folger med hensyn til vernepligt den aarsklasse, hvortil han hewer, idet tidsrummet mellem answttelsen som kadet eller underbefalselev og vernepligtstidens begyndelse blir tilheg til den sedvanlige vernepligtstid. Fredstjenesten, der ikke maa vwre kortere end den, som gjEelder for utskrevne av samme vaabenart, kan dog frivillige tillates at utfore for tjenestetiden for aarsklassens utskrevne mandskaper. De nsermere bestemmelser herom, likesom ogsaa om tjenestepligt m. v. for andre frivillige gives av Kongen. For frivillige spillemamd regnes vernepligtstiden fra 1 januar efter deres antagelse, dog ikke forend fra 1 januar efter deres fyldte 18de aar. § 13. Enhver, som har bestaat avgangseksamen ved Krigsskolens eller Sjokrigsskolens overste avdeling uten at bli ansat som fast officer, skal, forsaavidt ikke swregne grunde gjor ham dertil uskikket eller uvserdig, uttjene sin resterende vernepligt som vernepligtig officer. Under samme forbehold skal enhver, som har bestaat eksamen for fastlonnet underofficers-ansmttelse ved en underbefalsskole, beskikkes til vernepligtig befalingsmand for uttjening av den resterende vernepligt. § 14. Forhenvserende fastlonnede tjenestemwnd i forsvarsvsesenet, der oppebwrer pension, har tjenestepligt i krigstid, saalsenge de overhodet ansees brukbare. Ved indkaldelse til tjeneste efter denne paragraf maa dog iugen anveudes i lavere grad end den, han indehadde ved avgangen. § 15. Efter 1 januar i det aar, hvori 21 aars alderen naaes, skal enhver vernepligtig angaaende bortreise, flytning, utvandring og sjofart gjore anmeldelse til indrulleringskommissionen og erh verve dennes tilladelse i den utstrwkning, dette av Kongen maatte bli bestemt. Sjofarende kan herom henvende sig til monstringsmanden, hvor saadan er ansat. Utskrevne mandskaper kan i fredstid tillates at utvandre av riket, naar (le iagttar de av Kongen herfor fastsatte be- 1910 stemmelser. Ved sin tilbakekomst har de uten ophold at 19 juli. melde sig for indrulleringskommissionen (lensmanden, politiet) Sr. 2. paa det sted, livor de tar bopwl. Kongen kan, forsaavidt omstndighetene krver det, i krigstid eller naar krig or at befrygte, forbyde vernepligtige fra 1 januar i det aar, de fylder 18 aar, at forlate riket eller det distrikt, hvori de opholder sig, eller at ta hyre med fartoi i utenriks fart. Forovrig kan den, som ikke er utskrevet, indtil 1 januar i det aar, hvori han fylder sit 21de aar, forandre opholdssted, foreta reiser indenlands eller utenlands, samt gaa i sjofart, hvor han vii. § 16. Naar en sjofarende vernepligtig, som paa gTund av fravwr i utlandet or blit forbigaat ved utskrivning, vender tilbake, maa ban i mellemtiden indtil naeste utskrivningsmote kun utmonstres paa kortere reiser, medmi ndre han erbolder utssettelse. I de sidste 30 dage for de for indru lleringskredsen berammede utskrivningsmoter maa ingen, som skal mote ved samme, uten krigskommissrens tilladelse paamonstres til utenriks fart. 3dje kapitel. Om det unge mandskaps indrullering . § 17. Av hensyn til vernepligten skal alle unge mend antegnes i utskrivningsliste (indrulleres) i det aar, hvori de fylder sit 21de aar, hvorefter de fores i denne liste av indrulleringskommissionen, indtil de utskrives eller kjendes fri for utskrivning. § 18. Forsaavidt ikke anderledes beste mmes, skal etlivert lensmandsdistrikt og enhver kjopstad utgjore en indrulleringskreds, for hvilken haves egen indrulleringsko mmission og fores scerskilt utskrivningsliste. Kongen kan dog bestemme, at et lensmandsdistrikt eller en kjopstad i eller uten forbindelse med landdistrikt skal inddeles i fore indrulleringskr edser, og likeledes, at fore lensmandsdistrikter eller fore kjops tamler i eller uten forbindelse med landdistrikt skal slaae s sam men til en indrulleringskreds. § 19. Indrulleringskommissionen bestaar av en officer som formaud og to andre medlemmer, nemlig paa landet lensmanden, i byen en tjenestemand ved politi et efter Kongens narmere bestemmelse og en for indrulleri ngskredsen valgt kredsforstander. Valget, hvorunder tihlike utkaares on varamand, foretages i kjopstEederne og de lades teder, som liar savskilt formandskap, av magistrat og formamd og paa landet av formwndene. Ned hensyn til kredsforstander ens ombudstid, 1910 — 422 — uttra3de1se og gjenvalg forholdes efter de i loven om formandskaper gjoeldende bestemmelser. Omfatter en indrulleringskreds mer end et lensmandsdistrikt eller en kjopstad, skal hvert lensmandsdistrikt og hver kjopstad ha sin kredsforstander. Hvor indrulleringskredsens storrelse eller andre saaregne forhold gjor det onskelig, kan Kongen ogsaa iovrig bestemme, at der i samme indrulleringskreds vaBlges to eller flere kredsforstandere, 11 ver for en del av kredsen. For hvilke og hvormange indrulleringskredser samme officer skal forrette som indrulleringskommissionens formand, bestemmes likeledes av Kongen. I tilflde av vedkommende officers utkommandering i anledning av feltopstning overtar indrulleringskommissionens andet faste medlem, lensmanden eller tjenestemanden ved politiet, de formanden paahvilende forretninger mot godtgjorelse, som bestemmes av Kongen. § 20. Enhver indrulleringskreds inddeles i roder, og for hver av disse beskikkes en tilstrmkkelig skrivekyndig mand som rodeforstander. Inddelingen og beskikkelsen foretages i kjopstwderne og de ladesteder, som har srskilt formandskap, av magistrat og forimend i forening og paa landet av formmndene. Med hensyn til rodeforstanderens ombudstid, uttrwdelse og gjenvalg forholdes efter de i loven om formandskaper gjeeldende besteminelser. Det pattligger rodeforstanderen at tilveiebringe oplysninger om og fore indseende med det til roden horende indrulleringspligtige mandskap og likeledes med indrulleringspligtige mandskaper fra andre distrikter, som upholder sig inden roden eller kjopstaden. Efter derom utfeerdigede nwrmere forskrifter skal ban opta noiagtig rodeliste over alle de indrulleringspligtige i roden saint gaa indrulleringskommissionen og vernepligtsmyndighetene tilhaande i det, som angaar mandskapernes indrullering og vernepligt. Kongen kan i den utstreekning, som det findes hensigtsmssig, bestemme, at de rodeforstanderne i denne by paalagte forretninger skal overtages av vedkommende lensmand (i byene en tjenestemand ved politiet) mot saadan godtgjorelse, som av Kongen med Stortingets samtykke bestemmes. Inddelingen i roder kan i dette tilfwlde bortfalde. § '21. Indrulleringskommissioner og rodeforstandere skal were forpligtet til efter Kongens wermere bestemmelse at bistna ved tilsigolsen av de utskrevne mandskaper samt ved mandskapers indkaldelse under krig. Rodeforstandernes bistand kan dog kun paakrwves inden roden og kjopstaden, og, bortset fra korrespondanse,indrulleringskommissionens kun inden kredsen. 19 juli. Nr. '2. -- 423 — 1910 § 22. Den, der forretter som kredsforstander, kan krawe 19 juli. sig fritat for andre kommunale ombud, saalaange hans funk- Nr. 2. tionstid varer. Ingen kan samtidig vmre baade kredsforstander og rodeforstander. Fastlonnede militwre tjene stemaand og lensmeend saint polititjenestemnd, som er medlemmer av indrulleringskommission, og tjenestemaand ved utskrivnin gsvmsenet kan ikke were kredsforstandere eller rodeforstandere. § 23. Paa grundlag av rodelisterne opseetter indrulleringskommissionen hvert aars utskrivningsliste for indrulleringskredsen. Sogneprester, forstandere for dissentermenigheter og andre seeregne religionssamfund, inagistrater, politiembe dsmmnd, skolestyrer, konsuler og tjenestemeend ved monst ringsvsenet er forpligtet til efter Kongens nmrmere bestemmels e at bistaa indrulleringskommissionerne med oplysninger og opgav er m. v. i anledning av de unge mandskapers indrullering . Tjenestemaand ved monstringsvsenet skal derhos va3re forpligtet til at yde utskri vningsmyndighetene den bistand og at utfore de forretninger vedrorende kontrollen med de utskrevne sjovernepligtige mandskaper og disses indkaldelse, som Kongen bestemmer. Likeledes kan det efter bestemmelse av Kongen paalwgges enhver, som avgir grund eller husrum til beboelse av andre, at meddele opgave til rodeforstanderen eller indrul leringskommissionen over de indrulleringspligtige personer, til hvem grund eller husrum avgives og, om saa forlanges, tillike over saaattune personers til- og fraflytning fra hans eiendom eller husleilighet. I kommuner, livor folkeregister er beslut tet istandbragt, bor saadanne opgaver saavidt mulig begjw res avgit sammen med oplysninger for disse registre og fortrinsvis ved utfylding av letfattelige skemaer, som tilstilles og atter avhentes hos vedkommende. Personer, hvis opholdssted ikke kjendes, eftersokes av politiet. § 24. Alle utskrivningspligtige, som opholder sig her i landet den 1 januar i det aar, hvori de opnaar 21 aars alder, er forpligtet til at melde sig for rodeforstanderen enten paa hjemstedet eller i den rode, i hvilken de opholder sig, for at bli optat paa rodeliste. De nwnnere regler heroin gives av Kongen. Enhver, som paa det anforte tidspunkt opholder sig utenlands eller i utenriks sjofart, eller som ved lovlig forfald har weret forhindret fra at inelde sig for rodeforstanderen, skal likeledes senest inden 15 januar samme aar avgi eller avsen de til indrulleringskommissionen paa hjemstedet (eller sidste hjem- 1910 — 424 — 19 juli. sted her i landet) en anmeldelse, der indeholder de fornodne Nr. 2. oplysninger til hans indrullering. For mandskaper, hvis utskrivning ikke finder sted i deres 21de aar, kan Kongen bestemme, at den her omhandlede anmeldelse skal gjentages hvert aar, indtil de utskrives eller kjendes fri for vernepligt. Forere av norske skibe er ansvarlige for, at anmeldelse avsendes av de til deres skibs bestning horende mandskaper. § 25. Hvert aar saa snart som mulig efter det tidspunkt, da de indrulleringspligtige er optat paa rodeliste, holder indrulleringskommissionen et offentlig indrulleringsmote, hvor rodeforstanderne skal were tilstede og avgi oplysninger om rodens indrulleringspligtige mandskaper samt indlevere sine rodelister. Kommissionens formand avgir ikke mote, medmindre han av saaregne grunde er beordret dertil. Er han fravmrende, administreres forretningen paa landet av lensmanden, i byene av den polititjenestemand, som er medlem av indrulleringskommissionen. Ved dette mote skal fremstille sig alle i indrulle ringskredsen werende indrulleringspligtige mandskaper, som ikke for vet sig optat paa rodelisten, eller som av rodefors tanderen eller av indrulleringskommissionen liar faat paalg om at fremmote, forat narmere oplysninger kan bli tilveiebragt eller ncermere undersokelse anstillet angaaende deres vernepligtsforhold. Lensmanden og naavnte polititjenestemand tilkommer for disse meter en godtgjorelse av kr. 8,00, kredsforstanderen kr. 4,00 daglig foruten i tilfa31de skyss- og kostgodtgjorelse efter loven. 4de kapitel. Om de vernepligt iges ntskrivning. § 26. Alle vernepligtige skal, forsaavidt de ikke findes aldeles utjenstdygtige, utskrives i det aar, hvori de opnaar 21 aars alder, eller i det neermest paafolgende, hvori utskriv ning kan ske. Utskrivningen regnes foregaat fra 1 januar i det aar, da mandskaperne fylder sit 22de aar eller for mandskaper, som utskrives efter den ordinaire alder, fra 1 januar i et senere aar. For mandskaper, som efter et aars 1 januar utskrives med vernepligtstid sammen med de fra aarets beg,yndelse utskrevne mandskaper, regnes utskrivningen foregaat lilt utsk ri ningsdagen. Vernepligtstiden regnes ordincert fra samme tid som utskrivningen. For mandskaper, sotn utskrives efter ordinar tid, kan vernepligtstiden bestemmes bereguet fra noarmest foregaaende — 425 — 1910 1 januar, naar utskrivningen foregaar saa tidlig, at de kan 19 juli. delta i aarets vaabenovelser. Nr. 2. Det kan tillates en vernepligtig at underkaste sig utskrivning indtil 2 aar for den sedvanlige alder, forutsat at han da befindes stridsdygtig (§ 28), eller at det kan avgjores, at oprykning til bedre dygtighetsklasse ikke vii finde sted inden utskrivningsalderen. Tidsrummet mellem hans frivillige indtreeden og den ordimere utskrivningsalder blir et tilla3g til den almindelige vernepligtstid. Paa den anden side kan der i fredstid meddeles den, som oplyser, at bans velfmrd kreever det, utseettelse med utskrivning i indtil 3 aar, undtagelsesvis — navnlig for vernepligtige, der opholder sig utenlands eller i utenriks sjofart — endnu 'Fenger utover den sedvanlige alder. Den, der har faat utssettelse, maa ikke uten tilladelse forlate landet. Efter utlopet av den tilstaaede frist medtages han ved forste utskrivning uten at nyde nogen anden avkortning i vernepligten end den, som hjemles ved bestemmelsen i § 39, forsaavidt ikke § 41 2den passus kommer til anvendelse. Kongen kan bestemme, at de i utenriks sjofart vairende vernepligtige under visse forutsEetninger betragtes som tilstaat utsEettelse med utskrivningen efter behorig indseudelse av den i § 24 paalmdte anmeldelse, naar deni indeholdes forklaring om, at den utenrikske fart onskes fortsat. § 27. En gang om aaret avholdes paa saavidt mulig bekvemme steder offentlige utskrivningsmoter i alle landets indrulleringskredser under bestyrelse av krigskommissaren eller en for tilfeeldet beordret officer. Kongen kan bestemme, at motet avholdes utenfor indrulleringskredsen, men intet motepligtig mandskap maa derved paafores laengere reise end hoist 20 km. utenfor egen kreds. Bestyrelsen av utskrivningsmotet kali, 'mar det findes hensigtsma3ssig, overdrages til indrulleringskommissionens formand eller et andet medlem av indrulleringskommissionen, likesom det for avsidesliggende indrulleringskredser med ringe antal mandskaper kan bestemmes, at utskrivningsmote i enkelte aar ikke blir at avholde, i hvilket tilfEelde kredsens samtlige utskrivningspligtige, som ikke er aabenbart utjenstdygtige (§ 28, andet led), utskrives og fremmoter til lEegebedominelse ved rekrutskolens begyudelse. Indrulleringskommissionens medlemmer er tilstede ved utskrivningsmotet og fremlEegger utskrivningslisten med bilag til gjennemgaaelse. Kredsforstanderen kan dog fritages for fremmote, dersom hans tilstedevarelse ansees unoclvendig. Rodeforstanderne avgir ikke mote, undtagen forsaavidt de enkeltvis 1910 — 426 — 19 juli. indkaldes av vernepligtsstyret. Derhos pligter alle de, hvis Nr. 2. vernepligtsforhold dengang er gjenstand for avgjorelse, at fremstille sig til avhorelse og saavidt fornodent lwge-undersokelse samt maaling. Ogsaa andre, saavel wldre som yngre, kan indkaldes, naar det til oplysning om deres egne eller andres vernepligtsforhold ansees fornodent. For utskrivningsmotet tilstaaes lensmanden og vedkommende polititjenestemand samt kredsforstanderen samme godtgjorelse som nwvnt i § 25. § 28. Sporsmaalet om militeer tjenstdygtighet avgjores av en bedommelseskommission, bestaaende ordentligvis av 3 leeger — fortrinsvis sanitetsofficerer — eller av 2 laziger og en krigskommisseer eller kombattant officer. Efter Kongens ngermere bestemmelse kan dog kommissionen bestaa av et mindre antal laTer eller av civile lmgtr istedenfor sanitetsofficerer. Mandskaper, livis udygtighet til mi1itar tjeneste kan fuldsteendig godtgjores paa anden maate, kan uten forutgaaet lvegeskjon utslettes av de vernepligtiges tal. Kongen bestemmer de nwrmere regler, hvorefter i saadant tilfwlde skal forholdes. § 29. De vernepligtige, som ved utskrivningen befindes enten at ha en hoide mindre end 157 cm. eller paa grund av svakhet eller legemsfeil ikke at vwre fuldt stridsdygtige uten dog at vwre aldeles utjenstdygtige, henfores til en egen klasse, hjApedygtige, hvorav mandskap uttages til kusker, sykevogtere, militaTe arbeidere og anden tjeneste, livortil stridsdygtighet ikke utfordres. § 30. Enhver er ved vernepligtsmote forpligtet til at forklare sig angaaende sine egne og andres vernepligtsforhold. Med hensyn til sig selv skal han derhos vwre forberedt paa i rimelig utstrkning at fore bevis for sin forklarings rigtighet. Saavidt fornodent for dette oiemed har vedkommende offentlige myndighet uten betaling at meddele attest om neeringsvei, borgerlig stilling og lignende forhold, om flytningsog reiseanmeldelser, utslettelse av miler og lister eller overforelse fra en mile eller liste til en anden samt om avskedigelse fra militwrtjenesten og deslike omstmndigheter. § 31. Utskrivningen foretages av vernepligtsmyndighetene, efterat alle aarets utskrivningsmoter er avholdt. Uttagningen av mandskaper til specialvaabnene og til speeielle tjenesteklasser med smregen fagdannelse sker, forsaavidtl frivillige ikke melder sig i tilstrkkelig antal og kun en dee av de som dygtige til vedkommende vaaben eller tjenesteklassv noterte mandskaper dertil skal uttages, ved lodtreekning a krigskommisswren i overveer av 2 vidner. Paa samme maate sker fordelingen av de sjovernepligtige til de 2 tjenesteklasser, som omhandles i § 53. Det lavere nummer uttages foran det hoiere. Kongen .1°7 — 1910 bestemmer, hvorledes der forovrig skal forholdes med hensyn 19 juli. Nr. 2. til lodtrkning. § 32. Vernepligtsstyret oversender inden hvert aars 1 januar approbert mile over den i det foregaaende aar utskrevne aarsklasse til liver av de avdelinger, som rekruteres fra utskrivningsdistriktet. I rullen indfores mandskaperne fortlopende efter indrulleringskredsenes nummerorden og inden indrulleringskredsene efter rodenummer. For avdelinger, som rekruteres fra flere utskrivningsdistrikter, dannes aarsklasserullen ved sammenfoining av de fra hvert vernepligtsstyre mottagne dele av rullen. Kongen bestemmer, hvorledes der iovrig skal forholdes med hensyn til rullernes opstning og rulleforingen. Naar rullerne over en aarsklasse er opsat, indfores smrskilt for hvert utskrivningsdistrikt senere tilkommende mandskaper fortlopende efter de tidligere indforte. Mandskaper, som i lopet av vernepligtstiden overfores fra en avdeling til en anden, indfores sidst i den nye avdelings rulle efter alle mandskaper av samme aarsklasse og tjenesteklasse. § 33. Kongen kan bestemme, at der til Ittskriviiing av sjofarende avholdes smrskilte utskrivningsmoter. Ti! sjofarende henregnes enhver vernepligtig, som har opnaadd mindst halvbefarenhetsgraden inden begyndelsen av det aar, hvori han fylder sit 21de aar, eller inden utsmttelsestidens utlop, dersom utsvattelse med adgang til senere overforelse i sjorullen er ham tilstaat av generalkrigskommissmren. Som halvbefaren ansees den, der i 18 maaneder efter det fyldte 15de aar har vaaret i utenriks sjofart. For maskinister kan efter Kongens neermere bestemmelse mindst 12 maaneders utenriks fart ansees tilstraekkelig. I hvilket omfang og efter hvilke regler indenriks fart sk al gjeelde som bestemmelsesgrund for de vernepligtiges befarenhet, fastsEettes av Kongen. Alle sjofarende, som findes strids- eller hjeelpedygtige, utskrives til sjoveebningen. De for utskrivningen og vernepligten fornodne oplysninger om de sjofarendes fartstid m. v. meddeles vernepligtsstyret fra monstringsvmsenet. Krigskommissmren indforer de sjofarende i en swrskilt rune. § 34. 1 krigstid kan, forsaavidt forholdene gjor det nod• vendig, mandskaper utskrevet til landvEebningen overfores til eller indk aides til tjeneste ved sjovEebningen, og omvendt. § 35. Mandskaper, som uten gyldig forfald nteblir fra utskrivningsmotet eller paa grund av utebli velse fra vaaben- 1910 — 428 — 19juli. ovelser tilbakefores til utskrivningslisten, kan utskrives til Nr. 2. specialvaabnene, forsaavidt der or grund til at anta, at de dertil or skikket. § 36. Utfaldet av utskrivningen bekjendtgjores ved op. slag paa bekvemme steder eller paa anden hensigtsinEessig maate. § 37. Enhver maa selv paase, at hans vernepligtsforhold betimelig kommer under behandling. Det kan saaledes ikke frita for ansvar, oin nogen ved utskrivningsmo te eller anden forretning ikke blir paaropt eller opfordret til at melde sig. Den, som liar forfald, skal saavidt mulig derom forut gjore anmeldelse samt fremsende de fornodne oplysni nger. Enhver pligter at skaffe sig underretning om, hvad der ham vedkommende or passert under en avholdt utskrivning. Nordmaind i vernepligtig alder, som opholder sig i utlandet, skal, naar de der henvender sig til norsk konsulat for at indfores i nationalitetsprotokol, legitimere, at deres vernepligtsforhold er i orden. De nrmere bestemmelser med hensyn hertil gives av Kongen. § 38. Er nogen forbigaat og feilen opdages , eller aarsaken til forbigaaelsen bortfalder, skal han utskrives snarest mulig og heist medtages under samme utskrivning. Findes det, efterat utskrivningen or tilendebragt, at nogen av mange! paa tilstrkkelige oplysninger eller av feiltagelse urettelig eller til ingen nytte er utskrevet, &ores han atter ut av rullerne og betragtes som ikke utskrevet. § 39. Den, som ved undladelse av anmelde lse, ved utebliven fra meter uten at were hindret ved forfald, som kan ansees gyldig, eller paa anden maate liar bevirket sig forbigaat eller latt sig forbigaa ved utskrivning, skal siden utskrives forlods og ansmttes ved den mindst sokte vaabenart, til hvilken han or brukbar. Om han end er over den sedvanlige utskrivningsalder, erholder han allikevel fuhi vernepligtstid ; dog skal ingen paa grund av saad ant 1,) rhold staa lwnger i de faste opbud end til utgangen av det aar, hvori han fylder sit 50de aar. § 40. Har nogen ved bortreise eller paa anden maate unddrat sig den tjeneste, hvortil han var utskrevet, kan Ilan, saa snart han paatrEeffes, utskrives paany, uten at nEeste almindelige utskrivning oppebies. Er der grund til at frygte for, at han atter vii forsoke at unddra sig for tjenesten, kan han, oni dertil gives anledning, straks sEettes til tjeneste eller i tilfEelde sendes til en orlogsstation eller landmilitwrt etablissement for at gjore almindelig arbeide i indtil 4 maaneder uten avkortning i fredstjenesten, likesom luau, mu han er sjofarende, indtil meste utskrivn in L;• or undergit samtne indskrEenkning med — 429 — 1910 hensyn til adgang til at gaa i utenriks sjefart som de i § 16, 19 juli. 1 omhandlede mandskaper. Nr. 2. Forsaavidt allerede utskrevne mandskaper med behorig tilladelse gaar i utenriks sjofart, har de ret til at krawe sig avmonstret fra det skib, hvormed de or forhyret, naar dette fornodiges av hensyn til opfyldelsen av deres vernepligt. Vedkommende skibsforer er i saadanne ti1f1de forpligtet til at serge for, at avmonstring finder sted i betimelig tid. § 41. Naar en vernepligtig utskrives i Mere alder end den lovbestemte, uten at dette er foranlediget ved tilstaat utswttelse eller ved ham tilregnelige forhold, og uten at han forovrig bar forsomt, hvad der paahviler ham i henhold til mervwrende by, indsttes han til tjeneste sammen med den aarsklasse, med hvilken han utskrives, men overfores til 2det opbud og utfores av rullerne samtidig med den aarsklasse, med hvilken han efter sin alder egentlig skulde ha vaaret utskrevet. Efter oveiforsel til 2det opbud paaligger der ham ingen ordinwr fredstjeneste. Den, som ikke inden utlopet av vernepligtstiden i linjen for hans aarsklasse or utskrevet, for de sjovernepligtiges vedkommende inden utlopet av deres 12te vernepligtsaar, uten at dette er bevirket ved hans egen forseelse eller forsommelse, skal were fri for utskrivning i fredstid. § 42. For vernepligtige, som utvandrer for 1 januar i det aar, hvori de opnaar 21 aars alder, eller efter dette tidspunkt med behorig tilladelse, og som derefter vender tilbake, bestemmes vernepligten efter hjemkomsten overensstemmende med § 41, dog saaledes at tjeneste som maatte vmre utfort for avreisen tilgoderegnes dem ved fastswttelsen av deres aktive tjenestepligt. Paa vernepligtige, som forlater landet uten tilladelse, anvendes, naar de vender tilbake, bestemmelserne i §§ 39 og 40. 5te kapitel. Om utskrivningsdistrikterne. § 43. Riket inddeles i utskrivningsdistrikter saaledes, at liver infanteribataljon tildeles et rekruterings- eller utskrivningsdistrikt enten alone eller i forening med en eller fiere avdelinger av specialvaabnene eller dele av saadanne. Kongen kan med Stortingets samtykke bestemme, at infanteriregimentet i denne henseende tra3der istedenfor infanteribataljonen. hide!' regimenterne kan der av utskrivningsmyndighetene foretages utjevning mellem de enkelte bataljoner. Foranstaaende bestemmelser skal dog ikke vwre til hinder — 430 1910 juli. for, at efter Kongens bestemmelse mindre avdelinger kan tilNr. 2. lwgges swrskilte utskrivningsdistrikter, eller at flere infanteribataljoner kan rekruteres fra et utskrivningsdistrikt, eller at en infanteribataljon rekruteres fra flere utskrivningsdistrikter. Ved utskrivningsdistrikternes ordning bor haves for oie, at infanteribataljonernes mandskapsstyrke saavidt mulig like stor, saint at ingeniortroppene, feltartilleriet og kavaleriet fortrinsvis faar mandskaper fra de egne, hvor disse vattben har sine kvarterer. Inddelingen kan, naar Kongen finder det nodvendig, forandres. I krig er det for at sikre enhver avdeling det fornodne mandskap tillatt at ta mandskaper fra et alidet distrikt end det, som er henlagt til avdelingen. § 44. Flytter en vernepligtig, som endnu ikke er utskrevet, fra et utskrivningsdistrikt til et andet, blir han i almindelighet at overtime til det distrikts utskrivningsliste, hvortil han er flyttet; dog har vernepligtsstyret ret til at bestemme, at han skal utskrives i det distrikt, han tidligere tilhorte. 6te kapitel. Om utskrivningsinyndighetene. § 45. For behandlingen av alle mandskapers vernepligtsforhold bestaar vernepligtsstyret av amtmanden og krigskommisswren. iii bistand under moterne kan beordres den hjaalp, som behoves. Vernepligtsstyret — eller paa dets vegne krigskommisswren efter nwrmere bestemmelser i reglement utherdiget av avgjor overhodet alle vernepligtssporsmaal, som Kongen ikke ifolge sEeregen forskrift skal indbringes for Mere myndighet, samt fewer indseende med de utskrevnes betimelige overflyttelse fra opbud til andet og avskedigelse. Krigskonimiss23ren vaaker derhos over indrulleringen og rulleforselen. § 46. Generalkrigskommisswren liar overbestyrelsen a v, hvad der vedkommer vernepligten og utskrivningen. § 47. Finder nogen sine rettigheter med hensyn til vernepligten kraenket ved vernepligtsstyrets beslutning eller ved generalkrigskommissiPrens bestemmelser, 1.an han underkaste saken a vgjorelse av Kongen eller paa-anke beslutningen til Hoiesteret, livor saken er antecipert til foretagelse, saasnart varslet er utlopet, uten hensyn til hoiesteretssessionen. § 48. Forretningsgangen ved indrulleriug og utskrivning saavelsom det indbyrdes fm-hold mellem de derved ansatte embeds-, bestillings- og ombuilsmaand ordnes ved reglementer og instrukser, som gives av Kongen. — 431 — 1910 Til alle slags ruller, lister og attester, som times eller ut- 19 juli. stedes i anledning av vernepligt og utskrivning, skal, saavidt Nr. 2. det hensigtsmwssig kan ske, blanketter utdeles for statens regning. 7de kapitel. Om tjenesten. § 49. Rekrutovelserne for de til landvwbningen som stridende utskrevne mandskaper skal gives en varighet av mindst 102 dage ved kavaleriet, mindst 92 dage ved feltartilleriet, mindst 72 dage ved ingeniorvaabenet, mindst 62 dage ved bergartilleriet, mindst 48 dage ved infanteriet, positionsartilleriet og ffestningsartilleriet — marsjdagene ikke iberegnet. De hjailpedygtige og ovrige som ikke-stridende utskrevne mandskaper ved landwebningen gives — marsjdagene ikke iberegnet — en rekrutskole av mindst 18 dages varighet i det styrkeforhold, som Kongen med Stortingets samtykke bestemmer. De i henhold til § 9 uttagne vernepligtige befalingsmwnd gjennemgaar instruktionskurser av den varighet, som av Kongen med Stortingets samtykke bestemmes. Mandskaper, som paa grund av egen forsommelighet, sygdom eller flere aars fravEer mangler fornoden herdicthet til tjeneste i sin avdeling under felt, kan efter bestemmelst av generalkrigskommisswren indkaldes til ny rekrutskole i et storre eller mindre antal dage. § 50. Til andre militre ovelser ved i § 49 naavnte vaaben- og troppearter anvendes mindst 24 dage aarlig ved linjen — marsjdagene ikke iberegnet. Kongen kan med Stortingets samtykke bestemme, 11\ og i hvilken utstrEekning mandskapene for og efter utskrivningen skal delta i skyte-ovelser utenfor den tid, da indkaldelse til vaabenovelser finder sted. § 51. I de i § 50 bestemte ovelser for linjen deltar ved infainteriet, kavaleriet, feltartilleriet, bergartilleriet, positionsartilleriet og ingeniortroppene lste, 2den, 3dje og 7de aarsklasse. Ved hestningsartilleriet deltar lste, 2den, 3dje, 4de og 7de aarsklasse. Hjwlpedygtige og andre mandskaper, utskrevet som ikkestridende, indkaldes til de i denne paragraf oinhandlede ovelser i saa stort antal og i saa mange dage, som Kongen med Stortingets samtykke bestemnwr. § 52. Bestemmelserne i §§ 49-51 skill ikke vwre til hinder for, at til landvvebningen utskrevne mandskaper i den utstrEekning, Kongen med Stortingets samtykke anordner, kan 1910 — 432 — 19 juli. indkaldes til gjennemgaaelse av det lovmaassige antal ovelsesNr. 2. dage i andre vernepligtsaar inden opbudet og med et andet antal dage i det enkelte aar end ordinEert. Dog bor den halve fredstjeneste senest vmre avtjent ved utgaugen av 3dje tjenesteaar, medmindre den vernepligtige selv har foranlediget utsEettelse. Kongen kan med Stortingets samtykke bestemme, hvorledes der skal forholdes med hensyn til ovelser og iudkaldelser under overgangen til en lavere utskrivningsalder. § 53. De til sjovEebningen utskrevue vernepligtige indkaldes i det antal, som flaatens bemanding for krig krEever, til tjenstgjoring i et sammenhwngende tidsrum av mindst 6 maaneder. Be ovrige utskrevne sjovernepligtige indkaldes til tjeneste ved sjovwbningen i mindst 3 maaneder. Kongen kan med Stortingets samtykke bestemme, hvorvidt og i hvilken utstrwkning de til sjovbningen utskrevne militmre arbeidere skal indkaldes til tjeneste. Hvis den sjovernepligtige ikke selv har sokt utsmttelse eller gjennem fravr opnaadd saadan, bor fredstjenesten vwre optjent inden utgangen av det 3dje vernepligtsaar. For sjovernepligtige, hvis utdannelse ikke er avsluttet inden dette tidspunkt, kan dog Kongen bestemme lEengere utsa,ttelse med fredstjenesten. § 54. Alle utskrevne mandskaper, som ikke efter foranstaaende paragraffer indkaldes til ovelse, er i fred fri for tjeneste, medmindre: a: Stortinget har bevilget de dertil fornodne midler, eller krig er at befrygte, b. det paakrEeves til opretholdelse av retsordenen. § 55. Inden hvert opbud indkaldes de yngre aarsklasser foran de aaldre ; lste aarsklasse i landvEebningens linje dog herfra undtat. yEldre aarsklasser kan nanset foranstaaende anvendes foran yngre, forsaavidt det vilde forvolde betaankelig forsinkelse av krigsopsmtningen at vente paa de yngre aarsklasser fra fjernere distrikter. Under samme forutsmtning kan ogsaa landwebningens lste aarsklasse anvendes tidligere end i 1ste led bestemt. Naar kun en del av en aarsklasse tiltrEenges indkaldt, skal indkaldelsen foregaa efter den orden, som bestemmes ved lodtrEekning. § 56. I tilfEelde av, at hmren eller flaaten eller nogen del derav skal stuttes paa krigsfot, kan vernepligtige med den begrwnsning, grundlovens § 25 bestemmer, kaldes til tjeneste ogsaa i tidligere opbud end det, de tilhorer, og uanset om den — 433 — 1910 aarsklasse, hvortil de horer, ikke forovrig samtidig indkaldes. 19 milli. Bet samme gjwlder om forhenvEerende vernepligtige befalings- Ni. 2. mend, som er opbudspligtige efter § 5. Lignende indkaldelse kan ogsaa finde sted i fredstid, naar det gjwlder befalsovelser, smregne instruktionskurser eller ekstraordinEere ovelser av feltmaassig art. § 57. Naar det av mangel paa frivillige findes nedvendig til de stadig tjenstgjorende avdelinger at indkommandere utskrevne mandskaper av linjen (sjovwbuingen), maa denne tjeneste for de saaledes indkommanderte ikke i fredstid vare lmnger end 6 maaneder. Den saaledes utforte tjeneste ber saavidt mulig tilgoderegnes dem som utfort fredsovelse. § 58. De i dette kapitel omhandlede ovelser kan av K ongen med Stortingets samtykke indskrEenkes eller indstilles, naar dyrtid, farsot eller andre usedvanlige omstwndigheter gjor det nodvendig. 8de kapitel. Sregne bestemmelser for Tromso stift. § 59. LandvEebningen i Finmarkens amt organiseres sum ett opbud. For tjeneste i opbudet kan Kongen frita beboere, for hvem fremmotet til ovelsespladsen maatte falde uforholdsmEessig besvmrlig. § 60. Indtil Kongen anderledes bestemmer, er i Finmarkens amt lensmanden — i byene en tjenestemand ved politiet indrulleringskommissionens formand og tilleegges derfor betaling av statskassen. De valgte kredsforstanderes antal skal, saalnge dette forhold varer, vaare mindst to for hver kreds. § 61. Hvorledes der i Finmarkens amt skal forholdes med hensyn til bestyrelsen av utskrivningsmoterne samt med hensyn til undersokelsen og bedommelsen av de vernepligtiges tjenestdygtighet, bestemmes av Kongen. § 62. Utskrivning til sjoymbningen foregaar i Tromso stift kun, forsaavidt det av Kongen bestemmes. Naar saadan utskrivning ikke foregaar, er de i stiftet hjemmehorende sjofarende (§ 33) utskrivningspligtige til landva,bningen eller kystforsvaret (§ 63), om saadant maatte bli opsat. § 63. Dersom et kystforsvar bestemmes opsat i Tromso stift, uttages hertil i forneden utstrFekning saadanne vernepligtige, som er vant til at fmrdes paa sjoen, og fortrinsvis de, Born ernEerer sig ved kystfart. Vernepligtstiden ved kystforsvaret er den samme som ved landvEebningen. 4 Norsk Lovtidende. lste avd. nr. '29. 1910 — 434 — 1910 — 435 -19 juli. § 64. Indtil anderledes maatte bli bestemt av Kongen Nr. 2. med Stortingets samtykke, skal de i Tromso stift til infanteriet utskrevne mandskaper gives rekrutovelser av mindst 48 dages varighet og umiddelbart derefter mindst 24 dages fortsatte militaare ovelser. De til kystforsvaret utskrevne mandskaper gives ovelse paa saadan maate og i den utstreekning, som Kongen med Stortingets samtykke til enhver tid bestemmer. 9de kapitel. Forskjellige bestemmelser. § 65. For lokale til avholdelse av vernepligtsmoter be tales godtgjorelse som i § 158 2det led i by av 6 august 1897 om betaling for offentlige forretninger bestemt. Utgiftene utredes av statskassen. § 66. Paa ethvert norsk fartoi saint paa ethvert monstringskontor og forhyringskontor kan uten vederlag forlanges opSlaat de bekjendtgjorelser og meddelelser m. v. angaaende vernepligten, som i saadant oiemed tilstilles fartoisforeren eller kontoret fra vernepligtsmyndighetene. § 67. Den, som retsstridig undlater at gi nogen anmeldelse, som paah viler ham i henhold til vernepligtslovens § 15 eller dens § 24, undlater for reise eller flytning at indhente noge n i lovens § 15 omhandlet reise- eller flytningstilladelse, lar sig paamonstre for reiser, som det efter vernepligtslovens § 16, jfr. § 40 er ham forbudt at in. sig paamonstre for, uteblir f r a noget av de i vernepligtsloven omhandlede meter, undlater at m edbringe sin vernepligtsseddel og, forsaavidt han er sjofarende, sin sjefartsbok eller andet sjefartsdokument til utskrivningsmotet, eller som ikke paa opfordring av utskrivningsmyndighetene fremskaffer disse dokumenter, paa henvendelse undlater at gi de i vernepligtslovens § 30 omhandlede oplysninger, som fartoisforer, reder eller hyre-agent til et fartois bemanding forhyrer nogen norsk undersaat, hvis sjofartsdokument viser, at han ikke maa in. sig forhyre til reisen, som fartoisforer eller hyre-agent ikke paa beh or ig maate ef ter ko mm er anmodning om opslag paa sit skib eller kontor av bekjendtgjorelser og meddelelser angaaende vernepligten, Sum skibsforer i k e overensstemmende med vernepligtslovens § 40 paa vedkommende vernepligtiges forlangende sorger for bans a vmonstring i betimelig tid, som rodeforstander eller kredsforstander utviser 19 juli. skjodesloshet eller forsommelse i sit ombud, Nr. '2. straffes med betel. § 68. Den, som forgaar sig paa nogen maate, som i § 67 omhandlet, i hensigt aldeles at unddra sig for utskrivning eller fra anseettelse ved den vaabnede magt, straffes med faangsel fra 3 maaneder indtil 2 aar. For straf fritages han ikke, om han end findes udygtig til militeertjenesten. Paa samme maate straffes den, som retsstridig bevirker eller medvirker til forgaaelser, der omhandles i nrveerende paragraf. 10de kapitel. Lovens ikrafttreeden og ophaavede eeldre love. § 69. De nrmere forskrifter, som er nodvendige til donne lovs gjennemforelse, gives av Kongen. Forsaavidt angaar nedswttelse av vernepligtsalderen, trader denne by i kraft efter bestemmelse av Kongen med Stortingets samtykke, forovrig efter Kongens nmrmere bestemmelse. Fra samme tid ophwves: Lov om vernepligt og utskrivning av 12 mai 1866, by om rikets inddeling i distrikter for utskrivning til landvaabningen av 26 mai 1866, by av 3 juni 1876 indeholdende forandring i og tilleeg til de om vernepligt og utskrivning gjaMende love, by av 16 juni 1885 indeholdende forandring i og tillg til de om vernepligt og utskrivning gjeeldende love, by av 6 juli 1892 om utskrivning til sjoveebningen, by av 28 juni 1897 angaaende vernepligtens utvidelse til rikets nordlige landsdele, by av 3 august 1897 indeholdende forandringer i by om vernepligt og utskrivning av 12 mai 1866, by av 24 april 1899 indeholdende forandringer i vernepligtsloven av 16 juni 1885, by av 11 april 1900 indeholdende forandringer i boy av 12 mai 1866 om vernepligt og utskrivning og i by av 6 juli 1892 om utskrivning til sjoveebningen, by av 24 mars 1903 om forandringer i love om vernepligt og utskrivning av 16 juni 1885, 24 april 1899 samt by av 18 september 1909. Ti har Vi antat og bekra3ftet, likesom Vi herved antar og bekrwfter samme som by, under Vor haand og rikets segl. Git paa Kristiania Slot den 19 juli Haakon. L.s.) K on ow. 1-1 esselberg. 4* 1910 434 — 1910 19 juli. Kongelig resolution Plakat 0111 forbud mot transport av stikkelsbwrplanter fra ethvert sted i mien Lister og MandaIs aunt. Vi Haakon, Norges Kongo, gjor vitterlig I kraft av by om forbud mod indforsel og , transport av stikkelsbrplanter in. v. av 25 april 1907 bestemmes herved: 1. Foruten fra ethvert sted inden den del av landet, der bestaar av de i plakater av 25 april og 31 august 1907 saint 10 september 1909 nmvnte muter, skal endvidere transport av stikkelsbwrplanter eller dele derav, stikkelsbwr dog ikke indbefattet, vwre forbudt fra ethvert sted inden Lister og Mandals amt, saafremt specie! tilladelse til saadan transport ikke er meddelt av Landbruksdepartementet i henhold til nawnte lovs § 2. 2. Overtreedelse av dette forbud medforer strafansvar. Hvorefter alle vedkommende har at rette sig. Git paa Kristiania Slot den 19 juli 1910. av 19 juli. Haakon. ci,. S.) Hess elb erg. Kongelig resolution av 19 juli Justis- og F'olitidepartementet beinyndiges til at utfeerdige paabud °in: 1. at personer, som landvmrts eller sjovrts ankommer til Norge fra landomraade, som ifolge kundgjorelse or smittet av kolera, skal melde sin ankomst til helseraadets ordforer eller tilsynsmand og underkastes eftersyn i 5 dage, regnet fra den dag, de forlot dot smittede landomraade; 2. at enhver, som mottar reisende i losji, skal gjore tunneldelse til helseraadets ordforer eller tilsynsmand om reisende, som kommer fra landomraade, som ifolge kundgjorelse or smittet av kolera. 19 jun. Kongelig resolution Under Vor haand og rikets segl. Konow. 19 juli. I medhold av by om laks- og sjoorretfiskerierne m. V. av april 1905 § 29 bestemmes, at dot inden den streeku ing ved utlopet av Aaroelven i Sogndals herred, Nordre Bergenhus amt, hvor dot ved kongelige resolutioner av 17 mars 1866, 14 mai 1886 og 30 juli 1902 samt hoieste resolution av 15 juli 1904 er forbudt at bruke not med mindre masker end 21/4 tomme mellem knuterne, at utstille seettegarn og lignende redskaper og at bruke kilenot, laksevwrp og lignende indretning saint drivgarn, tillike skal, forsaavidt angaar den del av denne strwkning, som bigger utenfor (ostenfor) en linje, trukket fra spidsen av Rundoren til et punkt i Lindviken, der bigger 2() meter ost for et malet hvitt blik i et svaberg, vmre f orb it dt at bruke stormaskede kastenoter. Overtreedelse av denne bestemmelse or belagt med straf. av I medhold av by angaaende jagt og fangst av 20 mai 1899, § 44, bestemmes, at i Akershus amt roi, aarhone og jerpe skal vwre fredet fra og med 1 januar til og med 24 august, samt at tiur og aarhane skal va3re fredet fra og med 1 januar til og med 4 mai samt fra og med 22 mai til og med 24 august. Denne bestemmelse treeder i kraft 1 januar 1911 og gjeelder indtil videre, dog ikke lmnger end til utgangen av aaret 1915. Kongelig resolution 19 juli. av 19 juli. I medhold av by angaaende jagt og fangst av 20 mai 1899 § 44 b es temm es, at dot for et tidsrum av 5 aar, regnet fra 1 januar 1911, inden Aker iltuus amt skal veer° forbudt at utseette, opstille eller bruke snarer, faldstokker eller andre fangstindretninger til fangst av tiur, roi, aarfugl, jerpe, rype, se rfugl •amt hare. Ingiver: Fred. T. Grondahl & Sone boktrykkeri. Kristiania. salicath. — 245 -- Norsk Lovtidencle lidgivet efter offentlig foranstaltnin loy af lste april No. 21 Udgivet 19de jiili. 1907 Kongelig resolution 27 juni. af 17de juni, hvorved deprtementet for de offentlige arbeider bemyndiges til at meddele approbation paa driftsreglement for Grimstad—Frolan db an en overensstemmende med et vedlagt udkast, saaledes at reglementet bliver gjieldende indtil videre. benbold berth bar departementet under 27de juni d. a. approberet dot i resolutionen nvevnte udkast, der i dot vtesentlige er overensstemmende med dot for Tonsberg—Eidsfosbanen gjEeldende. i Lovt.s lste afd. for 1901 side 495 indtagne reglement. Grundlovsbestemmelse Iii 1'01.811(1ring Vi Haakon, grundlovens § 112, Isle og 2det Norges konge, gjor vitterligt: Os er bleven forelagt det nu forsamlede, ordentlige stortings i overensstemmelse med griindlovens § 112 fattede beslutning af llte juli 1907 til grundlovsbestemmelse til forandring af grundlovens § 112, lste og andet punktum, hvilken beslutning or saalydende: Grundlovens § 112, lste og audet punktum skal heiviter lyde saaledes: Viser Erfaring, at nogen Del af denne Kongeriget Norges Grundlov bor forandres, skal Forslaget derom fremsFettes paa forste oiler andet ordentlige Storthing efter et nyt Valg og kundgjores ved Trykken. Men dot tilkommer forst det forste oiler andet ordentlige Storthing efter nwste Valg at bestemme, om den foreslaaede Forandring bor finde Sted eller ei. 1 16 juli. 1907 — 246 — 1t;juli. Thi bar Vi antaget og bekreeftet, ligesom Vi herved antager og bekragter denne beslutning som grundlovsbestemmelse. — 247 — Givet paa Kristiania slot den 16de juli 1907. Under rigets segl. Paa Hans Majesta3t Kongens vegne, efter bemyndigelse: Miteltelsen. J. Loyland. Sofus A retander. Harald 'Whiner. Lehmkuhl. Otto Jensen. A. Berge. Sven Aarrestad. (L. S.) Hesselberg. 16 jun. Nr. 1. Lov angauten de forandringer i og tillteg til lovgivningen out odelsretten og aastedesretten. Vi tiaakon, Norges konge, gjor vitterligt: At Os er bleven forelagt det nu forsamlede, ordentlige stortings beslutning af 2den juli d. a., saalydende: § 1. EfternEevnte eiendomme er odelsfri, saaledes, at de ikke kan were gjenstand for odelslosning: 1. Grund til anlEeg af bergverker, fabriker og andre industrielle anlwg af enhver art — de i § 2 nEevnte dog undtagne — med al den jord, som skjOnnes under hensyn ogsaa til fremtidig udvidelse at burde were forenet med anlEegget, herunder indbefattet grund til boliger for dettes eier, tjenestemEend og arbeidere. 2. SEerskilt matrikulerede hustomter, hvor der bygges eller er bygget beboelseshus, naar grunden er iidskilt og solgt af nEermeste odelsmand. 3. De i § 7 omhandlede eiendomme. § 2. Anlwg — navnlig for forEedling af jord- eller skogbrugsprodukter — som efter sin beskaffenbed, storrelse eller ovrige forhold maa ansees som et tilbehor til den jordeiendom, hvor ankegget er beliggende, fOlger med hensyn til odelslosning samme regler, som for saadan eiendom foreskrevet. § 3. Agter nogen at faa eiendom, hvorpaa oddl hviler, erklEeret odelsfri for at anvendes paa saadan maade, som er anfOrt i § 1 no. 1, saa kan mm foranstalte spOrsmaalet afgjort ved lovligt skjon. Til skjOnnet skal de odelsberettigede hidkaldes ved stevning, som enten med sedvanligt varsel forkyndes for enhver af dem eller med 3 nimineders varsel kundgjores paa den maade, 1907 er bestemt for mortifikationsstevninger angaaende heftelse 16 jun. paa fast eiendom. Nr. 1. Dersom skjonsmwndene finder, efter de af sagsogeren fremlagte oplysninger og planer, at det tilstrEekkelig er godtgjort, at eiendommen ved den paatmnkte benyttelse kan frigjores for oddl i kraft af ovenanforte bestemmelse, saa afgiver de kjendelse gaaende ud herpaa. BegjEering orn overskjon kan af enhver af parterne idgives til sorenskriveren inden 4 uger fra underskjonnet. Til overskjOnnet kan indstevning ske ved bekjendtgjOrelse i KundgjOrelsestidende med 4 ugers varsel. Hvis stevningen forkyndes for hver enkelt modpart, gjmlder de sedvanlige regler om varslets lEengde. Vii eieren ved eiendommens anvendelse befolge planer, der vEesentlig afviger fra de ved skjonnet forelagte, maa han for at opnaa sikkerhed mod odelslosning i den udstrmkning, hvortil niervEerende paragraf giver adgang, optage tilliegsskjon i overensstenimelse med foranstaaende regler. Efterat saadan kjendelse som na3vnt er afgivet, kan eiendommen ikke loses med odd; er losningssag allerede anlagt, skal den paa eierens forlangende ha3ves, mod at han erstatter losningsmanden hams havte omkostninger. De i denne paragraf omhandlede skjon kan optages ogsaa efter arbeidets paabegyndelse. § 4. Skulde det ved udlobet af 3 aar fra den tid, der blev optaget hovedskjon i henhold til foregaaende paragraf, vise sig, at det paatEenkte anlwg ikke er for alvor paabegyndt, skal de odelsberettigede have adgang til at anlwgge losningssag angaaende eiendommen. Den her nEevnte frist kan under sEeregne omstEendigheder forlwnges indtil 2 aar ved tilladelse, afgivet af vedkommende regjeringsdepartement inden fristens udlob. I de her nEevnte tilfEelde maa odelspaatale vEere paabegyndt inden 3 aar efter udlobet af den forstnEevnte frist eller i tilfEelde af dennes forltengelse inden 3 aar efter forlEengelsens udlob. LOsningsberettigede er i disse tilfEelde saavel de personer, der ved eiendommens afhEendelse var odelsberettigede, som de senere inden den endelige losningsfrists begyndelse fOdte medlemmer af slegten, forsaavidt disse efter de sedvanlige regler kan erhverve odelsret. § 5. Hvis eier af jord, der pan gnind af anlreg eller bebyggelse af den i § 1 nr. 1 og 2 omhandlede art er undtagen fra odelslosning, onsker at erhverve retslig afgjorelse herfor, liar han adgang til ved skjon at faa jorden erklEeret odelsfri. Om skjonnet og dets tilstevning samt om muligt overskjon gjEelder de i § 3 givne regler. § 6. Mid et industrielt anlEeg med den jord, som ifolge § 1 nr. I antages at burde were forenet med dette, ikke er SOM 1907 — 248 — 16 juli. skyldsat som en sterskilt eiendom, men udgjor del af en store, Nr. 1. saa skal det skjon, sorn faar at trveffe afgjorelse om anlEeggets odelsfrihed, efter forlangende af en af parterne, fastsatte granserne for den del af eiendommen, som bor hore sammen med anlagget. Denne del bor uopholdolig sEerskilt skyldsvettes. § 7. Saafremt eiendom, hvorpan der hviler odd, agtes erhvervet af staten eller en kommune, og det er af saregen interesse for det offentlige, at erhvervelsen sker uden hinder af odelsret, kan kongen bestemme, at saa skal ske. Bestemmelsen kan gjores afhEengig af, at eiendommen inden en nEermere angiven frist bliver undergivet den paatankte benyttelse, eller at dertil sigtende bygningsarbeider eller andre foranstaltninger inden en saadan frist i et vist omfang bliver foretagne. Opfyldes ikke det satte vilkaar, begynder sedvanlig odelslosningsfrist at 10be fra det i beslutningen satte tidspunkt: berettigede til losning er i dette tilfrelde saavel de personer, der ved eiendommens afheendelse var odelsberettigede, som de senere inden losningsfristens begyndelse fodte medlemmer af slegten, forsaavidt disse efter de sedvanlige regler kan erhverve odelsret. Forinden saadan tilladelse som oven omhandlet meddeles, skal sporsmaalet have vreret forelagt til udtalelse for nogen af de til eiendornmen nEermest odelsberettigede, som har bekjendt opholdssted inden riget, saavelsom for amtsudvalget i det distrikt, hvor eiendommen er beliggende, og tillige for vedkommende herredsstyre. Er odelssag allerede anlagt for bestemmelsens afgivelse, stanses ikke sagen derved. § 8. Denne by trader i kraft straks. Er der paa den tid, loven trEeder i kraft, indtraadt adgang for nogen til at gjore gjaldende odelsret til en eiendom. som omhandles i denne by, da skal den lovgivning, som un staar ved magt, fremdeles gjEelde med hensyn til bans adgang til at lose og til, hvad der or losningsret undergivet. Men han maa da, ifald foraeldelse ikke er begyndt at lobe, forend loven traadte i kraft, anlagge losningssag inden 3 aar efter den tid; gjOr ban ikke det, skal loven anvendes ogsaa overfor ham. Thi har vi antaget og bekrreftet, ligesom Vi herved antager og bekrEefter denne beslutning som by under rigets segl. C4ivet paa Kristiania slot den 16cle juli 1907. Paa Hans Majestat Kongens vegne, efter bemyndigelse: (hr. Michelson. J. Lovland. Sans Aretander. Harald !Wilmer. Lehmk Hill. Otto Jensen. A. Berge. Sven Aarrestad. (L. S.) 249 — 1907 Loy 16 juli. Nr. 2. indeholdende M181g til og forandring i by af 29de april 1ti99 angaaende befordring af meddelelser ved hjtelp air telegrailinjer og lignende aniteg. Vi Haakon, Norges konge, gjor vitterligt: At ()s er bleven forelagt det nu forsamlede, ordentlige stortings beslutning af 2den juli d. a., saalydende: § 1. Paa skibe, der forer norsk flag, og som ikke til• borer den norske orlogsmarine, maa, saavel inden- som udenfor rigets granser, stationer eller indretninger for telegrafering eller telefonering uden traad kun anbringes og drives efter forud indhentet tilladelse, der meddeles af kongen eller den, han dertil bemyndiger, paa visse fastsatte vilkaar og for et nEermere angivet tidsrurn. Tilladelsen kan naarsamhelst tilbagekaldes, naar de opstillede vilkaar ikke overholdes. Paa skibe, der fOrer fremmed flag og befinder sig paa norsk sjoterritorium, maa selv om der for samme haves tilladelse fra det fremmede lands myndigheder — telegrafering og telefonering uden traad kun ske under iagttagelse af tie bestemmelser, som heroin hates af kongen eller den, han dertil bemyndiger, af hvem forovrigt al telegrafering eller telefonering fra saadanne skibe kan forbydes, forsaavidt omstEendighederne kan skjonnes at krEeve dette. § 2. De i by af 29de april 1S99 under § 1, 2det passus, nmvnte undtagelser vedrOrende driften af aniseg, som kun benyttes af en kommune eller privatmand til eget brug, eller som jernbanerne udforer af hensyn til sin egen drift, gjeelder ikke, forsaavidt angaar driften af anlwg for telegrafering eller telefonering uden traad. § 3. Overtreedelser af foranstaaende bestemmelser straffes paa den i by af 29de april 1899 § 6 omhandlede maade. TN hal. Vi antaget og bekraftet, ligesom Vi herved antager og bekriefter denne beslutning som by under rigets segl. Givet paa Kristiania slot den 16de juli 1907. Paa Hans Majestat Kongens vegne, efter bemyndigelse : (1hr. Michelsen. Harald Bothner. .1. 