Sec. 10. (a) A stock savings bank may not:
(1) make a loan or discount on the security of the shares of its own capital stock; or
(2) be the purchaser or holder of shares of its own capital stock;
unless the security or purchase is necessary to prevent loss under a debt previously contracted in good faith.
(b) Stock that may be purchased or acquired under subsection (a) shall be sold or disposed of within six (6) months from the time of its purchase at public or private sale, unless otherwise ordered by the department.
As added by P.L.42-1993, SEC.72.
Structure Indiana Code
Title 28. Financial Institutions
Chapter 9. Lending Limitations of Savings Banks
28-6.1-9-1. "Capital and Surplus" and "Unimpaired Capital and Surplus" Defined
28-6.1-9-2. Loans and Extensions of Credit
28-6.1-9-6. Exceptions to Lending Limitations
28-6.1-9-8. Special Limits for Obligations Secured by Livestock or Dairy Cattle
28-6.1-9-9. Extensions of Credit to Officers, Directors, Trustees, and Principal Shareholders
28-6.1-9-10. Loans or Discounts on Security and Purchase or Holding of Bank's Own Capital Stock
28-6.1-9-11. Conformity With Lending Limitations; Sanctions
28-6.1-9-14. Application of Federal Regulations
28-6.1-9-15. Receiving Fees, Commissions, Gifts, or Things of Value; Violation