524.531 Loaning on its own shares.
66 words·~1 min read·
/ia/chapter-524-banks/524-531A research copy — for the controlling text, always check the official state or federal source. Not legal advice.
A state bank shall not make any loan or extension of credit on the security of the shares of its own capital, unless such security is necessary to prevent loss upon a debt previously contracted in good faith.
[C97, §1850; S13, §1850; C24, 27, §9184; C31, 35, §9221-c2; C39, §9221.2; C46, 50, 54, 58, 62, 66, §528.9; C71, 73, 75, 77, 79, 81, §524.507]
CS95, §524.531