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Can you summarize NDCC Section 6-05-04?
Annuity, Safe Deposit, Surety, and Trust Companies > Surety deposit investments required - Securities in which investment may be made.
Short Summary
This legal document governs the requirements for surety deposit investments and the types of securities in which investments may be made. It applies to corporations organized under this chapter and foreign corporations engaging in similar comparable activities within the state. The document mandates that corporations must either deposit securities or pledge a certificate of deposit with an approved custodian. The deposit or pledge must be at least fifty thousand dollars or one-sixth of the par value of the corporation’s capital stock, whichever is greater, but not exceeding five hundred thousand dollars. The authorized securities for deposit or pledge include bonds of the United States or the state, bonds of other approved states, bonds or obligations of local entities within the state, bonds or promissory notes secured by real estate in North Dakota, obligations issued or guaranteed by international banks, United States treasury bills or notes, certificates of deposit insured by the federal deposit insurance corporation, or certificates of deposit issued by the Bank of North Dakota.
Whom does it apply to?
Corporations organized under this chapter and foreign corporations engaging in similar comparable activities within the state
What does it govern?
Surety deposit investments required - Securities in which investment may be made
What are exemptions?
No specific exemptions are mentioned
What are the Penalties?
No specific penalties are mentioned
Jurisdiction
North Dakota