16 THE CU B A RE V I EW 



a sworn petition to the National Banking Commission in which there shall be set 

 forth the following matters: (1) The name and surname of the applicant and of 

 the entity to which he belongs; (2) nationality, profession, citizenship, condition and 

 domicil of the applicant; (3) in the event that it is a corporation, whether foreign 

 or domestic; (4) whether the appHcant has or has not been indicted, and in the 

 affirmative case, for what crime; (5) names, profession and domicils of the partners, 

 indicating the authorized capital and amount subscribed, and in the case of corpora- 

 tions, the names, profession and domicils of the members of the Board of Directors 

 and of the stockholders, the authorized capital and the amount subscribed by each 

 one; (6) capital that will be used for the bank; (7) the name of the bank; (8) place 

 where the banking business is to be established; (9) an estimate of the total monthly 

 expenditures of the bank; (10) the amount set aside for reserves; (11) interest to 

 be paid to shareholders; (12) duration of the business; (13) nature and class of 

 operations to which the bank will devote itself; and (14) in the case of stock companies, 

 or regular or in commendam partnerships, the other requisites prescribed in articles 

 125, 145 and 151 of the Code of Commerce. The petitioner shall, in addition thereto, 

 be obliged to submit to the National Banking Commission all other data and detail 

 that it may request. 



117. Together with said petition private bankers will present a notarial affidavit 

 which shall contain all the above details, made up in the presence of a notary and 

 under his certification as to acquaintance with the party, their profession and other 

 descriptive data; and the managing partners or presidents and directors of corporations, 

 in the event that the bank is established by a mercantile company, shall present said 

 petitions and annex thereto the articles of incorporation of the company. 



118. Once said petition has been received at the National Banking Commission, 

 it shall order that the same be published at the cost of the petitioner in a newspaper 

 of the place where the bank is to be established, and in the Official Gazette of the 

 Republic, during ten consecutive days, in order that the persons or entities that desire 

 to oppose the same or to make objections to the establishment of the bank may do so 

 in writing addressed to the Commission, within sixty days counted from the last pub- 

 lication of the petition. 



119. The Commission shall examine and investigate the truth of all matters set 

 forth in the petition, and shall open an investigation on the convenience of establishing 

 a bank in the city or locality in which it is to operate, and without any shadow of 

 doubt shall verify the fact as to the capital of the bank, in order that when it shall 

 commence its business, fifty per cent, of the same be totally paid up, the remainder 

 to be subscribed within a period of two years. The Commission, taking into con- 

 sideration said examination and verification, as well as the opposition or objections 

 referred to in the present and the preceding sections made with respect to the estab- 

 lishment of the bank, shall render a decision granting the authorization for the 

 establishment of the banking institution, if it appears that its establishment has been 

 duly justified, that the data of the petition are true, that the capital of the bank is 

 50 per cent, subscribed, that the opposition, if there be any, is lacking in reasons, 

 and that the bank will fill a need of the locality where it is desired to establish the 

 same. The Commission shall refuse the authorization for estabhshing the bank, in the 

 event that the above circumstances should not be present, i.e., that it does not appear 

 that its establishment is duly justified or that there is reasonable grounds to believe that 

 the projected bank will engage in business not legitimately a banking business; that 

 the data of the petition is untrue; that it does not appear that 50 per cent, of the 

 capital of the bank has been subscribed; that there is reasonable opposition; that 

 it is not worthy of the confidence of the place where it is to function, and that the 

 character and ability of the owners, directors, managers or stockholders of the bank 

 is not worthy of such confidence; that the public conveniences of the locality will 

 not be benefited by the establishment of a bank; that the name of the bank might 

 defraud the public insofar as regards its character or object, or that it is similar to 



