Sec. 3903.
(1) The board of directors shall require every employee involved in the handling of money, accounts, or securities of the bank to be bonded by a surety company authorized to do business in this state in an amount determined by the board. The bank shall pay for any surety bonds required of its employees.
(2) Every bank shall maintain a financial institution bond sufficient to protect against loss. If a bank refuses to comply with this requirement, the commissioner may contract for the bond and charge the cost to the bank. If the charge is not paid, the commissioner may collect the charge in an action instituted by the attorney general.
History: 1999, Act 276, Eff. Mar. 1, 2000
Structure Michigan Compiled Laws
Chapter 487 - Financial Institutions
Act 276 of 1999 - Banking Code of 1999 (487.11101 - 487.15105)
276-1999-3 - Chapter 3 Bank Organization and Structure (487.13101...487.13913)
276-1999-3-9 - Part 9 Administration (487.13901...487.13913)
Section 487.13901 - Repayment of Deposits.
Section 487.13902 - Compliance Review Committee.
Section 487.13903 - Surety Bond.
Section 487.13904 - Indemnification.
Section 487.13905 - Indemnification; Expenses and Amounts.
Section 487.13906 - Director, Officer, Employee, or Agent as Party to Action; Reimbursement.
Section 487.13907 - Other Rights to Indemnification or Advancement; Limitation.
Section 487.13908 - Liability Insurance or Trust Fund.
Section 487.13910 - Definitions; Person Acting in Best Interests of Bank or Shareholders.
Section 487.13912 - Attachment or Execution.
Section 487.13913 - Action Taken or Event Occurring on or Before November 29, 1995.