In re: http://classic.particracy.net/viewtreat ... atyid=2644
OOC: A continuation of the Charter of the Majatran Union http://classic.particracy.net/viewtreat ... atyid=2599
TITLE
A Treaty To provide for the establishment of the Bank of Majatra, to furnish an elastic currency, to afford means of rediscounting commercial paper, to establish a more effective supervision of banking among Union members, and for other purposes.
SECTION I. DEFINITIONS
Definition of "Bank"
Wherever the word "bank" is used in this Act, the word shall be held to include State bank, banking association, and trust company, except where the Bank of Majatra is specifically referred to.
Definitions of other terms
The terms "national bank" and "national banking association" used in this Treaty shall be held to be synonymous and interchangeable. The term "member bank" shall be held to mean any national bank, State bank, or bank or trust company which has become a member of one of the reserve banks created by this Treaty. The term "board" shall be held to mean Board of Governors of the Bank of Majatra; the term "district" shall be held to mean union bank district; the term "union bank" shall be held to mean Majatran union bank; the term "the Majatran Union" means the union members of the Majatran Union.
SECTION II. BANK OF MAJATRAN DISTRICTS
1. Establishment of districts
Each union member nation's central bank and the states, provinces, and populations under its jurisdictions shall function as "Districts" of the bank of Majatran. The Minister of Finance of each nation is by default the Governor of the union member's central bank and therefore the governor of the district and shall operate in the capacity as outlined by the laws of the union member nation and the mandates of the Bank.
SECTION III. THE BOARD OF GOVERNORS OF THE BANK OF MAJATRAN
The Board shall be comprised of the governors of the various districts as established by this Treaty. Said governors shall elect a chairman every ten years, the duties of whom will be to chair the meetings of the board and to serve as the executive authority in the enforcement and enactment of the regulations as proposed and passed by the Board.
SECTION IV. ESTABLISHMENT OF A COMMON CURRENCY
The common currency among union -member nations shall be the "Union" (Example: 100,000 unions have been transferred to Solentia for the purchase of goods from Zardugal)
The treaty consists of the following articles.
Article 1
The ratifiers acknowledge that with respect to:
The banking system.
The policy of their national government and law should be:
The government operates large, national banks, but small community based private banks are allowed.
or
The government operates a central bank and all other banks are private.