362.205. Account books, requirements--property, how carried. - Missouri Statutes

Account books, requirements--property, how carried.

362.205. 1. No bank or trust company shall by any system ofaccounting or any device of bookkeeping, directly or indirectly,enter any of its assets upon its books in the name of any otherindividual, partnership or corporation, or under any title ordesignation that is not truly descriptive thereof.

2. The bonds and other interest-bearing corporate securitiespurchased by a bank or trust company shall be entered on itsbooks at the actual cost thereof, and for the purpose ofcalculating the undivided profits applicable to the payment ofdividends the securities shall not be estimated at a valuationexceeding their present cost as determined by amortization, thatis, by deducting from the cost of the security purchased for asum in excess of the amount payable thereon at maturity, andcharging to profit and loss a sufficient sum to bring it to parat maturity, or adding to the cost of the security purchased atless than the amount payable thereon at maturity, and creditingto profit and loss a sufficient sum to bring it to par atmaturity.

3. No bank or trust company shall, except with the writtenapproval of the director, enter or at any time carry on its booksthe real estate and the building or buildings thereon or thefurniture and fixtures used by it at a valuation exceeding theiractual cost to the bank or trust company, or book value,whichever is less.

4. Every bank and trust company shall conform its methods ofkeeping its books and records to such orders in respect theretoas shall have been made and promulgated by the director pursuantto section 361.260, RSMo.

(RSMo 1939 § 7954, A.L. 1967 p. 445)

Prior revisions: 1929 § 5359; 1919 § 11742