Financial Code - FIN
DIVISION 5. CREDIT UNIONS [14000 - 16906]
( Division 5 repealed and added by Stats. 1979, Ch. 112. ) CHAPTER 4. Management and Operations [14400 - 14768]
( Chapter 4 added by Stats. 1979, Ch. 112. ) ARTICLE 8. Penalties [14750 - 14768]
( Article 8 added by Stats. 1979, Ch. 112. ) 14766.
No officer, director, or employee of a credit union, directly or indirectly, shall purchase or be interested in the purchase of, any of the credit union’s obligations or assets for an amount less than the book value thereof, unless all the directors of the credit union previously approve the purchase by resolution and a copy of the resolution is delivered to the commissioner immediately after adoption. Every person violating this section shall be liable to the people of this state for each offense in the amount of twice the book value of the assets so
purchased.
(Amended by Stats. 1998, Ch. 539, Sec. 29. Effective January 1, 1999.)