9-1115.   Officers of bank or trust company; election; term; bond;forfeiture of office.(a) The board of directors may elect a chairperson and shall elect apresidentfrom its members and shall elect one or more vice-presidents, a secretaryand a cashier. The office of president and cashier shall not be filled bythe same person. Such officers shall hold their offices for a term of notto exceed one year and until their successors are elected and qualified.

      (b)   The board of directors shall require all officers and employeeshaving thecare or handling of the funds of the bank or trust company to give agood and sufficientbond to be executed by an approved corporate surety authorized to dobusiness in this state. The amount and form of the bond shallbe approvedby the board of directors of the bank or trust company. The costs of such bonds shallbe paid by the bank or trust company.Proof of current bond coverage shall beprovided to the commissioner.

      (c)   Any officer of any bank or trust company who shall become indebtedto suchbank or trust company on any judgment or whose indebtedness is charged off or forgiven shallforfeit the office and the board of directors shall fill the vacancy.

      History:   L. 1947, ch. 102, § 44; L. 1961, ch. 64, § 1; L.1973, ch. 47, § 1; L. 1989, ch. 48, § 28;L. 1992, ch. 33, § 1;L. 1996, ch. 31, § 1; July 1.