The Bank Note Issue Bill

Feilding Star, Volume XV, Issue 56, 4 September 1893, Page 3

The Bank Note Issue Bill

The Bank Note Isssne Bill, which has been put through all its stages and become law, provides that bank notes are to be the first charge on a bank's assets. It temporarily enables the Governor to declare bank notes to be legal tender, and provides for the retirement of the same during a limited time, and under special circumstances it is permanently enacted that all bank notes are to be a first charge on the assets, and the property of the bank issuing them, and payable in gold only at the office of the bank at place of issue. The remainder of the Act ia of a temporary character, and will only remain in force for twelve months, or until two months after the meeting of next session of Parliament. The Governor, when he is satisfied that the assets of the bank exceed the liabilities by at least the amount of paid up capital and reserved profits, may declare by gazette notification, and in three newspapers the notes of such, bank to be legal tender within the colony. Such notes shall be payable in gold at the pluce of issue at the expiration of the period limited by the original proclamation under the Act, or any successive proclamations ; all such proclamations to have force of law not withstanding anything contained in any act, charter, or other document at any time. Within six months after the expiration of the period of the original proclamation under the act. the Colonial Treasurer on being satisfied that a bank note covered by any proclamation has been duly presented for payment at bank issuing same, and has not been paid, shall pay the same in gold to any bumi fide holder, not being the bank who may | present the sime for payment at the Treasury. _______________