TITLE 19
Financial institutions
CHAPTER 19-5
Credit Unions
SECTION 19-5-17
§ 19-5-17 Compensation or loans to
officers.
(a) No member of the board of directors or member of either the credit or
supervisory committee shall directly or indirectly borrow from or become surety
for any loan or advance made by the credit union, except that any member of the
board of directors or any member from either of the committees may borrow from
the credit union up to the amount of shares and deposits pledged for the loan
or upon prior authorization and approval by the board of directors.
(b) Any credit union may pay to each of the members of the
board of directors, credit committee, and supervisory committee for his or her
services as a member of the board or committee(s) a sum that may from time to
time be fixed by the members at an annual meeting. No officers, directors or
employees may receive any other compensation or fee for services provided to
the credit union beyond their compensation as officers, directors, and/or
employees.
(c) The director or the director's designee shall promulgate
regulations relating to loans to officers and directors of credit unions. The
regulations shall provide for limitations and requirements similar to federal
regulations governing loans to officers and directors of financial institutions.
History of Section.
(P.L. 1995, ch. 82, § 43.)
