Marvin Mandel, Governor                       1715

(e)    In every case the effective date of the transfer and any
adjustments related thereto shall be as of June 30, 1971.

(f)    Any member of the Teachers' Retirement System of the
State of Maryland who transferred his credit from the Employees*
Retirement System of the City of Baltimore prior to July 1, 1971,
from and after July 1, 1972, shall pay the rate of contribution for
his attained age at the time of his enrollment in the City System which
was in effect at the time of his enrollment in the State Teachers'
System.

Sec. 2. And be it further enacted, That this Act shall take effect
July 1, 1972.

Approved May 31, 1972.

CHAPTER 663

(Senate Bill 85)

AN ACT to repeal and re-enact, with amendments, Section 62 (a)
(4) and Section 64 of Article 23 of the Annotated Code of Mary-
land (1971 Supplement), title "Corporations," subtitle "I. Stock
Corporations," subheading "Directors and Officers," generally
modernizing and adding additional provisions in respect of in-
demnification of officers, employees, agents, and directors of
corporations.

Section 1. Be it enacted by the General Assembly of Maryland,
That Sections 62 (a) (4) and 64 of Article 23 of the Annotated Code
of Maryland (1971 Supplement), title "Corporations," subtitle "I.
Stock Corporations," subheading "Directors and Officers," be and
the same are hereby repealed and re-enacted, with amendments, to
read as follows:

62.

(a) (4) Directors and officers of a corporation who make, vote for
or assent to the making of any loan to an officer or director thereof,
except as specifically provided for in subsection (d) of Section 22,
shall be jointly and severally liable to the corporation for the amount
of such loan until the repayment thereof; but this paragraph shall
not apply to loans made in the ordinary course of business upon
usual and customary terms by any association as defined in Section
161B (a) of this Article, by any corporation whose principal business
is to lend money, by any corporation receiving and authorized to
receive money on deposit, or by any insurance company if such loan
is not prohibited by Article 48A, or to advances made [in good faith
for expenses in connection with a proceeding as to which the officer
or director would, in the absence of an ultimate adverse determina-
tion, be entitled to indemnification by the corporation pursuant to
provisions made under the authority of] in accordance with Section
64 (e) of this Article.