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Can you summarize WARC 30A.12.060?
Officers, employees, and stockholders. > Loans to officers or employees.
Short Summary
This legal document, part of the Revised Code of Washington under the Washington Commercial Bank Act, governs the ability of banks to make loans to their officers and employees. It allows banks to make loans to employees and officers, purchase or acquire their obligations or debts, and set limits on the total value of loans and obligations for officers. The document specifies that loans or obligations should not exceed a certain percentage of the bank’s capital and unimpaired surplus or a specified amount, unless authorized by a majority vote of the board of directors. It also requires banks to report outstanding loans to directors and considers modifications of existing obligations as loans. The document defines ‘unimpaired surplus’ and provides the components that make up this term. No specific penalties or exemptions are mentioned in this document.
Whom does it apply to?
Banks
What does it govern?
Loans to officers or employees
What are exemptions?
No exemptions are mentioned.
What are the Penalties?
No specific penalties are mentioned.
Jurisdiction
Washington