Transactions in state trust company shares or participation shares

1. Law
2. Mississippi Code
3. Banks and Financial Institutions
4. Multistate, State and Limited Liability Trust Institutions
5. Investments, Loans and Deposits
6. State Trust Company Investments
7. Transactions in state trust company shares or participation shares

A state trust company may acquire its own shares or participation shares if:

1. The amount of its undivided profits is sufficient to fully absorb the acquisition of the shares or participation shares under regulatory accounting principles; or
2. The state trust company obtains the prior written approval of the commissioner.

A state trust company may acquire a lien upon its own shares or participation shares if:

The aggregate amount of indebtedness so secured is less than the amount of the state trust company's undivided profits; or

The state trust company obtains the prior written approval of the commissioner.

Except with the prior written approval of the commissioner:

The state trust company may not hold its own shares or participation shares as treasury stock for more than two (2) years; and

A lien acquired under this section may not by its original terms extend for more than two (2) years.

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