and that the guarantor was liable for the loans made both before and after the change. City Nat. Bank v. Phelps, 97 N. Y. 44, 49 Am. Rep. 513. § 5155. [U. S. Comp. Stat. 1901, p. 3467.] It shall be lawful for any bank or banking association, organized under State laws, and having branches, the capital being joint and assigned to and used by the mother bank and branches in definite proportions, to become a national banking association in conformity with existing laws, and to retain and keep in operation its branches, or such one or more of them as it may elect to retain; the amount of the circulation redeemable at the mother bank, and each branch, to be regulated by the amount of capital assigned to and used by each. § 5156. [U. S. Comp. Stat. 1901, p. 3467.] Nothing in this Title shall affect any appointments made, acts done, or proceedings had or commenced prior to the third day of June, eighteen hundred and sixty-four, in or toward the organization of any national banking associations under the act of February twenty-five, eighteen hundred and sixty-three; but all associations which, on the third day of June, eighteen hundred and sixty-four, were organized or commenced to be organized under that act, shall enjoy all the rights and privileges granted, and the subject to all the duties, liabilities and restrictions imposed by this Title, notwithstanding all the steps prescribed by this Title for the organization of associations were not pursued, if such associations were duly organized under that act. CHAPTER II. OBTAINING AND ISSUING CIRCULATING NOTES. SECTION 5157. What associations are governed by chapters 2, 3 and 4. 5158. Registered bonds intended by the term "United States bonds. 5159. Deposit of bonds required before issue of circulating notes. 5160. Increase or reduction of deposits to correspond with capital. 5161. Exchange of coupon for registered bonds. 5162. Manner of making transfers of bonds. 5163. Registry of transfers. 5164. Notice of transfer to be given to associations interested. 5165. Examination of registry and bonds. 5166. Annual examination of bonds by associations. 5167. Custody of bonds, collection of interest, etc. 5168. Comptroller to determine if association can commence business. 5169. Certificate of authority to commence banking to be issued. 5171. (Repealed.) 5172. Printing, denominations and form of the circulating notes. 5174. Annual examination of plates, dies, etc. 5175. Limit to issue of notes under five dollars. 5176. (Repealed.) 5177. (Repealed.) 5178. Apportionment of aggregate amount of circulating notes. (Superseded.) 5179. Equalizing the apportionment of circulating notes. (Superseded.) 5181. Removal of association to another State. (Superseded.) 5184. Destroying and replacing worn-out and mutilated notes. 5185. Organization of associations to issue gold notes authorized. 5186. Their lawful money reserve, and duty of receiving notes of other associations. 5187. Penalty for issuing circulating notes to unauthorized associations. 5188. Penalty for imitating national bank-notes, etc. 5189. Penalty for defacing, etc., national bank-notes. § 5157. [U. S. Comp. Stat. 1901, p. 3468.] The provisions of chapters two, three and four of this Title, which are expressed without restrictive words, as applying to "national banking associations," or to "associations," apply to all associations organized to carry on the business of banking under any act of Congress. § 5158. [U. S. Comp. Stat. 1901, p. 3469.] The term "United States bonds," as used throughout this chapter, shall be construed to means registered bonds of the United States. § 5159. [U. S. Comp. Stat. 1901, p. 3469.] Every association, after having complied with the provisions of this Title, preliminary to the commencement of the banking business, and before it shall be authorized to commence banking business under this Title, shall transfer and deliver to the Treasurer of the United States any United States registered bonds, bearing interest, to an amount not less than thirty thousand dollars, and not less than one-third of the capital stock paid in. Such bonds shall be received by the Treasurer upon deposit, and shall be by him safely kept in his office, until they shall be otherwise disposed of, in pursuance of the provisions of this Title. See Act of June 20, 1874, § 4, post; Act of July 12, 1882, §§ 8, 10, post. 1. A national bank has the equitable, if not the legal, interest in the securities transferred or delivered to the United States Treasurer under this section, subject to their disposal, or the disposal of so much of them as may be necessary for the redemption of the circulating notes of the banks; and this residuary interest the bank may, in the ordinary course of its business before the appointment of any receiver, assign for a proper consideration. Per HALL, J. Van Antwerp v. Hulburd, 8 Blatchf. 282, Fed. Cas. No. 16,827. 