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This entry was published on 2014-09-22
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SECTION 142
Limitations on, and regulation of, bank holding companies
Banking (BNK) CHAPTER 2, ARTICLE 3-A
§ 142. Limitations on, and regulation of, bank holding companies. 1.
It shall be unlawful for any person knowingly to borrow, directly or
indirectly, any money or property for the purpose of enabling such
person to pay for or to hold shares of stock of a bank holding company
from any subsidiary of such bank holding company, unless such borrowing
is made upon security having an ascertained market value of at least
fifteen per centum more than the amount thereof. Any person knowingly
violating the provisions of this subdivision shall, for each offense,
forfeit to the people of the state twice the amount of such borrowing.

2. Except in conformity with such rules and regulations as may be
promulgated by the superintendent, it shall be unlawful for any
executive officer or director of a bank holding company to borrow any
sum of money from any subsidiary of such bank holding company. Every
executive officer or director of such bank holding company violating the
provisions of this subdivision shall, for each offense, forfeit to the
people of the state twice the amount of such borrowing or borrowings.