MARVIN MANDEL, Governor                          947

ding with a firm, corporation, or association in which a member of
the board has a direct financial interest; or (4) the making of a con-
tract for the purpose of composing threatened or actual litigation
undertaken between the board and one of its members, or between
the board and a firm, corporation, or association in which a member
of the board has a direct financial interest. If, through disqualifica-
tions, less than a quorum of the board is capable of participating in
any of the contracts or purchases permitted hereunder, the remain-
ing member or members shall constitute a quorum and have the
authority to complete the contract or purchase, provided such action
shall have been previously approved in writing by the State Super-
intendent of Schools.

(b)    County superintendent.—It is unlawful for any county school
superintendent in any county of Maryland to have a direct or indirect
financial interest in any contract or purchase to which the board of
education in that county is a party, except as in this subsection set
forth. Every county school superintendent who may reasonably be
expected to know, or who knows that he has a direct financial
interest in any contract or purchase in which the board of education
in that county is or may be in any way concerned, shall make prompt
disclosure of the fact of such interest to the State Superintendent of
Schools. It is unlawful for any such county school superintendent
to fail to disclose the fact of such interest to said board. If such
disclosure is made and if the county school superintendent disqualifies
himself from acting on the transaction on behalf of such board,
the transaction may be completed if it involves (1) the making of a
deposit by the board in a bank in which he has a direct financial
interest; or (2) the purchasing of gas, electricity, or other public
utility services from a company in which he has a financial interest;
or (3) the making of a contract after publicly advertised competitive
bidding with a firm, corporation, or association, in which he has a
direct financial interest; or (4) the making of a contract for the
purpose of composing threatened or actual litigation undertaken
between the board and the county school superintendent, provided
such action shall have been previously approved in writing by the
State Superintendent of Schools.

(c)    When person deemed to have direct financial interest.—For
the purpose of this section, a person shall be deemed to have a direct
financial interest in a contract or purchase to which the board of
education of any county is a party, if such contract or purchase
is to be consummated between the board and such person himself,
or his spouse or child, or between the board and any firm, corpora-
tion, or association in which he or his spouse or child either jointly
or severally own in total more than three percent, of the invested
capital or capital stock, or from which such person or his spouse
or child, either jointly or sev