§ 7A-112. Investment of funds in clerk's hands. - North Carolina Statutes

§ 7A‑112.  Investment of funds in clerk's hands.

(a)        The clerk of the superior court may in his discretion investmoneys secured by virtue or color of the clerk's office or as receiver in anyof the following securities:

(1)        Obligations of the United States or obligations fullyguaranteed both as to principal and interest by the United States;

(2)        Obligations of the State of North Carolina;

(3)        Obligations of North Carolina cities or counties approved bythe Local Government Commission; and

(4)        Shares of any building and loan association organized underthe laws of this State, or of any federal savings and loan association havingits principal office in this State, and certificates of deposit for timedeposits or savings accounts in any bank or trust company authorized to dobusiness in North Carolina, to the extent in each instance that such shares ordeposits are insured by the State or federal government or any agency thereofor by any mutual deposit guaranty association authorized by the Commissioner ofBanks of North Carolina to do business in North Carolina pursuant to Article 7Aof Chapter 54 of the General Statutes. If the clerk desires to deposit in abank, saving and loan, or trust company funds entrusted to the clerk by virtueor color of the clerk's office, beyond the extent that such deposits areinsured by the State or federal government or an agency thereof or by anymutual deposit guaranty association authorized by the Commissioner of Banks ofNorth Carolina to do business in North Carolina pursuant to Article 7A ofChapter 54 of the General Statutes, the clerk shall require such depository tofurnish a corporate surety bond or obligations of the United States orobligations fully guaranteed both as to principal and interest by the UnitedStates or obligations of the State of North Carolina, or of counties andmunicipalities of North Carolina whose obligations have been approved by theLocal Government Commission.

(b)        When money in a single account in excess of two thousanddollars ($2,000) is received by the clerk by virtue or color of his office andit can reasonably be expected that the money will remain on deposit with theclerk in excess of six months from date of receipt, the money exceeding twothousand dollars ($2,000) shall be invested by the clerk within 60 days ofreceipt in investments authorized by this section. The first two thousanddollars ($2,000) of these accounts and money in a single account totaling lessthan two thousand dollars ($2,000), received by the clerk by virtue or color ofhis office, shall be invested, or administered, or invested and administered,by the clerk in accordance with regulations promulgated by the AdministrativeOfficer of the Courts. This subsection shall not apply to cash bonds or tomoney received by the clerk to be disbursed to governmental units.

(c)        The State Auditor is hereby authorized and empowered toinspect the records of the clerk to insure compliance with this section, and heshall report noncompliance with the provisions of this section to theAdministrative Officer of the Courts.

(d)        It shall be unlawful for the clerk of the superior court ofany county receiving any money by virtue or color of his office to apply orinvest any of it except as authorized under this section. Any clerk violatingthe provisions of this section shall be guilty of a Class 1 misdemeanor. (1931, c. 281, ss. 1‑3, 5; 1937, c. 188; 1939, cc. 86, 110; 1943,c. 543; 1971, c. 363, s. 9; c. 956, s. 1; 1973, c. 1446, s. 4; 1975, c. 496,ss. 1, 2; 1989, c. 76, s. 13; 1993, c. 539, s. 4; 1994, Ex. Sess., c. 24, s.14(c); 1993 (Reg. Sess., 1994), c. 656, s. 1; 2001‑193, s. 16.)