for current pay deposits. with them in the securities named in the last preceding section of this act, except that, for the purpose of meeting current payments and expenses in excess of the receipts, there Available fund may be kept an available fund of not exceedments,etc., from ing ten per centum of the whole amount of deposits with such corporation, and the same may be kept on hand or on deposit in any bank or banking association in the State of New York, organized under any law or laws of this State, or of the United States, or with any trust company incorporated by any law of this State, but the sum so deposited in any one bank or trust company shall not exceed twenty-five per centum of the paid up capital and surplus of such bank or trust company; or such available fund, or any part thereof, may be loaned upon pledge of the securities, or any of them, named in subdivisions one, two, three and four of the last Limitation of deposits with trust companies or banks. Loans upon cer- preceding section of this act, but not in ex tain securities. authorized, in cess of ninety per centum of the cash market value of such securities so pledged; and should any of the securities so held in pledge depreciate in value, after making any loan Recall of loans thereon, it shall be the duty of the trustees case of depre- to require the immediate payment of such loan, or of a part thereof, or additional security therefor, so that the amount loaned shall at no time exceed ninety per centum of the market value of the securities pledged for the same. ciation. SEC. 2. This act shall take effect immediately. LAWS OF 1887. CHAPTER 272. AN ACT TO LEGALIZE THE ACTION OF A SPECIAL MEETING OF UNION FREE SCHOOL DISTRICT NUMBER SEVEN, IN THE TOWN OF CORTLANDT, AND COUNTY OF WESTCHESTER, AND TO AUTHORIZE THE SAVINGS BANKS OF THE STATE TO INVEST IN THE BONDS OF THE DISTRICT DIRECTED TO BE ISSUED AT SUCH MEETING. PASSED MAY 4TH, 1887; THREE-FIFTHS BEING PRESENT. The People of the State of New York, represented in Senate and Assembly, do enact as follows: SECTION I. The action of the special meeting of Union Free School, district number seven, in the town of Cortlandt and county of Westchester, held November twenty-second, eighteen hundred and eightysix, for the purpose of raising funds for the erection of an addition to the school house, and at which meeting the bonds of the district were hereby legalized, ratified and confirmed, and the savings banks of the State are hereby authorized to invest in said bonds. SEC. 2. This act shall take effect immediaately. LAWS OF 1887. CHAPTER 524. AN ACT TO AMEND SECTION TWO HUNDRED AND SIXTY OF CHAPTER FOUR HUNDRED AND NINE OF THE LAWS OF ONE THOUSAND EIGHT HUNDRED AND EIGHTY-TWO, ENTITLED, "AN ACT TO REVISE THE STATUTES OF THIS STATE RELATING TO BANKS, BANKING AND TRUST COMPANIES." PASSED JUNE 4TH, 1887; THREE-FIFTHS BEING PRESENT. The People of the State of New York, represented in Senate and Assembly, do enact as follows: SECTION I. Section two hundred and sixty of chapter four hundred and nine of the laws of one thousand eight hundred and eighty-two, entitled "An act to revise the statutes of this State relating to banks, banking and trust companies," is hereby amended so as to read as follows: SECTION. 260. It shall be lawful for the trustees of any savings bank to invest the moneys deposited therein only as follows, namely: Investment of deposits, by Trustees of sav ings banks. In U. S. bonds. I. In the stocks or bonds, or interest bearing notes or obligations of the United States, or those for which the faith of the United States is pledged to provide for the payment of the interest and principal, inDistrict of Co- cluding the bonds of the District of Columbia, commonly known as the three sixty-five bonds. lumbia bonds. State stocks. Stocks of other City, county, town or village bonds. Bonds and mortgages tate. 2. In the stocks or bonds, or interest bearing obligations of this State, issued pursuant to the authority of any law of this State. 3. In the stocks or bonds, or interest bearing obligations of any State in the Union that has not, within ten years previous to making such investment by such corporation, defaulted in the payment of any part of either principal or interest of any debt. authorized by any Legislature of such State to be contracted. 4. In the stocks or bonds of any city, county, town or village, or in the interest bearing obligations of any city or county of this State, issued pursuant to the authority. of any law of this State. 5. In bonds and mortgages on unenupon real es- cumbered real estate situated in this State, and worth, at least, twice the amount loaned thereon, but not to exceed sixty per centum of the whole amount of deposits shall be so Percentage of loaned or invested; but in case the loan is on unimproved and unproductive real estate, loan to actual value. |