1,01-land. Sofus Aretander. Lehmkuhl. Otto Jensen. A. Berge. Sven Aarrestad. L. S.) Hesselberg. Hesselberg. 4 1907 — 250 — Lov 16 juli. Nr. 3. om hamlets n IP ri Vi Haakon, Norges konge, gjor vitterligt: At Os er bleven forelagt det nu forsamlede, ordentlige stortings beslutning af 10de juli d. a., saalydende: Forste kapitel. Kjobmandsh andel. § 1. Naar ikke andet udtrykkelig er sagt i denne by, udkrmves handelsret som kjobmand af den, som for egen regning, selv eller gjennem andre, vii handle med dertil indkjobte varer eller drive kommissionshandel, handelsagentur, boghande l, vekseler- eller bankforretning. Dette gjmlder ogsaa forbrugsforeninger, selv om de irdkjobte varer bare slges til foreningens medlemmer. Bankindretninger, som er oprettet ved by eller er offentlig godkjendt, tiltrwnger ikke handelsret. Uden handelsret kan hvemsomhelst give en kjobmand varer i kommission. § 2. Nringsbrev paa kjobmandshandel (handelsbrev' meddeles fuldmyndige indvaanere af riget efter skriftlig soknad. Denne skal were ledsaget af: ent e n: vidnesbyrd om, at ansogeren i mindst 3 aar — indenlands eller udenlands — liar vwret fuldmwgtig, handelsreisende, handelsbetjent eller kontorist ved nogen af (le forretninger, som er nwvnt i § 1, eller ved en industriel virksomhed, eller at han i samme tidsruni liar vwret farmaceu t ved indenlandsk apotek ; eller: afgangsvidnesbyrd fra en skole med bogholder i son' skolen maa were godkjendt dertil af vedkommende (1(.1):11t,ment; eller: vidnesbyrd fra to trovmrdige personer, som i mindst fern aar har drevet og fremdeles driver nogen af de forretfinger, som er nmvnt i § 1, eller nogen industrie l virksomhed, °in at han har fornoden kyndighed i handelsbogholderi (jfr. § 11). Dette vidnesbyrd skal were udfeerdiget efter forskrift, fastsat af vedkommende departem ent. Med indvaanere af riget menes i denne by enhver, som har opholdt sig i landet uathrlitit i inindst 1 aar og fremdeles er bosat her. § 3. Handelsbrev udflerdiges i kjobstad og ladested af inagistraten, paa landet i f I ensmanden, mod den godtgjorelse, som sportelloveu fastsa-tter, og indfores i en godkjendt bog. — 251 — 1907 Om handelsbrevets udstedelse sendes straks underretning til 16 juli. politimesteren, hvis denne ikke tillige er magistrat, og paa Ian- NI% 3. det til ordforeren. Opsigelse af handelsbrev foregaar hos den myndighed, som har udfmdiget det. § 4. Udelukket fra at opnaa handelsbrev er enhver, som ved dom for strafbar gjerning er frakjendt statsborgerlige rettigheder eller er i det ti1flde, som grundlovens § 52 a neevner. Handelsbrev kan heller ikke meddeles skibsforere, lodser, embedsmeend, politiets og toldvmsenets tjenestemmnd, apotekere og offentlig godkjendte vragere. Det samme gjeelder den, som lever i egteskab med nogen, som har en af disse stillinger. Fritagelse fra forskrifterne i dette led af paragrafen skal dog kunne gives af kongen eller den, han overdrager det til. § 5. Handelsbrev kan loses hvorsomhelst i riget, i eller udenfor bostedskommunen, men ikke i mere end en kommune paa samme tid. Handelsbrevet giver ret til handel fra et fast udsalgssted eller andet forretningssted i den kommune, som det lyder paa. Bankvirksomhed kan dog med hjemmel af samme handelsbrev udoves samtidig i flere kommuner og fra flere forretningssteder. Ligesaa skal sam.virkende (kooperative) handelsselskaber have ret til at have mere end et udsalgssted i nringskommunen, dersom de bare seelger til sine medlemmer, naar vedkommende handelsselskab loser handelsbrev for hvert enkelt udsalgssted. En kjobmand kan have kontor paa et andet sted i neeringskommunen end udsalgsstedet ; men han maa da ikke levere varer fra kontoret. Solgte varer kan leveres fra pakboder eller andre oplagssteder, selv om disse bigger adskilte fra udsalgsstedet. Det er forbudt kjobmwnd at lade varer falbyde ved ombring eller udenfor markedstiden at udstille varer til salg paa offentlige steder. Naar en forretning aabnes eller flyttes indenfor neeringskommunen, skal vedkommende melde det til politiet. § G. Kjobmand kan ikke opnaa nyt handelsbrev i nogen anden kommune, for han har opsagt sit tidligere handelsbrev, og der er gaaet et aar, siden dette blev udstedt. Hvis ikke seerlige oinsteendigheder maatte tale derimod, skal et opsagt handelsbrev, med fornoden paategning af naeringskommunens magistrat eller lensmand, gjwlde som sikkerhed for, at ansogeren fyi(ler de vilkaar, som er nvnt i § 2. Fritagelse fra forskriften i denne paragrafs forste led kan gives af kongen eller den, han overdrager det til. § 7. Den handelsret, som tilkommer en kjobmand, gaar over paa hans enke, om hun ikke selv allerede for ham b andelsret. For at hun skal kunne vedblive at udove den han- 1907 •)"•) — 261 — 16 juli. delsret, hun saaledes liar faaet, maa hull inden 6 maaneder Nr. 3. efter mandens dod godtgjore for den myndig hed, som er nsevnt i § 3, enten at hun fylder vilkaarene i § 2 (jfr. § 4), eller at him driver sin forretning gjennem fuldmwgtig, som fylder disse vilkaar. Arviug over 18 aar kan drive forretningen, indtil han bliver fuldmyndig, naar det sker gjennem fuldmmgtig, som godtgjor, at han fylder de nmynte vilkaar. § 8. Dersom ansvarlige selskaber og kommauditselskaber (derunder ogsaa kommanditaktieselskaber) skal kunne drive nogen virksomhed, som kraever handelsret, maa enhver deltage r, som liar ret til at tegne selskabets navn, have handelsbrev i vedkommende kommune. Ingen af disse kan da samtid ig udove sin handelsret paa Linden maade. Aktieselskaber og andre selskaber med begroenset ansvar kan meddeles handelsbrev og drive handelsmering, saalainge en deltager, som or medlem af styret, fylder vilkaar ene i § 2, jfr. § 4. Hvem dette er, skal til enhver tid vaare opgivet for den myndighed, som bar udstedt handelsbrevet. Hvis de selskaber, som er ncevnt i forrige led, bruger forretningsforer eller disponent, skal ogsaa han fylde de samine vilkaar. Som selskab med begramset ansvar regnes eth-vert selskab med fore end 20 medlemmer eller med skiftende ruedlemstal eller skiftende kapital, selv om dets medlemmer er fuldt ansvarlige. Om samvirkende selskab ifolge § 5 loser mere end et handelsbrev i nseringskommunen, er det nok, naar et medlem af selskabets styre og i tilfseld e dots forretningsforer fylder vilkaarene i § 2, jfr. § 4. § 9. Kjobmsend skal betale en aarlig afgift til nseringskommunen af kr. 25,00 uden fradrag i sine andre skatter. Dette &elder, selv om de ingen forretning driver, eller or bead udenfor nringskommunen. Afgiften forfalder inden udgangen af januar maaned. Det forste aar betales afgiften fuldt ml, naar handelsbrevet loses, enten det er for eller senere i aaret. Afgiften kan inddrives ved udpant ning. Hvis udpantning faafmngt er afholdt, og afgiften ikke or betalt inden en maaned derefter, or handelsbrevet sat lid af kraft. I de handelsselskaber, som er nsevnt i § 8, forste led, skal disse forskrifter gja4de alle dem, som liar handelsbrev. § 10. En kjobmands clodseller konkursbo liar ret til at udswlge de varer, boet sidder inde med ved dodsfaldet eller konkursens aabning, og dodsboet bar desuden ret til i lebet at et aar at sselge varer, som or indkjobt til it( lfylding. Ingen konkursskyldner bar ret til at udove anden handelsret som kjobinand end kommissionshandel eller handelsagen- •ir 1907 ved lag, bliver derfor § 9 i by om handelen i Finmarken 16 juli. af 13de september 1830 fremdeles gjagclende. Nr. 3. Tiende kapitel. Forskjellige forskrifter. § 32. Enhver kan underhaand eller ved auktion sa31ge eller udfore nye eller gamle ting, som han kan godtgjore at have faaet eller kjobt til eget brug. Paa samme maade kan offentlige myndigheder slge inddragne varer eller hittegods. § 33. Naar omstwndighederne maatte tilsige det, kan det krseves i forelseg af pengebod for overtra3de1se af nogen af lovens forskrifter om omforselshandel, at vedkommende straks siger fra, om han vedtager forelgget. Ligeledes kan det fastsmttes i forelsegget, at sigtede hos politiet skal nedla9gge eller stille sikkerhed for den sum, boden lyder paa, hvis han ikke straks vedtager forelaagget. Sigtede kan paagribes og swttes i varetgtsfeengsel, dersom han ikke opfylder disse vilkaar. Bliver nogen &int for ulovlig at have udovet handelsnring, som er paalagt smrskilt afgift, skal afgiften betales for den tid, ban bar udovet nwringen. § 34. De srlige forskrifter, som gjwlder for salg af brmndevin, 01, yin, frugtvin og mjod, guld- og solvarbeider, spillekort, margarin, almindelige maal- og vegtredskaber, lotterisedler, ildsfarlige ting, almanaker, kalendre og fortidslevninger skal fremdeles staa ved kraft. § 35. Naar deune by traeder i kraft, opha3ves det, som endnu er gjealdende i folgende love: by angaaende borgerskabs meddelelse til handlende af 8de juni 1818; by om handelen i Finmarken eller Vest- og Ostfinmarkens fogderier af 13de september 1830 §§ 3 og 5; by om handelen i Nordlandene m. v. af 9de august 1839 § 3; loy om handelen af 8de august 1842; by om forandringer i samme af 19de august 1845; by af 17de august 1848, indeholdende nsermere bestemmelser for den i § 16, litera a i by om handelen af 8de august 1842 lijemlede frihandel, forsaavidt Kristiania by angaar; by af 3die september 1851, indeholdende forandringer i by om handelen af 8de august 1842; by af 21de januar 1860, indeholdende forandring i by om handelen i Nordlandene af 9de august 1839 in. v.; lov af 22de juni 1863, indeholdende forandringer i den om handelen i Finmarken gjmldende lovgivning undtagen dens § 8, som bliver gjseldende til udgangen af aaret 1908; lov om udvidelse af handelsfriheden paa landet af 26de mai 1866; by indeholdende adskillige bestemmelser om politivmsenet i Kristiania af 26de inai 1866, § 2, litera c, forsaavidt markedshandel angaar; by af 4de juni 1866, indeholdende foraudring Nwk Lovtidende 1907. lste afdeling nr. 21. 2 — 252 ---- 1907 16 juli. delsret, hun saaledes bar faaet, maa hun inden 6 maaneder Nr. 3. efter mandens dod godtgjore for den myndighed, som er na3vnt i § 3, enten at hun fylder vilkaarene i § 2 (jfr. § 4), eller at hun driver sin forretning gjennem fuldmwgtig, som fylder disse vilkaar. Arving over 18 aar kan drive forretningen, indtil ban bliver fuldmyndig, naar det sker gjennem fuldmw,gtig, som godtgjor, at han fylder de nawnte vilkaar. § 8. Dersom ansvarlige selskaber og kommanditselskaber (derunder ogsaa kommanditaktieselskaber) skal kunne drive nogen virksomhed, som krwver handelsret, maa enhver deltager, som liar ret til at tegne selskabets navn, have handelsbrev i vedkommende kommune. Ingen af disse kan da samtidig udove sin handelsret paa anden maade. Aktieselskaber og andre selskaber med begrwnset ansvar kan meddeles handelsbrev og drive handelsnring, saalwnge en deltager, som er medlem af styret, fylder vilkaarene i § 2, jfr. § 4. Hvem dette er, skal til enhver tid va3re opgivet for den myndighed, som bar udstedt handelsbrevet. Hvis de selskaber, som er nEevnt i forrige led, bruger forretningsforer eller disponent, skal ogsaa han fylde de samme vilkaar. Som selskab med begramset ansvar regnes ethvert selskab med flere end 20 medlemmer eller med skiftende medlemstal eller skiftende kapital, selv om dets medlemmer er fuldt ansvarlige. Om samvirkende selskab ifolge § 5 loser mere end et handelsbrev i nwringskommunen, er det nok, naar et medlern af selskabets styre og i tilfmlde dets forretningsforer fylder vilkaarene i § 2, jfr. § 4. § 9. KjobmEend skal betale en aarlig afgift til nwringskommunen af kr. 25,00 uden fradrag i sine andre skatter. Dette gjwlder, selv om de ingen forretning driver, eller er bosat udenfor neeringskommunen. Afgiften forfalder inden udgangen af januar maaned. Det forste aar betales afgiften fuldt lid, naar handelsbrevet loses, enten det er for eller senere i aaret. Afgiften kan inddrives ved udpantning. Hvis udpantning faafFengt er afholdt, og afgiften ikke er betalt inden en maned derefter, er handelsbrevet sat ud af kraft. I de handelsselskaber, som er nEevnt i § 8, forste led, forskrifter gjaalde alle dem, som har handelsbrev. disse skal § 10. En kjobmands dods- eller konkursbo bar ret til at udswlge de varer, boot sidder inde med ved dodsfaldet eller konkursens aabning, og dodsboet har desuden ret til i lobet af et aar at sEelge varer, som er indkjobt til udfylding. Ingen konkursskyldner har ret til at udove anden bandelsret som kjobmand end kommissionshandel eller handelsagen- — 253 — 1907 tur, for boet er sluttet, eller akkord er stadfa3stet af skifte- 16 juli. retten. § 11. Det paaligger enhver kjobinand at fore boger, Nr 3. som skal vise, hvorledes forretningen gaar, og pengene bruges. Bogforslen skal altid give oplysning om, hvad der af penge eller varer er udtaget til kjobmandens og hans families brug. Der skal i det mindste fores dagbog eller kladdebog, kassebog og regnskabsbog for fordringshavere og skyldnere (kontobog). Disse boger skal va3re indbundet, og siderne eller bladene noiagtig numereret, for de tages i brug. Det, som er skrevet i bogerne, maa ikke gjores ulselig. Heller ikke maa noget blad rives ud. Naar forretningen aabnes, skal alle eiendele og gjwldsforpligtelser opfores. Hvert aar foretages noiagtig afslutning af bogerne. Derefter skal formuesstillingen (status) indfores i en smrskilt bog og underskrives af forretningens eier, eller om der flere ansvarlige deltagere, af dem alle. I aktieselskaber og andre selskaber med begraanset ansvar (jfr. § 8, nmstsidste led) skal formuesstillingen underskrives af styret. Ved opgjoret af formuesstillingen maa udestaaende krav og andre eiendele ikke seettes Mere end til deres sandsynlige Krav, som er blevet for gainle eller ikke kan ventes indfriet, maa ikke medtages. Hvert aar skal optages fortegnelse over varerne. Det paaligger enhver kjobmand i 10 aar at gjemme sine handelsboger, deriblandt ogsaa den bog, som indeholder formuesopgjoret, med tilhorende varefortegnelse, modtagne forretningsbreve og kopiboger, dersom saadanne er fort. I aktieselskaber og andre selskaber med begrwnset ansvar er styrets medlemmer ansvarlige for opfyldelsen af de pligter, som denne paragraf foreskriver. Andet kapitel. Salg af varer af egen tilvirkning. Haandverkeres udvidede salgsret. § 12. Indvaanere af riget liar ret til frit at afstte de varer, som de her i riget selv har tilvirket eller ladet tilvirke, naar de iagttager folgende regler: a. Fast udsalgssted kan tilvirkeren bare have ved sin bolig i hjemstedskommunen og der, hvor tilvirkningen er foregaaet. Enhver, som har haandverksborgerskab eller nalringsbrev paa haandverk, fabrikanter og verkseiere skal dog have ret til at have endnu et fast udsalgssted i by, naar de gjor melding derom til politiet. For haandverkere gja4der dette bare i den by, hvor de driver sit haandverk. 1907 li; juli. Nr. 3. — 254 — b. Salg ved omforsel af varer af egen tilvirkning er udenfor tilvirkerens hjemstedskommune og tilgrwnsende kommuner undergivet reglerne i § 19, sidste led. § 13. Enhver,som bar haandverksborgerskab eller neeringsbrev paa haandverk, kan med hjemmel heraf ogsaa saAge varer, som er tilvirket af andre, naar de er af samme slag, som de han selv tilvirker, eller er ting, som sedvanlig borer med til saadanne varer. Til nmringsdrivende i samme fag kan han endvidere slge redskaber og raaemner, som bruges i hans neeringsdrift. Den handelsret, som efter denne paragr af tilkommer en haandverker, kart bare udoves, saa leenge han kan godtgjore at drive haandverksvirksomhed, og maa forega a fra hans faste udsalgssted eller, hvis han ifolge § 12 har flere udsalgssteder, fra t af disse. Tredie kapitel. ()ptagelse af bestillin ger. § 14. Bt til selv eller giennem andre at tinge bort varer bar: a. Indvaanere af riget, naar det gjeelder frihandelsva rer og varer, som de her i riget har virket eller ladet virke. b. Rigets kjobmakmd. Udenfor neeringskommunen skal det dog bare wpre dem tilladt at tinge bort saadanne varer til kjobinwnd og andre nwringsdrivende, som disse omsatter eller bruger som redskaber og raaemner i sin virksomhed. c. Handlende og tilvirkere, som ikke er indvaanere af riget, i samme udstrwkning som kjobmwnd har udenfor sin nwringskommune. Salg af medbragte monstre og prover maa bare foregaa efter de regler, som nedenfor er givet om salg ved omfors el. § 15. Handelsreisende, som ikke er indvaanere af riget, pligter at lose handelspas, dersom de med eller uden prover, for egen eller andres regning, vii indlede eller afslutt e handel om varer, som skal leveres fra udiandet. Handelspasset skal loses hos stedets politimyndighed, naar den reisende konnner til riget, eller for han begynd er sin virksombed. Det udfierdiges bare for et eller flere tidsrum paa 30 dage, regnet fra den dag, passet ridstedes. Det betales forskudsvis med en afgift til statskassen, regnet efter hundre kroner for 30 dage. Paa ethvert sted, hvor forretninger soges indledet, skal handelspasset forevises for politiet, som uden godtgjorelse giver det paategning heroin. — '255 — Fjerde kapitel. Salg ved auktion. § 16. Det er enhver tilladt ved auktion at foretage de salg, som ban efter denne by har ret til uden auktion. Kjobmandsvarer og ubrugte varer, som er tilvirket ved haandverk eller industri, maa dog ikke seelges ved auktion. Under srlige omstaandigheder kan vedkommende amtmand efter soknad give tilladelse hertil. Ting, som er givet til velgjorende eller almennyttige oiemed, kan frit swlges ved auktion. Strandede eller havarerede varer kan, selv om eieren ikke har handelsret, swlges ved auktion paa det sted, hvor de er fort iland, eller hvor amtmanden efter seerskilt soknad tillader det. De varer, som et clods- eller konkursbo har ved dodsfaldet eller konkursens aabning, eller som indehaves af en handelsmand eller haandverker, som vil slutte med sin forretning, og som derfor opsiger sit nringsbrev, kan uhindret af denne by seelges ved auktion i naaringskommunen og udenfor den paa det sted, hvor varerne da var. Ligeledes kan auktion bruges i able tilfselder, hvor nogen har ret til mien seerskilt hjemmel at swlge ting, som tilhorer en anden; endvidere, hvor salg sker til oplosning af sameie, eller hvor man swlger ting, som en anden bar krav paa, men udlader at modtage. De forskrifter, som fastseetter, at salg i visse tilfwider skal foregaa ved auktion, forbliver i kraft. Femte kapitel. 1"d forselshandel. § 17. Ret til udforsel til fremmede land af indenrigske varer og af udenrigske varer, som har vret omsat her i riget, tilkommer bare indvaanere af riget. Udforselsretten er undergivet folgende nwrmere forskrifter: a. ITden handelsret kan udfores: Frembringelser af jord-, have- og husdyrbrug — ikke hermetik vildt, vilde bar og bloinster, fersk fisk, is, ertser og sten. b. Den, som har salgsret som tilvirker eller kjobrnand, kan udfore de varer, salgsretten omfatter. c. Fiver af norsk fartoi kan i dette udfore varer, som tilhorer ham selv. For at en kjobmand skal kunne drive udforsel udenfor nseringskommunen, maa han paa det fremmede sted lade sig indskrive hos magistraten eller paa landet hos lenstnanden, som 1907 16 juli. Nr. 3. _ 1907 — 256 -- 16 jun. meddeler ham vidnesbyrd om udforselsret. Dette betales som Nr. 3. handelsbrev efter § 3. Den, som ikke er indvaaner af riget, kan ikke melde varer til udforsel som fuldinwgtig for nogen anden. Sjette kapitel. Frihandel. § 18. Frihandel kan bare udoves af rigets indvaanere. Helt fri er handelen med frembringelser af haveog jordbrug i naturlig tilstand, vilde bar og blomster, ved og trgevirke, tory og torvstro, is, levende og slagtede dyr, ugarvede huder og skind, kjodvarer, vildt og fjeerfa3, fisk og fiskevarer, tillaget mad — ikke hermetik — egg, melk og flode, nOtursmor, ost, bager- og konditorvarer. I smaat er handelen fri med mineralvand, som ikke indeholder gifter, alkoholfrit ol, fyrstikker, saape, penne, blaek, brevpapir, konvolutter, blyanter og lak, salt, petrole um, kul og koks. Varerne maa ikke af frihandlerne vwre indfort fra udlandet. Hermed er dog ikke gjort nogen fravigelse fra forskrifterne om de faste udsalgssteder, haandverkere har tilladelse til at have (§ 12), eller om udforselshandelen (§ 17). Skoleboger og andre skolesager kan lwrere paa landet sa.lge til vedkommende skoles elever. Syvende kapitel. Salg ved omforsel. § 19. Ved omforsel kan enhver indvaaner af riget seelge folgende varer: a. Sten, sand, mursten, kalk og andet lignende bygningsvirke, pottemagerarbeide, fiskeredskaber, baade, baadtilbehor og forarbeidede tondebaand af tree. b. Varer, som han kan godtgjore er frembra gt ved indenlandsk landbrug eller fiske. Ti! omforselshandel regnes ogsaa salg fra jernbanevogn, fartoi eller baad, midlertidig herberge, boder og telte, som er midlertidig opfort eller kan flyttes, eller fra andet oplag eller udsalgssted, som smlgeren bare bruger til enkelte tider af aaret. Omforselshandel efter denne paragraf maa ikke drives fra samme udsalgssted leengere end 2 maaneder i et treek eller i samme kalenderaar mere end 4 maaneder ialt. Saafretnt om- 957 1907 forselshandelen varer over fjorten dage, skal slgeren melde 16 juli. det til politiet. Nr. 3. § 20. Udenrigske varer, som er indfort her til riget, kan hvemsomhelst, fra det fartoi, den band eller jernbanevogn, som varen er indfort i, seelge til rigets kjobmsend og til andre neeringsdrivende inden riget, som omsmtter eller bruger saadanne varer i sin virksomhed. § 21. Varer, som seelgeren godtglor er tilvirket ved indenlandsk husflid, — dog ikke fmrdige klmder og skotoi — kan indvaanere af riget swlge ved omforsel efter skriftlig til1adelse af politiet. Det samme gjwlder ubrugte trykte boger. Tilladelsen udstedes for kalenderaaret og for det enkelte politidistrikt eller dele deraf. Den maa altid fores med og forevises, naar det kreeves. Den kan naarsomhelst tilbagekaldes, dersom politiet finder grund dertil. 18, 1, §22. 9 Udenfor de tilfeelder, som er nwvnt i §§ 12 b, 20, 21, 24 og 25, kan omforselshandel bare foregaa paa landet i Nordlands, Tromso og Finmarkens amter og bare i de af disse amter, hvor det bliver fastsat af kongen efter vedkommende amtstings forslag. Den, som vii drive slig handel, skal hertil lose et nwringsbrev, som skal lyde paa vedkommendes navn og gjmlder for kalenderaaret. Nmringsbrevet udfmrdiges uden godtgjorelse af politimesteren (fogden), i byerne magistraten paa vedkommendes hjemsted. Den handlende skal altid fore det med sig og fremvise det, naar det krmves. Neeringsbrev paa omforselshandel meddeles bare fuldmyndige indvaanere af riget. Det bor ikke tilstaaes nogen, som hat. overskredet den nmringsret, han for har havt, eller har gjort sig skyldig i strafbar gjerning, som kan medfore hoiere straf end pengebod, eller som kan mistwnkes for at va.re losgjmnger eller tigger. Under de samme omstaandigheder kan den politimyndighed, som har rtdstedt neeringsbrevet, naar som heist tilbagekalde det, ligesom det stedlige politi ved paategning kan swtte det ud af kraft indenfor sit embedsomraade. 1 hvert amt, hvor neeringen agtes udovet, skal neeringsbrevets indehaver uden fradrag i sine andre skatter betale en afgift til amtskommunekassen af ikke under kr. 25,00 og ikke over kr. 200,00 efter amtstingets afgjorelse. Afgiften kan indenfor disse greenser fastsmttes til forskjellige belob efter handelens art, udoverens hjemsted i eller udenfor amtet eller andre lignende omsteendigheder. Den maa vwre indbetalt til nmnneste lensmand i vedkommende amt og paategning derom paafort neeringsbrevet, for handelen kan begynde. For dette tilkommer lensmanden kr. 2,00 af den neeringsdrivende. 1907 — 258 — 16 juli. Uhindret af denne paragraf kan den, som indenfor vedNr. 3. kommende kommune driver handel enten som kjobmand eller som tilvirker efter § 12, bruge til fast udsalgssted en bod eller lignende, som er midlertidig opfort eller kan flyttes. Ligesaa skal hans udsalgssted gjwlde som fast, selv om han bare bruger det en kortere tid. § 23. Chid- og solvsager, smykker, spillekort, lommeure og lgemidler maa ikke saalges ved omforsel. § 24. Den salgsret, som tilkommer nogen efter denne by, kan ogsaa udoves paa ethvert offentligt marked, naar det gjallder ting, som det er tilladt at swlge paa markedet. Den, som driver omforselshandel efter § 22, har dog bare salgsret paa offentligt marked indenfor det amt, hvor han ifolge sit nringsbrev har ret til at handle. De nwrmere regler om markedshandel og om afgift for den faststtes ved kommunal vedtwgt. § 25. Naar det ikke strider mod kommunal vedteegt, kan politiet give tilladelse til ved omforsel inden vedkommende kommune at swlge blade, billeder, festtegn og andre smaating og til ved enkelt leilighed i velgjorende eller almennyttigt oiemed at sEelge ting, som er indkjobt dertil. Tilladelsen kan enten were almindelig eller gjaalde for enkeltmand. Saadan handel skal vaare underkastet de regler, som er givet derom i vedtwgt eller af politiet. Paa samme maade kan tilladelse gives til at swlge blade, tidsskrifter, reiselwsning, frimerker og brevkort fra udsalgsboder paa gade, plads eller privat jernbane- eller sporveisstation. Uden kommunal vedtwgt kan sligt salg tillades af jernbanestyrelsen paa statsbanernes stationer og af poststyrelsen paa postskibene. Ottende kapitel. Visse smrskilte slags handel. § 26. Gifter og apotekvarer maa bare smlges fra rigets apotek, naar ikke andet udtrykkelig er fastsat i denne by. Det tilkommer kongen at fastsmtte, hvad som skal regnes for gifter og apotekvarer, og i hvilken udstrsekning dette skal gjEelde for hver enkelt vare. Forslag derom skal forud were afgivet af et udvalg, som opnEevnes af kongen, og som skal sammensmttes af 2 apotekere og 3 andre medlemmer, tilhorende handel og industri. De forskrifter, som saaledes bliver fastsat, skal paa samme maade undergives et gjennemsyn hvert 10de aar. Udvalgets forslag skal kundgjores mindst 3 maaneder, for kongen fatter sin afgjorelse. Paa samme Maade skal det fastsaAtes, hvad som skal regnes til den afdeling af gifter, som er nEevnt i § 27 a, og — 259 — 1907 hvilke ting der skal kunne seelges baade af apotekere og af 16 juli. Nr. 3. kjobmEend. Kongen eller den, han overdrager det til, kan gjore saadanne mndringer i de udfmrdigede forskrifter, som i tiden mellem hvert gjennemsyn viser sig nodvendige, og tillige afgjore, om nye ting, som efter sidste gjennemsyn er kommet i handelen, skal komme ind under apotekeres salgsret eller enehandel. Naar det efter denne paragraf fastsaattes, hvad som skal komme ind under apotekeres enehandel, skal det haves for oie, at der ikke bliver gjort storre indskrwnkninger i handelen med stoffer, som bruges til kunst, husflid og industri, end sundhedshensyn krwver. Denne paragraf skal ikke vmre til hinder for, at der fra apotek seelges ogsaa andre ting end de, som her er nawnt, naar de bruges i sundheds- eller sygepleie. § 27. For salg af apotekvarer og gifter udenfor apotek skal gjaalde folgende forskrifter: a. Med politiets tilladelse kan kjobmEend sw4ge gifter, som ikke er sserlig farlige, og som i storre udstreekning har teknisk anvendelse. b. Med vedkommende departements tilladelse kan alle slags gifter og apotekvarer swlges af kjobmmnd, som har de egenskaber, som kraaves for at blive apoteker, eller som paa anden maade har godtgjort, at de har den nodvendige uddannelse og varekundskab. Det salg, som er neevnt i denne paragraf, kan bare foregaa til andre kjobmsend, som har ret til at seelge vedkommende ting, og til apotekere, fabrikanter eller andre industridrivende, som bruger dem i sin virksomhed, og til bestyrere af offentlige laboratorier og videnskabelige indretninger, som ikke or sygebus eller pleiehjem. Tilvirkere af gifter og apotekvarer kan bare spalge sine varer til de kjobmEend og forbrugere, som er neevnt i denne paragraf. Det salg, som or neevnt i denne paragraf, skal foregaa efter faste regler for saadanne varers opbevaring, forsendelse og afheendelse og for tilsynet dermed. Disse regler udfmrdiges af kongen eller den, han overdrager det til. § 28. Handel med brugte eller kasserede ting kan bare drives efter sserskilt tilladelse af politiet. Afgift af saadan peering og forskrifter for udovelsen af den kan fastseettes ved kommunal vedteegt. Niende kapitel. Smrskilte forskrifter for de nordlige landsdele. § 29. Folgende seerskilte forskrifter skal gja,lde i Nordland, Tromso og Finmarkens amter: 1907 16 jun. Nr. 3. — 260 — a. Salgsret efter § 20 tilkommer bare indvaanere af riget. b. Russiske undersaatter, som driver fiske fra de steder, som er nawnt i by om th-lcerierne i Finmarken af 13de september 1830 § 40, skal indtil videre have ret til paa disse steder at seelge sin fangst. C. I Vesteraalens distrikt af Nordlands amt og i Tromso og Finmarkens amter skal &mere af russiske fartoier fra egnene om Hvidehavet og Nordishavet indtil videre have ret til fra 15de juni til 30te september af alle og enhver, for egen eller andres regning, at kjobe eller mod vederlag i fiskeredskaber, hamp, jern, korn, mel, gryn, seildug, tjmre, taugverk og treevirke at tilbytte sig og selv opgive til udforsel raa og saltet fisk. Forskrifterne i dette led kan kongen efter amtstingets soknad udvide til at gjwlde ogsaa steder indenfor Lofotens distrikt. De kongelige resolutioner af 19de april 1879 og 19de december 1881 om makketidshandelens udvidelse til enkelte steder i samme distrikt skal gjmlde indtil videre med de a3ndringer, som folger af denne by. d. Lov af 27de juni 1892 om forbud mod udforsel af tr virke in. v. fra Nordland, Tromso og Finmarkens amter og by af 20de februar 1904 til forebyggelse af smughandel med spirituose drikke i Tromso stift og Namdalens fogderi af Nordre Trondhjems amt bliver fremdeles gjwldende. § 30. Russiske undersaatter fra greenseegnene og svenske undersaatter skal indtil videre have ret til paa offentlige markeder i Tromso og Finmarkens amter at seelge til able og enhver disse egnes frembringelser af de almindelige landboweringer, jagt og husflid. § 31. Det paaligger den, som har handelsbrev paa landet i Tromso stift, at modtage opnwvnelse som gjestgiver. Smrskilt for Finmarkens amt skal gja31de folgende afvigelser fra lovens almindelige regler: a. Det paahviler den, som har handelsbrev paa landet, at overtage tinghold og afgive hue til ekstraretter og at gjore tjeneste som dampskibsekspeditor og postaabner mod den godtgjorelse, som er eller bliver fastsat. b. Naar nogen loser handelsbrev paa landet, skal han istedet for den godtgjorelse, som er fastsat i sportelloven, betale en afgift af kr. 40,00 til Finmarkens braandevinsafgiftskasse. c. Denne by gjor intet skaar i den handelsret, som er tilstaaet russiske undersaatter ved overenskomst af 8de mai —26de april 1838. Saala3nge denne overenskomst staar — 261 — 1907 ved lag, bliver derfor § 9 i by om handelen i Finmarken 16 in]i• af 13de september 1830 fremdeles gjmldende. Nr. 3. Tiende kapitel. Forskjellige forskrifter. § 32. Enhver kan underhaand eller ved auktion sa4ge eller udfore nye eller gamle ting, som han kan godtgjore at have faaet eller kjobt til eget brug. Paa samme maade kan offentlige myndigheder seelge inddragne varer eller hittegods. § 33. Naar omstndighederne maatte tilsige det, kan det kreeves i forelg af pengebod for overtrmdelse af nogen af lovens forskrifter om omforselshandel, at vedkommende straks siger fra, om han vedtager forelwgget. Ligeledes kan det fastseettes i foreleegget, at sigtede hos politiet skal nedleegge eller stille sikkerhed for den sum, boden lyder paa, hvis han ikke straks vedtager forel2egget. Sigtede kan paagribes og sttes i varetwgtsfeengsel, dersom han ikke opfylder disse vilkaar. Bliver nogen (lomt for ulovlig at have udovet handelsnwring, som er paalagt srskilt afgift, skal afgiften betales for den tid, han bar udovet nmringen. § 34. De swrlige forskrifter, som gjeelder for salg af braandevin, 01, yin, frugtvin og mjod, guld- og solvarbeider, spillekort, margarin, almindelige maa1- og vegtredskaber, lotterisedler, ildsfarlige ting, almanaker, kalendre og fortidslevninger skal fremdeles staa ved kraft. § 35. Naar denne by tra3der i kraft, ophawes det, som endnu er gjepldende i folgende love: by angaaende borgerskabs meddelelse til handlende af 8de juni 1818; by om handelen i Finmarken eller Vest- og Ostfinmarkens fogderier af 13de september 1830 §§ 3 og 5; by oin handelen i Nordlandene in. v. af 9de august 1839 § 3; by om handelen af 8de august 1842; by om forandringer i samme af 19de august 1845; by af 17de august 1848, indeholdende neermere bestemmelser for den i § 16, litera a i by om handelen af 8de august 1842 hjemlede frihandel, forsaavidt Kristiania by angaar; by af 3die september 1851, indeholdende forandringer i by om handelen af 8de august 1842; by af 21de januar 1860, indeholdende forandring i by om handelen i Nordlandene af 9de august 1839 in. v.; by af 22de juni 1863, indeholdende forandringer i den om handelen i Finmarken gjmldende lovgivning undtagen dens § 8, som bliver gjmldende til udgangen af aaret 1908; by om udvidelse af handelsfriheden paa landet af 26de mai 1866; by indeholdende adskillige bestemmelser om politiveesenet i Kristiania af 26de mai 1866, § 2, litera c, forsaavidt markedshandel angaar; by af 4de juni 1866, indeholdende forandring Norsk Lovti(len(le 1907. 1ste afdeling nr. 21. 2 1907 — 262 — le. jun. i by om ledelen af 8de august 1842; by om forandringer i Nr. 3. handelslovgivningen af 24de mai 1873; by af 3die juni 1874 oin forandringer i de om makketidshandelen i Nordlands, Tromso og Finmarkens amter gjEeldende bestemmelser ; by indeholdende forandring i lovgivningen om konkurs m. v. af 3die juni 1874 § 5, forsaavidt handelsmsend angaar; by af 22de mars 1879 om forandring i de om makketidshandelen i Nordlands amt gjoeldende bestemmelser; by om udskibningsret af 15de juni 1882 §§ 1-3; by angaaende borgerbreve af 4de juli 1884, forsaavidt angaar borgerbrev paa handelsnring; by om skydsvsesenet af 14de juli 1893 § 71; by om forandring i handelsog haandverkslovgivningen af 29de juni 1894, forsaavidt angaar kvinders adgaug til at erholde handelsbrev; by af 21de juli 1894 om delvis omordning af det civile embedsvEerk, § 3 b, forsaavidt angaar udstedelse af handelsbrev i landdistrikterne ; by om skat paa udenlandske haudelsreisende af 27de juli 1896 og tillsagslov til samme af 13de mai 1899; by om indforsel af apotekervarer samt om handel med gifte og arkana af 16de mai 1904, forsaavidt angaar § 1, 4de og 5te led; by af 26de mai 1906 om forandring i by om handelen af 8de august 1842, og ellers enhver forskrift, som strider mod denne boy. § 36. Den, som udover handelsret med hjemmel af handelsborgerskab, handelsbrev eller landhandlerbevilling, naar denne by trwder i kraft, skal have ret til at drive handelsnring som kjobmand efter denne by og skal i able maader vwre ligestillet med en saadan. Dette gjwlder ogsaa den, som udover handelsret med hjemmel af fast stationshold paa landet, saalmage den overenskomst om stationsholdet staar ved lag, som han bar, naar loven trseder i kraft. Den handelsret, som efter § 2 i by af 22de juni 1863 om forandring i lovgivningen om handelen i Finmarken, drives paa flere steder samtidig, naar denne by trEeder i kraft, kan indehaveren fremdeles udove. Den gaar over paa hans enke og mindreaarige livsarvinger og kan fornyes af bans myndige livsarvinger, naar forskrifterne i denne lovs §§ 7, 2 og 3 iagttages. For enken og arvingerne bortfalder dog denne ret til at drive handel paa flere steder 50 aar, efter at denne by er traadt i kraft. Den aarlige afgift, som kjobmEend skal svare efter § 9, betales af hver handelsret, som vedkommende udover. § 37. Enhver, som loser handelsbrev, efterat denne by er traadt i kraft, skal finde sig i, at de rettigheder og pligter, som han faar efter donne boy, bliver a3ndret ved fly boy. § 38. Denne by trseder i kraft lste juli 1908. De forskrifter, som trmnges til dens gjennemforelse, gives af kongen eller den, han overdrager det til. — 263 — 1907 Forskrifter, som fastseettes ved kommunal vedtwgt efter It; Nr. denne boy, maa have kongens stadfmstelse. •I Thi har Vi antaget og bekrsaftet, ligesom Vi herved antager og bekroefter denne beslutning som by under rigets segl. Givet paa Kristiania slot den 16de juli 1907. Paa Hans Majestmt Kongens vegne, efter bemyndigelse: (hr. Miehelsen. .1. Lovland. Sofus Aretander. Harald Bothner. Lehmkuhl. Otto Jensen. A. Berge. Sven Aarrestad. (L. S.) Hesselberg. Kongelig resolution II; juli. af 16de ,juli. I henhold til by af 22de mai 1875 angaaende adgang til at give dramatiske og andre offentlige forestillinger, dens § 4, meddeles stadfaestelse paa en af herredsstyret for Voss herre d, Sondre Bergenhus amt, under lste juni 1907 fattet beslutnitig angaaende forandring i de ved kongelige resolutioner at 27de juli 1896 og 8de juni 1907 approberede p ol it ivedtwgter for bemeldte herred. Beslutningen er saalydende : *Sangerhus, karussel, kunstberidning. kaplobning, ekvilibristiske og lignende forestillinger, rnenagerier, panoramaer og andre sevwrdigheder saint skydebane, ringkastning og deslige maa ikke holdes uden politiets tilladelse«. Kongelig resolution af 16de juli. I henhold til by af 19de april 1899 angaaende beskyttelse at born mod brug af tobak meddeles stadfa3stelse paa en af herredsstyret for I`or de h er re d, Nordre Bergenhus amt, under 1 t; jult. 4?-6 1907 1 ti — 264 — jun. 26de mars 1907 fattet beslutning til vedtgt angaaen de salg af tobal; til born m. v. VedtEegten er saalydende: § 1. »Salg af tobak i bvilkensomhelst form til 1,arn under 15 aar skal vEere forbudt, uanseet om tobakken al barnet angives kjobt til dets eget eller andres brug. § 2. Det skal ligeledes vEere forbudt at kjobe tobak i nogen form til brug for eller efter opfordring af barn under 15 aar samt at overlade saadant barn tobak som gave eller i laan eller bytte eller mod vederlag i arbeide eller personlige tjenester. § 3. Barn under 15 aar, der nyder tobak paa offentlig plads eller vei, i offentligt forsamlingslokale eller paa andet offentligt sted, kan af politiets tjenestemaend fratages tobakken, piben eller andet redskab, som barnet i tilfwlde benytter. § 4. OvertrEedelser af denne vedtEegt straffes med boder efter lovenc. 16 jul. l Kongelig resolution af 16de juli. 1)e af Haugesunds bystyre i mode den 3die juni 1907 vedtagne regler for handel med brugte eller kasserede gjenstande i Haugesund i medhold af § 2 c i by om handelen af 8de august 1842, jfr. by af 26de mai 1906, stadfaestes som gjEeldende indtil videre med den forandring, at reglernes § 9 gives folgende ordlyd: At disse regler skal et eksemplar were opslaaet i den handlendes forretningssted. De approberede regler er efter dette saalydende: § 1. For tilladelse til handel med brugte eller kasserede gjenstande erkegges en aarlig afgift til bykassen af 10 kroner. Tilladelsen gjEelder kun for et kalenderaa r ad gangen og kan tilbagekaldes, hvis disse regler ikke overholdes. § 2. Handelen maa kiln drives paa steder og i rum, som godkjendes af politiet, og de indkjobte eller modtagne gjenstande maa ikke opbevares udenfor disse steder eller rum. Over indgangsdoren skal den handlendes navn were saa tydelig angivet, som af politiet inaatte bestemmes. § 3. De indkjobte eller modtagne gjenstande maa ikke fjernes fra lokalet, afhmndes, forandres, smeltes eller tilintetgjOres for 7 dage er forlobne efter den (lag, da de kom i den handlendes besiddelse. De skal paa passende maade forsynes med merkelap med Hummer. '265 — 1907 § 4. Pen handlende skal fore en at politiet p,rodkjendt 14; fortegnelse over de indkjobte eller modtagne gjenstande. I fortegnelsen skal anfores gjenstandenes nummer (som paa merkelappen), tygelig angivelse eller betegnelse af gjenstanden, dagen for modtagelsen, den persons navn, stilling og adresse, at hvem den or kjobt eller modtaget, dagen for salget eller afhiendelsen samt den persons navn, stilling og adresse, til hvent den or afhndet. Den handlende er pligtig til naarsomhelst for politiet at fremliegge saavel denne fortegnelse som enhver gjenstand, der befinder sig i hans verge, hvad enten den or opfort i fortegnelsen eller ikke. § 5. Den handlende maa ikke kjobe eller modtage brugte eller kasserede gjenstande af personer, som skjonnes at were under 18 aar, eller af ukjendte personer, som ikke paa betryggende maade kan legitimere sig. § 6. Fra kl. 8 aften til kl. 6 morgen maa ikke handel med heromhandlede gjenstande foregaa. § 7. }Ira bestemmelserne i §§ 2 og 3 knn politiet i sferlige tilfEelde meddele fritagelse. § 8. Overtrmdelse at disse regler straffes overensstennnende med straffelovens §§ 336 og 339 II. § 9. AI disse regler skal et eksemplar were opslaaet i den handlendes forretningsAed. Kongelig resolution be juli. I medhold af by om fredning al' ferskvandsfisk af 30te mai 1894 § 1 fastsEettes folgende fiskefredningsbestemmelser som gjEeldende indtil videre for Tunevandet i Tur e herred, Smaalenenes amt: 1. Alt fiske skal were forbudt fra og med 1ste november til og med 31te mars. 2. Alt fiske skal ligeledes va3re forbinit fra fredag eftermiddag kl. 6 til mandag eftermiddag kl. 6 i tiden fra og med late til og med 31te oktober. lirugen af vad og pilk som fiskeredskab skal vEere forbudt. 3. Overtraedelse af disse bestemmelser straffes efter loven. Hoieste resolution af 1()de oktober 1904 angaaende fredningsbestemmelser for samme vand ophwves. Denne resolution traeder i kraft straks. 16 juli. — 267 — 1907 Kongelig resolution Kongelig resolution 16 juli. af 16de juli. af 16de juli. 966 -- 1907 16 juli. I medhold af by om pigtraads anvendelse til gjEerde af 14de juli 1893 § 1 meddeles stadfEestelse paa en af Ytre Holmedals herredsstyre, Nordre Bergenhus amt, under 7de mai 1907 fattet beslutning, hvorved er bestemt: Pet skal vEere forbudt i Ytre Holmedals herred at svette op gjEerder med pigtraad: a. ved alle veie for almen fmrdsel, b. wed kreaturveie (»feraaser«), c. i delelinjer mellem naboer. Tidligere af pigtraad opforte gja3rder maa ikke repareres med pigtraad undtagen i de tilfEelde, hvor det ifolge ovenstaaende er tilladt at anvende pigtraad. Overtreedelse af disse forskrifter straffes efter loven. Kongelig resolution 16 juli. af 16de ,juli. I medhold af by om fredning af ferskvandsfisk af 30te mai 1894 § 1 bestemmes, at det indtil videre i samtlige vasdrag og fiskevand i Nes herred, Akershus amt, skal were forbudt at anvende folgende fiskeredskaber: 1. Vad, garn eller andre bundne redskaber af mindre maskevidde end 32 mm., maalt mellem knuderne i vaad tilstand. 2. Bakke eller rev. 3. Teine af kvist eller vidier. 4. Lyster. 5. Derhos forbydes ethvert fiske i mai maaned i tiden fra lordag middag kl. 12 til tirsdag middag kl. 12. Dog er herved ingen forandring gjort i de for Kampaaen og Utsjoen wed hoieste resolution af 18de juli 1891 fastsatte fiskeriregler: for andre elvestrEekninger og vande eller tjern, der danner grEense mod naboherred, skal gjEelde de samme regler som i vedkommende naboherred. OvertrEedelse af de i nEervEerende resolution indeholdte bestemmelser straffes efter loven. I medhold at by om fredning af ferskvandsfisk af 30te mai 1894 § 1 bestemmes, at der for F an e herred, Sondre Bergenhus amt, indtil videre skal gjEelde folgende fisk er i re gler : 1. Paa en streekning Aances—Faneelven, der forbinder Kallandsvandet og Klokkervandet, 25 meter ovenfor jernbanebroen og 75 meter nedenfor denne, skal alt fiske med hvilketsomhelst redskab til enhver tid vwre forbudt. 9. Fra 15de oktober til 15de mars, begge dage medregnede, skal alt fiske were forbudt. 3, I tiden fra 15de oktober til 15de november, begge dage medregnede, skal det vEere tilladt at drive fangst af rør med redskaber, hvis maskevidde ikke er mindre end i post 4 anfort. Dog maa saadant fiske kun foregaa paa rorens sEedvanlige gydepladse. Enhver, som vii drive dette fiske, maa hvert aar mindst 3 dage for fiskets begyndelse undervette lensmanden eller opsynet, hvor saadant er anordnet, herom. 