368.070. Limitation of powers. - Missouri Statutes

Limitation of powers.

368.070. No loan and investment company shall:

(1) Hold the obligation of any person, firm or corporationfor money borrowed, for an amount exceeding ten percent of thepaid-in capital stock of such loan and investment company, andits surplus and undivided profit combined. The provisions ofthis section shall not apply to loans secured by collateral solong as the market value of such collateral shall exceed bytwenty percent the total liabilities secured in each case by suchcollateral, but no loan on collateral shall at any time exceedtwenty percent of the paid-in capital stock of such loan andinvestment company and its surplus and undivided profitscombined.

(2) Make any loan under the provisions of this chapter for alonger period than eighteen months from the date thereof.

(3) Deposit any of its funds in any banking corporation,unless such corporation has been designated as such depositary bya vote of a majority of the directors or of the executivecommittee, exclusive of any director who is an officer, directoror trustee of the depositary so designated, present at anymeeting duly called at which a quorum is in attendance.

(RSMo 1939 § 5423, A.L. 1943 p. 502)

Prior revisions: 1929 § 4983; 1919 § 10193