292 BOARD OF AGRICULTURE. [Pub. Doc. 



mittee on loans of five members, an auditing committee of three members, 

 and such other officers, committees and agents as the bj'^-laws may au- 

 thorize. The clerk, treasui'er, board of directors, and auditing committee 

 shall be elected annually by ballot by the shareholders. The president, 

 vice president, and committee on loans shall be elected annually by ballot 

 by the board of directors. The president and vice president shall be chosen 

 from the board of directors. Two thirds of the members of the board of 

 directors shall be shareholders, and the remainder shall be borrowers from 

 the bank who are not shareholders, if there is a sufficient number of such 

 borrowers. All officers and the members of the auditing conunittee shall 

 be shareholders. All officers and directors of the corporation shall be resi- 

 dents of the commonwealth and shall be elected for a term of one year 

 and until their successors are duly elected and qualified. The manner 

 of choosing or of appointing all other officers, committees, and agents, and 

 of filling all vacancies shall be prescribed by the by-laws, and, in default 

 of such by-law, vacancies may be filled by the boai'd of directors, except 

 vacancies in the auditing committee. 



POWEES AND DUTIES OF DIRECTORS AND OFFICERS. 



Section 8. The board of directors shall exercise all the powers of the 

 corporation, except as is otherwise provided by law or by the by-laws of 

 the corporation. A bank may, in its by-laws, provide for an executive com- 

 mittee to be elected by and from its board ot directors. To such com- 

 mittee may be delegated the management of the current and ordinary 

 business of the bank, and such other duties as the by-laws may prescribe. 

 The duties of the officers shall be defined in the by-laws. Officers of the 

 bank shall be sworn to the faithful discharge of their duties. The treasurer 

 shall be required, and any other officer entrusted with the property of the 

 bank may be required, to give a bond in such sum and with such sureties 

 as the bj^-laws may prescribe. The clerk shall record all votes of the cor- 

 poration in a book to be kept for that purpose. 



COMMITTEE ON LOANS. 



Section 9. The committee on loans shall approve in writing an appli- 

 cation for a loan before the same shall be granted. Every application for 

 a loan shall be made in writing and shall state the purpose for which the 

 loan is desired. No loan shall be made, except as is hereinafter provided, 

 unless the committee on loans is satisfied that it tends to benefit the bor- 

 rower and to develop agricultural resources, nor unless it has received the 

 approval in writing of a majority of the members of the committee, who 

 shall certify after an examination that in their best judgment the loan to 

 be made does not exceed fifty per cent of the value of the property. An 

 applicant for a loan which has been refused by the committee on loans 

 may appeal to the board of directors, who are hereby given authority to 

 approve and authorize loans on appeal from the committee. 



