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than five hundred dollars, and in any such case, whether or not there be a prosecution for such misdemeanor, the auditor, upon being satisfied of the facts, shall publish by at least two insertions in a paper of general circulation in the county in which there was such attempt, an advertisement of the fact that such company is not entitled to exercise the powers and rights mentioned in section one, or entitled to the benefit of the provisions of section five, as the case may be. (Acts 1919, c. 80.)

§ 7. What companies may become sureties. No company which may be engaged in the banking business, by receiving money on deposit subject to check, or which may act as trustee or fiduciary, shall be accepted as surety on any bond or undertaking required in any of the courts of this state, or shall become surety or guarantor for any individual, firm or corporation, for the faithful discharge of duty in any position, or for the performance of any contract, except as provided in section one of this chapter. (Acts 1919, c. 80.)

§ 8. Examination by banking commissioner. All companies operating under sections one, two, three, four, five, six, seven and eight of this chapter shall be subject to an examination by the commissioner of banking, as provided for by the laws of the state of West Virginia. (Acts 1919, c. 80.)

§ 9. Powers of surety and guaranty companies.-Every company which may have been heretofore or which may hereafter be incorporated under the laws of this state for the purpose of insuring owners of and other persons interested in real estate against loss by reason of defective titles, liens and encumbrances or for the purpose of guaranteeing the fidelity of any person holding a position of public or private trust, or for guaranteeing the performance of any contract, or for insurance of any kind, other than upon the life of any person, or against loss by fire, shall have the power and right:

(1) To make insurance of every kind pertaining to, or connected with, titles to real estate, and notwithstanding the provisions of section three of chapter fifty-two of the code of this state, as amended by section one of chapter thirty-five of the acts of one thousand nine hundred and one, or any other provisions of

such code, to buy, sell and guarantee bonds, stocks, loans, and evidences of indebtedness, whether of persons or corporations, and make, execute and perfect such and so many contracts, agreements, and other instruments as may be required therefor.

(2) To examine titles to real property and chattels real, to procure and furnish information in relation thereto, and to make and guarantee the correctness of searches for all instruments, liens or charges affecting real or personal property.

(3) To act as agent for the purpose of issuing, registering or countersigning, purchasing or selling, the certificates of stock, bonds, or other obligations of any corporation, association, county, school district, magisterial district or municipality, state or publie authority, and to receive or manage any sinking fund thereof, on such terms as may be agreed upon.

(4) To make insurance for the fidelity of persons holding positions of responsibility and trust.

(5) To become sole surety in any case where by law one or more sureties may be required for the faithful performance of any trust, office, duty, action or engagement.

(6) To take by purchase or otherwise and receive and hold money and all such pieces of real property as may have been or may hereafter be the subject of any insurance or security for any loan made by said company under the powers conferred by its certificate of incorporation and to convey and dispose of the same in any manner which it may deem proper.

(7) To act as surety for the faithful performance of any contract entered into with any person, firm or municipality, or other corporation, or with any state or government or public authority, by any person or persons, corporation or corporations.

(8) To become sole surety for the faithful performance of the duties of any national, state, county or municipal officer, or employee, and to execute such bonds or recognizances as may be required by law in such cases.

(9) To become surety upon any writ of error, supersedeas or appeal, or in anv proceedings instituted in any court of this state or of the United States held within this state, in which security may be required.

(10) To become surety for the faithful performance of the duties of any clerk, officer or employee of any corporation, firm or individual.

(11) To issue policies of insurance against loss from any cause, other than by the death of any person or by fire.

(12) For the purpose of indemnifying and saving harmless any company executing any bond or policy under the provisions of this act, such company is authorized to receive and hold on deposit and in trust as security, estates, real and personal, including the notes, bonds and obligations of states, counties or municipal corporations, individuals, firms, or corporations, and the same to purchase, collect and adjust, settle and dispose of, in case of default upon, or loss under, such bond or policy for which such property has been received as indemnity, or as collateral security, without proceedings at law or in equity, and for such price and upon such terms as may be agreed upon between such company and those persons making such deposits or creating such trusts.

(13) To become surety for the payment of all damages that may be assessed and directed to be paid for lands or property taken in the building of any railway, or for the purpose of any railway, or for the opening of streets or roads, or for any purpose whatever where land or other property is authorized by law to be taken.

