Section 362.340

Title XXIV BUSINESS AND FINANCIAL INSTITUTIONS

Chapter 362

Effective - 28 Aug 2021, 2 histories   

  362.340.  Employees to give bond — insurance — publication of minimum levels of coverages. — 1.  The directors of a bank or trust company shall direct and require good and sufficient fidelity bonds on all active officers and employees, whether or not they draw salary or compensation, which bonds shall provide for indemnity to the bank on account of any losses sustained by it as the result of any dishonest, fraudulent or criminal act or omission committed or omitted by them acting independently or in collusion or combination with any person or persons.  The bonds may be in individual, schedule or blanket form, and the premiums therefor may be paid by the bank or trust company.

  2.  The directors may also direct and require suitable insurance protection to the bank against burglary, robbery, theft and other similar insurable hazards to which the bank or trust company may be exposed in the operations of its business on the premises or elsewhere.

  3.  The directors shall be responsible for approving at least once in each year the amount or penal sum of the bonds or policies and the sureties or underwriters thereon, after giving due and careful consideration to all known elements and factors constituting the risk or hazard.  The action shall be recorded in the minutes of the board of directors and the relevant information documented on a form provided by the division of finance.  Thereafter, the completed form shall be retained and preserved by the bank or trust company.  The director of finance shall publish yearly a tiered schedule of minimum levels of coverages.

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(RSMo 1939 § 7975, A.L. 1967 p. 445, A.L. 2021 S.B. 106)

Prior revisions: 1929 § 5380; 1919 § 11762; 1909 § 1112