4. Pet skal til enhver tid were forbudt at bruge lyster, oter og teiner saavelsom not og garn eller andre bundne redskaber, der i vaad tilstand har mindre afstand mellem knudemo end: a) For fisket i Kallandsvandet og Klokkervandet (Smedviksvandet) saavelsom i det vasdrag, der forbinder disse vande samt i de i vandene faldende elve og bmkke saa langt som orret fra vandene kan gaa op, 2,5 — to og en halv — centimeter; b) for den ovrige del af herredet 2 — to — centimeter. 5. Foranforte bestemmelser bliyer uden anvendelse paa miser og teiner, som anvendes til fangst af aal i tiden fra kl. 6 efterm. til kb. 7 morgen. 6. Disse bestemmelser bliver uden anvendelse paa vande, elve og bEekke, som danner grmnse mod naboherred samt paa fiske af laks eller sj0Orret i elvestraakning eller vand, hvor laks gaar. 7. OvertrEedelse af disse bestemmelser straffes efter lcven. De wed hoieste resolution af 14de juni 1904 for Fane herred fastsatte fiskeriregler ophEeves. 1907 268 Kongelig resolution 14; jii Ii. af 16de juli. 1 medhold at by om fredning af ferskvandsfisk af 30te mai 1894 § 1 faststettes som tilltegsbestemmelse til de ved de hoieste resolutioner af 27de januar 1888 og 14de september 1903 samt Den norske regjerings resolution af 28de september 1905 fastsatte fiske riregler for Ringebu herred, Kristians amt, at alt fiskeri i Imsdalsvandene med tilstodende elve og bwkke skal were forbudt fra 15de september til 15de juni. Overtriedelse af denne bestemmelse straffes efter loven. 16 juli. Kongelig resolution al 1 (;(le juli. I medhold af by om fredning at ferskvandsfisk af 30te mai 1894 § 1 faststettes folgende fiskeriregler som gjwldende indtil videre for Haus herred, sondre Bergenhus amt: 1. Fra 15de september til 31te mars, begge dage iberegnede, skal alt fiske va3re forbudt: ligesaa i den ovrige tid af aaret fra lordag middag kl. 12 til mandag middag kl. 12. 2. Pet skal til enhver tid vmre forbudt at bruge lyster, oter, teiner, kiper eller lignende redskaber saavelsom not, garn eller andre bundne redskaber med mindre afstand mellem knuderne end 30 mm. i vaad tilstand. 3. Det er forbudt med garn eller andre fangstredskaber at staange for elve eller bwkkemundinger, hvor fisk gaar op eller ned. 4. Foranstaaende bestenunelser bliver uden anvendelse paa fangst af aal i maanederne august, september og oktober i tiden fra kl. 6 aften til kl. 7 morgen samt til enhver tid paa fangst af gjedde. Ligesaa paa vande, elve eller bmkke, som (banner grrense mod naboherred, uden forsaavidt at lignende bestemmelser ogsaa gjores gjreldende der, saint paa fiske at laks og sjoorret i elvestrtekninger og vande, hvor disse gaar. 5 Overtrmdelse af disse bestemmelser straffes efter loven. 16 jun. Kongelig resolution af 16de juli. 1 medhold af lov om fredning af ferskvandsfisk af 30te mai 1894 § 1 bestemmes, at de ved hoieste resolution af 14de juni ---- 277 — 1907 Kyreg, der ved undersogelse tindes Fri for tilberkulose, 16 1;r1.1 pna, en i»inefaldende maade vrere merket med ordet >>Sund ,, samt narstallet t(». (Len steillundne tin dersogelse. 10. Sum erstatning for de med heromhandlede undersogelse, merkning, opstaldning og lifilring at' dyrene saint anskaGlse al tuberkulin, instrumenter, fjosets rensiii»g og desinfektion in. v. forhumbie omkostninger skal vedkommende kommime vivre berettiget til at afkrreve importoren en at kommunestyret fastsat og at landbrugsdepartementet g‘o(11;jetult afgift for livert dyr. 11. Landbrugsdepartement et bemyndiges til Inrovi gt at fastsa,tte tiawmere bestemmelser a ngatiende (len her oinliandlede imports ordning. med hensyn til dyrenes undevsogelse og merkning Sand attester og protokoller III. v. forhydes indforsel af drovtyggere Forovrigt 111. storfte, faar. gjeder og andre drovtyggende dyr) fra a 1 le 1911(10, med undtagelse at de russiske havne ved Noraishavet og Det hvide hay, hvorfra del er tilladt at indlore disse dyr til Filimarken. Itensdyrtrafikken til Norge rammes ikke al dette forlaid. Storfte, faar og gjecler forhydes indfort fra F i um a rken ii rigets vivrige egue. I.V. Vi II forhydes indfert fr a al le Ian d e med mid t agelse at 'le under post ITT mevnte russiske havne. hvorfra det er tilladt at indfore disse dyr til Fittmarken. ovFra Fi n mar ken forhevi,i imitort til rigetF: rige egne. V. I{ nude tillades indfort fra Sverige og Danmark paa bet ingelse at, at der medfelger et af vedkommende lands politimyndighed eller af norsk konsul mlfterdiget bevis for, at dyret ikke er indfort til udforselslandet fm andet land end Norge i de sidst forlolme 6 maaneder. Forovrigt or indforsel at linale forinult fra alle lande. H nude, aer eierne at svenske renhjorder og i folge mod disse 1):1 ,,01•01. Finland pan gjennemgang fra Sverige. ram mes ikke af dette forbud. videre were tillath at VI. Huder og sk ind skal (let indfore fra Sverige og Danmark pita betingelse at. at der inedfolger varen et at 'vedkommende lands politimyn(lighed eller at nolsk konsul mist-eat hOVIS nm, at Unilatorekderlie og skindene or indkjoht i vedkommende Innde. land og ikke indfort dertil i raft tilstand fra andre re 0 f,!. vtygge r0 d Forovrigt er imlforsel at ran de le a ,.t(errede 1111(101' af svi n, saasom tit ilheredede skind Nonik Lovticlendc. 191)7. 1,410 afdel int.! iii'. -21. juli. 1907 ,)78 — 269 — eller saltede huder og skind derunder ikke indbefattedel, utilvirkede, utilheredede og urensede haar og borster, soul ikke i forveien er desinficerede saint muler og klover toi budt fra alle lande. Indforsel af us alt et eller ti t IItredet kj od og tie sk smut usme It et t al g skal v:ere toile alt tra Osterrige, It alien, Gratkenland, Ty rk let. I, a Rusland med undtagelse al' indforsel til Finmarken Ira de red Nordishavet og Pet hvide hay heliggende liavue, saint Ira alle lande udenfor Europa. V11. Ind forsel al g r a s, ho og halm t ii ura ge forhydes Ira alle lande welt agen fra Sverige og Danmark saint til fiiiimarken fra de russiske havne ved Nord ishavet op; Pet hvide hay. VIII. Brugte fj sredskaber forbydes indfort Ira Ale Iande, medmindre (let godtgjores, at or sikket.1 deHefieerede. 1)isse hestemmelser trEeder i kraft straks. Salo idig op have' den gkeldende plakat angaaende indforsel at husdyr og smitteforende gjenstande af 20de juni 1904. Hvorefter alle vedkommende liar at retie sig. Givet pan Kristiania slot den 16de juli 1907. Tinder rigets segl. Pan Hans Majestret Kongen vegne. efter bemyn(ligelse : kr. Michelsen. . I MI'I/11111. Sofus A retnniier. Harald Hot hner. Lehmkuhl. Otto Jensen. A. Herge. Sven Anrrestifil. 14. S.) Hesselherg. Rettelse: I ii k ningsvedttegten for Aulesund § 1, 3die passus (1,ov tidendens lste afdeling, side .25)7. Atha. 25de december istedetfor 23de december. 1892 fastsatte fiske riregler for Ringsaker herred, Bede- li; markens amt, forandres derhen. at Ii a herefter bliver saalydende: }Ira og med 1 ste september til aabent vande om vaaren skal alt fiske were forbudt, berfra brug af pilk og kupe til langst af abor undtagen. Kongelig resolution 1 medhold at lov °in inks og sjOorretfiskerierne in. v. at 8de april 1905 § 39 t Wades det indtil videre at drive fiskeri Died stang til og med den 30te september i Mo elven, H o sap ge r flerred, sondre Bergenhus amt. Kongelig resolution 16 af 1(de ,juli. I henhold til by om fredning af ferskvandsfisk af 30te mai 1894 § 1 bestemmes, at (let i et tidsrum af 5 aar fra lste januar 1907 at regne skal were forbudt: 1. til fiskeri i samtlige fjorde, tjern, elve og brekke inden Hols herred, Buskerud amt, at benytte a) lyster, b) bundne redskaber med in indre masker end 30 — tretti - millimeter mellem knuderne i vaad tilstand, c) teiner, sloer og lignende indretninger med mindra afstand end 32 — tretti to -- millimeter mellem spilerne, d) krogredskaber til fiskeri paa isen 2. i de i nEevnte herred beliggende vande, Holsfjorden og Ustedalsfjorden, den sidste med tilhorende elve mellem Tuftebroen og Lauverudfossen, tillige at benytte oter. 3 OvertrEedelse af disse bestemmelser straffes efter loven. NwrvEerende resolution trEeder i kraft straks. at 1 i;de ,1 Grendahl & Sons bogtrykkeri. Kristiania 16 jell. af 16de juli. Kongelig resolution Udgiver: Fred. T. Salicath. 1907 I medhold al by om Inks- og sjoorretfiskerierne m v. at' 8de april 1905 § 39 fastsrettes indtil videre folgende bestemincisor for fiske af laks og sjoorret i Berbyelven i Smaalenenes RIM: iu ,j 1907 — 270 — — 271 — 1907 16 juli. 1. Den aarlige fredningstid sa3ttes til tiden fra og med 26de august til og med 31te mars. 9. Den ugentlige fredningstid sEettes til tiden fra lordag after' kl. 6 til mandag aften kl. 6. Der tillades benyttet bundne redskaber med en maskevidde af mindst 32 millimeter mellem knuderne. OvertrEedelse af foranstaaende bestemmelser er belagt med straf. De hoieste resolutioner af 4de juli 1893 og 21de april 1899 angaaende fredningsbestemmelser for Berbyelven ophoeves. Denne resolution tra3der i kraft straks. Plakat, 16 juli. •) 04 Plakat, 16 jun. hvorved — som tilla3g til plakat af 7de oktober 1854 — i henhold ill by om renbeite m. v. af 7de september 1854 § 1 med tillwgslove af llte juni 1898 og 9de juni 1903 fastswttes en strEekning i Kautokeino herred, inden hvilken (let i tiden fra St. Hans til 15de september hvert aar skal vaere forbudt at holde rensdyr. Vi Haakon, Norges konge, gjor vitterligt: I medhold af by af 7de september 1854, jfr. by af 1 lte juni 1898 og by af 9de juni 1903, paabyder og befaler Vi folgende : Det skal vwre forbudt i tiden fra St. Hans til 15de september hvert aar i Kautokeino herred at holde rensdyr paa stroekningen indenfor folgende linje: Susjavre—Vuottasjokka—Vuottasjavre—Mokkijavre—Lappojavre—Lappojokka til dens udlob i Kautokeinoelven og videre efter dennes lob til rigs/vs no. 311. Dog skal dette forbud ikke vEere til hinder for, at de fastboende har sine nodvendige arbeidsren paa den fredede strwkning til enhver tid af aaret. OvertrEedelse af de i denne plakat givne forskrifter straffes efter loven. Hvorefter tdle vedkommende har at rette sig. Givet paa Kristiania slot den 16de juli 1907. Under rigets segl. Paa Hans MajestEet Kongens vogue, efter bemyndigelse: Chr. Miehelsen. Harald Bothner. Lov land. Sofus Aretander. Lehmkuhl. Otto Jensen. A. Berge. Sven Aarrestad. (Ti. S.) Hesselberg. hvorved — som tillteg til plakat af 20de oktober 1898 i henhold til § 1 i loven af 9de september 1857 indeholdende forandriuger i og tillEeg til by om renbeite m. v. af 7de september 1854 samt i henhold til § 5 i by om forskjellige forhold vedkommende fjeldfinnerne i Finmarkens amt af 23de juni 1888 bestemmes en stroekning omkring bopladsene Moartasj og Galanito i Kautokeino herred, paa hvilken dot skal were forbudt fjeldfinner at holde rensdyr. VI Haakon, Norges konge, gjor vitterligt: I medhold af by af 9de september 1857 § 1 og by af 23de juni 1888 § 5 paabyder og befaler Vi folgende: Det skal vEere fjeldfinnerne forbudt i hvilkensomhelst tid af aaret at holde rensdyr inden en 2 km.2 stor strEekning rundt bopladsene Moartasj og Galanito i Kautokeino herred. Den fredede stroeknings grwnse gaar efter en linje, der med Morten Larsen Gainos boplads som udgangspunkt or opmaalt 1 km. nedover larigs Storelven og ligeledes 1 km. opover. Fra nedre endepunkt or opmaalt 1 km. i sydost fra elvebredden, og paralbelt med denne linje er ligeledes opmaalt 1 km. fra det pyre endepunkt af linjen (langs Storelven). Hjornene er forsynede med stenrose. Dog maa fjeldfinnernes gamle flyttevei fra Morten Gainos boplads opover mod Roggeluobal ikke stEenges. Forsaavidt flytningen foregaar uden starts, er fjeldfinnerne fri ethvert ansvar. Donne plakat trEeder ikraft lste december 1907. Overtroedelse af le i de plakaten givne forskrifter straffes efter loven. Hvorefter alle vedkommende har at rette sig. Givet paa Kristiania slot den 16de juli 1907. Under rigets segl. Paa Hans Majestaat Kongens vegne, efter bemyndigelse: Sofus Aretander. J. Lovland. ehr. Miehelsen. A. Berge. Otto Jensen. Lehmkuhl. Harald Bothner. Sven Aarrestad. (L. S'.) Hesselberg. 1907 — 272 — 16 juli. Kongelig resolution af 16de juli. 1 medhold al by orn inks- og sjoorretfiskerierne m. v. af Sde april 1905 § 29 bestemmes, at det skal were forbudt at anv en de kilenot eller lignende redskab inden en strEekning af 200 meter udenfor den ved overskjon af 26de og 27de september 1904 bestemte grEenselinje mellem tkula elv, sondre Trondhjems amt, og sjoen, nemlig en ret linje fra det sydvestre hjorne af hovedbygningen paa gaarden Oielokken i Melhus HI dot nordostre Nome af udhusbygningen paa den af Andreas Braa brugte pla,ds under Ole Andersen Braas gaard Braa i Byneset. Dog skal dette forbud ikke omfatte: 1. den strEekning paa fjordens nordre side, der ligger mellem land og en linje, der er trukket lodret paa nEevnte grEenselinje og skja3rer denne i en afstand af 700 meter fra sammes nordre endepunkt, samt 9. den strEekning paa fjordens sondre side, der ligger mellem land, og en linje, der ligeledes trEekkes lodret paa ginselinjen skjarer denne i en afstand af 700 meter fra dens sondre endepunkt. Nvervarende resolution trader i kraft strakt. juli. Kongelig resolution -- 273 — 1907 Inden en strwkning af Tufsingelven og dens udlob i F33- 16 jun mundsjoen. der opad begra3nses af elvens Wining ved Baghaugen og udad til en ret linje, trukket fra Kornassets yderste spids over Hestholmen og indtil fastlandet paa vestre side af Hestholmen, skal det vaare forbudt i et tidsrum af 5 aar fra disse bestemmelsers ikrafttraden at benytte nogetsomhelst bundot redskab. Dog skal dette forbud forsaavidt angaar de saakaldte 4Kjonnail« kun omfatte september og oktober maaneder. Overtnedelse af disse bestemmelser straffes efter loven. Kongelig resolution 16 juli. at 16de juli. medhold af § 2 i by om ansvar for skade paa bola ved hund samt om optagelse af hund m v. af 1 lte juni 1903 meddeles approbation paa en at Tons et herredsstyre, Hedemarkens amt. under 1ste juni 1907 fattet beslutning, forsaavidt den bestemIsom i den tid, da bola ln!Ides paa havn, inden mer, at hund ' Tonset herred findes streifende om uden ledsager i havnegang udenfor indmarken. ka n efter foranstaltning at grundeieren eller nogen i straekningen havneberettiget optag,es eller, hvis hunden tidligere har varet optaget og der er freingattet overensstemme!tde med § 4 i ovenntevnte by, drrebes paa stedet. af 16de juli. medhold af § 3 i by af 25de ,juli 1897 indeholdende tillaegsbestemmelser angaaende lapperne og rensdyrdriften inden de sondenfor Finmarkens amt liggende landsdele bestemmes, at der skal vEere forbudt for nomadiserende lap saavelsorn fasthoende (lap eller andre) at u dø ye eller lade u dove itning med ren paa llosoen, gaard no. 86 i Tjotta herred, Nordlands amt. OvertrEedelse af denne bestemmelse straffes efter loven. Kongelig resolution 16 juli. af 16de juli. I medhold at by om fredning af ferskvandsfisk af 30te mai 1894 § 1 fastsattes Wgende fiskeriregler for Tufs in gd alen i Tolge n herr ed, Hedemarkens amt: Kongelig resolution t I lide juli. I medhold af by om pigtraads anvendelse til gjarde af 14de juli 1893 § 1 meddeles stadfastelse paa folgende beslutning, fattet under 22de april 1907 af Bergs herredsstyre, Smaalenenes amt: Anvendelse af pigtraadgjEerde iiidell bygningskommunen Kokkehaugen, det strog, der ligger mellem Kokkehaugen og Tistedalen, samt bangs bygdeveien fra Tistedalen over Vedenhoiden til BEekkevolds eiendom, skal vrere forbudt, medrnindre pigtraaden er anbragt i en hoide af mindst 1,35 meter fra market!. I bygningskommunen Sponviken matt gjEerde af pigtraad mod altar vei eller sti vare anbragt paa stolpernes indside og i en hoide af mindst 1.5 meter fra marken og mellem naboer knit, naar (Esse er enige herom. 16 juli. 1907 — 274 — 16 juli. Tidligere opfort gjwrde, der ikke opfylder disse betingelser, maa ei repareres med pigtraad, men med glat traad eller andet ufarligt materiale. OvertrEedelse at (Esse bestemmelser straffes efter loven. 16 juli. Kongelig resolution at 16(1e juli. I medhold af § 8 i by om vEernskogens bevarelse m. v. af 20de juli 18)3 meddeles approbation paa det af herredssty ret for Store]vedalens herr ed, Hedemarkens amt, i mode den Ste juni 1907 vedtagne udkast til ve dt Eegt mod s k ogen e s 0.delEeggelse inden her redet. De approberede vedtmgter er saalydende: § 1. I Storelvedalen herred er det forbudt at aavirke til salg eller industriel produktion bartrwr, som er mindre end 17 em. i tvermaal udenpa,a barken paa bredeste kant 5 m. fra jevn bakke. Alle store trEer pligter herredsblinkeren paa forlangend e at udblinke, dog saaledes, at han har skogens trivsel og eftervekst for oie og gjensEetter de fornodne frotra3r. Seks uger for blinkningen onskes iverksat, skal den hugstberettigede indsende opgave til skograadet over det ointrentlige kvantum, som twnkes aavirket. § 2. Efter udblinkning af herredsblinkerne kan aavirkes trEer under det i § I nEevnte lavmaal, naar disse trEer er: a) Beskadigede eller raadne. b) Vveksterlige eller forkroblede. c) 'I'il hinder for skogens vekst, saa der af den grund bpr foretages tyndingshugst. Tyndingshugst maa anmeldes til skograadet uger, for den foretages. Skograadet har adgang til at begrEense hugsten. § 3. Uden udblinkning af herredsblinkerne kan aavirkes: a) TrEevirke til husbebov eller gaardsfornodenhed for den eiendom, under hvilken skogen er matrikuleret, eller til fyldestgjOrelse af brugsret, der maatte tilkomme nogen som eier eller bruger af jordeieudom. I)) Torre eller nedblEeste trier. § 4. Snaultugst paa mark, der agtes opdyrket eller bebygget, maa ikke foretages paa et storre areal end 3 maal uden skograadets tilladelse i hvert enkelt tilfEelde. Sau og gjed maa ikke slippes i uindhegnet mark i tiden fra lste november til 20de mai. § 5. Anden aavirkning end den i § 3 nEevnte maa kun finde sted efter udblinkning af herredsblinkerne, der forsyner de Inlviste trEer med 3 m erker af en dertil anskaffet merkoks, saa -5 — — .) -1, 1907 ledes at der efter hugsten bliver et merke synbart paa stubben 16 juli. og et paa hver side af det fwldede trEe. Er nogen hugstberettiget misfornoiet med blinkningen, kan han inden en maaned ved skriftlig klage til skograadet indanke sporgsmaalet til afgjorelse af et skjon, bestaaende af to af skograadets medlemmer og om muligt amtsskogmesteren. § (. De i henhold til disse vedtaagter faldende udgifter udredes af herredskassen med undtagelse at blinkningsudgifter, der refunderes af skogeieren. § 7. Ti! at paase disse vedtEegters overholdelse og traeffe de hertil fornodne foranstaltninger ansEetter herredsstyret et skograad paa 5 medlemmer, som antager det fornodne antal herredsblinkere. For skograadet udfrerdiges instruks af herredsstyret. § S. Overtra3de1se af mervaarende vedta3gter straffes eller den almindelige borgerlige straffelovs § 339. Plakat a ugautende indforsel Vi Haakon, Nory,es husdyr og smitteroirende gjenstande. konge, gjor vitterligt: 1 kraft af by om foranstaltninger mod smitsomme husdyrsygdomme af 14de juli 1894 med tillEegslov af 26de mai 1899, dens § 17, fastnettes herved folgende bestemmelser for indforsel af husdyr og smitteforende gjenstande: I. lies t e og andre til hesteslegten horende dyr kan indfores: 1) fra Sverige paa betingelse af, at der medbringes et for hvert enkelt dyr af politimyndighed eller at norsk konsul bekraeftet sundhedspas, hvoraf det fremgaar, at dyret har opholdt sig i de sidstforlobne 6 maaneder i Sverige, samt at det er sundt og ikke antages at overfore smitsom sygdom. Skyds- og trafikheste, der passerer grtensen for atter at vende tilbage til Sverige, rammes ikke af ovenstaaende forskri ft. 2) fra alle an dr e I and e paa betingelse af: a. at (ler medfolger et for hvert enkelt dyr af vedkommende lands politimyndighed eller af norsk konsul bekrEeftet sundhedspas, hvoraf det fremgaar, at dyret er sundt og ikke antages at overfore srnitsom sygdom, samt at ethvert dyr ved ankomsten til norsk toldstation undersoges af autoriseret norsk dyrkege og at ham erklEeres sundt. 16 jun. 1907 I f; jun. — '276 — 11. St or kv, fa ar og gjeder kan indfores fra Sverige til livdyr eller til nedslagtning. Ira Danmark alone til nedslagtning, og iovrigt paa folgende vilkaar: 1. A. Fra Sverige a) pr. jernbane eller sjovEerts direkte til Fredrikshald eller Kristiania eller ad nwrineste landevei til Prestebakke eller KOI'llSjf..) jernbanestation, hvorfra dyrene snarest muligt pr. ,jernbane fores videre til Fredrikshald: b) ad Allingmoveien eller over Svinesund gjennem Bergs herred ad iffermeste vei (lirekte til Fredrikshald: e) pr. jernbane direkte til Trondhiem til slagtfling i define by. 1 liver sending skal i sidste laid kindle indfores indtil (let antal dyr. som landbrugsdepa rtementet merniere bestemmer. B r a Danmark sjovwrts direkte til Fredriksbald eller Kristiania. Det skal ved en al autoriseret henholdsvis svensk eller dansk dyrlrege eller politimyndighed udstedt attest godtgjores, at dyrene kommer Ira et distrikt, hvor der ikke for tiden optrceder eller i de sidst forlobne maaneder liar optraadt smitsom mund- og klovsyge eller ondartet lungesyge, samt at dyrene ikke i de firmest forudgaaende maaneder er indfort fra iidlandet. 3. Dyrene skal were merkede eller i attesten saaledes beskrevne, at deres identitet kan tilfredsstillende konstateres. 4. Dyrene skal ved ankomsten fores til de indhegnede, for saadant oiemed reserverede kvwgtorve, livor de bliver at underkaste undersdgelse af vedkommende kommunale 5. Pet kvfeg, der agtes solgt som livdyr. skal opstaldes i sferskilt afdeling det kommunale fjøs i 48 timer, helligdage ikke iberegnet. og i define tid liii(lersøges flied tubed:111in. 6. Pet kvreg, der ved denne undersogelse findes lidende al eller mistfenkt for tuberkulose, merkes i huden med et indbramdt tydeligt T. 7. Pet kv[eg, der indfores for at srelges til slagt. skal paa samme vis merkes med et i linden indbriendt tydeligt S. M. De med T og S briendemerkede dyr skal inden M dage otter braqidemerkningen. i overensstemmelse med de at landbrugsciepartementet fastsatte nrermere bestemmelser. nedslagtes. — 385 — Norsk Lovtidende. Irtgit efter offentlig foranstaltning ifolge lov av 1 april 1S76. Ni'. 29 Utgit 21 jun. 1910 Kongelig resolution z IV 2 juli. Den av Stortinget under 27 juni 1910 fattede beslutning angaaen de konsulatavgift for budgetterminen 1910 —1911 tages tilfolge. Beslutningen or saalydende: Konsulatavgift av handelsfartoier, hvis drmgtigliet er 5( ) registertons netto og derover, og som gaar i utenriks fart, hlir for budgetterm i nen 1910-1911 halvaarlig at erhegge med ore for dampskihe og 4 ore for seilskibe av hver registerton netto. Seilskih, som har va?ret oplagt i et sammenhamgende tidsruin av mindst 30 dage, eftergives avgiften med 0,0222 ore pr. registerton netto for hver dag, det saaledes har vwret oplagt. Saafremt den tid, som er forlopet, forinden der for et nybygget eller fra utlandet indkjopt skib or utfterdiget nationalitetsbevis, utgjor mindst 30 dage, eftergives for liver (lag av denne tid avgiften med for seilskib 0,0222 ore, for dampskil) 0,0444 ore for liver registerton netto. 2 jun. — 385 — Norsk Lovtidende. ITtgit efter offentlig foranstaltning ifolge by av 1 april 1876. Nr. 29 Utgit 21 jun. 1910 Kongelig resolution av 2 juli. Den av Stortinget under 27 juni 1910 fattede beslutning angaaende konsulatavgift for budgetterminen 1910 —1911.tages tilfolge. Beslutningen er saalydende: Konsulatavgift av handelsfartoier, hvis drFegtighet er 50 registertons netto og derover, og som gaar i utenriks fart, blir for budgetterminen 1910-1911 halvaarlig at erkegge med 8 ore for dampskibe og 4 ore for seilskibe av hver registerton netto. Seilskib, som har weret oplagt i et sammenlmengende tidsrum av mindst 30 dage, eftergives avgiften med 0,0222 ore pr. registerton netto for hver dag, det saaledes har vwret oplagt. Saafremt den tid, som er forlopet, forinden der for et nybygget eller fra utlandet indkjopt skib er utfFerdiget nationalitetsbevis, utgjor mindst 30 dage, eftergives for hver dag av denne tid avgiften med for seilskib 0,0222 ore, for dampskib 0,0444 ore for hver registerton netto. 1 191() — 38(i — 19 juli. Nr. 1. Loy om aktieselskaper og kommanditakt ieselskaper. Vi Haakon, Norges Konge, gjer vitterlig: at Os er blit forelagt Stor tingets beslutning, av 6 juli 1910 saalydende Indledende bestemmelser. § 1. Som aktieselskap ansees i denn e by ethvert selskap med okonomisk formaal, hvis kapital er bestemt, og hvis medlemmer deltar alone med avtalt indskud uten at ha personlig ansvar for selskapets forpligtelser. Selskapets grundkapital (gruudfond) betegnes som aktiekapital og medlemmenes avtalte indskud som aktier. Som kommanditaktieselskap anse es i denne by ethvert selskap bestaaende av ett eller fler e medlemmer (»fuldt ansvarlige medlemmer«), som har personlig ansv ar, en for alle og alle for en, for selskapets forpligtelser, og tillike av medlemmer (»kommanditister«), som i selskapet har indskutt en bestemt paa aktier fordelt kapital og ikke heft er utenfor disse aktier. Den av kommanditisterne indskutt e kapital betegnes som kommanditkapital. § 2. Denne by kommer ikke til anvendelse: paa Norges Bank, b) paa aktieselskap eller kommandi taktieselskap, hvis forretning udelukkende gaar ut paa at drive skibsfart eller paa at drive saadan virksomhet i forbindelse med ekspedition. Paa aktieselskap, hvis forretning udelukkende gaar ut paa jernveisdrift, og i hvilket stat en er okonomisk interessert, kommer loven kun til anvendelse i den utstrwkning, som Kongen bestemmer. Ferste del. 3. Et aktieselskap kan ikke bestaa av fEerre end tre personer. Enhver, som deltar i stiftelsen, maa tegne mindst Cn aktie. Selskapet kan ikke konstitueres, for den hele aktiekapital er tegnet. 1910 I ste avsnit. 19 juli. Nr. 1. Stiftelse den tegningsindbydelse. § 4. Hvis de, som vii danne et aktiesel skap, selv overtar alle aktier, har de som stiftere at avholde konstituerende generalforsamling, i hvilken de samtlige skal mote enten personlig eller ved fuldmvegtig med skriftlig fuldmagt . I generalforsamlingen skal stifterne frem laagge i original eller bekra3ftet avskrift enhver kontrakt , som de maatte ha indgaat indbyrdes eller med andre ved kommende selskapets stiftelse. For at bli gyldig overfor sels kapet maa kontrakten vedtages av samtlige motende. Om vedtagelsen av enhver kontrakt skal der ske tilforsel til generalforsamlingens protokol med angi velse av stifternes og medkontrahenternes navn samt av, hvad der fra hver av siderne skal ydes. I protokollen maa derhos under Kerskilt post opfores ethvert utlaBg, som stifterne maatte ha hat til juridisk eller teknisk bistand, bekjendtgjorelser eller lignende , og som de kreever godtgjort av selskapet. § 5. Indholdet av den overenskomst, som tr23ffes angaaende selskapets stiftelse, skal samlet gjen gives i generalforsamlingens protokol. Denne gjengivelse av overenskomsten maa angi: 1. gjenstanden for selskapets virksomhet ; 2. den kommune, hvor selskapet skal ha forretningskontor; 3. aktiekapitalen og de enkelte aktiers storrelse ; 4. hvorvidt aktierne skal lyde paa nav n eller paa ihwndehaver. 5. 6. Om aktieselskaper. late kapitel. Om selskapets stiftelse. — 387 — 7. 8. 9. 10. Derhos skal i denne gjengivelse fuldstEe ndig indtages enhver bestemmelse, som maatte trmffes om at enkelt klasse av aktier skal ha swregne, sterre eller ringere rettigheter, navnlig vedkommende utbytte eller andel i selskapsformuen eller sa3rlig andel i selskapets styrelse ; at selskapet skal kunne tvinge aktie-eierne til at la deres aktier indlese — med angivelse av den maate, hvorpaa indlesning skal ske ; at aktiernes omsEettelighet er indskramket; at der skal paahvile aktie-eierne forpligtelse r utenfor pligten til at indfri aktiens paalydende bele'); at der paa aktie skal kunne gjores inds kud, som ikke bestaar i rede penger; at selskapet mot erkeggelse av vederlag i aktier eller paa anden maate skal til bruk eller eie over ta bestaaende eller paatEenkte anlwg eller andre formuesgjens tande ; 1* 1910 — 388 — 389 — 19 jun. 11. at enkeltmand skal ha saarskilt fordel eller forret tighet i Nr. 1. selskapet ; 12. at stiftere eller andre skal ha saarskilt godtgjorelse for stiftelsen; 13. at selskapets virksomhet skal were begreenset til en viss tid, eller 14. at der for stemmeret i selskapets anliggender skal gjmlde andre regler end de i § 61 tredje punktum indeholdte. Forsaavidt angaar de under 9-12 omhandlede bestemmelser, skal det noiagtig angives, hvad der fra hver side skal ydes. Derefter anfores i protokollen for hver stifters vedkommende, hvor mange aktier han tegner. Tegning, foregaat for denne tid, er ikke bindende for tegneren. Naar paa denne maate samtlige aktier er optat av stifterne er dermed selskapet stiftet. Naar vedtaagter er besluttet og derefter valg paa tillidsmwnd foretat, er selskapet konstituert. Om stemmegivning efter selskapets stiftelse gjmlder de i 7de kapitel givne regler. Protokollen underskrives av samtlige motende. 2det avsnit. Stiftelse gjennem tegningsindbydelse. § 6. Hvis de, som vii danne et aktieselskap, ikke selv overtar samtlige aktier, har de som indbydere i et antal av mindst tre at utfwrdige en av dem egenheendig underskrev et indbydelse til tegning av aktier og at bekjendtgjore den i »Norsk Kundgjorelsestidende«. Ved siden herav kan der ogsaa indbydes til aktietegning gjennem kundgjorelse i andre tidender eller ved opslag, omsendte prospekter eller eirkulwrer, men disse indbydelser skal alene indeholde en ordret gjengivelse av den i Kundgjorel sestidenden indrykte underskrevne indbydelse. § 7. Indbydelsen skal indeholde angivelse av, hvad i § 5 nr. 1-4 er neevnt, og endvidere av: 1. den maate, paa hvilken og den frist inden hvilken tegni ng av aktier skal foregaa, samt de regler, efter hvilke der skal forholdes i tilfmlde av overtegning; 2. hvor mange aktier indbyderne paa forhaand bar overtat; 3. den maate hvorpaa og den frist hvormed den konstituerende generalforsamling skal indkaldes. § 8. Forsaavidt man vii: 1. treeffe bestemmelse om, at aktierne skal utbydes til overkurs, eller 2. trwffe nogen saadan bestemmelse som i § 5 nr. 5-14 mevnt, 1910 maa forbehold herom med angivelse av bestemmelsens indhold 19 jun. indtages i indbydelsen. Skal indlosning av aktier kunne frem- Nr. 1. tvinges, maa derhos vmre angit den maate, hvorpaa indlosningen skal ske. Utlaag av saadan art som i § 4 sidste led nmvnt kan ikke krves godtgjort av selskapet, dersom det ikke er forbeholdt i indbydelsen. § 9. Det kan i indbydelsen bestemmes, at selskapet skal kunne stiftes, forsaavidt mindst en viss angit sum blir tegnet, men at tegningen skal kunne fortswttes, dog ikke utover en bestemt Mere sum. Efterat selskapet er konstituert, kan aktier ikke tegnes, hvorimot yderligere forhoielse av aktiekapitalen alene kan finde sted paa den i §§ 24-26 eller § 27 foreskrevne maate. § 10. Tegning av aktier skal ske skriftlig paa tegnin gslister, som indeholder en ordret gjengivelse av den under skrevne indbydelse. Forst fjorten dage efter tegningsindbydelsens forste bekjendtgjorelse i »Norsk Kundgjorelsestidende« maa der gives adgang til tegning av aktier. Tegning, som av andre end indbydere er foretat for utlopet av denne tid eller i henhold til en tegningsin dbydelse, som ikke fyldestgjor fordringene i § 7, er ugyldig. § 11. Den konstituerende generalforsamling indkaldes av indbyderne og skal avholdes inden ni maaneder efter tegningsindbydelsens forste bekjendtgjorelse i »Norsk Kundg jorelsestidende«. Avholdes den ikke inden denne tid, kan enhver aktie-eier gjennem henvendelse til en av indbyderne begjwre sin tegning utslettet; dog matt saadan henvendelse ske, inden generalforsamlingen er sat. I tilfeelde av overtegning bar indbyderne at fatte beslut ning overensstemmende med, hvad derom i tegningsin dbydelsen er bestemt, forinden de indkalder til generalforsamling. § 12. I generalforsamlingen har indbyderne til protok ollen at fremluegge: 1. den av dem utfatrdigede tegningsindbydelse; 2. det nummer av »Norsk Kundgjorelsestidende«, hvori indbydelsen har vaaret offentliggjort; 3. en av samtlige indbydere underskrevet beretning om selskapets stiftelse, bilagt — i original eller i bekrw ftet gjenpart — med enhver kontrakt, de maatte ha indgaat indbyrdes eller med andre vedkommende stiftelsen ; 4. en av samtlige indbydere underskrevet opgav e over de utlmg til juridisk eller teknisk bistand, bekjendtgjor elser eller lignende, som indbyderne maatte ha hat, og som de krEever godtgjort av selskapet; 1910 — 390 — 19 juli. Nr. 1. 5. tegningslisterne i original eller bekraaftet avskrift med indbydernes skriftlige erklaaring om, at den for stiftelsen nodvendige kapital er tegnet. I generalforsamlingen kan der ikke fattes beslutning, som strider mot nogen i tegningsindbydelsen optat bestemmelse av saadan art som i § 5 nr. 1-4 nwvnt. Heller ikke kan der trwffes nogen bestemmelse av saadan art som i § 5 nr. 5 —14 nEevnt, medmindre forbehold herom med angivelse av bestemmelsens indhold er indtat i tegningsindbydelsen, likesom en i tegningsindbydelsen optat bestemmelse av saadan art som i § 5 nr. 9-12 nmvnt ikke kan utvides paa selskapets bekostning. § 13. I generalforsamlingen skal der forst tages bestemmelse om, hvorvidt et utvalg av aktie-eiere skal nedswttes for at prove de fremlagte aktstykker. Saafremt en tredjedel av de motende aktie-eiere eller den eller de, som indehar aktier for en tredjedel av den i motet reprsenterte kapital, stemmer derfor, blir saadant utvalg at nedswtte. Utvalget bestaar av tre medlemmer, hvis der ikke med almindelig stemmeflerhet fattes beslutning om et storre antal. Dette utvalg, til hvilket indbyderne er pligtige at gi de fornodne oplysninger, har at avgi en skriftlig indstilling, hvorav der mindst tre dage for nEeste mote tilstilles hver aktie-eier med kjendt opholdssted en avskrift. Er det besluttet, at saadant utvalg ikke skal nedssettes, avstemmes der om, hvorvidt selskapet skal stiftes. Er derimot saadant utvalg nedsat, fastseetter generalforsamlingen et nyt mote tidligst 14 dage derefter til behandling av utvalgets idstilling og avstemning om selskapets stiftelse. Ved avstemning om det ovennEevnte utvalgs nedsaattelse og ved valg paa dets medlemmer medregnes ikke indbyderne eller de av dem reprwsenterte aktier; det samme gjEelder ved avstemning om selskapets stiftelse, naar saadant utvalg sora i forste led omhandlet har vmret nedsat. Naar selskapet er stiftet, blir vedtwgter at fastssette og derefter valg av tillidsmwnd at foreta. Hermed er selskapet konstituert. Om aktie-eiernes stemmegivning gjaalder de i 7de kapitel givne regler. 3dje avsnit. Selskapets registrering. § 14. Det konstituerte selskap skal anmeldes til registrering overensstemmende med by om handelsregistre, firma og prokura av 17 mai 1890. — 391 — 1910 Anmeldelsen skal, foruten hvad der er foreskrevet, tillike 19 juli. indeholde oplysning om enhver avtale, som indgaar under be- Ni. 1. stemmelserne i nwrvserende lovs § 5 nr. 5-14, jfr. § 8. § 15. Med anmeldelsen skal foruten selskapets vedtEegter folge som bilag: 1. bekrEeftet gjenpart to,' den konstituerende generalforsamlings protokol saint av alt, hvad der til denue er fremlagt ; 2. skriftlig erklriug fra selskapets styre om: a. storrelsen av det belop, som er indbetalt paa hver aktie, hvorfor vederlag skal ydes i penger; b. at i tilflde forskriftene i § 22, andet punktum er opfyldt, samt c. at den, som skal gjore indskud i vrdigjenstande, som overdrages til bruk eller eie, liar overdrat dem til selskapet eller for fast eiendoms vedkommende utstedt fornodent dokument. 4 de avsnit. Almindelige bestenzmelser. § 16. Indeholder en tegning av aktier noget forbehold, som ikke er hjemlet i en i stiftelsesoverenskomsten eller tegningsindbydelsen indtat bestemmelse av saadan art, som i 5 nr. 5-14, jfr. § 8, naavnt, er tegningen ugyldig. Tages saadant forbehold uten at komme tilsyne i aktietegningen, er denne gyldig, men forbeholdet ugyldig like overfor selskapet. § 17. Forst naar selskapet er registrert, kan det som saadant like overfor tredjemand erhverve rettigheter og paadra sig forpligtelser. For forpligtelser, indgaat paa selskapets vegne for registreringen, hefter i mangel av anden avtale de, som liar indgaat disse, personlig en for alle og alle for en. § 18. Frivillig overdragelse av aktie i et selskap, som er stiftet overensstemmende med §§ 4 og 5, eller som er stiftet overensstemmende med §§ 6-13, men uten at tegningsindbydelsen har vwret utlagt til offentlig tegning, er ikke bindende for erhververen, dersom den sker inden to aar efter den forste offentliggjorelse av registreringen. Dog maa i begge tilfEelde erhververen ha anlagt soksmaal herom inden tre aar efter den forste offentliggjorelse av registreringen. § 19. Stifterne og indbyderne pligter uten hensyn til, om skade er forvoldt selskapet, en for alle og alle for en at 4 1910 — 392 — 19 juli. overta, hvad der maatte mangle i den ifolge deres opgave til Nr. 1. den konstituerende generalforsamling tegnede aktiekapital. Lignende forpligtelser paahviler styret med hensyn til dets opgave til registerforeren om indbetalt aktiekapital. 2det kapitel. Om aktiekapitalen. § 20. Aktier maa ikke tillates tegnet til underkurs. Tegnes aktier til overkurs, skal den derved erhvervede vinding anvendes til at deekke omkostningene ved selskapets stiftelse eller ved utstedelsen av nye aktier. Det muligens overskytende blir at la3gge til det i § 23 omhandlede reservefond. § 21. Indskud paa aktie kan ikke avgjores med gjenstande, som selskapet ikke har bruk for i sin drift. § 22. Forinden selskapet kan registreres, maa der paa hver aktie, hvorfor ifolge avtalen vederlag skal ydes i penger, veere indbetalt det hele belop, dersom aktien lyder paa ihndehaveren eller paa et mindre belop end et hundrede kroner, og iovrig mindst en halvdel eller for forsikriugs-selskapers vedkommende mindst en fjerdedel av det paalydende belop. Er aktierne ikke fuldt indbetalt, maa der vTre indkaldt et like stort belop paa hver aktie av samme klasse. Forsaavidt angaar andre selskaper end bank- og forsikrings-selskaper, maa aktierne were fuldt indbetalt inden to aar efter selskapets registrering. Blir aktiekapitalen forhoiet gjennem utstedelse av nye aktier, skal der inden to aar efter beslutningen om forhoielsen paa de nye aktier, hvorfor vederlag skal ydes i penger, veere indbetalt, forsaavidt angaar aktier i bank- og forsikrings-selskaper, som lyder paa navn og paa mindst et hundrede kroner, henholdsvis en halvdel og en fjerdedel av det paalydende og iovrig bele det paalydende belop. § 23. I ethvert aktieselskap skal der dannes et reservefond, som alene maa anvendes til at dwkke underskud, som selskapets virksomhet efter aarsopgjoret eller et i regnskapsaarets lop foretat opgjor har medfort, og som ikke kan thekkes av andre i dette oiemed avsatte fond. Til reservefondet skal der, forinden utdeling av utbytte kan finde sted, i bank- og forsikrings-selskaper avsaAtes mindst en femtedel av det aarlige overskud, indtil fondet har naadd en halvdel av aktiekapitalen; i andre selskaper avsaAtes mindst en tiendedel av overskuddet, indtil fondet har naadd en tiendedel av aktiekapitalen. — 401 — 1910 eller fiere mend, bvem det paaligger at vareta selskapets tarv 19 juli. under saken og at motta varsel. Nr. 1. § 56. Et medlem av styret maa ikke delta i behandlingen eller avgjorelsen av noget anliggende, hvori han selv har fremtreedende personlig eller okonomisk seerinteresse. Et medlem av en banks eller et forsikringsselskaps styre maa ikke delta i beslutning om laan mot eller diskontering av noget papir, hvorpaa medlemmets navn findes. 6te kapitel. Om reprsentantskapet. § 57. Vedteegtene kan bestemme, at selskapet skal ha et reproesentantskap. Dette skal bestaa av mindst tre medlemmer, som va3lges blandt aktie-eierne, og som, forsaavidt ikke anderledes i vedtaTtene er bestemt, tjenstgjor i to aar ad gangen . En repreesentant forblir i sin stilling, indtil ny repramentant er lovlig valgt, selv om hans tjenestetid er utlopet. § 58. Vedt2egtene kan bestemme, at enhver myndig person, som eier et visst antal paa navn lydende aktier, skal vwre berettiget til at va3re reprwsentant, men maa da tillike fastsa3tte et bestemt forboldstal mellem de valgte og de selvskrevne repreesentanter. § 59. Repreesentantskapet sammenkaldes av den av og blandt dets medlemmer valgte ordforer til de i vedteegtene bestemte tider, samt ellers saa ofte ordforeren eller styret finder det fornodent. Hvert medlem har en stemme, og hvor ikke anderledes i vedtwgtene er bestemt, avgjores sakene ved simpel stemmeflerhet og saaledes, at i tilfeelde av stemmelikhet gjor ordforerens stemme utslaget. Forat reprwsentantskapet skal veere beslutningsdygtig, maa mindst halvparten avgi mote. Protokol fores under ordforerens ansvar. Den underskrives av samtlige motende. § 60. Repreesentantskapet har at vaake over, at selskapets oiemed fremmes overensstemmende med lovgivningen, vedttegtene, generalforsamlingens og reprEesentanstkapets egne beslutninger. Repramentantskapet har i den utstreekning, det finder fornodent, og som forholdene tillater, at la sig meddele oplysning om forretningens drift og bar i dette oiemed til enhver tid samlet eller ved et utvalg adgang til selskapets boker. Mindst hvert aar, og ellers saa ofte vedta3gtene foreskriver eller repreesentantskapet finder det fornodent, skal styret foreleegge det utdrag og balanser av bokerne, saavelsom flrklaring om Norsk Lovtidende. lste avd. nr. '29. 2 1910 — 402 — 19 juli. alt vrasentlig, som er foregaat i den forlopne tid. Desuten Nr. 1. har reprEesentantskapet til ubestemte tider, mindst en gang om aaret, uten varsel at foranstalte undersokelse av kasse og vrardipapirer. Repra3sentantskapet liar til generalforsamlingen at avgi sin erkleering om det aarlige regnskap og om forretningens drift og at fastsratte det hoieste belop, der kan bli at utdele som utbytte. Vedtragtene bestemmer forovrig dets virkekreds saavel i forhold til generalforsamlingen som til styret. Bestemmelsen i § 56, forste led kommer ogsaa til anven"delse paa reprrasentanter. 7de kapitel, Om generalforsamli nge n. § 61. Aktie-eiernes ret til at delta i varetagelsen av selskapets anliggender utoves gjennem generalforsamli ugen. Vedtragtene eller, forsaavidt den konstituerende generalforsamling angaar, enten tegningsindbydelsen eller, om saadan ikke er utstedt, den for selskapets stiftelse trufne selskapsavtale fastsratter stemmeretsreglerne, og navnlig om indehavere av flere aktier skal ha begrranset eller gradert stemmeret, og om der skal gjralde forskjellige regler for forskjellige klasser av aktier. Er ingen saadan bestemmelse fastsat, har enhver aktie-eier uten hensyn til hang aktiers klasse saa mange stemmer, som ban har aktier. I den konstituerende generalforsamling kan dog utenfor det i § 13, 1ste led omhandlede tilfralde ingen aktie-eier avgi stemme for et antal, overstigende en femtepart av samtlige aktier eller to femteparter av de i generalforsamlingen avgivne stemmer. § 62. Er der ikke paa den i foregaaende paragraf angivne maate truffet anden bestemmelse gjEelder folgende regler 1. En aktie-eier kan mote ved fuldmragtig. 2. De beslutninger, for hvilke nEervrarende by ikke opstiller sraregne forskrifter, fattes med simpel stemmeflerhet blandt de motende aktie-eiere og saaledes, at i filtrable ay stemmelikhet gjor den, der har forsratet, utslaget. 