Section 28-6.1-9-10 - Loans or discounts on security and purchase or holding of bank's own capital stock(a) A stock savings bank may not: (1) make a loan or discount on the security of the shares of its own capital stock; or(2) be the purchaser or holder of shares of its own capital stock; unless the security or purchase is necessary to prevent loss under a debt previously contracted in good faith.
(b) Stock that may be purchased or acquired under subsection (a) shall be sold or disposed of within six (6) months from the time of its purchase at public or private sale, unless otherwise ordered by the department.As added by P.L. 42-1993, SEC.72.