Section 4.-The sum of thirteen thousand (13,000) dollars, or such part thereof as may be necessary, is hereby appropriated out of the funds in the Insular Treasury not otherwise appropriated, for the compensation of the director, assistant director, and other employees of the commission, and for the purpose of office supplies and other incidental office expenses, and the sum of fifteen thousand (15,000). dollars, or so much thereof as may be necessary, is hereby appropriated out of any funds in the Insular Treasury not otherwise appropriated, to be expended in the preparation and printing, in Spanish and English, of the aforesaid compilation and annotation of the laws in force in Porto Rico and the classified topical digest of the decisions of the Supreme Court of Porto Rico and a complete table of citations of said decisions, the number of copies of each of said works to be determined by the said commission.

Section 5.-When the works referred to in the preceding section have been printed, the commission shall cause the same to be delivered to the Executive Secretary of Porto Rico, who shall send copies of said works in both Spanish and English, free of charge, as follows: five copies to the office of the Attorney General, three copies to the Governor, one copy to the Public Service Commission, and one copy to each department head, Senator, Representative, Supreme Court justice, district judge, municipal judge, justice of peace, and registrar of property. The Executive Secretary is hereby authorized to sell and dispose of the remaining copies of said works, under and according to the direction of said commission, and at a price sufficient at least to cover the cost of publication thereof, and the proceeds of the sale of the same shall be deposited by him monthly in the Insular Treasury, of which deposit he shall make monthly reports to the Auditor of Porto Rico.

Section 6.-All disbursements for the purposes herein mentioned shall be made upon the written order of the Attorney General, countersigned by another member of the commission.

Section 7.-All laws or parts of laws in conflict herewith are hereby repealed.

Section 8.-This Act shall take effect ninety days after its approval.

Approved, September 10, 1923.

Sección 4.-La cantidad de trece mil (13,000) dólares o lo que de la misma fuere necesaria, se asigna por la presente de los fondos en la Tesorería Insular, no asignados para otras atenciones, para la compensación del director, director-auxiliar, y otros empleados de la Comisión y para material de oficina y demás gastos incidentales de oficina; y la suma de quince mil (15,000) dólares, o lo que de ésta fuere necesaria, se asigna por la presente de cualesquiera fondos en la Tesorería Insular, no asignados para otras atenciones, para invertirse en la preparación e impresión, en español e inglés, de la predicha compilación y anotación de las leyes vigentes en Puerto Rico y del digesto clasificado por tópicos de las decisiones del Tribunal Supremo de Puerto Rico y de una tabla completa de citas de dichas decisiones, determinando dicha Comisión el número de ejemplares de cada una de las predichas obras.

Sección 5.-Cuando las obras a las cuales se hace referencia en la precedente sección hubieren sido impresas, la Comisión hará que se entreguen al Secretario Ejecutivo de Puerto Rico quien enviará ejemplares de las referidas obras, en español e inglés, libre de costo, en la forma siguiente: cinco ejemplares a la oficina del Attorney General, tres ejemplares al Gobernador, un ejemplar a la Comisión de Servicio Público, y un ejemplar a cada uno de los Jefes de Departamento, Senador, Representante, Juez del Tribunal Supremo, Juez de Distrito, Juez Municipal, Juez de Paz, y Registrador de la Propiedad. El Secretario Ejecutivo queda por la presente autorizado para vender y disponer de los ejemplares restantes de dichas obras, a virtud de orden de la Comisión y de acuerdo con dicha orden, a un precio suficiente por lo menos para cubrir el costo de su publicación, y el producido de la venta será depositado por él mensualmente en el Tesoro Insular, del cual depósito hará informes mensuales al Auditor de Puerto Rico.

Sección 6. Todo desembolso para los fines que en la presente se mencionan se harán mediante orden por escrito del Attorney General, refrendada por otro miembro de la Comisión.

Sección 7.-Toda ley o parte de ley que a la presente se opusiere, queda por ésta derogada.

Sección 8.-Esta Ley empezará a regir a los noventa días después de su aprobación.

Aprobada el 10 de septiembre de 1923.

[No. 18.]

AN ACT

REGULATING BANKS AND BANKING IN PORTO RICO.

Be it enacted by the Legislature of Porto Rico:

TITLE I.

SHORT TITLE; BANKS SUBJECT TO THIS ACT; GENERAL DEFINITIONS.

SHORT TITLE.

Section 1. That this Act shall be known as the "Banking Law", and shall be applicable to all corporations heretofore or hereafter organized for engaging in the banking business in Porto Rico; Provided, That the term "bank" in the definition of a business shall be used only by corporations doing a banking business exclusively.

