7-8-12. Charge off of losses sustained on receivables and operating losses --
Replenishment of surplus account.
(1) (a) Losses sustained on receivables by an industrial bank shall be charged first to the
industrial bank's reserve for losses and then to its current income.
(b) Operating losses shall be charged first to the industrial bank's current income, next to
undivided profits and then, after undivided profits have been exhausted, to the surplus account.
(2) A charge to the industrial bank's surplus account shall be replenished from net profits
or capital contributions. The industrial bank may declare or pay a dividend only with the written
permission of the commissioner until its surplus account reaches an amount prescribed by the
commissioner in writing.
Amended by Chapter 92, 2004 General Session
Download Code Section Zipped WordPerfect 07_08_001200.ZIP 2,188 Bytes
Sections in this Chapter|Chapters in this Title|All Titles|Legislative Home Page
Last revised: Thursday, May 28, 2009