2. The residuary interest of the bank in the securities thus pledged, if not assigned by the bank before the appointment of a receiver, is necessarily a part of the assets of the bank; the same as though such securities had been pledged to a private person as collateral security for the payment of an ordinary commercial debt; and a properly appointed receiver, as the representative of the bank, has the right to demand and receive the property so pledged as an asset of the bank, in the one case the same as in the other. Id. 3. Until the moneys representing such residuary interest are legally transferred from the Treasurer to the receiver, they are in the possession of the Treasurer, as the officer of the United States, as the holder of a pledge for the bank. Id. § 5160. [U. S. Comp. Stat. 1901, p. 3469.] The deposit of bonds made by each association shall be increased as its capital may be paid up or increased, so that every association shall at all times have on deposit with the Tresurer registered United States bonds to the amount of at least one-third of its capital stock actually paid in. And association that may desire to reduce its capital or to close up its business and dissolve its organization, may take up its bonds upon returning to the Comptroller its circulating notes in the proportion hereinafter required, or may take up any excess of bonds beyond one any third of its capital stock, and upon which no circulating notes have been delivered. See Act of July 12, 1882, §§ 8 and 10, post. § 5161. [U. S. Comp. Stat. 1901, p. 3469.] To facilitate a compliance with the two preceding sections, the Secretary of the Treasury is authorized to receive from any association, and cancel, any United States coupon bonds, and to issue in lieu thereof registered bonds of like amount, bearing a like rate of interest, and having the same time to run. § 5162. [U. S. Comp. Stat. 1901, p. 3470.] All transfers of United States bonds, made by any association under the provisions of this Title, shall be made to the Treasurer of the United States in trust for the association, with a memorandum written or printed on each bond, and signed by the cashier, or some other officer of the association making the deposit. A receipt shall be given to the association, by the Comptroller of the Currency, or by a clerk appointed by him for that purpose, stating that the bond is held in trust for the association on whose behalf the transfer is made, and as security for the redemption and payment of any circulating notes that have been or may be delivered to such association. No assignment or transfer of any such bond by the Treasurer shall be deemed valid unless countersigned by the Comptroller of the Currency. § 5163. [U. S. Comp. Stat. 1901, p. 3470.] The Comptroller of the Currency shall keep in his office a book in which he shall cause to be entered, immediately upon countersigning it, every transfer or assignment by the Treasurer of any bonds belonging to a national banking association presented for his signature. He shall state in such entry the name of the association from whose account the transfer is made, the name of the party to whom it is made, and the par value of the bonds transferred. § 5164. [U. S. Comp. Stat. 1901, p. 3470.] The Comptroller of the Currency shall, immediately upon countersigning and entering any transfer or assignment by the Treasurer of any bonds belonging to a national banking association, advise by mail the association from whose accounts the transfer is made, of the kind and numerical desig nation of the bonds, and the amount thereof so transferred. § 5165. [U. S. Comp. Stat. 1901, p. 3470.] The Comptroller of the Currency shall have at all times, during office hours, access to the books of the Treasurer of the United States, for the purpose of ascertaining the correctness of any transfer or assignment of the bonds deposited by an association presented to the Comptroller to countersign; and the Treasurer shall have the like access to the book mentioned in section fifty-one hundred and sixty-three during office hours, to ascertain the correctness of the entries in the same; and the Comptroller shall also at all times have access to the bonds on deposit with the Treasurer to ascertain their amount and condition. § 5166. [U. S. Comp. Stat. 1901, p. 3471.] Every association having bonds deposited in the office of the Treasurer of the United States shall, once or oftener in each fiscal year, examine and compare the bonds pledged by the association with the books of the Comtroller of the Currency and with the accounts of the association and if they are found correct, to execute to the Treasurer a certificate setting forth the different kinds and the amounts thereof, and that the same are in the possession and custody of the Treasurer at the date of the certificate. Such examination shall be made at such time or times, during the ordinary business hours, as the Treasurer and the Comptroller, respectively, may select, and may be made by an officer or agent of such association, duly appointed, in writing, for that purpose; and his certificate, before mentioned, shall be of like force and validity as if executed by the president or cashier. A duplicate of such certificate, signed by the Treasurer, shall be retained by the association. § 5167. [U. S. Comp. Stat. 1901, p. 3471.] The bonds transferred to and deposited with the Treasurer of the United States, by any association, for the security of its circulating notes, shall be held exclusively for that purpose, until such notes are redeemed, except as provided in this Title. The Comptroller of the Currency shall give to any such association powers of attorney to receive and appropriate to its own use the interest on the bonds which it has so transferred to the Treasurer; but such powers shall become inoperative whenever such association fails to redeem its circulating notes. Whenever the market or cash value of any bonds thus deposited with the Treasurer |