Article 10a.--FEDERAL HOME LOAN BANK MEMBERS; SAVINGS AND LOAN ASSOCIATIONS
17-10a02.Powers of members or borrowers.
Building and loan associations, and other institutions eligible under
the federal home loan bank act to become members of a federal home loan
bank, or to borrow money therefrom, may, when authorized by the bank, act
as agents for such bank in the collection of interest, and amortization or
installment payments, as the same become due on collateral pledged to said
bank.
The federal home loan bank may agree with a member or borrower that
after making current payments of interest or installments on their
indebtedness to such bank, any balance of funds so collected may be used in
the transaction of their regular or customary business. Such an arrangement
between the federal home loan bank and a member or borrower shall not be
construed as in any way affecting or invalidating the lien of the bank upon
uncollected balances due on securities pledged as collateral.
Any officer, director, trustee, attorney, or agent of a building and
loan association, or other borrower, acting as agent for a federal home
loan bank in the collection of interest, amortization, or installment
payments on collateral deposited with said bank, who shall apply the
proceeds of such collections otherwise than as provided in the agreement
with the bank, shall be deemed guilty of embezzlement, and subject to the
punishment provided by the laws of this state for that offense.
Article 10a.--FEDERAL HOME LOAN BANK MEMBERS; SAVINGS AND LOAN ASSOCIATIONS
17-10a02.Powers of members or borrowers.
Building and loan associations, and other institutions eligible under
the federal home loan bank act to become members of a federal home loan
bank, or to borrow money therefrom, may, when authorized by the bank, act
as agents for such bank in the collection of interest, and amortization or
installment payments, as the same become due on collateral pledged to said
bank.
The federal home loan bank may agree with a member or borrower that
after making current payments of interest or installments on their
indebtedness to such bank, any balance of funds so collected may be used in
the transaction of their regular or customary business. Such an arrangement
between the federal home loan bank and a member or borrower shall not be
construed as in any way affecting or invalidating the lien of the bank upon
uncollected balances due on securities pledged as collateral.
Any officer, director, trustee, attorney, or agent of a building and
loan association, or other borrower, acting as agent for a federal home
loan bank in the collection of interest, amortization, or installment
payments on collateral deposited with said bank, who shall apply the
proceeds of such collections otherwise than as provided in the agreement
with the bank, shall be deemed guilty of embezzlement, and subject to the
punishment provided by the laws of this state for that offense.
Article 10a.--FEDERAL HOME LOAN BANK MEMBERS; SAVINGS AND LOAN ASSOCIATIONS
17-10a02.Powers of members or borrowers.
Building and loan associations, and other institutions eligible under
the federal home loan bank act to become members of a federal home loan
bank, or to borrow money therefrom, may, when authorized by the bank, act
as agents for such bank in the collection of interest, and amortization or
installment payments, as the same become due on collateral pledged to said
bank.
The federal home loan bank may agree with a member or borrower that
after making current payments of interest or installments on their
indebtedness to such bank, any balance of funds so collected may be used in
the transaction of their regular or customary business. Such an arrangement
between the federal home loan bank and a member or borrower shall not be
construed as in any way affecting or invalidating the lien of the bank upon
uncollected balances due on securities pledged as collateral.
Any officer, director, trustee, attorney, or agent of a building and
loan association, or other borrower, acting as agent for a federal home
loan bank in the collection of interest, amortization, or installment
payments on collateral deposited with said bank, who shall apply the
proceeds of such collections otherwise than as provided in the agreement
with the bank, shall be deemed guilty of embezzlement, and subject to the
punishment provided by the laws of this state for that offense.