3. Har selskapet reprEesentantskap, indtar dettes ordforer forsratet i generalforsamlingen; oilers tilkommer forsa3tet styrets formand. § 63. Den, som har og vii avgi flere end en stemme, liar at fremlragge en med hans navn underskrevet erklEering, vori angives, hvor mange stemmer han avgir. — 403 — 1910 Moter nogen som fuldmragtig for en aktie-eier, maa han 19 juli. fremlragge skriftlig fuldmagt. Samtlige de av en fuldmragtig Nr. 1. avgivne stemmer blir at optralle, som om alle aktier, hvorfor han avgir stemme, var haus egne. En aktie-eier kan ikke selv, ved fuldmEegtig eller som fuldmragtig for andre delta i nogen avstemning angaaende bans egeu stemmeret i generalforsamlingen eller angaaende ansvar for ham selv eller avslutning av retshandel med ham selv; dog kan enhver aktie-eier stemme paa sig selv til tillidshverv i selskapet. Avgjorelse av tvist om stemmeret henhorer under generalforsamlingen. Over forhandliugene fores protokol under ansvar av den, som liar forsratet. Protokollen oplaases for motets slutning til vedtagelse og underskrives, foruten av den, som har forsratet, av mindst to av de tilstedevEerende aktie-eiere. § 64. Generalforsamlingen va3lger foruten det i § 13 omhandlede utvalg tillike reprEesentanter og styremedlemmer samt varamrand for disse ti11idsmend, saafremt vedtragtene foreskriver valg av saadanne. Likeledes fatter generalforsamlingen hvert aar med den av § 60, tredje led flytende begrransning beslutning om, hvorvidt og i hvilket omfang der skal utdeles utbytte paa aktierne. Dog kan vedtragtene henlragge saavel den sidstna3vnte beslutning som valg av styremedlemmer og deres varamrand til repra3sentantskapet. § 65. Ti! at foreta forretningsmrassig revision av selskapets bokforsel vralger reprrasentantskapet, hvor saadant findes, og ellers generalforsamlingen, en eller flere revisorer. Generalforsamlingen vralger aarlig decisorer, hvor saadanne er paabudt i vedtaagtene eller forovrig ansees paakrravet. Hverken revisorer eller decisorer maa vrare medlemmer av styret, indeha nogen styret underordnet stilling i selskapet eller vEere gift med noget medlem av styret eller beslegtet eller besvogret med noget styremedlem i ret opstigende linje eller i sidelinjen saa nrar som soskende. Revisorer maa ikke ha laan i eller antages som kautionister eller endossenter for nye laan i selskapet. § 66. Forsaavidt loven eller vedtragtene ikke anderledes bestemmer, skal generalforsamlingen holdes ved selskapets hovedsrate efter indkaldelse av reprEesentantskapets ordforer, men hvor reprrasentantskap ikke findes, av styret, og indkaldelsen ske med mindst otte dages varsel ved brev eller budsendelse til samtlige aktie-eiere, hvis opholdssted er kjendt. Der kan ikke fattes beslutning om andre emner end dem, som er nEevut i indkaldelsen; dog kan der krraves avstemning 2* — 404 — hvorvidt nv generalforsamling skal sammenkaldes til beSr. 1. siuming (Jim forslag frem kommet i motet. Ordentlig generalforsamling skal hold es mindst n gang sarEg. for sjoforsikrings-selskapers vedkommende inden ii. og iovrig inden svv maaneder efter regnskapsaarets utgang. Ellers skal generalforsamlingen holdes. saa ofte repra-se. ntantskapet eller dettes ordforer eller styret tind er det fornodent. § 67. Vii en aktie-eier ved dom faa kjendt u.....c71dig en beslutning av generalforsamling eller repra-se_ ntantskap som stridende mot by eller vedta-gter, maa han ha anlagt sak, hvis (let gj*lder generalforsamlings-b eslutning, inden tre maaneder. efterat denne er fattet, og hvis det gjaAder repra-sentantskapsbeslutning inden tre maaneder, efter at beslutningen er blit ham bekjendt, og i ethvert fald inden et aar, efterat beslutningen er fattet. Er saken begyndt med indkaldelse til forlikskommissionen. maa den, om forlik ikke opnaaes, senest inkamineres veil forste ting, hvortil lovlig varsel kan gives, efterat en maaned er forlopet siden sakens henvisning til retten. Saksokeren har ved sakens iretteforsel at fremla-g_ge en ham tilbrende aktie. Denne blir av retten at overlevere selskapet, efterat den er blit fors ynt med paategning om, at den i sakens anledning er depo nert hos selskapet. Aktien kan ikke overdrages til andre eller ford res tilbake, for endelig dom er avsagt. Naar saa er sked d, har retten paa forlangende at forsyne aktien med paategni ng om, at depositionen er ophort. Fremlawges ikke aktien ved sakens iretteforsel, blir saken efter selskapets begjwring at avvise. Klagen ausees i saa fald for at va.re endelig frafa ldt. Dom, gaaende ut paa beslutningens ugyldighet, virker ikke alene like overfor parterne, men ogsaa like overfor de ovri ge aktie-eiere. Vat- den augrepne beslutnin, anmeldt til handelsregistret, blir den avsagte dom paa bekostning av dem, hvem retten maate bestemme, og uten hensvn til paa-anke ogsaa at anmelde og registrere paa saadan maate soul i by om handelsregistre, firma og prokura av 17 mai 1890 § 21 sagt. § 68. Beslutning in, at undersokelse skal austilles i amledning av stiftclst, eller forretnin ,sf,+rsel eller avviklin g, fattes av genera lforsaml n tren Er et forslag om saa Ian undersok else forkastet av generalforsamlingen, kan in i mist fern eller om selskapets medlemsautal er under seksten, m mist to - a k t som tilsammen eier aktier for mindst en t iendedel a v aktiek api t a len , inden tre maaneder efter general forsa m I i ngens a v holdelse , jennem en av dem opmevnt folks fuldnnvg.t ig hos vet I kom mende skifteret begjaere opnawnt en eller Ilere !Muthl til at anstille saadan undersokelse. skal eft Ork 1,1iinit'S, Sikafreint &let sand- — 405 — 1910 synliggjores, at der er utvist svig eller grov skjo desloshet, og 19 juli. saafremt der i skifteretten fremlaegges aktier for en tiendedel Nr. 1. av aktiekapitalen ; om aktiernes paategning og opbevaring gjEelder, hvad i § 67 er sagt, saaledes at aktierne skal vwre deponert, indtil undersokelsen er endt eller begjring er endelig avslaat. Forinden skifteretten traeffer sin avgjorel se, har den at gi saavel selskapet som den, hvis forhold paak lages, anledfling til at uttale sig. Avgjorelsen kan inden fjort en dage, efterat den av skifteretten er blit vedkommende medd elt, indbringes for vedkommende regjeringsdepartemeut til provelse overensstemmende med de i by °in akkordforhan dling av 6 mai 1899 (jfr. by av 2 juni 1906) § 45 jfr. §§ 41-42 indeholdte forskrifter. De av skifteretten opnEevnte maend har i fornoden ut strEekning at efterse selskapets boker, kasse, losor e, papirer og varer og at avgi sin beretning til skifteretten. Denn e underretter aktie-eiernes fuldmEegtig om undersokelsens slut ning og sammenkalder en generalforsamling til avholdelse inden fire uker derefter og forelEegger denne utvalgets indstillin g. De opnwvnte mwnd liar at iagtta taushet angaaende forh old eller gjenstande, som ved undersokelsen er blit dem bekjendt , men som bigger utenfor undersokelsens ramme; like overfor uvedkommende har de ubegrwnset taushetspligt. Deres godt gjorelse fastseettes av skifteretten, som likeledes bestemmer, hvem der skal bEere de ved undersokelsen forvoldte utgifter. Skifterettens avgjorelse kan inden samme frist og efter samme regler som oven nEevnt av enhver vedkommende indbringes for vedkommende regjeringsdepartement. § 69. Erstatning for skade voldt av stiftere, indbydere, styremedlemmer, reprEesentanter, revisorer eller decisore r, likesom ogsaa selskapets ret efter § 19 indtales av selskape t. Beslutning om anlaeg av saadant soksmaal fattes i gene ralforsamling. Beslutning om, at sak ikke skal anlwgges, er befriende for vedkommende. Dog kan aktie-eiere, som ikke liar stemt for beslutningen , i saadant antal og i besiddelse av saa mange aktier som i § 68 sagt, ved en av dem opnaavnt fEelles fuldmiegtig, inde n tre maaneder efter generalforsainlingens avholdelse, eller — saafremt der efter beslutningen er fremsat begjaering om unde rsokelse i henhold til § 68 — efterat undersokelsen er endt eller begjwringen endelig avslaat, aulmgge sak paa selskape ts vegne og i dets navn til indtale av erstatning for skade vold t ved svig eller grov skjodesloshet. Er saken begyndt med indkaldelse til forlikskommissionen, maa den, hvis forlik ikke opnaaes, senest inkamineres ved forste ting, hvortil lovli g varsel kan gives, efterat en manned er forlopet siden sake ns — 406 — 1910 19 juli. henvisning til retten. Ved sakens iretteforsel maa der i retten Ni. 1. fremlaegges aktier for en tiendedel av aktiekapitalen; om ak- tiernes paategning og opbevaring og om undladelsen av betimelig at fremleegge dem, gjwlder, hvad i § 67 er sagt. Tapes saken, har vedkommende aktie-eiere selv at bare samtlige omkostninger; vindes den, har de ret til at fordre omkostningene godtgjort av selskapet, dog ikke utover den erstatning, der som &Age av soksmaalet er kommet selskapet tilgode. § 70. Har aktie-eiere i saadant antal som i § 68 sagt, og som tilsammen eier en tiendedel, eller om vedtgtene saa maatte bestemme, en mindre brokdel av aktiekapitalen, hos selskapets vedkommende forgjeeves forlangt en generalforsamling indkaldt med hoist fjorten dages varsel til behandling av bestemt angivne emner, kan de krve, at skifteretten paa lovlig maate og paa selskapets bekostning indkalder generalforsamling. De maa i saa fald fremleegge aktier for ovennwvnte brokdel av aktiekapitalen; med hensyn til aktiernes paategning og opbevaring finder reglerne i § 67 tilsvarende anvendelse, saaledes at aktierne skal vwre deponert, indtil generalforsamlingen er avholdt. Indkaldelsen av generalforsamling ansees forgjeeves at were forlangt, naar selskapets vedkommende ikke inden fjorten dage, efterat forlangendet bevislig er fremsat, paa lovlig maate har utfeerdiget den. § 71. Forandring i selskapets vedtmgter kan alene besluttes av generalforsamlingen. Til gyldig beslutning utfordres, at mindst to tredjedele av de avgivne stemmer er derfor. Gaar beslutningen ut paa forandring i gjenstanden for selskapets virksomhet eller paa fortsmttelse utover den bestemte tid, utkraaves derhos, at de medlemmer, som har stemt for den, indehar aktier for mindst fire femtedele av aktiekapitalen. Aktier, som maatte were utelukket fra stemmegivning i generalforsamlingen, medtages ikke ved denne beregning. De aktieeiere, som ikke har stemt for beslutningen, kan av aktieselskapet kreeve utlosning. I mange! av mindelig overenskomst fastsa3ttes losningssummen ved lovlig skjon optat paa aktieselskapets bekostning. Forsaavidt aktierne ikke straks overtages av andre, skal de uopholdelig tilintetgjores av styret og anmeldelse om indlosningen avgives til handelsregistret. Kan utlosning ikke ske, uten at aktiekapitalen angripes, finder § 85, andet og tredje led tilsvarende anvendelse. Retten til ntlosning tapes, hvis den ikke er gjort gjmldende inden en manned, efterat vedkommende aktie-eier er blit vidende om beslutningen. Hvis en foreslaat eendring i vedtFegtene berorer orholdet mellem de forskjellige klasser av aktier, utkrFeves, at den al- — 407 — 1910 mindelige generalforsamlings beslutning tiltrdes av swrskilte 19 juli. generalforsamlinger, dannet av indehaverne av de forskjellige Nr. 1. klasser av aktier. Hertil utfordres, at i hver smrskilt generalforsamling mindst to tredjedele av de avgivne stemmer er for tiltreedelse. § 72. For utlopet av to aar efter selskapets registrering maa erhvervelse ved frivillig overdragelse av bestaaende eller paatmnkte anlwg eller faste eiendomme eller skib for en sum, overstigende en tiendedel av aktiekapitalen, kun finde sted med generalforsamlingens samtykke. Mindst en halvpart av den stemmegivende aktiekapital maa vmre reprFesentert i det mote, hvor beslutningen fattes. Foranstaaende regler kommer ikke til anvendelse ved erh vervelse av fast eiendom, dersom selskapets forretning gaar ut paa saadan erhvervelse. 8de kapitel. Om oplosning, avvikling og aktiekapitalens nedseettelse. § 73. Begjwring om konkursbehandling eller akkordforhandling kan fma selskapets side alone fn.insw,ttes av styret. Dette repreesenterer under konkursbehandlingen selskapet som konkursskyldner. Om det skal nyde godtgjorelse og i tilfmlde hvilken, bestemmes av skifteretten. § 74. Er antallet av medlemmer i et aktieselskap sunket ned under tre, skal selskapet inden tre maaneder enten ha avhjulpet denne mangel eller ha oplost sig. Fortsa3tter selskapet sin virksombet utover de tre maaneder uten supplering eller oplosning, hefter de medlemmer, som i mindst en maaned har \Tau-et vidende om forholdet, en for alle og alle for en for de forpligtelser, som er paadrat selskapet efter utlopet av de ovennawnte tre maaneder. Er to maaneder hengaat, siden medlemmenes antal sank ned under tre, har enhver aktie-eier med en maaneds varsel til den anden aktie-eier ret til at kreeve, at skifteretten opneevner en eller flere meend til paa selskapets bekostning at foreta avvikling, saafremt antallet av aktie-eiere ikke inden varslets utlop er bragt op til mindst tre. Avviklingen foregaar overensstemmende med reglerne i § 76, andet og tredje led samt §§ 77 —82, saaledes at den eller de optwevnte mend trader i styrets og skifteretten i generalforsamlingens sted. § 75. Er der, forsaavidt angaar andre selskaper end bankog forsikringsselskaper, ikke inden seks maaneder efter utlopet av den i § 22, 2det led nFevnte frist, to aar efter selskapets registrering, skedd anmeldelse til handelsregistret om, at aktierne 1910 — 408 — 19 juli. er fuldt indbetalt, skal registerforeren forelEegge selskapets beNr. 1. styrelse en frist av en metalled til at indkomme med saadan anmeldelse. Oversiddes denne frist, skal han gi meddelelse herom til skifteretten. Denne skal derefter erkleere selskapet oplost og opneevne en eller flere mwnd til at foreta avvikling paa selskapets bekostning. Avviklingen foregaar som i foregaaende paragrafs sidste punktum bestemt. § 76. Beslutuing om et aktieselskaps frivillige oplosning fattes av generalforsamlingen. Til gyldig beslutning herom utfordres, at to tredjedele av de avgivne stemmer er derfor og at enten de medlemmer, som stemmer for den, indehar aktier for mindst to tredjedele av aktiekapitalen, eller at beslutningen gjentages med to tredjedels stemmeflerhet av en ny generalforsamling. Saafremt to tredjedele av den indbetalte aktiekapital er gaat tapt, er det dog tilstreekkelig, at et antal aktie-eiere, som tilsammeu eier mindst en fjerdedel tIV den indbetalte aktiekapital, stemmer derfor. Aktier, som inmate vmre utelukket fra stemmegivning i generalforsamlingen, medtages ikke ved disse bereguinger. Den generalforsamling, som beslutter oplosningen, vwlger samtidig et styre til at forestaa avviklingen. Medlemmer av det tjenstgjorende styre kan veelges, saafremt vedtgtene ikke anderledes bestemmer. Iovrig trader (let tidligere styre ut av virksomhet. Aktieselskapets forretninger kan under avviklingeu fortswttes i det omfang, som ansees hensigtsmwssig. § 77. Styret har at opta fortegnelse over massen og at opgjore selskapets status. Fortegnelsen og opgjoret blir at utlEegge paa selskapets kontor til oplysning for enhver aktie-eier; derhos buy avskrift eller avtryk av opgjoret at tilstille enhver aktie-eier, hvis opholdssted er kjendt. For forsikrings- og bankselskapers vedkommende blir opgjoret snarest mulig at bekjendtgjore i »Norsk Kundgjorelsestidende«. Efterat oplosning er besluttet, bar aktieselskapet paa ethvert fra samme utgaat brev, bekjendtgjorelse eller dokinnent at tilfoie ved sit firma ordene "under avvikling«. § 78. Styret liar at avhaende selskapets eiendele og iddrive dets tilgodehavende saint at betale dets gjeeld og opfylde dets ovrige forpligtelser. Forsaavidt det behoves til at dEekke gjEelden, har styret at indkalde indskud paa aktierne. § 79. Styret har to ganger i »Norsk Kundgjorelsestidende« at indkalde selskapets fordringshavere til at anmelde sit tilgodevende. De fordringshavere, som kjendes, gives derhos saavidt mulig swrskilt skriftlig underretning. Kongen kan, naar skjellig grund findes at foreligge, gi — 409 — 191() styret bevilling til at indkalde selskapets fordringshavere ved 19 jail. prEeklusivt proklama under varsel og bekjendtgjorelsesmaate, Nr. 1. som blir neermere at angi i bevillingen. Har selskapet drevet forsikringsvirksomhet, omfatter proklamaet dog ikke de av selskapet tegnede forsikringer. § 80. Er en fordringshaver ikke at finde eller vwgrer han sig for at motta sit tilgodehavende, blir belopet, livis dets storrelse er paa det rene, av styret at indswtte paa lians navn i sparebank. Er fordringen ikke rentebeerende og ikke forfalden, kan den indsttes med et belop, som med tillieg av lovlig rente til forfaldsdag vii gi fordringens bele belop. Er en fordrings tilvwrelse eller omfang uviss eller omstridt, kan der avsalttes et saadant belop, som ved overenskomst mellem selskapet og vedkommende fordringshaver maatte bli bestemt. Belopet indso3ttes i saa fald i sparebank paa styrets og fordringshaverens navn i fllesskap og blir ikke at utbetiale uten begge parters skriftlige samtykke eller efter endelig dom. Hvad der endelig kommer selskapet tilgode, blir av styret efterskudsvis at utlodde blandt det oploste selskaps medlemmer. § 81. Efterat selskapets eiendele er avhwndet, dets fordringer inddrevet, dets gjld betalt eller betalingen sikret som i § 80 bestemt, og alle dets ovrige forpligtelser opfyldt, blir overskuddet at fordele i rede penger mellem aktie-eierne mot indleveriug av aktiebrevene. En saadan fordeling maa dog dike finde sted for 6 maaneder, efterat den i § 79, forste punktum oinhandlede indkaldelse anden gang har staat i »Norsk Kundgjorelsestidende«. § 82. Efter sluttet avvikling, og efterat regnskap for samme or avlagt og vedtat i generalforsamliug, anmeldes selskapets endelige oplosning til handelsregistret. Pet styre, som bar forestaat avviklingen, har at opbevare selskapets boker i mindst ti aar efter oplosningen. § 83. Beslutning om overdragelse av et aktieselskaps formue som helhet kan alone fattes av generalforsamlingen med saadan stelmneflerhet som i § 76, andet og fjerde punktum sagt. Beslutningen anmeldes uopholdelig til handelsregistret. Styret sorger for, at selskapets forfaldne gjaald betales, og at dets ovrige forpligtelser opfyldes, forsaavidt vedkommende ikke samtykker i, at de gaar over paa den, til hvem overdragelsen or skedd. Iovrig kommer bestemmelserne i § 77, forste og andet led, § 78, andet punktum, § 79, forste led og § 80 til anvendelse. Overdragelsen kan ikke gjennemfores, og fordeling av overselskapets skuddet til aktie-eierne kan ikke finde sted, for ovrige dets kjendte gjwld or betalt eller betalingen sikret og 1910 — 410 — kjendte forpligtelser opfyldt eller gyldig overfort paa erhververen, og ikke for mindst seks maaneder er forlopet, efterat den sidste indkaldelse av fordringshaverne bar va3ret indtat i »Norsk Kundgjorelsestidende Naar overdragelsen er gjennemfort, anmeldes dette snarest mulig til handelsregistret. § 84. Sker den i § 83 omhandlede overdragelse til et aktieselskap mot vederlag i aktier i dette, kommer reglerne i § 25 ikke til anvendelse paa den utstedelse av nye aktier, som hertil utkrEeves. I dette tilfwlde kan det derhos i overenskomsten mellem selskapene bestemmes, at ledelsen av forretningene straks skal overgaa til det selskap, hvortil overdragelsen sker. Det andet selskaps midler blir imidlertid at forvalte smrskilt, indtil overdragelsen kan gjennemfores overensstemmende med § 83, tredje led. Styret i det selskap, hvortil overdragelsen er skedd, har i en generalforsainling, som holdes inden seks uker efter overdragelsens gjennemforelse, at avgi beretning angaaende overdragelsen og de forhold, som staar i forbindelse med den, og at gjore rede for enhver utgift, selskapene derved har hat. Derhos har begge selskapers styremedlemmer hver for sig at avgi en egenheendig underskrevet erkleering oun, hvorvidt de selv eller nogen andel' liar hat nogen indtwgt av overdragelsen, og i tilfwlde om indtmgtens art og storrelse. § 85. Nedseettelse av aktiekapitalen (herunder indbefattet avskrivning paa aktierne) kan alene finde sted i henhold til generalforsamlings-beslutning, fattet med saadan stemmeflerhet som i § 76, andet og fjerde punktum bestemt. Saadan beslutning kan alene fattes, efterat begrundet erklwring er indhentet fra repreesentantskapet, hvor saadaiit findes, og ellers fra styret. Den fattede beslutning, som tillike skal fastseette reglerne for dens gjennemforelse, blir at anmelde til handelsregistret og at indrykke to ganger i »Norsk Kundgjorelsestidende«. Kjendte fordringshavere skal saavidt mulig smrskilt varsles om heslutningen. For fordringshaver, hvis tilgodehav ende endnu ikke er forfaldent, eller hvis torching er nviss eller omstridt, blir belopet, naar han fremswatter begjwring derom inden den nedenfor i fjerde led ritevnte frist, at avseette overensstemmende med reglerne i § 80. Den endelige utforelse RN' beslutningen lian ikke finde sted, for der fra anden gangs offentliggjorelse i »Norsk Kundgjorelsestidende« er hengaat tre maaneder, dersom selskapet har kjendte fordringshavere kun i Norge, seks maaneder. dersom (let har kjendte fordringshavere kun i Europa, samt et aar, dersom det har kjendte fordringshavere paa noget sted utenfor Europa. 19 juli. Nr. 1. — 411 — 191() Naar beslutningen er bragt til endelig utforelse, blir an- 19 jell. meldelse at avgi derom til handelsregistret. Er dette ikke Nr. 1. skedd inden seks maaneder fra utlopet av de i fjerde led nseviite frister, taper beslutningen sin kraft. 9de kapitel. Om utenlandske selskapers adgang til at drive virksomhet her i landet. § 86. Er et aktieselskap gyldig stiftet i sit hjemland, kan det med iagttagelse av efterfolgende bestemmelser drive virksomhet ogsaa her i landet gjennem en forretningsavdeling (filial, underkontor), staaende under et sterskilt styre, om hvis myndighet til at forbinde selskapet like overfor tredjemand gjwlder, livad i § 46, forste led er sagt. § 87. Forinden en saadan forretningsavdeling som i § 86 omhandlet aapner virksomhet her i landet, har dens styre at indsende anmeldelse til handelsregistret overensstemmende med lov om handelsregistre, firma og prokura av 17 mai 1890. Anmeldelsen skal, foruten hvad der er foreskrevet i nmvnte by, tillike indeholde de i nwrveerende lovs § 14, andet led neevnte oplysninger — oplysninger angaaende bestemmelser av saadan art som i § 5, nr. 9-12 nwvnt, dog kun, dersom selskapet er stiftet i lopet av de sidste fern aar — samt bilwgges med styrets egenhtendig underskrevne erkltering om: a. at der paa hver aktie, hvorfor vederlag skal ydes i penger, er indbetalt det hele belop, eller forsaavidt angaar bankog forsikringsselskaper, hvis aktier ikke lyder paa ihtendehaveren og ikke paa et mindre belop end et hundrede kroner, i bankselskaper mindst en halvpart og i forsikringsselskaper mindst en fjerdedel av dens paalydende belop og et like stort bebop paa hver aktie av samme klasse, b. at alle indskud i vterdigjenstande er ydet. Med anmeldelsen skal derhos folge en av norsk konsul i hjemlandet bekreeftet bevidnelse fra den utenlandske registerfoxier eller anden vedkommende myndighet om, at selskapet lovlig er kommet i stand og bar sit hovedkontor i utlandet. Undladelse av anmeldelse medforer, at ogsaa hervrende styremedlemmer blir personlig og solidarisk ansvarlige. Stedfundne forandringer, derunder ogsaa aapning av konkurs, 1lii paa samme maate at anmelde. § 88. Forsaavidt et utenlandsk aktieselskaps kapital ikke er fuldtegnet, kan alene den tegnede kapital anmeldes som selskapets aktiekapital. § 89. TTtenlandsk aktieselskaps hervserende forretningsavdeling skal paa ethvert dokument, brev eller bekjendtgjorelse 1910 — 412 — 19 jun. betegne sig med ordene »utenlandsk aktieselskap«, likesom de isr. 1. i § 52 og § 77, sidste punktum givne forskrifter finder tilsvarende anvendelse. § 90. Medlem av styret for utenlandsk aktieselskaps forretningsavdeling er like overfor tredjemand underkastet det samme ansvar for sine handlinger, som om han var medlem av et norsk aktieselskaps styre. § 91. Utenlandske bankselskaper og selskaper, hvor saintlige aktier lyder paa ihamdehaveren, skal hvert aar inden otte maaneder efter regnskapsaarets utgang i »Norsk Kundgjorelsestidende« la offentliggjore selskapets aarsregnskap og balanse tillikemed smrskilt aarsregnskap for den hervairende forretningsavdeling. Efterkommes ikke dette bud, har det utenlandske selskaps hervEerende styre umiddelbart efter fristens utlop at anmelde dette til handelsregistret og samtidig at offentliggjore aarsregnskapet for hervmrende forretningsavdeling. Anden del. Om kommaiiilitaktieselskaper. 10de kapitel. § 92. Ved et kommanditaktieselskaps stiftelse maa saintlige fuldt ansvarlige medlemmer saint mindst tre kommanditister delta som stiftere eller som indbydere. Enhver, som ved siden av de fuldt ansvarlige medlemmer deltar i stiftelsen, maa tegne mindst en aktie. Selskapet kan ikke konstitueres, for den hele kommand itkapital er tegnet. § 93. Et fuldt ansvarlig medlem kan ikke tegne eller erhverve aktier i selskapet og heller ikke ta viljesbes temt pant i dem. Tilfalder saadanne aktier ham ved arv eller egteskap eller under tvangsinddrivelse til fyldestgjorelse av egen fordring, skal han avhwnde dem snarest mulig og senest inden et aar. § 94. Like overfor tredjemand kan alene de fuldt ansvarlige medlemmer handle paa selskapets vegne. I alt, hvad der horer til driften av selskapets forretning, er enhver begraansning i denne myndighet uten retsvirkning like overfor godtroende tredjemand. § 95. Denne lovs §§ 4-13, 47-55 og 57-91 finder tilsvarende anvendelse paa koinin anditaktieselskaper, dog saaledes, at a. i den i § 5 omhandlede protokol eller i tegningsindbydelsen skal angives, i hvilket forhold de fuldt ansvarlige med- — 413 — 1910 lemmer og kommanditkapitalen indbyrdes deltar i selska- 19 juli. Nr. 1. pets vinding og tap; b. valg av styre og repreesentantskap bortfalder; c. de om styrets rettigheter og pligter trufne bestemmelser ansees at gjoelde de fuldt ansvarlige medlemmer, forsaavidt intet motsat i werva3rende kapitel er bestemt; d. kommanditisterne vlger aarlig et tilsynsraad, som har: 1. at fore kontrol med forretningen og regnskapsforselen, men ikke har adgang til at gripe ind i den daglige drift; 2. at iverksaitte generalforsamlingens beslutninger, forsaavidt dette ikke efter vedtEegtene paahviler nogen anden. Iovrig gjaalder om tilsynsraadet de om reprwsentantskapet givne bestemmelser, forsaavidt intet motsat i nwrwerende kapitel er bestemt; e. de fuldt ansvarlige medlemmer og tilsynsraadet eller et utvalg av dette har i fallesskap at utfore, hvad der efter denne lovs §§ 22 og 30-36 paahviler styret; f. hvad der er foreskrevet om aktie-eierne (medlemmene) og aktiekapitalen, blir at anvende paa kommanditisterne og kommanditkapitalen ; g. et kommanditaktieselskaps likvidation foretages av de fuldt ansvarlige medlemmer og et utvalg av tilsynsraadet i fgellesskap, forsaavidt ikke andet or bestemt i vedtgegtene, og det holler ikke vedtages mellem de fuldt ansvarlige medlemmer og kommanditisternes generalforsamling, at syerskilt styre hertil skal vaalges. Hvis der vlges saarskilt styre, liar det de samme rettigheter og pligter som styret i et aktieselskap. § 96. Der kan ikke trEeffes avtaler om, at generalforsal-riling eller tilsynsraad uten samtykke av de fuldt ansvarlige medlemmer skal kunne beslutte: a. fastswttelse av aarets overskud og utbytte, b. ansFettelse av prokurist, c. forandring av vedtaagtene, d. forhoielse eller nedsaAtelse av kommanditkapitalen eller amortisation av aktier, e. fjernelse eller optagelse av ansvarlig medlem, selskapets oplosning utenfor det i § 98 nEevnte tilfa31de eller avhEendelse av selskapets formue som helhet. § 97. Et fuldt ansvarlig medlems srkreditor kan ikke ta utlmg i nogen av selskapets eiendele eller nogen del av disse, men kan alone fordre sii utlagt, hvad hans skyldner selv or berettiget til at kra3ve av selskapet som andel i aarsoverskud, saavelsom den andel, han kan kneve sig utbetalt ved selskapets oplosning. 1910 19 juli. Nr. 1. — 414 — Har swrkreditor faat eudelig utlwg i, hvad der maatte tilkomme skyldneren ved selskapets oplosning, kan hait kra3ve sin skyldners andel i selskapet utlost saavidt fornodent til at da3kke haus krav ; dog har han i saa fald at gi mindst et aars frist efter reguskapsaarets utlop. Efterkommes ikke da haus krav, kan han kneve selskapet tat under konkursbehandling. § 98. Et kommanditaktieselskap, som er stiftet paa ubestemt tid eller paa det eller de fuldt ansvarlige medlemmers livstid, blir, forsaavidt intet motsat er avtalt, at oplose efter opsigelse fra et fuldt ansvarlig medlem eller fra kommanditisternes generalforsamling. Opsigelsen maa i mangel av anden avtale gives med en frist av mindst et aar efter regnskapsaarets slutning. Det kan dog i vedta3gtene bestemmes, at om et fuldt ansvarlig medlem fra sin side opsiger kontrakten, skal det mellem den uttnedende og de tilbakevwrende fuldt ansvarlige medlemmer samt kommanditisternes generalforsamling kunne vedtages, at selskapet skal fortsmtte som saadant. Den uttryedendes samtykke krmves ikke, dersom selskapet for hans andel av selskapsgjaelden stiller sikkerhet, hvis tilstraakkelighet i tilfwlde av tvist bestemmes ved lovlig skjon. § 99. Naar skjellig gruud foreligger, kan et kommanditaktieselskap ved dom oploses, saafremt begjwring derom fremsttes av et fuldt ansvarlig medlem eller av kommanditister, som tilsammen eier en fjerdedel av kommanditkapitalen. Kommanditisternes begjaaring kan kun tages tilfolge, saafremt den forut har va3ret undergit behandling i en generalforsamling. De har i ti1fa31de ved sakens iretteforsel at fremlwgge i rotten aktier for det angivne belop ; om aktiernes paategning og opbevaring og om undladelsen av betimelig at fremlwgge dem gjmlder, hvad i § 67 er sagt. Hvis selskapet overfor et fuldt ansvarlig medlem kan krgeves oplost, kan de ovrige fuldt ansvarlige medlemmer saavelsom kommanditisternes generalforsamling isteden krFeve dom for hails utelukkelse uten oplosning av selskapet, dersom de er euige om fortsmttelse paa saadan maate som sagt i § 98, sidste led. Tredje del. Forskjellige bestemmelser. lite kapitel. Om registrering og kundgjorelse. § 100. Enhver amneldelse skal vFpre ledsaget av saadanne oplysninger, at registreringsmyndigheten derved seettes — 415 — 1910 istand til at bedomme, hvorvidt neervrende lovs forskrifter 17 juli. saavelsom vedtgtene er iagttat. Ni. 1. Registreringsmyndigheten har omhyggelig at prove, hvorvidt det, som begja3res registrert, er stemmende med lovens forskrifter, eller, hvor der handles om en beslutning, hvorvidt denne er tilblit overensstemmende med by og vedtalgter, og den kan krve sig forelagt alle de oplysninger, som er fornodne til bedommelse herav. Findes der mangler i denne henseende, blir aumeldelsen at avvise overensstemmende med reglerne i by om handelsregistre, firma og prokura av 17 mai 1890 § 3. 12te kapitel. Straffebestemmelser. § 101. Den, som undlater at gjore nogen i denne by foreskrevet anmeldelse, eller som medvirker dertil, straffes med Paa samme maate straffes den, som bryter den i § 68 tredje led paalagte taushetspligt, eller som medvirker til, at sandal' overtrwdelse sker. Stiftere, indbydere, styremedlemmer eller repraesentanter, som iovrig overtraader neervwrende lovs bestemmelser, eller som medvirker til, at saadan overtrwdelse sker, straffes med boter eller under scerdeles skjwrpende omstwndigheter med frengsel indtil tre maaneder, forsaavidt handlingen ikke indgaar under nogen strengere straffebestemmelse. § 102. Hvad der i foregaaende paragraf er bestemt om styremedlemmer og repreesentanter, gjmlder i kommanditaktieselskaper om de fuldt ansvarlige medlemmer og om tilsynsraadets medlemmer. 13de kapitel. Overgangsbesteminelser. § 103. Hvis et bestaaende aktieselskap ikke or anmeldt til handelsregistret overensstemmende med by av 17 mai 1890 § 19, skal saadan anmeldelse ske inden tre maaneder, efterat nwrwerende by er traadt i kraft. Inden samme frist har derhos ethvert bestaaende aktieselskap at indsende til handelsregistret en tillsegsanmeldelse, forsaavidt noget forhold som omhandlet i § 5 nr. 5-13 er tilstede og oplysning derom ikke findes indtat i den tidligere anmeldelse; oplysniug angaaende forhold av saadan art som i § 5 nr. 9-12 neevnt blir dog alene at medta, dersom registreringen av selskapets stiftelse liar fundet sted i lopet av de sidste fern aar, for neervwrende by traadte i kraft. 1910 — 416 — — 393 — 19 juli. Er der utstedt aktier paa ihK.ndehaveren, forend den fulde Nr. 1. paalydende RUM er indbetalt, blir tillmgsanmeldelse at avgi til handelsregistret, hvori alene den indbetalte kapital opfores som selskapets aktiekapital, mens den ikke indbetalte del begjwres slettet. Herved gjores dog ingen forandring i aktie-eiernes forpligtelse like overfor selskapet. Styret bar med hensyn til de her givne forskrifter det i § 19, sidste punktum bestemte ansvar. § 104. Paa norske aktieselskaper, som er registrert for naervaerende lovs ikrafttrmden, eller som blir registrert ifolge forangaaende paragraf, kommer folgende bestemmelse til anvendelse, naar fern nar er forlopet efter lovens il:rafttrwden: 2det kapitel, samtlige bestemmelser, dog saaledes, at §§ 20 og 22 kun kommer til anvendelse, naar nye aktier senere utstedes, og § 21 kun ved senere indbetaling paa aktier. Saafremt der paa et bank- eller forsikringsselskaps aktier er indbetalt mindre end i § 22 bestemt, kan dette forhold derhos ogsaa efter utstedelse av nye aktier opretholdes saavel for de nye som for de wldre aktier, naar aktie-eierne for mindrebelopet stiller tilstrmkkelig sikkerhet i norske stats- eller hypotekbankobligationer ; 3dje kapitel, samtlige bestemmelser med undtagelse av § 30 saint av § 34, tredje led, saafremt overdragelsen ved femaarsfristens utlop allerede gyldig er skedd, og av §§ 31 og 32, forste punktum, saafremt aktiebrev da allerede er utstedt; 4de-- Mde kapitel, samtlige bestemmelser; 11te kapitel; 12te kapitel § 101. Vii et allerede bestaaende selskap utstede nye aktier, blir § 30 at befolge, forsaavidt de tidligere utstedte aktier fyldestgjor bestemmelserne i denne paragraf. Lyder de aeldre aktier alle paa samme sum, skal de nye aktier utstedes paa samme bele') som de oprindelige, selv om dette er mindre end i § 30 kraevet. Er der tidligere utstedt aktier av forskjellig storrelse, skal de nye aktier ha samme storrelse som en av de 931dre serier hel-aktier, der fyldestgjor kravet i § 30; fyldestgjor ingen av de wldre serier dette krav, skal de nye aktier ha den samme storrelse som de storste av de aeldre hel-aktier. I wldre selskaper, som har utstedt aktiebrev, lydende paa navn, men hvor grundfonds-forskrivelse ikke er utstedt for den endnu ikke indbetalte del av aktiekapitalen, maa utbyttekupons ikke utleveres eller, hvor saadanne ikke benyttes, utbytte ikke utbetales paa aktie, for hvilken grundfonds-forskrivelse ikke er indlevert overenstemmende med § 32. § 105. -Lyder et bestaaende aktieselskaps aktier paa det 191() Synker reservefondet under det lovbefalte omfang, blir det 19 juli. NI% 1. atter at fylde efter samme regel. Ved bank- og forsikrings-selskaper skal halvdelen av det lovbefalte reservefond anbringes i sikre og for bankers vedkommende tillike let realisable vaerdipapirer. Disse papirer maa ikke gives som sikkerhet for gjaeld. § 24. Forhoielse av aktiekapitalen ved utstedelse av nye aktier kan alene besluttes av generalforsamlingen. Til gyldig beslutning herom utkraeves, at to tredjedele av de avgivne stemmer er derfor. Saadan beslutning kan derhos forst fattes, efterat selskapet er registrert. I beslutningen maa angives en bestemt hoieste grmnse for forhoielsen. Ingen avtale, som indgaar under na3rvaerende lovs § 5 nr. 5-12, er gyldig uten samtykke av generalforsamlingen. § 25. Vii de mldre aktie-eiere eller fordringshavere i selskapet eller begge i forening ikke overta samtlige nye aktier, har styret eller den eller de, som generalforsamlingen dertil maatte ha bemyndiget, at utfmrdige en egenhmndig underskrevet indbydelse til tegning av aktier. I denne skal opgives det paa hver paldre aktie indbetalte belop. Forovrig kommer ogsaa paa denne tegningsindbydelse til anvendelse de i § 6, § 7 — med undtagelse av de to sidste nummer — § 8 og § 10 givne regler. Den frist, inden hvilken tegningen av aktier skal vmre avsluttet, maa ikke swttes fjernere end til seks maaneder efter tegningsindbydelsens forste bekjendtgjorelse i »Norsk Kundgjorelsestidende«. Efter utlopet av den i indbydelsen satte frist kan aktier ikke tegnes. Naar tegningen er avsluttet eller tegningsfristen utlopet, bar styret at inddra tegningslisten og, om nodvendig, at foranstalte reduktion av overtegning i overensstemmelse med tegningsindbydelsen. § 26. Inden seks maaneder efter utlopet av den i § 22, 3dje led fastsatte frist skal der ske anmeldelse til handelsregistret om den stedfundne forhoielse av aktiekapitalen, omfattende de aktier, hvorpaa er indbetalt et saa stort belop som i § 22, 3dje led foreskrevet. Er der truffet avtale, som indgaar under naervaerende lovs § 5 nr. 5-12, skal oplysning derom indtages i anmeldelsen. Med anmeldelsen skal folge som bilag: 1. tegningslister i original eller i bekraeftet gjenpart eller anden legitimation for, at samtlige aktier er overtat; 2. enhver avtale — i original eller i bekrwftet gjenpart — ay den art, at den indgaar under naarvEerende lovs § 5 nr. 9-12; — 394 — 3. skriftlig erklwring fra styret, indeholdende de i e 15 nr. 2 foreskrevne oplysninger samt bevidnelse om, at de for forhoielse av kapitalen i § 24 opstillede betingelser foreligger. Saafremt der senere foregaar indbetaling i saadan utstrwkfling som i § 22, 3dje led foreskrevet paa flere aktier, kan der ske ny anmeldelse heroin. De i §§ 16, 18 og 19, andet led givne regler finder tilsvarende anvendelse ved forhoielse av aktiekapi talen gjennem utstedelse av nye aktier. § 27. Forhoielse av aktiekapitalen gjennem tilskrivning paa aktierne skal anmeldes til handelsregistret. Med anmeldelsen skal folge skriftlig erklwring fra styret om, at den stedfundne forhoielse av aktiekapitalen virkelig har fundet sted gjennem overforelse av selskapets fond eller paa anden maate. Reglen i § 19, andet led finder tilsvarende anvendelse. § 28. Et aktieselskap kan ikke ta viljesbestemt pant i egne aktier og kan med de i § 29 nwvnte undtagelser kun erhverve eller indkjope dem under iagttagelse av de for aktiekapitalens nedswttelse givne regler. § 29. Det er et bankselskap tillatt at indkjope egne aktier for fremmed regning. Det er ethvert aktieselskap tillatt at erhverve egne aktier under tvangsinddrivelse efter § 43 eller til fyldestgjorelse av egen fordring, som er sikret ved utlEeg i aktierne. Disse skal snarest mulig igjen avhwndes, og ved nmste generalforsamling skal der gjores swrskilt indberetning om kjopet, likesom de endnu ikke avhEendede aktier uttrykkelig skal opfores i regnskapet som egne aktier i egen besiddelse«. Likeledes er det selskapet tillatt at erhverve egne aktier til amortisation, hvis de er fuldt indbetalt. Dog kan saadan amortisation alene finde sted i henhold til en derom fattet generalforsamlings-beslutning, likesom selskapet dertil alene kan anvende sit aarlige overskud eller et av overskud dene i saadant oiemed oplagt saarskilt fond. Gjennem tvungen indlosning kan amortisation alene finde sted i henhold til bestemme lse truffet ved stiftelsen (tegningsindbydelsen) eller for nye aktiers vedkommende ved beslutningen om aktiekapitalens forhoielse. Om kjopet eller indlosningen avgir styret indberetning til repra, sentantskapet, dersom saadant findes, og til generalforsamlingen. De til amortisation erhvervede aktier skal straks tilintetgjores av styret og anmeldelse derom avgives til handelsregistret. --- 395 — 1910 3dje kapitel. 19 juli. Nr. 1. Om aktier og deres overdragelse. § 30. Samtlige aktier i et selskap skal vwre like store og udelelige samt lyde paa viss sum, ikke under ti kroner. § 31. For aktierne skal utstedes aktiebrev, som skal vre datert, underskrevet av styret og indeholde: selskapets navn og gjenstanden for dets virksomhet; registreringens datum ; aktiens storrelse og, hvis den ikke lyder paa ihaandehaveren, aktie-eierens navn; derhos skal det i aktiebrevet tydelig anfores, hvor meget der inden dets utlevering er indbetalt paa det. Ethvert aktiebrev skal veere underskrevet av mindst tre personer. Har styret fwrre medlemmer, vwlger generalforsamlingen blandt aktie-eierne det manglende antal til at underskrive aktiebrevene sammen med styret. Av underskriftene skal mindst en vEere haandskrevet ; forovrig kan navnetraakkene gjengives ad mekanisk vei. Forsaavidt der er truffet bestemmelser, som gjor indskreenkning i aktiernes omswtteligliet, paalagger aktie-eierne forpligtelser utenfor pligten til at iialfri aktiens paalydende belop eller tilsteder tvungen indlosning, skal indholdet av disse bestemmelser gjengives i aktiebrevet. Aktierne skal were numerert; et aktiebrev kan dog omfatte flere aktier og skal da indeholde et tilsvarende antal nummer. Aktiebrev maa forst utfrdiges, efterat selskapet eller — ved utstedelse av nye aktier — den stedfundne forhoielse av aktiekapitalen er registret. Er aktiekapitalen nedsat paa anden maate end ved kjop eller indlosning av selskapets egne aktier, mea aktierne i overensstemmelse hermed ogsaa nedskrives og dette paafores aktiebrevene eller nye saadanne utstedes. § 32. Aktiebrev, som ikke er fuldt indbetalt, maa ikke utleveres uten mot aktie-eierens forskrivelse til selskapet fot den ikke indbetalte del av aktien (grundfonds-forskrivelse). Grundfonds-forskrivelsen kan ikke overdrages og heller ikke gives som sikkerhet eller tages i utlwg for gjEeld. e 33. Ved ethvert selskap, hvor ikke samtlige aktier lyder paa ihEendehaveren, skal der holdes en aktiebok, hvori samtlige paa navn lydende aktier skal vwre indfort lined noiagtig angivelse av eierens navn, stilling og hosted samt, forsaavidt grundfonds-forskrivelse er utstedt, av dennes dato og av den sikkerhet, som inmate were stillet. § 34. Aktie-eiernes ret til at overdra sine aktier kan i vedtEegtene nmrmere begramses. 1910 — 396 — — 397 — 19 juli. Gaar et enkelt aktiebrev over til flere eiere, maa disse Nr. 1. for styret utpeke en enkelt, som like overfor selskapet skal gjlde som ene-eier. Forat overgang til ny eier av aktiebrev, som lyder paa navn, skal ha gyldighet like overfor selskapet, maa anmeldelse vmre skedd til selskapets styre. Er det paalydende belop ikke fuldt indbetalt, maa erhververen derhos ha utstedt sin grundfonds-forskrivelse og selskapets styre ved datert paategning paa aktiebrevet ha godkjendt erhvervelsen. Ved godkjendelsen bortfalder den tidligere eiers forpligtelse like overfor selskapet. Styret har at negte godkjendelse, saafremt erhververen ikke kan ansees vederheftig for det paa aktien endnu ikke indbetalte belop. I motsat fald kan godkjendelse ikke negtes uten i henhold til bestemmelse i vedtEegtene. Godkjendes erhvervelsen, blir anmerkning herom at indfore i aktieboken. 4de kapitel. Om aktie-eiernes rettighet er og forpligtelser. § 35. Hvis ikke anderledes i vedtwgtene er bestemt, kan den, som paa anden maate end ved egteskap eller arv er blit eier av aktie, lydende paa navn, hverken stentme i generalforsamling eller veelges til noget av selskapets ombud eller optrade som reprmsentant alene i kraft av det antal aktier, hvorav han er eier, for fire uker efter overdragelsens anmeldelse for styret. § 36. Dersom aktie-eier, som alene har aktier lydende paa ihEendehaveren, vmlges til reprwsentant, skal han for den tid, han tjenstgjor som saadan, nedlwgge hos selskapet mindst en aktie. Det samme gjaalder ved valg til styremedlem, saafremt selskapets vedtaBgter bestemmer, at alene aktie-eier kan vre styremedlem. § 37. Hvor indbetaling paa aktier sker for de foreskrevne betalingsfrister, kan der gives rente av det indbetalte belop, dog ikke over fern pct. aarlig og ikke for leenger tid end et aar. Med samme begreensning kan der i tilfselde av aktiekapitalens forokelse eller indbetaling paa Eeldre aktier tilsiges rente for den tid, i hvilken der for de nye aktier eller de nye indbetalinger ikke deltages i utbyttet. Iovrig kan utbytte eller rente til aktie-eierne alene utdeles av det rene overskud efter aarsopgjoret, efterat de ved by eller vedteegter befalte henlmggelser har fundet sted, samt av, h vad der av tidligere lignende overskud maatte vmre avsat i saadant oiemed. 1910 Forsaavidt noget av den indskutte kapital er tapt, maa 19 juli. ingen utdeling finde sted, for tapet er optjent eller kapitalen Nr. 1. nedsat, overensstemmende med de i § 85 angivne forskrifter. § 38. En aktie-eier er ikke forpligtet til at tilbakebetale, hvad ha n i god tro har faat utbetalt som utbytte, medmindre utbetaling har fundet sted, uten at regnskap har valret avgit og revidert samt godkjendt av generalforsamlingen. § 39. Aktie-eierens forpligtelse til at bidra til aktiekapitalen bestemmes ved hans akties paalydende sum. Benne forpligtelse or ikke gjenstand for foraaldelse. En aktie-eier kan ikke fordre sit indskud tilbake, men har kun krav paa sin forholdsmeessige anpart i den lovlig besluttede naar selskapet oploses — i den da gjenaarlige utdeling og vaTende formue. Bestemmelse om, at en aktie-eier skal tilstaaes nogen sikkerhetsret i selskapets eiendele for sine indskud, er ugyldig. Delvis tilbakebetaling av aktiekapitalen til medlemmene eller eftergivelse av disses indskudspligt kan alene eke under iagttagelse av de for aktiekapitalens nedsEettelse givne regler. § 40. Beslutning om indkaldelse av indskud paa aktier, corn ikke or fuldt indbetalt, fattes av generalforsamlingen eller, om vedteegtene saa maatte bestemme, av reprsentantskapet. Beslutningen skal straks anmeldes til handelsregistret. § 41. Indkaldelse av indskud paa aktier sker, forsaavidt ikke anderledes i vedteegtene er bestemt, ved bekjendtgjorelse i »Norsk Kundgjorelsestidendeq med mindst seks ukers varsel, regnet fra forste bekjendtgjorelse. Aktie-eier, som ikke i rette tid betaler indkaldt indskud, svarer, forsaavidt ikke anderledes i vedteegtene or bestemt, seks pct. aarlig rente av det manglende fra forfaldsdag, indtil betaling sker. Fordring paa selskapet kan ikke bringes i motregning. Saaleenge indkaldt indskud ikke et betalt, blir utbytte, corn maatte falde paa vedkommende aktie, at avskrive paa indskuddet med rente. § 42. Har en aktie-eier ikke til fastsat tid betalt indkaldt indskud paa aktie, kan selskapet, saafremt det gjeelder forste termin, enten saksoke ham til betaling eller slette bans tegning og overlate de av ham tegnede aktier til andre. Hvis det gjEelder senere terminer, kan selskapet indtale indskuddet ved almindelig rettergang eller smtte aktien til auktion eller i fornodent fald benytte begge fremgangsmaater. § 43. Vii selskapet i henhold til foregaaende paragraf avholde auktion, bar det at varsle vedkoinniende aktie-eier herom gjennem bekjendtgjorelse i »Norsk Kundgjorelsestidende«. Samtidig bar det gjennem anbefalet brev at underrette den, der i • 1910 — 398 — 19 juli. aktieboken staar som eier, hvis ban bor i Norge og flans boNr. 1. pwal er selskapet bekjendt. Er det selskapet meddelt, at aktien er pantsat, tat i utlaig eller belagt med arrest, blir vedkommende rettighetshaver paa samme maate at varsle. Indbetales ikke indskuddet inden en maaned efter bekjendtgjorelsen i »Norsk Kundgjorelsestidende«, har selskapet ret til paa vedkommendes vinding eller tap at la aktien bortslge ved offentlig tvangsauktion uten foregaaende indkaldelse til forlikskommissionen, dom eller eksekution og med fortrin fremfor tredjemand, som maatte ha erhvervet pant eller anden rettighet i aktien. Dog blir den, der i aktieboken staar som eier av aktien, mindst otte dage for auktionens avholdelse gjennem anbefalet brev at advare om denne, hvis han bor i Norge og hans bopwl er selskapet bekjendt. Undlater aktiebrevets indehaver at utlevere det, kan selskapet paa vedkommende aktie-eiers og indehavers fEelles bekostning erhverve dom til dets mortifikation. Hertil utfordres ikke kongelig bevilling. Selskapet utfmrdiger derefter nyt aktiebrev, som skal indeholde uttrykkelig angivelse av, at det trmder i det mortifieertes sted. 5te kapitel. diii ty re t. § 44. Selskapets forretninger ledes av et styre, bestaaende av et eller flere medlemmer. Bestaar det av flere medlemmer, vFelges ett av disse til formand efter nEermere forskrifter i vedtEegtene. Styrets medlemmer tjenstgjor, hvis ikke anderledes i vedtEegtene er bestemt, i to aar ad gangen. Et medlem forblir i sin stilling, indtil nyt medlem er lovlig valgt, selv om hans tjenestetid er utlopet. Bestaar styret av flere medlemmer, kan de fordele forretningene mellem sig, hvis ikke vedtmgtene anderledes bestemmer. saker, som efter vedtaagtene skal avgjores av det samlede styre, inaa mindst halvdelen av dette delta i behandlinger. Over forhandlingene skal fores protokol, som underskrives av samtlige deltagende medlemmer. § 45. Ethvert medlem av styret kan uten varsel forelobig fjernes ved beslutning av generalforsamlingen eller av repriesentantskapet, hvor saadant findes; samtidig blir et nyt medlem midlertidig at answtte. I ethvert tilfEelde blir sporsmaalet om, hvorvidt vedkommende endelig skal fjPrnes, uopholdelig at forebkgge en fly generalforsamling — ordentlig eller overordentlig — til avgjorelse. — 399 — 1910 Saavel til midlertidig som til endelig fjernelse utfordres 19 juli. mindst to tredjedeles stemmeflerhet, medmindre vedtFegtene \I. 1. anderledes bestemmer. Styremedlem, som fjernes i henhold til reglerne i denne paragraf, har intet krav paa erstatning, hvis han har utvist svigagtig forhold eller saadan forsommelighet, skjodesloshet eller uforstand, at der var rimelig grund til hans fjernelse. Iovrig blir det at avgjore efter almindelige retsregler, livorvidt erstatning tilkommer ham. § 46. Like overfor tredjemand er styret bemyndiget til at handle paa selskapets vegne i alt, hvad der horer til driften av dets forretning, derunder ogsaa til ansmttelse av forretningsfewer (disponent, prokurist). Enhver begramsning i denne myndighet er uten retsvirkning like overfor godtroende tredjemand. Like overfor selskapet er styret forpligtet til at rette sig efter vedtEegtene og de bestemmelser, som generalforsamling og reprmsentantskap indenfor deres myndighetsomraader bar truffet. I forhold til selskapet er styret alene berettiget til at anstte forretningsforer, saafremt der i vedtwgtene eller ved beslutning av generalforsamling eller reprmsentantskap uttrykkelig er tillagt det ret dertil. § 47. Styret har at serge for, at der feres et ordentlig og tilstrEekkelig bokholderi. Ved hvert regnskapsaars avslutning blir aarsregnskap og balanse at opgjore overensstemmende med de grundsFetninger, som gjFelder for en ordentlig og forsigtig forretningsforsel. Forvaltningsomkostninger maa ikke opfores i balansen blandt aktiva, men skal i sin helhet fores til utgift i aarsregnskapet. Stiftelsesomkostninger skal avskrives av aarsoverskuddet, forinden utbetaling av utbytte kan finde sted. Ankeg, maskiner, skibe og andre gjenstande, som vedvarende er bestemt til forretningens drift, kan, uanset sin nuvaarende ringere vmrdi, op hires med anskaffelsesprisen, saafretnt der fradrages en til deres aarlige forringelse ved alder og slit svarende sum eller et hertil svarende belop aarlig avsEettes til et sEerskilt fornyelsesfond. For forsikrings-aktieselskaper kan Kongen gi yderligere regler om regnskapsforselen. § 48. 