| Show NATIONAL BANKS AND GUARANTY fUND Bonaparte Holds it Is Illegal for Them to Enter Into Any Con COI Contract tract With state Officials CASE AROSE IN OKLAHOMA I nil mum I mit cc S l It Ac c tI tilt Aug In It a format formal rendered by Bona parte on fl tile the t lit if See of the tho It is 11 helmi to bo be tom rOI any bank to enter Into ii 11 contract or em othol arrangement with state fur for the thc e ot of out of the Iho banks deposIts or 01 stock to be us ll d llIn dIn In time the of nn anY hank bank Included within the tho terms Lentils of u it be In inthe the tho amount tu to bo be by theta them front ot of such Huch bank In the tho event QC of Its lIs failure SelY Scoy requested the no hey Of as to Iii the legal tight or of banks In time tho state ot of to contribute toward the mind rund in III to avail themselves of time the other or of Ih net act In course of an am opinion said Pho of to 10 whIch you call mm IL creates a tate state bank lug Ing board composed ot of certain I rual requires the saith to hc time tho Stock all an assessment of I 1 per cent ot of time tho hunks average with certain deductions e h bank bailie organized and existing un del tiet the Iho laws ot of thIs state n assessment Is Iii to Cl what Jim Is ns as IL a depositors guaranty fund ammil additional ments are nrc to be levied II st the capi capital capitel tel tal stock It af the banks proportionately ly to thc tue amount of their so 80 nl am to th the fund at the tho designated ted t tIt It Is generally that II a bank hits not Power to 10 UTILe time tho obligations JJr at II a third party Is inflection with a stile sale or Ot of Its own US ns an 1111 to time tho It has bait been argued that the bank In Inthis Inthis this case would not the tho oh ob obligations or of other but only to put the ot of Oklahoma Its board In funds runds to tomake tomake make such II a guaranty on arm Itt itS I think tl s Is a distinction with without out ont U II I have hae not overlooked the Iho that b by terms of the Proposed be between between tween the tho bank III question and amid the tho state or 01 itt blinking banking board the said bank agrees to do which shall b ho Ill ia conflict with the tho laws but this provision Is miot 1101 relevant for forthe the entire contract la is ultra sires vires for tor a 11 national bank hamik and prohibited b by the of time the statute I hold that Nueh Is the fact tuot with respect to the tho contract proposed In thIs case that tt It ItIs Is Illegal tor or the tho or of Any tny nation al ai bank to miter Into such an agree TIlt It II contemplated b by section four or of tile the Oklahoma state banking net act and that persistent and wilful action to this effect on the tho part of any such bank bo be just cause causo for the forfeiture ot of Its charter s OPINION Lincoln Neb Aug 2 opinIon dell holding It to ho be Illegal for tor national banks ot of to con contribute tribute toward the guaranty fund for rol tho tub of ot of Okla OkIa Oklahoma homa or to avail aall of tho othor privileges ot of the banking act was the subject of it good deal ot of discussion hero today Prominent Den or of Lincoln freely averred that following so 80 closely closel the heels ot of the thaI Standard Oil reversal In Chicago and time tho contempt cases against the labor leaders In iii the opinion ot of the still forth ur strengthens time tho Democratic party In inthe the tho political campaign Mr Ir Bryan Brun himself to the the tho opInion will have In the coaling elections it 11 accentuates tho Issue said lie he timid the tho necessIty ot of legis tram from the tho ot of tint the depositor then than tom time tho standpoint or of the lie lie Ho would talk no further on the sub subJect hut but said that ito ho would give It liberal in his hili forthcoming lit Ht lopeka sonic dur lug the month |
