375.360. Note not considered payment--not to loan when insolvent. - Missouri Statutes

Note not considered payment--not to loan when insolvent.

375.360. No note or obligation given by any stockholder,whether secured by deed of trust, mortgage or otherwise, shall beconsidered as payment of any part of the capital stock; and noloan of any money shall be made by any such company to anydirector, trustee, officer or agent thereof when such company isinsolvent, and the failure to collect such loans before thecompany shall have been adjudged insolvent shall be prima facieevidence of its insolvency at the time such loan was made; and ifany such loan shall be made, the persons making it, or who shallassent thereto, shall be jointly and severally liable to thecompany for the amount of such loan and the interest; provided,however, that this shall not apply to premium notes given bydirectors, trustees, officers or agents who are alsopolicyholders in such company, when given in the usual course ofbusiness of such company in issuing policies.

(RSMo 1939 § 6035)

Prior revisions: 1929 § 5924; 1919 § 6332; 1909 § 7063