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Sections 1 to 2812, inclusive, of "An Act concerning corporations," approved April 18, 1872, in force July 1, 1872;

"An Act to provide for changing the names, for changing the place of doing business, for increasing or decreasing the capital stock, for increasing or decreasing the number of directors, for enlarging or changing the objects for which such corporation were formed, and for the consolidation of incorporated companies," approved and in force March 26, 1873 (1872), as amended by an Act approved June 6, 1889, and in force July 1, 1889, insofar as said Act refers to any corporation or corporations other than railroads;

“An Act authorizing the changing of the number of directors of incorporated companies in certain cases," approved and in force May 22, 1877;

Section 7-a and section 7-b of "An Act to provide for the punishment of persons, co-partnerships or corporations forming pools, trusts and combinations and mode of procedure and rules of evidence in such cases." approved June 11, 1891, and in force July 1, 1891;

"An Act to amend an Act entitled, 'An Act concerning corporatons, approved April 18, 1872, and in force July 1, 1872, by providing for the dissolution of corporations organized or hereafter organized upon the stock plan thereunder by adding thereto four sections, to be numbered fifty, fifty-one, fifty-two and fifty-three, respectively," approved June 17, 1895, and in force July 1, 1895;

"An Act concerning real estate agency corporations," approved June 23, 1915, and in force July 1, 1915;

"An Act to regulate the admission of foreign corporations for profit to do business in the State," approved May 18, 1905, and in force July 1, 1905;

Sections 1, 2, 3, 4, 5, 6, 8 and 9 of "An Act requiring corporations to make annual reports to the Secretary of State and providing for cancellation of articles of incorporation for failure to do so, and to repeal a certain Act therein named," approved May 10, 1901, and in force July 1, 1901;

"An Act regarding fees for the incorporation and increase of capital stock of companies and corporations in this State," approved June 15, 1895, and in force July 1, 1895;

"An Act to provide for the incorporation of associations for the purpose of owning certain classes of real estate and defining and limiting the powers of such corporations," approved June 29, 1917, and in force July 1, 1917;

"An Act to provide for the incorporation of co-operative associations for pecuniary profit," approved May 31, 1887, in force July 1,

1887.

$155. Corporations organized hereunder for the purpose of constructing, maintaining and operating any elevated way or conveyor shall be subject to the provisions of:

"An Act in regard to elevated ways and conveyors," approved April 7, 1875, in force July 1, 1875, and amendments thereto;

Corporations organized hereunder for the purpose of accepting

and executing trusts shall be subject to the provisions of:

"An Act to provide for and regulate the administration of trust by trust companies," approved June 16, 1887, in force July 1, 1887, an amendments thereto.

Corporations organized hereunder for the purpose of building operating and maintaining within this State any levee, canal or tunn for agricultural, mining or sanitary purposes, shall be subject to th provisions of:

"An Act to enable the construction by incorporated companies o levees, canals and tunnels for agricultural, mining or sanitary pur poses," approved June 10, 1897, in force July 1, 1897, and amend ments thereto.

Corporations organized hereunder, in counties of over two hun dred and fifty thousand inhabitants, to loan money on pledges of goods chattels, and savings bank deposit books, commonly called pawners societies, shall be subject to the provisions of:

"An Act to provide for the incorporation, management and regu lation of pawners' societies and limiting the rate of compensation to b paid for advances, storage and insurance of pawns and pledges, and t allow the loaning of money upon personal property," approved March 29, 1899, in force July 1, 1899, and amendments thereto.

Corporations organized hereunder for the purpose of loaning money secured by assignment of wages shall be subject to the provisions of:

"An Act to provide for the incorporation, management and regu lation of wage loan corporations and to allow the loaning of money by such corporations secured by assignment of wages, and limiting the rate of compensation to be paid," approved June 20, 1913, in force July 1, 1913.

§ 156. The provisions of this Act, so far as they are the same as those existing statutes, shall be construed as a continuation thereof, and not as a new enactment; and a reference in a statute which has not been repealed, to provisions of law which have been revised and reenacted herein, shall be construed as applying to such provisions as so incorporated in this Act.

The repeal of a law by this Act shall not affect any act done, ratified or confirmed, or any right accrued or established, or any penalty incurred under the provisions of such law.

$157. If any clause, sentence, paragraph or part of this Act shall be adjudged by any court of competent jurisdiction to be invalid or unconstitutional, such judgment shall not affect, impair, invalidate or nullify the remainder of this Act, but the effect thereof shall be confined to the clause, sentence, paragraph, or part thereof immediately involved in the controversy in which such judgment or decree shall be rendered.

§ 158. Whenever commissioners licensed to open books of subscription to the capital stock of a proposed corporation to be organized under any law of this State shall desire to complete the organization of such company, they may proceed to do so in the same manner as provided by this Act, provided, they complete the organization of such

proposed corporation within the time specified by the Act under which such license was issued.

APPROVED June 28, 1919.

DEFECTIVE ORGANIZATIONS.

1. Certificate recorded after time limit-validated-exceptions.

(SENATE BILL No. 469. APPROVED JUNE 28, 1919.)

AN ACT to cure defective organizations of corporations organized under an Act entitled: "An Act concerning corporations," approved April 18, 1872, in force July 1, 1872, where the certificates of complete organizations have not been recorded in the office of the recorder of deeds, within the time specified.