BANKS SUBJECT TO THIS ACT.

Section 2. That for a bank to engage in the banking business in Porto Rico, compliance with the requirements of this Act shall first be necessary, and engaging in such business without compliance therewith shall be punishable as hereinafter provided.

GENERAL DEFINITIONS.

Section 3. The following shall be the definitions that for the purposes of this Act shall be given to the terms stated below:

The term "bank" for the purposes of this Act, means a domestic corporation with sufficient capital, authorized by law to receive deposits of money or negotiable paper, open credits, accounts current and savings accounts, make loans, discount bills, notes or other negotiable paper, purchase and sell drafts, trade in gold and silver, and, in general, engage in any kind of banking business.

The term "foreign bank" means a corporation organized for the purpose of engaging in the banking business, under the laws of another Territory or State, or of the United States, or of a foreign country, whether or not operating a bank at the place of its incorporation.

The term "surplus fund" means a fund formed or increased either by assessment on the stockholders or by transfer of net pro

[No. 18.]

LEY

REGLAMENTANDO LOS BANCOS Y LAS OPERACIONES BANCARIAS EN PUERTO RICO.

Decrétase por la Asamblea Legislativa de Puerto Rico:

TITULO I.

TÍTULO BREVE; SUMISIÓN DE BANCOS A ESTA LEY; DEFINICIONES GENERALES.

TÍTULO BREVE.

Sección 1.-Esta Ley se denominará "Ley de Bancos" y se aplicará a todas las corporaciones ya organizadas y que se organicen en el futuro para dedicarse al negocio de banca en Puerto Rico; Disponiéndose, que el término "banco" en la definición de un negocio sólo lo podrán usar las corporaciones que hiciesen exclusivamente el negocio de banca.

SUMISIÓN DE BANCOS A ESTA LEY.

Sección 2.-Para que un banco se dedique al negocio de banca en la Isla de Puerto Rico se requiere llenar previamente los requisitos que determina esta Ley, y su ejercicio sin haberlos llenado será penado en la forma que más adelante se expresará.

DEFINICIONES GENERALES.

Sección 3.-Las siguientes serán las definiciones que, a los efectos de esta Ley, se dará a los términos que se expresan a continuación.

Se entiende por banco, a los efectos de esta Ley, una corporación doméstica con capital suficiente, autorizada por la ley para recibir depósitos en efectivo o valores, abrir créditos y cuentas corrientes y de ahorro, hacer préstamos, descontar giros, pagarés u otra clase de valores negociables, comprar y vender giros, hacer el comercio. de oro y plata, y en general toda clase de negocios de banca.

Se entiende por "banco extranjero" una corporación organizada bajo las leyes de otro Territorio o Estado, o de los Estados Unidos, o de un país extranjero, para hacer negocios de banco que mantenga o no un banco en el lugar de su incorporación.

Se entiende por "fondo de reserva" un fondo formado o aumentado bien por derrama entre los accionistas, bien por transferencias

fits or of the undivided profits of the bank, and such fund shall not be used for the payment of dividends nor for the purpose of paying the expenses of the bank while there is any available surplus in the undivided profits account.

The term "legal reserve" means the sum which all banks shall at all times have available for the payment of their demand liabilities.

The term 'demand liabilities' means all such obligations as a bank is obliged to pay within a term not longer than three days.

The term "savings account" means all accounts where in accordance with the rules printed in the pass book delivered to the depositor at the time of opening such account and which the depositor accepts de facto, it is indispensable to present the pass book every time funds are deposited or withdrawn, and where the bank may at any time require the depositor to give not more than fifteen days' previous notice of any withdrawal of funds that such depositor may intend to make.

TITLE II.

INCORPORATION;

CERTIFICATE OF INCORPORATION;

RESTRICTION OF

NAME OF BANK; AMOUNT AND PAYMENT OF CAPITAL STOCK; REGISTER OF SHARES; REDUCTION OF CAPITAL; RELEASE OF STOCK; LIABILITY OF STOCKHOLDERS; GENERAL POWERS OF BANKS.

INCORPORATION.

Section 4. That any five or more persons of full legal capacity may organize a bank, by executing before a notary and filing in duplicate, articles of incorporation in accordance with the provisions of this section; Provided, however, That banks now doing business in Porto Rico, may continue such business in Porto Rico though organized as corporations with less than five incorporators, provided they subject themselves to all other provisions of this Act; Provided, further, That banks doing business in Porto Rico, which have not been incorporated, shall incorporate pursuant to the provisions of this Act, within a term of six months from and after the date on which this Act takes effect.

Said articles of incorporation must be subscribed by each of the