Guaranty Fund

Acts subjecting banks to assessments for a depositors’ guaranty fund to be applied to the payment of depositors of an insolvent bank. The Oklahoma acts provide an assessment of five per cent upon each bank’s average daily deposits, to be levied by the state banking board, and applied to the payment of depositors of any failed bank if its cash is not immediately available to pay Its depositors in full. If the fund be not sufficient, an additional assessment must be levied. A lien is reserved upon the assets of the falling bank to make good the sum thus taken from the fund. These acts were held valid as within the police power and as not depriving banks of their property without due process of law, or denying them the equal protection of the laws, or impairing the obligation of th^r charter contracts; Noble State Bank v. Haskell, 219 U. S. 104, 31 Sup. Ct. 186, 65 L. Ed. 112, 32 L. R. A. (N. S.) 1062, Ann. Cas. 1912A, 487, affirming id., 22 Okl. 48, 97 Pac. 590; id., 219 U. S. 575, 31 Sup. CL 299, 55 L. Ed. 341, refusing a rehearing. In Shallenberger v. Bank, 219 U. S. 114, 31 Sup. Ct. 189, 65 L. Ed. 117, a Nebraska act, creating a like fund and prohibiting banking except by corporations formed under the act, was held valid. A Kansas act was sustained In Assarla State Bank v. Dolley, 219 U. S, 121, 31 Sup. Ct. 189, 55 L. Ed. 123, and was held valid as against national banks in Abilene Nat. Bank v. Dolley, 228 U. S. 1, 33 Sup. Ct. 409, 57 L. Ed. 707.