9-1915.   Deposits or debts while insolvent; liability.It shall be unlawful for the president, director, managing officer,cashier or any other officer of any bank to assent to the reception ofdeposits or the creation of any debt by any bank after such person hasknowledge of the fact that such bank is insolvent. It hereby is made theduty of every such officer or managing officer to examine into the affairsof every such bank and know its condition if possible. Upon failure todischarge such duty such person shall be held to have had knowledge of theinsolvency of such bank or that it was in failing circumstances, for thepurposes of this act. Every person who shall violate the provisions of thissection shall be responsible individually for such deposits so received andall debts so contracted, except that any director or officer who may havepaid more than such person's share of the liabilities mentioned in thissection shall have the proper remedy at law against such other persons asshall not have paid their full share of such liabilities.

      History:   L. 1947, ch. 102, § 123; L. 1989, ch. 48, § 52; July 1.