Loans to Officers, Directors, and Employees; Restriction and Limitation.
Section 17
SEC. 17. Loans to Officers, Directors, and Employees; Restriction and Limitation. – The Veterans Bank shall not, directly or indirectly, grant loans to any director, officer, employee, or agent of the Veterans Bank, and no loans shall be granted to a corporation, partnership, or company wherein any member of the Board of Directors is a shareholder, agent or employee in any manner, except by the unanimous vote of the members of the Board present in a meeting, excluding the interested member: Provided, That the total liabilities to the Veterans Bank of any corporation, wherein any member of the Board of Directors of the Veterans Bank is a shareholder, agent or employee in any manner, shall at no time exceed five percent (5%) of the surplus and paid-up capital of the Veterans Bank.