Combined Kansas Reports

shall be acknowledged before a notary public, and recorded in the registry of deeds for the county in which such corporation is to be located; and a copy thereof, and of the by-laws of the said association, shall be filed in the office of the secretary of state, and copies of such certificate, duly attested by the register of deeds or secretary of state, shall be admitted as sufficient evidence in all the courts of law, and on all occasions whatsoever; provided, that no corporation established under the provisions of this chapter shall take the name of any corporation or association heretofore organized or incorporated in this state for similar purposes.

In Pape v. Capitol Bank, 20 Kan. 440, the supreme court suggests that this section operates as a substitute for the provision of the general incorporation act relating to charters, so far as relates to the incorporation of savings associations.

§72. Every such corporation shall semiannually in the months of July and January publish in one or more newspapers in the county where such corporation shall have its place of business, a statement, verified by the oath of its president or secretary, setting forth its actual financial condition, and the amount of its property and liabilities, under a penalty of five hundred dollars to the state, to be recovered by indictment against the president, cashier or directors, and shall also deposit a copy of said statement, verified as aforesaid, in the office of the secretary of state.

$73. Dividends of the net profits of such association shall be declared on the first day of July and January of each year, unless some different time is fixed by the by-laws of such corporation.

LIABILITY OF BANK OFFICERS.

$74. It shall be unlawful for any president, director, manager, cashier, or other officer of any banking institution, to assent to the reception of deposits, or the creation of debts by such banking institution, after he shall have had knowledge of the fact that it is insolvent, or in failing circumstances; and it is hereby made the duty of every such officer, agent or manager of such banking institution to examine into the affairs of the same, and if possible know its condition; and upon failure of any such person to discharge such duty he shall for the purpose of this act be held to have had knowledge of the insolvency of such bank, or that it was in failing circumstances. Every person violating the provisions of this section shall be individually responsible for such deposits so received, and all such debts so contracted; provided, any director who may have paid more than his share of the liabilities mentioned in this section may have the proper remedy at law against such other persons as shall not have paid their full share of such liabilities.

An action by a creditor of an insolvent corporation against its officers, under the preceding section, is for a penalty, and is barred within one year; Ashley v. Frame, 4 Ct. App. 265.

Does the statute in question create a further liability upon the part of the officers of a banking corporation simply because they were officers? We think not. "No stockholder shall be liable to pay debts of the corporation beyond the amount due on his stock and an additional amount equal to the stock owned by him;" Ashley v. Frame, 4 Ct. App. 269.

[Certain acts of bankers are by the act of 1897 (§58 of this chapter) declared to be felony,. and by the act relating to crimes and punishments are declared to be larceny, and punishable accordingly.]

§ 75. In all suits brought for the recovery of the amount of any deposits received or debt so created, all officers, agents, or managers of any such banking institutions, charged with having so assented to the reception of such deposit, or the creation of such debt, may be joined as defendants, or proceeded against severally; and the fact that such banking institution was so insolvent, or in failing circumstances, at the time of the reception of the deposit charged to have been so received, or the creation of the debt charged to have been so created, shall be prima facie evidence of such knowledge and assent to such deposit or creation of such debt on the part of such officer, agent or manager so charged therewith.

§76. The foregoing sections shall also apply to private bankers, their officers, managers, and agents; and for the purposes of this act persons who carry on the business of banking by receiving money on deposit, with or without interest, buying and selling bills of exchange, promissory notes, gold or silver coin, bullion, uncurrent money, bonds. or stocks or other securities, and of loaning money without being incorporated, shall be deemed private bankers.

§77. This act shall extend to and may be enforced by and against executors and administrators of such deceased officers, agents and managers.