SECTION 1. Be it enacted by the People of the State of Illinois, represented in the General Assembly: That in any case in which a corporation has been attempted to be organized under the Act of the General Assembly of this State, entitled, "An Act concerning corporations," approved April 18, 1872, and in force July 1, 1872, and Acts amendatory thereof, and a certificate of the complete organization of such corporation has been duly issued by the Secretary of State, and the corporation so attempted to be organized, and so certified by said certificate to have been completely organized, has thereupon proceeded to do business as a corporation within the period of two (2) years after the date of the license issued by the Secretary of this State for the organization of such corporation, and has continuously since been, and is at the date of the passage of this Act, purporting to transact business, and carry on its affairs as a corporation, and said certificate has been heretofore recorded in the office of the recorder of deeds of the county where the principal office of said company is located, as set forth in said certificate, but such certificate was recorded not prior, but subsequent, to the expiration of two years from the date of said license, such corporation is hereby made a valid, legal and fully organized corporation the same as if said certificate had been so recorded in said recorder's office within two years from the date of such license, and all the acts and transactions done by, and with, such corporation, are hereby made legal and binding; provided, however, that this Act shall not affect any liability of any officer, director, stockholder or agent of such corporation, incurred prior to the passage of this Act.

APPROVED June 28, 1919.

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ILLINOIS SECURITIES LAW-Continued.

Nature of statement to be filed
with the Secretary of State re-
lating to Class "C" securities.
Class "D" securities defined.
Statements to be filed relative to
Class "D" securities-detail of
information required--irrevoc-
able contract for issuer to re
ceive 80% of proceeds of sale
-summary statements-infor-
mation verified by officers of
issuer.

§ 23.

Secretary of State may prescrib and furnish forms.

§ 24.

§ 25.

Documents

filed in

office

Right of injunction-cause therefor.

Secretary of State open to in spection of the public.

§ 26.
$ 27.

Fees.

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Oaths to be administered by ar officer of the State of Illinois Additional copies of statements to be submitted on request of the Secretary of State.

Broker, etc. offering to sell securities without compliance with Act guilty of a misdemeanor-penalty.

Issuer offering to sell securities without compliance with Act guilty of a misdemeanorpenalty.

Person or corporation violating Act guilty of a misdemeanorpenalty.

False statements made by broker, etc. not authorized by issuer guilty of a misdemeanorpenalty.

Signing any statement, etc. knowing same to be false is prima facic evidence of knowledge of falsity—perjury— penalty.

Sale of securities with knowledge of the insolvency of the issuer makes party selling same guilty of embezzlementpenalty.

Any person interested may maintain action to recover money in excess of 20% not paid to is

suer.

Sale contrary to information filed, or on other terms is prima facie evidence of fraud

Every sale or contract for sale contrary to Act is void.

Act does not relieve corporations from making reports as required to be made under other existing laws.

Foreign corporations desiring to sell securities must comply with the law regulating admission of such corporations,

Every advertisement to bear a
caption-copy of advertise-
ment to be filed with Secretary
of State within ten days of
issue--no reference to be made
concerning compliance with
Act.

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$ 22.

Secretary of State to mail copy
of summary statements to any
one requesting same.

§ 41.

Invalidity of one provision or section does not affect remainder of Act.

ILLINOIS SECURITIES LAW-Concluded.

42. Acts repealed-certificate or evidence of compliance with law repealed not to be exhibitedcontractual obligations not impaired.

(HOUSE BILL No. 693.

§ 43. Emergency.

APPROVED JUNE 10, 1919.)

AN ACT, relating to the sale or other disposition of securities and providing penalties for the violation thereof and to repeal Acts in conflict therewith.

SECTION 1. Be it enacted by the People of the State of Illinois, represented in the General Assembly: This Act shall be known as "The Illinois Securities Law."

§ 2. The words and phrases used herein shall, unless the context otherwise indicates, have the following meaning:

The word "securities" shall include stocks, bonds, debentures, notes, participation certificates, certificates of shares or interest, preorganization certificates and subscriptions, certificates evidencing shares in trust estates or associations and profit sharing certificates.

The word "issuer" shall include every person and every company, trast, partnership or association incorporated or unincorporated herebefore or hereafter formed for any lawful purpose and organized under the laws of this State or any foreign state or country which shall have issued any security sold or offered for sale to any person or persons in this State.

The word "file" or "filing" within the meaning of this Act, shall mean the endorsement thereof by the Secretary of State on any statement or document received of the word "filed" followed by the month, day, year, and name of Secretary of State, for the purpose of showing that, in his opinion, the issuer, solicitor, agent, broker, dealer or owner as complied with the provisions of this Act.

§ 3. For the purposes of this Act securities are divided into four classes, as follows:

(1) Securities, the inherent qualities of which assure their sale and disposition without the perpetration of fraud, which shall be known as securities in Class "A";

(2) Securities, the inherent qualities of which, or in the nature of one or both parties to the sale thereof, assure their sale and disposition without the perpetration of fraud, which shall be known as securities in Class "B";

(3) Securities based on established income, which shall be known. as securities in Class "C";

(4) Securities based on prospective income, which shall be known as securities in Class "D".

§ 4. Securities in Class "A" shall comprise securities:

(1) Issued by a government or governmental agency, or by anyody having power of taxation or assessment;

(2) Issued by any National or State bank or trust company, building and loan association of this State, or insurance company organized

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