524.818  Indebtedness of state bank.

A state bank may borrow money or otherwise contract indebtedness for necessary expenses in managing and transacting its business, to maintain proper cash reserves, and for other corporate purposes, provided, however, the superintendent may prohibit or place restrictions upon money borrowed or other indebtedness which would, in the superintendent's judgment, constitute an unsafe or unsound practice in view of the condition and circumstances of the state bank. Nothing contained in this section shall limit the right of a state bank to issue capital notes or debentures pursuant and subject to the provisions of section 524.404.

Section History: Early form

  [S13, § 1889-j; C24, 27, 31, 35, 39, § 9297; C46, 50, 54, 58, 62, 66, § 532.14; C71, 73, 75, 77, 79, 81, § 524.818]


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