WM. PRESTON LANE, JR., GOVERNOR. 853

retirement system. Any additional amount required to meet
the interest on the funds of the retirement system shall be
paid by the State, and any excess of earnings over such
amount required shall be deductible from the amounts to be
contributed by the State.

Regular interest shall mean such per centum rate to be
compounded annually as shall be determined by the Board
of Trustees to be equitable, in its judgment, to both the
employees and taxpayers of the State, after taking into con-
sideration the actual interest earnings of the system for the
preceding years and of the probable earnings of the system
to be made in the future. Such rate shall be limited to a
minimum of three per centum and a maximum of four per
centum, with the latter rate applicable during the first year
after the date of establishment.

(3) The State Treasurer shall be the custodian of the
several funds. All payments from said funds shall be made
by him or by a Deputy Treasurer, only upon vouchers signed
by two persons designated by the Board of Trustees. A duly
attested copy of a resolution of the Board of Trustees desig-
nating such persons and bearing on its face specimen signa-
tures of such persons shall be filed with the Treasurer as his
authority for making payments upon such vouchers. No
vouchers shall be drawn unless it has previously been au-
thorized by resolutions of the Board of Trustees.

(4) For the purpose of meeting disbursements for pen-
sions, annuities, and other payments, there may be kept
available cash, not exceeding ten per centum of the total
amount in the several funds of the retirement system, on
deposit in one or more banks or trust companies in the State
of Maryland, organized under the laws of the State of
Maryland, or of the United States, provided that the sum on
deposit in any one bank or trust company shall not exceed
twenty-five per centum of the paid up capital and surplus
of such bank or trust company.

(5) Except as otherwise herein provided, no trustee and
no employee of the Board of Trustees shall have any direct
interest in the gains or profits of any investment made by
the Board of Trustees. No trustee or employee of the Board
shall, directly or indirectly, for himself or as an agent, in
any manner use the same except to make such current and
necessary payments as are authorized by the Board of Trus-
tees; nor shall any trustee or employee of the Board of Trus-
tees become an endorser or surety, or in any manner an
obligor, for moneys loaned to or borrowed from the Board
as Trustees.