1 sjoforsikrings-selskaper skal aarsregnskapet vRre avgit og revidert inden ni maaneder efter regnskapsaarets utgang. I andre selskaper skal aarsregnskapet vFere opgjort og revidert inden tre maaneder efter regnskapsaarets utgang, hvis vedtwgtene ikke bestemmer en anden frist, som dog ikke maa overstige seks maanPder. § 49. Har selskapet repreasentantskap, skal styret straks forelEegge dette det reviderte aarsregnskap. Naar derefter re- " 1910 — 400 — 19 jub. prwsentantskapet har behandlet saken og truffet de avgjorelser, Nr. 1. som vedtFegtene hjemler det, blir aarsregnskapet i dets saaledes vedtagne form at utlwgge i selskapets forretningslokale til eftersyn for enhver aktie-eier i mindst fjorten dage for avholdelsen av den ordentlige generalforsamling. Derhos blir avskrift eller avtryk av aarsregnskapet at tilstille enhver aktie-eier, som derom fremswtter forlangende. § 50. Har selskapet ikke repraesentantskap, skal styret mindst fjorten dage for avholdelsen av den ordentlige generalforsamling oversende revidert aarsregnskap til samtlige aktieeiere, hvis opholdssted er kjendt. § 51. Aarsregnskap og balanse blir av bankselskaper saint av selskaper, hvor samtlige aktier lyder paa ihaandehaveren, umiddelbart efter avholdelsen av den ordentlige generalforsamling at indrykke i »Norsk Kundgjorelsestidende«. § 52. Vii et aktieselskap i dokumenter, fakturaer, brev, bekjendtgjorelser eller lignende nmvne sin aktiekapital, skal det uttrykkelig angives, til hvilken sum den indbetalte kapital beloper sig efter sidste aarsopgjor. § 53. Tantieme kan kun beregnes av det rene overskud, aarsregnskapet maatte utvise, efterat de ved by befalte avsaatninger bar fundet sted. e 54. Maa det efter aarsopgjoret eller et i regnskapsaarets lop foretat opgjor antages, at selskapet har lidt saa store tap, at ikke alene dets samtlige opsparte fond, men ogsaa en tredjedel av den indbetalte aktiekapital er gaat tapt, skal styret, hvis selskapet ikke har reprmsentantskap, uopholdelig indkalde en generalforsamling med kortest mulig varsel og forelaagge denne saken. Har selskapet reprsentantskap, skal styret uopholdelig forela3gge saken for dette til avgjorelse av, hvad der videre skal foretages. § 55. Stevninger og retslige indkaldelser mot et aktieselskap forkyndes for styret eller for dets formand. I Baker mellem styret eller enkelte styremedlemmer paa den one side og aktieselskapet paa den anden •side sker forkyndelse til selskapet for repryesentantskapets ordforer, og reprFesentantskapet forer saken for det. Har selskapet ikke repra3sentantskap, sammenkalder styret en generalforsamling til valg av en eller flere mend, som har at motta varsel paa selskapets vegne og at vareta dets tarv under saken. Undlater genetalforsAmlingen at foreta saadant valg, kan forkyndelse ske for hvemsombelst av aktie-eierne. Fores der sak mellem reprmsentantskapet eller dets flertal paa den ene side og aktieselskapet paa den anden side, bar styret at sammenkalde en generalforsamling til valg av en in MONETARY SYSTEMS AND APPROXIMATE STOCKS OF MONEY, TN TuE .1(1GREGATE AND PER CAPITA, IN THE PRINCIPAL COUNTRIES OF THE WORLD, DECEMBER 31, 1906. Country. Monetary unit. Gold. 1 United Stvites 2 Austria-Hungary .. ....do ... .. do 3 Belgium British Empire ....do... Australasia 4 do . Canada 5 United Kingdom ....do ... 6 .do India 7 8 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 80 31 32 33 34 35 36 87 88 39 40 41 42 43 44 45 46 47 In banks and pub- In circulation. lic treasuries. Thou Thu itSands. sands. 85,4410 41,081,500 5229,5)10 49,4110 520,2(N) 7,200 Dollar Crown Franc Pound sterling Dollar Pound sterling Pound sterling and rupee. ....do ... Pound sterling South Africa Straits Settle- Silver.. Dollar ments.! Lev Gold. Bulgaria Peseta .do Cuba. Crown .do Denmark Piaster do •. Egypt Mark kaa .do Finland Franc .do France Mark .do Germany Drachma .do Greece Gourde Haiti Lira .do Italy Yen .do . Japan Peso .do Mexico ....do... Florhu Netherlands Crown Norway Milreis do Portugal Len Roumania Ruble do Russia do Dinar Sorvia do . Tioal Siam South American States: . do .. Peso Argentina Bolivians Silver Bolivia Milreis • Gold Brazil •.(l0...Peso Chile Dollar do Colombia Sucre ....do Ecuador Guiana: Pound sterling .do. British Florin do Dutch Fran(• .do French Peso .do Paraguay Sol .do Peru Peso. do Uruguay Bolivar. do Venezuela Peseta do Spain Crown do Sweden Franc do Switzerland Piaster do Turkey Central American Silver h. Peso States. Tael. ..do. China •• Total Population. 4,800 5,800 44,100 295,200 7,700 5,400 4,000 1,600 2,600 11,200 2,800 39,300 60,600 2.1(X) 1,400 33,700 51,700 13.600 5,600 2,300 5,400 6.600 143,400 2.7110 6.100 Total. l'housands. Th usn 51(18. $127.400 $571,300 105,300 ((') (115,0(M) (19,700 Tim usa so(Is. 69$.7(N) is 105,304) d 24,700 Th f)tsmi sui.. $610,801) b 119,34 N Total Silver. Paper. $18.66 6.20 4.32 $8.18 2.18 3.4)8 $7.15 2.41 17.47 ;3:1.99 10.74 25.2'2 Gold. 1 2 4 is 10,11011 /5674$) 5116,800 c 510,000 6,7110 is 116,8110 5603,81 NI (c) 572,51K) b 110.SIN) 538,9110 26.01 111.70 11.03 1.14 2.08 1.15 2.65 2.115 12.50 2.65 . 13 28.12 24.41 16.33 3.32 6 7 561,400 is 600 (c) 542,000 is 20.(NM) 0,000 520,000 549,000 (c) b 22.200 • 7.97 .11 2.60 9.117 4.11 10.57 13.29 9 57,2011 (c) 57,200 S38.200 (c) 5314,200 522,6(K) (c) 522.4;110 (17,3(N) d 132,700 (1140,000 0,100 0,100 (e) 926,41)11 1)520,100 b 403,300 51,030,300 884,800 1-15,700 b 55,600 5200 b 5,4(N) b1,1N10 b 1,11011 (e) 5215.5110 5215,54K) (C) 580, 11N1 5(1,8(K) 1)73,300 (/ 31,400 (140,1100 5/8,1500 b 45,900 519,200 20,7(X) 58,34K) (c) /58300 58,8(K) b3,100 b 5,500 /520,700 (c) 1)20,700 1)609,000 5330,400 51439.4(N) 52,%00 1)1.900 534K) «9 (c b1,000 (c) ((.) 52.200 d5.1100 56,14K) 5 15,11410 (c) b 847,400 (c) hi(s) b1,000 528.300 (c) 552,800 /548,000 (c) (c) (c) (c) (c) 544,500 /563,700 52111,7(X) te 51,5110 53.400 548.21)0 54,1100 54,6110 5:8,14*) 533.400 56110 b77. MO 53.24$) (() 53,2(M) d 5.000 56,1(M) 1)15,(N1) 1/4(s) 411.100 5219,7(N) 15100 1)2,5110 b 31,700 548,2(K) b 58,800 552,64K) 53,100 533.41$) /56110 77,111N1 1)3,2110 44,500 52,000 (c) b10,700 (c) y12,700 /5269,200 5267, 11N1 Is 42,6110 57.414K) 1,1511,600 96.900 551,21K) 557,8(M) b 7.000 561,200 b27,61N1 ((') 51,500 51,100 1.80 23.88 8.69 12.50 1.82 23.57 17.1K) 2.33 . 71 6.39 1.55 2.94 8. 3.61 1.59 3.14 6.55 .81 .80 3.12 2.35 1.34 .14 10.46 3.62 .04 1.79 .94 .93 4.18 9.39 1.35 6.19 .09 54 1.19 7.29 3.33 27.00 15.15 13.84 6.54) 414.88 25.03 12 7.93 11.80 4.35 10.88 27.91 8.(N) 19.11 7.41 7.09 2.55 7.47 11 12 13 14 15 16 17 18 19 211 21 22 23 24 25 26 27 28 5100 58,7(10 ((') is 1, 100 (c) 58,1400 bl(N) 56,700 (c) 51,400 5293.31K) (.) 5363,11110 42,300 51,0011,010 51,900 18(42 o2 1.33 .63 02 2.85 2.11 .011 1.119 69.47 2.33 24.1e 15.94 ,2.°4 24 5.38 29 30 31 32 33 34 1)1011 is:200 (C) (c) 1)2.4(N) 54.300 b 71N1 is 173,71N1 is 7,71K) is 11,600 (/10,000 is ,4(K) 5100 5200 (c) (c) 52.100 4.300 ;00 1)173,700 57,7(K) 1511,6110 (1411,(N N) 57,400 58(K) b 200 is 600 535,(XN) (c) b 1,700 (c) 597,1(5) 534.8110 24,600 ((') 562,900 .33 2(K) .33 2.(N) 2.66 0.(X) 6.00 541.14 2.110 21.54) .38 19.24 12.28 19.75 3.73 15.38 35 36 37 34-4 39 40 41 42 43 44 45 46 (1350,00) (c) 3,264),200 4,132,000 b 46,400 000 300 5100 5210 ((') 4100 1 2,90) 515.54K) 5300 5910110 519,4110 521,21K) d 10,000 52,1N10 1,3311,100 ThouThoun us. sands. 593,31i0 $511,H)0 b 76,91111 is 306,4011 (110,9(K) bd31,100 Uncovered Palmy- tenFull tender. Limited der. (e) (c) (c) 5608,800 90,1100 b 4(X) 121,200 b 2,000 5 14N) is 1,800 :3)0, 1(M) Total. 51 1,600 b125,000 5110,100 562,400 F) 02.41N1 le) S 190,4110 is 290,300 5486,700 e 18,900 (I 318,400 ed 337,300 5,700 1,s00 16,0(1) 3,2(1) 4,500 1,300 100 700 4,600 1,000 2,600 18,84K) 5,31)0 3,300 24.0110 Per capita. Stock of silver. Stock of gold. Monetary standard. (c) b 15.00t1 ) b12,700 (c) (c) (c) (c) b 1,900 (c) (c) b3,900 (c) (c) (c) 53,200 b 7,800 d 40,000 (c) (c) 5 102,7011 5400 121.200 b2,1101 5100 b3,700 (c) b 8,800 (c) b100 b200 (c) 5100 56,800 515,500 5300 590,900 1)22,6(N) b29,1N10 (150,000 2,000 (c) (c) 8,764,900 8,124,000 6,888,9(M) (c) C) .) e) c (c) (c) daO,000 (c) d354),0(X) 2,139,000 j4) ((-) 1,121.21N) .14 1.48 15.511 .11 4.84 4.26 8.79 .43 .73 4.11 4.54 6.85 4.41 17.77) 5.4:1 4.47 1.87 3.76 10.32 3.114 11.33 4.18 55 .I. 51.45 1.117 4.30 27 9.21 1.45 3.51 1.66 1.57 22.6:1 13.22 222.22 1.46 2.(N) 2.00 6.110 50.00 .52 1.70 5.16 6.57 7.45 13.38 1.06 47 1.11(1 5.18 2.45 5 3.10 10.78 f Includes Straits Settlements, the Malay States, and Jehore. a In United States Treasury and national banks. L'Economiste Europeen, January 1, 1966. S Official information furnished through United States representatives. it Except Costa Rica and British Honduras-gold-standard countries. c No information. Le Marche Financier, 1907. d Estimate, Bureau of the Mint. NoTE.-The value of the monetary stock of the silver-standard countries has been changed to e The figures for the total stock of gold in India are for the net imports since 1893-94 plus the conform the decline in silver values. The monetary stock of Mexico and other countries production of the country. The amount in the government treasury is from official advices. where thetoMexican dollar circulates is given in Mexican dollars at bullion value. the and $841,407,489, to begin, amount records the since 1835-36, when gold of The net imports production recorded to $115,030.200. The tide of gold and silver has been flowing into India for centuries. Treasury Department Bureau of the Mint, neeemt)er, 190". estate mortgage loans will be permitThe only objection to it is that reai ted. If this is done, all can easily re- estate mortgage loans are not permitorganize as national banks. As to ted. But this is not the fault of the purely savings banks, these could be act itself, as there is not a word in it allowed to continue to operate under prohibiting them. But by an unwritthe same safe rules as now, excepting; ten law, construed by the first compthat they would have to organize un- troller, real estate mortgage loans were der the national system and control, not allowed, and this has been adand to be renamed national savings hered to ever since, excepting that a banks. few years ago the act was amended so Thirdly, that bankers would be more that a small amount, twenty-five per reckless and negligent if their deposits cent of the capital of a bank, may be were insured. I cannot see why. Nei- so invested. ther the banker's own capital, his douHas Worked Wonders. ble liability, nor his reputation and honor, are insured. These he would be Aside from the tariff the national liable to lose in either case, and be- bank system has done more for the sides. the examination would be strict- prosperity of our country than any er than it has been, which would guard other one measure. Before the ad-,-ent against reckless banking. of the national bank note, I experiFourthly, that the banks would enced all the cussedness of the state greatly multiply, thus giving the bank- bank system, under which wild cat er keener competition. This I admit, notes were issued. This was our only but in case deposits are not insured, circulating medium. All were afraid we will have to compete with the pos- they would break while in their pocktal savings banks sooner or later. ets, and the consequence was that they which will be a far stronger competi- circulated like a cyclone. It was an tor than any additional banks can be. Ideal elastic currency. No one dared As a safeguard against a mutiplication to hoard it. The quicker one got rid of undesirable banks, lies in the powers of of it. the more secure he felt. These the comptroller, who can rr fuse a charter, doubtful notes caused more panics than in case he finds already sufficient banking did the deposits in banks. Then the facilities, in a place where a new bank is government, with a stroke of the pen, (Written by John Schuette) proposed, and also may rettp.e a charter taxed these panic-breeding notes to when he has reasons to believe, that the death, and behold, what a revelation. Since the financial horizon has again about the property represented by our personal of a new bank is not responsible. Never a note panic again. All the inTherefore, we may ue assured, that the convenience and the worry of a nation settled down and cleared we have more stocks and bonds? Suppose a comtime to investigate and discuss how mission is appointed, and appraises the banks will be on the aiert to inform the lifted by a little legislation. All hailed the so-called panic came about. I have railroads which secure our investments comptroller, of all the objections to a nr w the advent of the new-born child with heard some say they could find the at, say, two hundred milion dollars, bank. joy. Firth, the opposition of those bankcause of the panic of 1893. Then we while it is stocked and bonded at six An Object Lesson. had hard times in comparison with hundred million dollars, and on this ers who consider themselves above the now. In our last flurry, everything amount has paid regular dividends and possibility of failure, and do not proThis, then, is an object lesson. The and everybody were in a most pros- interests? In such a case, it would be pose to pay for their neighbors' incom- unsafe state bank notes precipitated perous condition, factories busy and three times niore than the government petence. misfortune. or rascality. To panics. As soon as the government creprosperous, farm products reached high would allow as a fair rate, and would these my answer is, that all of us. ated another kind, anti required that prices, laborers were employed, but the cut the dividends and interest down in more or less, have contributed our mite they be insured against loss, we never cause could not be found, unless it was proportion. How do we know whether to this class, and we will continue to have had a panic from that source. owing to a great business expansion, our stocks and bonds are not of that do so to the end of time. This leads to the conclusion that if Sixth, the word "tax." The objec- deposits were insured, all financial which required more money, but this class? And if so, what are my stocks tors never stopped to investigate fur- panics would cease. was not equal to the increased de- and bonds worth?" From that time on for over a year ther, and condemned the plan, unseen, mand, so they attributed the panic to The national bank law, during its there was a regular procession of these unheard, and without thought or con- existence of over forty-three years, has the lack of sufficient money. Investors selling their stocks and bonds sideration. been reasonably and conscientiously Cause of Panic of 1893. In the New York market, which, owing obeyed, except this year, when for the Currency—Deposit Asset Insurance. From 1890 to 1893 the government to these continued offerings, sagged Asset currency increases indebted- first time, by a stress of circumstances, was diligently coining silver dollars lower and lower, so that many were under the Sherman Silver Act. It had sold for less than fifty per cent of their ness, breeds mistrust, just the same as by a concerted action, most of the already over five hundred milion sil- cost. The reason again was fear of an individual who goes deeper into banks violated their contract and discredited the national bank act. The ver dollars stored, against which it had more loss if the securities were held. debt will ultimately lose his credit. issued silver certificates. Then the This drained our money supply. In- Asset currency, in a money crisis, will government and the people most amicpoliticians agitated for a double stand- stead of selling our railroad and other not create more money, nor will it con- ably bore these drastic measures and ard, which meant, if adopted, the les- corporation stocks and bonds abroad, tract when the crisis is over, because excused them, because all knew that It was done with the good intention of ser valued silver dollar would be our which a few years ago could be readily all that could be issued under the propreventing the havoc of a threatening legal tender standard, and it would done on a three to four per cent inter- posed law would be issued at once, and storm. It was accepted as an act of follow that the government, and all est basis, they were placed upon the remain out as long as national bank self preservation. other debtors, could pay their debts home market, and even those held notes, which, it is claimed, are not contracted on the gold basis, upon abroad were sent back here to be sold. elastic. A Propitious Time. Asset currency is only the means by the silver basis, or with a silver dolNow is a propitious time for the govwhich the national banks can increase lar which at that time was worth fifty Embarrassed Our Railroads. ernment to step in, as it did in 1863, liabillarger creating deposits, their a cents. This was praCtically the same Especially so at this time, when the as if an assignment was threatened enormous expansion of traffic required ity. Why should banks retire this cur- and secure the people's deposits in under which a creditor would receive large extensions of lines and equip- rency, on which they pay two and one- hanks as it did then on its notes. fifty per cent on his claim. ment. Being unable to raise money half per cent interest, when most banks A Lecture by Uncle Sam. by the sale of stocks and bonds, the pay from three to four per cent inter"I must remind the bankers of that Fear Is Contagious. railroads sought relief by offering est on time deposits? There is no part of the constitution which declares The fear that this might happen equipment bonds and mortgaging their elasticity in it whatever. It will only add to credit money that it will insure domestic transquilcaused the foreigners, who hold large rolling stock. When this proved not investments in our country, to liqui- sufficient, they went to the last extrem- without adding to the gold reserve to ity, promote the general welface, etc. date their United States investments, ity last summer, by offering (something sustain it. Our paper money is already And it is my duty to make you live up before it might be too late. They of- never heard of before) what is called too large for safety, in comparison to it. The periodical panics violate with nearly every other country. There these declarations, as they are a menfered and sold in New York markets short time railroad notes, bearing an a large amount of their railroad stocks attractively high rate of interest, Is a limit to issuing credit currency 'by ace to our constitutional tranquility some mi. welfare. The resulting nervous government to keep it free from and bonds. This started our capitalist as high as eight per cent, of which, I the shocks are paralyzing our prosperity. to follow suit, and this drained our Hill told, over four hundred million dol- suspicion. In brief, asset currency will gold reserve to an alarming extent. By lars worth were sold. add to mistrust and only incite panics. and sapiiing the constitutional health of our people. You have often told this time the people eegan to get nervAbout Deposit Insurance. your depositors that the hoarding of ous, and after a few hanks failed. the Suspicion Aroused. Deposit insurance will not create an- money is foolish, and have shown them panic brol:e loose. It was not the lack This high rate of interest, offered by other dollar of liability. It will bring the bad effects or it, and now you are or money. in this instance, that caused some of f he strongest ra I!roads,aroused into circulation at least four times as th)ing the very thing yourseIVPS. Of the hut the fear or loss. the suspicion of hankers. capitalists much money from out of lumrding as coilrse, you will plead it is in selfand depositors, so that the inquiry a SSet Mo.e Mcney, More Mistrust. could ior(aince at the run (lelense, it's, hut why not amend the While the panic Was at its height, started : "What's up? The banks can't whit-hi is estimated to he about national bank laws, so you will never the g )vernment's coining mill was have much money to spare, it they al- INV 1, 11 1111111'1A 111111h/11 11011:WS. By de- again have occasion to fear a panie in stampirg silver dollars by the million. low the railroads to hawk these notes 1:00111t insurance the reserve now held p )1 I r NViln1(' 110W soothing this The more silver dollars produced, the on the market. Guess I had better iii hanks, preparatory for a run, which WU101 1 hi' to your nerves and to all nit)11' 111('Y NVP1'1' iii ist rusted : they hedge a little." While I was at the may come tomorrow or not for twenty et hers. Itankers' Convention I was frequently years. this immense idle, hoarded "Y( a have arow«-d the spt-culat-rs and threatened tilt % 1110IP N'alIs amount. about one thousand million gamblers to wildly expand their vocations nahle paid dollar and filially drove it asked: ''I low is money out west? into hiding. This drained the gold It th.rlit? Will we have a pani, I could by reduced to ony-ltalf. in spite a s.id exrcriences, and every time nnswtred: "or course we will if you which NV( alid I wt five hundred million they were on the brink of being worsted, reser V(' more and more. 'Hien some of the same financiers keep on asking this question. I am get- more into the channels of trade. applied to me to come to the rescue. I, who had urged the coinage of silver ting scared myself since T am here, By deposit insurance we would not as an obliging tattier have complied, once dollars as a financial panacin, realized altInaigh it never entered my mind be- be subject to recurring financial flur- and again, and so often that you depend on their mistake. They Implored Presi- fore." ries, which disturb and paralyze every my assistance. u have had to keep about So the crisis grew by stages, was dent Cleveland to desist, saying: "For branch of our commercial, industrial $200,000,000 idle in my vault, just to be God's sake, stop the mill, or the coun- helped along by suggestion and suspi- and agricnItural intereAts. Deposit in- prepared to save you from getting hurt. In the last flurry I have loaned you Szoig,try will go to ruin." But Grover said: cion, and when Ileinze's copper (-Inter surance would, aside from the m "I can't, you see; I am only the hired bursted, carrying in its trail the closing tary benefits, create and stimulate the 000,000, without a cent of interest, and man, and the boss gave MP orders to of' the Knickerbocker Trust Co., the habit of saving. which without it. and still you are not satisfied! Is it not foolish to keep this immense hoard waiting f. it. your keep the mill going; 811(1 I won't stop panie was on in full force. So we see the want of absolute safety, will not be call, when you get into a pinch, to help you our late panic Was not caused by a enctntraged. till he orders me to quit." It would also remove the Thereupon congress was hurriedly lack of money, as was the one of 1593. continual fear of loss from the minds out, when a little insurance fund of about $5 000,000 would better serve the pur9ose? convened in extraordinary session. The The money is all here. But it has been. of a whole nation. I, and the people are getting tired ot this hired man was ordered to stop the through fear, taken out of circulation panic-breeding silver machine, it was and hoarded, awaiting the restoration Postal Savings Banks—Deposit In- kind of financering. Cause of Financial Panics 1893-1907 Not Lack of Money Not Remedied by Asset Currency nor Postal Savings Bank But Only by Insuring Bank Deposits As Advised by Uncle Sam borne say: our currency is the worst on surance. earth, because not elastic, too rigid, will The postal savings bank plan, as far not expan t in a crisis when needed, and as safety is concerned, would he ideal. will not contract when the crisis is over,— but it does not go far enough and and again some say: the sub treasury is all would be class legislation. First, it wrong because too elastic, it expands in a would apply only to the smaller deposi- crises when money is needed, and contracts tor, and to limited small amounts. Sec- ‘k hen the crises is over. What conflicting ond, the money deposited in postoffices propositions! Insurance of Deposits. is intended to be redeposited in naOthers want me to get out and turn the The first time my attention was tional banks only, in those nearest sub treasury over to a central bank, under drawn to this plan WalS while reading where such postoffives are located. the control of a set of bankers, which they Comptroller Lacey s report to congress, Hence the benefits would accrue only say could manage it so much better. in 1891, %Odell shows, on page 8, that to a class of small depositors, and na- They propose to deposit the U. S. Treasduring the life of the national bank- tional banks which happen to get the urys funds with the banks so it will be in ing system, a period of twenty-nine post office deposits.. The business men the midst of trade all the time, never idle. years, the losses to depositors had been and all other large depoSit6rs would By this plan you would have no elasticity only $15,459,000, or an average of not be protected, but would be left un- at all, for in a crises, all your funds would $333,0e0 each year. The average of insured as now. This is not equality be out and no reserve' to draw from. As you cannot agree what you want, deposits for this period was $1.035,- and therefore not commendable. 4400,04)0, indicating that the average Another objection to postal savings All Banks Must Insure. loss on total deposits in national banks banks is that it regimes complicated had only been one-twentieth flnanciering to of get tint' safe security one Crisis of 1907. 'Now, I WOUld prOpOSV that all naper cent per annum. In other words, from each bank for moneys deposited You will remember the big insurance tional banks insure their deposits by It' all national banks hod paid annually therein, there being over six thousand Investigation of about two years ago, paying into the United States treasury one-twentieth of one per cent tax on banks. which disclosed extravagances, manipthe sum of one mill annually on every And another objection is that the one ulations, and frenzied flnanciering ; their overture (1eposits, which is equivthousand dollars of deposits. This amazed the people of this and other alent to fifty cents on each one thou: government would pay only two per would be 1110re than ample to pay all sand dollars), all depositors in na- cent interest, while the banks pay countries, and caused them to sit up losses in national banks for each year, and take notice. From then on they tional banks which failed could have from three to four per cent. Out the as has been experienced in the past other hand, under the plan of insurnot only continued to notice, but craved been paid in full. After reading these trustworthy offi- ance of deposits, all depositors in forty-three years of the national banks' to see and hear more about our financial statistics, I wondered why sonic banks, in large or small amounts,would existence. As this national banks inciers and investments generally. surance company would be under the The sport: WaS fanned by a breeze one had never brought out more promi- be insured all precisely alike. There control of the comptroller, it would be of investigation and legislation as to nently these facts, with the sugges- would be no class legislation and no operated at little expense. I should railroads and all other corporations, tion to tax the banks this insignificant favoritism ; no complicated, foolish adviso for your own benefit to make which became active everywhere, from amount, thereby making the deposits flnanciering; first receiving deposits. the insurance fund so large that the the national capital down to county in national banks as safe as its bank then redepositing them in banks again, most timid will not entertain the least and the intricacy of seeing it well se- doubt as to the seats. Railroad rates were reduced in notes. remotest possibility of cured. The duplication of over six many states from three to two cents From this Time 1891 I housand banks seems ridiculous, espeper mile, and rates of other corpora"And for this purpose I would proI have been agitating since that cially when the deposit insuranee plan loss. tions were threatened with a like repose that the banks deposit with the duction. But the measure most alarm- time, deposit insurance in different will serve one and all and can so much United States treasury one per cent of ways; at conventions, in the press, more easily and simply be inaugurat- their average deposit-R. This ing to railroad invectors came when an would he amendment was introduced in congress sending to bankers several thousand ed than the postal savings banks. equivalent to ten dollars on each one booklets, explaining the plan, with a by which a commission was to be apthousand dollars deposits. This would The Main Objection. pointed, which commission should ap- draft of the law required to carry it stand as a reserve fund in case of teminto effect. During such agitation I Lastly, the main objection to postal porary need. praise all railroad property at its fair But most likely it will value. This was rightly said to be the have been forcibly reminded how hard savings banks is: That it will not pre- never be touched. This one per cent only method of determining what was it is to get out of a rut. vent bank panics. The banks do not reserve fund might be paid in by the a fair mileage to charge so as to give fear the small depositors as much as banks in municipt,1 bonds the hanks Some Objections. the owners of railroads a reasonable the big fellows, who draw out by the may have on hand, the interest to be dividend on the actual value of their The main objections I encountered wagon load. It is not only the small collected by the comptroller and remitproperty. This method would seem to deposit insurance were: First, the depositor who gets scared and runs to ted to the bank owning it. reasonable. larger, stronger and more infinential get out his money. It is not alone the "When a bank goes out of business, The people do not wish to harm the bankers saw in this plan that the ad• small depositor who starts a panic or railroads; they concede the railroads a vantage they now have over their te run. What started the run in our the reserve fund paid in, and also that reasonable income on the actual cost smaller competitor would be lost. This last panic? Not the small depositor, not used of the one mill insurance tax, to be returned to such bank. As most of their properties, say, a net rate of Lut the millionaire depositors on their every bank has many times the I admit is true. But there are now bonds Insurseven per cent; but they want to know tilionaires' banks; they were the first tequired, as above, on hand, it ance companies insuring deposits in banks might this seven is on watered If per cent that got scared, first to run, pulling stock, in which case it might be three in a small way charging 5( per cent. pre- cut a million at a time, and draining more safely have these deposited with mium, and others are being organized; to the government. If this snould be done times seven, or twenty-one per cent, on insure bank deposits broadcast. Then the one bank dry in less than twenty-four at the present date, the insurance rethe actual cost value of the property. smaller banks will insure their deposits in bout's. These depositors started and serve fund on about six billion dollars To this all object. This is one reason such companies. Will not the stronger set the pace in our last tiurry—not the deposits, at one per cent, would be $00,why these investigations to ascertain banks do the same? small depositors, as the postal savings 000,000, and the insurance tax of onethe facts, were made. Thereupon In such a case the cost would at least be banks depositor would be. This, then, tenth per cent, $6,000,000; total, $66,three times that of the government plan, shows that postal savings banks will Money Became Frightened. and would not inspire that confidence with not prevent panics, like insurance of . insurance fund would inspire " "TH 0Tis When the foreign investors who have depositors as the insurance under the gov- deposit will. unbounded confidence. The losses, So the large banks can large holdings in railroad stocks and ernment control. based on the experience of the past National Banking Act. bonds, and our home capitalists, heard not escape the tqualitv of safety in any .forty-three years,. would be only $4,of these proceedings, they became event, and aside from thi's would it not be Whoever drew our national banking 800.000, so there would be a surplus, alarmed. "We must keep in mind that more pleasant, more heroic, honorable act must have been as able, experi- the first year, of $1.200,000 from the the price of most of our railroad and and patriotic to compete with one on enced, and far seeing financially, as the one mill tax insurance fund. As we other stocks is based on the dividends the same level? I remember when boys men who drew our constitution were must expect that all bank deposits paid, and the bonds on the interest were called cowards if they attempted politically. It was not created by the would enter the national system, these they draw. If these have been met to wrestle with one below their size. influence of bankers, most of whom figures would soon be more than doupromptly when due, and regularly for Aside from this, it would help to cre- strongly opposed it, claiming that it bled. There is no question that everyU number of years (as in sonic eases ate a banking system excelling any on Was a flagrant interference of sacred one of your depositors will highly apover twenty and thirty years), the earth. prevent recurring panics, and state rights. It was Secretary Chase preciate the insurance, and the good holder of these investments does not ingratiate the bankers in the hearts of who strongly recommended the act to will of your depositors is worth many bother himself much to investigate a whole nation. President Lincoln, who in turn pro- times the little tax you will be reSecondly, that all state savings and posed it in his message to congress in quired to pay. I have reviewed the what the real value of the property is. which secures; his bonds and stocks. private banks would lose their depos- 1862. whieh passed it in the spring of different plans from all sides, and find But now, since the investigations are its, because the insurance would apply 1363. The act had thrown safeguards that deposit insurance is the only perin progress, for the first time they get only to the national banks. This can around, under which no bank can fail manent cure, and I hope you will put It confines itself strictly within its no obstacle in the way of its accoma bit nervous. They ask themselves: easily be arranged by an amendment to "What do we really know, or not know. the national bank act, under which real provisions. plishment." tanner ()mere(' to strengt 11011 the gold reserve by the sale of twu Imodrod and sixty-two million dollars of bonds, to drive away the silver hoard and scare. and by these maneuvers gold again regained courage—came out of hiding-confidence was restored, and the panic subsided. This, then, shows that the volume of money does not prevent panics. Comptroller Eckels' Report. Controller E(.kels reported to congress after the panic of 1893, on page 24: "No system, no matter how elastic, nor volume of currency, however large, could afford relief, fis long as confiddeuce is destroyed. and credit wanting. Money hoarding will go on. and additional issues will but add ro the hoarding." So 11111(.11 for the !mule of 1893. Now to the present crisis. Ut uonwlence. Anil as 50011 21S this oecurs, till will get tired of hoarding. and the money %%All appear again in the sunlight as rapidly as it disappeared. Now let me give you a remedy which. if adopted, will eliminate all bank panics in the future. Greeting For The Year 3tpliF-1908---4 1k!k> We wish you a happy new year And hope before its end draws near That all deposits will he insured And all financial ills he cured. Manitowoc Savings Bank 1 PLAN FOR AN ELASTIC NATIONAki, I tANII: CURREN( Y. The plan given below is an attempt to show the general lines 'upon which legislation should be based to provide the element of elasticity so clearly lacking in our currency. It possesses the great It combines the best features of the present National Banking System, the German Imperial Bank and the Can National Banking system. in general •it •is based on ideas ad- merit of simplicity. Henry Nelson 1.oud, who has studied this question for several years. It is submitted in the hope of assisting to relieve the present distressing financial conditions and of preventing a repetition of v:iied them in the future. Friendly criticism will he appreciated. 11\1:v KIMBALL Lot 1), \u Sable, Nlichii4au Nuvcmhcr W., 1907.. I. BASIS. Issue bank notes upon the basis of securities satisfactory to a National Banking Commission and under their regulation and valuation, in accordance with general powers to be given to the Commission by Congress. This basis includes United States bonds but abolishes the provisions making them the exclusive security for National Bank notes. These new securities should be limited to approved state, county and municipal bonds and should have a valuation of upwards of 75 per cent of the circulation taken out. 11. AMOUNT AND FI„ASTICITY. The banks may issue iwtes up to the following percentages of :d paid-up capital, subject to a U. S. Government tax their uninipz;i:, --as follows: 75 per cent of capital, taxed 1 per cent per annum. 25 per cent additional " 6 percent " "(Emergency Issue). " " (Panic Issue). 50 " "further These taxes take the place of all other U. S. Government taxes and fees. Banks to pay 1 per cent per annum on a minimum of 25 per cent. of capital. Section 5197, forbidding banks to charge more than 7 per cent. per annum, to be suspended on loans of Emergency or Panic Issue, the banks to charge not more than 1 per cent. per month on Emergency Issue and 2 per cent. per month on PA 1 11C 15C11C. III. REDEMPTION AND SECURITY. ption fund, Follow the present law closely---S per cent. redem to have first lien on double liability of stock holders, the government above under 1. assets of hanks which fail, etc. Also as Provided COMMENT. lthe of C. S. ctn. the exclusk 1 ty abolishing tip. prcscat provision e to establish s possibl tion, it become at'. a basis for National Bank circula be an un • always will There s. develop banks of issue as the need for them should which other than U. S. lisnds, limited supply of securities available ons conditi ng changi the of care take be retired as fast as possible. This will from year to year. upwards of 75 per cent of the The plan requires securities valued at as at present. With these secent per 100 circulation taken out, instead of redemption fund, there will be curities immediately available, as well as the that there w ould also be a ering rememb a mple security for the circulation, y of stockholders. In this liabilit double and banks of first lien on the assets regard to double liability. in t explici connection the law should be made very on the par value of the y liabilit double ban t else it should mean nothing with what is at times a away stock. This requirement of 75 per cent does they are is, when that ; system present the hardship to the banks under cirobtain to order a premium in compelled to buy United States bonds at :in cent per I pay to them for ip hardsh culation. It would also make it no of 1 per cent. hair one of t tax presen the of instead tion their ordinary circula circulation will take care The second provision for a graduated tax on do this quietly, without will it d. deman in s change y of the daily and monthl public. As the pressure for disturbing business or alarming the general ngly. As the demand deaccordi es increas currency increase the supply brings contraction of the creases the supply contracts. Our present system the present one (Nolike stress of supply instead of expansion during times to protect thembanks the of desire the from arises This vt_mber, 1907). 'hoard currency. to ors deposit of selves against runs and from the tendency of taxation tages percen the and issue of tages percen Regarding the considerof result the are given in the second division of the plan, these main File l ehangei be can they e, suitabl not ii bit, to study, but if they are along these ement arrang an and ty elastici for on provisi a have Idea is to currency. One per cent lines should bring this much desired quality to our the banks be issued l ,to cy of t curren amoun ry ordina the Per annum on no longer bk. will they that ered would not be a hardship when it is consid tion. circula to obtain order in um premi a at bonds S. compelled to buy U. of redemption, examiners' cost the, of burden the front freed be also will They cent tax on the 1.!:mergtoicy fees and half the cost of new plates. The 6 per ered that the Reiehsrememb is it when ve excessi be to seem not would Issue on the Panic Issue tax cent per 12 The cent. bank of Germany charges 5 per be used only on would it as so, be to ed intend is and high very is of course able rates the remark with away do very extraordinary occasions. R would bounds within market money the keep and money call on d of interest charge for call money awl it could at. all times. (Recently 125 per cent was offered ed ,the supply of currency nut be obtained.) As soon as the panic subsid to Emergency Issue would contract very rapidly and bring the supply back and then to normal again. expansion, would This .proposed system, with its simple provision for is probable that It ble. impossi almost panics make currency famines and fact of its being mere the as d, be require ;never would Issue" the "Panic ence which it now loses available would give the business world that confid ion. depress and ,panic ng resulti periodically, with tion is used in a hunThe principle of automatic expansion and contrac the automatic govbeing e exampl best the s perhap , dred ways mechanically ic sense in the steel trade an in econom used is It . engine steam a on ernor sliding scales of wages are agreed rind the coal mining industry, where varying with the market changes. es, employ and ers employ n upon betwee e of the application of this prinexampl best the In banking% probably bank) of Germany, thought it. (Reieh Bank al Imperi the by ciple is offered as in this plan. Accordment of refine degree is not, carried out to such a (1597 Edition), the Img" of Bankin History and y "Theor ing go Dunbar's million marks ($30,000,000), is allowed to 120 of capital a with Bank perial not covered by oash, except for the genIssue 286% millions of bank notes held shall always be equal to onecash the that ng requiri on eral provisi the that other two-thirds shall be proteeted and tion, third of the total circula The bank can three months to run. than less having paper by discounted ng under this cash, by d includi covere notes f o . issue an unlimited amount head German coin, gold bullion, foreign gold, Imperial treasury notes ant the notes of other banks. These two provisions are similar to those under which currency is issued by the Bank of England, the Bank of France, an'i the United States Government. In addition to this, however, there is what Dunbar calls "The Elastic Limit." By this is meant that If any notes are issued beyond the limit and not owered by cash, a tax must be paid on them at the rate of 5 ,per cent per annum. The bank must report its condition at four fixed dates each month and any excess above the allowed limit is taxed 5-1s Of one per cent (5 per per annum.) It is obvious that the important provision in this system, by which any e7ce55 of notos above the ii'iovered limit, not offset by cash in hand, is taxed, is Intended to produce the general effect of a prohibition under mild The law ukelaity, which admits some relaxation in case .of urgent need. ieskes clear the general design of the law-making power, to secure the protection of all issues beyond a certain point of cash, and the tax of 5 per cent is sufficient under ordinary circumstances to effect this object, by taking away the inducement for carrying the issues beyond the line at which taxation begins. But the law has at the same time krt. 'open the possibility of an extension of circulation beyond chi! line thus indicated, whenever the reasons for such extension are strong enough to outweigh the tax. In the familiar case then of a commercial pressure, when the demand for loans is I mperative and the market rate is high, it is possible for a bank, under this regulation, to meet the necessities of borrowers rind thus to relieve the public apprehension, although It is practically forbidden to reap any important profit from this action. In the absence of a!ly such pressure it is tolerably 'certain that the issues will be kept within the line and that the business of iqsning notes as gold accumulates, and of paying. out gold as notes come in for redemp.tion, will go on naturally and automatically." (Dunbar, p. 193.) It is a refinement of this provision for an "Elastic Limit" that it is proposed to add to the present system of issuing National Bank notes. This .plan is in general along lines similar to the plan recommended Is/ the Comptroller of the Currency in his last report of 1906 except that he wishes the circulation te remain upon the same basis as at present; that is, exclusively U. S. bends. There is a large .number of students and financiers who favor the addition of other approved securities to the basis. It 14 certainly strange that a country as prosperous and wealthy as the United :tates is and has been for so many years, should be compelled by a system ,of banking to issue bonds in time of, peace. '1.'111. bonds .of the United States should be paid and the country should be cleared of debt as fast as possible. The Comptroller wishes currency issues to be placed on the same standing as deposits. It should always be remembered that this 'power of issuink seirrency is a Government function delegated to the banks and concerns the people in general, whereas deposits concern mainly the banks and the depositors. The currency is the more important. Referring to the proposed change in the basis of the National Bank -notes, the Canadian system offers a successful and instructive example of National Bank notes issued upon assets, the banks being allowed to issue notes up to the full pakl-up unimpaired capital. The notes constitute a first lien on the assets and shareholders are doubly liable on their stock. A redemption fund of 5 per cent of the circulation is deposited in the Treasury. The Bank of England offers a cirsulation based on government securities to the amount of 16% million pounds sterling ($E0,000,000) and an unlimited issue above this amount based upon gold, pound for pound(Sterling). That is, for every five-pound note issued there must be an equivalent sinount of gold coin or bullion paid to and 'held by the bank. The latter inflexible October provision has been set aside, or "suspended" on three occasions, issued then bank The 1866. 