2000 Minnesota Statutes

     48.08 Directors and officers, restricted use of bank 
  funds; dealings with bank. 

    No director, officer or employee shall, directly or 
 indirectly, in any manner, use the funds of the bank, or any 
 part thereof, except in its regular business transactions, and 
 every loan made to any of its directors, officers, employees, or 
 agents shall be upon the same security required of others and in 
 strict conformity to its rules and regulations.  Every such 
 loan, or line of credit for a stated amount and not to run for 
 more than one year, shall be authorized in advance by the board 
 and acted upon in the absence of the applicant, except that a 
 loan to a director, officer, or employee for an amount which 
 will not increase such a liability to exceed the greater of (a) 
 $25,000 or (b) five percent of the bank's capital and unimpaired 
 surplus or $500,000, whichever is less, may be made without 
 previous approval but shall be acted upon by the board at the 
 next succeeding regular meeting.  No cashier or other officer or 
 employee of a bank shall sell to the bank, directly or 
 indirectly, any mortgage, bond, note, stock, or other security 
 without the written approval of the board of directors, filed in 
 the office of the bank or embodied in a resolution adopted by 
 the board.  A copy of this written approval or resolution shall 
 immediately be sent to the commissioner of commerce. 

    HIST: (7673) RL s 2989; 1925 c 305 s 1; 1957 c 601 s 8; 1965 c 
 171 s 8; 1980 c 399 s 1; 1984 c 576 s 9