when to be

the amount loaned thereon shall not be more than forty per centum of its actual value; and no investment in any bond and mortgage shall be made by any savings bank, except upon the report of a committee of Investments its trustees, charged with the duty of inves- made. tigating the same, and who shall certify to the value of the premises mortgaged or to be mortgaged, according to their best judg ment, and such report shall be filed and preserved among the records of the institution.

6. In real estate, subject to the provisions Real estate for of section two hundred and sixty-three of

this act.

SECTION 2. This act shall take effect im

mediately.

banking house,

etc.

LAWS OF 1888.

CHAPTER 373.

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," AS AMENDED BY CHAPTER FIVE HUNDRED AND TWENTY-FOUR OF THE LAWS OF ONE THOUSAND EIGHT HUNDRED AND EIGHTY-SEVEN.

APPROVED May 25th, 1888.

The People of the State of New York, represented in Senate and Assembly, do enact as follows:

SECTION 1. 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," as amended

by chapter five hundred and twenty-four of the laws of one thousand eight hundred and eighty-seven, 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:

1. 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, including the bonds of the District of Columbia, commonly known as the three sixty-five bonds.

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 school district bonds, "and Union Free School district bonds issued for school purposes," or in the interest bearing obligations of any city or county

of this State, issued pursuant to the authority any law of this State.

of

5. In bonds and mortgages on unencumbered 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 loaned or invested; but in case the loan is on unimproved and unproductive real estate, the amount loaned thereon shall not be more than forty per centum of its actual value; and no investment in any bond and mortgage shall be made by any savings bank, except upon the report of a committee of its trustees, charged with the duty of investigating the same, and who shall certify to the value of the premises mortgaged or to be mortgaged, according to their best judgment, and such report shall be filed and preserved among the records of the institution.

6. In real estate, subject to the provisions of section two hundred and sixty-three of this act.

SECTION 2. This act shall take effect immediately.