12, May and 1857, 12, 25, 1847, November were additional notes based on securities only. The actual amounts issued fears. ,public's the quieting of rot large but it had the effect Something very similar has recently taken place in this country when for the the Treasury Department decided that there might be substituted seother deposits, Bank National secure to deposited bonds, Lnited States and Connecicut York, New Massachusetts, curities a pprw -ed by the taws of bonds New Jerscy :vs investments for savings bank funds, so that the released the National could be m 1 .as security for the issuance of more currency to Banks. a case of special The use of Clearing House Certificates during panics is amount is circularge A securities. miscellaneous bank currency based on lating at present. the present circulaThe adoption of this plan would tend to increase 1906, the September. to 1903, February, From -quarter. tion by at least one from risen gradually has capital to rereentage of National Bank circulation tend would circulation the plan new the Under cent. 45.8 per cent to 62 per capital, bringing the increase 'authorized the of cent per 75 approach to a further increase, which is stated. Other banks would be organized, bringing circulation issued under the tax to certainly needed. The above refers added, the present NaWere Issues Panic and of 1 per cent. If the Emergency This should provide actual curdoubled. be would circulation tional Bank reney enough for any contingency. It ‘‘ould mean in millions of dollars:— With With Ain't of CirPattie issue. Emergency 75 Per C ie culation Issue. Issue. Sept. 1, 1906. 1252.6 626.:: 835.1 548.8 ...0 703.S 1 nerease 286.3 128.2 Pet. 14.1 Pct. It. or Increase :,2.2 Pct. 0.0 Pet. Per cent of total money 1:0.9 Pct. 33.2 Pct. '24.9 Pct. 16.6 Pct. In U. S. Total money 3069.9 3773.7 in U. s Per cent of increase in total money 9.3 Pct. 22.9 Pet. 2.5 Pct. 0.0 Pct. in U. s In making the last figures the amount of money in United States is taken at 3069.9 millions. (Report of Comptroller of the Currency for 1906. rage 145.) The increase due to the different issues is added to this amOunt. The capital of the banks is given in the report as 835.1 millions. It is commonly held that one dollar of currency makes possible four dollars of miscellaneous credits such as notes, lines of credit, etc. Our present system contracts the available supply of currency during times of stress with an enormously greater contraction of credits. This plan will make an expansion of currency and credits possible, though credits will automatically increase in price. In regard to reports of circulation from the National Banks, it is suggested that they report on the first and fifteenth of each month. The German Reichsbaiik reports four times per month but this seems unnecessary. It is suggested that the taxes reeeived from the National Banks be disPosed of as follows: A redemption fund of 5 per cent of the total possible issue by the banks should be held by the government, using these taxes for that purpose, instead uf deposits from the banks, as at present. This means 7 1h per cent of the capitalization of the banks. The banks should be charged only for notes actually redeemed. The cost of redemption should be borne by the government. Also the Examiners' salaries and the expenses of the National Banking Commission. If there is any remainder over this it should be applied upon the retirement of United States bonds. It is suggested that the eust of new plates for printing notes should be paid, half by the government and half by the banks for which they are made. The reason for having the examiners' salaries paid by the government is based on the theory that the government delegates this power of issuing currency to the banks and the examiners represent the government. that is, the people, in seeing that tne banks are in proper condition to perform this function. This plan gives a monopoly of currency issue to the National outside of what is directly issued by the government. It seems best to ke,.) the system as near its present condition as possible, making only what changes are necessary to secure the proper amount of currency. The plait of a Central Bank of Issue has many good precedent., !n other countrif,s; but, our own experience has been unfortunate. It may be found adviai,:i.! later on to organize a Central Bank to deal wily with banks and to handle the government monies, but it hardly seems necessary at this time In genera l the National Banking system is well organized and efficient. Regarding the National Banking Commission whicih is made a part of this plan, it is suggested that it, be organized somewhat, similar to the Interstate Commerce Commission. The Commission should be a small one of not le, ,s than five 'members nor more than seven, and the members should be appointed by the President for a term of ten years. Vacancies should be filled by appointment, of the President upon recommendation of the Comm!ssion and the Secretary of the Treasury. The Comptroller of the Currency should be a member of the Commission and Chairman ex-officio. In general, this plan provides for a National Bank Currency based upon securities which can always be obtained in any desired amount and it does not imply a perpetual national debt. It provides elasticity by a graded tax upon the increased issues. It provides currency enough, for any contingencies which can be forseen for some time to come and It can be easily adapted to changing conditions by slight changes in the percentages, etc. A study of the table will show that there is no danger of inflation. It k quadruply secured by a redemption fund in the Treasury at Waqhin,rlon hy securit. held in the Treasury, by first lien on the assets of .the hanks and by double liability of the stockholders. It has practileally all the advantages a Contral lilnk of Issue without any of its disadvantages. The Natlonal Banks are spread over the entire United states rind each bank cant ake care of the local conditions, the entire system lwing under the ef.Mtrol Of the National Ilanking Commission at Washington. Finally, it offers a plan which will not disturb the present National Banking system but makes only slight changet in the manner of issuing currency. Its adoption, therefore, would not dr;tnrb business and It can be put into operation in the immediate future. rslieving the present extraordinary situation, which bids fair to continue for at log-1 71 yell- unless meaqures are taken at once to remedy it. ift.A Very Queer Complaint." The subjoined excerpt from an editorial article which appeared in THE BROOKLYN(N.Y.) DAILY EAGLE, January 23, 1908, under the caption, "A Very Queer Complaint," is worthy of special notice as a iecord of historical facts. Lack of space necessitates the omission of a large part of the notable editorial referred to. A few explanatory words (indicated by brackets) have been added. We quote as follows: "Too much money is a queer complaint to be coining from banks so soon after the recent panic. Six weeks ago every bank was working to corner all the currency in the country. Now the same banks are making a plaintive outcry against an excess of the same currency they strove so hard to obtain. In the height of the panic a man who owned 1,000 one dollar bills could sell them for $1,050 --a rate of 5 per cent. premium [and receive in payment certified check drawn upon the strongest of the National Banks -but 'payable ONLY through the Clearing-House '1* * * * * "The prevailing premium on small bills was above 4 per cent. After the partial restoration of confidence there was a swift drop from high premiums to an actual discount. The bank that was glad to pay $40 premium for $1,000 in small bills a few weeks ago, makes a charge of $2.50 now for taking the small currency in exchange for large bills." [This statement, in regard to discount on small bills, applies to the notes of National Banks when much worn and badly soiled.] •• This glut of small bills following so quickly upon a money panic points out a problem in our currency system.''* * * * For the National Government to furnish the people of the realm with sound, honest currency (and there is no other instrumentality) whereby the Currency Needs of Commerce shall be fully met, in "every nook and corner'' of the United States, and the recurrence of such untoward conditions as referred to by THE BROOKLYN DAILY EAGLE shall be averted, is a very simple matter. Let ordinary common sense be honestly applied by the Congress and the important work will be accomplished. Kindly consider the papers enclosed herewith and promptly urge the testing of the simplest of simple remedies set forth. It will surely solve the Currency Question most satisfactorily and permanently—with very great benefit to ALL the people. 1".A Very Queer Complaint." The subjoined excerpt from an editorial article which appeared in THE BROOKLYN (N.Y.)DAILY EAGLE, January 23, 1908, under the caption, "A Very Queer Complaint," is worthy of special notice as a tecord of historical facts. Lack of space necessitates the omission of a large part of the notable editorial referred to. A few explanatory words (indicated by brackets) have been added. We quote as follows : "Too much money is a queer complaint to be coining from banks so soon after the recent panic. Six weeks ago every bank was working to corner all the currency in the country. Now the same banks are making a plaintive outcry against an excess of the same currency they strove so hard to obtain. In the height of the panic a man who owned 1,000 one dollar bills could sell them for $1,050—a rate of 5 per cent. premium [and receive in payment certified check drawn upon the strongest of the National Banks—but 'payable ONLY through the Clearing-House']* * * * * "The prevailing premium on small bills was above 4 per cent. After the partial restoration of confidence there was a swift drop from high premiums to an actual discount. The bank that was glad to pay $40 premium for $1,000 in small bills a few weeks ago, makes a charge of $2.50 now for taking the small currency in exchange for large bills." [This statement, in regard to discount on stnall bills, applies to the notes of National Banks- when much worn and badly soiled.] This glut of small bills following so quickly upon a money panic points out a problem in our currency system."** * * For the National Government to furnish the people of the realm with sound, honest currency (and there is no other instrumentality) whereby the Currency Needs of Commerce shall be/idly met, in "every nook and corner" of the United States, and the recurrence of such untoward conditions as referred to by THE BROOKLYN DAILY EAGLE shall be averted, is a very simple matter. Let ordinary common sense be honestly applied by the Congress and the important work will be accomplished. Kindly consider the papers enclosed herewith and promptly urge the testing of the simplest of simple remedies set forth. It will surely solve the Currency Question most satisfactorily and permanently—with very great benefit to ALL the people. yountililoolailil1111111111=1.111111111=11111111111N Hon. G. E. Waldo t House of Representatives. Washington. D. C. Dear Mr. Waldo-1 greatly regret my i tabilit y to at end the meet lug of your °Intuit tee, more eseecially because I cOnVinced t hat the Aldrich Curren •y 1)1 1! is not a sat 'stile' ory meistire. It purport a t 0 provide for a pract!cal entergency clrent a on —a pro mnt I 11 e ref!St, of he currency for use during the '•rottmoving season and monet arv patties. a nil ret iremeet an equally prompt , fultoma Ns a hereof when I he crisis is over. of :lie matter of fact it does not kind. The bill provides in subst auee t ha t. in addi 1 ion to government bonds, ;.ert a in prescribed bonds of states. intin icipall I it's and ra ilroads may be accepted by the secretary of the t reasury from flat lona I banks as securit y for t he issue by I hem of emergency not es to the maximum amount of $500,000.1100. The ret i remen of t hese not es Ict supposed to be auf ()mat Ica Ily insured by means of a semiannual tax of one-fourth of I per :ami. on currency secured by 2 per cent. government bonds, it tax of' one-half of I per cent. On government's paying a higher rate, and on the currency secured by t he prescribed state, nle,licipal and railroad se( ri ties, a mo I lily i ax of onehalf of l per cent. The seeretary is to del ermine when an etnergen:lr exists. how great and widespread it is. what i he amount of i he emerge!'-y issue shall be by which banks it shall be issued and in what- proportion, and how st ri : t Iv i hi Provisions as to the availability of the bonds shall be construed. This is tilt irely 100 11111.11 ha wee t Mare in tlw hands of any one Ma n. The secretary is rarely an experienced bank or. His term is short. The Presiden t is his chief. lie is extweied to work in svm pa t by with the o,1 1 icy of I he ey eat!lye and his Dart y. No mat er how honest or able t he secretary nilght be, the itymos-d mum him huge resoonsibili t by this bill would he too mo.11 for him. In times of panic the colleetive wisdom of elelring-hoose bankers is usually fully employed in taking care of the sit lei i in their own eit y. withent attetunt ing I a solve the correttev orovoema of fart v-s:v elates. In acting ('or the best interese, of the whole cowl rv—and ottieklr, teethe secretary wonbi necessarily have t o depend upon, a lei woo Id be awe' ved bv • he experience a nd advice of 1 he banker • nearest to hand ;. and vet let him m.ke ;Olt hp mistake. and he consttomtn:ats disast rolls and t'ar-renching. His (1..oe eh st a iv, muai visi on as in railroad hands shall be aeceot wonld, of emirs°, te-/ vwhich reieeted an import ant erfeet upon their market Va II has lrea OV been 'mint ml out on 1, t half of I he railroads that becatcw slatnary discrimination the botigN et only t wo Southern railr,mds woold le accent able as a basis for circolat Joe ;tett that the securities of at leost 1.011)4 ot her large railroad consolidat ions wool be wet ya tIa bk. The s'a dolls stales And have not vet nmnicion 1 11 les concerned been heard from. but it may be safely assnmed that they would lea ye no st nee tint tinted in endeavoring to secure I he secretary's a pprova 1 or I heir home wh curl t would be inevi I ably locesed 111)011 I be crit unfortunate secretary. and t misrenresent III ion and sill manner of WI ter at 1 tick to which he would be subJect ed. however fair ate! mart Ial be mieht be, is not plea aant o cant emnla Flirt liertror,,. otir0 lei a given sect ion ho hersunded I hat its home securit It's ha ve ro:i 1 od aruti 10 t beim unfq 1 ;Igo fit' hrwo oo:t.,11 howl'It, 141, 1 11011, PI v of s111,41 hoW n , the ovi•hn MI might be seriously jeopardized and at crucial time. :knot her vital obieet ion is I hat there Is no !tower vest *al in any one to ennynd _ the retirement of this emertzencv eke', I ion except by means of t he tax. Thi.. tax is purely theory t teal and exnerimenta I. It has never been aunlied ender If it any (quoit ry. like eondit ions should prove I a he too high. then 1 banks would find it unorofit able to issee tmrrency—',s they do now. If it aboeld Prove to be too low, then t hey would find ret ire their circola II profit able not I The secret a ry I ion—as they do now. could pot votunel a bati! to inereaae its reula 11011 nor to decrease it , as n ) one cnn now. Nor does 1 he bill provide for illional redernot ion he long need ml agencies whereby circulation may he convenient ly, quickly and ('hen ply redeemed. Bonds are not at beat the wisest it vestments for national banks. To what extent t he average bank holds the class of securit It's specified in t his bill is orob_ Ionia 11(81. But if this measure is to be A•ould be n ores made a pra ct ical sary for the banks to buy these securit ill normal t hues and when they can sup ta‘ he cash so as to hold them ready for oronm1 use in an pm ergen ev. The erice of government bonds has a 1,ra vs been rih heeling(' of their time flu. • inelally currency humps. and it. ifn mike Drobolde that the •4,1 price of these state. niiinteltml (111081 time. Another vital obiection is that there is HO power vested in any one to OM"ei the retirement of this etnergency I ion excent by means of the tax. This tax is purely theoretical and exne,•imental. It has never been unlined ender like conditions ", any country. If it ahould prove ta be too high. then the banks would flnd It unnrofitahle to issue currency—fts they do now. If it ahoeld 'wove to be too low, then they would find it profitable not ta retire their cirenlaion—as they do now. The secretary could not compel a bank to increase its circulation nor to decrease it, as n one can now. Nor does the bill provide for the long needed additional redemnt on ageneiest whereby circulation may he conveniently, quickly and cheanly redeemed. Bonds are not at best the \Owes! investments for national banks. To what extent the average bank holds the (.1a...,; of securities specified in this bill is nrohlematical. But if this measure is to be made a practical one, it would be nevessary for the banks to buy these Hecurities In normal times and when they can soa,.c the cash so as to hold them ready for prompt use in an emergeney. The !Tice of government bonds has al,vays beep artificially .rrolh beektuble of their use rm. currency issues, and it ip (mite urobahle that the price of these state. munleinai and railroad securities would also come artificially raised, and thus make their nurehase for circulation purposes unprofitable. In short, this bill entirely fails to remedy a single defect of the existing system. The total volume of currency has always been sufficient for the normal needs of business. But the trouble is that there has neVer been enough of it (luring the crop moving season or panic, and there has always been too much of it after the emergency has passed. This is because there are too many issuers-6,544 scattered national banks. Scarcely three months ovo ihe call money rate in New York reached per cent. and currency was at a premium of 4 to 5 per cent. That this should be possible is a travesty upon a great nation's monetary system. Now the rate 2 per cent.. and money / has dronned to 11 is rapidly piling up in the bank vaults. The business men of the country want no more legislative patching of our national bank act. They demand a scientific monetary system. For example. a central bank of issue to be owned by the banks and with the government represented in the board of direct ars. The central banks of Europe have established a long record of usefulneas and financial solidarity. An American central bank would establish and maintain a sound, uniform and elastic current. carrying at. all times sgOlit reserve. It. would redir•count for other banks and dovelon a profit a We field now neglected. It would benefit trade and Its ettIongelicV circillat ion eommerce. WOnla be a scioniiii4. 'banking Ono ha set) ni,on colif.1( acmets, whir.11 a re alwn vs on hand—avid sueh cirenla ion would be promntly issued and promptly retired at the proper time and in tironer amounts. because it would be controlled by a single institution. representing net only the government, but all the banks and the business interests of the country. Moreover, with such a hank it would not he necessary for national banks in the three centr:11 reserve (It lea to carry •0,:erve again-U. their dea 25 per cent. , posits, Fifteen Per cent, would be ample. National bank denosit a in the eentral reserve iii lea amonnted in 1906 to about 0011.600, and the reserve earried was ,or cent. k 15 nor $2S5,774.000, or 25.31 ' cent. reserve would be only $169.000.000. thus unlocking for commercial use lawful money—not paiiwial hank notes—to the amount of about $127.000.000, the in en which alofie would nay a goo,' dividend on the stock of the central bank. Another imnortant result won Iii be that the Clearing House Ast,oviation of the 'various cities could then be devoted solely to the 'Ironer nurnoses their organization. which are to facilitate exchanges between banking institntions. and not to issue emergency certificates nor to compel the maintenance of reserves. Why should state institntions. which have no power to isPue circulation. be compelled to (10nend nnon their national bank depositaries fn v• currency at the very time when the individual Pligtomers of snch denositaries are calling mum them for eash? (Ince rmblie confidence is shaken. withdrawals of earl) from all banking institutions are ineytto_ ble. and, as the hoardinp increases. criais is intensified. In brief. the Prent and Droved advantsve of a central bank of issue is that it if; always ready to supply the conntry with all the ettrroner it needs, and. the (white being acianrfa0 thfq, there is no incentive for withdrawals of (lenoalts In comh. a premium upon currency is forever eliminated the motivfor hoarding disannenrs. and a monetary panic becomps a thing of tho twat. pTI,TAN A yvtr,RTT,T). Presitiont Kings C ply Trust Company. Brooklyn, N. Y. ebru . j 361111E1in of Assuriation itt Nrui tark ZI "Wu foster tile Irak, anti turlfare of Nein ilork" OFFICERS CLARENCE WHITMAN, PRESIDENT WM. A. MARBLE, 3RD VICE-PRES. GUSTAV H. SCHWAB, 1ST VICE-PpEs. S. C. MEAD, SECRETARY HENRY R. TOWNE, 2ND VICE-PRES. FREDERICK B. DE BERARD 8TATISTiciA0 JOHN W. GRIGGS, COUNSEL DIRECTORS NATHAN BIJUR FRANK R. CHAMBERS; RooERe PEET & Co. J. HAMPDEN DOUGHERTY • DOuGHERTy, 01.corr & TENNEY HARRY DOWIE ; DE WINTER & CO. THOMAS H. DOWN HG • R. F. DOwNiNG & CO. PROF. JOSEPH F. JOHNSON ; DEAN, SCHOOL OF COMMERCE, FINANCE AND ACCOUNTS, NEW YORK UNIVERSITY WALTER C. KERR ; PUS. WESTINGHOUSE, CHURCH, KERR & CO. J. H. KILLOUGH ; J. H. KILLOuGH & Co. CHARLES R. LAMB ; J. & R. LAMS WM. A. MARBLE ; VICE-PpEs. R. & G. CORSET CO. MARCUS M. MARKS ; DAVID MARKS & 80Ns DANIEL P. MORSE; PRES. MORSE & ROGERS WM. H. McCORD ; POST & McCoRD J. CRAWFORD McCREERY ; THE JAMES MCCREERY REALTY CORP. ROBERT C. OGDEN EDWIN H. SAYRE ; R. C. WILLIAMS & Co. WM. J. SCHIEFFELIN ; SCHIEFFELIN & CO. GUSTAV H. SCHWAB; OELRICHS & CO. HENRY R. TOWNE; PRES. YALE & TOWNE MFG. GEORGE FRED•K VIETOR ; FRED,K VIETOR & ACHELos GUSTAV VINTSCHGER ; PREs. MARKT & CO., Lb. SILAS D. WEBB ; PRES. CHINA & JAPAN TRAD.NG CO. CLARENCE WHITMAN; CLARENCE WHITMAN & CO. F. W. WOOLWORTH ; PritS. GUARDIAN TRUST CO. FEBRUARY 11 No. 42 1908 In Opposition to tbe Elbricb lEmergencv Currency Vitt To TIIE MERCHANTS AND MANUFACTURERS OF THE UNITED STATES. GENTLEMEN: W E ask your prompt and earnest consideration of the Report of our Committee on Bankruptcy and Commercial Law, herein embodied, in condemnation of the so-called Aldrich Emergency Currency Bill, Senate No. 3023, now before the Senate. THE Board of Directors of this Association, by a unanimous vote, accepted and approved the Report,instructing that it be brought to the attention of the mercantile interests throughout the entire country, with a view to their strongly opposing the measure. IN our opinion, this Bill, if enacted into law, would not only tie up part of the eposits of the banks in securities which ought not to be owned by them, but would be a 7 'r direct encouragement to speculation in the security markets. If your views agree with the conclusions of our committee, we urge that you at once take the following action in opposition to the measure: 1. Write to your Congressman and the United States Senators representing your State, to work and vote against the Bill. 2. Communicate immediately with Hon. Charles N. Fowler, Chairman of the House of Representatives Committee on Banking and Currency, calling upon him and his fellow-members to hold the Aldrich Bill in Committee, in the event of its being passed by the Senate. 3. Request Hon. Joseph G. Cannon, Speaker of the House of Representatives, to use his powerful influence to prevent the passage of the Bill by the House of Representatives. THE Report on the Aldrich Bill by our Committee on Bankruptcy and Commercial Law is as follows: To THE BOARD OF DIRECTORS OF THE MERCHANTS' ASSOCIATION OF NEW YORK. GENTLEMEN :—Your Committee on Bankruptcy and Commercial Law, to which was referred the subject of the reform of the currency laws, begs leave to report as follows : As the result of our deliberations, we present the following resolution, which has been unanimously adopted: "Resolved, That this Committee on Bankruptcy and Commercial Law disapproves Senate Bill No. 3023, entitled 'A Bill to Amend the National Banking Laws,' introduced by Senator Aldrich, for the following reasons: "1. They regard as essentially unsound the principle embodied therein, that a currency should be based upon fixed securities of any description. The note issues as well as the deposits of a bank /i are obligations payable on demand, and the bank should hold as security against such liabilities nothing but quick assets, such as actual cash, secured notes payable on demand, or commercial paper liquidating itself at par at the end of a short period of months. 2 It is no safe function for a hank of i deposit or issue to invest assets held against demand obligations in long-terna notes, bonds or mortgages, the conversion of which into cash in times of stringency can only be accomplished at The policy which might reasonably create an artificial market for the national obligations in time of civil war cannot excuse an extension of the same favor to sacrifice of the principal, if at all. State or municipal bonds and railroad mortgages in time of peace. "2. The high tax which this bill proposes to levy upon the issue of emergency currency, and which in the last analysis would be paid by the borrower to the banks, when increased as it would be in practice at least one-third by reserve requirements, is not only unnecessary but oppressive ; and in this and other States would provoke an immediate disregard of the statutes against usury. It is not becoming that a great nation should fill its coffers from the necessities of borrowers ; and it is manifestly improper to pass one law which offers inducements to the violation of another." It is the unanimous opinion of your Committee, as evidenced by the signatures hereto, that rather than accept legislation of the character of the Aldrich bill, which we feel in its ultimate results would be most disastrous to the commercial interests of the country, it would be preferable to have no legislation at all, in spite of the manifest necessity of some relief to the present intolerable situation. We, therefore, in accordance with this resolution, recommend that the Association disapprove Senate Bill 3023, known as the Aldrich Bill, and that it take steps actively to oppose the enactment into law of this or any bi.11 passed upon these principles. Your Committee, which is continuing consideration and study of other measures, will render an additional report in the very near future. Respectfully submitted, COMMITTEE ON BANKRUPTCY AND COMMERCIAL LAW, D. PAGE, Chairman. M. MARKS, EDWARD IRviNG T. BUSH THOMAS W. ORNIISTON, H. R. KUNHARDT, G. E. ARMSTRONG, MARCUS J. H. KILLOUGH, E. A. DILLENBECK, ABRAHAM BIJUR, TO make our campaign for the defeat of this legislation the more effective, kindly favor us with copies of letters written by you along the lines suggested above. Very truly yours, THE MERCHANTS' ASSOCIATION OF NEW YORK, By CLARENCE WHITMAN, PreSacid. By order of the Executive Committee. CLARENCE WHITMAN, HENRV R. TOWN!, WILLIAM A. MARBLE, ExeCUthic Corn miltee. ir • OL.ARILNOIC JON111111 CO. IRANKICRIS (AA1111111AU OTRIBIZT ROLM/ YORK WHAT IS THE TROVBLE WITH BANKING ? ? ? Within four months twelve banking institutions in New York City having combined capital of about $10,000,000, combined surplus of about $11,000,000, with possibly 50,000 individual depositors, have closed their doors, thereby jeopardizing depositors' money to the extent of over $100,000,000. Q. Why? A. It is said because certain of their directors have loaded them with "gold bricks,- and the New York World says: "Because of gambling with trust funds by faithless officers." Q. Why do persons buy stock for control of banks or a chain of banks and become directors? A. Generally to get money not otherwise obtainable on schemes. Q. How can this be prevented? A. 1. By prohibiting directors borrowing directly or indirectly from their banks or trust companies. 2. By limiting the same person to a directorship in only one bank or trust company at the same time. 3. By removing the Statute of Limitations for misdemeanors as applied to bank directors. 4. By restricting banks to lending money, and not allowing them to buy securities or go into underwritings. 5. By publicity of accounts, making detailed semi-annual reports available to the stockholders or depositors on request, and not keeping them as at present, inaccessible to all but the Banking Department, which has little power to correct most of the abuses, even if it discovers them. Publicity will do more than examinations. If you are a stockholder, just try to get data on any vital point that is less than a year old, and see what you get. Bank examinations seem almost a farce in view of the fact that so many bank failures occur after recent examinations. 6. By forbidding banks and trust companies to buy securities directly or indirectly from their directors, which is virtually "trading with themselves"; loans have been made by sales to a bank, the seller agreeing within a certain time to repurchase the securities at a profit, which amounts to getting a time loan. Q. Why should a director want the right to borrow from his own bank ? ? ? A. The reason why he wants to do so, is just the reason why he should be prohibited from doing it. He wants to borrow on security that is generally not good enough to pass on its merits in any bank where he has no power. It is a matter of gossip that in some banks many of the loans are made to "inside interests,- and a legitimate customer often cannot get accommodation. Q. Why should the Statute of Limitations be removed? A. Because two years is too short a time for discovery—all the means of concealment are in the power of the guilty directors. Q. Why should investments in stocks and bonds be limited? A. Because the proper function of a bank is taking deposits and loaning them on satisfactory security, not investing them speculatively. A certain bank reported on December 3rd, 1907, deposits of about $94,000,000. Deducting 25 reserve, say, $23,000,000, there would have been about $71,000,000 available for lending. Of this $71,000,000 over $55,000,000 was invested in stocks and bonds "other than United States Bonds,- with the result that this bank had but about $16,000,000 in addition to its capital and surplus that it could possibly lend to customers. If this were generally done, what would happen to banking? Would it not lead to speculations where depositors cannot win, and may possibly lose ? ? ? Although not perhaps in the same proportion, but still on the same lines, other institutions are said to be conducted. Banks should not be allowed to invest in Stocks and Bonds; they should keep their money for their customers and the borrowing public. It is a matter of gossip that during the recent panic, when Stocks were at the lowest, brokers could not borrow and consequently could not buy for customers on margin, some banks took their collaterals to the Clearing House, got Clearing-House money on them, and, it has been said, bought stocks and bonds themselves. I am making this fight because most people who understand the evils and recognize the need of reforms are afraid to come out for fear that banking interests might curtail their credits. I can gain nothing personally by it, but I consider it in the interests of the public, and trust you will help the good cause along. These reforms have been presented squarely to the Legislature in four Bills, numbered 238, 239, 240, 241, introduced by Mr. Gates in the Senate, and 400, 401, 403, 404, introduced by Mr. Bennett in the Assembly, and it is now "up to the Legislature" to ameliorate this condition. Pass these Bills and Banking will be more stable. Pass these Bills and there will be plenty of money for the legitimate borrower who cannot now often get it because the "insiders need it.Feby. 15, 1908. E. CLARENCE JONES. • EX-SECRETARY GAGE AND HORACE WHITE ON CURRENCY. The two following letters from Hon. Lyman J. Gage and Horace White should be read and reread before voting upon any financial measure: (Reprinted from The Journal of Commerce and Commercial Bulletin of March 12.) FORMER SECRETARY GAGE ENDORSES FOWLER BILL TIME MOST FAVORABLE FOR SECURING PUBLIC ATTENTION. Mr. tiatwe Deelarem Once Removes; the Our tioi ern uncut nrinLzs Touch the at iii Finn 11(.1•4 Banking %%Mt Measure WeaLness the ii IlusifieS4 Iiintlredi nut iii Interes(s, Lyman J. Gage, ex-Secretary of the Treasury, in the following letter to Representative Fowler unequivocally endorses the latter's currency bill. Mr. Gage sumnutriz !s some of the practical benefits that the measure is calculated to secure, if co-operated in by the banks of the country. The letter in full follows: "Honorable Charles II. Fowler, House of Representatives, Washington, D. C.: 'Dear Sir—I want to congratulate you upon the report of your bill to the House by so strong a vote in the committee. Your labors are, however, I fear, but just begun. It is probable, on the other hand, that thia period of time is, in all respects, most favorable to secure attention to the compreheneive measures which your bill includes. The usual inertia of the public mind on the supposed recondite subjects of finances, banking and currency is broken. Every intelligent man is now disposed to 'sit up' and think, and there is a consensus of opinion tilat 'something ought to be done,' and that that something sliculd be fundamentally curative of the evils experienced and so well established on sound principles as to give effective guarantees that we shall not. be exposed to similar ills in the future. "As I expect to return at once to my home In California, I shall be quite 'out cf the running,' and I see no 'practical way in which I Can aid, as I would 'be glad to do, the great public work you have undertaken. "The more I study the bill reported by the House Committee the more comprehensive and complete it seems to be. It at once removes the 'weakness in our Government finances and brings the banking business into safe and natural relations toward those interests which it is the primary Impose of the bank to promote and serve. These interests are production, manufacturing and exchange. "I just menticned the weakness in our Government finances. We are so accustomed to the situation that we are unconscious of it. This 'would come to our attention, 'however, with painful emphasis were we under present conditions to face a war involving perhaps an expenditure by our nation • of a thousand million a year—that is, three millions a day—a modest estimate, as the thoughtful must admit. "In my statement before the House I enumerated these weaknesses as, first, the present demand obligations outstanding against the Treasury under the name of legal tender notes—$346,000,000; second, the Government guarantee on $700,000,000 of bank notes. "To be sure, the Treasury holds as security for this undertaking a similar amount of its own bonds, but every one knows that by this artificial contrivance the bonds so held are overvalued when put to the test in a free market by twenty to twenty-five per cent. The issue of millions of new bonds to meet the costs of war would strip the mask which now conceals the tact, and expose the weakness at the moment when greatest strength would be requited. Thus nature revenges herself on the unwise and the imprudent. "The bill in question ought, then, to commend itself to the public mind in this; it provides a way without cost to the people which will in a comparatively short period of time discharge the liability of the $346,000,000 first noted, and convert every 'greenback' into a gold certificate, behind which will be a good gold coin, dollar for dollar. Is not this a consummation to be wished? Does it not replace weakness by' strength? "Scarcely less important, it eliminates entirely the unnatural guaranty of the Government to the bank notes and wipes out that liability, whatever may be the measure of responsibility therein involved. Further, by impounding, as it will if it have full operation, nearly the present sum total of the public debt into a fund provided by the banks, which shall effectively serve as a guaranty for bank creditors, whether as depositors or noteholders, it substantially removes the present bonded debt from any competition with the new. Government issue, if made necessary in the contingency of war. "Lastly, looked at from the Government side, it reduces to a minimum the burden of maintaining at a parity with gold $600.000,000 of silver, the commercial value of which, in the world's markets, is less than $300,000,000. it accomplishes this by giving full priority in the field where money circulates from hand to hand to silver certificates through denominations so small that they cannot be released from active use. "All those things the bill, if it becomes a law anti is co-operated in by the ,banks of the country, will secure. "Will it be co-operated in by the banks, and so made uniform and effective? That such co-operation is to the banks an advantage I am certain, but being an exbanker myself I anticipate you will hear many objections from some who will conceive that the 'guaranty fund' for deposits will be inimical to their present prestige and future superiority as compared to their neighbors or rivals. They will not go so far as to argue that the public should continuously endure afflicting losses from weak and unworthy methods of banking in order that their superior methods may gain prestige and prefit, but they will argue against the theoretical equality which, it seems to them, the guaranty fund tends to establish. To these objections you aril those who aid you in argument for the bill will have to point out that in the health and prosperity of all the real and lasting welfare of each is concerned. You will have to show that under the new regime character, capital and ability will win as elsewhere they do win their appropriate reward. Fortunately, too, you can show that what the bill proposes in that direction is directly in the line of evolution, for it is to be observed that certain large cities are voluntarily adopting the principle of neutrality for which the bill contends. "The city of Chicago furnishes at the moment a striking and wise example. Surprised some time since that one of their banks—the Chicago Nationale-with liabilities aggregating some $27,000.000, was in an insolvent condition, the 'Clearing HOUSE) banks at a known large hazard to themselves took over the assets of the Chicago National bodily, assumed and paid offhand Its liabilities. Not again to be, surprised in similar fashion they agreed by common consent among themselves to have an agency of their own quite outside of the Government's official agency to keep close Inspection and tab upon the methods, doings and financial practices of each and every member of their organization and upon any other bank or banker in the city, for whom one of their number shall act as a Clearing House agency with power substantially to close the doors to any member by suspending that member from the Clearing HOUSE'. The power of control in the Clearing House Association is thus complete and absolute. "To be sure they have not entered into legal ebligation for losses to the public through a weak or failing member, but with the power of examination and control thus assumed goes the duty to guardianship and protection. If they fail to administer and allow failure, always the results of vicious methods, to occur in a fellow member, can they escape wonout dishonor the moral obligation to prctect the public from the results of their laxity or neglect? Their action in the case of the Chicago National establishes a precedent. It is to be remembered that it was established when they did not possess the preent power of intimate knowledge and control. This gives a good warrant for the belief that now, under the conditions above Indicated, they cannot and will not depart from the method which precect-mt ieoes to establish. I RM informed that both Kansae City and St. Louis are taking steps in harmony with those taken in Chicago. It will be to their advantage to do so since the public will not be slow to give preference to those cities which adopt tOe cons,rvative method described. "What is thus or may be accomplished by voluntary action here and there in' Clearing House cities, the bill in question makes effective over the country through the twenty redemption districts proposed. "I have written too much already, but as this Is probably my last word on the 4 subject you will make due allowance if I have been guilty of verbosity. With good wishes, I remain, yours very truly, "LYMAN J. GAGE." HORACE WHITE ON CURRENCY. Writes Ills Endorsienient Fowler of (lit' Il111. Congressman Fowler has received the following strong endorsement of his currency bill from Mr. Horace White, former editor of the "Evening Post": NEW YORK, March 10, 1908. My Dear Mr. Fowler.—Yours of the 9th Inst. is received. When this session of Congress began I considered it unwise to attempt to amend our currency system by a single comprehensive measure. I did not then think that the public mind was ripe for it, although the discussion has been going on, in a limited circle, for nearly fifteen years. ,So for the sake of brevity, I preferred the bill proposed by the American Bankers' Association, except that I did not favor a special tax on a particular part of the circulation. If, however, the people are prepared, as they seem to be, to take into consideration a root-and-branch measure of reform like that of House bill No. 12,677, I shall contribute such aid to its passage as I can. It is a great merit that the bill reaffirms the principle that gold, not Government debt, is the true basis of a proper currency. It proposes to take away all soft money cushions and false props of our monetary system which might fail us in a time of trouble. When the Civil War came on a large part of our currency, based upon State bonds, fell to a discount ranging from 10 to 50 per cent. Before the wee ended our Government bonds and greenbacks fell to a still lower price, and the greenbacks remained below par for more than sixteen years. Why should we continue to expose ourselves to such chances even though the risk of war or internal convulsion now seems to be slight? if it is worth to build a great navy In anticipation of conflict with foreign powers, is it not the part of prudence to put our Government finances and currency on a sure foundation, especially when it can be done with- • out expense? The plan proposed in your bill is feasible and will accomplish the end sought without any disturbance or contraction whatever. Moreover, the gold needed is within easy reach. The next most important feature of the bill is that which provides for central redemption agencies, and a supervision of the banks by each other. Most bank failures are caused by speculation with the funds of the bank by improvident loans to the officers and their friends and favorites, in violation of law. Put a stop to such loans and you practically insure the depositors, noteholders and shareholders against loss. I hear that the banks )f Chicago, St. Louis and Kansas City are taking steps voluntarily for such mutual examination and supervision. This is a wise extension of the powers of the Clearing House Associations. Far better is frequent examination by one's neighbors and rivals in business than a diagnosis by the Comptroller after disease has set in. With this practice established by law the mutual insurance of both deposits and circulation by means of a common guaranty fund deposited in the Treasury will be a very simple matter. Such coinsurance cannot be considered either paternalism or socialism. The Government does nothing but hold the money contributed by the banks themselves, and pays it to those entitled to receive it. The small banks are not put on an equality with the large ones as regards capital or earning capacity, but their liability to failure is minimized, and this is an advantage to the whole banking fraternity, and to society in general. To avoid ambiguity it would be well to add to the seventeenth section of the bill a proviso that the Government shall not incur any liability in respect of the guaranty fund, except for its safe keeping and disbursement according to law. It is the A B C of banking science that circulation, notes and deposits are alike potential demands on the bank's cash reserve, and that the banker cannot determine which of the two forms his liabilities 811[13 assume, and that it is a matter of indifference to him which form they do assume. It is most desirable, however, to the community which he serves that his customers shall have the privilege of exercising their right to draw upon the bank in the form which they prerer. A considerable argument might be written on this test, but I forbear. I concur in general with the report of the Merchants' Association of New York in favor of your bill dated February 21, 1908, and I remain, your sincere friend and well wisher, (Signed) HORACE WHITE. TREASURY DEPARTMENT, OFFICE OF THE SECRETARY. Division of Loans and Currency. Form 1028.-Mar.2-08-2,600. CIRCULATION STATEMENT GENERAL STOCK OF MONEY IN THE UNITED STATES. February 1, 1908. Gold coin (including bullion in Treasury) *$1,628,600,555 March 2, 1908. $1,635,848,474 tGold Certificates Standard Silver Dollars 562,849,982 562,930,982 tSilver Certificates Subsidiary Silver Treasury Notes of 1890 United States Notes National Bank Notes Total March 2, 1908. t HELD IN TREASURY AS ASSETS OF THE GOVERNMENT. February 1, 1908. March 2, 1908 MONEY IN CIRCULATIO February 1, 1908. March 2, 1908. March 1, 1 $176,888, 590 $171, 997,548 $641,496,096 $633,804,057 $692,89 40,586,510 38,384, 970 769,629,359 791,661,899 601,45 8,588,890 19,347,757 89,557,092 86,539, 225 82, 91 11,290,360 10,852,631 453,413,640 446, 191, 369 464,62 141, 517,793 143,464,623 10,816,738 16,075,711 130,701,055 127,388,912 120,773 5,400,000 5, 319,000 7,516 10,499 5,392,484 5,308,501 6, 357 346,681,016 346, 681,016 7,509, 361 9,627, 701 339,171,655 337,053, 315 338,927 695, 402, 762 695,674,519 30,401,444 30,955,156 665,001,318 664,719, 363 582,758 3,380, 452,108 3, 389,918,614 286,089,409 297,251,973 3,094,362,699 3,092,666,641 2, 890, 721 Population of the United States March 2, 1908, estimated at 87,021,000; circulation per capita, * A revised estimate by the Director of the Mint of the stock of gold coin was adopted in the statement for August 1, 1907. There was a reduction of $135,000,000. For redemption of outstanding certificates an exact equivalent in amount of the appropriate kinds or money is held in the Treasury, and is not included in the account of money held as assets of the Gov This statement of money held in the Treasury as assets of the Govern ment does not include deposits of public money in National Bank Deposit aries to the credit of the Treasurer of the United States, a For a full statement of assets see Public Debt Statement. §Includes $38,190,000 currency certificates, act of June 8, 1872. CIRCULATION STATEMENT GENERAL STOCK OF MONEY IN THE UNITED STATES. • February 1, 1908. easury)........ *$1,628,600,555 562,849, 982 March 2, 1908. $1,635,848,474 562,930,982 March 2, 1908. t HELD IN TREASURY AS ASSETS OF THE GOVERNMENT. February 1, 1908. March 2, 1908 MONEY IN CIRCULATION. February 1, 1908. March 2, 1908. March 1, 1907. January 1, 1879. $176,888,590 $171,997,548 $641,496,096 $633,804,057 $692,895,812 $96,262,850 40,586,510 38, 384,970 769,629,359 791,661,899 601,459,399 21,189,280 8,588,890 19,847,767 89,557,092 86,539, 225 82,917,781 5,790,721 11, 290,360 10,852,631 453,413,640 446, 191, 369 464,622,489 413,360 67,982,601 141, 517,793 143,464,623 10,816,738 16,075,711 130, 701,055 127, 388, 912 120,773,109 5,400,000 5, 319,000 7,516 10,499 5, 392,484 5,308,501 6,357,091 346,681,016 346, 681,016 7, 509, 361 9,627, 701 339, 171,655 337,053, 315 338,927,518 §310,288,511 695,402, 762 695,674,519 30,401,444 30,955, 156 665,001, 318 664, 719, 363 582,758,023 314,339,398 3, 380,452, 108 3, 389, 918,614 286,089,409 297, 251,973 3,094, 362,699 3,092,666,641 2,890,721,222 816,266,721 March 2, 1908, estimated at 87,021,000; circulation per capita, the Mint of the stock of gold coin was adopted in the statement for August 1, 1907. There was a reduction of $135,000,000. tes an exact equivalent in amount of the appropriate kinds of money is held in the Treasury, and is not included in the account of money held as assets of the Government. reasury as assets of the Government does not include deposits of public money in National Bank Depositaries to the credit of the Treasurer of the United States, amounting to $219,543,719.13. ublic Debt Statement. tes, act of June 8, 1872. 0, TREASURY DEPARTMENT, OFFICE OF THE SECRETARY. Division of Loans and Currency. Form 1028.-Mar.2-08-2,600. CIRCULATION ST_A_TEM GENERAL STOCK OF MONEY IN THE UNITED STATES. February 1, 1908. Gold coin (including bullion in Treasury). *$1,628,600,555 March 2, 1908. $1,635,848,474 Gold Certificates Standard Silver Dollars 562,849,982 562,930,982 Silver Certificates Subsidiary Silver T-March 2, 1908 t HELD IN TREASURY AS ASSETS OF THE GOVERNMENT. February 1, 1908. March 2, 1908. MONEY IN CIR February 1, 1908. March 2, 1908. $176,888,590 $171,997,548 $641, 496,096 $633,804,057 40, 586,510 38, 384,970 769,629, 359 791,661,899 8,588,890 19, 347,757 89, 557,092 86,539, 225 11, 290,360 10,852,631 453,413,640 446, 191, 369 141,517,793 143,464,623 10,816,738 16,075,711 130, 701,055 127, 388,912 5,400,000 5, 319,000 7, 516 10,499 5, 392,484 5, 308,501 United States Notes 346,681,016 346,681,016 7, 509, 361 9,627, 701 339, 171,655 337,053, 315 National Bank Notes 695,402,762 695,674,519 30,401,444 30, 955, 156 665,001, 318 664, 719, 363 3, 380, 452, 108 3, 389,918,614 286,089,409 297, 251, 973 3,094, 362,699 3,092, 666,641 Treasury Notes of 1890 Total = Population of the United States March 2, 1908, estimated at 87,021,000; circulation per capita, $35.54. * A revised estimate by the Director of the Mint of the stock of gold coin was adopted in the statement for August 1, 1907. There was a reduction of $185,000,000. f For redemption of outstanding certificates an exact equivalent in amount of the appropriate kinds of money is held in the Treasury, and is not included in the account of money held as assets This statement of money held in the Treasury as assets of the Government does not include deposits of public money in National Bank Depositaries to the credit of the Treasurer of the Unit For a full statement of assets see Public Debt Statement. §Includes $38,190,000 currency certificates, act of June 8, 1872. 4 / 91' 0 4o c T- March 2, 1908. CIRCTJLATION STA_T EM GENERAL STOCK OF MONEY IN THE UNITED STATES. ury). February 1, 1908. March 2, 1908. *$1,628,600, 555 $1,635,848,474 562,849,982 562, 930,982 t HELD IN TREASURY AS ASSETS OF THE GOVERNMENT. February 1, 1908. March 2, 1908. MONEY IN CIRCULATION. February 1, 1908. March 2, 1908. March 1, 1907. January 1, 1879. $176, 888, 590 $171,997,548 $641, 496,096 $633,804,057 $692,895,812 $96, 262,850 40, 586, 510 38, 384, 970 769,629, 359 791, 661,899 601,459, 399 21, 189, 280 8, 588,890 19, 347, 757 89, 557,092 86, 539, 225 82, 917, 781 5, 790, 721 11, 290, 360 10,852, 631 453, 413,640 446, 191, 369 464,622,489 413,360 67,982,601 141, 517, 793 143, 464,623 10, 816,738 16,075, 711 130, 701,055 127, 388, 912 120, 773, 109 5,400,000 5, 319,000 7, 516 10, 499 5, 392, 484 5, 308, 501 6, 367,091 346,681,016 346, 681,016 7, 509, 361 9, 627, 701 339, 171,655 337,053, 315 338,927,518 §310,288,511 695, 402, 762 695, 674,519 30,401,444 30, 955, 156 665,001, 318 664, 719, 363 582,758,023 314,339,398 3, 380,452, 108 3, 389, 918,614 '286, 089,409 297, 251, 973 3,094, 362,699 3,092,666,641 890,'721, 2,22 816,'266,721 C) d, March 2, 1908, estimated at 87,021,000; circulation per capita, reduction of $135,000,000. Mint of the stock of gold coin was adopted in the statement for August 1, 1907. There was a is not included in the account of money held as assets of the Government. an exact equivalent in amount of the appropriate kinds of money is held in the Trr asury, and g to $219,543,719.13. nal Bank Depositaries to the credit of the Treasurer of the United States, amountin sury as assets of the Government does not include deposits of public money in Nati ie Debt Statement. act of Dino R, 1S72 00, TREASURY DEPARTMENT, OFFICE OF THE SECRETARY. Division of Loans and Currency. Form No. 1028. CIRCULATION STATEMENT GENERAL STOCK OF MONEY IN THE UNITED STATES. Gold coin (including bullion in Treasury) IN TREASURY AS ASSETS OF THE GOVERNMENT. MONEY IN CIRC December 1, 1907. November 1, 1907. December 1, 1907. November 1, 1907. December 1, 1907. *$1,489,742,845 $1, 561, 714,719 $166, 645, 890 $173,917,898 $574,459,086 $640,577,952 71,341,960 71,582,660 677,295,909 675,636,209 2,287,023 37,433 88,822,959 90,979, 549 7*, 177,432 2,733,880 464,349,568 468,953,120 562,636,982 562,703,982 fSilver Certificates. Subsidiary Silver t HELD November 1, 1907. Gold Certificates Standard Silver Dollars December 1, 190 134,122,602 136,201,145 6,661, 373 :3, 221,533 127,461,229 132,979,612 5,613,000 5, 546,000 11,074 8,933 5,601,926 5,537,067 United States Notes 346,681,016 346,681,016 3,426,863 1,998,059 343,254,153 344,682,957 National Bank Notes. 609,980,466 656,218, 196 14, 856,600 7,323,079 595,123,866 648,895, 117 3,148,776,911 3,269,065,058 272,408, 215 260,823,475 2, 876,368,696 3,008,241,583 Treasury Notes of 1890 Total Population of the United States December 1, 1907, estimated at 86,666,000; circulation per capita, $34.71. *A revised estimate by the Director of the Mint of the stock of gold coin was adopted in the statement for August 1, 1907. There was a reduction of $135,000,000. f For redemption of outstanding certificates an exact equivalent in amount of the appropriate kinds of money is held in the Treasury, and is not included in the account of money held as assets.° This statement of money held in the Treasury as assets of the Government does not include deposits ofe public money in National Bank Depositaries to the credit Of the Tr( asurer of the United For a full statement of assets see Public Debt Statement. Includes $38,190,000 currency certificates, act of June 8, 1872. (Ed. Dec. 3-07-2,600.) 1 CIIRC HEAT'LOIN STATENVENT GENERAL STOCK OF MONEY IN THE UNITED STATES. sury) December 1, 1907. t HELD IN TREASURY AS ASSETS OF THE GOVERNMENT. MONEY IN CIRCULATION. November 1, 1907. December 1, 1907. November 1, 1907. December 1, 1907. November 1, 1907. December 1, 1907. December 1, 1906. *$1, 480, 742, 845 $1,561,714,719 $166,645,800 $173,917,898 $574, 459,086 $640, 577,952 $685, 974,422 $96, 262,850 71, 341,960 71, 582,660 677, 295, 909 675,636, 209 572,972, 119 21, 189, 280 2, 287,023 37,433 88,822, 959 90, 970,549 84, 211, 919 5, 790, 721 7; 177,432 2, 733,880 464,349, 568 468, 953, 120 470, 118,583 413, 360 67, 982,601 562,636,982 562,703,982 January 1, 1879. 134, 122,602 136, 201, 145 6, 661,373 3,221, 533 127,461, 229 132, 979,612 122, 261, 710 5, 613,000 5,546,000 11,074 8,933 5,601, 926 5, 537,067 6, 811, 576 346,681,016 346, 681,016 3, 426,863 1, 998,059 , 343, 254, 153 344,682, 957 343, 260, 322 §310, 288, 511 609, 980,466 656, 218, 196 14, 856,600 7, 323,079 595, 123,866 648', 895, 117 583, 463,604 314, 339, 308 3, 148, 776, 911 3, 269,065,058 272, 408, 215 '260, 823, 475 2, 876, 368, 696 3,008,'241, 583 2, 869,074, 255 816, 266, 721 December 1, 1907, estimated at 80,666,000 ; circulation per capita, $34.71. Mint of the stock of gold coin ws lidupted in the statement for August 1, 1907. 'chyle WM a reduction of $135,000,000. s an exact equivalent in amomit “1. the appropriate kinds of money is held in the Treasury, and i not included in the account of money held as assets'of the Government. asury as assets of the Government does not include deposits ofpublic money in Nationall Bank Depositaries to the credit of the Treasurer of the United States, amounting to $2 lie Debt Statement. s, act of June 8, 1872. . 446 t4,tH .C6 Voston Cbamber of Commerce efficero - 1908 BERNARD J. ROTHWELL, JAMES J. STORROW, Committee on Vanhing President JAMES J. STORROW, Chairman First Vice-President - CHARLES H. FARNSWORTH,Second Vice-President JEROME JONES LEROY S. BROWN DANIEL D. MORSS, - WILLIAM B. RICE FRANK GAIR MACOMBER HARRY J. WOOD, - ELWYN G. PRESTON GEORGE ABBOT - Secretary Treasurer Vrotest against atoricb jeiti [TO AMEND THE NATIONAL BANKING LAWS] AT a very fully attended meeting of the Boston Chamber of Commerce, held March 6, 1908, and specially called for the consideration of currency legislation, the report of the Committee on Banking recommending the following action was accepted, and the resolution was unanimously adopted: ilesolution IResolveb: That the Boston Chamber of Commerce is opposed to the passage of Senate Bill 3023 for the amendment of the national banking laws known as "The Aldrich Bill," because 1. It is makeshift legislation, which tends to perpetuate another piece of makeshift legislation originally adopted as a war measure, and which had chiefly for its object the creation of an artificial demand for Government bonds rather than a scientific, elastic currency. 2. It provides for the subtraction of $500,000,000 of mercantile balances from active trade. 3. It contemplates the investment of $500,000,000 of deposits payabl e on demand in long time obligations instead of in short time and constantly maturing obligations which constitute the proper and customary method of employing bank deposits. T HE acute strain on our national banks of the recent panic is now over, the country is not under the stress of war, and the Boston Chamber of Commerce believes that now is the proper time to set the house in order by a comprehensive, constructive and scientific piece of currency legislation, and we have confidence that the intelligence and patriotism of Congress can give us a currency system which will equal in merit the best system in vogue in any other country. The contemplated legislation should embody the following features: 1. An elastic currency which shall expand and contract not merely under the crux of a great commercial crisis, but shall be sensitive to the seasonable and other minor fluctuations of trade. 2. The currency should be guaranteed by the Government. 3. The Government should be amply protected in its guaranty by such tax as shall serve to fully cover any possible loss under the guaranty. 4. The emergency currency should not be marked or labelled in any way as emergency circulation, but should consist of a fluctuation in amount of the currency normally in use. 5. If the currency is to be secured by the special pledge of collateral, the banks should be permitted to deposit with the Government clearing house certificates secured in turn by the deposit with the local clearing house of short time mercantile paper. A true copy of the action taken by the Boston Chamber of Commerce, March 6, 1908. DANIEL D. MORSS, Secretary. EMERGENCY CURRENCY. SENATE BILL N.:;023, ENTITLED -A BILL TO AMEND THE NATIONAL BANKING LAWS," INTROD[CED BY SENATOR ALDRICH. I El` I '11 I 0 N FROM TI!Ii NEW YORK li( k1:1) ()i; 1'I:AD.14., AND TRA NsronTATtoN. Mai NE‘‘ Y()uK l0AH1 oF TRADE AND TuANsrorruAl no. `)0:t Broadway, NEW YoRK, March nth, Dos. To the Members of the Senate and House qf Representatires of the United States (!, America, in Congress assembled:— Your petitioners, the New York Board of Trade and Transportation, urgently, but respectfully, request that Senate Bill No. 3023, entitled "A Bill to amend the National 13anking Laws," introduced by Senator Aldrich, be not passed, for the reasons set forth in the following report of the Board's Committee on Finance and Taxation, which was unanimously adopted at the monthly meeting of the Board held this day. REPORT Or THE commirrEE ON FINANCE AND TAXATION. At a meeting of the Finance Committee held on Wednesday the 4th inst., thoughtful consideration was gi‘en to United States Senate Bill No. 3023, entitled ‘•A kill to amend the National Banking Laws," introduced by Senator Aldrich. This bill provides for an emergency currency to be secured by hilted States, State, County, Municipal and high grade ii road bonds, to be issued only in times or emergency. To be specific, the objectionable fenlitres of the bill are:1st Its passage Nvould postpone for an indefinite time further serious consideration of currency reform. 2nd It would a4141 one more unwise provision to our already defective banking system, viz.: the inducement it offers to banks to invest in railroad, state, county and municipal bonds. 3rd Under the provisions of the hill 1 he cost of takin(4. out currency and putting it in circulation would be so heavy that the bill would probably be inoperative. It is the judgment of your (.4,111111ittee that the passage of this bill should be opposed by this Association on the general gronnd that it would bring no benefit whatever to our defective currency system, but on the contrary would probably introduce all element of weakness into our banking situation. Conservative bankers agree that investment in bonds by commercial banks is not in the line of good banking, and that no emergency currency measure should be adopted that would encourage banks to buy bonds for future use, or that will make necessary the purchase of bwels in an emergency in order to obtain a currency supply. Everything a bank owes is payable on demand, and its assets :it all times should be kept in the most liquid state possible. The experience of banks iii commercial centres, especially in reserve cities, and more especially in New York, is that once or twice each year there arises a condition in the money market which makes it almost impossible for them to maintain their lawful money reserve, and as a necessary precaution conservative bankers in midwinter, when harvest money returns, buy sin in time paper maturing in the Spring, and in the ii turner. when money is plentiful, paper maturing in the early .1 at limn. The maturity of this paper enables them to a figment I heir ro.serves during those seasons of the year when the pressure for money is t he greatest, whilst any bond investment • or other form of long time investment, would make it difficult. 2 if not impossible, at such times for them to easily maintain their lawful money reserve. If hank assets were kept in such lio1 111o1 form that at all seasons of the year, without difficulty, Bank,could maintain their proper reserve, the necessity for a n emergency cu rrency would SE-'1110111 arise. The provisions of the I lii 1 vould probably never be availed or except in the direst extremity. For stringency in crop moving periods they would, in our judgment, be inoperative. The purchase of bonds with its attendant risk of loss, the tax of 6 per cent., the locking up of probably from 15 to 25 per cent, of the cost of the bonds, would make the interest charge on the currency received so high that no banker could be induced to take it out. Even in the face of approaching. panic bankers would bestitate to pay so high a rate for money. The risk of loss involved in the purchase of bowls for emergency purposes would be great, especially if bought during panic when speculative prices prevail. If a 2 per cent. -United states bond as security for circulation 5110111(1 be worth 1.11 4111 I 01 to I I 0 in time of panic, what would a 4 per cent. Municipal bond, or a 4 or 5 per cent. Railroad bond, be worth for the same purpose? And what would the same bonds be worth after the I anic subsides, when the bonds were 110 longer in demand ? Commercial hankers \\ have ill the past invested to any great extent in railroad and municipal bonds will generally agree that the loss on such investments, co\ ering any ten year period, has been much greater than on commercial paper. and that their bond investments 1i 1—tiles ol money pressure ha, made it very difficult for them to) accommoolate their corm inercial customers. The purchase of bowls (luring a n emergency, as security for circulation, would weaken the cash condition of banks unless at the same time they were using Clearing ['wise Loan lerti licILtes in settlement of balances between themselves, for tile limn/ required to purchase the bonds would lie one-third greater t han I he a num nt of relief obtained, :Ind Nvould have to be paid for in w rill money through the Clearing 1 louse. For these reasons your commit tee recifinniend t hat the New York Board of Trade and Transportatiom ..nt..1 its protest against the passage by Congress of the bill presented by W9Up41111 JO Sp0(1 011 R 4 1(111.1.1 t-41t4 1110.1J .1.d111.1IIJ ,)41 1)1 I I o.) ri1111(101N1 *LI( 41:111.)t4tIS )pols .T1u!wi(itups JO ti,4s0(1 I .(i.J ,4411'.)!!! tit)ristion potNs! Zitt!.tutt til!At sNut:(1 N.(4).k (9 1 11 poltim(() () k I:11 sllopsollii 11:!.)111:1111 110 .11o114 II! sso.1.1111()0 j() s.b)(11110111 1111:00.) 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The1)anks took out loan certificates, paid 4; per cent. for the privilege, and loaned to their customers at the same rate. They spent large sums in the purchase of currency and the importation of gold in order to maintain cash payments, which were maintained to a very htrge extent, notwithstanding reports to the contrary. "1 now refer to these facts to show the country at large that the New York bankers appreciated the responsibility that was resting upon them, and acted promptly, intelligently and conscientiously. "If we fail at this time to adopt a currency system that will work automatically, and expand and contract in accordance with the demands of the country, it will be found that the issuance of Clearing House Certificates will be the only thing than can be -used to save the country when the next acute crisis comes. "No bond secured currency system will give the needed relief. I say this on my judgment as a business man and banker of long experience, and I will add as my belief that it would be better to have no legislation at all, at this time, than to pass the Aldrich bill. Now a word in regard to the Fowler bill. 1 have given very thoughtful attention to the pro'visions of the measure. At first I felt that I must, oppose it, but careful study of its various provisions has sufficed to remove my opposition to a very great extent. The bill has grown upon me and the more I investigate the more it continues to grow. It aims to remove so many objectionable features of our present currency system that 1 am very much interested in having it perfected. "It seems to me that with very few and very slight changes it can be made practicable and workable.— REPORT AND RESOLUTIONS ADOPTED ON THE\ 2nd DAY OF APRIL, 1908 BY THE CHAMBER OF COMMERCE OF THE CITY OF RICHMOND, In the State of Virginia. IN OPPOSITION TO THE ALDRICH BILL, AND IN) FAVOR OF THE FOWLER BILL. TO THE BOARD OF DIRECTORS OF THE CHAMBER OF COMMERCE OF THE CITY OF RICIIMOND, VIRGINIA. GENTLEMEN: Your Committee on Banks and Currency, to which was referred the subject of reform in our Banking and Currency laws, and especially the two proposed schemes of reform known as Abe Aldrich Bill and the Fowler Bill, reported the results of its deliberations on March 12th, 1908. ( The resolutions embodying its views were adopted by the Chamber of Commerce. As the result of further study of this momentous question, and of conferences and deliberations had by your Comm:ttee, respecting these two measures, your Committee begs leave to present the following 'additional and supplemental resolutions and to earnestly request their adoption by the Chamber, representing as it does the entire mercantile and manufacturing and professional interests of th:s City: \‘\ RESOLUTIONS. WHEREAS, The Chamber of Commerce of the City of Richmond in the State of Virginia, did on the 12th day of March, 1908, adopt resolutions opposing the passage by Congress of Senate Bill No. 3023, commonly known as the Aldrich Bill, and did, by like resolutions, approve the general principles of House Bill No. 12677, commonly known as the Fowler Bill, with the exception of the provision therein contained of co-insurance of deposits, which report and resolutions are in the following words: "BE IT RESOLVED, That this Committee on Banks and Currency disapproves Senate Bill No. 3023, entitled "A Bill to Amend the National Banking Laws," introduced by Senator Aldrich for the following reasons. I. They regard as essentially unsound the principle embodied therein, that a currency should be based upon fixed securities of any description. The note issues as well as the deposits of a bank are obl:gations payable on demand, and the bank should hold as security against such liabilities nothing but quick assets, such as actual cash, secured notes payable on demand, or commercial paper liquidating itself at par at the end of a short period of months. It is no safe function for a bank of deposit or issue to invest assets held against demand obligations in long term notes and bonds, the conversion of which into cash in times of stringency can only be accomplished at the sacrifice of the principal, if at all. The policy which might have been reasonable in order to create an artificial market for the national obligations in time of war, cannot excuse an extension of the same privilege to State or municipal bonds in time of peace. 2. The high tax which this bill proposes to levy upon the issue of emergency currency, and which in the last analysis would be paid by the borrower to the banks, when increased, as it would be, in practice, at least one-third by reserve requirements, is not only unnecessary but oppressive; and in this and other States would provoke an immediate disregard of the statutes against usury. It is not becoming that a great nation should fill its coffers from the necessities of borrowers; and it is manifestly improper to pass one law which offers inducements to the violation of another. It is the opinion of your Committee, as evidenced by the signatures hereto, that rather than accept legislation of the character of the Aldrich bill, which we feel in its ultimate results would be most disastrous to the commercial interests of the country, it would be preferable to have no legislation at all, in spite of the manifest necessity of some relief from the present intolerable situation. We, therefore, in accordance with this resolution, recommend that this Chamber condemn Senate Bill No. 3023, known as the Aldrich Bill, and that it take steps actively to oppose the enactment into law of this or any bill based upon these principles." BE IT FURTHER RESOLVED, that we approve the general principles of the Fowler Bill, with the exception of the guarantee of deposits. AND WHEREAS, the Richmond Chamber of Commerce feelshhat the business and commerce of this country require a speedy readjustment of our banking and currency laws, which are not now suited to the demands of trade in several of their mOst essential features, and WHEREAS THIS CHAMBER, after careful consideration of this and the former report of its Committee on Banks and Currency, is prepared to heartily endorse the Fowler Bill, including the co-insurance of deposits, PROVIDED SAID BILL IS AMEN DED as hereinafter set forth, and WHEREAS, in its present shape, your Committee believes that the featur e of the Fowler Bill providing for the guaranteeing of deposits is not well guarded; /NOW, THEREFORE, BE IT RESOLVED, BY THE CHAMBER OF COMMERCE OF THE CITY OF RICHTD, IN THE STATE OF VIRGINIA: 1. That it respectfully urges the distinguished author of the bill bearing his name, Honorable Chas. N. Fowler, to so amend the same as to give to the Managers of each of the Redemption Districts, therein provided for, the power and authority to withdraw from any National Bank the privilege of the co-insurance or guarantee of its deposits so as not to permit said guarantee to cover deposits made after notice of said withdrawal, where, in the opinion of said Managers, said bank is not conforming to prudent and conservative banking and where the abuses of which it is guilty do not make it fair and reasonable that its deposit ors should thereafter enjoy the advantage of the co-insurance or guarantee clause of the Fowler Bill. 2. THAT WITH THIS POWER GIVEN TO THE BOARD OF MANAGERS OF EACH OF THE REDEMPTION DISTRICTS, WE HEARTILY FAVO R THE IMMEDIATE PASSAGE BY THE CONGRESS OF THE UNITED STATES OF HOUSE BILL No. 12677, COMMONLY KNOWN AS THE FOWLER BILL. // /3. That this Chamber requests the Representative in Congress of this District, the Honor, / able John Lamb, to secure the adoption of the above suggested amendment to said Fowler Bill, giving such absolute power to the Redemption District Managers as will enable them readily and promptly to enforce compLance with all the principles and practices of conservative banking, and providing at the same time for the protection of the outstanding circulation of said bank. 1 4. When so amended, we earnestly urge upon our Congressional Repres entative, not only to vote for the passage of said bill, but to endeavor to secure the support of the entire delegation from the State of Virginia in Congress and particularly the support of the Honorable Carter Glass, the Virginia member of the Committee on Banking and Currency. 5. This Chamber hereby reaffirms its opposition to the Aldrich Bill for the reasons given in its former report, and again herein set forth, and, although the Aldrich Bill has been amended in the Senate in some particulars since our former report, this body is still of the opinio ve n that the Aldrich Bill is essentially unsound in the fundamental princip le upon which it is based ; that its adoption will delay the enactment of laws effectuating perman ent and mucheded reforms ; and that no amendment can prevent its increasing the evils and magnifying the dangers of our present banking and currency system. BE IT FURTHER REsoLvEn, That these Resolutions be printed and that the Secretary of this Chamber be directed to send copies of said Resolutions to each tnember of the Senate and House f Representatives of the Congress of the United States, and to the Chambers of Commerce, Boards of Trade and other like bodies of each of the cities of the United States, with the request that each of the said bodies adopt similar resolutions at meetings to be called at once, \ and send copies of the Resolutions so adopted to each member of the House of Representatives \ and the Senate of the United States. io 1 Respectfully submitted, JOHN M. MILLER, JR., Chairman, 0. J. SANDS, W. M. HABLISTON, Committee on Banks and Currency. The foregoing resolutions were adopted at a meeting of the Board of Directors of the Chamber of Commerce of the City of Richmond, in the State of Virginia, at a meeting held the 2nd day of Auril, 19o8 R. A. DUNLOP, Secretary. ST. Louis, Mo., April 6, 1908. At a meeting of authoriz sentatives of all the National Banks of the City of St. Louis the following statement a Aldrich Bill respect' Was unanimously adopted as the sense of the meeting, and copies thereof directed to be sent to the President of the United States, the Vice-President, and Speaker of the House of Representatives, and to each member of the Senate and the House: The undersigned representatives of all the National Banks of the City of St. Louis have carefully considered the Aldrich Bill in the form in which it has passed the Senate, and beg to call attention to the following reasons why the bill, in their judgment, should not become a law: The provision in Section eight of the bill, requiring banks outside of reserve or central reserve cities to hold in their own vaults four-fifths of the reserve required, either in lawful money or in the bonds specified in Section two of the bill, would work great evil to the commercial and financial interests of the country, by locking up from $150,000,000 to $200,000,000 now available for active business purposes. The country bank is without adequate protection against burglary and robbery, and the danger of loss from these would be greatly increased with the increased temptation resulting from the larger hoard. As matters now stand, the country bank practically carries only counter money at home, and has its large reserve stored, without expense to itself, in the larger cities, in secure vaults and under ample police protection. Furthermore, by keeping balances in the larger cities, the banks outside the reserve or central reserve cities establish a credit with their reserve or central reserve correspondents, and by reason of that credit are able to get aid from these correspondents when needed for crop moving or other business purposes. It is not to be expected, however, that a correspondent would so readily furnish money to an outside bank keeping practically no balance with it. Section eleven of the bill provides, under severe penalties, that "no national banking association shall invest any part of its funds or deposits in the stocks or other securities of any corporation or association any of the officers of which are officers or directors of such banking association." The word "invest," while it usually suggests the idea of purchase or acquisition by exchange for permanent purposes, has also, and frequently, been held to include a loan. In its comprehensive sense it signifies the laying out of money in such manner as to produce revenue, whether the method be by loan or by purchase of stocks or other property. 23d Cyclopedia of Law and Procedure 348 and 349, and the cases there cited under the head of "Invest" and "Investment." The word "Securities" has been held to include promissory notes and bills of exchange within its meaning. 25th AM. and Eng. Enc. of Law 180. Giving to the words "invest" and "securities" the significance pointed out, and which they so readily bear, and the effect of the provision quoted is to forbid alike a loan to any company in which a director of the bank may be a director, and a loan to such director with the securities of his company as collateral. So far as this prohibition relates to the officers of banks, there is no objection to it, but there is serious objection to it as including directors. It would radically change the structure of our banking system, and restrict the conduct and supervision of it to men engaged in no other business. The Directors of our National Banks are today in greater part the active and leading merchants and manufacturers of the country, and if they may not borrow from the banks in whose boards they are rendering gratuitous service, money for the legitimate uses of their regular business, they must necessarily withdraw from these boards. Such a change in the system would not enhance either its safety or efficiency. We appreciate the evil the bill designed to remedy by this prohibition, but the provision is sweeping in its effects far beyond the requirements of the remedy. In the absence of State enactments imposing like limitations upon the conduct of State Banks and Trust Companies, the National Banks would be placed at a great disadvantage. But we deny the wisdom of the regulation, even if made universal. The intimate blending of banking with all the other business interests of the country resulting under the present system is, we believe, more conducive to the general welfare than will be the establishment of a distinctive money-lending class. It has been suggested that the Aldrich Bill is intended to be but a temporary measure, preliminary to the formation of a comprehensive and final system of currency. For this very reason it should be conservative, and not make radical innovations upon methods and usages that have the sanction of forty years of experience. It is better to do nothing at present than to risk doubtful expedients, even though they are not long to be persisted in, for harm can be done more readily than undone, and its effects may continue after the cause has been removed. The Mechanics-American National Bank, By WALKER HILL, President. The National Bank of Commerce, By JOHN NICKERSON, Vice-President. The Third National Bank, By C. H. HUTTIG, President. The Central National Bank, By H. A. FORMAN. President. The State National Bank, By 0. A. WILSON, Vice-President. The City National Bank, By H. R. REHME, Cashier. The Washington National Bank, By F. P. JONES, Cashier. The Merchants-Laclede National Bank, By W. H. LEE, President. '"7/6 _ . b2err ›7‹, „ )*--) /<15 1?) I A:. (/ 27 WEST 44TH STREET , s* HARVARD CLUB k, C.k1 PAr‘i • ) : 4 "4.-s Y0742:6 te-is,e;"6 QA) .I/OCOP..1 • - (V 6wLe ,AAJ2, keStaxote--e-A-k ••••• Q‘e) /1“ ' 42- o•t /e2 dief-" , --)V1t4 •S/c4..e 4 / 11 THE NEWS OFFICE FRANKLIN FORD. DIRECTOR TELEPHONE 956 FRANKLIN LEGAL OR GOVERNMENT NEWS DIVISION N Ew YORK LIFE BUILDING. 346 BROADWAY Legal News Bulletin NEW YORK. APRIL 20, 1910 THE PUBLIC NECESSITY OF ORGANIZING SOVEREIGNTY THROUGH CREDIT AUTHORITY-DISCOVERY OF NEW LAW AND NEW CENTRES OF CONTROL. THE SOCIAL SOLUTION—THE BANK CLEARING HOUSE IS A NEW POLITICAL INSTITU TION -IT IS A GOVERNING ORGAN IN THE STATE, HAVING THE CREDIT-MAKING POWER WITH COMPLETE JURISDICTION-THE NATIONAL MONETARY COMMISSION IS FACING THE PAST—THE PROJECTED CENTRAL BANKING SYSTEM IS ALREADY IN PLACE IT IS THE CHAIN OF CLEARING HOUSES HE State-necessity of the time is to extend our knowledge of Law. Because of the progressive alteration in the social environment and the consequent rapid increase in new trade usages or customs, the need has existed for long, but a development in legal science has now become imperative inasmuch as the fundamental changes indicated have reached the culminating point. The necessity is to set forth the facts for public guidance as means to warding off a political re-adjustment through violence. T THE NEW SOCIAL SANCTION. Any clear departure in law involves at least a new application of the old social sanction, which extends, whenever necessary, to the physical control of the person, even to the imposition of the death penalty. But the social change we now have to deal with, or report, is so radical or far-reaching that a new ORDER or KIND of sanction is presenting itself, namely, the POWER OVER CREDIT through the banking organ, which comprehends the direction or control of mei/'s action. Law does not become positive or effective without an adequate sanction or mode of punishment for violation of rules. New institutions of expression are at times required, as witness the gradual splitting off of the courts of England from the Curia Regis, the single organ or council of the mediaeval king. Indeed, it was just recently that the need of a change in application of the old sanction, i. e. through control of the person, led to a new organ in the Children's Court, the purpose being to modify or soften the old rules. A new governing organ came to clear or legal recognition England in at the close of the seventeenth century in the fully developed Parliament, which superseded in authority the King's Council. Charles I. was unable to perceive the oncoming force and dignity of Parliament, and this blindness cost him his head. JOINT FUNCTION OF THE NEWS SYSTEM THE BANK. AND But, as stated above, we are now face to face with a new order or kind of sanction. The new governing instrument is the power over credit, and its organ of expression on the ex- ecutive side is the Bank. It thus appears that a new order of sanction requires a new kind of organ, the credit-power being seen as distinctly a NEW SANCTION. On the side of the directing Fact, or that of 'expert testimony,' the News System has been rising into place and power. Acting in direct working relation with each other, the joint function of the News System and the Bank is the application and enforcement of the rules of the Credit System, as witness a fine of $5,000 imposed in recent years on a New York City bank by the Clearing House for violating one of its rules, and the frequent minor fines by way of punishing the misconduct of bank clerks at the Clearing House. We see the Banking System, more particularly in America, passing through much the same changes as those which took place in the English Exchequer in the early development of positive law. This implies of course that the existing bank or credit organization is in its infancy, but all the same it is becoming a universal instrument of adjudication, since it is to rule on the values of all commodities and services. "The Exchequer,'says Mr. Holdsworth in his History of English Law, 'by its system of audit and account, exercised a general supervision over the local government of the country. Twice a year * * * the sheriff and other persons who had received money on behalf of the crown appeared before the board. A general view of the whole machinery of local government was thus obtained.' Again, he continues, 'It is clear that the Exchequer is both the Treasury and the law court of later days. It both collects the taxes and tries eases.' THE SOCIAL BODY AND ITS LAWS. This advanced juristic view as to the social function of News and that of the Bank is coming home to us in these days owing to the appearance of the Corpus Socialc, or the political organism, as a new and clearly defined object in space, having spatial relations of infinite variety and extent. The science of law, or, what is the same thing, of society, is rising before us as the result of the elimination of distance by modern transportation and the electric wire. In short, the telephone has much the same relation to the appearance of social science as the telescope bore to the development of astronomy, the effect of each being to place the observer in command of all the facts at one time. The disclosure means, among other things, that the conduct of men is subject to the effective jurisdiction which the Banking System is to exercise. Offenders are not locked up by the Bank Clearing House; they are locked out. In the light of this discovery, for it is a discovery, the Cormis Juris, or body of law, of which so much has been heard in past times, is a retreating category; that is, a new OBJECT-IN-SPACE takes the place in the mind of the world of the old juristic SUBJECT. The legal development which the News Office has in hand consists of a concrete or descriptive account of the new organs, of their functions and working relations in the social body. The metaphor (i. e Corpus Juris) may still be used if need be, but never without a clear understanding that it is only a metaphor. Properly understood, the business of working over the merely analytical or subjective jurisprudence is now at an end. We are able to read things forward as well as backward. The customary book definition of law is as useless for the purpose of social control as would be an abstract definition of health as means to exorcising disease in the human body. In sharp contrast, we have now attained to a knowledge of the physiology of the State, and in the face of it the received metaphor of the Corpus Juris passes to the limbo of 'old, forgotton, far-off things and battles long ago.' We have realized the social Objective, and the consequent new discipline. We are conscious of the end in view. The fact that men have been led to frame merely subjective definitions of Law and of Sovereignty is proof that they had not become aware of the objective existence of the political organism. The myth precedes the fact. Only vanity and vexation can result from attempts to reconstruct the Corpus .Turis from the inherited viewpoint. The effort will be hopeless so long as the old State-centre is regarded as 'the fountain of all legal right.' This fiction must be given up in the interest of political progress. Legal fictions have had their place and use in the course of civilization; in fact they have helped in critical times to hold empires together, but to prolong them after their work is done is to breed confusion and threaten disaster. Sir Frederick Pollock of Cambridge University, England, in his 'First Book of .Jurisprudence' refrains from answering the question, What is Law? And he tells us that 'a complete answer * * * is not possible unless and until we have a complete theory of the nature and functions of human society.' This new knowledge is the message of America to a waiting world. The discovery that the power over credit is a universal instrument of social regulation is the one far-reaching advance in the science of law since the invention of gunpowder. OLD ORGANS GIVING PLACE TO NEW. Sir Henry Maine wrote in 1861 : 'Except in a small section of the world there has been nothing like the gradual amelioration of a legal system. There has been material civilization, but, instead of civilization expanding the law, the law has limited civilization.' The reports of the News Office on the state of commerce will reconcile the new usages of trade with the essential ideas of law, and so clear the way for the infinite advance in social co-operation which the new conditions permit and compel. These reports marl; nut the extent to which new organs are displacing old in the structure of the State. The News Office has achieved the science of law or politics as a necessary basis for organizing the news business. What was impossible in the time of Montesquieu is comparatively an easy matter now. Strange as it may appear the science of astronomy was not acquired from the books; it was learned from the stars. A NEW CENTRE IN THE CREDIT OFFICE. As an example of the new organs, The Credit Office in the New York Life Building is noted. It has been slowly gaining recognition as a clearing centre for credit-news in order that both merchant and banker may have something to go by; that is, that they may have sufficient or legal warrant for their action. The 1?,!al Estate Record and Guide of New York is an organic centre of credit information. LEGAL ADVANCES THROUGH GROWTH IN ACCURACY. From all this, we prceive that any valid credit-report is to be regarded as a legal adjudication; the true nature of a credit-making fact can not be grasped until it is understood on the legal plane. A credit-report by the chemist at the Assay Office in Wall Street is in point. An analysis submitted by him to an officer of the Mint as to the amount of pure metal in a bag of gold-dust is legal (i. e. it has legal force and effect), but this only because the report is accurate or scientific. The time of day, as given by the astronomer, is legal because it is true, and for no other reason. To sum up, all advances in legality are one and the same thing as the growth and acceptance in society of scientific method. A judgment of the New York Supreme Court is LEGAL for the reason that, in theory at least, it is exact justice. We have now to recognize the universality and legitimacy of the 'Money Power;' it permeates and controls all social life the livelong day. Sir Courtenay Ilbert, in his recent essay on Mon tesquieu, wrote that the power of 'high finance' is 'the most potent, subtle, and ubiquitous of modern political forces.' The old saw, 'money makes the mare go,' has resolved itself into a new thought or concept in statecraft. The Banking System is transforming itself into a public function under the control of its clearing centres, and the cumulative facts may be read by everybody. And, by a natural process of evolution, the Washington government has lost control of the money system, never to be regained. In these opening days of Modern Times the need is to take serious account of the new and gigantic economic influences which steam and electricity have evoked. THE ORGANIZATION OF SOVEREIGNTY. The social forces of the time are contending with a legal mechanism inherited from the sixteenth century. No way was provided in the American Constitution of 1789, that is now practicable, for the peaceful evolution of the State. It has long been impossible to recall the King, as was done by our English forbears in 1660. The alternative, and the only one, is the organization of sovereignty by means of a systematic News System, which will extend authority to every hole and corner of life. Sovereignty —the idea of social control—is the one universal juristic or political concept. Nothing in this paper should be construed as an argument against the continuing necessity of the Police Power as a factor in social regulation. Under any and all forms of association, so far as at present conceivable, the occasiona l need of the physical arm must be counted on, but the fact remains that to e.caggerate the place of the billy and the bayonet is to promote anarchy. It is worth remarkin that actual physical restraint is required but rarely just g because it is so overwhelmingly present if needed. The intent of the paper is to bring out and emphasize the soldiers or policemen cannot run railroads, nor fact that handle the mails satisfactorily, nor manage a telephone centre, not to mention the need of scientific experts at the News Centre. I distinguish four modes of selection, or choice in society: (1) the primitive method ofelection, a fight ; (2) the numerical majority or count of noses, represen ballot-box; (3) through the count of dollars orted by the shares of stock in a corporation, which has risen to prominence in the last fifty years; and (4) the method great science or expert inquiry. The News Office will make of a comprehensive report on the extent to which Science now has means of social control. The necessity of acceptance as to-day and tomorrow is to extend the reign of science through an organized News System. The inherited legislature is everywhere not too much to say that it remains as the in decay. It is 'vermiform appendix' of the social body, or a cause of endless irritation. GROWING RESPONSIBILITY OF THE COURTS. It is only necessary to read the Washingt municipal news of the day to see that we on, Albany and are in a state of comparative anarchy. The conduct of public affairs in America has come to be in much the same condition as was the English nation in the seventeenth century prior to the revolution of 16'iS, which resulted in the ascendancy of Parliament. With us, the primacy has been passing to the Courts, but the judges are now contending with superficial or false opinions on one side and incorrect reporting of the facts on the other, the difficulty being that the judiciary cannot outrun to any extent the temper of the public mind. The imperious need of the hour is to publish the whole truth concerning