ALBERT C. RITCHIE, GOVERNOR. 447

SEC. 486. Whenever an association organized under this
Act, shall purchase the business of another corporation, asso-
ciation, partnership or person it may pay for the same in whole
or in part by issuing to the selling corporation, association,
partnership or person certificates of indebtedness or shares of
its capital stock to an amount, which at par value would equal
the fair market value of the business purchased, and in
such case the transfer to the association of such business at
such valuation shall be equivalent to payment in cash for the
shares of stock so issued. In any such transaction, the direc-
tors of the purchasing association are authorized to hold the
shares in trust for the vendor and to dispose of the same to
such persons and within such time as may be mutually satisfac-
tory to the parties in interest, and to pay the proceeds thereof
as currently received to the vendor.

SEC. 487. Certificates of stock shall not be issued to any
subscriber until fully paid. In an association organized without
capital stock, no certificate of membership shall be issued to any
person until such person has paid in full the membership fee.

SEC. 488. At any regular or special meeting legally called,
a written vote received by mail from any absent member, and
signed by him may be read in such meeting and shall be
equivalent to a vote of the member so signing; provided, that
he has been previously notified in writing of the exact motion
or resolution upon which such vote is taken; and a copy of
the same is forwarded with the same and attached to the vote
so mailed by him. Such vote by mail however, shall not be
counted in computing a quorum.

SEC. 489. Any association organized under this act shall
state in its by-laws the number or per centage of the mem-
bers necessary in order to constitute a quorum.

SEC. 490. a. The directors in any association organized with
capital stock shall annually apportion the next profits, if any,
by first setting aside at least ten per cent, thereof for a reserve
fund until such a fund equals thirty per cent of the paid-up
common stock, and, thereafter the directors may set aside such
an amount for a reserve fund as they see fit or may set aside
none, in their discretion. The directors may then set aside
out of the net profits such sums as they deem desirable for
capital expenditure, subject to the approval of the stockholders
as provided in sub-section (b) of this section. The directors