To have management of

be taken and filed as is required in the twentieth section of this act; and for any wilful violation of duty, the person so offending shall be subject to the pains and penalties prescribed by the twelfth section of this act.

Sec. 68. The said board of fund commissioners, or a majority all funds be- of them, shall have the superintendence and management of the

longing to

state;

ings; report

to legislature; their compensation.

Keep record sinking fund, the internal improvement fund, the surplus revenue, of proceed the common school and university funds, and of all other funds belonging to this state, which have been or may hereafter be created from any source or for any purpose whatever, under such powers and restrictions as are conferred or imposed by this act, or as the legislature may from time to time prescribe; they shall keep a record of all their proceedings, and shall annually make report to the legislature during the first week of the session, and at all other times when required by the governor or legislature, and shall for their services be allowed such reasonable compensation as may be prescribed by law, to be paid by the state bank and branches, together with the reimbursement of their necessary expenses.

May contract loan, &c.

Sec. 69. The said board of fund commissioners shall have power and authority on the part of this state to contract a loan of one million eight hundred thousand dollars, or so much thereof as shall be required for the purposes of this act, in order to provide funds on the part of the state to pay for her subscription of stock ín said state bank, and to afford her citizens who may become stockholders therein, the ability of paying up their instalments of stock; which loan shall be at a rate of interest not exceeding six per cent per annum, and redeemable after twenty and within thirty-five years, at the pleasure of the state; and for the payment of which, and the interest thereon, at such time and place as may be agreed upon, the faith of the state is hereby irrevocably pledged, and said loan shall be negotiated so as to be drawn for, from time to time, as may be required by the state, to enable her May appoint to comply with the true spirit and meaning of this charter. Said board are hereby authorized to appoint any agent or agents they may think proper or expedient to enable them to discharge any of the duties which may at any time be enjoined upon them, said board being responsible for the acts of any such agent or agents. Sec. 70. The said fund commissioners, or a majority of them, shall have power to issue bonds for said loan executed by them,

one or more

agents.

May issue

bonds for Joan.

payable to order or bearer, copes of which bonds shall be filed in the office of the secretary of state.

interest

Sec. 71. It shall be the duty of said board to see that the interest To see the is promptly paid on the state loan or loans made for the payment thereon paid. of its stock, or that of the other stockholders in the state bank, and for this purpose they shall have the right to command the services of the state bank, free of charge, to pay the same, and it shall be the duty of said bank to pay the interest on said loan or loans when required by said board; the said bank to be reimbursed for the amount of interest thus paid, and all exchange and expenses actually incurred.

Sec. 72. A sinking fund shall be created, which shall consist sinking fund of all unapplied balances of the loan or loans, procured on the part of the state, for its stock in the state bank, or for the purpose of being loaned to stockholders, to enable them to meet their stock instalments in the bank; the semi-annual payments of interest on the state loan to stockholders, and the sums that shall be received in payment of said loans, the dividends that shall be declared and paid by the state bank on the state stock, and the dividends accruing on such portions of the stock belonging to the other stockholders, as shall have been paid for by the loan on the part of the state, and which shall not have been repaid by such stockholders.

pay loan and

thereon.

Sec. 73. The principal and interest of said sinking fund shall be set apart to reserved and set apart for the purpose of liquidating and paying interest off the loan or loans, and the interest thereon, that shall be negotiated on the part of the state for the payment of its stock in the state bank, and the remaining instalments on the shares of the other stockholders in said bank, and shall not be expended for any other purpose, until said loan or loans and the interest thereon, and incidental expenses, shall have been fully paid; and after the payment of said loan or loans, the interest and expenses, the residue of said fund shall be a permanent fund and be appropriated to the encouragement of agriculture, in such manner as the legislature shall hereafter direct.

Board to loan

moneys be

sinking fund; .

Sec. 74. It shall be the duty of said board to loan all money's belonging to said fund, and to examine the title to all real estate longing to mortgaged to the state to secure the loan made by the state to the examine title stockholders in the state bank, and the loans made by said board mortgaged; of moneys belonging to said fund, to ascertain and determine the value of such

to real estate

determine the

estate, &c.

value of such real estate, to take the necessary bonds and mortgages to secure the payment of any such loans and the interest thereon, to receive and collect the amount due of the principal or interest of any such loans, and in the examination of the title to real estate, fixing the value thereof, and the amount for which it is to be mortgaged, the amount of the loan, its duration and rate of interest, the nature of the mortgage, the registering, cancelling or foreclosing thereof; and in the making and collecting any of said loans, with the interest thereon, the said board shall be governed in all respects by the direction of the legislature, except loans by the state to stockholders shall be governed by this charReceive divi- ter. The said board shall receive and collect from the state bank dends due to state. the semi-annual dividends that shall be declared on the state stock, and on such portions of the stock of other stockholders as shall have been paid for through the medium of the state loan, and which shall not have been repaid by such stockholders to said board.