the Bank and Corporation questions in order that both Congress and the Courts may be helped to do right. Both have to be told of the enlarged constitution of the State, that the principle of Contract or association has come full circle, and that the further organization of democracy is proceeding through the Corporation. The late Professor Maitland of Cambridge University, England, did well to tell us that the old State-centre and the Corporation-group are of the same genus. Above all, it must be made clear that arbitrary power cannot stay the constant advance in social integration. The customary definition of a Corporation, as a creature of the old State-centre, was well enough in the time of Blackstone, or even in America at the hands of Chief Justice Marshall when it was still necessary to exalt the inherited or unitary State, but it will not do now. The attempt to perpetuate it is an invitation to anarchy. THE RAILWAY TRAFFIC ASSOCIATION IS AN ORGAN OF GOVERNMENT IN ITS OWN RIGHT. Political power cannot be divided up by a convention of lawyers as one might slice a cherry pie. In and out of Congress men are gravely discussing as to whether the railroads of the country should be under 'federal' or state' control, while the answer is that neither should pretend to the last word. The immediate or effective controlling institution has appeared in the Railway Traffic Association whose function is to clear the facts as means to scientific guidance. From the governmental viewpoint, the locomotive has wiped out the old state lines, and new political maps of the country are making. The need is not for 'less government,' but instead for an original and far-extended development in social regulation to meet and provide for the vastly increased complexity of the industrial system. The assertion that the transportation business of the United States, with all its vast complexity, can be regulated from Washington by a group of officials standing outside the system, is about the limit in point of political folly. The theoretical omnipotence of the technical lawyer can hardly be carried further. The nearest thing to it perhaps, in the history of artificial law-making, was the attempt of the State in the seventeenth century to control all forms of printing, along with the rising traffic in news, through a central licensing system. The social necessity will compel the Washington government to retreat from its extreme pretension as to the regulation of commerce. The work will be turned over to the new centres of control, which are in organic relation with the action. In a moving world, a particular social development is at its highest point in the very moment of its decline. The Trusts, of which we are hearing so much, are new governing unities in the organization of commerce, their real fault being that they are not completed ; this done the outcome will be welcomed by the whole people. AN ORGANIC CENTRE FOR THE NEWS SYSTEM. The principle of the numerical majority—the count of noses—has reached its limit as a positive instrument of government. Happily, the men of science are certain to gain control of the new machinery of government, or what is the same thing to get possession of the News System, which may now be brought to the highest efficiency through a centralizing movement. The work of the News Office is to provide a main centre through which all parts of the News System can co-operate or trade together for mutual advantage or profit. Without such a trading centre the news business cannot advance. THE MONETARY COMMISSION IS FACING THE PAST. The general executive organ of the Industrial State -the flank c:innot progress further without responsible organization of the directing Fact, or the system of credit-news. Moreover, the impending unparalleled advance in social cooperation is directly dependent on an all-round development in banking. Yet such is the prevailing darkness that the Monetary Commission has just given out a long list of forthcoming publications without a single reference to the state of credit-news reporting, on whose integrity all sound creditmaking must turn. Senator Aldrich and his associates are facing the past. They have not caught up with the fact that the deposit-and-check mode of banking is revolutionary. The world of business is niakiny its own money In other words, the money of American commerce is issued by the Individual through his check-book, subject to the control of clearing centres. THE CENTRAL BANK ALREADY IN PLACE. The National Monetary Commission is struggling with the notion of a new-fangled 'Central Bank."rhe demand for a new institution of the sort takes little or no account of the actual position of the Credit System. The aim of course is to attain to a more effective instrument of regulation for the deposit-and-check development. It is not ordinarily perceived that the controlling organs or centres are already in place in the form of the bank clearing houses operating under the principle of Contract, and they cannot be dislodged. The head organ or centre of the existing system of control is the New York Bank Clearing House. The need is to develop the systemto the highest efficiency. It should not be neccessary to state that the deposit-and-check system cannot be carried on on a great scale without a complete chain of central banks, or clearing centres, whose function is to set limits to authority. It is a matter of plain fact that every bank in the country is subject to control at the hands of a near-by centre. Thus, the small village bank gets authority at times for larger discounts through a relatively more important commercial bank in the neighborhood. An extended list of southern banks re-discount commercial paper, say, through the Hanover National Bank at New York, while, in turn, the operations of bankers like J. P. Morgan & Company are subject to control by the Associated Banks of the metropolis. In October-November, 1907, the New York Banks re-discounted some $75,000,000 of commercial paper at the Clearing House. Apparently it has not occurred to Senator Aldrich that the customary use of the word 'credit'is not true to the facts as regards the normal movement of exchange in the modern banking system, which is always and everywhere a transfer of equivalents. Thus, there is no eredit involved in the sense of 'borrowing money' in a purchase, say, by Marshall Field & Company of Chicago of a bill of gloves at New York in payment of which a ten or thirty day draft is authorized. To all intents and purposes, the transaction is closed by the draft, since it is as good as any certificate of credit can possibly be, not excepting gold coin from the Mint. Debts are paid by setting off credits against them, and there is no other way. THE MINT A CREDIT INSTITUTION. It has ever to be borne in mind that our inherited language in this field has come down to us from the early days of the Credit System, when as a rule the applicants for credit were people in distress. A clarifying thing in the premises is to see the Mint in its true character as a credit institution at which one commodity—gold—has an absolute market. Wherever the Standard Oil pipe-lines run the market for crude petroleum is as absolute as that for gold at the Mint. The goal of the Banking System is to provide an absolute market for all commodities and services, which will of necessity follow upon the perfect organization of Exchange. The duty of the banks is to register and certify all valid credit claims. Money, whatever its form, is the instrument for transferring credit, varying of course as to its universality. This definition, as with all true definitions, is both inclusive and exclusive; it takes account of all the facts and disagrees with none. It could not be reached save as a phase of the science of law or politics. The remark is heard that money is a medium of exchange,' but that this is a mere scholium will he seen when the fact is noted that a clock or a wheelbarrow is also a medium of exchange. The popular notion of Credit, and that of the pedants also, is the moral idea of faith between men, and it includes in its sweep the entire development in society of the principle of Contract. There is no necessity of dwelling upon that aspect of the matter in defining and setting out the commercial institution of the Credit System, which is coming to recognition in front of us in its organic relations. The language-need was simply to pick up and universalize the terms of the bookkeeper. The accountant knows the meaning of a credit—it is something to charge against. THE CREDIT SYSTEM AN ORGAN IN THE STATE. The modern Credit System is seen as a universal organ in the social or political body, a valid or certified credit being a charge against the entire commercial organization, and running in favor of the holder of the certificate. By means of our definition the complementary ideas of Money and Credit are brought into their true relation, and a common language results for registering and co-ordinating the facts of the banking world. Save in small particulars or in special directions, the inherited nomenclature cannot be used for conveying intelligence to the people. In the light afforded by this organic or ultimate definition of money, the countless books on money which fill the alcoves of the libraries become only a chapter in the history of opinion. THE SCIENTIFIC WORK OF THE NEWS OFFICE. In providing a single tongue for reporting the facts of the banking or exchange system, the News Office has done for the science of law a public service corresponding to that wrought out, toward the close of the eighteenth century, by the Frenchman, Lavoisier, for the science of chemistry. The Britannica' writer states that 'the reform of language effected by Lavoisier * * * was an indispensable prelude to the reform of thought.' 'It was the glory of Lavoisier,' wrote Humphry Davy in 1814, 'to lay the foundation of a sound logic in chemistry,' and the like may be said for the work of the News Office in relation to a scientific account of the money or banking system. NEWS ORGANIZATION A NECESSITY TO THE BANK The further bank development in America which is now possible, and in fact compulsory, is directly and entirely dependent on an advance in news organization which will carry the system to the positive or scientific stage. The authority required for such enlarged action cannot otherwise be obtained. As the Bank has come to be so far organic that all the important monetary transactions of commerce are in the way of being re-entered in bank ledgers, it follows that the registration of news—the compelling Fact—whether it be economic news touching the larger question of bank regulation or only routine credit-news, must be equally universal. The day is near when the banks of the United States, under a solidarity of interest, will clear their credit-making facts as freely as they now exchange checks, but it will have to be done through a centre of the News System, having direct connection with every phase of the moving intelligence. All news may at any moment have a credit rendering. In fact, credit-news is the butt-end of news organization, or its economic base. The monetary need of the time is a universal paper certificate of credit, but it must emerge under and through the authority of the Bank Clearing HouJe. It is foreshadowed in the certified cheek. It is a certainty of the near future. This universal certificate of credit will be the American Bank-check for which the entire credit system will stand when brought, as it surely will be, to a working unity under the centralizing influence of modern Communication. The Washington government may hinder but cannot prevent this development. The check can only operate in connection with business transactions over the bank counter; with these transactions the old governing centre cannot get into practical touch. Save for minor uses, the future money of commerce is the bank-check. Its convenience is such that no other form of money can compete with it; it makes its own change. As now, everybody is trying to 'own' a bank; but with one bank for all, this corrupting influence will disappear. The telephone is doing for the entire banking connection in America what the locomotive did for the post office; that is, the new centralizing influence is compelling a single, unified credit organization. The post office, as we know it, was the product of the locomotive. In other words, a uniform and trivial rate of postage could not have been without the railroad. It is not possible in this short paper to speak of the effect of a Universal Bank on the rate of interest, nor of the future of the received stock-and-bond structure, the outcome for the life insurance business, the increase in the security of property, and kindred matters. TO CONTROL EXCHANGE IS TO GOVERN PRODUCTION. The Banking or Credit System is a new legal institution. The political function of the organic bank is to regulate Exchange, and through this to govern production. The threads of accounting running through the bank touch or connect with every activity in the organism which involves or necessitates a money-credit. On a superficial view, it might appear that the regulation of Exchange falls short of the direction and control of production, but it so happens that the Bank throughout the whole extent of its ramifications is charged with the appraisal of values, and this with respect to all the paper representatives of commodities and services. In other words, the Bank, by virtue of the fact that all values must be determined before they can be registered as credit, becomes the arbiter of exchange and, thereby, the governing centre for the whole field of production. The operations of the Assay Office at the Mint are again in point; the exact value of the impure gold offered must be fixed before new coin (or a bank-check, as is now the custom) can be given in exchange. An application for a discount or credit is for a permit to do hnsiness And further, as already indicated, a valid credit-report, whether on the basis of a bag of golddust or cotton warehouse certficates, is a legal adjudication. The conduct of exchanges through the intervention of money and progress in division of labor have moved parallel with each other, the one being everywhere necessary to the other. In fact, progress in freedom of exchange and social co-operation through division of labor are but two readings of the one social movement. Again, in modern society production never outruns facilities of exchange, while on the other hand, a breakdown in the exchange system, as in the panic of 1907, halts all progress on the side of the producing interests. Free exchange and the mobility of property are one and the same thing. A denial of credit is social death. THE BANKERS AND TRADE ACTIVITY. And thus we are brought, finally, to the disclosure that with regard to the all-important question of trade prosperity the masters of banking, controlling as they do the facilities of exchange, have become responsible for any lack of business activity. The Bank News Bulletins of The Credit Office issued during the summer of 1907 recited the arbitrary reduction of legitimate demands on the banks, and so foretold the inevitable panic of October-November. The periods of 'prosperity'are seen to be the intervals of free activity, when exchange is not hindered by the intrusion of the outworn idea of convertibility into so-called legal money. The necessity is for the Banking System to work entirely clear of this mediaeval inheritance. The new test for good money, or cash, is anything that will go through the Clearing House. The situation demands the appearance of a leader among American bankers who can rise to the statecraft of the business, and so open the way to permanent trade prosperity. With the Bank Clearing House in undisputed control of the credit system panics will be a thing of the past. This leader is certain to appear, and with modern ideas in control the Banker will become the steward of the human race. FRANKLIN FORD. THE DEPOSIT-AND-CHECK SYSTEM IN ENGLISH BANKING. As a help to understanding the profound alteration which has taken place in the exchange system, the following extract from an address by G. H. Pownall before the London Institute of Bankers as far back as 1881 is in point. Since then, both in England and in America, the check has moved forward with rapid strides. After depicting the wonderful clearing house development Mr. Pownall said: "There is a certain grim satire in these figures (of clearing) when one thinks of the libraries filled with blue books full of weighty arguments, all curiously wrought out to help in the settlement of the great note question. IT IS CLEAR THAT THE CHEQUE AND THE CLEARING SYSTEM ARE THE MAIN LINES UPON WHICH BANKING IS DESTINED TO RUN. Dead theories respecting notes and the right of issue belong to the generation to which they were living verities. TO US THE LIVING FACT IS THE SUBSTITUTION OF A NEW INSTRUMENT OF CREDIT. For the present generation the improvement of the cheque and the clearing system, the mechanical details of office organization, those details of bookkeeping which save time, are from the enormous number of documents passing through the hands of a banker of more weight than the most learned treatise on notes and note makers." 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I ilts .km11111111 4satfrl!ti 'nu .riu!Ap.)a.t ami mil put: luotil. 04 palupmloin suosami .10 uosaad I4 04 ‘palsolp: A[11[4 `4011uci Ilum.pus11it.14 Al .10 uos.tad 11! .101111a -1111S MI 1 JO .10.11110 POZ!.1011 1111 1111 .1.11 1811.) 011 181.11I1 q.)!ItAt `olo.t 04 .toplog mit lium!pla adults tpuo '4.4.14sw 11.)1a 11! papaps act pluotis sota(puotu a.til Jo uou.)aia 1)1111 14110118 p1011 1104•Oli) I 1111 POSOF) uoaq atuti suo!4(ii.i.)squs 1.)04s uous SV •utuipaul °tuns II! apu(Lt aq mutts t•°)4M JO 811011(11I10[11),I 1111 pu(1 *so4u.)14!1 p[0.4r1 .10 1110.) p10:ri u! P1 111 1.)04 itu .10J s110'!4(1!.1.)N , 't Z,,rv TO THE EDITOR: The attached article is forwarded for your use December 29, 1907. JOHN SCHUETTE, President of Manitowoc Savings Bank, NO CHARGE. Manitowoc, Wisconsin. The Cause of Financial Panics Not Lack of Money t her the banker's own capital, his d,m- ten law, construed by the first comphie liability, nor his reputation and troller, real estate mortgage loans were honor, are insured. These he would be not allowed, and this has been adliable to lose in either ease, and be- hered to ever since, excepting that a sides. the examination would be strict- few years ago the act was amended so er than it has been, which would guard that a small amount, twenty-five per cent of the capital of a bank. may be against reckless banking. Fourthly, that the banks ‘vould so invested. Has Worked Wonders. greatly multiply, thus giving the bankAside from the tariff the national er keener competition. This I admit, but in case deposits are not insured, bank system has done more for the we will have to compote with the pos- prosiierity of our country than any tal savings banks sooner or later, other one measure. Before the advent which will be a far stronger competi- of the national bank note, I experitor than any additional banks can be. enced all the cussedness of the state bank system, under which wild eat As a safeguard against a multiplication notes were issued. This was our only of undesirabie banks, lies in the powers of circulating medium. All were afraid charter, a refuse can who the comptroller, they would break while in their pockin case he finds already sufficient banking and the consequence was that they Written by John Schuette, President Savings Bank, Manitowoc, Wis. facilities, in a place where a new bank is ets, like a cyclone. It was an circulated proposed, and also may refuse a charter ideal elastic currency. No one dared the that beleive, to reasons has when he (Syndicite Matter to be released December 29th.) personal of a new bank is not responsible. to hoard it. The quicker one got rid Therefore, we may be assured, that the of it, the more secure he felt. These Since the financial horizon has again hundred million dollars, and on thk banks will be on the alert, to inform the doubtful notes caused more panics than settled down and cleared we have more amount has paid regular dividends and comptroller, of all the objections to a flew did the deposits hi banks. Then the lie time to investigate and discuss how interests? In such a case, it would government, with a stroke of the pen, bank. the so-called panic came about. I have three times pion. than the government taxed these panic-breeding notes to bankFifth, the opposition of those heard some say they could find the would allow as a fair rate, and would death. and behold, what a revelation. the above themselves consider in who ers down cause of the panic of 1s93. Then we cut the di vidends and interest and do not pro- Never a note panic again. All the inhad hard times in eomparison with proportion. How do We know whether I ossibility of failure, incom- convenience and the worry of a nation neighbors' their for pay to that pose now. In our last flurry. everything our stocks and bonds are not of rascality. To ii 11(51 by a little legislation. All hailed and everybody were in a most pros- class? And if so, what are my stocks •petence, misfortune, or all of us, the ad\('lit of the new-born child with is, that answer. these my perous condition. factories busy and and bonds worth?" joy. From that time on for over a year more or less, have contributed our mite prosperous, farm pr•Klucts reached high An Object Lesson. to will continue we Prices, laborers were employed, but the there was a regular procession of these to this class, and This, then, is an object lesson. The thole. (of end to the so do and bonds stocks their selling cause could not be found, unless it was investors Sixth, the word "tax." The objec- unsafe state bank notes precipitated owing to a great business expansion. in the New York market, which, owing sagged never stopped to investigate fur- panIcs. As soon as the government cretors offerings, 'ed this to these conthr which required more money, b ated another kind, and required that lowel, so that many were ther, and condemned the plan, unseen, they be WaS 110t VIIIlal to the lucre; .ed de- lower and insured against loss, we never conor thought their without of cent and les,4 than, ptr fifty unheard, for mand. so they attributed the laic to sold have a panic from that source. had cost. The reason again was fear of sid(q.ation. the lack of sufficient money. Aik This leads to the conclusion that if held. were securities if loss the Insurance. posit more Currency—De Asset Cause of Panic of 1893. ‘,... InAsset currency inereases indebted- deposits were insured, all financial From ISIto to 1S9:1 the goveritnent This drained our money supply. other and or our railroad selling stead breeds mistrust, just the same as panics would cease. ness, was diligently coin in g silver (1, liars The national bank law, during its into under the Sherman Silver Act. It had corporation stocks and bonds abroad, an individual who goes deeper of over forty-three years, has existence credit. readily his be could lose ago vhncIi a years few ultimately will debt already over five hundred milion silbeen and conscientiously reasonably ver dollars stored. against NVIlit'll it 11:111 done on a three to four per cent inter- Asset currency, in a money crisis, Vill obeyed, except this year, when for the the conit upon will nor placed were basis, money, they more not create Issued silver certificates. Then 'the est first time, by a stress of circumstances, polith inns agitated for a double stand- home market, and even those held tract when the crisis is over, because by a concerted action, most of the prosold. be the to under here back sent all that could be issued ard, which meant, if adopted, tlw les- abroad were posed law would be issued at once, and banks violated their contract and disEr-barrassed Our Railroads. ser valued silver dollar would be our the when thin', Espeeially so at this remain out as long as national bank credited the national bank act. The legal tender standard. and it would required traffic of expansion enormous notes, which,'it is claimed, are not government and the people most amicfollow that the government. and all ably bore these drastic measures and equipand elastic. other debtors, eould pay their debts large extensions of lines excused them, because all knew that by means money raise to the only is unable Being currency ment. Asset centracted an the gold basis, upon It was done with the good intention of the silver basis, or with a silver dol- by the sale of stocks and bonds. the which the national banks can increase preventing the havoc of a threatening toy offering liabillarger relief a sought creating deposits. railroads their I;tr Whil'll at that time NV:1': Nvorth lifty storm. It was accepted as an act of vents. This \vas practically the same equipment bonds and mortgaging their ity. Why should banks retire this cur- self preservation. not and this oneproved two When pay stoek. they rency, on which as if an assignment was threatened rolling A Propitious Time. under which a creditor would receive sufficient, they went to the last extrem- half per cent interest, when most hanks Now is a propitious time for the govity last summer, by offering (something pay from three to four per cent interfifty per (pnt on his claim. never heard of before) what is called est on time deposits? There is no ernment to step in, as it did in 1863, Fear Is Contagious. and secure the people's deposits in time railroad notes, bearing an elasticity in it whatever. short happen might this The fear that banks as it did then on its notes. of money rate credit some to high interest, add attractively only will It caused the foreigners, who hold large I which, to of cent, A Lecture by Uncle Sam. reserve per eight gold as high the to as adding without to liquicountry, investments in our "I must remind the bankers of that dol- sustain it. Our paper money is already date their IThited States investments, am told, over four hundred million too large for safety, in comparison part of the constitution which declares before it might be too late. They of- lars worth were sold. Suspicion Aroused. with nearly every other country. There that it will insure domestic transquilfered and sold in New York markets by offered interest, or rate high This Is a limit to issuing credit currency by ity, promote the general welface, etc. stocks a large amount of their railroad railroads, aroused the government to keep it free from And it is my duty to make you live up strongest the of some capitalist Our started This bonds. and bankers, capitalists suspicion. In brief, asset currency will to it. The joeriodical panies violate to follow suit, and this drained our the suspicion of that the inquiry add to mistrust and only incite panics. these declarations, as they are a menso depositors, and By extent. alarming an to gold reserve ace to our constitutional tranquility The banks can't up? "What's started: this time the people began to get nervAbout Deposit Insurance. aland welfare. The resulting nervous they if spare, to money much have the failed, banks few a ous, and after Deposit insurance will not create an- shocks are paralyzing our prosperity, notes these hawk to railroads the low panic broke loose. It was not the lack bring and sapping the constitutional health I had better other dollar of liability. It will of money, in this instance, that caused on the market. Guess as of times least four at circulation into our people. -You have often told hedge a little." While I was at the the panic, but the fear of loss. as your depositors that the hoarding of hoarding of out from money much frequently was I Convention Bankers' More Money, More Mistrust. west? Is asset currency could produce at the full money is foolish, and have shown them While the panic was at its height. asked : "How is money out about the bad effects of it, and now you are a panic?" I limit, which is estimated to be the government's mining mill was it tight? Will we have de- doing the very thing yourselves. Of By dollars. million hundred two you if will we course "Of stamping silver dollars by the million. answered : now held course, you will plead it is in selfI am get- posit insurance the reserve The more silver dollars produced, the keep on asking this question. for a run, which defense. Yes, but why not amend the preparatory banks, in here, am I since more they were mistrusted : they ting scared myself be- may come tomorrow or not for twenty national bank laws, so you will never threatened to overwlielni the more val- although it never entered my mind years, this immense idle, !Hoarded again have (occasion to fear a panic in uable 'old dollar and finally drove it fore." about one thousand million your whole life. how soothing this amount, So the crisis grew by stages, was Into hiding. This drained the gold be reduced to one-half, w•ould lop to your nerves and to all could dollars, suspiand helped along by suggestion reserve more and more. five hundred million (others. put would which Then some of the same financiers cion. and when Heinze's copper corner more into the 'channels (-of trade. closing the "You have allowed the speculators ani who had urged the coinage of silver 'ousted, carrying in its trail By deposit insurance we would not gamblers to wildly ezpand their voration, Co., the dollars as a financial panacia, realized of the Knickerbocker Trust flurSo we see be subject to recurring financial in spite of sad experiences- and every time their mistake. Tbry implored Presi- panic Nviis on in full force. by a rii‘s, which disturb and paralyze every they were on the briqk of being w,,rsted, caused not was panic dent Cleveland to desist, saying: "For our late branch of our commercial, industrial to come to the rescue. I, God's sake, stop "he ndll, or pile coun- lack ,if money, as was the one of 1893. and agricultural interests. Deposit in- applied to me faille-4 have complied, once obliging as an been, has it But here. all is But Orolor said : The) money try will go to ry' surance would, aside frdm the mone- and again, and so often that you depend on circulation of out taken fear, through hired the only N am "I can't, you see tary benefits, create and stimulate the to keep about man, and the boss gave inc orders to and hoarded, awaiting the restoration In- hit ot saving, which without it, and my assista-ce, I have had in my vault, just to be idle 5200,000,000 octhis as soon as Mod of confidence. stop won't keep the mill going; and I absolute safety. will not he prepared to save ycka from getting hurt. curs, all will get tired of boarding, and the W:lat of till he orders me to quit." It would also remove the In the last flurry I have loaned you $209,encouraged. Thereupon congress was hurriedly the money will appear again in the continual fear of loss from the minds 000,000, without a cent of interest, and convened in extraordinary session. The sunlight as rapidly as it disappeared. nation. still you are not satisfied! Is it not foolish Now let me give you a remedy which, of a whole hired man was ordered to stop the to keep this immense hoard waiting for your pamile-breeding silver machine, it was if adopted, will eliminate all bank pan- Postal Savings Banks—Deposit In- call, when you get into a pinch, to help you surance. further ordered to strengthen the go dol ics in the future. out, when a little insurance fund of about Insurance of Deposits. reserve by the sale of two hundred and postal savings bank plan, as far S5 000,000 would better serve the purpose) The was attention The first time my sixty-two million dollars of bonds, to as safety is concerned, would be ideal. I, and the people are getting tired of this drive away the silver hoard and scare. drawn to this plan was while reading but it does not go far enough and kind of financering. congress, and by these maneuvers gold again re- comptroller Lacey's report to wonld be class legislation. First, it Some say: our currency is the worst on 8, that page on shows, -which MO, hiding in of out gained courage—camp would apply only to the smiler deposi- earth, because not elastic, too rigid, will banknational contith'Ilee 'IV HM restored, and the panic doring the life of the tor, and to limited small amounts. Sec- not expand in a crisis when needed, and .., : 1,„1 ,ci,;,. ft.', oiwk,v..1 that the her '-stem. a period of twenty-nine ,,,,,no, et,,,insited 1u oostoffices u,in nett rnntrqrt "hen the f`r;sis is ewer — Not Remedied By Asset Currency Nor Postal Savings Bank But By INSURANCE OF DEPOSITS AS ADVISED BY UNCLE SAM "I can't, you see ipar am only the hired num. and the 101S4 gave me orders to keep the mill going; and I won't stop till he orders me to quit." Thereupon congress was hurriedly convened in extraordinary session. The hired man was ordered to stop the panic-breeding silver machine, it was further ordered to strengthen the gold reserve by the sale of two hundred and sixty-two million dollars of bonds, to drive away the silver hoard and scare. and by these maneuvers gold again regained courage—came out of hiding— confidence WI1S restored, and the pant( subsided.* This, then, shows that the volume of money does not prevent panics. Comptroller Eckels' Report. Controller Eckels reported to congress after the panic of 1893, on page 24: "No system, no matter how elastic, nor volume of currency, however large, could afford relief, Rs long as confiddence is destroyed. and credit wanting. Money hoarding will go on, and additional issues will but add to the hoarding." So much for the pauic of 1893. Now to the present crisis. Crisis of 1907. You will remember the big insurance Investigation of about two years ago, which disclosed extravagances, manipulations, and frenzied financiering; amazed the people of this and other countries, and caused them to sit up and take notice. From then on they not only continued to notice, but craved to see and hear more about our financiers and investments generally. The spark was fanned by a breeze of investigation and legislation as to railroads and all other corporations. which became active everywhere, from the national capital down to county seats. Railroad rates were reduced in many states from three to two cents per mile, and rates of other corporations were threatened with a like reduction. But the measure moat alarming to railroad investors came wiien an amendment was introduced in congress by which a commission was to be appointed. which commission . Ihrold apits fair praise all railroad q—aid be The value. This. was ri -nit was only method of determining a fair mileage to charge so ai to give the owners of railroads a re8sonable dividend on the actual value (kf their property. This method would seem rea sonable. Tlie people do not wish to harm the railroads; they concede the railroads a reasonable income on the actual cost of their properties, say, a net rate of seven per cent ; but they want to know If this seven per cent is on watered stock, in which case it might be three times seven, or twenty-one per cent, on the actual cost value of the property. To this all object. This is one reason why these investigations to ascertain the facts were made. Thereupon Money Became Frightened. When the foreign investors who have large holdings in railroad stocks and bonds, and our home capitalists, heard of these proceedings, they became alarmed. "We must keep in mind that the price of most of our railroad and other stocks is based on the dividends paid, and the bonds on the interest they draw. If these have been met promptly when due, and regularly for a number of years (as in some cases over twenty and thirty years), the holder of these investments does not bother hitn4elf much to investigate what the real value of the property is, which secures his bonds and stocks. But now, since the investigations are in progress, for the first time they get a hit nervous. They ask themselves: "What do we really know, or not know, about the property represented by our stocks and bonds? Suppose a commission is appointed, and appraises the railroads which secure our investments at say, two hundred milion dollars, while it is stocked and bonded at six through fear, taken out of circulation surance would, aside trom the mone- and again, ad so often that you depend on and Inatrde(l. awaiting the restoration tary benefits, create and stimulate the my a-,.iista-ce. I have had to keep about of confidence. And as soon as this oc- hr bit ot saving, which without it, and S200,000,000 idle in my vault, just to be curs, all will get tired of boarding, and the want of absolute safety, will not be prepared to save you from getting hurt. the money will appear again in the encouraged. It would also remove the in the last flurry I have loaned you $209,continual fear of loss from the minds 000,000, without a cent of sunlight as rapidly as it disappeared. interest, and a whole nation. of which. remedy a you give me Now let still you are not satisfied! Is it not foolish if adopted. will eliminate all bank pan- Postal Savings Banks—Deposit In- to keep this immense hoard waiting for your ics in the future. call, when you get into a pinch, to help you surance. out, when a little insurance fund of about Insurance of Deposits. The postal savings bank plan, as far $5 000,000 would The first time my attention was better serve the purpose? safety is concerned, would he ideal, I, and the people are getting tired of this drawn to this plan was while reading as not go far enough and kind of fina.ncering. Comptroller Lacey's report to congress, but it does be ('lass legislation. First, it Some say: our currency is the worst on In 1S91, which shows, on page 8, that would apply only to the smaller deposi- earth, because not elastic, too rigid, will during the life of the national bank- would and to limited small amounts. Sec- not expand in a crisis when needed, and ing system, a period of twenty-nine tor, ond, the money deposited in postoffices will not contract when the crisis is over,— years, the losses to depositors had been is intended to be redeposited in na- and again some say: the sub treasury is all of average an only $15,459,000, or tional banks only, in those nearest wrong because too elastic, it expands in a $533,000 each year. The average of where such postof!ices are located. crises when money is needed, and contracts deposits for this period was $1,055,Hence the benefits would accrue only when the crises is over. ‘Vhat conflicting 000,000, indicating that the average of small depositors, and na- propositions! class a to loss on total deposits in national banks tional banks which happen to get the Others want me to get out and turn the had only been one-twentieth of one business men deposits. The sub postoffice treasury over to a central bank, under per cent per annum. In other words, and all other large depositors would the control of a set of bankers, which they annually paid had banks national if all not be protected, but would be left un- say could manage it so much better. one-twentieth of one per cent tax on as now. This is not equality They propose to deposit the U. S. Treasinsured equivis which their average deposits, urys funds with the banks so it will be in not commendable. therefore and alent to fifty cents on each one thouthe midst of trade all the time, never idle. savings postal to objection Another sand dollars), all depositors in naBy this plan you would have no elasticity banks is that it reqiures complicated tional banks which failed could have safe security at all, for in a crises, all your funds would tne get to financiering been paid in full. from each bank for moneys deposited be out and no reserve to draw from. As After reading these trustworthy offitherein, there being over six thousand you cannot agree what you want, cial statistics, I wondered why some banks. All Banks Must Insure. one had never brought out more promi'Now, I would propose that all nais the that objection another And nently these facts, with the suggeswould pay only two per tional banks insure their deposits by government insignificant this banks tion to tax the interest, while the banks pay paying into the United States treasury amount. thereby making the deposits cent three to four per cent. On the the sum of one mill annually on every from bank its in national banks as safe as hand, under the plan of insur- one thousand dollars of deposits. This other notes. deposits, all depositors in would be more than ample to pay all of ance Agitating from this Time or small amounts,would losses in national banks for each year, large in banks, I have been agitating since that precisely alike. There as has been experienced in the past all insured be time, deposit insurance in different legislation and no forty-three years of the national banks' class no be would ways: at conventions, in the press, foolish existence. As this national banks incomplicated, no favoritism; sending to bankers several thousand first receiving deposits, surance company would be under the financiering; a with plan, the explaining booklets, redepositing them in hanks again, control of the comptroller, it would be draft of the law required to carry it then intricacy of seeing it well se- operated at little expense. I should the and I agitation such into effect. During duplication of over six advise for your own benefit to make The cured. have been forcibly reminded how hard seems ridiculous, espe- the insurance fund so large that the banks thousand it is to get out of a rut. cially when the deposit insurance plan most timid will not entertain the least Some Objections. will serve one and all and can so much doubt as to the remotest possibility of The main objections I encountered more easily and simply be inauguratto deposit insurance were: First, the ed than the postal savings banks. "And for this purpose I would prolarger, stronge‘,and more inflnential pose that the banks deposit with the los54. Objection. Main The .1 is plan that the bankers saw iniadrnited States treasury one per cent of Lastly, the main objection to postal their average w have over their vantage., they deposits. This would be is: prenot will it .s That smaller eompeti r woula be lost. This saVings hank equivalent to ten dollar . n each one vent hank panics. The banks do not thousand dollars I admit is true. But there are now Insurdeposits. This would fear the small depositors as much as stand as a reserve in deposits banks nieirmsuring ance compai fund in case of temby the in a small way charging 4 per cent. pre- the big fellows, who draw out porary need. But most likely it will mium, and others ar? bing organized; to wagon load. It is not only the small never be touched. This one per cent insure bank deposits broadcast. Then the depositor who gets scared and runs to reserve fund might be paid in by the smaller banks wi!i insure their deposits in get out his money. It is not alone the banks in municipal bonds the banks such companies. Will not the stronger small depositor who starts a panic or may have on hand, the interest to be a run. What started the run in our collected by the banks do the same? comptroller and remitIn such a case the cost would at least be last panic? Not the Sul II Ii depOSitor. ted to the bank owning it. three times that of the government plan, but the millionaire depositors on their "When a bank goes out of business, and would not inspire that confluence with milionaires' banks ; they were the first the reserve fund paid in, and also that depositors as the insurance under the gov- that got seared, first to run, pulling not used of the one mill insurance tax. ernment control. So the large banks can out a million at a time, and draining to be returned to such bank. As most not escape the Equality of safety in any one bank dry in less than twenty-four every bank has many times the bonds event, and aside from this would it not be hours. These depositors started and required, as above, on hand, it might more pleasant, more heroic, honorable set the pace in our last flurry—not the more safely have these deposited with and patriotic to compete with one on small depositors, as the postal savings the government. If this should be done the same level? I remember when boys banks depositor would be. This, then, at the present date, the insurance rewere called cowards if they attempted shows that postal savings banks will serve fund on about six billion dollars to wrestle with one below their size. not prevent panics. like insurance of deposits, at one per cent, would be $60.Aside from this, it would help.Vr cre- deposit will. 000,000, and the insurance tax of oneate a banking system excelling any on National Banking Act. tenth per cent, $6,000,000; total, $66,earth, prevent recurring panics, and Whoever drew our national banking ingratiate the bankers in the hearts of act must have been as able. experi- (" . insurance fund would inspire "Tlris a whole nation. enced, and far seeing financially, as the unbounded confidence. The losses, Secondly, that all state savings and men who drew our constitution were based on the experience of the past private banks would lose their depos- politically. It was not created by the forty-three years, would be only $4,its. because the insurance would apply Influence of bankers, most of whom S00.000, so there would be a surplus, only to the national banks. This can strongly opposed it. claiming that it the first year, of $1,200,000 from the easily be arranged by an amendment to was a flagrant interference of sacred one mill tax insurance fund. As we the national bank act, under which real state rights. It was Secretary Chase must expect that all bank deposits estate mortgage loans will be permit- who strongly recommended the act to would enter the national system, these ted. If this is done, all can easily re- President Lincoln, who in turn pro- figures would soon he more than douorganize as national banks. As to posed it in his message to congress in bled. There is no question that everyPurely savings banks, these could be 1462. which passed it in the spring of one of your depositors will highly apallowed to continue to operate under 1863. The act had thrown safeguards preciate the insurance, and the good the same safe rules as now, excepting around, under which no bank can fail will of your depositors is worth many that they would have to organize un- if it confines itself strictly within its times the little tax you will he reder the national system and control, provisions. quired to pay. I have reviewed the and to be renamed national savings The only objection to it is that real different plans from all sides, and find banks. estate mortgage loans are not permit- that deposit insurance is the only perThirdly, that bankers would be more ted. But this is not the fault of he manent cure, and I hope you will put reckless and negligent if their deposits act itself, as there is not II word in it no obstacle in the way of its secomwere insured. I cannot see why. Nei- prohibiting them. But by an unwrit- plfshment." 'REEL 57 VIER $13 Collection Title Papers OT ivefson Aldrich Series/Volume Shelf/Accession Nc). END