Revised Code of Washington - RCW Title 32 Mutual Savings Banks - Section 32.32.525 Prohibition on certain securities and purchases -- Exception

§ 32.32.525. Prohibition on certain securities and purchases -- Exception

After July 26, 1981, no converted savings bank may make any loan or discount on the security of its own capital stock, nor be the purchaser or holder of any such shares, unless the security or purchase is necessary to prevent loss upon a debt previously contracted in good faith, in which case the stocks so purchased or acquired shall be sold at public or private sale, or otherwise disposed of, within six months from the time of its purchase or acquisition. The prohibitions of this section do not apply to a purchase of shares approved by the director pursuant to RCW 32.32.210.

[1994 c 92 § 405; 1983 c 44 § 4; 1981 c 85 § 104.]

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Last modified: April 7, 2009