Home Table of Contents

§ 3-304. Disposition of outstanding capital stock

West's Annotated Code of MarylandFinancial Institutions

West's Annotated Code of Maryland
Financial Institutions
Title 3. Banking Institutions--Commercial Banks
Subtitle 3. Capital Stock; Surplus Requirements; Stockholders (Refs & Annos)
MD Code, Financial Institutions, § 3-304
§ 3-304. Disposition of outstanding capital stock
Currentness
In general
(a) Except as necessary to prevent a loss on a loan previously made in good faith, a commercial bank may not:
(1) Make any loan secured by any of its outstanding capital stock; or
(2) Buy or hold any of its outstanding capital stock.
Sale of outstanding capital stock
(b) If a commercial bank buys or holds any of its outstanding capital stock, the commercial bank shall sell the stock at public or private sale within:
(1) 1 year after the date of acquisition; or
(2) Any longer period that the Commissioner authorizes.

Credits

Added by Acts 1980, c. 33, § 2, eff. July 1, 1980. Amended by Acts 1996, c. 326, § 2, eff. July 1, 1996.
Formerly Art. 11, § 80.
MD Code, Financial Institutions, § 3-304, MD FIN INST § 3-304
Current through legislation effective through May 9, 2024, from the 2024 Regular Session of the General Assembly. Some statute sections may be more current, see credits for details.
End of Document