(14) To stipulate, provide for and take indemnity from persons, firms or corporations for whom such company shall so become surety, and enforce any bond, contract agreement, pledge, or other security, made or given for that purpose. (Acts 1919, c. 80.)

§ 10. Examination of surety company by court or boards; bond required. Whenever any company, wherever incorporated, is offered as surety to any court, or the clerk thereof, or to any board upon which is devolved by law the duty of approving such bond, the said court, or board, may at its discretion, upon the application of any person interested, appoint a suitable person to investigate the affairs and management of the company so offered, who shall report to such court or board the manner in which the investments of such company are made and the security offered to those by or for whom its engagements are held; and the expenses of such investigation shall be defrayed by the applicant, unless the investigation shall show the last semi-annual statement of the company, as provided for in section twelve of

this chapter, to be false and misleading, in which case the expenses of such investigation shall be borne by the company. If at any time it shall be made to appear to such court or board by any person interested that the insurance commissioner of this state has revoked the authority of such company to act as such surety on bonds in this state, or that such company has lawfully withdrawn from the business of becoming surety on bonds in the state, or is in process of liquidating its surety business in this state, or is in the hands of a receiver, then it shall be the duty of such court or board, upon the application of the principal, said surety, or any person in interest, to require any person who has given such bond to execute a new bond within a reasonable time, not exceeding sixty days from the date of service of such order as hereinafter provided, as such court or board may fix by order entered of record, the penalty of which bond shall be fixed by said court or board, and a copy of such order shall be served upon the principal in such bond, if such principal be a resident of this state, but if he be a non-resident, or if the return of an officer of the county in which such principal last resided i nthis state shows that he is not found, then a copy of such order shall be published once a week for two successive weeks in some newspaper of general circulation in the county in which such bond was given and such order shall also be posted at the front door of the court house of said county. It shall then be the duty of such principal, within the period of time fixed by such order, to give such new bond with surety or sureties as required by law. If such bond be not given within sixty days, or other period fixed in said order, from the date of service, or from the date of the last publication, as the case may be, of such order, then such court or board shall, in the case of all bonds, except bonds given by some state, county, district or municipal officer, and may in its discretion in the case of bonds given by any state, county, district or municipal officer, enter an order terminating the authority of such principal to perform any duties or exercise any powers in connection with which such bond was given and from and after the entry of said order terminating authority, no new liability shall accrue under said bonds. Any unearned premium shall be refunded by such company upon the entry of said order. The costs of any proceedings under this section shall be paid by any person or persons in interest as such

court or board may order, except the costs of inspection herein above provided for. (Acts 1919, c. 80.)

§ 11. Oath as surety. Whenever any company is offered as surety to any court or clerk thereof, the president, vice-president, secretary or treasurer of such company shall, either in person before such court or clerk, or before any officer authorized to administer an oath or affirmation, take the oath or make the affirmation required by law to be made by any such surety. (Acts 1919, c. 80.)

§ 12. Certificate, deposit and statement required from surety company. No company incorporated under sections nine, ten, eleven, twelve, thirteen, fourteen, fifteen, sixteen and seventeen of this chapter shall exercise any such power or right as is mentioned in the first, second, third, fourth, fifth, sixth, seventh, eighth, ninth, tenth, eleventh, twelfth thirteenth and fourteenth clauses of section nine of this chapter until there has been filed with the secretary of state a duly authenticated certificate showing the capital of such company to be at least two hundred and fifty thousand dollars, fully paid and unimpaired, and unless there be on deposit with the auditor of the state, to secure the faithful performance of its obligations, at least twenty per centum of its paid up capital in cash, or bonds, of the United States, or bonds of some county, magisterial district, school district, independent school district or municipal corporation in the state of West Virginia, or the bonds of some railroad corporation organized under the laws of the state of West Virginia and operated in said state, to be approved by the board of public works; the interest accruing on such bonds or securities so deposited to be received by the company making such deposit. But such deposit shall not be less than fifty thousand dollars and need not exceed seventy-five thousand dollars in any case. And such duly authenticated certificate shall be filed with the secretary of state in the month of January of every year thereafter. The said board of public works shall from time to time as often as deemed necessary, investigate all such deposits and if, in the opinion of the board, any such deposit does not comply with the requirements of this act, the company making the same shall not exercise any such power or right as mentioned in section one until it shall

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