Section 361.480

Title XXIV BUSINESS AND FINANCIAL INSTITUTIONS

Chapter 361

Effective - 02 Jan 1979, see footnote   

  361.480.  Director may borrow on assets of closed corporation. — 1.  The director of finance, deputy director of finance, liquidating agent, receiver or other person or persons lawfully in charge of the property and business of any closed bank or trust company is authorized, upon the order of the circuit court in and for the county in which the principal office of the bank or trust company is located, to borrow money in the name of the delinquent corporations and to issue evidences of indebtedness therefor and to renew the indebtedness and to secure the repayment of the same by the mortgage, pledge, transfer in trust and/or hypothecation of any or all of the property of the bank or trust company, whether real, personal or mixed, superior to any charge thereon for expenses of liquidation, as provided in section 361.410.

  2.  These loans may be obtained and used for the purposes of facilitating liquidation, protecting or preserving the assets in his charge, expediting the making of distributions to depositors and other creditors, providing for the expenses of administration and liquidation or aiding in the reopening or reorganization of the bank or trust company, or its merger or consolidation with another bank or trust company, or the sale of all or any part of its assets.

  3.  The director of finance, deputy director of finance, liquidating agent, receiver or other person or persons lawfully in charge of the property and business of the bank or trust company shall be under no personal obligation to repay any loans so made and shall have power to take any and all actions necessary or proper to consummate the loan and to provide for the repayment thereof and to give bond, when required, for the faithful performance of all undertakings in connection therewith.

  4.  The director of finance, deputy director of finance, liquidating agent, receiver or other person or persons in charge of the property and business of the bank or trust company shall make application to the circuit court for approval of the loan and the giving of security therefor.  Notice of the applications shall be given by publication once each week for two consecutive weeks in each case, upon any weekday of the week, in a newspaper of general circulation in the county.  Hearing on the application shall be had not less than ten days after the first publication of the notice.  At the hearing upon the application any stockholder, depositor or other creditor of the bank or trust company shall have the right to appear and be heard thereon.  Prior to the obtaining of the court order the director of finance, deputy director of finance, liquidating agent, receiver or other person or persons lawfully in charge of the property and business of the bank or trust company may make application or negotiate for the loan or loans subject to the obtaining of the court order.

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(RSMo 1939 § 7925, A.L. 1967 p. 445, A.L. 1978 H.B. 1634)

Effective 1-02-79