In the same session another act was passed (7 & 8 Vict. c. 110 which is en titled' An Act for facilitating the winding up the affairs of joint-stock companies linable to meet their pecuniary engage ments.' By this act a fiat in bankruptcy may be issued in the same way as in the case of single traders against incorporated commercial or trading companies or any other body of persons associated together for commercial or trading purposes ; hut the bankruptcy of a company does not involve the bankruptcy of any member individually. A copy of the balance sheet must be sent to the Board of Trade, accompanied by the written opinion of the Court of Bankruptcy as to the cause of failure of the company ; and the Queen, upon the recommendation of the Board of Trade, may then revoke any privileges granted to the company, and determine the same, notwithstanding any charter, letters-patent, or act of parliament ; but until the determination of the company by the crown, it shall be considered as subsisting for the original purposes. This act applies to all banking companies which have more than six partners.
Another act (7 & 8 Vict. c. 113) was passed during the session of 1844, under which joint-stock banks are now regu lated. Every new joint-stock bank be fore it can commence business is required to present a petition to her majesty in council, signed by at least 7 shareholders, praying for a grant of letters-pateut. This petition must set forth-1, The names and abodes of all the partners of the proposed company. 2, The proposed name of the Bank. 3, The place and street, &c., where the business of the bank is to be carried on. 4, The pro posed amouut of the capital stock, not being in any case less than 100,0001. and the means by which it is to be raised.
5, The amount of capital stock then paid up, and where and how invested.
6, The proposed number of shares. 7, The amount of each share not being less than 1001. each. The petition of the proposed company, in which these par ticulars are set forth, will be referred to the Board of Trade, which will report as to the provisions of the act having been complied with; and her majesty may then, if she so think fit, grant the letters-patent prayed for. The deed of partnership must be drawn up in accordance with a form approved of by the Board of Trade, and, in addition to any other provisions which may be introduced, must contain specific provisions for the following pur poses. 1, For holding ordinary general meetings at least once a year, at an ap pointed time and place. 2, For hold ing extraordinary general meetings, on the requisitions of nine or more share holders who have at least 21 shares. 3,
For the qualification and election of di rectors, and for general management. 4, For the retirement of at least one fourth of the directors annually, and for preventing their re-election for at least 12 calendar months. 5, For preventing the company from purchasing any shares or making advances of money or securi ties for money to any person on a security of a share or shares in the bank. 6, For the publication of the assets and liabilities of the bank once at least in every month.
7, For the yearly audit of the accounts of the bank by auditors chosen at a gene ral meeting of the shareholders and not being directors at the time. 8, For the yearly communication of the auditors' re port, and of a balance sheet, and profit and loss account to every shareholder. This deed must be executed by the hold ers of at least one-half the shares on which not less than 101. on each share or 1001. has been paid up ; but the banking business cannot be commenced until the deed has been executed by all the share holders, nor until one-half at least of each share has been paid up, no portion of which can be repaid without the sanc tion of the Board of Trade. Under let ters-patent for a term of years not ex ceeding twenty the shareholders of a joint-stock bank may become one body politic and corporate with perpetual suc cession, a common seal, and power to purchase and hold lands, of such annual value as shall be expressed iu each letters patent.
This act contains some other provisions which are deserving of notice as im provements. Every year, between the 28th of February and 25th of March, a memorial is required to be transmitted to the Commissioners of Stamps, setting forth, amongst other particulars, the name, style, and firm of the banking company, the names and places of abode of the several members thereof, and of the directors, managers, and other officers; and this document may be inspected at the Stamp-office on payment of a fee of one shilling. A list of the registered names and places of abode of all the members of the company for the time being must also be printed and con spicuously placed for the use of the pub lac in the bank. The manager or one of the directors is required to transmit from time to time to the Commissioners of Stamps an account of changes which have taken place in the list of directors, ma nagers, officers, and shareholders. The Commissioners of Stamps are to give a certified copy of these memorials on pay ment of a fee of 10s. Persons whose names are in the memorial last delivered, are themselves or their representatives liable to legal proceedings, as existing shareholders.