9-1112.Unlawful transactions.
(a) No bank shall buy, sell or trade tangible property as a business or
invest in the stock of another bank or corporation, except as specifically
authorized.
(b) No bank shall sell, give or purchase any instrument, contract,
security or other asset to or from any employee or to or from the bank's
parent
company or a subsidiary of the bank's parent company without prior approval
of the commissioner. Approval of the commissioner need not be obtained for
an assignment of third party loans and security for the payment thereof to
or from a subsidiary of the bank's parent company.
(c) No bank shall acquire or make a loan on its own shares of stock,
or the stock of the bank's parent company or a subsidiary of the bank's
parent company except as provided in subsection (d) or except as provided in
subsection (26) of K.S.A. 9-1101, and amendments thereto.
(d) A bank may hold or sell any property coming into its ownership in
the collection of debts. All such property except legal investments, shall
be sold within one year of acquisition, provided a
commercially reasonable sale can occur.
(e) If a commercially reasonable sale cannot occur within
one year, the bank shall not carry such property as a book asset,
except that the commissioner may authorize a bank to carry such property as a
book asset for a longer period.
History: L. 1947, ch. 102, § 41; L. 1975, ch. 44, § 18; L. 1981,
ch. 52, § 1;
L. 1985, ch. 56, § 3;
L. 1988, ch. 61, § 3;
L. 1990, ch. 59, § 1;
L. 1993, ch. 31, § 3;
L. 2001, ch. 36, § 1; July 1.
9-1112.Unlawful transactions.
(a) No bank shall buy, sell or trade tangible property as a business or
invest in the stock of another bank or corporation, except as specifically
authorized.
(b) No bank shall sell, give or purchase any instrument, contract,
security or other asset to or from any employee or to or from the bank's
parent
company or a subsidiary of the bank's parent company without prior approval
of the commissioner. Approval of the commissioner need not be obtained for
an assignment of third party loans and security for the payment thereof to
or from a subsidiary of the bank's parent company.
(c) No bank shall acquire or make a loan on its own shares of stock,
or the stock of the bank's parent company or a subsidiary of the bank's
parent company except as provided in subsection (d) or except as provided in
subsection (26) of K.S.A. 9-1101, and amendments thereto.
(d) A bank may hold or sell any property coming into its ownership in
the collection of debts. All such property except legal investments, shall
be sold within one year of acquisition, provided a
commercially reasonable sale can occur.
(e) If a commercially reasonable sale cannot occur within
one year, the bank shall not carry such property as a book asset,
except that the commissioner may authorize a bank to carry such property as a
book asset for a longer period.
History: L. 1947, ch. 102, § 41; L. 1975, ch. 44, § 18; L. 1981,
ch. 52, § 1;
L. 1985, ch. 56, § 3;
L. 1988, ch. 61, § 3;
L. 1990, ch. 59, § 1;
L. 1993, ch. 31, § 3;
L. 2001, ch. 36, § 1; July 1.
9-1112.Unlawful transactions.
(a) No bank shall buy, sell or trade tangible property as a business or
invest in the stock of another bank or corporation, except as specifically
authorized.
(b) No bank shall sell, give or purchase any instrument, contract,
security or other asset to or from any employee or to or from the bank's
parent
company or a subsidiary of the bank's parent company without prior approval
of the commissioner. Approval of the commissioner need not be obtained for
an assignment of third party loans and security for the payment thereof to
or from a subsidiary of the bank's parent company.
(c) No bank shall acquire or make a loan on its own shares of stock,
or the stock of the bank's parent company or a subsidiary of the bank's
parent company except as provided in subsection (d) or except as provided in
subsection (26) of K.S.A. 9-1101, and amendments thereto.
(d) A bank may hold or sell any property coming into its ownership in
the collection of debts. All such property except legal investments, shall
be sold within one year of acquisition, provided a
commercially reasonable sale can occur.
(e) If a commercially reasonable sale cannot occur within
one year, the bank shall not carry such property as a book asset,
except that the commissioner may authorize a bank to carry such property as a
book asset for a longer period.
History: L. 1947, ch. 102, § 41; L. 1975, ch. 44, § 18; L. 1981,
ch. 52, § 1;
L. 1985, ch. 56, § 3;
L. 1988, ch. 61, § 3;
L. 1990, ch. 59, § 1;
L. 1993, ch. 31, § 3;
L. 2001, ch. 36, § 1; July 1.