184 LAWS OF MARYLAND. [CH. 217

95. The Board of Directors of a bank or trust company
may declare a cash dividend from so much of its net profits
or from its surplus in excess of one hundred per cent
(100%) of its required capital, after providing for ex-
penses, losses, interest and taxes accrued or due from said
bank or trust company, as they shall deem expedient. Any
losses sustained in excess of any undivided profits may
be charged to its surplus account; provided, that its surplus
fund, if at any time below one hundred per cent (100%)
of its capital shall thereafter be reimbursed from its net
earnings, and no cash dividends shall be declared or paid
in excess of ninety per cent of its net earnings, unless or
until its surplus fund shall be fully restored to the amount
of one hundred per cent (100%) of its capital as required
by the provisions of this Article. For the purposes of this
section the term "bank" shall include savings institutions
having a capital stock.

96. No cash dividend shall be declared or paid by the
directors except out of the net profits or surplus in excess
of its required capital properly applicable thereto, as pro-
vided in Section 95 of this Article, and if any such divi-
dend shall be paid, every stockholder receiving the same
shall be liable to restore the full amount thereof, unless
the capital and the surplus to the extent required by
Section 95 is subsequently made good; and if the directors
shall knowingly pay any dividend when the corporation
is insolvent or in danger of insolvency, or not having
reason to believe that there were sufficient net profits or
surplus properly applicable thereto to pay the same with-
out impairing or diminishing the said capital and surplus,
otherwise than is authorized in Section 95 of this Article,
they shall be jointly and severally liable to the creditors
of the corporation at the time of declaring such dividends
to double the amount thereof.

SEC. 3. And be it further enacted, That this Act shall
take effect on June 1, 1945.

Approved March 16, 1945.

CHAPTER 217.
(Senate Bill 220)

AN ACT to authorize and empower the County Commis-
sioners of Baltimore County to borrow at one time, or