Pay all legal charges on

Sec. 75. Said board shall make all necessary arrangements for meeting any legal charges or requisitions on said fund, and pay of all loans, and discharge the same in the manner prescribed by law; they

said fund;

keep account

disburse

on account

and all other

ments, &c. shall keep, in a book to be provided for that purpose, full accounts of said fund of all their acts and proceedings, and an account shall be kept funds, &c. shewing in detail, the receipts, loans and disbursements of said fund, and all other funds committed to their charge or under their direction and management; separate books shall be kept for that purpose; entries shall be made of the receipts of dividends on the state stock in bank, and on account of each stockholder that is required to be paid to said board; and after the payment of the interest due on the loan of any such stockholder to the state, out of said dividends, or otherwise, the residue of such dividends shall be applied to the payment of his loan, and shall be credited on his bond and mortgage by said board; and when said bond and mortgage shall be satisfied by said dividends or otherwise, the same shall be cancelled, and the bank dividends on the stock of such stockholder shall not thereafter he paid to said board, but to the owner of the stock.

Books for transfer of stock.

Sec. 76. The president and directors of the state bank may empower any of the branches at their own expense, to open books for the transfer of their stock in any of the cities of the United States, and any such branch may authorize transfers of any

portion of its stock without lien or restriction, on which the state has no lien on said books.

may contract

com. for re

Sec. 77. Any branch or branches shall have power to con- Branches tract with the board of fund commissioners for the receipt and with fund disbursement of any deposite of public funds by the state, and for ceipt and disthe interest to be paid thereon, subject to the approval of the of public board of directors of the state bank.

bursement

deposites.

chase notes

count than seven per

cent.

banking bu

Sec. 78. It shall not be lawful for the bank or any branch Not to purthereof, to buy at a greater rate of discount than seven per cent at greater disper annum, any promissory note or inland bill of exchange. Sec. 79. It shall not be lawful for such bank or any branch Not to do thereof, after the first day of January, eighteen hundred and sixty, siness after to discount, loan money or do any other banking business, and all the powers herein conferred shall cease, except those incidental and necessary to collect and close up its business.

18 60

state pledged.

Sec. 80. The faith of the state is hereby pledged for the ulti. Faith of mate redemption of all bills issued by said bank and branches, and for the payment of all debts not satisfied by the bank, in case of insolvency, or insufficiency to meet its debts.

repealed by a

vote.

Sec. 81. This act may at any time be altered or repealed by Act may be a vote of two-thirds of each house of the legislature, together with two-third the approbation of the governor: Provided, That no amendment shall be made that would authorize said bank or branches to refuse to pay specie for its notes, bills or obligations, or for any moneys received on deposite, or that would lessen the public security.

Sec. 82. This act shall be taken and received in all courts, and Public act. by all judges, magistrates and other persons, as a public act, and all printed copies of the same which shall be printed by or under the authority of the legislature, shall be admitted as good evidence thereof, without any other proof whatever.

tors of state

choose presi

Sec. 83. The directors of the state bank shall not choose a when direcpresident whose compensation as such shall commence until the bank may loan or loans for the state as herein contemplated shall have been dent. made, but they may choose one of their own number to act as president pro tem; and if said bank and some of its branches shall not organize as herein provided, before the first day of February nize limited. next, then this act shall be null and void.

Time for bank to orga

Act not to be construed to give bank

claim to pub

Sec. 84. Nothing contained in this act shall be so construed as to give said bank or branches any claim to the use of any of the lic deposites. funds or public deposites of this state, except by consent of the fund commissioners, and upon such terms as may be agreed upon; but all such funds or deposites therein shall be paid over upon the order of said commissioners or of the state treasurer, under the direction of the legislature.

Directors chosen by le

Sec. 85. No director of the state bank elected by the legislagislature not ture, shall be entitled to hold or purchase any stock in any of in branches. the branches hereby established, while he holds the office of di

to hold stock

When gover

nor may ap

tors to fill vacancy.

rector.

Sec. 86. Whenever the state directors shall be removed from point direc- office, as provided in the eleventh section of this act, the governor, for the time being, shall forthwith appoint others to hold their office until their places are supplied by others appointed by the legislature.

Duty of circuit courts to

Sec. 87. The grand jurors of the several counties of this state give this act at the several terms of the circuit courts to be held in their in charge of grand jurors. respective counties, shall make strict enquiry and present every person who may be by them found to have committed any act herein declared criminal; and it shall further be the duty of the presiding judge at any of the circuit courts aforesaid, to give this act specially in charge to the grand jurors.

Act take effect.

Sec. 88. This act shall be in force from and after its passage.
Approved April 2, 1839.

[No. 38.]

AN ACT to alter the name of the township of Dunham, and to legalize certain acts therein.

Section 1. Be it enacted by the Senate and House of Represen tatives of the State of Michigan, That the name of the township of Dunham, in the county of Lapeer, shall be and the same is hereby altered to Dryden, and all acts done in said township under the name of Durham, shall be as good and valid in law as they would have been had that been the name of said township. Sec. 2. This act shall take effect on the passage thereof. Approved April 3, 1839.